Board Members Present: Susan Garretson, Chair; Ann Poulos, Vice-Chair; Susan Olberding, Secretary; W. Linn Montgomery, Treasurer; Bill Beaver, Sheri Burnham, Susan Golightly, Sam Henderson, Leigh Kuwanwisiwma, Jack Metzger, Carl Phagan, Peter Pilles, Barbara Poley, Wayne Ranney, Katrina Rogers, Carolyn Shoemaker, and Octaviana Trujillo.

Board Members Absent: Max Oelschlaeger, Larry Stevens, and Miguel Vasquez.

Emeritus and Ex-Officio Members Present: Frances McAllister, Emeritus and Chio Black, President-elect for the Muses.

Others Present: Wayne Taylor Jr., Chairman and CEO of the Hopi Tribal Council; Caleb Johnson, Vice Chairman of the Hopi Tribal Council; Robert Breunig, Director; Roger Clark, Lynn Yeager and Ginger White, staff.

Chair Garretson welcomed our new board members and asked all those present to introduce themselves. Frances McAllister introduced herself as the “oldest President you ever had.” (She served as president of the board from 1982 to 1985).

I. Call to Order
Chair Garretson called the meeting to order at 9:18 a.m.

II. Approval of Minutes of Last Meeting
Susie asked that the minutes of the last meeting note a change from “Walnut Canyon National Monument” to “Petrified Forest National Park”. The date of the meeting was changed from June 6 to June 5, and a reference to the 2003 audit was corrected to 2002. A motion was made to approve the minutes of the June 5, 2004 meeting with the corrections as suggested. The motion was seconded and approved.

III. Approval of the Consent Agenda
A motion was made to approve the items included in the consent agenda. The motion was moved and approved.

IV. Report from the Chair
Chair Garretson reported that the executive committee had approved three motions at their meeting on June 25. One motion was in favor of extending the lease to Flagstaff Arts and Leadership Academy for the period of one year. The second motion was to approve a loan to fund the start up costs of MNA Environmental Solutions. This loan was the balance of an amount the board originally set aside for use by the contract science department when they were first established, and was approved again as a part of the 2004 budget. A portion of the $102,000 loan will be used to pay rent and utilities to MNA and the remainder will be used for other expenses. Finally, after some discussion and a few revisions, the executive committee voted to approve the mission, vision, and values statements presented by Dr. Breunig. It was also decided that the executive committee would plan to meet on the Friday preceding each board meeting from 3 to 5 p.m.

Susie distributed lists of the current committees with the expectation that current members could review their service on certain committees and new members could determine on which committees they would like to serve. The anthropology subcommittee has been phased out as a separate committee. The committee formerly called the “repository” subcommittee has become the “collections center” subcommittee. Work by the contract review subcommittee should be completed by the next meeting of the board. It was also determined that because of an inherent conflict of interest, staff will serve from now on as non-voting advisors or liaisons on committees, and will no longer serve as voting members. The bylaws allow for one board member, in addition to board officers, to serve on the executive committee. A motion was made to have Carl Phagan continue to serve on the executive committee. The motion was seconded and approved, with Carl Phagan abstaining.

V. Report from the Director
Robert Breunig reminded the board that the 71st annual Hopi Marketplace would be coming up on the July 4th holiday weekend. He had accompanied Bob Lomadafkie, the heritage program manager, to Hopi villages in the past week, and realized that a number of Hopi were interested in reestablishing more personal relationships with MNA. Many Hopi want to maintain involvement on an institutional and personal level. The Still Water Foundation in Austin, Texas granted the discovery programs $25,000 as “a vote of confidence for MNA.” The Archaeoastronomy Conference will be held at NAU, with MNA involved in several aspects. This event is seen as an example of a good collaboration between MNA, NAU, and others in the community. Robert and staff are continuing conversations with the B F Foundation for support of Native American interns. Stefan Sommer accepted the Museum’s offer as the new Deputy Director for Public Programs. He is currently the director of education at NAU’s Merriam-Powell Center for Educational Research. His focus is on museum education and how people learn in museums, and he has a background in successfully winning and managing science education grants.

