Subject: Gathering of Trustees Feb 24
Date: Thu, 10 Jan 2002 20:41:22 -0700
From: George Salzman <george.salzman@umb.edu>
To:  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,
        Paul Breneman <No_e-mail@anywhere>,
        Sanya Hyland <sarosa71@hotmail.com>
CC: M.L. (deleted by request),
        K.T. (deleted by request),
        Debbie Kershner <dkershner@mindspring.com>,
        Alex Van Praagh <avpraagh@annbeha.com>

January 10, 2002, Oaxaca [To: Trustees, CC: Housemates]

      This note follows my October 6, 2001 report to trustees and housemates on the trustee gathering of September 6, 2001. It is for several purposes.

I. I want to invite you (the trustees) to a gathering on Sunday, February 24, 6pm at 14 Laurel Street in Cambridge, for a potluck supper and a discussion on activating the trust.

II. I'll begin by explaining my motivation for wishing to activate the trust.

A) I think it's desirable for the trustees to participate in managing the Cambridge property, and in activities appropriate for the Grassroots Infrastructure Charitable Foundation (the trust) while I am still alive and legally competent. Although so far as I know I am in good health, and hope to maintain legal responsiblity for another 20 or so years, one is never sure, and I am 76. It's good to be prepared.

B) I think it's desirable for the trust to exist not only legally, but to really be a working charitable foundation, which will enable it to gain IRS 501C3-tax-exempt status. This entails making appropriate awards and grants. My motives for suggesting this are partly principled, partly personal:

1)  I am committed to building a real, broadly-based material grassroots infrastructure.[a] I hope some others in the neighborhood (and beyond) may follow suit, finding appropriate ways to move their resources from the capitalist infrastructure to the grassroots infrastructure. By activating the trust, it will become a more visible example of one possible way to do this.
[a] Details in the note, Building a Global Grassroots Infrastructure-5, Mutual Aid and
      Mutual Trust, at <http://indymedia.org/front.php3?article_id=111934 >.

2)  It will provide a convenient locally-based option for other neighborhood property owners who wish to use it, encouraging the organic growth of a solid local community, even if they are not prepared at this time, or ever, to deed their property to this or another trust.

3)  It can be a vehicle by which neighbors undertake neighborhood improvement projects under the tax-exempt auspices of the trust, enabling individuals to make tax-exempt contributions to projects to benefit their own community.

These are the principled reasons. In addition, I have personal reasons:

1) Foremost, I think, is my desire to free myself from total responsibility for deciding on, and making, charitable contributions from my retirement income. Despite having substantially reduced the number of groups to which I contribute, from 115 in 1998 to 40 in 2001,[b] it still takes a lot of effort.
[b] In 1998, 115 groups; in 1999, 73 groups; in 2000, 40 groups; in 2001, 40 groups. The
      number of checks is larger than the number of groups: in 1998, >115 (data in
      Cambridge); in 1999, 84 checks; in 2000, 55 checks; in 2001, 56 checks. Contributions
      totalled 25,760 in 1998; 40,731.90 in 1999; 45,109 in 2000; and 50,570 in 2001. Records
      for the last three years are attached as MSWord 97 documents in rich text format
      (rtf). Each lists the total contribution to each group the previous year, and the date
      and amount of each check to each group in the then-current year. Also included are
      groups to which I contributed in earlier years and thought I might contribute to
      again, i.e. whose names I wasn't ready to remove from the list.

2) Separate from retirement income is the potential property income.[c] I would like to gradually transfer responsibility to the trust for making decisions about the best use of the property. For example, what is a reasonable rent to charge, determined not by the market but by the goals of building a grassroots infrastructure, and being fair to my housemates, the renters?
[c] I estimated (on 9/6/01) net income of 5,517.74, revised it (on 10/6/01) to "a slight
      deficit". The final tally: rents, 21,867.50; expenses, 22,114.72; 'deficit' of 247.22. The
      record of rents and expenses is attached, also in rtf. I put 'deficit' in quotes to
      remind myself that I don't pay rent when I use my room.

III. Here are my proposed steps suggested for activating the trust.

A. The trustees appoint a committee

1)  to oversee management, together with me, of the property, and

2)  to establish guidelines for charitable contributions from income to the trust.

B. The trustees hire a consultant to be responsible for

1)  maintaining records,

2)  receiving and disbursing funds,

3)  filing the required IRS documents, and 4) reporting on a regular basis to the trustee committee and to me.

C. The consultant's fee be paid from trust income.

IV. I want to report on what has happened with the farm, as it may relate to the trust.

      If there is other information you would like to have before the February 24th gathering, I'll try to provide it promptly. I hope you can come. I would appreciate it if one of you could telephone Paul Brenneman, who does not have e-mail, and let him know. His phone is 617-868-3332. I'll mail a copy of this to him, but just today I got a letter that Elisabeth Linder mailed in Portland, OR on December 5th. So I'm not sure he'll get it before Feb 24. Delivery times can be short, but are unreliable. Hoping to see you soon,

George
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Contributions1999.rtf
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Contributions2000.rtf
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Contributions2001.rtf
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Haus2001.rtf
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Subject: Correction of earlier e-mail
Date: Fri, 11 Jan 2002 00:17:19 -0700
From: George Salzman
To: [same recipients as the above message went to]

The attached file, Haus2001.rtf, is incorrect because it does not contain the rent payments for September, which, for three people, came to 1,245. The total rents received, including those for Sept, came to 21,867.50. The figure used in footnote [c] is correct.