July 30, 2008
Dear KHSU Supporters,
Because I cannot be at the next community advisory group meeting, I read the recent emails and newspaper articles to anticipate some of your questions and provide responses via a Question and Answer format.
Is KHSU planning to cancel Democracy Now? No. Democracy Now enjoys above average financial support and has a relatively large audience. While we obviously cannot commit to any show forever, we expect Democracy Now to be on KHSU for many years to come.
Does Vice President Rob Gunsalus want to cancel Democracy Now? Unfortunately, my questions and personal opinions about the show have been misinterpreted. Many people question the use of tax dollars to support a show that often seems to be very one-sided. I discussed these concerns with the General Manager about six months ago, but after she showed me the level of financial support the show enjoys, I made it clear to her that the show should not be canceled. Democracy Now attracts enough in donations to nearly cover the costs of the program, attesting to its appeal to many listeners.
How are programming decisions made at KHSU? The practice for evaluating programming has not been very rigorous or professional. There has been no systematic monitoring of ratings or revenue associated with particular shows, and no willingness to make decisions about the difficult to measure - yet plainly recognizable - quality of existing or prospective shows. Going forward, the station must do a better job with this important process.
KHSU is the most listened to radio station in the region, so why does it need tax-payer support of as much as $250,000 per year, and free taxpayer provided space and utilities? Public Radio is an important part of civic life and HSU is proud to provide this service to the region. However, the station must continue reducing its dependency on direct tax dollars. While free space and utilities will be provided for the foreseeable future, the direct subsidy has been declining. Last fiscal year (2007-2008) the subsidy was about $170,000. This will be reduced by $20,000 per year until it reaches $100,000, when another evaluation will be made. This is better than the unpredictable and fluctuating tax support the station received over the last several years. The station’s next manager will need to provide the business acumen, energy, and leadership to leverage these funds and increase private support so that they are commensurate with similar stations as well as KHSU’s dominant position in the local market.
How can HSU be providing any of its general fund budget to KHSU at a time when instructional and student support programs are being reduced? Serving the local region is an important part of the mission of Humboldt State University, and KHSU is a very good way of doing that. The station has a broad audience and loyal supporters who partner with the University to provide this service. The reductions in tax support for the station are directly related to a desire to preserve the University’s primary mission of teaching and learning, and also directly related to the reductions in tax support for the University. Can anything be done about the declining funding for KHSU? Yes. First, consider increasing or making contributions as an individual, or if you are a business proprietor, consider underwriting the station - a great business decision that will attract more customers. Many stations just like KHSU receive no general tax support from an oversight organization like HSU, and yet are self-sustaining financially. They do this by relying on the support of listeners and underwriters, and by careful management of their operations. Second, supporters of the station can contact our local state legislators and encourage them to restore Humboldt State University’s budget and protect it from further cuts. They can be contacted at:
Senator Pat Wiggins
State Capitol, Room 4081
Sacramento, CA 95814
Phone: (916) 651-4002
Fax: (916) 323-6958
Assembly Woman Patty Berg
State Capitol P.O. Box 942849
Sacramento, CA 94249-0001
Tel: (916) 319-2001
Fax: (916) 319-2101
Why isn’t KHSU used as a teaching tool with more involvement by students? While there has been minimal student involvement at the station, there has not been nearly as much as one would find at other, similar university stations. I hope to see an increase in student involvement in the future.
