NORTHWESTERN MICHIGAN COLLEGE
BOARD OF TRUSTEES
Monday, june 4, 2007, Oleson Center

CALL TO ORDER — Chair Walter “Jay” Hooper called the special meeting to order at 6:05 p.m.

APPROVAL OF AGENDA — Elaine Wood made a motion to approve the agenda.  Seconded by Doug Bishop, the motion carried.

EMPLOYEE OF THE SEMESTER – Bill Hendry introduced Jennifer Metcalf, Associate Supervisor of Residence Life, as the Employee of the Semester for Spring 2007.  Reading from nominations, Anne Monroe stated that Jennifer “is an excellent example of keeping learning at the center.”  “Jennifer has stepped up to take on the responsibilities of three professional positions in housing this year, with the highest level of professionalism, and exhibits grace and kindness under this pressure.”

PUBLIC INPUT – There was no public input.

MCCA STRATEGIC PLAN – President Nelson noted MCCA did not have a strategic plan before now, and Executive Director Mike Hansen was charged with making this happen over the past year.  MCCA is playing a more active role in the State, helping legislators understand the value of community colleges, particularly in challenging economic times.  The biggest challenge the MCCA will have is when one institution takes a position on an issue that MCCA has not taken.  Bill Myers asked how trustees will be kept up to date on MCCA progress on the stated goals.  Tim responded that he and Bob Brick receive updates.  Tim will automatically forward the information on to trustees when they receive it, and quarterly updates will be provided as reports at board meetings.

BUDGET – Cathy Jones, Vice President of Finance and Administration, presented the proposed budget for 2007-08. Ms. Jones said the budget reflects the true reality of college spending, and is based on conservative revenue projections along with cost reductions. Among the highlights:

• An overall 4.14 percent increase in revenue. Previously approved tuition increases will enable students to take advantage of the Michigan Tuition Tax Credit. State and federal funding have been kept level. Revenue from property taxes is expected to increase 6 percent over the current year.
• An overall 4.6 percent increase in expenses. This includes an overall increase in salaries and wages of 3.6 percent (the Total Compensation Committee request was approved at the previous meeting), and a 7.1 percent increase in benefits. It also includes $615,000 for capital improvements to help maintain facilities.

President Nelson reported on budget activities around the state. He said four-year schools have yet to set tuition for the coming year, and some community colleges are considering revising their tuition rates, some for fall ’07 and some for spring ‘08, due to State funding issues.  Tim stated that Planning and Budget Council is working on developing two budget scenarios for the college, in case deferred state payments to the College become permanent.  One scenario reduces state funding by $450,000 and the other by $900,000.

Following questions and answers regarding particular line items, Trustees said the budget was well-prepared and well-planned.  The board will discuss guidelines for additional detail on particular line items at their next retreat.  Ross Childs expressed appreciation for the trend analysis of exceptions. Cathy Jones thanked the administration, budget managers, Planning and Budget Council and Tim for guiding the process.

President Nelson said that the State will not have a budget for the next fiscal year before October ’07.  As the environment changes, NMC will make changes to the budget internally.  Funds have been set aside to help us through this.

ADJOURNMENT – The meeting was adjourned at 7:15 p.m.

Recorded by Karen Sabin