Board of Trustees - NMC · Date: May 8, 2015 Subject: Enrollment Update – Summer/Fall 2015 _____ Summer 2015 Enrollment Registration statistics indicate a projected 0% increase/decrease

1701 East Front Street

Traverse City, MI 49686

(231) 995-1010

[email protected]

Board of Trustees www.nmc.edu/trustees

Meeting Agenda Monday, May 18, 2015

at Oleson Center, 1881 College Drive

5:00 p.m. Board Photo

5:30 p.m. Regular Meeting

I. GENERAL BUSINESS

A. Call to Order

B. Roll Call

C. Oath of Office for Trustee Chris M. Bott

D. Pledge of Allegiance

E. Review of Agenda and Approval of Additions, Deletions, or Rearrangements

II. REPORTS (Most reports are also provided to the Board in their materials packet, which can be

accessed on the nmc.edu Board of Trustees website.)

F. Program Focus—Alumni Program—Betsy Coffia, Director of Alumni Relations

G. Enrollment Report—Cathryn Claerhout, Director of Admissions

H. Financial Report—Vicki Cook, Vice President of Finance and Administration

I. Compensation/Classification Implementation Status Report—Marguerite Cotto, Vice

President for Lifelong and Professional Learning

J. Presidential Performance & Compensation Committee Report—Ross Childs, Chair

K. BBQ Board Report—Marilyn Dresser, Board Representative

L. Foundation Report—Doug Bishop, Board Representative

M. Legislative Issues Report—Timothy Nelson, President

III. UPDATES

N. Board Chair Update—Doug Bishop, Chair

O. President’s Update—Timothy Nelson, President

IV. DISCUSSION ITEMS

P. Budget

i. Allocation of Working Capital Reserves

Northwestern Michigan College provides lifelong learning

opportunities to our communities.

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(231) 995-1010 [email protected]

Board of Trustees http://www.nmc.edu/trustees/

May 18, 2015 Meeting Agenda

Page 2

Posted Friday, May 15, 9:00 a.m.

V. PUBLIC INPUT

Request forms for public input are available at the meeting location. Any individual of the

public may speak for up to three (3) minutes. The Board will not receive public input from

individuals unless they are present at the meeting. The Board will take public remarks into

consideration, but will not comment at time of input.

VI. CONSENT ITEMS (Pursuant to Policy A-105.00 Consent Agenda Items)

These items will be adopted as a group without specific discussion. When approving the

meeting agenda, any Board member may request that a consent agenda item be moved to the

regular agenda for discussion or questions.

Recommend that the following items be approved:

Q. Minutes of the April 20, 2015, special meeting, regular meeting, and closed session

VII. ACTION ITEMS

R. Board Policies (Pursuant to Policy A-106.00 Other)

Recommend adoption of the following Board Policy Committee recommendations, as

presented, on a second-reading basis:

Amended Board Policy A-100.00 Board of Trustees Bylaws

Amended Board Policy A-105.01 Gift Acceptance

Amended Board Policy A-106.00 Items for Specific Board Approval

Amended Board Policy A-106.01 Property Naming Opportunities

Amended Board Policy A-106.02 Investment Policy

Policy A-106.03 Policy Amendment and Additions with no changes after review

Policy language to be added to the bottom of all NMC policies:

“If any provisions(s) of this [policy/set of bylaws] conflicts with laws

applicable to Northwestern Michigan College, including the Community

College Act of 1966, the Freedom of Information Act, or the Open Meetings

Act, as each may be amended from time to time, such laws shall control and

supersede such provisions(s).”

S. Notice of Truth in Taxation Hearing Notice (Pursuant to Policy A-106.00 Finance)

Recommend that the Truth-in-Taxation First Resolution be adopted as presented.

T. Foundation Board Appointments (Pursuant to Policy A-106.00 Other)

Recommend approval of the appointment of William Donberg and Craig LaFave to the

NMC Foundation Board of Directors for three-year terms commencing May 18, 2015,

and expiring December 31, 2017.

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U. MCACA Grant Application (Pursuant to Policy A-106.00 Finance)

Recommendation to authorize the Dennos Museum Center through its Executive Director

to apply to the Michigan Council for Arts and Cultural Affairs for an operational support

grant in the amount of up to $30,000 to provide funding for its activities that take place

between October 1, 2015 and September 30, 2016, with the application due June 1, 2015.

V. East Hall Residence Furniture (Pursuant to Policy A-106.00 Finance)

Recommend authorization for administration to enter into a contractual agreement with

Interphase Interiors in the amount of $376,142 for the purchase and installation of new

furniture, and removal of current, in East Hall residence rooms, to be funded from the

Residence Hall reserves.

W. APL Project (Pursuant to Policy A-106.00 Finance)

Recommend authorization for administration to enter into a contract with Traverse City

Building Repair, Inc. in the amount of $53,256.27, plus a 10% contingency, for a total

project budget of $58,500.00 for the construction of a new general purpose classroom in

the Aero Park Laboratories building, to be funded from the Plant Fund.

X. Ellucian Software for EES (Pursuant to Policy A-106.00 Finance)

Recommend authorization for administration to purchase Ellucian Elevate (a Banner

product) to provide online registration capacity for Extended Educational Services (EES)

and additional non-credit services for a total request of $122,750 ($40,000 for set-up,

$43,250 for first year limited registration service, and $39,500 for first year’s

subscription). Funding will be through an allocation from the Plant Fund, with

repayment to the fund beginning in FY17.

Y. Closed session (Pursuant to Policy B-106.00 Other)

Recommend that the Board convene in closed session as permitted by Section 8(c) of the

Open Meetings Act, MCL 15.268(c), to discuss strategy connected with the negotiation

of a collective bargaining agreement between the College and the Michigan Education

Association acting on behalf of NMC’s full-time and part-time appointed faculty.

Z. Reconvene Regular Meeting (Pursuant to Policy A-106.00 Other)

Recommend that the open session of the Regular meeting be reconvened.

AA. Closed session (Pursuant to Policy B-102.00 Other)

Recommend that the Board convene in closed session as permitted by Section 8(h) of the

Open Meetings Act, MCL 15.268(h), to consider a privileged legal memo prepared by the

college’s outside counsel, Miller Canfield, PLC, which is materials exempt from

discussion or disclosure under state or federal statute as written attorney-client

communications in connection with Section 13(1)(g) of Michigan’s Freedom of

Information Act, MCL 15.243(1)(g) (Requires two-thirds majority roll call vote of

members elected or appointed and serving)

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BB. Reconvene Regular Meeting (Pursuant to Policy A-106.00 Other)

Recommend that the open session of the Regular meeting be reconvened.

VIII. REVIEW OF FOLLOW-UP REQUESTS

Confirm requests made by the Board that require administrative follow-up for information to be

provided to the Board at a later date.

IX. ADJOURNMENT

Upcoming Board Meeting Dates: All board meetings are open to the public.

June 22, 2015, Great Lakes Campus Room 112, 715 E. Front Street

July 27, 2015 - Great Lakes Campus Room 112, 715 E. Front Street

August 24, 2015 - Great Lakes Campus Room 112, 715 E. Front Street

September 28, 2015 - Oleson Center A/B, 1881 College Drive

October 26, 2015 - Oleson Center A/B, 1881 College Drive

November 23, 2015 - Oleson Center A/B, 1881 College Drive

December 21, 2015 - Oleson Center A/B, 1881 College Drive (3rd Monday due to holiday)

January 25, 2016 - Oleson Center Room A/B, 1881 College Drive

February 22, 2016 - Oleson Center Room A/B, 1881 College Drive

March 21, 2016 - NMC Hagerty Center, Great Lakes Campus, 715 E. Front Street (3rd Monday)

April 25, 2016 - Oleson Center Room A/B, 1881 College Drive

May 23, 2016 - Oleson Center Room A/B, 1881 College Drive

June 27, 2016 - Great Lakes Campus Room 112, 715 E. Front Street

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MEMO Office of Admissions _________________________________________________________________________________________

To: Timothy J. Nelson, President Chris Weber, VP for Enrollment Management & Student Services From: Cathryn Claerhout, Director of Admissions Date: May 8, 2015 Subject: Enrollment Update – Summer/Fall 2015 _________________________________________________________________________________________

Summer 2015 Enrollment Registration statistics indicate a projected 0% increase/decrease in total enrollment compared with SU2014. Final numbers will be available from the Records & Registration Office after Enrollment Report Day which occurs June 18, 2015. Enrollment for SU2014 stands at 1,196 students as of this date, with a projection of 1,224 students. Admission applications show an slight increase of 1% (781) over last year at this point in time (787) and a 23% increase in new admits (287) over last year at this point in time (234). Projections for new admits registered continue to increase 15% (355). Students retained from spring is flat at 0% change (815). Projections for students retained from spring remains flat at 0% (777). Statistics (Resources: Digital Dashboard – Same Date Comparison SU2012-2015 with Projection for SU2015) Summer 2012 2013 2014 2015 (Proj-2015) New Students Registered 205 198 234 287 355 Prior Admits Registered 19 11 5 4 6 SP Students Registered for SU 1071 965 812 815 777 Returning Students Registered 189 152 143 90 86 Average Credit Hrs/student 5.54 5.60 5.18 5.16 4.94 Contact Hrs 5.87 5.87 5.44 5.45 5.20 Total Headcount 1484 1326 1194 1196 1224 Tuition Revenue 1,131,606 1,090,828 960,939 1,021009 990,330

(Resources: Digital Dashboard – Same Date Comparison SU 2012-2015 with Projection for SU 2015) 2012 2013 2014 2015 (Proj-2015)

Inquiries N/A N/A 822 709 900

Admissions Applications N/A 709 781 787 858

Admits 564 512 548 490 541

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Fall 2015 Enrollment Registration for current students for fall semester began on March 11, 2015. To date students retained from spring semester is showing a decrease of 3% (1,670) compared to last year point in time. (1,728) Admissions applications show an increase of 30% (2,647) over last year point in time (2,337). New admits show an increase as well of 28% (1,641) over last year point in time (1,284). Total headcount is showing an increase of 11% (2,401). Orientations show a strong enrollment with a 24% increase (434) compared to last year (331). Statistics (Resources: Digital Dashboard – Same Date Comparison FA2012-2015 with Projection for FA2015) Statistics (Resources: Digital Dashboard – Same Date Comparison FA2012-2015 with Projection for FA2015) Fall 2012 2013 2014 2015 (Proj-2015) New Students Registered 143 145 216 539 2,516 Prior Admits Registered 25 27 27 19 11 SP Students Registered for FA 2,055 1,908 1,728 1,670 2,283 Returning Students Registered 257 247 189 173 332 Average Credit Hrs/student 10.07 10.08 10.06 9.83 9.36 Contact Hrs 11.86 11.86 11.89 11.53 10.46 Total Headcount 2,480 2,327 2,161 2,401 5,142 Tuition Revenue 3,752,775 3,742,357 3,904,432 4,452,905 8,091,311

(Resources: Digital Dashboard – Same Date Comparison FA 2012-2015 with Projection for FA 2015)

2012 2013 2014 2015 (Proj-2015)

Inquiries N/A N/A 4,942 6,069 6,765

Admissions Applications N/A 1,915 2,337 2,647 3,903

Admits 1,195 1,184 1,284 1,641 2,882

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______________________________________________________________________________

To: Timothy J. Nelson, President

From: Vicki Cook, VP Finance and Administration

Date: May 7, 2015

Subject: Summary Report for the General Fund as of April 30, 2015

The attached reports summarize the financial results for the General Fund as of April 30, 2015.

The tenth month represents 83% of the year.

Month End Results

The month end reports are interim and not a reflection of actual year-end results. The timing

of revenue and expenses fluctuates throughout the year and will affect year end results. The

general fund ended the month with an excess of revenue over expenses in the amount of

$5,005,127. Revenue increased by 1% when comparing April 2015 to April 2014. Expenses

increased by 5% when comparing April 2015 to April 2014. This increase is related to timing of

contractual payments and capital equipment purchases.

Revenue (letters refer to the attached General Fund summary)

A. Tuition and Fees revenue: Tuition and fees represent a 6% increase from those of April

2014. The increase is reflective of activities in Aviation, GLMA and Training. For Spring

2015, the budget was set at 46,449 billing hours for budgeted revenue of $6,892,161. Actual

billing hours are at 44,264 hours for total tuition revenue of $6,727,114. This is a shortfall of

$165,047. The shortfall will be offset by savings in adjunct contracts.

B. Property Taxes: Tax revenue is recorded as payments are received. The overall increase for

the fiscal year is expected to be 2% over the previous fiscal year. Winter collection began in

December with payments due by the end of February. We received our final settlement

check in April for $327,696. Property tax revenue is projected to be $57,000 above budget.

C. State Sources began in October with receipt of the first state aid payment.

D. Federal Sources consist primarily of the MARAD grants. MARAD has made one payment

with remaining funds expected in May 2015.

E. Actual year-to-date investment income recorded for fiscal year 2015 reflects interest income

only.

F. Both Private Sources and Other Sources are timing and event dependent.

MEMO

Administrative Services

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Expenses

G. Salary and benefit changes correspond with a reduction in adjunct/overload and open

positions.

H. Expenses are under budget at this time with the exception of Supplies and Materials,

Purchased Services, Institutional Expenses and Other Expenses due to the timing of

payments and rental equipment tied to revenue.

I. Capital outlay is timing related. Capital Outlay reflects expenditures budgeted through the

allocation of COAT dollars, BBQ funds and the GLMA equipment fund.

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Copy of Summ Gen Fund_Apr_2015.xlsfor internal use only 5/8/2015 9:31 AM Page 1 of 1

Unaudited

2014-2015 YTD % ofFunds Accounts Adjusted Budget Activity Annual Budget

TOTAL GENERAL FUND50 Revenues

Tuition and Fees 23,765,353 22,022,063 92.66% Property Taxes 9,464,797 9,504,802 100.42% Other Local 0 0 *Local Sources 33,230,150 31,526,866 94.87%State Sources 9,094,919 7,106,794 78.14%Federal Sources 524,000 132,315 25.25%Private Sources 345,000 300,648 87.14%Investment Income 274,000 235,213 85.84%Other Sources 298,250 364,129 122.09%

Total Revenues 43,766,319 39,665,964 90.63%60 Labor

Salaries & Wages 21,625,115 17,423,850 80.57%Benefits 9,117,098 7,511,532 82.39%

Total Labor 30,742,213 24,935,383 81.11%70 Expenses

Purchased Services 2,146,843 1,855,454 86.43%Supplies & Materials 2,826,561 2,357,929 83.42%Internal Services 87,940 71,058 80.80%Other Expenses 1,632,958 1,512,882 92.65%Institutional Expenses 1,732,229 1,465,923 84.63%Maintenance & Renovation 1,370,459 1,024,764 74.78%Prof Develop, Travel & Events 711,630 513,329 72.13%Capital Outlay 260,338 651,833 250.38%

Total Expenses 10,768,958 9,453,172 87.78%

Total Expenditures 41,511,171 34,388,554 82.84%80 Transfers

Transfers 2,255,148 272,282 12.07%Total Transfers 2,255,148 272,282 12.07%

Total Expenditures and Transfers 43,766,319 34,660,836 79.20%Net Revenues over (under) Expenditures 0 5,005,127

Northwestern Michigan College

Summary Report for General Fund AccountsFiscal Year 2015, Period 10

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Northwestern Michigan CollegeComparative StatementApril 2015 to April 2014

General Fund Activity Only

Difference between April 2015 and April 2014 (GENERAL FUND)

Revenue Yr. To Date Yr. To Date INCRE/DECRE. Percentage Explanation30-Apr-15 30-Apr-14 Difference

Tuition & Fees 22,022,063 20,848,721 1,173,342 6% Increases in flight fees, training revenue and fall and spring tuition

Property Taxes 9,504,802 9,317,752 187,050 2% Budgeted increase in property taxes

State Sources 7,106,794 6,913,299 193,495 3% Budgeted increase in state appropriations

Federal Sources 132,315 1,508,000 (1,375,685) -91% Timing of federal grant payments

Private Sources 300,648 228,351 72,297 32% Timing of Foundation support

Investment Income 235,213 162,205 73,008 45% Increase in FY15 interest earned

Other Sources 364,129 264,554 99,575 38%China College For Kids Camp, NJTA grant administration, surplus sales, and previously written off accounts collected.

Total Revenue 39,665,964 39,242,881 423,082 1%

Expenses

Salaries and Wages 17,423,850 17,338,074 85,776 0%Increase in salaries, supplemental wages, and vacation payouts; savings in adjunct, overload, and student employee costs

Benefits 7,511,532 6,975,289 536,243 8% Increase in MPSERS retirement expenses and timing of health payments

Purchased Services 1,855,454 1,721,339 134,115 8%Increase in advertising and legal expenses, timing of contract payments, Maritime consulting expenses

Supplies & Material 2,357,929 2,109,076 248,853 12%

Fee related expenses for Outreach Services trips & engineering technology, timing of non-capital COAT purchases, printing, and classroom supplies

Internal Services 71,058 53,827 17,231 32% Internal charges from Hagerty and housing

Other Expenses 1,512,882 1,540,400 (27,518) -2%

Decrease in financial charges, bad debt expense, and tuition differential scholarships, offset in part by aviation equipment rental expense and non-professional development events/travel

Institutional Expenses 1,465,923 1,444,242 21,681 2% Timing of utility payments

Maintenance & Renovation 1,024,764 837,618 187,146 22%Timing of contract payments (ITS/Ellucian); plane maintenance, facility maintenance, and Maritime Anchor Bay tug repairs

Pro. Develop, Travel & Events 513,329 480,131 33,198 7% Timing of travel and professional development Capital Outlay 651,833 249,305 402,528 161% Timing of COAT and IT purchases, Maritime Heritage Act equipment

Total Expenditures 34,388,554 32,749,300 1,639,253 5%

Transfers 272,282 (37,767) 310,049 Loan fund transfers and aviation transfers completed quarterly starting in FY15

Net Revenues over/(under) 5,005,127 6,531,348 (1,526,221)

Month end reports are interim and not a reflection of final year end results.


