SPE GCS Kickoff Meeting

1
SPE GCS Kickoff Meeting

• August 20, 2004

2
Treasury Contacts

• Treasurer
• Roger Hite
• Phone [phone]
• Cell [phone]
• hite_at_business-fundamentals.com
• Vice Treasurer
• Art Schroeder
• Phone [phone]
• Cell [phone]
• art_at_EnergyValley.net
• FAX [phone]

Section Liaison - Melissa Schultea Phone
[phone] x 610 mschultea_at_spe.org Fax
[phone] Administrative Assistant Lizbeth
Ortiz Phone [phone] x 613 lortiz_at_spe.org
Accountant Vicki Rau Phone (281)
587-1874 jrau_at_houston.rr.com
3
GCS Cash Reserves
2001
2002
2003
2004
4
GCS Assets
(The values for Mutual Funds are Book Value, not
Market Value.)
5
GCS Cash Reserves
GCS Accounts July 31, 2004 Money Market
Funds 194,757.98 Mutual Funds
162,831.69 Total Reserves 357,589.67
6
Gulf Coast Section Budgets

• Budgets
• All budgets have been approved by the GCS Board
• A list of approved budgets follows
• Selected major events / expenditures are included
  as Contingent-In-Budget
• Need Board review before major expenditures begin
• This allows Board to exercise its fiduciary
  responsibilities
• Also allows Study Groups / Committees a chance to
  brag about accomplishments
• Event plans must provide for revenue gt 120 of
  expenses
• A list of Contingent-In-Budget events /
  expenditures follows

7
GCS 2004-5 Budget

• Approved Budgets
• Income Expenses Net Income
• Total -
• Gulf Coast Section 1,474,956 1,342,895
  132,062
• Board -
• Board of Directors 10,800 53,460
  (42,660)
• Officers -
• Career Management 30,175 38,339
  (8,164)
• Community Services 5,500
  19,050 (13,550)
• Membership 15,000 17,000
  (2,000)
• Social Activities 5,100
  5,400 (300)
• Technology Transfer 0
  10,400 (10,400)

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GCS 2004-5 Budget

• Approved Budgets
• Income Expenses Net Income
• Committees -
• Continuing Education 30,200 25,230
  5,010
• Emerging Leaders 53,500 51,060
  2,040
• ESP Workshop 134,925 112,000 22,925
• Newsletter 258,000 198,400 59,600
• Publicity 0 1,570
  (1,570)
• Scholarship 15,000 86,000 (71,000)
• Web Technology 57,000 57,060
  (60)
• Social Activities -
• Golf 210,000 168,600 41,400
• Racquetball 2,500 1,765
  735
• Sporting Clays 150,000 99,650 50,350
• Tennis 20,100 16,800 3,300

9
GCS 2004-5 Budget

• Approved Budgets
• Income Expenses Net Income
• Study Groups -
• Business Development 17,583 14,626
  2,957
• Completions Production 10,500 8,040
  2,460
• Digital Energy 167,100 139,322 27,778
• Drilling 25,450 19,967 5,484
• Facilities 97,523 71,645 25,878
• General Meeting 34,835 29,318
  5,518
• International 16,275 13,500 2,775
• Northside 13,860 9,893 3,968
• Permian Basin 8,715 6,770
  1,945
• Petro-Tech 18,275 14,375 3,900
• Reservoir 16,500 12,648 3,852
• Safety Environmental 30,250 20,113
  10,137
• Westside 20,250 14,895 5,355

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GCS Revenue / Expenses
11
GCS Cash Reserves
2002
2003
2004
2005
12
GCS 2004-5 Budget

• Contingent-In-Budget Expenditures
• Income Expenses Net Income
• Board -
• Board of Directors
• SPE Foundation 0 10,000
  (10,000)
• Officers
• Technology Transfer
• Dec Educ Course 0 5,000
  (5,000)
• June Educ Course 0 5,000
  (5,000)
• Committees
• Emerging Leaders Program
• Young Ldrshp Wrksp 15,000 13,000
  2,000
• ESP Workshop
• ESP Workshop 134,925 112,000 22,925
• Scholarship
• Archie Donation 0 10,000
  (10,000)

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GCS 2004-5 Budget

• Contingent-In-Budget Expenditures
• Income Expenses Net Income
• Social Events
• Golf
• Tournament 210,000 168,600 41,400
• Sporting Clays
• Team Shoot 150,000 99,650 50,350
• Study Groups
• Facilities
• March TBD 24,500 17,500 7,000
• June TBD 24,500 17,500 7,000
• Drilling
• April TBD 11,500 6,528 4,972
• Safety Environmental
• June TBD 15,000 7,100 7,900
• PetroTech
• July TBD 0 0
  0

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Monthly Performance

• Performance Tracking
• Every month the Board will compare actual
  revenue, expenses and net income relative to the
  approved budget.
• The Treasurer will attempt to have a ready
  explanation for any major deviations
• This is often a matter of timing for income and
  expenses and is easily explained
• Your Treasurer would appreciate your keeping me
  informed of any significant changes
• Copies of actual PL reports for each study group
  / committee are available from Vicki Rau
• Vicki has volunteered to help answer any questions

15
Monthly Performance
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Treasury Procedures

• Checking Account
• The Gulf Coast Section has only one checking
  account
• Our Paine Webber account manager is Pat Shinn
  (since 4/98)
• This account is for use by all study group /
  committee activities in keeping with approved
  budgets
• All deposits and payments flow through this
  account

