Career Resources, Inc. Board of Directors Meeting Minutes via Zoom June 24, 2022 Board Members Present Jill Brennan Kam Cheung Crystal Engram Victor Fuda Mickey Stayman Mark Soycher Craig Donovan Beth Dupont Rich Dupont Mayor Toni Harp Christopher Kunhardt Rev. D. Stanley Lord Ilsa Moreno Mark Thorsheim Newly voted in Board Members as of this meeting: Bob Francis Dr. Antoinette Glenn Charlie Grady Staff Present Dr. William Clark Markus Cherry Wanda Lary Mary Murano Daniele Turner Scott Wilderman, CEO Kim Harris Rob Hebert Angela Pellegrino-Grant Krystyna Romano Roger McKenzie called the meeting to order at 8:31 am. Last meeting as chair, took a new role in Georgia and the travel is prohibitive for his role with CRI. Scott Wilderman – Mission Moments Lucy Baney came to visit July 23 and has been a tremendous inspiration to us and she was able to speak with the clients. Mark added how much she cares about those we’re serving. She brought a friend, Amy, from M&T Bank, who Lucy would like us to consider as a Board member in the future which we will definitely do. Announcements: $7M in new Career Connect funding which will start in September – CRI was awarded about 10% of the total funds available. $70M available and therefore, CRI got 10%. Waveny Healthcare $1.8M and Open Door Shelter (Norwalk). Also, working with WeHire $5.2M. These are exciting new partnerships for CRI. US DOL Grant via STRIVE National which includes Bridgeport to serve at risk and adjudicated youth. Total is $4M over the coming three years; and CRI will get $600-800K for this project, will work with RIASAP on this endeavor. Krystyna announced we were named as one of the non profit Top Workplace. Chris Landino brought in over $300K in new Foundation monies in the past 30 days. Efforts resulted from the matching grant from Mimi Sternlicht. Will target funding 3 new vans. The match elevated our conversations with funders. Wrongful death lawsuit settled (regarding the Isiah House death prior to CRI taking it over.) Scott happy to have this all behind us. Trying to recoup from ProBono partners and insurance company. $250K line of credit increase for a total line of $650K usable over coming two years. Important because our payroll is increasing in the coming months. $200K CDBG Award for Baney Center to get a new HVAC system. And, the solar panels are up and ready to turn on soon. Officers & Directors Resignation of Roger McKenzie New Officers: Crystal Engram, Chair Michael Stayman, Vice Chair Kam Cheung, Treasurer Jill Brennan, Secretary New Directors: Bob Francis Dr. Antoinette Glenn Charlie Grady New Terms: Rich Dupont Rev. Stan Lord Dave Scaramozza Mark Thorsheim Roger McKenzie motioned to approve. Mickey Stayman seconded. Roger McKenzie motioned on minutes to approve Mickey Stayman seconded. Required Board Forms: ● Whistleblower Policy ● Board Member Duties & Responsibilities ● Conflict of Interest Policy – needs signature & return to Krystyna ● Code of Ethics Policy – needs signature & return to Krystyna We have a situation where staff raised concern about how staff entering into forms. Not a fiscal issue, but more of a programmatic issue. Terminated a staff member and reassigned some staff members. Kam Cheung asked about what the potential liability might be for CRI. Scott said it’s too early to tell, but he has contacted an attorney who is reviewing the contracts. Two programs impacted. Some staff said people had completed full training programs, but hadn’t really. No one knew about it. The process has been very well documented. Angela confirmed no financial liability, all expenses and invoices reported correctly. More about a question of what the service model was and that there was a concern that we didn’t live up to the service model in the end. Scott will update the Board via email. Resolution to Sign: Every year, Scott needs the authority to sign and enter CRI into contracts. Board resolution needed. See document and read/document into the minutes… Mickey Stayman asked the purpose of the statement. Scott has to sign contracts. The only way they accept the contract is by Scott being named as signor for the Board. Bob Francis asked if this is a standard process annually. Yes. Motion to approve by Victor Fuda, Kam Cheung seconded. Development Report – Chris Landino Spreadsheet shared on screen – see submitted materials with Board Package. Now that we’ve secured funding from new sources, we must move into cultivating the new funders. Also, Jobtoberfest and Annual Appeal will go out in September. Chris will be reaching out to the Board for sponsors and potential attendees and donors. Mark Thorsheim has offered to lead Jobtoberfest. We’re going to do it in person. Art Space in Norwalk is being considered. Kick off meetings are being targeted for next week. Looking to up the game this year. Bob Francis, Charlie Grady, and Jill Brennan were asked to participate. Crystal volunteered and suggested The Knowlton as a potential location.. Scott showed a picture of the van for the Baney Center. Kim Harris reported that the van is incredible and drives really nicely! Financial Report – Mickey Stayman Scott showed the budget on screen which was also a part of our board packet. 