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Northwestern Michigan CollegeComparative Statement

April 2015 to March 2015General Fund Activity Only

Difference between current month and previous month

Revenue Yr. To Date Yr. To Date Month of Month of Explanation30-Apr-15 31-Mar-15 30-Apr-15 31-Mar-15

Tuition and Fees 22,022,063 19,821,083 2,200,980 2,126,163 Training services and EES revenue higher in April

Property Taxes 9,504,802 9,112,696 392,106 762,632 County settlement for winter taxes received in April

State Sources 7,106,794 6,098,038 1,008,756 1,008,755 Consistent with prior month

Federal Sources 132,315 132,315 - 6,000 Timing of federal grant payments

Private Sources 300,648 219,664 80,984 1,734 Timing of Foundation support

Investment Income 235,213 212,354 22,859 24,462 Consistent with prior month

Other Sources 364,129 317,379 46,750 49,773 Pell administrative fees received in March

Total Revenue 39,665,964 35,913,529 3,752,435 3,979,519

Expenses

Salaries and Wages 17,423,850 15,560,629 1,863,221 1,908,747 Adjunct wages for Spring semester

Benefits 7,511,532 6,758,693 752,839 770,722 Taxes/retirement on adjunct wages

Purchased Services 1,855,454 1,655,334 200,120 241,654 Audit and legal fees higher in March

Supplies & Material 2,357,929 2,164,752 193,177 235,156 Culinary supplies and fee related testing expenses for Nursing higher in March

Internal Services 71,058 64,506 6,552 3,480 Internal charges from Hagerty and training

Other Expenses 1,512,882 1,340,490 172,392 174,677 Consistent with prior month

Institutional Expenses 1,465,923 1,329,667 136,256 177,060 March higher in snow removal, electric, and heating fuel

Maintenance & Renovation 1,024,764 944,287 80,477 124,886 Timing of maintenance and IT contract payments; aviation plane maintenance

Prof Develp, Travel, & Events 513,329 427,535 85,794 63,889 Timing of professional development

Capital Outlay 651,833 539,755 112,078 (6,310) $100,792 Motor controls circuit trainer for GLMA (Heritage funds), $2,734 Library books, $8,552 Double scissors lift for Automotive,

Total Expenditures 34,388,554 30,785,649 3,602,905 3,693,962

Transfers 272,282 272,282 - - Net Revenues over/(under) 5,005,127 4,855,598 149,530 285,557



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Northwestern Michigan CollegeSummary by Program

April 2015General Fund Activity Only

Revenue Percent 2014-15 Yr. To Date Percent ofof Total Annual Budget 30-Apr-15 Total Spent Definition

Tuition & Fees 54% 23,765,353 22,022,063

Property Taxes 22% 9,464,797 9,504,802 State Sources 21% 9,094,919 7,106,794 Federal Sources 1% 524,000 132,315 Private Sources 1% 345,000 300,648 Investment Income 1% 274,000 235,213

Other Sources 1% 298,250 364,129

Total Revenue 100% 43,766,319 39,665,964

ExpensesInstruction 38% 15,845,681 14,949,198 43% Produce educational change in a learner or group of learners; includes both credit and non-credit offerings

Information Technology 7% 2,792,546 2,072,915 6% Provide technology to benefit instructional activities and the institution as a whole

Public Service 0% 197,062 182,439 1% Provide public with unique resources and respond to community needs or solve community problem

Instructional Support 16% 6,670,302 5,085,804 15% Support instructional programs

Student Services 12% 5,113,527 4,140,180 12% Contribute to well-being of students and their intellectual, cultural, & social development

Institutional Administration 15% 6,171,735 4,121,790 12% Provide for organizational effectiveness and continuity; day-to-day functioning and long-range viability

Plant Operations and Maintenance 11% 4,720,317 3,836,228 11% Maintain existing facilities, provide utility and safety services, and plan/design future facilities

Total Expenditures 100% 41,511,171 34,388,554 100%

Transfers 2,255,148 272,282 Net Revenues over/(under) 0 5,005,127



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Northwestern Michigan CollegeFiscal Year 2014-2015Year-End Projections

As of May 8, 2015

Projected FY14 FY15 FY15 Over/(Under)

Actual BudgetYTD @

4/30/2015 Budget CommentsRevenueLocal Sources

Tuition & Fees 51 22,414,571 23,765,352.87 22,022,063 (193,145) Tuition/Fees, increase in flight fees for helicopter, decrease in EES revenue

Property Taxes 51 9,352,705 9,464,797 9,504,802 55,205 Increase in property taxes

Total Local Sources 31,767,276 33,230,150 31,526,865 (137,940) State Sources 53 9,654,450 9,094,919 7,106,794 29,386 State appropriations

Federal Sources 54 1,618,400 524,000 132,315 76,000 MARAD funding

Private Sources 55 439,881 345,000 300,648 74,150 Department foundation funding and add'l foundation support for positions

Investment and Interest Income 57 282,059 274,000 235,213 - Unrealized gain/(loss) on investments 57 39,539 - - -

Other Sources 59 319,664 298,250 364,129 130,037 China summer program, NJTP administration, collection of old accounts, Lobdell's

Total Revenue 44,121,269 43,766,319 39,665,964 171,633

ExpensesSalaries 61 21,005,793 21,625,115 17,423,850 (408,948) Adjunct/overload/students

Benefits 65 9,774,141 9,117,098 7,511,532 130,477 Tuition benefits and healthcare costs

Purchased Services 71 2,281,600 2,146,843 1,855,454 208,802 Increase in legal fees, audit fees, advertising, and contracted services

Supplies & Materials 72 2,764,978 2,826,561 2,357,929 195,573 Add'l for Int'l trips & printing costs; savings in fuel, Nursing simulation (budgeted in capital)

Internal Services 73 83,380 87,940 71,058 - Other Expenses 74 1,700,597 1,632,958 1,512,882 185,893 Helicopter rental offset by flight fee revenue

Institutional Expenses 75 1,828,138 1,732,229 1,465,923 (1,217) Maintenance & Renovation 76 1,142,740 1,370,459 1,024,764 23,293 Add'l for GLMA covered by MARAD funding

Professional Development 77 630,745 711,630 513,329 (47,651) Savings in professional development

Capital Outlay- small expenditures 79 296,248 260,338 651,833 444,177

GLMA Equipment, COAT carryover, Culinary equipment fund, less for Nursing lab (some moved to non-capital)

Total Expenses 41,508,359 41,511,171 34,388,554 730,398

TransfersPlant Fund 999,647 1,099,647 -

Plant Fund Support of Simulator (444,423) Offsets capital expense & Maintenance of Equipment

Technology Fund 450,000 400,000 - Facility Fee 40,000 40,000 - Plant Fund- debt service 46,929 46,929 (43,018) Partial year of debt service

Aviation Plant Transfer for Tach hours 371,712 359,437 229,235 - Aviation Transfer for FY14 CIP 19,000 - - Loan Funds transfer 4,456 - (39,686) - COAT carry forward to FY15 29,500 - (29,500) (29,500) Funds rolled to FY15 for COAT item

Strategic projects 250,000 250,000 - Funds for Transformation 50,000 50,000 - FY13 surplus in support of scholarships (189,000) -

Indirect Grant Revenue & Program support (10,900) (115,865) (6,787) -

Total Expenses & Transfers 43,569,703 43,641,319 34,541,817 213,457

Net Revenue before Program Reserves 551,566 125,000 5,124,146 (41,824)

Funds reserved for Specific Programs (651,150) (125,000) - 144,957 Culinary equipment, nursing lab, and EES

Net Revenue after Program Reserves (99,584) - 5,124,146 103,133

NMC definition of the term "Projection" is a forecast of year-end revenues & expenses (not accounting definition)

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1

Lifelong& ProfessionalLearning

To: Timothy J. Nelson, President From: Linda Racine, Marguerite Cotto Date: May 12, 2015 Subject: Compensation and Classification – May Update Background of the report As part of the formal approval of the Classification and Compensation Study in October 2014, the Board expressed interest in receiving a regular report on the status of implementation. As part of NMC’s PDCA (plan-do-check-adjust) culture, the attached framework provides a snapshot of work-to-date, and is updated regularly to inform the college community of all aspects of the implementation of study recommendations. Highlights from last month’s activities The Staff Task Force is conducting a second round of forums on the

new pay scale's zone criteria and process for moving between zones. 115 people have said "yes" to the appointments, so we are anticipating good participation and discussion. Additional refinements or adjustments to the recommendations will be made following these forums. The Task Force expects to complete its work in June. (#3 and 4)

Adjusted the timeline and work plan for developing a

comprehensive evaluation plan and professional development planning process for adjunct faculty. Faculty Council and its Adjunct subcommittee are drafting some initial recommendations and gathering feedback from adjunct instructors. ESIMT will also be listening, gathering input from adjuncts through their end-of-semester conversations over the summer. All will meet in early September to review what the academic chairs learned and the pre-

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2

work of the Adjunct subcommittee. The new target is to have the draft plan ready in October and implement it no later than Spring 2016. (#9)

Policy Council conducted a public hearing on revisions to policies

related to Vacation Accrual and Support Staff Work Hours. Next step is legal review. (#16 and 17)

Several items are on hold pending contract negotiations (#15, 41,

and 42)

Compensation Implementation Work Plan IV. Work to be completed:

The following outlines tasks or recommendations that need additional work or follow up by various committees, councils, or groups at the college. Some are already in process or are relatively quick tasks that can be completed within the next few months. Others will require further research and refinement or will take time to implement. In many cases, the “who will work on it” and timelines are yet to be established; however, the Compensation Work Group proposes that all of these are addressed within the next 12‐24 months recognizing that, given the scope, a few items may require more time. Status Key: Blue = Complete Green = Accountability and timeline established. On track to meet timeline Yellow = Some progress; timeline not yet established or timeline may need to be reviewed/revised Red = Off track; timeline or resources need to be reviewed Gray = Not yet assigned or chartered

Category # Recommendation Who will work on it

Target Completion

Status

Notes/Comments

Pay 1 Review, refine adjunct pay principles and framework. Initial recommendations: a. Implement a new 20‐step scale for Adjunct Faculty b. Provide annual contracts to adjuncts in areas of consistent demand. These contracts must have the flexibility to reflect enrollment needs, e.g. they might assure a minimum number of contact hours with the possibility of additional hours. In addition:

Faculty Council, President, VP of Ed Services, HR, ESIMT, PBC

ESIMT, ITS

1a: Jan 1

1a is ready for January 1 launch. Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 re: 1b. 1a. implemented Jan 1.

1b: New target‐January 2016

ESIMT will recommend rate based on research. Planned implementation for Summer or Fall 2015 (11/5/2014) More study is needed on how to implement an annual contract and

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3

i. Increase the class cancellation pay rate

ii. Extend benefits (professional development, tuition waiver) at the same rate the instructor would have received if they had taught the proposed hours

determine the timing of class cancellation pay. Recommend postponement of target completion date till January 2016. (5/11/2015) Connected to #18, under review by BAC.

Pay 2 Implement, check, adjust new pay structure for staff

HR, Employee Groups, PBC

Complete Appeals process underway. QC meeting 11/14‐12/3 Implementation begins 1/1/15 Implemented Jan 1. Beginning check/adjust. HR meeting, checking in with supervisors and employees. (1/16/15) Check & Adjust are ongoing.

Pay 2a Complete/post executive pay scales

HR, Executive Team

In progress Job Descriptions completed in HRToolbench and project timeline drafted

Pay 3 Clarify criteria for “Accomplished/Fully contributing” and “Wise” for staff

Employee Groups/HR

By June 2015 Connected to #4 and #40 Task Force formed. Kick off meeting held Jan. 5. Group’s notes and other documents posted on Compensation home page. (1/16/15) Second meeting 1/19/15. Employee web page created and feedback sessions scheduled for early March. Next feedback sessions for staff will be scheduled in May.

Pay 4 Develop process for evaluating movement between zones for staff

Employee Groups/HR

By June 2015 Same as #3 above, connected to #40

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4

Performance 5 Ensure that all new employees have a provisional work plan with specific outcomes and targets. Is in place for Faculty; equivalent needs to be developed for staff. Length of provisional time will vary by employee category.

Supervisors, HR

By June 2015 Assigned to Heather Hess. Reviewing faculty plan and other best practices. Need to connect this work to the Staff Task Force work. (2/2/15)

Performance 6 a. Pilot a revised Performance Improvement Plan process. (The old process had a "punitive" tone. We want to be clear, but supportive. The goal is to support employee success, get them on track, or back on track, if at all possible.)

b. Review Faculty Dismissal for Cause policy to ensure consistency with revised process.

HR, ESIMT, PC FC

In progress. Complete by June 2015

Aaron and Lori changing standard forms to new forms. Will send out new process information to supervisors when complete (see #11) Training under development 1/1/15

6.b. on hold

Performance 7 Clarify expectations of supervisors. (Consistent implementation of policies, Addressing performance gaps, Developing and recognizing employees, etc.)

ESIMT and other NMC leaders, PC

June 2015 Draft presented to VPG. Refined draft ready for feedback from leadership teams. Have started gathering feedback, making modifications. (2/10/15)

Performance 8 Revise supervisor performance evaluation to reflect clarified expectations.

HR working with ESIMT and other NMC leaders, PC

June 2015 Will be developed when #7 is complete

Performance 9 Develop comprehensive evaluation plan and

FC, ESIMT, Adjunct Faculty

Draft Plan ready Oct. 2015

ESIMT reviewed the current process within the Faculty Evaluation

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5

professional development planning process for adjunct faculty. Check and adjust. Implement by Spring 2016

Plan and determined that the Plan sufficiently covers the need for greater evaluation of the adjunct faculty. Sent assessment to Faculty Council for their feedback (11/14/2014). ESIMT and Faculty Council have continued to work on this. Adjusted timeline and work plan. FC and the Adjunct subcommittee are drafting some initial recommendations and gathering feedback from adjunct instructors. ESIMT will also be listening, gathering input from adjuncts through their end‐of‐semester conversations over the summer. All will meet the first week of September (Sept 10) to review what the academic chairs learned and the pre‐work of the Adjunct subcommittee. (5/8/15)

Training 10 Develop, implement supervisor training and support for clarified expectations. Supervisor training needs to include orientation to policies (e.g. HR policies, flexible work schedule policies) and how to implement them effectively, orientation to NMC systems (planning, budgeting, etc.), how to recognize and develop employees, and how to

Talent Development Coordinator, Professional Development Institute

August 2015

Online training

launched for planning, budgeting, individual goal setting. F2F training ready for addressing performance gaps and delegating effectively. Roles/Responsibilities, HR policies, still under development. Timeline adjusted to reflect the work in #7.

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6

address performance gaps.

Training 11 Provide supervisor training and support for new Performance Improvement Plan process.

HR, Talent Development Coordinator

January 2015 Review/revise ppt. and distribute to all supervisors Need to adjust target. Connected to #6‐ training under development.

Training 12 Provide supervisor training and support to implement revised vacation policy (#35)

Talent Development Coordinator, PDI

Will be addressed when #35 is complete

Training, NMC systems

13 Ensure regular checks on organizational, department, and individual goals. Provide training and support to leaders. Develop feedback loop, accountability aligned with planning calendar.

ORPE, all supervisors, PDI, HR

In progress Much already in place and working. PDI has online training/resources in place for supervisors. Needs to be communicated. (2/10/15) HR will provide data on check process participation.

NMC systems

14 Review, update shared governance structure

All employee council reps, PC, HR, Policy Council

Being framed as an Action Project. Draft Charter going to PC for review Nov. 12.

Faculty Leadership

15 Address how we attract, develop, retain academic chairs

ESIMT, FC June 2015

ESIMT set June 2015 as

the tentative target for this task. (11/4/2014) On hold pending contract negotiations.

Benefits 16 Address inconsistency in how leave time is accrued (currently, Support Staff is different).

BAC In progressApril 1 complete

Memo sent to Aaron Beach, BAC Chair, 10/29/14 BAC made a recommendation for change, 12/16/14. The committee is waiting to review the policy change at next meeting of March 3. Policy drafted and sent to PC‐ waiting for Public

19

7

Hearing

Benefits 17 Develop a procedure to implement the Work Group’s recommendation that the number of hours an hourly staff works be determined by departmental need rather than the position classification. (This recommendation addresses the current 37.5 v. 40 hour distinction in Support Staff )

HR, Business Office

In progressMarch 1 complete

Memo sent to Aaron Beach, BAC Chair, 10/29/14 Policy has been drafted and sent to PC‐ waiting for Public Hearing

Benefits 18 Define tiers of Tuition Waiver benefits for adjuncts to simplify the process and have only a one semester lag for the benefit. For example, Instructor teaches in the fall semester gets the waiver for spring semester: 0 – 3.99 contacts = 25% waiver; 4 – 7.99 contacts = 50% waiver; 8 – 11.99 contacts = 75% waiver; 12+ contacts = 100% waiver

BAC In progress.New target date of Oct 1

Memo sent to Aaron Beach, BAC Chair, 10/29/14 Draft Policy to BAC in May. BAC reviewed possible changes to this policy at the 4/28/15 meeting. HR will draft an updated version to be reviewed at the next BAC meeting on 5/26. To Policy Council in September when they resume meeting.

Benefits 19 For ORP investors: Explore implementing a one year vesting period, by which upon satisfactory completion of one year of service the employee would be entitled to the College’s contributions into their ORP account.

BAC Completed at 12/16/14 BAC meeting

Memo sent to Aaron Beach, BAC Chair, 10/29/14 Required steps: revise policy, revise plan doc, submit and and receive IRS approval BAC recommends no change to the current vesting practice at 12/16/14 BAC meeting.

Benefits 20 Review policies and procedures associated with the use of sick time (Sick Leave,

BAC In progress Memo sent to Aaron Beach, BAC Chair, 10/29/14 Recommendations to

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8

Family Sickness, Personal Business Leave, Bereavement, etc.) to provide more flexibility in the sick time/leave policy. Develop recommendations as appropriate

policy changes at 12/16/14 BAC meeting. BAC waiting to review policies at next meeting.

Benefits 21 Review tuition reimbursement policy, particularly relative to pursuing advanced degrees.

BAC June 2015 BAC reviewed in December. CIE currently funds faculty tuition reimbursement. A policy for staff needs to be created.

Benefits 22 Review sabbatical policy and procedure for staff

BAC In progress Memo sent to Aaron Beach, BAC Chair, 10/29/14

Benefits 23 Explore offering a stipend to faculty for summer NMC training

BAC, PBC, ESIMT

Memo sent to Aaron Beach, BAC Chair, 10/29/14

Benefits 24 Explore revitalizing the "Return to Industry" for faculty and staff

BAC, PBC, ESIMT, CIE

Memo sent to Aaron Beach, BAC Chair, 10/29/14 BAC discussed at 12/16/14 meeting and recommends including it as a request for sabbatical leave. Forward to Stephen Siciliano to bring to other committees for review.

Benefits 25 Continue to review cost of auto insurance being primary provider for medical payout related to vehicle accident. (Reviewed this year. Review annually.)

BAC Annually Memo sent to Aaron Beach, BAC Chair, 10/29/14 BAC reviewed at 12/16/14 meeting.

Communication

26 Provide information to Adjuncts regarding health care options in Benefits Overview portion of on‐boarding/orientation. Provide updates to all adjuncts as Affordable Care Act moves forward

HR (Total Rewards Coordinator)

May 2015 All Adjuncts are notified through on‐boarding of health care options and any relevant changes to the Affordable Care Act. Need to develop process for ongoing communication with current adjuncts. Pilot email notifications each semester re: any

21

9

updates changes or open enrollment window for ACA. CC academic chairs and office mgrs.

Communication

27 Clarify with adjuncts the employee/college contributions to MPSERS, vesting requirements (10 service credits). HR conducted overviews in 2013 and should continue to do so to remind employees of all of their benefits.

HR (Total Rewards Coordinator)

In progress complete by May 2015

Several communications to all adjuncts by April 10 outlining how they can access their MPSERS account so they can determine whether to stay with MPSERS or go with EduStaff. See 26 for ongoing communication

Development

28 Ensure PD priorities are clear and aligned with strategy, mission. Review/revise how Professional Development priorities are set and how monies are allocated. Update PD Procedure.

PBC, Policy Council, ESIMT, CIE

October 2016

Development

29 Ensure job descriptions w/competency requirement information is available to all for career planning. Post in HR software.

HR By March 2015 Module purchased, need to finalize classification then move to implementation. Checking with HRToolbench re: access. Researching career planning software options. Decision by May.

Development

30 Clarify job posting process; clarify how internal candidates are considered.

VPG, HR March 2015 Draft process sent to PC in March. Gathered questions. Next step: update draft with questions addressed. Send back to PC by end of May.

