The "Sustainable Budget" proposals -rejected by the National Finance Committee and why

The "Sustainable Budget" proposals -
why were they rejected by the National Finance Committee?

Motions presented to the Pacifica National Finance Committee on behalf of the KPFA LSB:

Motion #1: “The NFC recommends to the PNB: Spread out repayment of the unpaid central services KPFA owes Pacifica National from fiscal year 2009-2010 over the next three years – for a savings of roughly 1.25 FTEs." (Failed 1 for, 9 against).

Note: KPFA has not paid any central services to the national office since April. The national office needs central service funds in order to run the foundation and to pay our vendors such as Democracy Now and Free Speech Radio News, among others.
Spreading out the payments would be a drain on Pacifica and our excessive fulltime hours would continue to increase our debt,
We could not meet the last payroll without borrowing the money.
And we are approximately 4.65 to 10 Full Time Hours (FTEs) over budget.

Motion #2: "The NFC recommends to the PNB: Suspend KPFA’s payments to replenish the national Heath Endowment fund – for the savings of roughly 0.5 FTEs" (Fails 0 for, 10 against)

Motion #3: "The NFC recommends to the PNB: Suspend all in-person meetings of the Pacifica National Board, and return 1/5 of the of the savings to each of the five Pacifica stations, for a savings of roughly 0.4 FTEs." (Fails 0 for, 9 against)

This would require a change in the Bylaws - not a speedy process. And KPFA is out of money now!

Motion #4: "The NFC recommends to the PNB: Reduce KPFA’s Central Service Assessment by one percentage point to 18.5% in exchange for KPFA housing the Pacifica National Office." (Fails 4 for, 4 against, 2 abstentions).

Might be a good idea, but the building might not be rentable in its present condition.
1% reduction - this would not solve the current financial crisis.


These measures were considered and rejected by the National Finance Committee, which has been working with station budgets - not out of political motives but out of their expertise.
They would not solve the continuing losses at KPFA.

The paid personnel cuts were requested of all stations 2-3 years ago - KPFA agreed, but did not make them, except for a few last year.
All the other stations cut paid staff hours. All have fewer FTE's than KPFA.
For example, Los Angeles station KPFK has has a bigger signal area, is not posting massive
deficits, and does it with about 24 FTE. KPFA is currently at 30.51 and after "decimation'' as it was so hysterically described, would also be at approximately 24 FTE.

We have lost a million dollars in 24 months. We are out of money. In the last month, KPFA borrowed money from the Houston station to make its payroll, had its long distance telephone service cut off and its online archives collapse.

KPFA in 2009-2010 looks to have the largest deficit and the largest payroll in the network. Without FTE cuts, it is a failing unit and could bring down the entire Pacifica network.