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Treasury Procedures

• At the Event
• Best to have 2 people help with registration,
  more for larger events.
• Payment can be by cash, credit card or check to
  SPE or SPE GCS
• Hint Have 100 in 5 bills for change
• Credit card forms must be COMPLETELY filled out
  name, phone number, email address, card type,
  billing address for card, card and expiration
  date the SPE GCS office will enter these into
  the spegcs.org web site later for processing
• WE DO NOT TAKE DISCOVER CARDS
• Invoice authorization
• Review approve invoices (Number of attendees,
  no sales tax)
• Make sure billing is directed to you (Study Group
  Treasurer and NOT the SPE office or section
  treasurer or vice treasurer)
• Utilize all cash received to pay event charges
  e.g., hotel or club check
• Get receipts for cash payments and submit with
  event report

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Treasury Procedures

• Deposits
• Recommended price for Study Group lunches is 30
  for pre-registered members and 35 for all others
• Use any cash payments to offset invoice from
  venue
• Best not to handle cash if possible
• Write personal check for any cash balance
• Deposits should be handled by SG / Committee
  treasurer
• Mail check deposits to Paine Webber
• Deposit slips have been provided to you
• Please add the date and study group / committee
  name
• Use envelop provided to mail to PWs Eldridge
  office, attention Pat Shinn
• Paine Webber will date stamp deposit slip when
  received
• Deposit slips will be returned to Melissa
• Vicki Rau assigns deposits to study group /
  committee accounts
• Unassigned deposits will be recorded in separate
  account and not credited to your Study Group /
  Committee

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Treasury Procedures

• Invoice Payment
• Use cash payments to offset invoice from venue
• Best not to handle cash if possible
• SPE is a non-profit 501(c)(3) organization.
  Please make sure vendors do not include sales tax
  in invoices.
• Invoices should be handled by SG / Committee
  treasurer
• Send invoices along with supporting material to
  GCS Treasurer or Vice-Treasurer
• Event Report Form (including cost of speaker
  gifts)
• Event Report Detail Form (with a list of checks
  to be paid and to whom)
• Invoice(s)
• Any supporting material to justify / confirm need
  for a check
• Personal reimbursement requests must be
  accompanied by restaurant bill, invoice, and
  personal credit card slip or vendor statement.
  Personal property may not be sold to the Gulf
  Coast Section.

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Treasury Procedures

• Invoice Payment (Continued)
• Treasurer or Vice-Treasurer will authorize
  Melissa to prepare checks
• Checks are signed by GCS Chairman, Vice-Chairman,
  Treasurer or Vice-Treasurer
• Checks under 1500 require one signature. Checks
  over 1500 need two.
• Melissa will mail signed checks to vendors, etc.
• Our policy is payment within 30 days.
• Roger and Art will usually approve check requests
  within 3 business days
• Melissa Schultea will process checks (turnaround
  usually one week), typical time from submission
  to Roger and Art to check mailing is 10 to 15
  business days. Contact treasury ASAP if a check
  is needed sooner than 10 to 15 business days.
• Provide special payment handling instructions
  with invoices (e.g., hold for personal pickup,
  check must be received by, call when ready, etc.)

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Treasurer Liaisons

• Board of Directors
• Career Management
• Community Services
• Continuing Education
• Newsletter
• Scholarship
• Golf
• Sporting Clays
• Tennis
• Drilling
• Facilities
• Northside
• Permian Basin

Membership Programs Social Activities Technology
Transfer Emerging Leaders ESP Workshop Publicity W
eb Technology Racquetball Business
Development Completions Production Digital
Energy General Meeting International Petro-Tech Re
servoir Safety Environmental Westside
Treasurer (Roger Hite)
Vice-Treasurer (Art Schroeder)
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Treasury Procedures

• Credit Card Forms
• Members should be encouraged to pay online
• Those that dont can pay by cash, check or credit
  card authorization form at the door
• Credit card authorization forms should be sent to
  Melissa for processing
• She or Lizbeth will use the data provided to
  enter registrations online using the spegcs.org
  web capabilities
• To minimize risk of identity theft, please handle
  credit card forms carefully
• Keep copies for your own records
• Send e-mail to Melissa or Lizbeth that you are
  mailing the forms to the SPE Office
• When receipt of the forms is verified by return
  e-mail, destroy your copies
• Please do not send copies to the GCS Treasures or
  Vice-Treasurer

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SPE GCS Policies

• Alcohol
• SPE GCS will not pay for alcohol at meetings
• Conflict of Interest
• The Fundamental Principle
• The engineer as a professional is dedicated to
  improving competence, service, fairness, and the
  exercise of well-founded judgment in the practice
  of engineering for the public, employers, and
  clients with fundamental concern for the public
  health and safety in the pursuit of this practice
  
• By-Laws
• Our Mission
• Providing forums that afford members the
  opportunity to upgrade and maintain professional
  competence.
• Providing social interaction that increases
  member participation in Section activities as a
  whole, while striving to maintain the integrity
  of the Section.
• Supporting programs in area primary and secondary
  schools to encourage students to develop their
  abilities in mathematics, science, and
  engineering.
• Supporting engineering programs at the university
  level.
• Enhancing the image of the Oil and Gas Industry
  by sponsoring community service programs.