Policy/ procedure update

31 Review/revise our current policies on placement to reflect new classification/compensation systems as well as recommendations regarding market

HR, Policy Council

October 2015 Staff policies will be reviewed after Task Force recommendation has been implemented (end of June). Adjunct Faculty placement policy can be reviewed by end of April

22

10

adjustments. (Heather) so ready for fall Policy Council meeting.Policy reviewed by Heather/Stephen‐ next step HR review.


31a

Review policies and Employee Guide; align with compensation adjustment changes

HR, VP’s, Employee Councils

October 2016 Developing HR policy review schedule. Policies updated as tasks are completed.


32 Determine criteria for signing bonuses. Build agreement into signing bonuses that the money is returned if they leave the college within 2 years. Research option that bonus is also returned if they are fired for cause.

Talent Acquisition Specialist

August 2016 Collecting data to inform the procedure. Started January 2015. 3/5/15.


33 Revise Policy/procedure to reflect recommendation regarding employees’ ability to donate leave time if someone on FMLA needs additional time.

HR, Policy Council

June 2016 Need to research legal implications and Banner administration capabilities.


34 Eliminate “may lose pay” from the current adjunct contract language. Create contingency fund to cover substitutes. Handle long term absences on a case by case basis.

ESIMT By Dec2014

Completion target extended to allow for updating handbook, Banner. Implement the change starting with the Summer 2015 contracts. 1/21/15 Contract language has been changed in Banner. (2/3/15)


35 Revise Vacation Policy and Procedure: “To support work/life balance, rest, and renewal, the college encourages all employees to use their accrued vacation time. If an employee consistently accumulates time they are unable to use, the

HR, Policy Council

Provide training to supervisors (#12) Draft vacation policy prepared to go to policy council in March with revised language included (2/16/15). Reviewed by BAC 3/3/15. Ready for Policy Council 3/20/15‐

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11

workload management issue will be addressed by the employee and their supervisor/executive leader.”

waiting for Public Hearing


36 Update Years of Service Awards policy to align with current practice

Employee Recognition Committee, Policy Council

Complete Memo sent to Hollie DeWalt, Lori Hodek on 11/5/14. They are currently recruiting additional Employee Recognition Committee members; targeting Dec 19 kick‐off meeting to address #36, 37, 38 Policy was revised and is on the website. (2/10/15)

Recognition 37 Review the Recognition Survey conducted fall 2013; ID areas for further study, revision. E.g. consider more quality service awards that are not just faculty focused, review Kudos, Employee of the month, etc. Clarify on‐going evaluation process.

Employee Recognition Committee

Begin work Dec 19

Newly charged Recognition Committee met Dec 19. Is beginning its work by review employee survey.

Recognition 38 Develop strategies for informal celebration, recognition within departments or teams. Consider standardizing resources for staff recognition department to department.

Employee Recognition Committee

Begin work Dec 19

Same as #36 above

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12

Work Life‐all 39 At the recommendation of BAC: Clarify service level expectations and determine where it is essential/desirable to stay open, where it is okay to close during the days around the Christmas and New Year holidays. In areas that can close, employees are free to take vacation days if desired, though it not mandatory. The BAC recognizes: There are

areas of the college that would like/need to stay open during this period.

Some employees are particularly productive during this period and prefer to work rather than take vacation.

It should be employees choice to take time off and use accrued vacation time during this period within the guidelines for service level that some employees

VP’s By Dec. 1, 2014 Memo sent to VPG on 10/29/14 asking them to address with their directors, managers Completed. Communication plan under development. Beginning “check” process. (1/16/15)

Work Life‐all 40 Review how committee work is recognized, both committee participation and chairing of committees. Both take considerable time. Chairing is an especially significant time commitment.

HR, Staff Task Force, Recognition Committee

June 2015 Will connect to #3 & #4

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13

Work Life‐faculty

41 Review internal equity in terms of faculty preps

FC, ESIMT, VP Ed Services, HR, PBC

April 2015 Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 ESIMT plans to research this issue and sets a tentative timeline of April 2015 (11/5/2014) On hold pending contract negotiations

Work Life‐faculty

42 Explore faculty spreading load over 3 semesters


June 2015 Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 ESIMT plans to research this issue and sets a tentative timeline of June 2015 (11/5/2014) On hold pending contract negotiations

Work Life‐faculty

43 Look at how courses are assigned: FT/adjuncts


By December 2014

Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 ESIMT and FC have collaboratively created a recommendation and reviewed with HR. Refined draft will be reviewed by both before finalizing. (12/5/14) Recommendation finalized. See details. Will be posted in faculty sections of NMC Employee Guide. (12/17/14)

Work Life‐faculty

44 Address how release time is assigned.


By December 2014

Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 ESIMT and FC have collaboratively created a recommendation and reviewed with HR. Refined draft will be reviewed by both before finalizing. (12/5/14) Recommendation finalized. See details.

26

14

Will be posted in faculty sections of NMC Employee Guide. (12/17/14)

Work Life‐faculty

45 (Long‐term) Explore increasing regular faculty in gateway and other courses where there is stable enrollment and it benefits the learner and the department


Memo sent to Stephen S. and Nancy Gray (Faculty Council Chair) 10/29/14 ESIMT Discussion is ongoing. (11/5/2014)

System Maintenance, Evaluation

46 Include salary study calendar in NMC’s overall planning calendar so it’s clear to everyone when it happens

HR, ORPE December 2015

System Maintenance, Evaluation

47 Pilot Total Compensation evaluation process. Make adjustments as appropriate

Total Rewards Coordinator

Summer 2015 Summer timeline is doable. Need to ID reps to Total Comp committee

System Communication

48 Create Total Compensation intranet page where employees can access everything related to total comp.

HR, Project Facilitator, Intranet Admin

Feb 2015 Completed and launched January 29. Human Resources intranet site has also been reorganized for easier updating and easier employee access to information.

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Board of Trustees

Presidential Performance and Compensation Committee Minutes

May 11, 2015

President’s Office, Tanis Building, 1701 E. Front Street

Committee Chair Ross Childs called the meeting to order at 3:00 p.m.

Committee Members Present: K. Ross Childs, Robert T. Brick, Steven G. Rawlings

Others Present: Timothy Nelson, Holly Gorton, Diana Fairbanks

The current process and this year’s timeline for the presidential evaluation was reviewed, and

potential revisions to the process for future years were discussed. It was suggested that new

trustees on the Board may have additional input. The process will not be changed for this year’s

evaluation, but the committee will continue to meet to discuss potential improvements for the

following year. Committee members and President Timothy Nelson will look at the evaluation

tool and determine appropriate weighting of competencies and key responsibilities for potential

revisions for next year.

Ross shared that he would request comparison presidents’ salary and benefits from the other

community colleges in the state.

The president’s contract was also discussed. The current contract does not require action,

because it is in effect until June 30, 2016, with extensions to 2018. Committee members and

President Nelson briefly discussed the fact that the president’s role will require much more

external work in the future due to the important issues arising that will affect the future of the

college.

It was noted that the presidential evaluation process is both for the purpose of the college and to

inform the public. The Committee also discussed the opportunity to provide context to the

campus and the community by providing a summary of the completed president’s evaluation.

Diana Fairbanks was asked to draft a communication for the Board to review and send out upon

completion of the president’s evaluation.

The Committee asked that the packet of materials for this committee meeting be sent to other

new trustees Marilyn Dresser and Chris Bott to allow them additional time to better understand

the process.

The meeting adjourned at 4:20 pm

Recorded by Holly Gorton, Executive Assistant to the President and the Board of Trustees.

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1701 East Front Street, Traverse City, MI 49686 231-995-1021

MEMO

Resource Development

To: The Board of Trustees and President Timothy J. Nelson

From: Rebecca Teahen, Executive Director for Resource Development

Date: May 8, 2015

Subject: Foundation Update for May 2015

Fund Raising – a “check” on our progress toward FY15 goals

The Annual Fund continues to make good progress towards this year’s goal of $225,000. The fund has raised a total of $184,368, including pledges. This represents 35% growth over last year at this time!

Total dollars raised to date (FY15):

$1,447,268 Total received (including the Annual Fund and pledges)

- $109,590 Received through bequest gifts

- $14,900 Gift received in FY15, pledges counted in FY14

= $1,017,079 Raised toward FY15 goal

Goal:

$1,500,000

In gifts and new pledges

+ $100,000 Event revenue

Events

We are looking forward to hosting the alumni tent at the NMC BBQ!

Planning is well underway for the 2015 Scholarship Open. The Chairman this year is Mike Lipp. Save the date for August 6, 2015 at the Grand Traverse Resort. There are two new sponsorship levels this year. Learn more at nmc.edu/golf.

Campaign Planning

The planning/feasibility phase of the campaign is moving forward.

Meetings and Events for your calendars:

Finance & Audit Committee bank presentations – Wed., 5/20/2015 at 7:30 am, Founders Hall, Room 110.

Foundation Board meeting – Wed., 6/24/2015 at 7:30 am, Hagerty Center.

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STATE LEGISLATIVE HIGHLIGHTS

Join Us for Community College Day (Thursday, May 7 from 11am-1pm): This is a hands-on advocacy day for community colleges, the purpose being to bring presidents, trustees, senior administrators, and even students to Lansing to highlight the important work of community colleges across the state. In addition to a reception in the Capitol from 11:00 AM – 1:00 PM featuring the Henry Ford College culinary arts program, we are encouraging colleges to make individual appointments with your legislators, especially if you were unable to meet with them during the Legislative Summit back in January. Please make appointments with your local legislators soon, if you have not already done so. Community College Budget: The House of Representatives passed last week its omnibus funding bills both for the General Fund and the School Aid Fund. Updated community college budget language and an analysis by the House Fiscal Agency are both available on the MCCA website. The Senate approved today its School Aid omnibus package, with one of the largest disagreements coming from the use of School Aid Fund dollars for purposes other than K-12 education. It is worth noting that the proposed budget remains very tenuous at this point; if today’s ballot proposal fails or revenues continue to decline, the Legislature could make significant cuts to the 2015-16 budget. Non-Contiguous Annexation Advances: The House Education Committee unanimously reported out House Bill 4265 (Price), which would allow annexation of an area that is not geographically contiguous into a community college district. The bill now goes before the full House of Representatives for their consideration. House Considers State Reciprocity Agreement: For the last several months, the MCCA has been working with the public and private universities, the Midwest Higher Education Compact (MHEC) and the State Department of Licensing and Regulatory Affairs (LARA) on legislation to authorize Michigan's participation in reciprocity agreements for distance education with other States. That legislation, Senate Bill 221 (Schuitmaker), came up for testimony in the House Education Committee. The Committee did not take any action on SB 221, but is likely to do so next week. MCCA Legislative Priorities: Please click here to view MCCA’s 2015 Legislative Priorities. Bills to Watch: A quick reference of all the bills relevant to community colleges introduced in the 2015 Legislative Session is available on the MCCA website.

FEDERAL LEGISLATIVE HIGHLIGHTS

AACC Top Legislative Priorities: See AACC’s legislative priorities sheet. Key issues include funding priorities, support for the Pell Grant program, three top Higher Education Act reauthorization priorities, the American Opportunity Tax Credit (AOTC) reform, and President Obama’s America’s College Promise proposal.

MCCA MONTHLY UPDATE TO BOARDS OF TRUSTEES

[Report #22 May 05, 2015]

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http://www.mcca.org/content.cfm?m=100&id=100&startRow=1&mm=0

http://www.legislature.mi.gov/(S(ev0qedkt1plaft1dr1vuzn3q))/mileg.aspx?page=getObject&objectName=2015-HB-4265

http://www.legislature.mi.gov/(S(ev0qedkt1plaft1dr1vuzn3q))/mileg.aspx?page=getObject&objectName=2015-HB-4265

http://r20.rs6.net/tn.jsp?f=001mVnjMZm72uTklBtKaWrCiQPrsEC7kiMIxyQJrtddar0FzMZlk01yrJMWCphgfUIk4aFs0ALx-8T-7ocNnj_qUS4K2PcxI3s2W3FzjRFIbG1qyOs0xhGaukUpn8ho8cpaj8KWg6auXXYLZk0nCzuzbjpzO9NyUN4OokCA6HSUtmcFzHFOlIeodvXiXozoFqWooEldrDeTsxDGZxsHrwUZ-vBkNVVBHycl9yTONcQ9iLb2oolE7yFWtF9y6m_kZfyZFtzxegmPxwcfFO2f5gQh359LxeOpxKb6Q4NayV5jDh84EXBlRmkntTIm1SevKTIUOgP9PCuZj8-JaEhHYSkAA1cCrJPbufSKb2vAOpE0WsMjwbmtuyj_DmL5T-FcsLvIdwGFbKgenIh1e079l8Ps_CNEJ-lNctklc5XfKfBfN83A66VLjjUk9hG86tVsFO22hK8jKNrxkcrwTXnl4ebNMCkwnvZdSNRRFvM1MyjkQ_6HFkaZZctbzPr1-Kz112rsl47umbXRXWOVTX1AdjWTIQ==&c=qIWPW0j4w96Vcjmtm7cZi3ZMArNS4Hb0GqitZRkXB437x0O9FyqW6A==&ch=8MYXy5U1BM2aFDbhXSwpDNiNQuBuWtxyh1SMJIGYARGTytwBxtmCeg==

http://www.mcca.org/uploads/fckeditor/file/2014%20MCCA%20Legislative%20Priorities%281%29.pdf

http://www.mcca.org/content.cfm?m=121&id=121&startRow=1&mm=0

http://echo4.bluehornet.com/ct/60076085:29868489413:m:1:2201947771:E23D59558663FD6CDB1302C241554180:r

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Free AACC Federal Legislative Update Webinar (May 12 from 3:30-4:30pm): To learn more about these legislative priorities, please register here for the webinar.

Feedback on HEA Reauthorization: In March, Senate Health, Education, Labor, and Pensions Committee Chairman Lamar Alexander (R-TN) released three white papers on accreditation, risk sharing, and data collection and consumer information, and may be viewed here: http://1.usa.gov/19MZ63o. The committee asked that interested parties provide feedback on the papers by April 24th. ACCT and AACC have jointly submitted the following comments on risk sharing, accreditation, and data collection and consumer information.

MCCA CENTERS OF EXCELLENCE

MICHIGAN CENTER FOR STUDENT SUCCESS (MCSS)

Updated Data on the Governor’s Education Dashboard: The most recent year’s data for each of the metrics on the Governor’s Education Dashboard is now available online. While there are other metrics on the Dashboard collected by the Governor’s staff, below are the metrics and the current numbers MCCA collects and submits on your behalf (see the Education Dashboard for trend data on each metric):

Fall to next term retention for the 2013 cohort: 72% of students met this benchmark

Successful completion or transfer for the 2008 cohort: 53% of the students met this benchmark

Incidence of developmental education for the 2013 cohort: 61% of the students met this benchmark

Michigan Transfer Agreement (MTA) 2.0 Ad Hoc Committee: The MTA guarantees the transferability of core college courses (30 credits of general education). As the MTA was developed in 2013 and implemented in 2014, several complex issues were excluded from the initial agreement to ensure that timelines dictated by the legislative mandate for the new agreement could be met. These issues include the consistent treatment of credits earned though exams, AP/IB, dual enrollment, military services, prior learning assessments, and the like. A Committee of the Michigan Association of Collegiate Registrars and Admissions Officers (MACRAO) has been convened to explore these issues and present recommendations to the colleges and universities. MICHIGAN COLLEGES ONLINE (MCO)

MCO Update: During the past month, work continued on the development of the Guided Digital Pathway tool, which is a student success solution that includes integrated planning and advising functionality, career exploration, early alerts and messaging that guides a student through and successfully completes college.

MCO Registration Widget: The ‘widget’ will allow students to enroll for courses through the MCO within a college’s online registration system. A work group of Chief Academic officers met to determine the business rules for how colleges can employ the widget. Final programming will be completed based on this input with plans to beta test in June.

MICHIGAN NEW JOBS TRAINING PROGRAM (MNJTP)

MNJTP by the Numbers: 96 employers have been served in 108 MNJTP contracts to date. The number of projected new jobs supported by existing MNJTP agreements is 12,985.

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https://attendee.gotowebinar.com/register/4492717027467796993

http://1.usa.gov/19MZ63o

http://bit.ly/1bLU4VO

http://bit.ly/1Ex3L5c

http://bit.ly/1Jvoppn

http://bit.ly/1Jvoppn

https://midashboard.michigan.gov/education

https://midashboard.michigan.gov/education

3

CENTER FOR GLOBAL INITIATIVES (CGI) Carol Stax-Brown Consulting Contract: Washtenaw Community College, Northwestern Michigan College, Mott Community College, Mid Michigan Community College, and Jackson College have signed a group consulting contract with Carol Stax-Brown, the past President/CEO of Community Colleges for International Development. Carol will be helping the five colleges in developing international projects, partnerships, grants, and opportunities. If interested in joining this group contract at a $6,000 annual fee, please let Mike Hansen know by May 15 ([email protected]). If you have any questions, please feel free to contact Carol Stax-Brown directly (319.210.8541 or [email protected]). Organizational Meeting for “Gateway Michigan” Initiative (May 6 from 2-4pm): The Gateway Michigan Initiative will partner community colleges and universities to attract international students to Michigan. The focus is on connecting with international students that applied to Michigan’s universities (but were not accepted due to language or other academic issues), and providing the students with ‘conditional admission’ if they attend a community college to address language and academic needs before transferring to the partnering university. The first organizational meeting is scheduled for this Wednesday, May 6 from 2-4pm at Prima Civitas in East Lansing.

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mailto:[email protected]

mailto:[email protected]

Fiscal Year 2016 Update05.01.15

5/6/2015

33

Contained in this binder are the assumptions underlying NMC’s

FY16 projected budget. Also included are the documents which

support the basis for those assumptions. These documents not only

provide data, but they give an historical perspective needed to

assess the validity/reliability of the assumptions.

34

Version: 08-19-2014 Board Approved on 08-25-14

STRATEGIC GOALS KEY RESULTS, GOALS, and TARGETS Learner Success (SD1, IE1, IE2, IE3) B1. NMC will improve learner success in

terms of persistence and completion. 1. Incubate and accelerate, as determined, impactful practices identified and/or designed

by the “Enhancing Developmental Education” AQIP Action Project. B1_T1 2. Create and implement a cross-functional coordinated retention plan. B1_T2

Metrics Fall 2011 Fall 2012 Fall 2013 Fall 2014 Target

B1. College-level Course Persistence (all grades-Ws)/(all grades) 90.7% 92.3% 91.4% 92.0%1

College-level Course Enrollee Success Rate (2.0 and above)/(all grades) 77.6% 78.5% 78.9% 78.3%1

College-level Course Completer Success (2.0 and above)/all grades - Ws) 85.6% 85.0% 86.4% 87.1%1

Community College Completion/Graduation/Transfer rate within six years; (cohorts from 2005, 2006, 2007 ) 45.7% 51.4% 48.5% 52%2

B1_1. Dev Ed Persistence (all grades-Ws)/(all grades) 84.2% 90.2% 90.1% 91.0%1

Dev Ed Course Enrollee Success Rate (2.0 and above)/(all grades) 65.4% 69.8% 70.5% 63.0%1

B1_2. Fall to spring persistence (all currently enrolled less dual enrolled, grads) 75.9% 75.8% 75.3% 77.0%3

Retention Plan: Fall to fall persistence (all currently enrolled less dual enrolled, grads, transfer) 57.6% 57.8% ↑ tbd 60.0%4

NOTES:

1The B1 targets are set at a 3-year average of NCCBP peers at the 75th percentile; Source: National Community College Benchmark Project NCCBP.