Were KHSU Funds transferred to the University? HSU has the same type of oversight of KHSU funds that it always has. For many years KHSU kept a cash balance of more than $300,000 in an account with the HSU Sponsored Programs Foundation that earned zero interest. The decision not to place some of that money in interest bearing accounts and investments has cost KHSU tens of thousands of dollars. I directed the General Manager to place a portion of those funds in a Sponsored Program Foundation savings account that earns 3 to 4 percent interest annually, and another portion in a long-term investment account managed by the HSU Advancement Foundation. Both the HSU Advancement Foundation and the Sponsored Program Foundation are auxiliaries of HSU that have oversight boards and receive annual audits. These funds remain under the control of KHSU, but now they are earning interest that will bring KHSU thousands of dollars each year. This was a simple and obvious step in managing the finances of the station
What is happening with KHSU’s donor data base and gift processing? For many years KHSU has been paying thousands of dollars annually for software back-up and maintenance. The computer hardware used for data management is dated, and while the KHSU database has been backed up regularly, the back-ups have been done on-site instead of using much more secure off-site back-ups. And Glennda Crouch Carlberg, the membership coordinator who was managing the database, recently left for a new job. In addition to these concerns, several years ago, the HSU auditors directed the University to channel all gifts through the Gift Processing Center. This is how gifts at the University are processed, including those to units and departments like the Natural History Museum, Athletics, First Street Gallery, academic departments, etc. The Gift Processing Center handles nearly 20,000 transactions, each with multiple details, every year. KHSU had failed to meet this audit requirement. Several months ago, I decided I needed to get more involved with the operation of the KHSU database to ensure that it was well-cared for into the future. Thanks to diligent work by Glennda Crouch Carlberg, and the Advancement Services team led by Robin Bailie and Sandy Joubert Amiel, the KHSU data have now been transferred to the University’s servers and data-base software, and all gifts are now being processed through the Gift Processing Center, just like other organizations and departments at HSU. The benefits of this change are numerous. 1) KHSU will no longer be incurring software or hardware expenses related to data management, saving the station thousands of dollars a year. 2) Instead of having only one person who understands the database, KHSU has the support of four skilled database professionals. If someone is absent, someone else will still be available to provide support. Also, during the intense pledge drives, there are many people to help share the increased burden. 3) The database is now protected by the University’s security software and off-site regular back-ups. 4) KHSU is now living up to the audit requirements for gift processing. 5) The University spends thousands of dollars every year to acquire updated address, phone, and email information to communicate with alumni and donors. KHSU will now benefit from this investment.
Will KHSU donors now be solicited for contributions to the University? No, not unless the donor is an alumnus. The University asks all alumni for a contribution each year. Also, if the donor is not an alumnus, but makes contributions to other entities at HSU (the library, the football team, an academic department, First Street Gallery, the Natural History Museum, etc.) he or she may also be solicited by the entity(ies) to which they have contributed in the past. This is exactly the same as it was before the database transition.
What is the role of the Community Advisory Group (CAG) in decisions about the station? KHSU is owned and operated by the CSU Board of Trustees, which is an instrumentality of the State of California and which has delegated that responsibility to the university. The CAG, on the other hand, is not the owner of the station, but rather an advisory group that can make suggestions or recommendations, which the university can accept or reject. Over time, the role of the community advisory group has become confused, with some wrongly assuming that it had oversight that included responsibility for budget, personnel issues, programming decisions, and other operational matters. There has been some discussion of this in CAG meetings and there is a growing understanding that the primary mission of the CAG needs to be focused on fundraising, underwriting, and outreach to build listenership. Many on the CAG have been working very hard toward these ends and their efforts are greatly appreciated.
When do you expect to have someone in place as the General Manager? During the month of August I will be considering options, and I hope to have a plan by early September. Ultimately, we will conduct a search following the university’s usual process. In the meantime, Katie Whiteside and Pam Long have agreed to continue serving as co-managers of the station. They are both tremendous assets to the station and highly capable of managing the day-to-day operations as we think about options for a permanent leadership structure.
What are you looking for in the next general manager of KHSU? It will be important that the new general manager have radio experience, as well as competency in financial and operational management. It would be good if he or she knew the North Coast and had relationships in the area. The station needs a quality leader who can build on the underlying strengths of the station - a hard-working staff, dedicated volunteers, a broad and informed audience, quality programming, generous supporters, and association with a high quality University - so that the station can become financially stronger and be an even better service to the North Coast.
In closing, let me again say thank you to all who have shown interest in KHSU. I share your commitment to the station and join you in supporting it. Your contributions and underwriting support are very much appreciated. The University continues to be proud of the service KHSU provides to the North Coast and is committed to an ongoing partnership with you so that we can all continue to enjoy this great radio station.
Sincerely,
Rob Gunsalus
Vice President for University Advancement
July 22, 2008
Open Letter to the Redwood Coast Community
Dear Friends,
I’ve been looking carefully at the many questions that have come up since the July 16 announcement of Elizabeth Hans McCrone’s departure as KSHU’s general manager. It seems to have caused unfounded fear and rumors about the station’s future.
I want to put that fear and those rumors to rest.
As soon as it was possible, I met with the station’s staff and I sent a personal message to the station listserv. A press release was also sent to all local media. However, many questions have been raised since then, and I thought it would be helpful to address what seem to be the main concerns.
First and foremost: Humboldt State University is fully committed to KHSU, and will remain so for many years to come. KHSU’s license is not up for sale and the station has a bright future ahead of it as the most listened-to station on the Redwood Coast. We are proud to provide this public service to our community.