Robert explained the importance of the Museum’s strategic initiatives and funding these initiatives. He and Lynn Yeager, the Museum’s controller, have determined that a “sustainable base” – the amount that the Museum can reasonably count on to be raised annually – is about $2.7 million. This does not include one-time grants, sales of assets, or large one-time gifts. The amount budgeted for expenses is about $4 million annually. The only way to balance the sustainable base and expenses is to either drastically cut programs or to raise money to support endowments. Another key need of the Museum is to assure that collections can be properly maintained by MNA. The southwestern regional office of the National Park Service (NPS) has issued a draft report in support of “a natural and cultural history collections center” in northern Arizona that would maintain the collections from the Colorado Plateau region. The NPS proposal did not state specifically where that collections center would be located: the museum will continue to promote its campus as the optimal location. Robert stated briefly that staff is working on gathering the information needed for the AAM accreditation application. Marty Sullivan of the AAM accreditation board continues to maintain that AAM will expedite MNA’s application and that the AAM is fully supportive of MNA’s decision to seek accreditation.

VI. Report from the Finance and Investment Committee
Treasurer Linn Montgomery explained that this committee includes three outside advisors: Larry Fester, Enrique Avandaño, and Joe DeVito. Lynn Yeager distributed a memorandum explaining the May financial statements. She asked that board members contact her with suggestions for changes in reports or additions that could provide more information. Expenses were about $195,000 less than budgeted year-to-date (YTD), while membership and sales revenues were greater than budgeted amounts YTD. The increase in membership revenues is based in large part on the recruitment campaign, which will have associated expenses in the future (not reflected in this report). The committee is working on revisions to the Investment policies and the committee charter, and they might be ready for approval at the August board meeting. The committee is also working on a document called “A Shared Commitment” to be given to current and future donors of large amounts of money, collections or property, addressing proper oversight of these gifts. Robert agreed that this was needed and he would need a summary of MNA’s endowment history. Carl Phagan asked if there were details of a plan on how to maintain a sustainable base (schedules, details of budget cuts, etc.). Robert responded that the best way to sustain our $4 million budget is to have an endowment campaign and raise at least $5 million this year. He admitted that in order to accomplish this goal, MNA will need to address the concern of potential donors that MNA has not always managed endowments properly. Donors want assurance that MNA is sustainable before committing to an investment. He believes that MNA will need to “tighten our belts” more before we will see large investments to our endowment funds. Robert and Lynn have begun preparations for the 2005 budget. They intend to establish institutional priorities and determine core programs, and then determine the costs for each. Costs that are not covered by the sustainable base will need to be funded through other sources. Robert needs the board’s assistance to reach a balanced budget. Jack Metzger suggested that it would be helpful to donors (and board) to have more information on the endowment to cash flow ratio, and to have a clear idea of the priorities for funding endowments. A motion was made and seconded to accept the financial report as presented. The motion passed unanimously.

VII. Report from the Board Development Committee
Susan Golightly stated that the committee recommends to the board that the current slate of officers be elected to serve another term. A motion was made that current board officers continue to serve for another one-year term. The motion was seconded and approved. Susan explained that a board orientation would be held in the Historic Colton House on July 7th from 9 am to 3 pm. Orientation will include morning sessions on the strategic issues facing the museum, an overview of finances, and the mission and history of MNA. A campus tour will be conducted in the afternoon. Susan encouraged all board members to attend. Notebooks containing a wealth of information were created and were distributed to new board members today.