2 Governor’s Education Dashboard, target set to state average; metric derived from the Voluntary Framework for Accountability (VFA)

3Target is the 3-year average of NCCBP peers at the 90th percentile

4Target was selected internally as incremental based on trends

Not at target, moving wrong direction Not at target, moving in right direction At or above target

35

Networked Workforce (SD3, IE4) B2. NMC will evaluate the employee

classification and compensation systems and make adjustments as necessary.

1. By the September 2014 Board of Trustees regular meeting, complete review and make recommendations to the employee classification and compensation systems. B2_T1

2. By December 2014, implement the new classification system including the review of all job descriptions, all positions entered into and aligned with the new classification plan and the documentation of a new benchmarking methodology. B2_T2

Metrics FY’12 FY’13 FY’14 FY’15 Target B2-2. % of Regular Staff Job Descriptions Reviewed and Aligned with New

Classification System 0% 100% Engagement Index (% maximum score-11 questions) 85.0% 84% ↓ Note5 80%6

Note: 5Employee Engagement Survey is administered biannually; next administration is 2015; 6Target was determined by using national and international benchmark literature related to employee engagement; Gallup’s employee engagement index research identified that 30% of employees nation-wide are highly engaged while 18% are actively disengaged; While we have set the target high compared to the national benchmarks, it is in line with our past trend data. Note that this target will be re-evaluated during the implementation of the 2016 Engagement Survey. It might be appropriate to set different targets based on employee group.

Lifelong Relationships (SD4) B3. NMC will expand community awareness

effort both externally and internally. 1. Conduct the Community Attitude and Awareness Survey and use results to guide the

development of an integrated marketing and community relations plan. B3_T1 2. Adopt and begin execution of the integration marketing and community relations plan.

B3_T2

Metrics 2007 2009 2011 Target9

B3. Job NMC does responding to learning needs of community 88% 93% 93%↔ 95%7 Job NMC does communicating with the community 77% 98% 91%↓ 95%7

Overall rating of NMC 96% 98% 98%↑ 95%7 Familiarity with NMC Programs and Services 53% 57% 65% Tbd8 Notes: Source: Community Attitude and Awareness Survey Results; 7 (% “Positive” Rating (7-10) on scale 1-10, “Don’t know” respondents excluded); 8 (% “Very Familiar”, “Familiar”, or “Somewhat Familiar” on a five-point scale); 9 Targets will be re-evaluated during implementation of the 2015 Community Attitude and Awareness Survey to better account for national benchmarks.

36

http://www.gallup.com/poll/162062/managers-boast-best-work-engagement.aspx?version=print

Fiscal Thriveability (IE3, IE5) B4. NMC will develop and implement a budget plan

that includes expansion of revenue opportunities along with operational efficiencies to assure fiscal thriveability.

1. Develop a multi-year business plan for Portfolio B to inform FY16 budget. B4_T1 2. Evaluate plans to operationalize and monetize the Campus Master Plan. B4_T2 3. Evaluate public funding resources. B4_T3

Metrics FY’11 FY’12 FY’13 Target B4. Primary Reserves ratio (compares unrestricted net assets to total expenses) 0.31 0.32 .35 0.20-0.40

Composite financial index (fiscal strength) 3.05 3.62 2.93 3.0-5.0 Net Operating Ratio (net assets/total revenue) 3.29% 4.94% 1.34% > 0

37

Budget Process

38

NMC Budgeting Process

2015/2016 Fiscal Year Planning

The Planning and Budget Council (PBC) was formed during the 1999-2000 academic year by merging the former Planning Council

and the former Budget Council. Through this merger, NMC continues to more closely align budget resources with operating and

strategic plans. The current chair of the PBC is Stephen Siciliano. The Council meets weekly during the academic year and monthly

during the summer months. Among responsibilities for the Council are:

“…assisting and advising, to the best of our abilities, the Vice President of Finance and Administration

in all budgetary matters, the Vice President for Educational Services in matters related to curriculum, the

Vice President for Enrollment Management and Student Services and the Vice President of Lifelong

Learning and Professional Development in matters under their charge.”

Recommendations are made to the President after consultation with the appropriate executive staff.

The primary focus of the Council is on the general operating components of the general fund. Information regarding restricted and

auxiliary funds was reviewed but not considered in the recommendation purview of the Council. A subcommittee of the Council

(COAT: Capital Outlay Allocation Team) was established to recommend the allocation of the annual capital budget.

Through the Planning and Budget Council, shared governance continues to progress and grow at NMC. Openness in budgeting is a

primary and important goal.

Members of this year’s council were:

Ed Bailey – At Large Deirdre Mahoney - Faculty

Cathryn Claerhout – Admin/Professional Jim Press - Faculty

Vicki Cook – Ex-officio Rob Rider – Maintenance/Custodial

Alison Collins - Faculty Karen Ruedinger – Ex-officio

Marguerite Cotto – Ex-officio Stephen Siciliano - Chair

Doug Domine - Faculty Nicole Fewins - Faculty

Kristi Hallet – Support Staff Chris Weber – Ex-officio

Kim Gourlay – Tech/Para Alex O’Brien - SGA

Cathy McCall - Recorder

39

NMC RESOURCE GUIDELINES

2014-2015

1 – Strategic and Financial Planning

The budget is a financial plan for the priorities of the institution. The budget proposed to the Board of Trustees for adoption should reflect the

Strategic Plan and the area operational plans.

2 – Tuition and Fees

Tuition and fees should be considered within the context of the most reasonable estimates of State, local, and private support, and projected

expenses to support the College’s plans, and projected enrollment and unique program characteristics. Tuition should balance the goal of

affordable access to learning opportunities with the goal of high quality service levels for NMC offerings. Regular tuition increases should be

considered as a means to sustain this portion of the revenue mix, while minimizing the year-to-year increases. Fees should be reviewed regularly

and increases considered when the cost elements to which they contribute increase. Our in-district students will pay less than out-of district

students because the College receives local tax support from Grand Traverse County residents. For some programs, the College uses differential

tuition and fees in excess of the general rates.

3 – Salaries and Benefits Equity

Northwestern Michigan College is committed to attracting and retaining a quality workforce. Equity in salary and benefits is part of the NMC

culture and should be expressed within a total compensation package. As part of that package, salary and benefits for faculty,

administrative/professional, technical/paraprofessional and support staff should be equitable when compared to the appropriate peer group of

community colleges and/or service area employers, in accordance with NMC’s compensation policies.

4 – Professional Development

Maintaining and improving the knowledge and skills of the faculty and staff is an investment in the future. Funds should be appropriated

annually in the budget for that purpose. Approximately 2.25% of general fund salaries and wages should be appropriated annually in the budget

for that purpose.

5 – Faculty and Staff Composition

The college should balance the full-time and part-time composition of faculty and staff to assure continuity and commitment while maintaining

flexibility to implement strategic directions and complete its strategic initiatives in a timely and effective manner. To enhance smooth transition

of personnel, the college has established a contingency for implementing succession decisions.

6 – Technology, Capital Equipment, Maintenance and Renovation

Providing a quality education requires investment in classroom equipment, facilities, and infrastructure. The annual budget should provide for

regular maintenance, replacement/upgrade, growth and contingency funding.

7 – Debt Service

Debt Service obligations must be included in the budgeting process at 100% of their current costs.

40

8 – Reserves The budget should include an appropriate allocation for reserves. The following reserves should be monitored annually. The Board will approve

transfers to the appropriate reserve fund balances.

A – Working Capital Reserves

A fiscally sound organization should have adequate reserves for emergencies and unanticipated cash flow needs. Northwestern

Michigan College funds should maintain a Working Capital Reserve of 10 - 15% of annual budgeted expenditures not included in

reserves B through G.

B – Medical Insurance Transition Reserve

The medical and dental coverage for College employees is self-funded. The Insurance Reserve was established to provide employee

benefits during a transition time if fully insured medical and dental insurance were adopted. Northwestern Michigan College should

maintain a reserve equal to 15% of annual claims and administration costs for medical/dental coverage.

C – Reserve For Unexpected Medical and Non-Medical Costs

This is a reserve for dramatic fluctuations in medical, and non-medical costs (e.g. term life insurance, long term disability, and worker’s

compensation) that are significantly beyond prudent predictions. The College should maintain funds equal to the difference between the

calculated maximum aggregate claims and expected claims plus three (3) months of non-medical costs.

D – Fund for Transformation

The Fund for Transformation was established for the purpose of responding to emerging opportunities and changes. A fund balance

equal to approximately 2% of General Fund budgeted expenses should be maintained.

E – Physical Plant Major Maintenance and Future Buildings

Two percent of the appraised replacement value-new of the College’s physical assets, including buildings, building equipment, and

built-in fixtures, should be invested or maintained in a fund for major maintenance, renovation, or replacement of those assets. This

should be calculated as the total of major plant maintenance expenditures, operating budget maintenance expenditures on physical plant,

and the Plant Fund balance. Reserves above 2% will be designated for future buildings.

F – Reserve For Unexpected Fluctuation In Energy Costs

This is a reserve for dramatic fluctuations in energy costs that are significantly beyond prudent predictions. The reserve is equal to 10%

of the College’s annual budget for the total energy bill.

G – Reserve For Any Future Reduction in State Appropriation Revenue

This is a reserve for any future reduction in State appropriation revenue. The amount to maintain is 25% of annual State Appropriation.

Approved September 2013 Revised and approved April 2014

41

Revenue Considerations

42

Revenue Considerations FY16

Contained in this section: Tuition & Fees Revenues

1. A 5-Year Contact Hours History: Since the single greatest revenue line for NMC is tuition, it is important to understand the contact hours

underlying the tuition revenue indicated in the 5-Year Revenue History. The analysis of contact hours compares the change in actual hours from the same semester the previous year, the change in budgeted hours from the same semester the previous year, and a comparison of the variance between hours budgeted versus actual hours.

2. A 5-Year Tuition & Revenue History w/graphs: A year-by-year comparison of in-district, out-of-district, and out-of-state tuition is provided.

This history also provides an analysis of revenue type as a percentage of total revenue.

3. Comparison of revenue by source for all Michigan Community Colleges.

4. A 5-Year History of Michigan Community Colleges In District Tuition Rates: Included in the history is the percentage of change from year-to-year for each community college.

5. Comparison of tuition and fees for select set courses for Michigan Community Colleges.

6. A 5-Year History of Michigan Community Colleges Out of District Tuition Rates: Included in the history is the percentage of change from year-to-year for each community college.

7. A 5-Year History of Michigan Community Colleges Out of State Tuition Rates: Included in the history is the percentage of change from year-to-year for each community college.

8. Tuition Rates for Michigan Universities

Property Tax Revenues

9. A 10-year Analysis of Property Tax Revenue: Included in the analysis is a comparison of budgeted revenues to actual revenues. The “Total Taxes & Penalties” line indicates the percentage of variance between total budgeted revenue and actual revenues.

43


Contact Hours History w/Analysis

Prepared: May 2015 Key:

FL= FallBudget and Actual contact & credit hours SP=Spring

SU=Summer

Actual Hours % of Change Actual to Actual Budgeted Hours % of Change Budget to Budget Comparison of Hours

2010-11 Contact fall 10 60,928 6.6% % Change FL10 over FL09 fall 10 60,670 15.4% % Change FL10 over FL09 258 Actual over Budget

spring 11 56,920 1.4% % Change SP11 over SP10 spring 11 56,769 12.4% % Change SP11 over SP10 151 Actual over Budget

summer 11 10,271 5.2% % Change SU11 over SU10 summer 11 8,460 16.8% % Change SU11 over SU10 1,811 Actual over Budget

2011-12 Contact fall 11 56,773 -6.8% % Change FL11 over FL10 fall 11 62,038 2.3% % Change FL11 over FL10 -5,265 Actual under Budget

spring 12 53,213 -6.5% % Change SP12 over SP11 spring 12 57,443 1.2% % Change SP12 over SP11 -4,230 Actual under Budget

summer 12 8,538 -16.9% % Change SU12 over SU11 summer 12 9,849 16.4% % Change SU12 over SU11 -1,311 Under Budget Projection

2012-13 Contact fall 12 52,499 -7.5% % Change FL12 under FL11 fall 12 56,560 -8.8% % Change FL12 under FL11 -5,265 Actual under Budget

spring 13 49,004 -7.9% % Change SP13 under SP12 spring 13 54,964 -4.3% % Change SP13 under SP12 -4,230 Actual under Budget

summer 13 7,398 -13.4% % Change SU13 under SU12 *summer 13 8,205 -16.7% % Change SU13 under SU12 -807 Under Budget Projection



summer 14 6,380 -13.8% % Change SU13 under SU12 *summer 14 9,090 10.8% % Change SU13 under SU12 -2,710 Under Budget Projection



*summer 15 6,226 -2.4% % Change SU13 under SU12 *summer 15 7,294 -19.8% % Change SU13 under SU12 -1,068 Under Budget Projection

*summer 2015 is a projection. Registration is still in progress.

44

Tuition History

FY10 FY12 % Incr. FY13 % Incr. FY14 % Incr. FY15 % Incr. FY16 % Incr.ACTUAL

In district $77.40 $82.09 3.0% $84.55 3.0% $86.30 2.1% $90.90 5.3% $96.35 6.0%

Out of district $146.00 $159.39 5.0% $165.77 4.0% $170.90 3.1% $180.00 5.3% $190.80 6.0%

Out of State $187.00 $204.23 5.0% $212.39 4.0% $218.85 3.0% $234.65 7.2% $248.75 6.0%

International $281.60

RevenueTuition and Fees 19,199,480 22,296,181 5.8% 21,811,627 -2.2% 23,534,930 7.9% 23,765,353 1.0% 24,834,033 4.5%Property Taxes 9,530,218 9,129,699 -2.4% 9,155,051 0.3% 9,309,578 1.7% 9,464,797 1.7% 9,763,411 3.2% Total Local Sources 28,729,698 31,425,880 3.3% 30,966,678 -1.5% 32,844,508 6.1% 33,230,150 1.2% 34,597,444 4.1%State Sources 8,681,997 8,434,449 -2.9% 8,714,823 3.3% 8,838,600 1.4% 9,094,919 2.9% 9,195,100 1.1%Federal Sources 443,400 1,261,779 172.1% 1,013,589 -19.7% 524,000 -48.3% 524,000 0.0% 524,000 0.0%Private Sources 239,282 291,218 30.5% 284,500 -2.3% 277,000 -2.6% 345,000 24.5% 375,000 8.7%Investment Income 530,992 409,843 402.9% 358,000 -12.6% 358,000 0.0% 274,000 -23.5% 274,000 0.0%Other Sources 383,652 346,854 1.8% 301,994 -12.9% 310,450 2.8% 298,250 -3.9% 298,250 0.0% Total Revenues 39,009,021 42,170,022 5.0% 41,639,584 -1.3% 43,152,558 3.6% 43,766,319 1.5% 45,263,794 3.5%

Percent of RevenueTuition and Fees 49.2% 52.9% 52.4% 54.5% 54.3% 54.9%Property Taxes 24.4% 21.6% 22.0% 21.6% 21.6% 21.6% Total Local Sources 73.6% 74.5% 74.4% 76.1% 75.9% 76.4%State Sources 22.3% 20.0% 20.9% 20.5% 20.8% 20.3%Federal Sources 1.1% 3.0% 2.4% 1.2% 1.2% 1.2%Private Sources 0.6% 0.7% 0.7% 0.6% 0.8% 0.8%Investment Income 1.4% 1.0% 0.9% 0.8% 0.6% 0.6%Other Sources 1.0% 0.8% 0.7% 0.7% 0.7% 0.7% Total Revenues 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%

05.05.15 ` `

DRAFT

DRAFT BUDGETACTUALACTUAL BUDGET

ACTUALACTUALACTUAL ACTUAL

ACTUALACTUAL

45

General Fund Budget - Sources of Revenue

State Aid35%

Tuition & Fees36%

Property Tax25%

Other4%

2002 - 2003

State Aid21%

Tuition & Fees, 54%

Property Tax, 22%

Other3%

2014 - 2015

State Aid20%

Tuition & Fees55%

Property Tax22%

Other3%

2015 - 2016

46

College Tuition & Fees Property Tax State Aid Other

Mid-Michigan 72% 9% 18% 1%

Henry Ford 59% 13% 26% 2%

Jackson 58% 12% 30% 0%

Schoolcraft 52% 31% 17% 1%

Grand Rapids 51% 32% 16% 1%

Bay-de-Noc* 50% 21% 28% 1%

NMC 50% 25% 24% 1%

Southwestern 50% 21% 27% 2%

Mott 47% 31% 19% 3%

Muskegon 45% 27% 26% 1%

Alpena 43% 19% 38% 0%

Lansing 43% 30% 25% 2%

Macomb 43% 29% 25% 3%

Delta 42% 36% 22% 1%

Gogebic* 42% 14% 43% 0%

Kalamazoo 41% 35% 23% 1%

Kellogg* 41% 32% 24% 2%

St. Clair 41% 33% 23% 3%

North Central 40% 39% 19% 1%

Monroe 39% 44% 16% 1%

Kirtland 38% 43% 18% 1%

Lake Michigan 37% 46% 16% 0%

Montcalm 37% 40% 22% 2%

Oakland 35% 51% 14% 0%

Washtenaw 33% 48% 13% 5%

Glen Oaks 31% 47% 22% 1%

Wayne 31% 55% 13% 2%

Westshore* 23% 61% 16% 0%

State Average 43% 35% 20% 2%

*building and site millage

Sorted by tuition & fees

Revenue source data from ACS 2013-2014 Fiscal year

table 23

Revenue Sources

47

All Community Colleges

For Years 2010-2014

In District Tuition History

Sorted highest to lowest Fall 2014 tuition

Tuition % of Fall % of Fall % of Fall % of Average % change

College Basis 2010 2011 Change 2012 Change 2013 Change 2014 Change Since 2010

Mott Community College Contact 93.51 103.37 10.54% 112.64 8.97% 119.87 6.42% 122.50 2.19% 7.03%

Jackson Community College Contact 95.00 100.50 5.79% 106.00 5.47% 111.00 4.72% 117.00 5.41% 5.35%

Muskegon Community College Credit 77.00 81.50 5.84% 85.50 4.91% 89.50 4.68% 116.00 29.61% 11.26%

Alpena Community College Contact 92.00 99.00 7.61% 106.00 7.07% 111.00 4.72% 115.00 3.60% 5.75%

Southwestern Michigan College Credit 93.75 99.25 5.87% 104.25 5.04% 109.50 5.04% 111.25 1.60% 4.38%

Bay De Noc Community College Contact 91.00 97.00 6.59% 99.00 2.06% 103.00 4.04% 107.00 3.88% 4.14%

Grand Rapids Community College Contact 89.50 95.50 6.70% 98.00 2.62% 103.00 5.10% 106.00 2.91% 4.33%

Wayne County Community College Credit 79.00 89.00 12.66% 99.00 11.24% 102.00 3.03% 105.00 2.94% 7.47%

Gogebic Community College Credit 90.00 96.00 6.67% 99.00 3.13% 102.00 3.03% 102.00 0.00% 3.21%

Mid-Michigan Community College Contact 84.00 88.00 4.76% 92.50 5.11% 98.50 6.49% 101.00 2.54% 4.73%

Kirtland Community College Credit 81.50 86.00 5.52% 92.00 6.98% 96.00 4.35% 99.00 3.13% 4.99%

St. Clair County Community College Contact 89.00 91.00 2.25% 94.50 3.85% 96.00 1.59% 99.00 3.13% 2.70%

Kellogg Community College Credit 76.50 80.50 5.23% 84.50 4.97% 90.50 7.10% 96.50 6.63% 5.98%

North Central Michigan College Credit 72.00 74.50 3.47% 77.50 4.03% 87.00 12.26% 96.00 10.34% 7.53%

Montcalm Community College Contact 79.00 83.00 5.06% 87.00 4.82% 91.00 4.60% 96.00 5.49% 4.99%

Monroe County Community College Credit 78.00 83.00 6.41% 84.00 1.20% 92.00 9.52% 95.00 3.26% 5.10%

Glen Oaks Community College Contact 80.00 85.00 6.25% 90.00 5.88% 95.00 5.56% 95.00 0.00% 4.42%

Schoolcraft College Credit 80.00 84.00 5.00% 87.00 3.57% 90.00 3.45% 93.00 3.33% 3.84%

Washtenaw Community College Credit 87.00 88.00 1.15% 89.00 1.14% 91.00 2.25% 93.00 2.20% 1.68%

Delta College Credit 82.00 84.00 2.44% 86.00 2.38% 88.50 2.91% 91.70 3.62% 2.84%

Macomb Community College Credit 80.00 84.00 5.00% 89.00 5.95% 89.00 0.00% 91.50 2.81% 3.44%

Kalamazoo Valley Community College Credit 76.50 79.50 3.92% 83.50 5.03% 88.00 5.39% 91.00 3.41% 4.44%

Northwestern Michigan College Contact 79.70 82.10 3.01% 84.60 3.05% 86.30 2.01% 90.90 5.33% 3.35%

Lake Michigan College Credit 77.00 81.00 5.19% 83.00 2.47% 87.00 4.82% 89.50 2.87% 3.84%

West Shore Community College Credit 76.00 79.00 3.95% 83.00 5.06% 86.00 3.61% 88.75 3.20% 3.96%

Henry Ford Community College Credit 70.00 75.00 7.14% 75.00 0.00% 82.00 9.33% 87.00 6.10% 5.64%

Lansing Community College Credit 76.00 79.00 3.95% 81.00 2.53% 83.00 2.47% 85.00 2.41% 2.84%

Oakland Community College Credit 66.70 66.70 0.00% 71.40 7.05% 76.40 7.00% 82.00 7.33% 5.34%

*NMC ranked lowest in average percentage change for the past 10 years.