95% of staff will get 5-8% COLA increase on July 1. Those that did not, were either recent hires or promotions. It’s about $400K in COLA increases. Our budget is 45% increase from last year. Will be at $13.5M, in 2017 we were at $6.8M. Kam Cheung reiterated the 45% growth largely driven by Waveny and Career Connect. As a non profit, our revenues grow, but profits don’t and that’s the driver of the infrastructure challenge. Chris Landino’s efforts are crucial in helping us here for unrestricted funds and to cover non reimbursable costs. Ended Fiscal year 2021 projecting slightly over $100K positive to the bottom line. Targeting development levels of $500-750K over time. This will allow us to re-build cash and fuel our new hires. Mark Thorsheim asked how this compares to other organizations of our size. There was discussion about the importance of being able to achieve at least $100K after all costs. Have to be realistic and give Chris Landino time to cultivate and with additional cash flow, it will help with planning. What is the biggest challenge in the ask for unrestricted funds? Chris said to focus on larger donors. We mention the need to train, staff up and build for the future. Entry Point Staffing has been key in Chris’s conversations. Kam mentioned that while people want to fund specific programs, CRI is more about overall mission and our programs aggregated are successful because of the synergies. Chris discusses Entry Point Staffing as a program of CRI, not a separate entity. Kam said our business model has always been “missing a Chris Landino”. The budget reflects contributions and growth into next year. Approval of budget – Kam Cheung motioned, Bob Francis seconded. Approved. Scott reinforced that this budget was a monumental effort and a whole new model of reporting going into 2022-2023. Exploring the possibilities – Scott Wilderman We have a unique opportunity to get a building. The old drug store right near transportation and the court. Could be a huge legacy. Early stages and met with the city on this. Mimi Sternlicht helping with the scenarios and wants to buy us this building. 44,000 sf building and previously investigated this location for the AJC with the Workplace, but it didn’t work out back then. Ideal location. We are already running out of space in our current location. Mimi has priced out the build out costs. Could be also an event space in downtown Bridgeport. You have the basement which could be used as event space. Plus, three additional floors. Our lease ends in 3 years in our current location. Chris commented that this building allows us to elevate all of our services. It would be an incubation space for unemployed and displaced workers. It opens itself up for revenue generators that would be independent of grants. For example, event space – Hyatt Greenwich is the largest and other than that, Hartford. Ours would be 11,000 sf as an event space and would be able to wrap in catering training. It’s very exciting and timing is everything. There is a grant opportunity of about $175M from CT Dept of Economic Development across 54 communities, and you can apply for as much as we’d need. There is a lot of momentum and we are on a full court press. Right now, the funds are all coming from new sources, nothing from our existing CRI funds. There was a question about parking, and that is being investigated. Location in a historic building and across from court and close to transportation. Potential on the third floor to build re-entry transitional housing. Zoning is in scope for everything mentioned. This is transformative for CRI. The building has been sitting dormant for 14 years. There is a lot of community interest in this space being revived. Chris said there is a market assessment underway for the facility to serve as a Hub. Charlie Grady mentioned the Delancey Street Hub is a proven model and we should consider leveraging this in our efforts and our pitches. It’s a self-sufficient hub for all things re-entry. Board retreat in person September 16, from 9am – 3pm. Please hold the date. Meeting adjourned at 10 am