NORTHWESTERN MICHIGAN COLLEGE
BOARD OF TRUSTEES
Monday, July 23, 2007, Great Lakes Campus Rm. 112

CALL TO ORDER — Chair Walter J. Hooper called the meeting to order at 6:32 p.m.

APPROVAL OF AGENDA — Cheryl Follette moved to approve the agenda.  Seconded by Ross Childs, the motion carried.

FACULTY COUNCIL REPORT – none

BOARD FINANCE AND AUDIT COMMITTEE REPORT – Chair Elaine Wood reported that the Committee did not meet in July.

BOARD STRATEGIC GOALS COMMITTEE – Chair Cheryl Follette stated that the Strategic Goals Committee did not meet in July.

BOARD POLICY COMMITTEE REPORT – Committee Chair Jay Hooper said the committee met on Monday, July 16. They reviewed some of the potential changes to the board operations and meeting agenda format that were discussed at the retreat, including changing the board committee structure and changing some oral reports to written reports.  Jay indicated trustees would talk more about this under the Discussion section of tonight’s agenda.  The committee reviewed and discussed a draft Conflict of Interest policy similar to the policy recently approved by the NMC Foundation.  Before recommending the policy to the full board, President Nelson and Karen Sabin are doing further research with legal counsel.  The next meeting will be Monday, August 13.

FOUNDATION REPORT – Cheryl Follette reported on the Foundation’s June 27 meeting.

• The Foundation Board approved the 2007-2008 Foundation budget, as well as the sale of a real estate parcel, which came to the Foundation as the result of a planned gift.  The net proceeds from the sale are expected to be in the range of $602,000 and are designated for scholarships.
• The board heard an update from Kathleen Guy on two committees formed as a result of the Foundation retreat in May 2006—the Endowment Fundraising Team and the Government Relations Task Force.  The Government Relations group is continuing to monitor progress toward the $2 million special appropriation for completion of the harbor renovation project.
• The Endowment Team has been focusing on a plan to raise endowment dollars for NMC priorities including the Dennos Museum Center and other projects as they relate to the NMC Strategic Plan.  Toward that end, Gene Jenneman announced that an anonymous gift of $1 million has been received by the Foundation toward the museum endowment.
• Kathleen announced that the 2006 Council for Aid to Education survey of philanthropic support for higher education has been concluded and the NMC Foundation is among the top ten community college foundations in the country for total dollars raised. NMC is ranked 8th—up from 15th in 2005.  Based on dollars raised per student, NMC placed 5th in the U.S. overall.  In addition, the Council for Advancement and Support of Education, a professional organization, has recognized NMC with its 2007 “Circle of Excellence” award for fundraising results.
• The NMC Scholarship Open is coming up on August 2, and we’re looking forward to a stellar day of friendly competition and NMC camaraderie on behalf of Honors Student scholarships.

FOUNDATION FINANCE AND AUDIT COMMITTEE REPORT – Ross Childs reported that at the NMC Foundation Finance & Audit Committee meeting on June 20, the Committee:

• Heard a presentation on investment performance from JP Morgan
• Investments produced a one-year return of 16.8%.
• Investments produced a year-to-date return through May 31, 2007 of 7.0%
• Moved to recommend to the NMC Foundation board acceptance of a purchase offer of $650,000 for the Deepwater Point property gifted through the estate of Richard Engstrom.  Century Asset Management marketed the property nationally, received five offers and accepted the highest offer.  Proceeds are designated for the Richard Engstrom Scholarship Fund.
• The annual audit process will begin in July with a report expected in September

BOARD CHAIR REPORT – Chair Jay Hooper deferred his comments to the Discussion section of the agenda.

PRESIDENT’S REPORT – President Nelson distributed a copy of the new NMC Service Guide to trustees and reported that 105,000 guides are in the process of going out to every mailbox in the six-county area.  He asked that trustees share with him any comments they receive about the guide.  President Nelson also reminded trustees that the August meeting will be back in Oleson Center. 
He stated that he had a good meeting with Senator Levin’s staff earlier that day regarding the WRDA bill.  The House language includes $160,000, which is enough for the Corps to finish the study.  The Senate version does not state an amount, but the final number will be negotiated in the Conference Committee.  MCCA Summer Workshop takes place next week, July 31 – August 4.  The Presidents meet Tuesday and Wednesday, and the Workshop for presidents, staff and trustees begins on Thursday morning—unfortunately the same day as the NMC Scholarship Open. 

PUBLIC INPUT – There was no public input.

CONSENT ITEMS – On a motion by Doug Bishop, seconded by Bill Myers, the following items were approved:

• Minutes of the June 25, 2007, regular meeting
• Contributions for June 2007 totaling $164,939.02
• Summary Report for General Fund Accounts as of June 30, 2007 (attached)
• Revisions to Board Policies D-500.00 and D-700.00

DISCUSSION

Board Committee structure - Trustees considered the committee structure as it relates to board work and the Carver model of policy governance. Following discussion, it was decided that rather than have Finance and Strategic Goals Committees, financial and strategic matters will come to the full board in the future, either at their first-Monday special meetings, quarterly retreats, board dinners or regular meetings.  Policy Committee will continue to function, as will ad hoc committees.  The board wants to schedule three quarterly half-day retreats and one winter overnight retreat and consider receiving written staff reports in advance of their meetings.  Karen Sabin will send potential retreat dates to trustees.  Potential topics for discussion include reports (what we want to hear) and how trustees want to interact with student groups.

Recorded by Karen Sabin