PRESENT:
Dennis Cavanaugh, Chair
Larry Porn, Vice Chair
Harvey Sherman, Treasurer
Solomon Johnson, Secretary

Chad Cramer, Board
Georgia Kitchen, Board
Kay Schwartz, Board
Charles Wright, Board

Call to order at 5:18pm. Chair Dennis Cavanaugh presiding.

Board nominee Scott Arnst could not attend this meeting but will attend next month's meeting.

Chad Cramer indicated that Vahid Lotfi requested his name be removed from the amazon.com link on the GFN website. Someone needs to check periodically for activity with the link. Harvey Sherman will be the name on the Amazon Associate account for the Free-Net.

Dennis Cavanaugh presented an invoice to the treasurer for GFN sympathy expression for the Jerry Austin funeral. Kay Schwartz will pay the invoice.

Kay Schwartz moved for the appointment of BKR Dupuis & Ryden to perform the annual financial review of the Genesee Free-Net at a cost not to exceed $1100. Georgia Kitchen supported the motion which carried by acclamation. Treasurer Harvey Sherman is authorized to sign the assignment letter from BKR Dupuis & Ryden.

Kay Schwartz moved that the Board authorize the treasurer to open an account at ELGA Credit Union on behalf of the Genesee Free-Net and that the Chair, Vice Chair, Secretary, Treasurer and Office Operations Chair be signers on the account and that one signature be required for checks. Georgia Kitchen supported the motion. The motion carried

The Secretary was instructed to supply Treasurer Harvey Sherman a signed copy of these meeting minutes as Board resolution to establish an account at ELGA Credit Union.

It was commented that a presentation to the Board may be available on an account option to have GFN members pay account renewal electronically through ELGA Credit Union.

Resolution for change of signers on the American Funds account OR to move that money to ELGA was tabled until next month.

MERIT Options for the Next Year:
There is confusion with respect to GFN commitment to maintain 100 modems in the MERIT modem pool. MERIT's fiscal year ends June 30. GFN's contract is paid through the end of March, 2005. GFN must pay $46,600 to MERIT by April 1, 2005 for another year of service unless GFN can modify its commitment to maintain 100 modems before June 30, 2005.

In effort to cut operating expense yet maintain reliable service, GFN would like to reduce its MERIT commitment to perhaps 55 modems and install 46 modems at GenTech. The GenTech modems would be V90 modems. Preliminary pricing from GenTech based on a 36 month agreement indicate total monthly recurrent charge of $2358 for 92 modems or four PRI's. Cost per PRI would be $390 per group of 23 modems for the phone service. The cost to operate 46 modems at GenTech would therefore be $1578 per month or $18,936 per year. The cost to operate 55 modems at MERIT would be $26,080 per year based on the current price of $38 per modem and the $1000 annual membership fee. With 46 modems at GenTech and 55 at MERIT our total annual cost would be approximately $45,016 plus the one time cost to install at GenTech ($1000.) This is approximately the same as we are currently paying to operate the 100 modems at MERIT ($46,600.) Separately, for about $300, GFN would purchase, own and maintain three (3) PRI units, each unit containing two PRI's with twenty-three (23) V90 modems each or 46 modems per unit. This would allow us to use two units for the 92 modems listed in the quote and have a unit for backup.

GenTech has indicated it would allow GFN to run tests on its equipment before it commits to an agreement or purchases PRI units. The timing of GFN's commitment with MERIT is crucial to whether GFN can proceed with a GenTech arrangement.

Chair Dennis Cavanaugh will write a letter to MERIT to update contacts for GFN and determine if GFN can negotiate for a reduction in modem support before April 1, 2005. He will request that Kenny Thomas, Chad Cramer, Harvey Sherman and Larry Porn be MERIT contacts for GFN.

Kay Schwartz expressed concern with the GenTech agreement spanning 36 months and that GFN have enough funds to cover the full contract period in case GFN develops financial difficulties. A question was raised about the viability of GenTech? Dennis Cavanaugh commented on GenTech's expansion plans, particularly with respect to wireless service. There was comment also on Montrose dial-in problems to Flint and apparent proposal by telephone company to allow Montrose residents twenty minutes per month toll free dial-in to Flint.

Harvey Sherman moved that Genesee Free-Net move forward on installing a second dial-up service at GenTech. Kay Schwartz supported the motion. The motion carried. A final comment was that we must cut our costs.

Adjournment: 6:25pm.

Next Meeting:
February 24, 2005 at 5:15 pm at the Flint Area Convention and Visitors Bureau on Water Street.

Respectfully Submitted,

Solomon T Johnson, Secretary