Mott Community College Board of Trustees Regular Meeting Monday, April 25, 2016 Room 1301 Regional Technology Center AGENDA The mission of Mott Community College is to provide high quality, accessible, and affordable educational opportunities and services that cultivate student success and individual development and improve the overall quality of life in a multicultural community.
258 I. CALL TO ORDER Board of Trustees Charles Stewart Mott Community College Regular Meeting, April 25, 2016 Volume 46 AGENDA II. III. IV. ADDITIONS TO THE AGENDA ADOPTION OF THE AGENDA SPECIAL PRESENTATIONS Outstanding Employees of the Year - Mary Gmeiner, Associate Vice President, Human Resources Special Presentation - Dr. Beverly Walker-Griffea, President V. COMMUNICATIONS VI. VII. VIII. COMMENTS FROM THE PUBLIC APPROVAL OF MINUTES Approval of Regular Meeting Minutes of March 28, 2016 247-247g INFORMATIONAL REPORTS Acceptance of Standing Board Committee Reports: 1. Personnel (Joseph, Norwood, Turner) 2. Finance/Audit (Koegel, Freeman, Snell) Other Reports: 1. 2016 Goals & Objectives Committee (Turner, Croudy, Freeman) 2. AACC Annual Convention (Snell) IX. UNFINISHED BUSINESS X. NEW BUSINESS Consent Agenda: 1.66 Treasurer s Report for March 2016 260-264 Individual Items: 1.67 Resolution to Submit Millage Renewal to Voters 265-266 1.68 Health Sciences Simulation Manikin Purchase Award 267-268 XI. ADMINISTRATIVE ITEMS President s Report 269
259 XII. XIII. MISCELLANEOUS BUSINESS Comments from Board Members EXECUTIVE SESSION ADJOURNMENT
260 FOR ACTION 1.66 Treasurer s Report for March 2016 This resolution is recommended. Be it Resolved, That Board of Trustees Charles Stewart Mott Community College Regular Meeting, April 25, 2016 Volume 46 The Charles Stewart Mott Community College Board of Trustees Receives the financial report of the College for the month of March 2016 as presented by the Administration. Reviewed and Submitted By: Date: April 25, 2016 Lawrence A. Gawthrop Chief Financial Officer Board Policy Statement Reference: 3100 Budget Adoption General: The annual budget represents the programmatic direction and vision of the College. It is also designed to meet both the legal requirements and needs of the College.
261 March Treasurer s Report Summary of Expenditures: Larry Gawthrop, CPA Chief Financial Officer April 25, 2016 Month of March Spending: General Fund: $ 5,394,647 All Other Funds: $ 12,412,521 Total: $ 17,807,168 Comments on General Fund Financial Statements: Statement of Revenues, Expenditures and Changes in Net Assets In summary, total revenues for the nine months ended March 31, were approximately $59.0 million, representing 79.1% of the annual budget, 0.9% lower than a year ago. The most significant change was in the Tuition and fees which is discussed further below. Expenditures for the nine months ended were $48.9 million, which represents 66.2% of the annual budget, compared to $51.8 million and 68.8%, one year ago. Revenues Tuition and fees revenues are $29.0 million, $2.4 million less than last year and 86.3% of the budget, down from 87.8% a year ago. This is due to the decline in enrollment. Property taxes collected are roughly $16.4 million. The amount budgeted is $17.7 million, $225 thousand or 1.3% more than the 2014-2015 fiscal year and is based on final taxable value figures provided by the Genesee County Equalization Department. State appropriations payments for FY 2015-16 are paid in eleven monthly installments starting in October. We received our sixth payment of $1.5 million as expected. The total budgeted amount for the current fiscal year is $16.0 million or $218 thousand more than last year excluding the UAAL stabilization pass-through.