VIII. Report from the Governance Committee
Susie explained the process the governance committee and mission review subcommittee used to ensure that all parties had an opportunity to provide input to the Mission, Vision, and Values statements. After some discussion on the word “plants” with brackets in the statement from the founders (plants was not part of the original statement and was added here in brackets), and a few minor corrections, the board agreed that the statements as presented accurately state the spirit and direction of MNA. A motion was made to approve the mission, vision, and values statements as presented, with the understanding that staff will resolve the presentation of the use of [plants] appropriately. The motion was seconded and approved unanimously. The new statements are included here for the record:

Mission
The mission of the Museum of Northern Arizona is to inspire a sense of love and responsibility for the beauty and diversity of the Colorado Plateau through collecting, studying, interpreting, and preserving the region’s natural and cultural heritage.

The Museum reaffirms the core tenets of the mission established by the founders in 1928:

• Research – “to increase knowledge of science and art”
• Collections – “to collect and preserve objects of art and scientific interest”
• Education – “to diffuse knowledge and appreciation of science and art”
• Conservation – “to preserve and protect the region’s historic and prehistoric sites, works of art, scenic places, [plants], and wildlife from needless destruction”
• Place – “to maintain a museum in the city of Flagstaff that provides facilities for research and aesthetic enjoyment”

Vision
The Museum of Northern Arizona is a warm and vibrant place of ideas, with a strong local identity, a regional focus, and an international perspective. Our vision for the Museum over its second 75 years is that:

• It is a welcoming place where people are drawn together to share their knowledge, love of learning, and sense of innovation
• It is a place that supports and gives voice to the region’s diverse cultural perspectives
• It has sustainable, state-of-the-art facilities while retaining its traditional character
• Its educational programs and exhibits are beautifully presented, inspiring and intellectually challenging
• Its collections are conserved with great care and respect, and will provide a continuing source of inspiration and learning
• It sets the standard for on-going regional research that is solid and significant
• Its staff and volunteers are creative, enthusiastic, and supportive of each other, the Museum’s mission, and the wider museum community

Values
The Museum of Northern Arizona is committed to:

• Openness – of purpose, governance, and communication
• Integrity – in fair and ethical practices, and the respectful treatment of all
• Excellence – in leadership, cooperation, and in use of highest museum standards
• Relevance – in identifying and responding to new challenges
• Stability – of its mission, vision, and resources, particularly its collections
• Respect – for different viewpoints, diverse cultural values, and the traditions of the Museum

IX. Discussion with Hopi Tribal Council Chairman & CEO and Vice Chairman
Susie introduced Wayne Taylor, Jr., the Chairman and CEO of the Hopi Tribal Council. He spoke eloquently about the primary concerns of the Tribal Council including the lack of jobs, the need for more and better housing, and education issues. He expressed his pride in the Hopi people. He used, as an example of the Hopi valuing their principles, their vote to not have gaming on their lands even though more jobs will be lost in 2005 when a nearby power plant will close. He expressed his appreciation for MNA’s willingness to assist the Hopi people in many ways, and for the valuable partnership between MNA and the Hopi Tribe. Chairman Taylor expressed that one of his visions for the Tribe is to see them have their own museum so that they have a place to house their own history and culture, and to share it with others who visit their lands. He believes it would offer a good opportunity to make tourism a larger part of their economic base and establish Hopi as a destination point. In the mean time, he appreciates the support and cooperation of MNA. He believes that the two can work together toward realizing his vision along with a group – perhaps a board – that would include Gloria Lomaheftewa, Susan Secakuku and others.

Caleb Johnson, the Vice Chairman of the Hopi Tribal Council was introduced by Chair Garretson. She expressed the museum’s desire to reestablish and strengthen its relationship with the Hopi Tribe. Vice Chairman Johnson realized that the Hopi have had a long-established relationship with first the Coltons, and then the museum. He appreciated the opportunity to be at the museum and meet with the board. He too expressed the desire for the Tribe to establish its own museum as a destination. Octaviana Trujillo introduced herself as Chair of the Center for Indigenous Studies at NAU, and explained her goal of educating Native American students in areas that will help Native people, such as economic growth and tourism. The Center is also working with MNA in establishing an intern program in museum studies. She is looking forward to working with the Hopi Tribe both through the NAU programs and through MNA.