There are also no immediate plans for changes in the programming at KHSU. I cannot stress that enough. At the same time, we are constantly reviewing, revising and questioning our programming, striving to better meet the needs of our listeners. That is a necessary process if we are to remain relevant and fulfill our mission, which begins: “The mission of KHSU-FM is to educate, enrich, enlighten, and entertain people throughout Northwestern California and Southwestern Oregon by providing innovative, high quality public radio programming.”
We are exploring options for leadership of the station. Program Director Katie Whiteside and Director of Development Pam Long are assuming joint responsibility for management of the station on an interim basis. I have confidence in their abilities, and both will continue with those additional responsibilities during the transition.
We will seek to build on KHSU’s solid and continuing success. In terms of both listenership and dollars raised, the station remains number one in its market. Our initial reports show membership is up $4,260 over last year, and underwriting from individuals and businesses increased $14,000 over the last year. Listeners, businesses and local organizations provide more than half the station’s annual operating budget. For its part, in addition to space on campus and general oversight, Humboldt State provided the station with $170,500 from the general fund in 2007-08. This provided salary for the station manager and an engineer, as well as funds for supplies and equipment.
I have heard questions about the handling of KHSU’s reserves and I want to allay those concerns. Humboldt State has always had responsibility for fiscal and operational oversight for KHSU. Funds designated for KHSU have always been directed to KHSU and that will continue.
As part of my oversight of the station, I have been focused on helping it achieve a sound and sustainable financial footing. Radio stations need to maintain a sizable reserve for emergency equipment needs, long-term equipment renewal, and planning. That is why I recently directed the general manager to transfer a portion of the station’s $300,000 in reserves from a non-interest-bearing checking account. Holding the funds in that account had meant an ongoing and considerable loss of income for the station.
Now, KHSU is earning a return while still having access to funds it may need in the short term. A significant portion of the reserve is in a money market fund earning about 4 percent interest and a sizable portion is in longer-term investments for stable funding in the more distant future.
On a related note, I know there are also queries about the recent change we’ve made in handling KHSU donations. This is an administrative efficiency that will provide the station with better data support and save it money. It is solely an administrative change that applies the Advancement (external affairs and fundraising) Office’s expertise and equipment in managing donations designated to KHSU, as it does with dozens of other entities associated with the University. This takes a burden off station staff, saves the station money, and provides better data support. Underwriting responsibility remains at the station.
Hundreds of designated funds are handled just the same way at Humboldt State.
I’m always happy to share information with you about KHSU. As always, we welcome the community’s thoughts, suggestions and support as the station proceeds on a successful path forward.
Yours truly,
Robert Gunsalus
Vice President for Advancement
Humboldt State University.
Hans McCrone Departs KHSU-FM
Arcata - Rob Gunsalus, Vice President of Advancement (external affairs and
fundraising) at Humboldt State University, announced today that Elizabeth Hans McCrone, General Manager of KHSU-FM, has submitted her resignation to pursue other endeavors.
Dr. Gunsalus thanked Ms. Hans McCrone for her many years of service, not only to KHSU but also to the University. Prior to her appointment as the station's General Manager, Ms. Hans McCrone was Director of the former Office of Community Relations.
Katie Whiteside, KHSU Program Director, and Pam Long, the station's Director of Development, will share Ms. Hans McCrone's responsibilities until a successor is named.
"KHSU is the most listened to radio station on the North Coast and I know Elizabeth's many colleagues and supporters join me in expressing our appreciation for her efforts on behalf of HSU and KHSU," Dr. Gunsalus said.
Paul Mann
HSU News & Information
HSU News & Information
707 826-5105
psm7001@humboldt.edu
July 16, 2008
Email from Humboldt State University Vice President Gunsalus
Dear Friends of KHSU:
I'm writing to let you know that Elizabeth Hans McCrone contacted me this afternoon to announce her departure from the General Manager's Post. All of us appreciate the service she rendered to the station and the University, and I know you join me in extending best wishes to her in all future endeavors.
Let me give you my personal assurance that Humboldt State remains committed to KHSU during this transition period and for the future. The station's contributions to the campus and the community are known everywhere on the Redwood Coast, and it has a bright future ahead of it. The entire staff are dedicated professionals who are proud to work hand-in-hand with all of you.
Katie and Pam will share the General Manager's day-to-day responsibilities as we weigh leadership directions as the summer draws on. I'll update you as developments warrant and I look forward to working with you in the months and years ahead.
Thank you for your continuing support and loyalty to KHSU.
Sincerely,
Rob Robert Gunsalus
Vice President for Advancement
Humboldt State University
Arcata, California 95521
707.826.5101