04.09.15

48

Fall 2014 Fall 2013

College

1 Southwestern 111.25 2,635.00 15 175.67 171.42 2.5% 157.9%

2 Mott 122.50 2,054.78 12 171.23 154.38 10.9% 139.8%

3 Jackson 117.00 2,567.00 15 171.13 163.93 4.4% 146.3%

9 Muskegon 116.00 2,219.50 14 158.54 140.43 12.9% 136.7%

7 Bay De Noc 107.00 2,140.00 14 152.86 146.63 4.2% 142.9%

5 Alpena 115.00 2,011.00 14 143.64 137.47 4.5% 124.9%

4 Lake Michigan 89.50 2,002.50 14 143.04 139.29 2.7% 159.8%

6 Schoolcraft 93.00 2,076.00 15 138.40 122.67 12.8% 148.8%

11 Glen Oaks 95.00 1,997.00 15 133.13 125.13 6.4% 140.1%

16 St. Clair 99.00 1,858.00 14 132.71 127.27 4.3% 134.1%

10 Kirtland 99.00 1,857.50 14 132.68 129.46 2.5% 134.0%

8 Monroe 95.00 1,715.00 13 131.92 128.46 2.7% 138.9%

12 Gogebic 102.00 1,974.00 15 131.60 134.15 -1.9% 129.0%

18 Grand Rapids 106.00 1,836.50 14 131.18 127.61 2.8% 123.8%

17 North Central 96.00 1,819.00 14 129.93 117.96 10.1% 135.3%

14 Montcalm 96.00 1,800.00 14 128.57 122.86 4.6% 133.9%

13 Mid Michigan 101.00 1,669.00 13 128.38 125.15 2.6% 127.1%

15 Northwestern 90.90 1,900.00 15 126.67 120.79 4.9% 139.4%

23 Henry Ford 87.00 1,724.00 14 123.14 118.14 4.2% 141.5%

21 Delta 91.70 1,839.50 15 122.63 111.03 10.4% 133.7%

20 Wayne 105.00 1,581.00 13 121.62 118.62 2.5% 115.8%

19 Kellogg 96.50 1,659.00 14 118.50 106.04 11.8% 122.8%

22 Washtenaw 93.00 1,650.00 15 110.00 108.00 1.9% 118.3%

25 Lansing 85.00 1,744.00 16 109.00 110.31 -1.2% 128.2%24 West Shore 88.75 1,508.25 14 107.73 105.00 2.6% 121.4%

26 Macomb 91.50 1,606.50 15 107.10 104.47 2.5% 117.0%

27 Kalamazoo 91.00 1,486.00 14 106.14 93.57 13.4% 116.6%

28 Oakland 82.00 1,228.00 14 87.71 82.11 6.8% 107.0%

Average $98.66 $1,862.79 14.21 $131.24 $124.73 5.2%

High $122.50 $2,635.00 $175.67 $171.42

Low $82.00 $1,228.00 $87.71 $82.11

Introduction to Biology, Introduction to Psychology, Intermediate Algebra, English Comp

Sorted by Fall 2014 per credit cost

a) Survey cost was based on the following courses:

MCCBOAFall 2014 In District Tuition and Fees Comparison

Cost per

Credit

Cost per

Credit

%

increase

Cost over

Tuition(a) Survey Cost Tuition Rate Credits

4/16/2015

49

Out of District Tuition History


For Years 2010-2014

(Sorted highest to lowest on 2014 tuition)

Tuition % of Fall % of Fall % of Fall % of

Basis 2010 2011 Change 2012 Change 2013 Change 2014 Change

Grand Rapids Community College Contact 196.00 209.50 6.89% 215.00 2.63% 222.00 3.26% 228.00 2.70%

St. Clair County Community College Contact 170.00 177.00 4.12% 184.00 3.95% 187.00 1.63% 192.00 2.67%

Bay De Noc Community College Contact 154.00 172.00 11.69% 177.00 2.91% 183.00 3.39% 188.00 2.73%

Mid-Michigan Community College Contact 160.00 171.00 6.88% 172.00 0.58% 182.00 5.81% 185.00 1.65%

Mott Community College Contact 139.99 154.74 10.54% 166.34 7.50% 174.00 4.61% 183.48 5.45%

Alpena Community College Contact 138.00 154.00 11.59% 166.00 7.79% 175.00 5.42% 181.00 3.43%

Montcalm Community College Contact 146.00 153.00 4.79% 164.00 7.19% 171.00 4.27% 180.00 5.26%

Northwestern Michigan College Contact 151.80 159.40 5.01% 165.90 4.08% 170.90 3.01% 180.00 5.32%

Muskegon Community College Credit 135.00 143.00 5.93% 153.00 6.99% 160.00 4.58% 178.00 11.25%

Monroe County Community College Credit 130.00 138.00 6.15% 144.00 4.35% 158.00 9.72% 175.00 10.76%

Lansing Community College Credit 140.00 158.00 12.86% 162.00 2.53% 166.00 2.47% 170.00 2.41%

Kellogg Community College Credit 124.00 130.00 4.84% 137.12 5.48% 147.00 7.21% 169.50 15.31%

Jackson Community College Contact 135.00 141.50 4.81% 159.00 12.37% 161.00 1.26% 161.00 0.00%

West Shore Community College Credit 133.00 138.00 3.76% 150.00 8.70% 155.00 3.33% 160.00 3.23%

North Central Michigan College Credit 118.50 123.00 3.80% 128.00 4.07% 144.00 12.50% 158.75 10.24%

Glen Oaks Community College Contact 120.00 128.00 6.67% 138.00 7.81% 153.00 10.87% 158.00 3.27%

Kalamazoo Valley Community College Credit 126.00 132.00 4.76% 136.00 3.03% 151.00 11.03% 156.00 3.31%

Delta College Credit 124.00 130.00 4.84% 135.00 3.85% 142.00 5.19% 154.00 8.45%

Oakland Community College Credit 113.00 118.00 4.42% 125.30 6.19% 139.00 10.93% 154.00 10.79%

Henry Ford Community College Credit 130.00 135.00 3.85% 135.00 0.00% 142.00 5.19% 149.25 5.11%

Washtenaw Community College Credit 138.00 143.00 3.62% 149.00 4.20% 146.00 -2.01% 149.00 2.05%

Southwestern Michigan College Credit 120.50 128.25 6.43% 134.75 5.07% 142.00 5.38% 144.25 1.58%

Gogebic Community College Credit 116.00 128.00 10.34% 134.00 4.69% 140.00 4.48% 144.00 2.86%

Macomb Community College Credit 122.00 128.00 4.92% 136.00 6.25% 136.00 0.00% 140.00 2.94%

Lake Michigan College Credit 114.00 122.00 7.02% 128.00 4.92% 134.00 4.69% 138.40 3.28%

Kirtland Community College Credit 118.00 120.00 1.69% 128.00 6.67% 134.00 4.69% 137.00 2.24%

Schoolcraft College Credit 118.00 123.00 4.24% 127.00 3.25% 131.00 3.15% 135.00 3.05%

Wayne County Community College Credit 100.00 110.00 10.00% 110.00 0.00% 113.00 2.73% 116.00 2.65%

04.09.15

50

Out of State Tuition History


For Years 2010-2014

(Sorted highest to lowest on 2014 tuition)

Tuition % of Fall % of Fall % of Fall % of

College Basis 2010 2011 Change 2012 Change 2013 Change 2014 Change

Mid-Michigan Community College Contact 293.00 313.00 6.83% 324.00 3.51% 343.00 5.86% 488.00 42.27%

Grand Rapids Community College Contact 293.00 313.50 7.00% 322.00 2.71% 328.50 2.02% 338.00 2.89%

Bay De Noc Community College Contact 199.00 296.50 48.99% 297.00 0.17% 315.00 6.06% 330.00 4.76%

Delta College Credit 180.00 190.00 5.56% 200.00 5.26% 275.00 37.50% 299.00 8.73%

St. Clair County Community College Contact 247.00 258.00 4.45% 268.00 3.88% 272.00 1.49% 281.00 3.31%

Montcalm Community College Contact 217.00 228.00 5.07% 244.00 7.02% 254.00 4.10% 267.00 5.12%

Mott Community College Contact 197.13 215.86 9.50% 243.00 12.57% 254.00 4.53% 261.40 2.91%

Lansing Community College Credit 210.00 237.00 12.86% 243.00 2.53% 249.00 2.47% 255.00 2.41%

Muskegon Community College Credit 185.00 196.00 5.95% 210.00 7.14% 220.00 4.76% 244.00 10.91%

Kellogg Community College Credit 184.50 192.50 4.34% 206.50 7.27% 220.50 6.78% 237.00 7.48%

Northwestern Michigan College Contact 194.50 204.25 5.01% 212.45 4.01% 218.85 3.01% 234.65 7.22%

Jackson Community College Contact 191.00 200.00 4.71% 212.00 6.00% 216.00 1.89% 234.00 8.33%

Kirtland Community College Credit 184.00 199.00 8.15% 212.00 6.53% 221.00 4.25% 227.00 2.71%

Oakland Community College Credit 158.40 158.40 0.00% 175.80 10.98% 195.15 11.01% 216.00 10.68%

Kalamazoo Valley Community College Credit 170.00 180.00 5.88% 184.00 2.22% 204.00 10.87% 211.00 3.43%

West Shore Community College Credit 178.00 185.00 3.93% 200.00 8.11% 205.00 2.50% 210.00 2.44%

North Central Michigan College Credit 153.00 158.75 3.76% 165.25 4.09% 185.50 12.25% 204.75 10.38%

Schoolcraft College Credit 176.00 181.00 2.84% 188.00 3.87% 195.00 3.72% 199.00 2.05%

Washtenaw Community College Credit 181.00 186.00 2.76% 194.00 4.30% 194.00 0.00% 197.00 1.55%

Monroe County Community College Credit 144.00 153.00 6.25% 160.00 4.58% 176.00 10.00% 193.00 9.66%

Glen Oaks Community College Contact 150.00 160.00 6.67% 176.00 10.00% 185.00 5.11% 191.00 3.24%

Lake Michigan College Credit 149.00 159.00 6.71% 169.00 6.29% 179.50 6.21% 184.70 2.90%

Alpena Community College Contact 138.00 154.00 11.59% 166.00 7.79% 175.00 5.42% 181.00 3.43%

Macomb Community College Credit 159.00 167.00 5.03% 176.00 5.39% 176.00 0.00% 181.00 2.84%

Gogebic Community College Credit 144.00 158.00 9.72% 165.00 4.43% 171.00 3.64% 173.00 1.17%

Southwestern Michigan College Credit 131.00 139.75 6.68% 146.75 5.01% 154.00 4.94% 157.00 1.95%

Henry Ford Community College Credit 135.00 140.00 3.70% 140.00 0.00% 154.25 10.18% 154.25 0.00%

Wayne County Community College Credit 130.00 140.00 7.69% 140.00 0.00% 143.00 2.14% 146.00 2.10%

04.09.15

51

MICHIGAN UNIVERSITIES

Fall 2013 Fall 2014 Fall 2013 Fall 2014

Current Tuition Rates

IN-STATE

FY13

IN-STATE

FY14-15

%

CHANGE

OUT-OF-STATE

FY13

OUT-OF-STATE

FY14-15

%

CHANGE

CENTRAL MICHIGAN UNIVERSITY 374.00 385.00 3% 789.00 789.00 0%

EASTERN MICHIGAN UNIVERSITY 257.00 274.80 7% 756.00 809.55 7%

FERRIS STATE UNIVERSITY 365.00 373.00 2% 548.00 560.00 2%

GRAND VALLEY STATE UNIVERSITY 435.00 448.00 3% 629.00 642.00 2%

LAKE SUPERIOR STATE UNIVERSITY 410.00 422.00 3% 615.00 633.00 3%

MICHIGAN STATE UNIVERSITY 429.00 440.00 3% 1127.00 1165.60 3%

MICHIGAN TECH UNIVERSITY 510.00 520.00 2% 1050.00 1082.00 3%

NORTHERN MI UNIVERSITY 350.00 361.00 3% 561.00 579.80 3%

OAKLAND UNIVERSITY 354.00 354.00 0% 796.00 796.00 0%

SAGINAW VALLEY STATE 266.00 275.00 3% 645.00 665.70 3%

UNIVERSITY OF MICHIGAN 531.00 552.00 4% 1674.00 1732.00 3%

WAYNE STATE UNIVERSITY 326.00 336.00 3% 747.00 794.00 6%

WESTERN MICHIGAN COLLEGE 327.00 338.70 4% 803.00 830.90 3%

AVERAGE 379.54 390.73 3% 826.15 852.27 3%

source of data: individual university web pages

Fall tuition is set at late spring Board meetings.

02.18.15

S:\Administrative Services\Budget Binder Working\FY16\Section 3 - Revenue\word excel done\5Tuition University rates 02.18.15 cjm.xlsxcjo

52

PROPERTY TAX ANALYSIS

Year Taxable Value

% Change

in TV Millage

% Change

in Millage Budget Actual Difference

% Change in

Budget Amt

2005 $3,582,498,474 7.18% 2.21 -0.89% 7,335,233 7,328,760 -6,473 -0.09%

2006 $3,899,168,734 8.84% 2.18 -1.31% 7,734,322 7,732,958 -1,364 -0.02%

2007 $4,186,312,845 7.36% 2.17 -0.64% 8,362,268 8,292,868 -69,400 -0.84%

2008 $4,324,888,638 3.31% 2.17 0.00% 8,864,004 8,841,503 -22,501 -0.25%

2009 $4,478,431,081 3.55% 2.17 0.00% 9,218,564 9,197,900 -20,664 4.00%

2010 $4,392,056,777 1.50% 2.17 0.00% 9,437,988 9,512,115 74,127 2.38%

2011 $4,349,332,629 1.50% 2.17 0.00% 9,346,057 9,340,301 -5,756 -0.97%

2012 $4,285,384,931 -1.00% 2.17 0.00% 9,309,846 9,120,000 -189,846 -0.39%

2013 $4,188,963,770 -2.25% 2.17 0.00% 9,090,051 9,178,683 88,632 -2.36%

2014 $4,283,215,455 2.25% 2.17 0.00% 9,294,578 9,346,990 52,412 2.25%

FY15-budget $4,354,745,153 1.67% 2.17 0.00% 9,449,797 1.67%

FY16-budget $4,424,421,075 1.60% 2.17 0.00% 9,600,994 1.60%

FY17-budget $4,468,665,286 1.00% 2.14 -1.38% 9,562,944

FY18-budget $4,513,351,939 1.00% 2.14 0.00% 9,658,573

FY19-budget $4,558,485,458 1.00% 2.14 0.00% 9,755,159

Penalties Budget Actual Difference

2005 13,500 7,157 -6,343 -88.64%

2006 14,243 12,371 -1,871 -15.13%

2007 0 15,995 15,995 100.00%2008 13,000 19,429 6,429 33.09%2009 13,000 18,073 5,073 28.07%2010 13,000 18,103 5,103 28.19%2011 15,000 9,401 -5,599 -59.55%2012 15,000 19,800 4,800 24.24%2013 15,000 17,368 2,368 13.63%

FY14-Budget 15,000 5,715 -9,285 -162.47%FY15-Budget 15,000

FY16-Budget 15,000

FY17-Budget 15,000

FY18-Budget 15,000

FY19-Budget 15,000

TOTAL Taxes & Penalties (Actual Variances) Budget Actual Difference

2005 7,348,733 7,335,917 -12,816 -0.17%

2006 7,748,565 7,745,329 -3,235 -0.04%

2007 8,362,268 8,308,863 -53,405 -0.64%

2008 8,877,004 8,860,932 -16,072 -0.18%2009 9,231,564 9,215,973 -15,591 -0.17%2010 9,450,988 9,530,218 79,230 0.83%2011 9,361,057 9,349,702 -11,355 -0.12%2012 Signigicant board of review changes 9,324,846 9,139,800 -185,046 -2.02%2013 9,105,051 9,196,051 91,000 0.99%2014 9,309,578 9,352,705 43,127 0.46%2015 0

Total 88,119,654 88,035,490 -84,164 -0.10%

TIFs 107,000,000

53

Salaries & Benefits

54

Salary & Benefits Considerations Contained in this section:

Salaries & Benefits

1. Total Compensation Budget

2. Salary and Benefits Charts

3. Faculty and Staff Headcount History: The headcount history provides a picture of the changing NMC workforce by employee

classification. The headcount is taken the first day of every November.

4. The NMC Benefits Plan: This is a summary report of the College’s insurance benefits and historical costs.

55

Total Compensation

The purpose of NMC’s compensation system is to support the attraction, development, and retention of high-quality talent to fulfill the mission and vision of the college. It is a comprehensive system that includes pay, benefits, performance/recognition, development/career opportunities, and work life components. The goal of the compensation system is to be equitable, transparent, and consistent and to support NMC values of lifelong learning, exceeding expectations for quality and service, valuing all people, responsible stewardship, innovation, and thoughtful risk-taking.

