Subject: Report to trustees and housemates
Date: Sat, 06 Oct 2001 18:13:33 -0400
From: George Salzman <george.salzman@umb.edu>
To: George Salzman <george.salzman@umb.edu>
BCC: Aram Falsafi,
          Betsy Gynn,
          Carl Kurz <bnbrox@igc.org>,
          Charlie Welch <cwelch@igc.apc.org>,
          Judy Norsigian <judy@bwhbc.org>,
          Kenn Brown <kenntankerus@juno.com>,
          Mark Lasky <kronstadt@juno.com>,
          Matt Borus <mborus@world.oberlin.edu>,
          Mira Brown,
          Sanya Hyland <sarosa71@hotmail.com>,
          Paul Breneman <NoE-Mail@umb.edu>,
          "Neil J. Berman" <njberman@juno.com>,
          "Peter J. Shapiro" <pjs@shore.net>,
          Eric Entemann <eentemann@hotmail.com>,
          M.L. (deleted by request),
          K.T. (deleted by request),
          Debbie Kershner <dkershner@mindspring.com>,
          Alex Van Praagh <alex@cellspace.org>

October 6, 2001 [I'm uncertain when I'll be able to send this.]

Report to trustees and housemates:

      This note follows that of September 6[1] and the trustee gathering on September 9. The trustees present were Mira Brown, Betsy Gynn, and Judy Norsigian. Also, lawyers Neil Berman and Peter Shapiro who handled the legal work in setting up the Grassroots Infrastructure Charitable Foundation (the trust) attended, as well as Eric Entemann, one of the three partners who, with me, owns the 65-acre farm in Gill, MA.
[1] The September 6 note has an error in the last line of the third paragraph, where the figures for 2001 in the 'expenses paid' column and in the 'rents received' column were interchanged. The net income, 5,517.74, is correct and is positive.

      I'll break the report into three parts:
I. Activation of the trust to begin functioning as a charitable organization;
II. Discussion with trustees about how best to use the Cambridge property at 12-14 Laurel Street; and
III. Information about the status of the farm in Gill.

I.   In the September 6 note I wrote, "The foundation has existed legally for almost two years, but only on paper. I hope the trustees, of whom I am not one, would see fit to establish a procedure so that the foundation can actually begin to receive and disperse funds on a regular basis, and become a so-called 'charitable' foundation with IRS 501(C)(3) status." The trustees view was that they lacked sufficient guidance from me to proceed at this time in activating the trust. They suggested that we plan for another gathering this winter (when I will be in Cambridge), and that before then I write a detailed proposal for the activities I contemplate being done on behalf of the trust. I suggest Sunday, February 24, 6pm at 14 Laurel Street in Cambridge, with a potluck supper. I will draft a proposal and get it to you well before that time. Of course I'll welcome any feedback at any time.

II.   Before September 9th I talked with Aram (a trustee) about how to use the Cambridge house. I had earlier considered helping individuals who volunteer their time and energy to groups working for social change by offering them lower rents. Aram pointed to difficulties in trying to make those judgments. People's level of involvement in movement work often changes from time to time. Some other ways to help build the grassroots infrastructure are 1) to rent space in the house to a movement group (for example the South End Press) or 2) to use the house as a source of income, which could then be used to support movement needs.[2]
[2] I had estimated a net positive income this year (for the first time), but it now appears that the work this fall will cost about 7,000 more than I thought. I now expect a slight deficit in net income for 2001.

      Those alternatives seemed better. Judy, noting that the Lucy Parsons Center Building Fund is a top priority of mine,[3] suggested that income from renting the house might go there. Current rental is apparently well below market rates.[4] Probably it's reasonable to raise it somewhat, but to keep it below the market, which I think is obscene.[5] After the September 6 gathering I told my housemates I expected to raise the rent. I need to get a better idea of what is reasonable, and then to give them a few months notice of the new figure. I hope to decide on the increase not later than February.
[3] See the list, Contributions: totals for 2000, details for 2001, attached to the September 6 note.
[4] I currently get 415/month. Utility costs are shared by all occupants.
[5] A neighbor told me that a small apartment across the street with one bedroom and a small 'infant's bedroom' rents for 1,800. If true, I think it's exorbitant.

III. When thinking about the trust, my intent was to include my one-third interest in a farm in western Massachusetts. My note of May 23, 1999 said in part.
      Some thoughts on setting up an irrevocable trust for my duplex house in Cambridge and my interest in a farm in Gill, Massachusetts, referred to as the real property. These notes are preceded only by my May 12, 1997 letter to "Friends and neighbors."
      Goals:1.  To insure the use of the real property for socially constructive
                       grassroots efforts during and after my lifetime.
                  2.  To prevent the sale, mortgaging, speculation on, or any other
                        activity that negates or may negate the continuing integrity of
                        the real property or its continuing use for the purpose of Goal 1.
                  3.  To help promote, by example, development of local ecological
                        efforts oriented towards an achievable, sustainable degree of
                        community self-sufficiency and autonomy.
                  4.  To initiate formation of a communal grassroots infrastrucure
                        with a material base to provide underpinning.
My wish to deed my interest in the farm to the trust has been thwarted. I'm trying to insure the possibility that a small number of people associated with the trust, perhaps five or six, may eventually be able to live and work there as part of the grassroots infrastructure.

George