Members Present: Allan Affeldt, David Connell, Susie Garretson, Susan Golightly, Sam Henderson, Leigh Kuwanwisiwma, Linn Montgomery, Carl Phagan, Peter Pilles, Barbara Poley, Katrina Rogers, Carolyn Shoemaker, Octaviana Trujillo, and Stephen Verkamp.

Muses Representative Present: Mary Ann Isom.

MNA-ES Representative Present: Sonny Kuhr

Auditor’s Representative: Jill Korenck, JDS Professional Group

Board Members Absent: Rowena Dickerson, Jack Metzger, Wayne Ranney, Miguel Vasquez.

Staff Members Present: Robert Breunig, Director; Catherine Nichols, Intern-Director’s Office; Laura Rogers, IPC Coordinator; and Lynn Yeager Comptroller.

Call to Order: The meeting was called to order at 10:40 a.m.by Susie Garretson, Chair.

Approval of Minutes: The minutes of the April 1 2006 Board meeting were unanimously approved (with corrections). The minutes of the May 6, 2006 Board meeting were approved with one abstention.

Approval of the Consent Agenda:
Program Committee Minutes: April 14
Executive Committee Minutes: May 2.
Finance and Investment Committee Minutes: May 31.
Institutional Planning Committee Minutes: May 23.
Fundraising Committee Minutes: May 3

The consent agenda was unanimously approved.

Chair’s Report – Susie Garretson:

Susie began by saying that the past year has been good and many accomplishments will be shared at the members’ meeting this afternoon.

She reminded the Board about the meeting on FALA on July 19, 4 p.m. to 8 p.m.

The Executive Committee recommends that Barbara Poley be granted a Leave of Absence for six months. The recommendation was unanimously approved.

In order to avoid a conflict regarding insurance coverage, Chair Susie Garretson recommended a five day Leave of Absence for Wayne Ranney to conduct a field trip for MNA for the period May 8 – 12. The recommendation was unanimously approved.

The Executive Committee recommended that the Board approve a “whistle blower” policy for MNA, written by Director Breunig and approved by MNA counsel which will bring MNA into compliance with the Sarbanes Oxley Act. The recommendation was unanimously approved, pending a review of a recent court decisions regarding whistle blower protection legislation to see if any modifications in the policy are required.

Susie discussed the Metzger Event scheduled for September. She mentioned the success of last year’s Fund and Friend Raising event, and that we hope this year will be a good.

Susie said the Baxter Black event in Sedona went very well.

Director’s Report – Robert Breunig:

Robert reported on his Grand Canyon river trip with elders from the Hopi Tribe. This was an opportunity to enhance his and the Museum’s good relationship with Hopi.

There are many events coming up that are keeping the director and staff busy in preparation. These events include the Timeless Excellence exhibit opening June 17th that will display some of the best pieces from the MNA Fine Arts collection, including some Mary-Russell Ferrell Colton pieces. This event will also highlight a new piece to be added to the collection, an original Maynard Dixon painting from an anonymous donor (anonymous for the time being). The Annual Hopi and Navajo Festivals are coming up. MNA staff has been on one collecting trip so far to acquire items for the Hopi Festival and will make additional trips as necessary. This summer both the Hopi and Navajo Festivals will have Heritage Insights components featuring cultural presentations by artists and scholars and community representatives. The “Trappings of the American West” is scheduled to open in late September.

Plans are continuing for an opening of an exhibit on the Therizinosaur in early January. MNA Paleontologist David Gillette is the exhibit curator and artist Victor Leshyk is preparing a set of very exciting graphics.

The current phase, the concept development phase, of the Hopi Iconography Project, funded by the Rockefeller Foundation will be ending in late July. This September MNA plans to submit a planning grant to the National Endowment for the Humanities for development of the proposed exhibit, tentatively named “Siitala: Life in Balance, World in Bloom”. Dr. Kelly Hayes Gilpin has done an excellent job in bring this phase of the project to a successful conclusion. We will submit a final report to the Rockefeller Foundation by July 30.

Since Marlene Lloyd, the Executive Assistant, left MNA in late May, Robert has being taking care of the Human Resources work load. While it adds greatly to his work load, it has provided him with a better understanding and appreciation of all the details of Human Resource Management.

Shirley Groenhout has resigned her position as Facilities Rental Manager. Karen Enyedy has assumed her the duties, as a volunteer, on an interim basis. Alan Affeldt suggested that we might investigate contracting with Northern Arizona University for hospitality services.

Robert expressed his appreciation to Laura Rogers for her work in overseeing the Institutional Planning process and keeping the committee focused and on schedule. The bad news is that she will be leaving in mid-August to return to school.

Catherine Nichols is working as an intern in the Director’s Office. She will be shadowing Robert, learning what a Museum Director does, and she will be working with Laura Rogers to help complete the AAM accreditation self-study.

Robert shared information about the prescribed fire conducted at the Harold S. Colton Research Center to reduce the fuels around the collections facility. This year threatens to be bad for wild fire, and it is important that we do what we can to protect our resources.

The Visitor Services function is being moved into the Educational Department and will be run by Lee Ann Gilmer. Lee Ann is known as a museum enthusiast and has visited many museums in Europe and Mexico. He hopes her enthusiasm is contagious and enhances our professionalism in providing visitor services.

Robert reminded the Board that is it becoming increasingly harder to attract and retain good employees with the current salary levels and the increasing costs of living in the Flagstaff community. He continues to seek ways to better compensate MNA staff.