Beginning in 2013, the College started a process of evaluating our compensation system to determine if the system supports the values that are important to our stakeholders. The stakeholders included all of our employees and our Board (as representatives of the public). The Compensation Committee presented its recommendation and findings to the Board of Trustees in at the October 14, 2014 study session. The 2016 working budget includes compensation adjustments for staff effective in January 2016. This adjustment will be reviewed once fall enrollment numbers are final. Based on on-going negotiations with the MEA there are not any changes in faculty compensation. Any adjustments in faculty compensation will be determined once we reach a settlement of a collective bargaining agreement for the Faculty union.

Compensation Identified budget impact for FY 2016 Pay & Benefits 2.00% budget impact or $226,000 (staff only) Performance, Recognition Supervisor training Development & Career Opportunities

Professional development budget at 2.25% of salaries and wages

Work-life Vacation and holiday pay

56

74.53%

10.53%

6.47%

8.47%

2002 Actual

Salary Miscellaneous Benefits Health Retirement

68.25%

5.93%

9.78%

16.05%

2014 Actual


69.67%

6.14%

9.56%

14.63%

2016 Draft Budget


57

NORTHWESTERN MICHIGAN COLLEGE

FACULTY AND STAFF HEADCOUNT HISTORY

(Headcount as of October 1, 1994-2006, November 1 from 2007 on)

CATEGORY 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994

Faculty 96 92 92 98 89 93 90 91 92 94 92 94 90 88 87 94 95 94 94 97 96Full time 93 88 88 90 81 87 84 85 88 91 88 90 88 88 87 92 92 90 86 91 90

Part time 3 4 4 8 8 6 6 6 4 3 4 4 2 0 0 2 3 4 8 6 6

FTE 95.04 89.50 89.36 92.20 84.09 89.00 86.17 88.14 89.54 92.04 89.42 91.80 89.00 88.00 87.00

Administrative 37 37 36 35 29 28 26 27 23 22 20 22 21 20 21 21 23 23 22 24 28Full time 36 36 35 34 29 28 26 27 23 22 20 22 21 20 21 21 23 23 22 24 28

Part time 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

FTE 36.23 36.33 35.33 34.21 28.33 28.00 26.00 27.00 23.00 22.00 20.00 22.00 21.00 20.00

Professional Staff 86 81 74 80 77 74 66 63 62 56 56 60 57 51 53 47 56 48 50 42 37Full time 80 76 70 76 75 73 65 62 59 53 54 55 55 49 51 44 51 43 43 36 30

Part time 6 5 4 4 2 1 1 1 3 0 2 5 2 2 2 3 5 5 7 6 7

FTE 84.35 79.375 71.375 77.4 75.30 73.33 65.49 62.56 61.29 54.79 55.02 58.53 56.47 50.47

Paraprofessional/Technical 44 46 47 50 40 46 50 49 48 46 44 43 44 40 40 37 26 23 23 21 20Full time 43 45 46 48 38 44 48 47 46 44 41 40 42 38 36 34 24 21 22 20 19

Part time 1 1 1 2 2 2 2 2 2 2 3 3 2 2 4 3 2 2 1 1 1

FTE 43.50 44.8 46.5 49.25 38.45 45.25 49 48.00 47.00 45.00 43.00 42.46 43.25 39.50

Support Staff 18 19 18 21 23 28 24 25 25 27 32 36 37 38 39 41 43 50 47 47 47Full time 17 18 17 18 20 25 21 21 22 25 27 29 31 32 34 36 37 41 40 36 37

Part time 1 1 1 3 3 3 3 4 3 2 5 7 6 6 5 5 6 9 7 11 10

FTE 17.36 18.74 17.87 20.96 24.37 27.77 22.90 23.57 24.09 26.42 29.74 33.78 34.78 35.82

Maintenance/Custodial 35 38 38 40 39 40 37 40 36 36 37 36 35 30 29 31 29 31 31 29 31Full time 35 38 38 40 39 40 37 40 36 36 37 36 35 30 29 31 29 31 31 29 31

Part time 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0FTE 35 38 38 40 39.20 39.69 36.52 40.00 36.00 36.00 37.00 36.00 35.00 30.00

Total Regular Employees 316 313 305 324 297 309 293 295 286 281 281 291 284 267 269 271 272 269 267 260 259Full time 304 301 294 306 282 297 281 282 274 271 267 272 272 257 258 258 256 249 244 236 235

Part time 12 12 11 18 15 12 12 13 12 10 14 19 12 10 11 13 16 20 23 24 24

FTE 311.4752 306.7427 298.4388 315.0166 289.74 303.04 286.07 289.27 280.92 276.25 274.18 284.57 279.50 263.79

Adjunct Faculty 191 192 209 212 224 206 191 179 179 168 167 178 163 154 153 137 141 148 122 119 125FTE 71.17 81.73 85.77 89.03 104.60 96.14 91.90 85.60 82.15 72.37 75.46 83.55 72.58 63.24 61.91

Student Employees 102 99 121 124 120 130 110 119 112 115 122 119 110 102 104 112 104 127 140 138 139FTE 34.1155 34.7033 40.828 43.5187 42.1513 46.48 40.15 43.10 43.04 43.41 42.29 39.84 38.97 35.27

Supplemental Employees 133 129 126 121 114 97 77 78 65 70 73 75 77 69 76 52 64 65 80 68 62FTE 71.2025 64.8693 65.033 66.0712 62.578 51.68 45.63 38.46 34.21 30.01 31.77 31.73 38.01 33.99

Report total 742 733 761 781 755 742 671 671 642 634 643 663 634 592 602 572 581 609 609 585 585

FTE 487.96 488.04 490.0686 522.64 499.07 497.34 463.75 456.43 440.32 422.04 423.70 439.69 429.06 396.29

Fall Student Headcount 4,542 4,727 4,847 5,168 5,440 5,068 4,564 4,507 4,393 4,382 4,423 4,358 4,341 4,173 4,075 4,085 4,031 3,894 3,918 3,937

Fall Contact Hours 48,721 51,199 52,499 56,613 60,916 55,907 50,645 50,784 49,143 48,803 48,609 46,466 44,968 42,822 41,086 41,527 40,579 38,676 38,741 38,358

4/24/2015Headcount History 2014.xlsx

58


Benefits At A Glance 2015

Benefit Available Plan Options

Medical Opt Out Medical Core High Deductible Health Plan

Medical Insurance

Opting Out – No medical coverage

(Must provide proof of insurance

coverage elsewhere)

$1,400 cash rebate (Taxable, non-

MPSERS wages)

Deductible: $250 Individual

$500 Family Co-insurance: 80% Plan Pays

20% You Pay

Co-pay: $20- office visit, urgent care visit,

chiropractic visit

$150- ER visit

Preventative Medical Care at 100%

Rx: $2.50 Generic (Generic

mandatory rule applies)

40% of brand name cost, minimum $20/maximum $40

Deductible – $1,300 Individual

$2,600 Family

100% Medical Paid after Deductible

After deductible is met, prescription

co-pay until $950 Individual/$1900

Family maximum out-of-pocket

expense on Rx only utilizing the

Core Plan Rx guidelines.

Preventative Medical Care at 100%

Health Savings Account (HSA)

NMC contribution:

$1,300 for Individual Plan $2,600 for Family Plan

Dental

Voluntary

Optional Dental Insurance

100% Preventative 85% Class II (filling, root canal, bite guards, denture repairs, tissue conditioning)

60% Class III (crowns, veneer fillings, dentures, bridges, implants)

60% Orthodontia Yearly maximum: $1,800

Lifetime orthodontia maximum: $2,000

Vision

Voluntary

Vision

Eye exam annually with no co-pay; $0 co-pay on lenses and frames with $200 allowance on frames every 12 months – or

- $200 for contact lenses every 12 months.

59

LTD Core Option I Option II

Long-Term Disability Insurance

Employer provided

Maximum: 60% of earnings, not to exceed $1,500/mo.

Minimum: the greater of $100 or

10%

Employee can purchase

Maximum: 60% of earnings, not to exceed $5,000/mo. Minimum: the

greater of $100 or 10%

Employee can purchase

Maximum: 70% of earnings, not to exceed $5,000/mo. Minimum: the

greater of $100 or 10%

Life/AD&D Core Voluntary

Employee Group Term Life and Accidental Death &

Dismemberment Insurance

Death Benefit $50,000 Term Life plus $50,000 Accidental Death &

Dismemberment for Full Time

Part Time benefit- $25,000

Employee can purchase additional Term Life/Accidental Death and

Dismemberment Insurance in increments of $10,000, up to maximum $500,000.

Some restrictions apply.

Spouse Group Term Life

Spouse can purchase Term Life Insurance in increments of $10,000, up to

maximum $500,000. Some restrictions apply.

Child Group Term Life

Employee can purchase Term Life Insurance for dependent children in increments

of $2,500, $5,000, $7,500, or $10,000 per child.

Flexible Spending Accounts Available- all Medical Plans

Dependent Care Available – Meritain Health

Health Care Available – Meritain Health

Limited Flexible Spending Account Available – Meritain Health

HSA High Deductible Health Plan

Health Savings Account Available- Bank of Choice

60

Expense Considerations

61

Expense Considerations

Contained in this section are:

Expenses:

1. An Analysis of Expenses by Category w/graphs: This analysis provides a comparison of all major expense lines within the budget. The

percentage of change and comments explaining the changes are also included. The categories that experienced an increase are those

whose accounts have a direct association to learning (i.e., supplies); while those that experienced a decline are those whose accounts that

managers have re-directed resources or services are no longer needed. Increases are primarily the result of increased enrollment in

specialized programs or software licensing agreements.

2. An RFP Schedule: The RFP schedule is used to track contracts in terms of bid dates, contract rates, and savings obtained through the bid

process.

3. A Facilities Capital Funding Plan: This analysis is used to determine the facilities condition index (FCI) of the college’s infrastructure.

Based on the benchmark, the college has chosen to remain in the GOOD range (2.1%- to 5.0%). The FCI is calculated by taking all

deferred maintenance and dividing it by the replacement value. For purposes of this analysis the halls and apartments were removed from

the totals based on the plan set forth for each of these buildings. The physical education building was also removed from the analysis

pending further discussion. Other properties, such as Appel and the Farm, remain in the analysis, although there are no plans at this time

to expend monies on these properties. The second page of the analysis indicates the level of spending needed to remain within the GOOD

benchmark if the total cost of maintenance is spread over ten years. It is important to note that the analysis does not consider inflation or

the time value of money.

4. Activities Classification Structure (ACS) Data: The data provides comparisons of expenditures to colleges within NMC’s group of like

sized institutions and the state average for the expenditure categories.

62

NMC - Detailed Expense Accounts Actual 2011 Actual 2012 Actual 2013 Actual 2014

%

Change

Projection

2015 Budget 2015

Projected

Budget 2016

%

Change Comments for 2016 Budget

7100-Purchased Services

Audit 72,960 80,780 57,664 66,720 16% 76,707 71,500 71,500 0%

Legal 77,266 102,811 102,856 127,565 24% 120,000 80,000 107,000 34% Based on trend/need

Architect/Engineer/Design Services 1,495 2,783 - - - - 0 0 0%

Advertising 237,744 237,655 308,855 343,408 11% 324,700 289,700 296,390 2% Reallocation of budgets from other areas, MMTC promotional project for Training

Food 78,246 98,853 93,076 106,180 14% 107,869 107,869 107,869 0%

Commissions 575 325 325 975 200% 800 800 800 0%

Other Contractual labor 1,611,660 1,488,383 1,465,274 1,636,753 12% 1,705,569 1,596,974 1,732,999 9%

MSU-NMC Coordinator, WSI safety training, Training services contracts, Maritime

consortium fee and DOT drug testing.

TOTAL 2,079,946 2,011,589 2,028,050 2,281,601 13% 2,335,645 2,146,843 2,316,558 8%

7200-Supplies & Materials

Office Supplies 97,624 93,156 93,034 109,494 18% 104,893 104,893 104,555 0%

Software Licenses 240,216 282,662 237,509 218,961 -8% 215,990 215,990 283,965 31%

Reallocation of budgets from other areas, annual license fee increases, GLMA Navsim

technical assistance program, Human resources license renewal/implementation, and

new software for instructor stations in the Mac lab and Fine Arts lab

Classroom Supplies 384,451 407,739 341,393 386,439 13% 375,593 380,593 395,647 4% Culinary, engineering tech, and GLMA supplies

Fee Related Expense 358,092 398,607 452,962 462,880 2% 571,181 399,181 390,703 -2% Reduction in Construction trade, small increases in various other courses

Field Trip Expense 3,891 2,085 9,567 4,427 -54% 3,917 3,917 3,617 -8% Maritime

Culinary Alcohol Expense 4,542 5,056 5,028 6,641 32% 6,000 6,000 6,000 0%

General Supplies 355,961 352,707 394,388 364,342 -8% 378,749 388,076 400,419 3% Audio tech items to be used in all courses - guitars, bases, drums, amps, etc.

Furniture & Fixtures 149,773 95,384 140,060 121,061 -14% 195,775 195,775 239,418 22%

Budget move from capital to non-capital for Nursing lab, new manakin for nursing,

faculty office furniture needs, budget moved for Educational Media technology (EMT)

from data equipment

Data Equip 433,437 121,099 84,019 116,200 38% 76,398 51,398 28,380 -45% Budget moved to furniture & fixtures for EMT

Vehicles 15,536 14,863 27,420 28,714 5% 21,450 21,450 22,450 5%

Fuel 358,020 421,192 490,308 532,621 9% 536,282 595,282 537,713 -10% Reduction in aviation fuel costs

Printing 119,948 111,931 135,410 148,225 9% 160,856 160,856 184,961 15% Reallocation of budgets from other line items in planned giving and annual giving

Postage 154,062 120,352 108,994 132,891 22% 121,668 151,668 142,618 -6% Reallocation of budgets from other line items in planned giving and annual giving

Electronic Resources 53,832 47,729 62,729 70,608 13% 74,965 74,965 82,075 9% Increased vendor costs for library and advising

Periodicals 35,155 34,665 28,978 31,803 10% 31,395 31,395 31,947 2% Small changes in various departments

Books 6,601 6,263 5,619 9,660 72% 11,122 11,122 11,922 7% Small changes in various departments

Document Delivery 1,458 1,406 3,033 2,647 -13% 2,800 2,800 2,800 0%

Microfilm and Other Formats 14,858 6,083 11,610 12,984 12% 21,700 21,700 15,300 -29% Reduction for Educational Media Technology

Telecourse 4,404 4,365 5,175 4,020 -22% 3,400 3,400 0 -100% No longer used

Training Materials 38 1,132 11,590 359 -97% 3,000 6,100 15,500 154% Textbook fees for Offshore ROV Pilot Training

TOTAL 2,791,898 2,528,476 2,648,828 2,764,978 4% 2,917,134 2,826,561 2,899,990 3%

63


%

Change

Projection

2015 Budget 2015

Projected

Budget 2016

%


7400-Other Expenses

Commencement 18,804 18,419 13,275 14,969 13% 19,000 19,000 20,000 5% Increased costs

Permits & License 13,066 22,088 20,874 26,375 26% 27,371 32,371 35,208 9%State of MI fee for licensing radiography equipment, New Job Board license for

advising

Facility Rentals 37,343 1,825 1,560 1,775 14% 2,350 5,350 5,350 0%

Equipment Rental 368,853 -27,715 89,744 116,568 30% 354,475 119,475 378,075 216% Aviation helicopter rental (offset by increased revenu)

Freight 6,191 8,441 5,793 6,680 15% 10,000 10,000 10,000 0%

Transportation 6,255 2,054 5,155 5,618 9% 8,400 8,400 8,400 0%

Finance Charges 158,120 180,427 227,371 191,718 -16% 152,200 132,200 132,200 0%

Collection Costs 21,517 16,930 13,441 13,162 -2% 16,000 6,000 6,000 0%

Uncollectible Debt 251,926 467,242 339,388 218,422 -36% 300,000 300,000 300,000 0%

Stipends & Awards 14,654 16,766 16,317 20,373 25% 50,425 50,425 50,575 0%

Student Aid 12,009 11,305 13,032 203,688 1463% 83,100 103,100 28,950 -72% Reduction in differential tuition scholarships

Recruiting 114,976 86,863 98,855 159,090 61% 142,480 142,480 94,980 -33% Admissions recruiting costs

Property Tax Refund 80,901 87,565 16,044 35,002 118% 20,000 20,000 20,000 0%

Summer Tax Collection 26,508 27,204 26,646 26,814 1% 27,000 27,000 27,000 0%

Tuition Discount 49,366 44,967 47,615 17,029 -64% 25,000 25,000 25,000 0%

Senior Discount 16,490 15,725 17,003 18,022 6% 19,000 17,000 27,000 59% Increasing per trend

Native American Tuition Waiver 334,724 347,868 284,260 330,754 16% 285,000 330,000 330,000 0%

Miscellaneous 24,131 39,265 16,131 8,778 -46% 8,778 16,885 17,485 4% Small increases for Alumni and Water Studies

Events 97,902 99,586 113,186 192,828 70% 156,370 156,370 180,170 15%

Travel 88,395 76,366 71,513 92,441 29% 111,902 111,902 109,380 -2%

TOTAL 1,742,132 1,543,191 1,437,202 1,700,104 18% 1,818,851 1,632,958 1,805,773 11%

7500-Utilities

Electricity 587,180 605,276 592,069 671,079 13% 603075 603,075 620,000 3% GLMA vessel

Heating Fuel 224,555 205,783 216,034 287,025 33% 320000 320,000 300,000 -6%

Telephone 66,349 73,533 67,660 81,834 21% 75774 75,774 61,704 -19% Reallocation of budget to other line items for telephone operations budget

Modem Lines 0 517 480 480 0% 480 480 480 0%

Sewer 36,115 46,261 44,621 38,855 -13% 40000 45,000 45,000 0%

Water 30,347 47,804 44,821 43,944 -2% 40000 45,000 45,000 0%

Insurance 369,164 405,403 404,294 399,985 -1% 411400 411,400 406,500 -1% Savings in general institutional insurance

Snow Removal 182,194 116,858 146,929 192,141 31% 136283 125,000 148,000 18% Based on snow removal contract

Waste Collection 30,562 31,694 37,460 40,542 8% 40000 42,500 45,000 6% Per trend in waste costs

Cable Service 27,488 19,710 58,549 72,854 24% 64000 64,000 64,000 0%

TOTAL 1,553,954 1,552,841 1,612,916 1,828,738 13% 1,731,012 1,732,229 1,735,684 0%

64


%

Change

Projection

2015 Budget 2015

Projected

Budget 2016

%


7600-Maintenance & Renovations

Maintenance of Equipment 802,414 469,551 499,600 450,420 -10% 523,455 500,162 585,358 17%Annual maintenance costs for wireless network, repairs costs for Audio Tech

equipment, maintenance costs for aviaiton planes/equipment

Maintenance of Software 9,154 437,876 449,827 504,519 12% 694,747 694,747 757,470 9% New registration software for EES, Training, and other non-credit offerings

Maintenance of Food Service Equipment 6,377 12,509 8,744 11,588 33% 15,200 15,200 17,200 13% Culinary equipment repairs

Maintenance of Facilities 82,780 100,163 104,550 123,797 18% 110,350 110,350 123,100 12%Cabling costs including day-to-day repairs and additions/changes in data cable

locations

Maintenance of Grounds 59,354 42,288 55,817 52,416 -6% 50,000 50,000 50,000 0%

TOTAL 960,079 1,062,387 1,118,538 1,142,740 2% 1,393,752 1,370,459 1,533,128 12%

7700-Professional Development

Memberships 108,140 93,047 115,224 116,948 1% 124,798 144,798 160,574 11%

NOADN state chapter membership (Nursing), Campus Compact, Outreach Services

memberships in Campus Compact, US-Brazil Connect, Midwest International, and

others

Subscriptions 2,595 9,867 3,845 6,527 70% 6,524 4,175 3,475 -17% Small changes in various line items

Conferences and Events 436,822 409,700 523,734 507,270 -3% 532,657 562,657 613,963 9%

TOTAL 547,556 512,614 642,803 630,745 -2% 663,979 711,630 778,012 9%

65


Expenditures Comparison to Revenue

General Fund Budget

73%

6%

5%

2%

6%4%

2%2%

2002 - 2003

Salaries & Benefits Purchased Services

Supplies & Materials Other Expenses

Institutional Expenses Maintenance & Renovation

Events/Trvl/Prof. Devel. Capital Outlay & Plant Fund

69%6%

6%

5%

4%

3%3% 4%

2015 - 2016

Salaries & Benefits Purchased Services

Supplies & Materials Other Expenses

Institutional Expenses Maintenance & Renovation

Events/Trvl/Prof. Devel. Capital Outlay & Plant Fund

66

Description FY 2015 FY 2016 Strategic Fund 250,000 250,000 Funds for Transformation 50,000 50,000 Internal loans 46,929 Tac hours – Aviation (a) 359,434 360,000 Wellness (115,865) (115,865) Plant Fund new construction 500,000 Technology Fund 400,000 500,000 Facility Fee to Plant fund 40,000 40,000 Transfer in Funds for Transformation – Alumni costs

(16,500)

GLMA equipment reserve funds (25,000) Program Specific (b) 125,000 125,000 Total 1,155,502 1,667,635

a) Tac hours are used to record depreciation on aircraft. The amount is transferred to the Aviation Plant Fund to be reserved for future purchases.

b) The Program Specific transfer is the net revenue after accounting for any budgeted expenses related to the Culinary

Technology Fund and Nursing Simulation Fund.

