[Lnc-business] Agenda Item - Amend Weiner Rule

[Alicia Mattson]

Tim,

Prior to the meeting, would you calculate how much interest we would save
by continuing with the current $60,000 policy, as opposed to changing it to
$20,000?

-Alicia


On Mon, Nov 26, 2018 at 9:11 PM Tim Hagan via Lnc-business <
lnc-business at hq.lp.org> wrote:

>    I request 15 minutes on the agenda to amend the Policy Manual Section
>    2.03, Subsection 17, Office Mortgage.
>
>    The motion will be to change $60,000 to $20,000.
>
>    The subsection would then read:
>
>    17) Office Mortgage
>    It shall be the goal of the LNC to completely pay off the office
>    mortgage as quickly as possible, and in any case prior to the due date
>    of the 10-year balloon payment. Towards that end the LNC shall budget a
>    minimum of $20,000 in each odd-numbered year to pay down the principal
>    until the mortgage balance is zero. Fundraising for this specific
>    purpose shall be made a high priority. This provision does not preclude
>    additional fundraising and prepayments in even-numbered years.
>
>    We have paid down the principle enough where, if no more additional
>    prepayments are made, the balloon payment due in June 2024 will be
>    $51,900. It's possible to reduce the prepayment requirement to making
>    payments of $17,300 in 2019, 2021, and 2023 and still not have a
>    balloon payment. With our current financial situation of being below
>    the target reserve and needing to have a realistic 2019 budget, it may
>    be better to not have to divert the full $60,000 to the mortgage next
>    year.
>
>    --
>    Tim Hagan
>    Treasurer, Libertarian National Committee
>
-------------- next part --------------
   Tim,
   Prior to the meeting, would you calculate how much interest we would
   save by continuing with the current $60,000 policy, as opposed to
   changing it to $20,000?
   -Alicia

   On Mon, Nov 26, 2018 at 9:11 PM Tim Hagan via Lnc-business
   <[1]lnc-business at hq.lp.org> wrote:

        I request 15 minutes on the agenda to amend the Policy Manual
     Section
        2.03, Subsection 17, Office Mortgage.
        The motion will be to change $60,000 to $20,000.
        The subsection would then read:
        17) Office Mortgage
        It shall be the goal of the LNC to completely pay off the office
        mortgage as quickly as possible, and in any case prior to the due
     date
        of the 10-year balloon payment. Towards that end the LNC shall
     budget a
        minimum of $20,000 in each odd-numbered year to pay down the
     principal
        until the mortgage balance is zero. Fundraising for this specific
        purpose shall be made a high priority. This provision does not
     preclude
        additional fundraising and prepayments in even-numbered years.
        We have paid down the principle enough where, if no more
     additional
        prepayments are made, the balloon payment due in June 2024 will
     be
        $51,900. It's possible to reduce the prepayment requirement to
     making
        payments of $17,300 in 2019, 2021, and 2023 and still not have a
        balloon payment. With our current financial situation of being
     below
        the target reserve and needing to have a realistic 2019 budget,
     it may
        be better to not have to divert the full $60,000 to the mortgage
     next
        year.
        --
        Tim Hagan
        Treasurer, Libertarian National Committee

References

   1. mailto:lnc-business at hq.lp.org