End of Life Plan - Revision history

Rfs: /* Outstanding financial commitment breakdown */

2014-03-19T16:02:31Z

Outstanding financial commitment breakdown

Rfs: /* Definitions */

2014-03-19T16:01:05Z

Definitions

Rfs: /* Outstanding financial commitment breakdown */

2014-03-19T15:56:56Z

Outstanding financial commitment breakdown

Rfs: /* 6 Weeks operating expenses */

2014-03-19T15:52:30Z

6 Weeks operating expenses

Rfs at 19:37, 14 April 2012

2012-04-14T19:37:20Z

Rfs: /* Other Notes */

2012-04-13T19:22:00Z

Other Notes

Rfs: /* Annotations */

2012-04-13T18:28:43Z

Annotations

Rfs: /* Other Notes */

2012-04-13T18:27:52Z

Other Notes

Rfs: /* Annotations */

2012-04-13T18:27:29Z

Annotations

Rfs at 18:26, 13 April 2012

2012-04-13T18:26:22Z

@@ Line 106: / Line 106: @@
 ; McGuire Bros.
 : Lease (including truck parking). 4 months notice to terminate @ $7,595/month = '''$30,380'''
 ;TOTAL
 :$30,380 (estimated)

@@ Line 13: / Line 13: @@
 : Each year we should search through our files for any agreements, contracts, active grants, pending grant applications, and leases that may be in effect. These documents will be used to determine our outstanding financial commitments.
 ; Cash on hand
-: The amount of money in the Free Geek's safe, bank accounts, and all other liquid assets.
+: <s>The amount of money in the Free Geek's safe, bank accounts, and all other liquid assets.</s>
 ; Shutdown mode
 : The main activities of the organization would be redirected to terminating the day to day business of the organization, emptying the building of all hazardous and non-hazardous material. Some of Free Geek's regular activities could continue during this phase as long as they further the aim of ending the organization's activities. Sales, refurbishment, and disbursements could continue as needed, or items could be processed for recycling.
 ; Forty-two days (6 weeks) of operating expenses
-: This should typically be calculated by first determining the last calendar year's actual operating expenses and multiplying by 11.54%. Other circumstances that affect expected expenses should be taken into account if there are known and significant changes.
+: This should typically be calculated by first determining the last calendar year's actual operating expenses '''(all expenditures including cash-based cost of goods sold, but excluding non-cash expenses)'''and multiplying by 11.54%. Other circumstances that affect expected expenses should be taken into account if there are known and significant changes.
 ; Outstanding financial commitments
 : This should be determined by examining all  active grants, pending grant applications, contracts and leases and determining the amount needed to settle them. This may be the entire balance on the life of the contract, but it may be a lesser amount if there is a buy out clause in the agreement. For example, the current lease with McGuire Bearing says we can end the lease with four months notice, so four months worth of rent would be a part of the outstanding debts amount.

@@ Line 101: / Line 101: @@
 ===Outstanding financial commitment breakdown===
-;Central Electronic Alarm
+(month-to-month commitments, including anything requiring 30 days notice or less are not included).
 ; McGuire Bros.
-: Lease. 4 months notice to terminate @ $7337-7412/month = '''$29,600'''
+: Lease (including truck parking). 4 months notice to terminate @ $7,595/month = '''$30,380'''
 ;TOTAL
-:$31,820 (estimated)
+:$30,380 (estimated)

@@ Line 83: / Line 83: @@
 ===Numbers===
 ===6 Weeks operating expenses===
-;2011 Expenses
+;2013 Expenses (including COGS and excluding non-cash expenses)
-:1,194,153
+: $1,505,005 + 6,465 - 25,154 = 1,486,316
-;Cash on hand (end of 2011)
+;Cash on hand as of the end of 2013 (current assets excluding inventory)
-:$593,003
+:$590,785 - 55,743 = 535,042
 ;42 day (6 week) period:
-:$137,787
+:$171,498
 ;Outstanding financial commitment
-:$31,820 (estimated)
+:'''$31,820 (estimated)*
 ;(as operating days)
-:10
+:'''10
 ;Days cash on hand
-:181
+:131
 ;Less financial commitment
-:171
+:'''121*
-;Trigger point
-:42
+'' * (needs updating)
 ===Outstanding financial commitment breakdown===

@@ Line 6: / Line 6: @@
 ==Policy==
 Free Geek annually estimates the amount of money needed to operate and the amount of money needed to settle any outstanding financial commitments. If cash on hand drops under an amount that would cover forty-two days (6 weeks) of operating expenses and the needed amount to settle outstanding financial commitments, then Free Geek will shift to shutdown mode in order to settle all outstanding commitments and clear out hazardous e-waste from building. Free Geek's board of directors may also authorize the termination of the organization, in which case Free Geek will also shift to shutdown mode.
@@ Line 23: / Line 22: @@
 ==Annotations==
-(This part is the staff's working plan, should we need to activate the policy. It is expected to be updated from time to time as conditions change.)
+* As decided Board of Directors meeting [[Board 2008 10|October 2008]] the plan was simply "If cash on hand drops under $75,000 shift to ''shutdown mode'' to clear out hazardous e-waste from building". The board also approve a one time budget expense of $1000 to have staff to estimate/refine cost of shutdown (in 3-6 months) and policy. This work was not completed in a timely manner. We revisited the matter in 2012.
 ===Goals===
 * empty the building of all hazardous and non-hazardous material
@@ Line 74: / Line 80: @@
 :Close Tech Support and clear out machines held
 :Dissolve corporation and notify creditors.
 ===Numbers===

@@ Line 75: / Line 75: @@
 :Dissolve corporation and notify creditors.
-===Other Notes===
+===Historical Notes===
 * As decided Board of Directors meeting [[Board 2008 10|October 2008]] the plan was simply "If cash on hand drops under $75,000 shift to ''shutdown mode'' to clear out hazardous e-waste from building". The board also approve a one time budget expense of $1000 to have staff to estimate/refine cost of shutdown (in 3-6 months) and policy. This work was never completed.
 * As Free Geek has grown and changed, it has become apparent that the $75,000 trigger amount is too little. For example, Article 21 of the  [[Collective Bargaining Agreement]] requires 30 days notice of layoffs, and a shutdown would almost certainly be considered a layoff situation. $75,000 represented about three weeks of operating expenses in 2010 and 2011. Management suggests doubling this amount and re-phrasing the amount to be a formula. ''--[[User:Rfs|RfS]] 19:52, 17 March 2012 (UTC)''

@@ Line 60: / Line 60: @@
 :Press releases.
 :Inform staff of details of layoff procedure (returning keys, receiving final paychecks, etc.).
-:Date by which we cancel future classes (I recommend we start this process immediately and cancel classes two weeks after timeline starts). Inform students of cancelled class status.
+:Date by which we cancel future classes (I recommend we start this process immediately and cancel classes two weeks after timeline starts). Inform students of canceled class status.
 :Inform interns of Free Geek's status.
 :Disburse computers to volunteers who are past a certain number of Adoption or Build points?
-:Secure all records, hardcopy and electronic.
+:Secure all records, hard copy and electronic.
 :Do something about the wiki.
 :Trigger decision-making process that can't be deadlocked by blocks.
@@ Line 70: / Line 70: @@
 :Get FSA balance or equivalent to all staff who have made contributions during the affected year.
 :Trigger end-of-life beer budget emergency fund.
-:Do something about intergalactics (present and future).
+:Do something about Free Geek affiliates (FG Intergalactic) present and future.
 :Figure out how to provide verification of employment history for laid-off employees after closure.
 :Close Tech Support and clear out machines held