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Requests for Proposals

Partial 2005 to Present

Contract Contract

Item Current Last Bid Next Bid Before After Estimated Annual Savings

Vendor Date Date RFP RFP And Comments

Property & Liability Insurance MCCRMA 1/24/2008 7/1/2015 $320,572 $239,091 $81,481 each year for 3 years

Health Insurance Meridan/Priority 7/1/2013 7/1/2016 $2,600,000 $2,500,000 $100,000 each year for 3 years

Workman's Comp Insurance SET-SEG 3/20/2008 7/1/2015 $95,959 $65,684 $30,275 each year for 3 years

Aviation Insurance Aerospace Risk Mgt 7/1/2012 7/1/2017 $85,148 $83,000 $2,148 each year for 3 years

Parking Lot Cleaning & Sealing Quality Seal 7/1/2013 As needed N/A $45,781 N/A awarded RFP; amount of work done each year varies

Maritime Insurance (Ships) Bonek Insurance 5/1/2012 As needed $38,500 $23,000 $15,500 each year for 3 years (renew 7/01/15)

Data Cabling Feyen-Zylstra 9/1/2013 N/A N/A $74,121 N/A awarded RFP

Wireless Network Netech 9/1/2013 N/A N/A $319,016 N/A awarded RFP

Copy Machine Maintenance Kopy Sales 8/1/2013 8/1/2018 $45,000 $45,000 $0 maintenace

Copy Machines Kopy Sales 8/1/2013 As needed N/A $79,541 N/A purchased 11 new machines

Snow Removal Quality Seal 10/1/2013 10/1/2016 $125,000 $135,000 ($10,000) may increase this year due to heavy snowfall

Waste Collection American Waste 9/1/2013 9/1/2016 $35,483 $25,560 $9,923 per year

Elevator Maintenance Kone Elevator 12/1/2012 12/31/2015 $19,000 $13,500 $5,500 per yearVending Canteen 2/1/2009 2/1/2014 ($25,750) ($18,500) ($7,250)

Fleet Management Enterprise Fleet 10/31/2014 10/3/2019 $73,255 $78,175 ($4,920) added additional vehicle to fleet for total of 13

Food Service Sodexo 2/1/2009 As needed $590,000 $590,000 $0

Facilities Management Sodexo 11/1/2005 6/30/2015 $500,000 $500,000 $0 bid costs equal, better level of service

Security Services DK Security 8/1/2012 8/1/2015 $340,000 $244,000 $96,000 Changed from Securitas to DK Security

Banking Fees Fifth Third 4/1/2010 4/1/2016 $48,889 $32,869 $16,020

Banking - Credit Card fees Fifth Third 4/1/2010 4/1/2016 0.0203 0.0200 N/A savings in discount rate

Audit Fees Rehmann 5/1/2012 2/1/2017 $75,000 $67,200 $7,800

Elevator Upgrades ThyssenKrupp 11/14/2007 As needed $87,200 $62,200 $25,000

Digital Sign-GL Campus Signplicity 8/1/2013 N/A $0 $18,789 N/A awarded RFP

Economic Impact Study W.E. UpJohn 8/1/2013 TBD $0 $12,500 N/A awarded RFP

Collection Services Core Recovery and M & M 1/1/2014 1/1/2017 $13,300 $12,000 $1,300 STUDENTS PAID $30K prior, and will now pay $23K

Class Schedules (EES & Academic) Stafford Media 2/1/2013 As needed $38,000 $25,000 $13,000 can be delted out- vendor not used anylonger- ees bids out yearly

Office Supplies Integrity Business 4/1/2014 6/30/2019 $65,000 $63,000 $2,000 plus 3% rebate

Community Attitute EMC Research 9/12/2014 TBD N/A $24,000 N/A

Civil Engineering Gosling/Czubak 9/15/2014 TBD N/A $16,900 $0

TOTALS $383,777 one year's savings

Canteen pays NMC 18% on food and .145 per unit in candy sales **no contract**

5/6/2015

68


Facilities Captial Funding Plan

(Based on Sodexho Analysis)

Facility Index Range (FCI) From To

Excellent (E) 0.0% 2.0%

Good (G) 2.1% 5.0%

Fair (F) 5.1% 10.0%

Poor (P) 10.0%

*Deferred MaintenanceFunding by Type of Need

Improve/ DM* -Repair/ Replacement

Buidling Name Function Replace Cyclical Total Value FCI%

Dennos Museum 37,500 202,557 45,000 285,057 11,720,400 1.73%

Scholars Hall 7,050 125,988 133,038 13,772,400 0.91%

Oterlin Library 197,250 0 197,250 10,769,400 1.83%

Power House 45,000 120,900 12,000 177,900 1,909,000 6.33%

Tanis 252,750 10,050 262,800 3,523,751 7.17%

Health/Science 22,500 75,000 97,500 16,687,151 0.45%

Founders Hall 70,800 0 70,800 1,046,100 6.77%

East Hall 120,000 702,998 21,000 843,998 10,547,400 6.67%

West Hall 136,745 205,950 342,695 8,431,111 1.62%

Clock Tower 0 0 12,500 0.00%

Fine Arts 12,000 315,912 22,500 350,412 4,243,400 7.44%

Apartment A 0 271,592 61,125 332,717 1,581,900 17.17%

Apartment B 0 275,240 44,625 319,865 1,581,900 17.40%

Apartment C 28,500 179,715 51,150 259,365 1,581,900 11.36%

James J. Beckett 25,248 111,150 0 136,398 7,332,800 1.52%

Oleson Center 0 0 0 0 2,198,400 0.00%

Rajkovich Phys. Education 67,500 460,567 75,593 603,660 4,955,700 9.29%

Farm 0 0 0 0 50,900 0.00%

Facilities Maintenance 0 13,129 0 13,129 927,700 1.42%

University Center 218,250 340,185 24,750 583,185 11,866,700 2.87%

Great Lakes Campus 157,500 10,500 127,500 295,500 19,348,200 0.05%

Automotive Technology 0 43,403 143,850 187,253 2,888,300 1.50%

Rogers Observatory 174,750 154,450 0 329,200 345,100 44.76%

Aero Park 0 3,443,100 0.00%

Parsen-Stulen 0 116,569 0 116,569 13,326,000 0.87%

69

Aviation 0 126,444 51,750 178,194 2,079,200 6.08%

Appel 0 9,750 0 9,750 134,900 7.23%

Athletic Fields 0 0 0 0 55,000 0.00%

Campus General 167,301 67,500 271,785 506,586 0

Utility Tunnels 0 0 0 0 1,639,000 0.00%

Biederman 0 221,627 75,000 296,627 6,936,197 3.20%

TOTALS 1,083,099 4,602,721 1,243,628 6,929,448 164,935,510 2.79% F ALL

Apartments- On Hold 28,500 726,547 156,900 911,947 4,745,700

0 0

Expenditures to Rajkovich267,500 460,567 75,593 603,660 4,955,700

Appel 9,750 0 9,750 134,900

TOTALS 987,099 3,405,857 1,011,135 5,404,091 155,099,210 2.20% G

Deferred Need % 63%Total Deferred Need $ 3,405,857Total Other Maintenance1,998,234

Cost of 5-yr Plan FY14 FY15 FY16 FY17FY18 FY18 Total Deferred need

Improve/Functionality 72,999 72,999 72,999 72,999 72,999 364,993 622,106

DM Repair/Replacement 851,872 851,872 851,872 851,872 851,872 1,259,361 2,146,496

Cyclical 74,776 74,776 74,776 74,776 74,776 373,881 637,254

TOTAL 999,647 1,099,647 999,647 999,647 999,647 1,998,234 3,405,857

Facilites Index Calculations Per Year1.65% 1.65% 1.65% 1.65% 1.65%

70


From: Vicki Cook, VP Finance and Administration

Date: May 5, 2015

Subject: Expenditure Comparison

Attached is a comparison of costs by function based on the State of Michigan Activities Classification Structure (ACS) codes. The basis for the selection was to compare NMC’s instructional, student services and administrative costs to colleges of similar size and the state average. The areas were selected to determine how we compare in costs related directly to students and costs related to administration. In summary the graphs show:

Expenses directly related to students are slightly higher than most in our reporting group

Student services and administrative costs are among the lowest in our group and below the state average

Salaries and benefits, as a percentage of expenses, is the lowest in our reporting group

NMC comparisons to benchmarked results have stayed consistent for the last five years A) Instructional Costs: NMC instructional costs is second highest for our group and above the state average. There are several high cost programs included in instruction such as Culinary, Maritime and Aviation. It has been a goal to ensure costs related to student success remain a priority for the college. B) Instructional Support: NMC costs are high in this category compared to most of our peers and above the state average. Although we are higher than four of the seven schools, the differences between four of the schools is not significant. Instructional support costs are hard to measure because it can be dependent on how the instructional administration of the college is designed. For example, NMC has multiple campuses, academic chairs and office support is not centralized. C) Student Services: NMC costs for student services are the second lowest in our reporting group. Additionally, we are significantly below the state average. Although our costs per headcount have increased over the last five years, this is reflective of declining student enrollment and the required level of service. For our peer group we have consistently ranked one of the lowest in this category. D) Administrative Costs: NMC costs are the second lowest in our reporting group and are below the state average. In the last five years we have seen our costs increase slightly in this category. E) Salaries and Benefit Costs: ACS data reports salaries and benefits as a percentage of expenses. NMC is the lowest in our reporting group and significantly below the state average. During the 2013 budget development NMC focused on reducing the total number of positions. The goal was to provide the college with a sustainable business model to attract and retain talent but to not significantly need to increase tuition rates.

MEMO


71

A) Instructional Costs: All activities carried out for the express purpose of eliciting some measure of educational change in a learner.

Data source: ACS table 32

72

B) Instructional support: Those activities carried out in support of the instructional program. Examples of activities

under this classification are library services, educational media technology, academic offices, faculty release for

curriculum development, CIE.


73

C) Student services: Those activities carried out with the objective of contributing to the emotional and physical well-being of the student, as well as intellectual, cultural, and social activities. Services include financial aid, counseling, advising, admissions, registrar, student records, school catalog, and health services.

2014 unduplicated headcount for each college College Unduplicated headcount

Jackson 8,714 Kellogg 12,740 Muskegon 7,799 Lake Michigan 6,163 Monroe 6,991 NMC 13,347 St. Clair 6,011 State average 14,706


74

D) Administrative costs: Those activities carried out to provide for both the day-to-day functioning and long-range viability of the institution as an organization. These costs include business office, cashiers, human resources, president’s office, strategic planning, purchasing and receiving, public relations, institutional research and alumni. This category can be higher than other schools due to the way we have designed some of our academic office areas.

Date source: ACS table 27

75

E) Salaries and Benefits costs: ACS data for salaries and benefits include general and board designated funds. For reporting expenses in ACS data transfers are not included. Our budget model when calculating the percentage of salaries and benefits as a percentage of expenses is General Fund only and does include transfers.

Data Source: ACS table 36

76

FY16 – FY20 Budget Model

77

General Tuition Rates Draft Budget 2016

Tuition category

Proposed Rate

Increase per contact hour

*Annual Average cost Increase to student

In-District $96.35 $5.45 $116.96 Out-of-District $190.80 $10.80 $231.76 Out-of-State $248.75 $14.10 $302.58 International $281.60 n/a New in 2016

*annual average cost increase to student based on average contact hours of 10.73 for fall and spring semester

Category

Proposed 2016 rate

Increase per contact hour

Tier 1 In-District $121.00 $3.55 Out-of-District $233.55 $6.80 Out-of-State $302.40 $8.85 Tier 2 In-District $147.15 $4.30 Out-of-District $282.45 $8.25 Out-of-State $376.50 $11.00 Tier 3 All categories $406.78 $7.98

78

Northwestern Michigan CollegeBudget Model: Projected FY16-FY19General Fund-Only

Proposed Proposed Proposed Proposed Proposedfuture years 3%/4%

FY15 FY16 FY 17 FY 18 FY 19Budget Budget Budget Budget Budget

RevenueTuition & Fees 23,630,086 24,794,833 25,409,997 26,273,437 26,787,115

135,267 39,200Property Taxes 9,464,797 9,763,411 9,724,776 9,821,874 9,919,943 Local Sources 33,230,150 34,597,444 35,134,774 36,095,311 36,707,057

State Sources* 9,094,919 9,195,100 9,195,100 9,195,100 9,195,100 Federal Sources 524,000 524,000 524,000 524,000 524,000 Private Sources 345,000 375,000 375,000 375,000 375,000Investment Income 274,000 274,000 274,000 274,000 274,000 Other Sources 298,250 298,250 298,250 298,250 298,250 Total Revenues 43,766,319 45,263,794 45,801,124 46,761,662 47,373,408

ExpendituresSalaries and Wages _ Curr. Emp. 21,625,115 21,832,823 22,173,644 22,727,985 23,296,184 Benefitsr_Curr. Emp. 9,117,098 9,505,515 9,534,667 9,773,033 9,773,033 S&B changes not included in HR budget (200,000) (200,000) (200,000) (200,000)

71 Purchased Services 2,146,843 2,316,558 2,339,724 2,363,121 2,386,75272 Supplies & Materials 2,826,561 2,899,990 2,928,990 2,958,280 2,987,86373 Internal Services 87,940 80,995 81,805 82,623 83,44974 Other Expenses 1,632,958 1,856,773 1,875,341 1,894,094 1,913,03575 Institutional Expenses 1,732,229 1,735,684 1,753,041 1,770,571 1,788,27776 Maintenance & Renovation 1,370,459 1,533,128 1,548,459 1,563,944 1,579,58377 Events/Trvl/Prof. Devel. 711,630 769,012 776,702 784,469 792,31479 COAT 260,338 262,941 265,570 268,226 270,908

0Capital Plant Funding 1,099,647 999,647 999,647 652,950 659,480Total Expenditures 42,610,817 43,593,065 44,077,589 44,639,296 45,330,879

Transfers 1,155,502 1,667,635 1,708,573 1,707,574 1,708,573Revenues Over (Under) Expenses (0) 3,094 14,962 414,791 333,956

Carry (Forward) or UseNet over or (Under) (0) 3,094 14,962 414,791 333,956

*Fiscal year 2013 include At Risk in state approriaton and $130,000 in transfer out

Salaries and Benefits as % ofRevenues Salaries as % of revenue 46.80% 45.71% 45.92% 46.16%Benefits as % of revenue 19.8% 20.0% 19.9% 20.0%Benefits as % of salaries 41.7% 43.1% 42.6% 42.6%Sal & Ben as % of revenue 70.2% 68.8% 68.8% 69.1%Sal & Benefits % of expense & transfers 70.2% 68.8% 68.8% 69.7%Sal & Benefits % of expense only 72.15% 71.43% 71.48% 72.36%

79


From: Stephen Siciliano, Vice President for Educational Services

Date: May 11, 2015

Subject: Working Capital Reserves Request Request: I am requesting the use of working capital reserves to fund three faculty and one staff position for up to two years from the college’s working capital reserves. The following amounts are the maximum funding needed for each of these positions; it is unlikely that the maximum amounts will be needed as we proceed to fill the positions. FY 2016 FY 2017 Maritime Engineering Department Head/Instructor $ 99,598.99 0 Nursing Mental Health Instructor $ 40,909.56 $ 40,909.56 Nursing Medical Surgical Instructor $ 81,819.12 0 Admissions Recruiter for the Culinary Institute $ 61,381.20 0______

Total $283,708.87 $ 40,909.56 Rationale: Maritime and Nursing Instructor Positions: I am requesting funding for these positions for the following reasons:

The complexity of the curriculum and regulations require time for the new candidates to work with current incumbents to be fully prepared to assume their responsibilities.

These are extremely difficult positions to fill and the college is building additional time to recruit successful candidates.

Admissions Recruiter for the Great Lakes Culinary Institute: I am requesting funding for this position for the following reasons:

Program enrollment has declined following the recent state recession leading to a reduction in efficiency metrics particularly in the second year.

Increased enrollment will fill current excess capacity and return the program to desired efficiency levels.

The position is expected to generate sufficient revenues to cover its expenses and contribute positive returns to the program.

I would be glad to explain in further detail my request. Thank you for your consideration.

MEMO Educational Services

80


BOARD OF TRUSTEES

SPECIAL MEETING MINUTES

Monday, April 20, 2015

at NMC Oleson Center, 1881 College Drive

At 2:00 p.m. there was an informal session to provide an opportunity for the ten trustee candidates and the

Board of Trustees, as well as others present, to meet one another.

CALL TO ORDER—Chair Douglas Bishop called the special meeting to order at 2:30 p.m.

ROLL CALL Trustees present: Douglas S. Bishop, Robert T. Brick, K. Ross Childs, Marilyn Gordon Dresser,

Steven G. Rawlings, Kennard R. Weaver

Trustees absent: None

Also present: President Timothy J. Nelson, Keith Adler, Allison Beers, Chris M. Bott, Vicki

Cook, Marguerite Cotto, Chris Dailey, Mark DeLonge, Richard Dresser, Diana

Fairbanks, Holly Gorton, Robert Hentschel, Gene Jenneman, Rachel Johnson,

Andy Kempf, Metta Lansdale, Thomas M. Lennox, James Levy, Todd Neibauer,

Susan Odgers, Jean Rokos, Matthew Schwarz, Stephen Silciliano, Courtney

Sorrell, Rebecca Teahen, Mike Walton, Chris Weber

REVIEW OF AGENDA—The agenda was accepted as presented.