262 Expenditures Salaries and Wages are roughly $25.0 million, or 68.2% of the annual budget, compared to $26.2 million and 69.7% a year ago. Fringe Benefits are at $11.3 million, or 69.9% of the budgeted amount compared to $16.9 million and 69.2% of the budget one year ago. Other Expenditures A majority of the variances in the Other Expenditure area for March continues to be a result of decreases in the utilities and insurance expenses, attributable in part to energy savings, a decrease in operations and communications due to less bad debt write-offs, and a decrease in contracted services due to budgeted reductions offset by the payments to Cenergistics for the energy rebate payments on our energy savings. Balance Sheet Total Assets are at approximately $20.3 million, down $2.5 million from last March. The largest differences are a $2.3 million decrease in Cash and cash equivalents, a $597 thousand increase in Due from/(to) other funds, and a $679 thousand increase in Accounts receivable. This increase is mainly due to a $481 increase in dual enrollment receivables. This increase is a timing difference on billing and collections. Due to/due from Other Funds result from the College maintaining one checking account for all of its funds; deposits and disbursements. This necessitates the shortterm loaning or borrowing between the funds throughout the year depending on which funds revenue or expenditures are being deposited or paid out. Each month the accounting department clears these due to s and due from s respectively assigning the activity to the proper fund. However, significant activity can occur after these transfers are completed, causing large variances when compared to the previous period. At roughly $4.0 million, Total Liabilities are down $ 4.6 million from the prior year. The most significant changes were increases in Accounts payable and a decrease in the Accrued payroll and related liabilities. The accounts payable decrease was due to a timing difference in the refunding of the student loan payments which occurred on March 20 th this year and April 15 th last year. The decrease in the accrued payroll and related liabilities was the result of having less payroll expenses than the prior year. Comments on spending from other funds: Of the roughly $12.4 million expended in the other funds $492 thousand was expended out of the Debt Retirement Fund for scheduled interest payments on our outstanding debt, $777 thousand was expenses and transfers out of the Maintenance and Replacement and Bond funds, $452 thousand in depreciation and current year fixed asset purchases/dispositions, and the remaining $10.7 million out of the Agency, Scholarships, and Federal Grants, for grant activities and student scholarships.
263 Mott Community College General Fund Statement of Revenues, Expenditures and Changes in Net Assets - Modified Accrual For the 9 Months Ended March 31, 2016 With Comparative Totals at March 31, 2015 Revenues: FY 2015-2016 Budget YTD Actuals as of 03/31/16 YTD Actuals as of 03/31/15 Actual to Actual $ Change Actual to Actual % Change Tuition and fees $ 33,665,891 $ 29,057,389 $ 31,463,270 $ (2,405,881) -7.65% Property taxes 17,663,093 16,371,831 16,276,294 95,537 0.59% State appropriations 16,013,955 9,072,107 8,921,067 151,040 1.69% State appropriations - UAAL Passthrough 3,148,057 1,430,934 1,188,055 242,879 20.44% Ballenger trust 1,942,482 1,454,511 1,418,585 35,926 2.53% Grants and other 1,750,196 1,275,740 1,173,321 102,419 8.73% Total revenues 74,183,674 58,662,512 60,440,592 (1,778,080) -2.94% Expenditures: Salaries and wages 36,583,235 24,966,827 26,152,695 1,185,868 4.53% Fringe benefits 16,132,571 11,274,552 11,705,859 431,307 3.68% Fringe benefits - UAAL Passthrough 3,148,057 1,430,934 1,188,055 (242,879) -20.44% Contracted services 5,968,980 3,428,720 3,661,454 232,734 6.36% Materials and supplies 2,386,496 1,330,891 1,457,032 126,141 8.66% Facilities rent 204,625 158,605 154,105 (4,500) -2.92% Utilities and insurance 2,663,817 2,107,283 2,219,338 112,055 5.05% Operations/communications 5,063,517 3,404,936 3,911,552 506,616 12.95% Transfers out 1,645,246 750,744 1,165,878 415,134 0.00% Equipment and Improvements 137,130 87,093 189,364 102,271 54.01% Total expenditures 73,933,674 48,940,585 51,805,332 2,864,747 5.53% Net increase/(decrease) in net assets 250,000 9,721,927 8,635,260 1,086,667 12.58%