Robert reiterated a desire by MNA to maintain a strong relationship between the museum and the Hopi Tribe, and MNA’s desire to continue collaborations on areas of mutual interest. He hopes that the Hopi see MNA as their museum too. He stated that he intends to work with Leigh Kuwanwisiwma on education and exhibits issues. He asked Chairman Taylor and Vice Chairman Johnson to comment on the proposed MOU with the Hopi Tribe and their thoughts on the Southwest Mural Project. He explained that those who contributed grant monies in support of the project were concerned about its future. Susan G. further expressed that MNA would not go forward with the project without the support of the Hopi Tribe. The Chairman stated that the murals were a real treasure and could “go a long way to bring out the rich culture in the Southwest, and more specifically, Pueblo culture.” He realizes that this project requires collaboration (with clans, villages, and the Tribal Council, as well as with MNA). Leigh stated that the project was somewhat controversial when it was first envisioned and titled the “Hopi Mural Project," and that it was renamed the Southwest Mural Project after it was decided to include other Pueblo cultures. He recommended returning to the name Hopi Mural Project. He understands the need to proceed through the process in an appropriate way, so that all Hopi can be satisfied with the results. He would like to work with MNA to complete the project as it was originally conceived, so that it includes the exhibits and educational components. Chairman Taylor explained that the Hopi Tribal Council represents all twelve villages. Because these villages predate the Hopi government and its constitution, they act more autonomously than most tribal governments. He suggested that MNA seek the approval of the villages and then the approval of the Hopi Tribal Council, so that all involved are satisfied with the project. The Chairman concluded by saying that it is a strong desire of the Hopi people to work with others so that their culture can be better understood by others. Working with MNA and others can offer opportunities for the Hopi people to educate themselves and their children about their history, language, and culture.

The board recessed for lunch at 12:05 and reconvened at 1:05. Chairman Taylor and Vice Chairman Johnson stayed during the recess and continued their conversations with board members.

Upon reconvening, Susie thanked Leigh for coordinating the Chairman’s and Vice Chairman’s visit. Robert, Carl, Leigh, Peter, and Barbara agreed to advance the MOU process. Robert thought the approach might be to establish a general MOU with the Hopi Tribe, with annual subagreements for specific projects and programs.

X. Report from the Land and Buildings Committee
The chair of this committee, Larry Stevens, was not present. Susan O. briefly updated the members on the Homestead review subcommittee’s efforts to start developing a plan for future use of the facility now that the Wilsons have moved out.

XI. Report from the Collections Committee
The collections committee is currently working on the portion of the collections policy concerning access to collections. Once this portion is revised, they will begin review of the remaining policy. A draft of the MAP II report was submitted to MNA by Jane McKnight. She stated AAM’s suggested areas for improvement, and had positive things to say about the staff’s hard work and dedication.

Susan O. stated that the library subcommittee will not meet over the summer. When they meet later in the year, they will discuss archival policies.

XII. Report from the Outreach Committee
This committee has not met, and has no report.

XIII. Report from the Research Committee
This committee has no report. They are working on the charter for the committee.

The contract science review subcommittee has been working with Sonny Kuhr to convert MNA Environmental Solutions (MNA ES) to a for-profit subsidiary. They have submitted the required information to the Arizona Corporation Commission, and have been editing their draft bylaws and operation agreement. MNA’s executive committee approved the loan to MNA ES (see Chair’s report). There was discussion about the use of other MNA staff, including researchers, administration, and others. Carl and Robert explained that MNA ES would have separate accounts, would pay rent and utilities to MNA, and could utilize research staff through contracts with MNA.

The board recessed for a few minutes and went into executive session at 2 pm.

EXECUTIVE SESSION

XIV. Adjournment
There being no further business, the meeting adjourned at 2:45 p.m.

Approved at August 7, 2004 meeting.

Respectfully submitted,

Susan Olberding
Secretary to the Board