Ann Land and Bertha Henschel Memorial Fund Commission Meeting – November 18, 2020

The Ann Land and Bertha Henschel Memorial Fund Commission met on Wednesday, November 18, 2020, via teleconference at 9:02 a.m. and adjourned at 12:10 p.m. The commission approved minutes from September 30, 2020, adopted the 2021 meeting calendar, received the City Treasurer’s Annual Report, and allocated $150,000 in 2021 funding to 21 local nonprofit organizations serving impoverished and vulnerable residents of Sacramento.

Consent Calendar

• Approval of Minutes (September 30, 2020): Passed with a friendly amendment to correct the spelling of Commissioner Smith’s name. A roll‑call vote resulted in unanimous approval.

Discussion Items

• 2021 Commission Meeting Calendar: Staff noted the schedule is tentative pending citywide coordination. The commission approved the calendar unanimously by roll‑call vote.
• City Treasurer’s Annual Report & 2021 Funding Recommendations: John Colville, City Treasurer, and Stacy Hussey, Chief Investment Officer, presented. Key points:
  • Portfolio value: just under $4 million.
  • One‑year return (June 2019–June 2020): –2.7% vs. benchmark –19%. October‑to‑October return: –4.58% vs. benchmark –18%.
  • About 20% of the portfolio is in fixed income, yielding 3.67%; a 30‑year Treasury bond currently yields only 1.6%.
  • Over the life of the fund, nearly $5.8 million in dividend/bond income has been generated, with $5.8 million distributed.
  • The Treasurer recommended maintaining a $150,000 annual distribution for 2021.
  • Commissioner Leary requested earlier delivery of the report in future years. The commission voted to receive and file the report.
• 2021 Funding Allocations (Main Agenda Item, ~2 hours):
  • Staff noted that the California Attorney General’s registry website had been down since October 26, delaying verification of applicants’ charitable status. Any allocations are contingent on subsequent verification of good standing.
  • One member of the public, Tom Bush (Chair, South Sacramento Interfaith Partnership Food Closet), called in to speak, but was redirected to the applicant speaker queue.
  • Representatives from all 21 applicant organizations each gave a 2‑minute presentation describing their services and how they have adapted during the COVID‑19 pandemic. Key themes: sharp increases in demand for food, transportation, and housing support; reduced volunteer capacity; lost fundraising revenue; and the need for flexible funding to purchase PPE and pre‑packaged supplies.
  • Commissioners discussed each applicant’s proposal. Notable points:
    • Know Corporation: The application had missing dollar amounts. Commissioners debated whether to fund an organization that did not complete the application correctly. After discussion, a compromise average of $1,450 was approved ($1,000 was given in 2020).
    • The Salvation Army: Commissioner Talbot raised concerns about repeated audit findings (dated back to 2004) regarding compliance with state/federal grants. The representative responded that the organization continues to operate successfully with the California Department of Education. The commission approved the average of $6,600.
    • Commissioner Bonnewell’s absence: He had submitted funding recommendations in advance but was not present. After debate, the commission decided to include his recommendations in the averages, but to note his absence for any tie‑breaking votes.
    • Several commissioners prioritized funding for food‑related programs given the heightened food insecurity during COVID‑19.
  • After the presentations, commissioners submitted individual funding amounts. Staff calculated the average for each applicant. The commission then reviewed each average, with some adjustments (e.g., removing Commissioner Bonnewell’s outlier recommendations for certain applicants). The goal was to total exactly $150,000.
  • A substitute motion to adopt the final funding schedule (with the average amounts shown in the final spreadsheet, adjusted by $100 from Asian Community Center to balance) was made and seconded. The motion passed by roll‑call vote (7‑0).

Public Comments & Testimony

• Only one public caller was connected for Item 4: Tom Bush from South Sacramento Interfaith Partnership Food Closet. He was advised that his comments would be taken during the applicant presentation portion. No public comments were received for items not on the agenda.

Key Outcomes

• Minutes approved (with amendment).
• 2021 Commission Meeting Calendar adopted – date changes require readoption at a subsequent meeting.
• City Treasurer’s Annual Report received and filed – staff noted $144,000 was spent in FY 2019‑2020; the recommended 2021 distribution remains $150,000.
• 2021 Funding Allocations approved – total $150,000 divided among 21 organizations (final amounts available in the official meeting record). Allocations are contingent on confirmation of each agency’s good standing with the California Attorney General’s Registry of Charitable Trusts.
• Adjournment at 12:10 p.m.