264 Mott Community College General Fund Balance Sheet - Modified Accrual March 31, 2016 With Comparative Totals at March 31, 2015 As of As of March 31 March 31 $ 2016 2015 Change Assets Current Assets Cash and cash equivalents $ 20,041,404 $ 22,349,730 $ (2,308,326) Due from other funds (1,072,475) (475,685) (596,790) Accounts receivable - net of allowance for uncollectible accounts ($4,939,027 for 2016 and $4,529,594 for 2015) 1,172,483 493,151 679,332 Inventories 74,972 48,024 26,948 Prepaid expenses and other assets 88,109 355,592 (267,483) Total Assets $ 20,304,493 $ 22,770,812 $ (2,466,319) Liabilities and Net Assets Current Liabilities Accounts payable $ 527,279 $ 4,385,209 $ (3,857,930) Accrued payroll and related liabilities 989,865 1,647,988 (658,123) Deposits held for others 13,832 14,932 (1,100) Other accrued liabilities 177,218 151,457 25,761 Total Current Liabilities 1,708,194 6,199,586 (4,491,392) Accrued termination pay 2,267,031 2,332,096 (65,065) Total Liabilities 3,975,225 8,531,682 (4,556,457) Net Assets Unrestricted 16,329,268 14,239,130 2,090,138 Total Net Assets 16,329,268 14,239,130 2,090,138 Total Liabilities and Net Assets $ 20,304,493 $ 22,770,812 $ (2,466,319)
265 FOR ACTION Board of Trustees Charles Stewart Mott Community College Regular Meeting, April 25, 2016 Volume 46 1.67 Resolution to Submit Millage Renewal to Voters At a regular meeting of the Board of Trustees of Charles Stewart Mott Community College, Genesee County, Michigan (the Community College ), held on the 25 th day of April, 2016. The following resolution was offered by and seconded by. BE IT RESOLVED BY THE BOARD OF TRUSTEES OF CHARLES STEWART MOTT COMMUNITY COLLEGE, GENESEE COUNTY, MICHIGAN, as follows: 1. The Community College is a community college district operating under Act 331, of Michigan Public Acts of 1966, as amended. 2. It is necessary and expedient to provide funds for Community College purposes as described in the MILLAGE RENEWAL set forth in paragraph 3 of this resolution; to pay the cost thereof through a 0.6410 mill renewal of the tax to be assessed against taxable property within the Community College district for a period of 10 years; and to submit a proposition relative thereto to the electors as hereinafter provided. 3. The following proposition shall be submitted to the electors of the Community College district at the Primary Election to be held on Tuesday, August 2, 2016: MILLAGE RENEWAL PROPOSITION Shall the previous voted increase in the limitation on the amount of taxes that may be levied by Charles Stewart Mott Community College, Genesee County, Michigan, against all property in the community college district be renewed for a total of 0.6410 mill (which is equal to $. per $1,000 of taxable value of real and tangible personal property), for a period of 10 years, 2018 to 2027, inclusive, to provide funds for community college purposes? If the 0.6410 mill increase is approved it is estimated that the college will collect approximately $5.7 million of revenue in the first calendar year it is levied. The proposed millage is a renewal of a previously authorized millage. 4. The President or her designee is authorized and directed to file a certified copy of this resolution with the College s Election Coordinator (the Genesee County Clerk) or his designee. 5. The Chairperson, Secretary, and Assistant Secretary of the Board of Trustees, and the Chief Financial Officer of the Community College are authorized to do all other things that are necessary or convenient to assist the Election Coordinator.