Robert said several grants proposals had been submitted, including proposals to the Arizona Commission on the Arts, Arizona Humanities Council, Flagstaff Cultural Partners, the Flagstaff Community Foundation and the Nina Mason Pulliam Trust. We are currently behind last years fund raising levels, but this is believed to be timing matter. Staff is doing great jobs in applying for funds and attracting new friends and supporters to MNA.

Individuals in Sedona are apparently very interested in having a museum presence in that community. Robert met with and Ruth Kane, a Muses member, and Kurt Lefteroff, developer of the Tequa Shopping Center in the Village of Oak Creek in May to discuss this interest. There had been earlier conversations with Lefteroff and the Heard Museum (which declined) about something in Sedona. It may be something MNA would be interested once time and resources allow us to look further in what we might do. This is something for the Board to discuss.

MNA will be home to about 75 sheep at the research center during the Navajo Festival. The sheep will be part of the annual “Sheep is Life” Conference held in conjunction with the Center for Sustainable Environments at NAU and the Navajo Churro Sheep Association. The “Sheep is Life” program is focused on restoring the breed of churro sheep to the Navajo. This year’s meeting will be held at the same time as our Navajo Festival to encourage synergy between MNA and the “Sheep is Life” program.

Bob expressed great appreciation for those members leaving the Board, Carl Phagan, Linn Montgomery, and Susan Olberding and commended them for their many contributions.

Bob will share additional information regarding the years’ events with MNA members at this afternoons meeting.

Finance and Investment Committee Report

Linn Montgomery reported that the report for April had been sent to the Board for review. Lynn Yeager clarified that April financial reports were sent to the Board, but Miller-Russell statements on the endowment fund were not yet available.

We are slightly ahead of our budget through May. The Gift Shop and Store are exceeding last year’s income. May has been exceptionally good.

Wedding income is down from last year. The Discovery Program is right on target. The Ventures Program is ahead of last year, and has been limited to the thirteen most popular events.

Another $50,000 was paid on MNA’s line of credit, bring the total paydown for the year to $200,000.

The Finance Committee recommended acceptance of the April, 2006 financial report. The report was unanimously approved.

The Finance Committee recommended that the board approve a resolution adding Lynn Yeager as a signer to the Gift Shop checking account. Adding Lynn Yeager to the Gift Shop checking account was unanimously approved.

Linn said David Connell’s assistance in the review of the MNA/MNA-ES agreement was invaluable. There were a number of significant changes that clarified and simplified the document.

Linn recommended the annual review of the agreement occur in the 4th quarter, and revisions be readied for the annual MNA-ES shareholders meeting in April.

There was discussion about using profits from MNA-ES to pay off the loans from MNA rather than pay dividends to the shareholder. There was discussion regarding the benefit and appropriateness of taking on projects with low profit but that support the mission of MNA. David Connell made the motion that MNA require interest only payments of the MNA-ES loan to MNA until MNA-ES achieves greater profitability.The motion unanimously carried.

Carl Phagan said MNA-ES Directors greatly appreciate the kind of attention that has been paid to this “for profit” organization. They welcome the kind of help they have been getting from the Board, and specific Board members like David Connell.

Jill Korenck, JDS Professional Group, shared the independent audit of MNA financial programs and operations. There were a few recommendation regarding minor internal controls to insure adequate severity and protection of funds. Overall, MNA financial operations are healthy and reflect good management.

The Finance Committee recommended that the 2006 audit, as prepared by the JDS Professional Group, be accepted by the board. Acceptance of the Audit Report was unanimously approved.

Linn said that the Finance Committee is operating at a competent level considering the struggles of the past few years. He offered compliments to Lynn Yeager for her good and hard work.

Institutional Planning Committee Report

Katrina Rogers reported that progress reports on the IPC are on the web and there have been a number of comments received.

Laura Rogers said feedback in coming in, and she urged Board members to offer their comments.

The goal of “Restoring MNA’s Good Name” was rewritten to “Build MNA’s Reputation . . .” to help move us past the low point of a couple of years ago, and recognize that MNA has a “good name” and we intend to enhance it.

Work in progressing in combining the individual committee reports into an institutional report that reflects the overall goals of MNA.

Some peer organization comments, and those from members and the public, suggest that we are being a little too ambitious in our goals for a five year period. We will look at the “big picture” MNA goals and address their time lines in a very realistic approach. We may have fewer goals for our five year IP. But, we will have a continuation of our goals into the next five year period. As goals are accomplished, and revisions of the plan are undertaken, there will be opportunities for elimination, addition, and modification of goals on a routine basis.

It is important to remember that the IP needs to support the Mission and Vision of the Museum. The language of the IP will be blended with that from the Mission/Vision statements.

Katrina commended Laura for her hard work on overseeing the IP process and keeping it on target.

Muses Report

Mary Ann Isom presented the Financial Report, and that their budget for the coming year will be prepared for the September meeting.

The Muses continue to offer invaluable support for MNA through their numerous project and personal donations.

This past year the Muses gave $13,000 in donations to MNA.

Other Business

Susie Garretson said Francis McAllister sends her best. She was unable to attend the meeting because of an injury that has her temporarily in a wheelchair.

Susan Golightly expressed her appreciation to those Board members finishing their terms. She had parting gifts for them, but was not satisfied with the quality of the etched bowls received, and will get them replaced.

Susie Garretson said Board members need to be thinking of replacements for Board Officers, Chairs of Committees and membership on committees. If you have a recommendation, check with that person and see if they will be willing to serve.

Carl Phagan reminded the Board that the Directors of MNA-ES select their replacements.

The regular Board Meeting was adjourned and the Board moved into Executive Session at 1:00 pm

The regular meeting adjourned at 1:00 and the board went into Executive Session.

Respectfully Submitted,
Sam Henderson, Secretary of the MNA Board