266 YEAS: NAYS: ABSENT: STATE OF MICHIGAN) )ss COUNTY OF GENESEE) I, the undersigned Assistant Secretary of the Board of Trustees of Charles Stewart Mott Community College, Genesee County, Michigan, hereby certify that the foregoing is a true and complete copy of a resolution duly adopted by the Board of Trustees at a regular meeting held on the 25 th day of April, 2016, the original of which resolution is on file in my office. I further certify that notice of said meeting was given in accordance with the provisions of the Open Meetings Act. Assistant Secretary, Board of Trustees Charles Stewart Mott Community College
267 FOR ACTION Board of Trustees Charles Stewart Mott Community College Regular Meeting, April 25, 2016 Volume 46 1.68 Health Sciences Simulation Manikin Purchase Award In order to continue our progress using simulators as part of our training for all Health Science programs and utilizing funding with the Carl Perkins grant, Mott Community College will be purchasing one SimMan ALS Manikin patient simulator, to be integrated into all Respiratory Therapy laboratory course work, throughout all five semesters in the program. The addition of the simulation component will move Respiratory labs into the realm of application and clinical decision making and foster critical thinking in a safe, practice setting prior to the student entering the clinical setting with real patients. In fiscal years 2012 and 2013, members of MCC s Health Sciences faculty chose Laerdal Medical Corporation s SimCenter simulation technology after an extensive review of all simulation manufacturers. The selection of SimCenter was documented at that time and approved by MCC s Board of Trustees. The new SimMan ALS Manikin will complement the existing SimMan systems college wide. Laerdal Medical Corporation is the sole manufacturer and distributor of SimCenter. The Purchasing Department will purchase one (1) SimMan ALS Manikin and accessories from Laerdal Medical Corporation. Based on the above information, the following resolution is recommended. Be it Resolved, That The Charles Stewart Mott Community College Board of Trustees Awards the purchase for SimMan ALS to Laerdal Medical Corporation, 167 Myers Corners Rd, Wappingers Falls, NY 12590, for a cost in the amount of $74,578.79 [seventy-four thousand, five hundred seventy-eight dollars and seventy-nine cents]. Reviewed and Submitted By: Date: April 25, 2016 Dr. Amy Fugate Vice-President, Academic Affairs Board Policy Statement Reference: 4410 Purchasing General: Purchases should be based on quality and price. Qualified vendors should have the opportunity to bid on College purchases. This policy is established to ensure that sound business practices are followed in the purchase of furnishings, equipment, materials, goods and supplies.
268 VENDOR Laerdal Medical Corporation 167 Myers Corners Road Wappingers Falls, NY 12590 Health Sciences Simulation Manikin-Purchase Award Sole Source BID SimMan ALS Manikin and accessories ($74,578.79) JUSTIFICATION Laerdal Medical Corporation is the sole source of the Laerdal SimCenter. SimCenter, broadly defined, is an integrated management system comprised of 5 fully integrated components that enable users to: Manage simulation centers/in-situ simulation areas (resources, assets, patient simulators etc.) Manage simulation learning activities/documents (events, pre-work, assessments, evaluations, documents etc.) Capture, manage, evaluate and research simulation debriefing files and video Create simulation scenarios/content and make these available in an easy fashion Manage purchased, authored and shared content
269 President s Report Regular Board of Trustees Meeting April 25, 2016 1. Executive Summary 2. Introduction of New Hires 3. Upcoming Dates: ***** April 28, 2016 April 30, 2016 May 12-13, 2016 May 23, 2016 June 22, 2016 June 27, 2016 July 27-29, 2016 Law Enforcement Regional Training Academy (LERTA) Graduation, 10 a.m., Event Center Graduate Honors Reception, 6:00 p.m., Genesys Conference and Banquet Center Pre-Commencement Brunch, 11 a.m., Presidential Conference Center Commencement, 2 p.m., Dort Federal Credit Union Event Center (Trustees Report by 1 p.m.) Mott, Motown, & More, Lip Sync Show, 7 p.m., Mott Memorial Building Auditorium Board Semi-Annual Retreat, 12 p.m., Presidential Conference Center Finance/Audit Committee, 12 p.m., CM1019 Personnel Committee, 4 p.m., CM1019 Board Dinner, 5:45 p.m., RTC1107 Committee of the Whole, 6:30 p.m., RTC1301 Board Meeting, 7:30 p.m., RTC1301 MCCA Trustee Institute and Summer Workshop, Mission Point Resort, Mackinac Island