DISCUSSION/ACTION

Trustee Search Committee Report on Trustee Selection Process—Kennard Weaver reported that

the Trustee Search Committee, appointed following the resignation of Cheryl Gore Follette, met on

March 25, 2015 and again on April 14, 2015. He explained that state statute declares a new trustee

has to be appointed to fill a vacancy within 30 days, at which time the TBAISD would appoint one.

Weaver shared that the goal of the committee was to be to be fair to all candidates by asking the

same questions and give candidates and trustees an opportunity to speak. He then gave an overview

of the recommended process to be used, which was provided in the materials packet.

Acceptance of Selection Process—Steve Rawlings made a motion, supported by Bob Brick, to

accept the Northwestern Michigan College Board of Trustees Selection Process as presented by

Trustee Search Committee. The motion passed with a unanimous vote.

Candidate Presentations and Clarifying Questions

All trustee candidates drew a number upon their arrival, which was the order used for the interview

process. All ten candidates had previously provided written answers to a standard set of questions,

which were included in the materials provided to the Board prior to the meeting.

Board Chair Doug Bishop thanked and accredited the well-qualified candidates interested in serving

on the NMC Board of Trustees. He encouraged candidates to continue their interest in applying or

running for the Board regardless of the current outcome. Bishop informed candidates of their choice

to leave the room during the interview process, if desired, and most did so at that time.

All ten candidates, in sequence order of the drawing, gave brief presentations to the Board and

addressed any clarifying questions they had.

81

Northwestern Michigan College April 20, 2015

2

PUBLIC INPUT—There was not public input offered.

DISCUSSION/ACTION

Discussion and Verbal Poll for Top Three Candidates—Following a brief discussion to clarify

the process, each NMC trustee completed a form indicating their personal selection of top three

candidates. That initial process identified the following top five candidates:

Allison Beers

Chris Bott

Rachel Johnson

Andrew Kempf

Thomas Lennox

Following a brief discussion, Steve Rawlings, supported by Bob Brick, made a motion to recast the

voting process seeking the top three candidates within the top five identified through the previous

vote. The motion passed with a unanimous vote.

The Board repeated the same personal selection process again indicating their top three candidates

from the previously identified top five candidates. That selection process identified the following

top three candidates:

Allison Beers

Chris Bott

Rachel Johnson

Selection of Top Three Candidates—Kennard Weaver, supported by Ross Childs, made a motion

that Alison Beers, Chris Bott, and Rachel Johnson be selected as the top three candidates to move

forward in the trustee selection process to fill the vacancy on the Northwestern Michigan Board of

Trustees for a term ending December 31, 2016. The motion passed with a unanimous vote.

The top three candidates selected were asked to attend the regular Board of Trustees meeting for the

final selection vote to occur at 5:30 p.m. that same evening in the same location. The Board

expressed their gratitude for the well-qualified set of candidates and encouraged them to remain

interested in NMC and the Board of Trustees.

ADJOURNMENT—The meeting adjourned at 3:38 p.m.

Recorded by Holly Gorton, Executive Assistant to the President and Board of Trustees.

SIGNED

Douglas S. Bishop, Chair

ATTESTED

K. Ross Childs, Secretary

82


BOARD OF TRUSTEES

MINUTES

Monday, April 20, 2015

at NMC Oleson Center, 1881 College Drive

CALL TO ORDER—Chair Douglas Bishop called the regular meeting to order at 5:30 p.m.

ROLL CALL Trustees present: Douglas S. Bishop, Robert T. Brick, K. Ross Childs, Marilyn Gordon Dresser,

Steven G. Rawlings, Kennard R. Weaver

Trustees absent: None

Also present: President Timothy J. Nelson, Alex Bloye, Lee-ellen Brown, Marguerite Cotto,

Hollie DeWalt, Diana Fairbanks, Tanya Firestone, Robert George, Glenn Gerring,

Holly Gorton, Nancy Gray, Laura Jaquish, Bronwyn Jones, Janet Lively, Kristy

McDonald, Todd Neibauer, Susan Odgers, Deb Pharo, Bob Rodriguez, Matt

Schwarz, Teresa J. Scollon, Mike Skarupinski, Cheryl Sullivan, Brian Sweeney,

Jenifer Witt, Richard Wolin

REVIEW OF AGENDA—The agenda was accepted as presented.

PUBLIC INPUT—Public input was received from Susan Odgers pertaining to the trustee search.

TRUSTEE APPOINTMENT

Trustee Search Committee Report—Kennard Weaver reported that the Trustee Search Committee

had met twice, on March 25, 2015, and April 14, 2015, to review potential search processes and

develop the adopted process, which he described.

Discussion of Top Three Candidates—The Board then discussed the top three candidates selected

during the special meeting held earlier that day at 2:00 p.m. The final three candidates were Allison

Beers, Chris Bott, and Rachel Johnson. The Board acknowledged that all three candidates were

exceptionally qualified to serve on the NMC Board of Trustees, and thanked the Search Committee

for developing a great selection process. Candidates were encouraged to stay involved with the

College regardless of the selection outcome.

Board Appointment—Kennard Weaver made a motion, supported by Steve Rawlings, that Allison

Beers be appointed to fill the vacancy on the Northwestern Michigan College Board of Trustees for a

term ending December 31, 2016. The motion failed by a majority vote.

Steve Rawlings made a motion, supported by Doug Bishop, that Rachel Johnson be appointed to fill

the vacancy on the Northwestern Michigan College Board of Trustees for a term ending December

31, 2016. The motion failed by a majority vote.

83


2

Ross Childs made a motion, supported by Kennard Weaver, that Chris M. Bott be appointed to fill

the vacancy on the Northwestern Michigan College Board of Trustees for a term ending December

31, 2016. The motion passed by a unanimous vote.

Chris Bott was informed of the requirement to sign acceptance and oath by April 22, 2015.

REPORTS

Enrollment Report—Chris Weber, Vice President for Enrollment Management and Student

Services, provided the enrollment report that included both summer and fall semesters at the given

date of the report count.

Financial Report—Vicki Cook, Vice President of Finance and Administration, provided the

monthly financial report, noting that tax revenue was approximately $19,000 above budget, and that

year-end projections were the same as reported last month.

Compensation/Classification Implementation Status Report—Marguerite Cotto, Vice President

for Lifelong and Professional Learning, provided a brief report this month on the implementation of

the compensation and classification plan, as the staff task force begins another round of research in

the classification piece.

Vice President Cotto then introduced Alex Bloye, the new Director of Aviation, replacing Aaron

Cook as he and UAS Program Manager Tony Sauerbrey leave NMC to move into the commercial

sector.

Policy Committee Report—Kennard Weaver, Committee representative, reported that the Board

Policy Committee had met under chair Cheryl Gore Follette just prior to last board meeting. The

Committee is recommending approval of several policies on this agenda for action to amend or

approve after review.

BBQ Board Report—Marilyn Dresser, Board representative, provided the BBQ Board report,

highlighting that $40,000 was anticipated to be raised to support approved projects. She noted ticket

sales were ongoing for the 60th NMC BBQ and referred people to the BBQ website.

Foundation Report—Doug Bishop, Board representative, referenced the Foundation Report

provided in the board meeting materials and shared that the next Foundation Board meeting was

scheduled for April 29, 2015, and the Foundation Finance and Audit Committee meets on April 22,

2015.

Rebecca Teahen, Executive Director for Resource Development and Foundation, then introduced

new Alumni Director Betsy Coffia.

Legislative Issues Report—President Timothy Nelson referenced the MCCA report on state

legislative issues provided in the meeting materials. He shared that the three current issues being

watched are the Senate Bill 98 by Senator Shirkey, which expands authority for community colleges

to offer baccalaureate degrees; Senate Bills 69-71, which makes changes to the Michigan New Jobs

Training Program to address the issue of minimum wage, eliminate the $50 million cap, and move

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the sunset date out five years; and the capital outlay projects. Nelson shared that he is meeting with

our local legislators and encouraged trustees to reach out as well.

UPDATES

Board Chair Update—Chair Doug Bishop thanked Kennard Weaver, Ross Childs and Steve

Rawlings on their committee work to get the trustee selection process completed within the short 30-

day window required, noting the exceptional candidates who applied. Bishop then appointed

Marilyn Dresser to the Policy Committee to fill the vacancy left by Cheryl Follette’s resignation.

President’s Update—President Nelson thanked all candidates, as well as the search committee for

their great work that resulted in an excellent set of candidates and process. Nelson also noted that

NCM Commencement was coming up on May 2 and Honor Convocation on May 1, sharing that

student Kathy Tahtinen has been named a 2015 Coca-Cola New Century Scholar.

DISCUSSION ITEMS

FY16 Budget—Vicki Cook, Vice President of Finance and Administration, provided an update on

the FY16 working budget. She reviewed major revenue assumptions and comparisons, the

allocation of resources, and scenarios with varied revenue and expense assumptions. Vice President

Cook received feedback from the Board and addressed questions on the scenarios presented. She

shared that next steps include review of the scenarios by Planning and Budget Council, small group

meetings, another update to the Board at their regular May meeting, and final budget approval by the

Board in June.

EDUStaff—Marguerite Cotto, Vice President for Lifelong and Professional Learning, and Vicki

Cook, Vice President of Finance and Administration, provided an EDUStaff update to the Board

following several open forum sessions that were held for NMC employees where 23 questions were

recorded and have been addressed (16), or are being investigated (7). Cotto explained this is not

outsourcing and that NMC is not giving up the selection and management of these temporary

employees. Current employees would have the choice of going into the EDUStaff system.

Administration will be clarifying information and plans to update the Board at their May meeting.

Cotto and Cook addressed questions of the Board who expressed their appreciation of staff time to

conduct research and that individual employees will have a choice.

PUBLIC INPUT—Public input was received by the following:

Susan Odgers

Nancy Gray

Christina Collins

Teresa Scollon

Bonnie Spanier

Ann Rogers

CONSENT ITEMS—On a motion by Kennard Weaver, supported by Bob Brick, the following

items were approved by a unanimous vote as a group without discussion:

Minutes of the March 23, 2015, regular meeting

Sabbatical Request of Kristy McDonald for Fall 2015 Semester

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ACTION ITEMS

New Jobs Training Program Agreements—Ross Childs made a motion, supported by Bob Brick,

authorizing administration to enter into training agreements under the terms of the New Jobs

Training Program (NJTP) for the following companies:

1. Britten Banners, Inc.

2. Britten Décor, Inc.

3. Britten Metalworks, Inc.

4. Britten Services, Inc.

5. Britten Woodworks, Inc.

6. Plascon, Inc.

7. TentCraft, Inc.

The motion passed with a unanimous vote.

AAS Paramedic Degree—Bob Brick made a motion, supported by Kennard Weaver, for approval

to establish an Associate of Applied Science Degree Program in Paramedics effective immediately.

The motion passed with a unanimous vote.

Roof Replacement—Steve Rawlings made a motion, supported by Bob Brick, authorizing

administration to enter into a contract with Bloxsom Roofing in the amount of $54,970, plus

contingency of $5,497, for a total project budget of $60,467 to be funded from the FY15 Plant Fund

budget. The motion passed with a unanimous vote.

Board Policies—Kennard Weaver made a motion, supported by Ross Childs, to adopt the following

Board Policy Committee recommendations as presented on a first-reading basis:

Amended Board Policy A-100.00 Board of Trustees Bylaws

Amended Board Policy A-105.01 Gift Acceptance

Amended Board Policy A-106.00 Items for Specific Board Approval

Amended Board Policy A-106.01 Property Naming Opportunities

Amended Board Policy A-106.02 Investment Policy

Policy A-106.03 Policy Amendment and Additions with no changes after review

Policy language to be added to the bottom of all NMC policies:

“If any provisions(s) of this [policy/set of bylaws] conflicts with laws applicable to

Northwestern Michigan College, including the Community College Act of 1966, the

Freedom of Information Act, or the Open Meetings Act, as each may be amended from

time to time, such laws shall control and supersede such provisions(s).”

Resolution of Appreciation—Ross Childs made a motion, supported by Bob Brick, to adopt a

resolution of appreciation to Cheryl Gore Follette in recognition of her dedicated services and

significant contributions to the Northwestern Michigan College Board of Trustees. The motion

passed with a unanimous vote.

Closed session—Steve Rawlings made a motion, supported by Ross Childs, that the Board convene

in closed session, as permitted by Section 8(c) of the Open Meetings Act, MCL 15.268(c), to discuss

strategy connected with the negotiation of a collective bargaining agreement between the College

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and the Michigan Education Association acting on behalf of NMC’s full-time and part-time

appointed faculty. The motion passed with the following roll call vote: Yes: Steve Rawlings,

Marilyn Dresser, Ross Childs, Kennard Weaver, Bob Brick, Doug Bishop; No: none; and the

meeting went into closed session.

Reconvene Regular Meeting—Kennard Weaver made a motion, supported by Ross Childs, to close

the closed session and reconvene the open session. The motion passed with a unanimous vote and

the regular open session reconvened at 8:25 p.m.

REVIEW OF FOLLOW-UP REQUESTS—Confirmed requests made by the Board that require

administrative follow-up for information to be provided to the Board at a later date.

ADJOURNMENT—The meeting adjourned at 8:27 p.m.

Recorded by Holly Gorton, Executive Assistant to the President and Board of Trustees.

SIGNED

Douglas S. Bishop, Chair

ATTESTED

K. Ross Childs, Secretary

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Board Policy A-100.00 Board of Trustees Process

Board of Trustees Bylaws 1. Meetings.

a. Place of Meetings. Any or all meetings of the Board of Trustees shall be held at Northwestern Michigan College unless otherwise designated by the Board of Trustees.

b. Open and Closed Meetings. All meetings—annual, regular, special, emergency—shall be open to the public with the exception of those items exempt from public discussion or disclosure by state or federal statute. A roll-call vote with 2/3 majority of members elected and serving is required for the Board to convene in closed session. Upon completion of business in the closed session, the Board will adjourn into public session.

c. Annual Meeting. i. Date and purpose. The annual meeting of the Board of Trustees shall be held each year on the first meeting

date in January, one of the purposes of which shall be the election of the officers. ii. Notice of annual meeting. At least seven (7) days prior to the date fixed by Section 1.c.i. of these Bylaws for

the holding of the annual meeting of the Trustees, written notice of the time, place and purposes of such meeting shall be delivered, as hereinafter provided, to each Trustee entitled to vote at such meeting.

iii. Delayed Annual Meeting. If, for any reason, the annual meeting of the Board of Trustees shall not be held on the day hereinbefore designated, such meeting may be called and held as a special meeting, and the same proceedings may be conducted thereat as at an annual meeting, provided that the notice of such meeting be not less than a seven-day notice.

iv. Order of Business. The order of business at the annual meeting of the Board of Trustees shall be as follows: 1. roll call 2. reading notice and proof of mailing 3. approval of minutes of preceding meeting 4. report of Secretary 5. report of Treasurer 6. election of officers 7. transaction of other agenda items 8. adjournment

provided that, in the absence of any objection, the presiding officer may vary the order of business at his or her discretion.

d. Regular Meetings. Regular meetings of the Board of Trustees shall be held not less frequently than one in each month at such time and place as the Board of Trustees shall determine. No monthly notice of regular meetings of the Board shall be required. Regular meeting dates for the year must be publicly posted within ten (10) days after the regular January meeting for the following twelve (12) months stating the time and place of meetings. If the schedule of regular meetings is changed, the new dates, times and places must be posted within three (3) days after the meeting at which the change is made. If a regular meeting is rescheduled, a public notice stating the rescheduled date, time, and place of the meeting

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must be posted at least eighteen (18) hours prior to the meeting and must be accessible to the public for the full notice period

e. Special Meetings and Committee Meetings. A special meeting of the Board of Trustees or Committee Meeting may be called at any time by the Chairperson of the Board of Trustees, Chairman of the convening Committee or by a majority of the Board of Trustees. The Executive Assistant to the President and Board of Trustees shall prepare and forward to each trustee electronic or written notice of the time, place and purpose of such special meeting not less than eighteen (18) hours before the meeting. Such notice may be signed by stamped, typewritten, or printed signature of the.Executive Assistant to the President and Board of Trustees. The requirement of 18 hours advanced notice does not apply to special meetings of subcommittees. When a special meeting is called, a public notice stating the date, time, and place of the meeting must be posted at least eighteen (18) hours prior to the meeting.

f. Emergency Meetings. The Board of Trustees may meet in emergency session without complying with the notice requirements when it is necessary to deal with a severe and imminent threat to the health, safety, or welfare of the public when 2/3 majority of members elected and serving of the Board members decide that delay would be detrimental to efforts to lessen or respond to the threat.

g. Board Notice Notice for regular meetings of the Board is considered served by Board action to adopt bylaws setting the time and place of regular meetings in the Board of Trustee’s Annual Meeting. Notice for all special meetings and committee meetings shall be prepared and sent to each trustee electronically by the Executive Assistant to the President and Board of Trustees, indicating the time, place and purpose of such meetings, not less than (18) hours before the meeting.

h. Public Notices of Meetings. Public notices must contain: i."NORTHWESTERN MICHIGAN COLLEGE Board of Trustees” ii. 1701 East Front Street,Traverse City, Michigan 49686 (231) 995-1010 iii. The time of the meeting iv. The date of the meeing v. The place of the meeting vi. “Official minutes of Board meetings are available in the President's Office and on the NMC website at http://www.nmc.edu/about/board-of-trustees/minutes/index.html are available for public inspection” vii. “If you are an individual with a disability who is in need of a reader, amplifier, qualified sign language interpreter, or any other form of auxiliary aid or service to attend or participate in the meeting or hearing, please contact the Executive Assistant to the President and Board of Trustees at (231) 995-1010 at least one week prior to the meeting or as soon as possible.” All notices must be posted on the Board of Trustee bulletin board in the Preston N. Tanis building as well as on the Board of Trustees web page at www.nmc.edu/about/board-of-trustees/materials-minutes and be made accessible by a prominent and conspicuous link that clearly describes its purpose for public notification on NMC’s homepage, www.nmc.edu.

i. Public Input. At all public meetings of the Board of Trustees, the Chairperson shall honor the right of the public to address a public body. Every open meeting agenda will provide for public participation. Each person wishing to address the Board during public comment shall provide their name, address, city, phone, and issue to be addressed on a form provided prior to the meeting. Forms will be collected and given to the

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Board Chair prior to the call for order. Comments will be limited to three minutes in length per speaker,

2. Quorum. Presence in person of a majority of Trustees shall constitute a quorum at any meeting of the members. Participation in meetings by telephone or other interactive media is allowed for information purposes only. Trustees joining a meeting in this manner may not vote. Trustee electronic participation does not count for constitution of a quorum.

3. Board of Trustees. a. Number and Qualifications. The Northwestern Michigan College district shall be directed and governed by a

Board of Trustees, consisting of seven (7) members. Each member shall possess the qualifications of general electors within the College district.

b. Selection. Board of Trustees members shall be selected as provided in Section 389 of Act 331 of the Public Acts of 1966 of the State of Michigan: "The community college district shall be directed and governed by a Board of Trustees, consisting of seven (7) members elected at large in the proposed community college district on a non-partisan basis . . ."

c. Term of Office. The Trustees shall serve for six (6) years or until their successors have been appointed. Regular terms of office shall commence on January 1 following the next general state election.

d. Vacancies. Whenever a vacancy in the Board of Trustees occurs, “the remaining trustees shall fill each vacancy by appointment. If a vacancy is not filled within 30 days after the vacancy occurs, or if a majority of trustee seats become vacant, “the intermediate school board for that school [community college] district shall fill each vacancy by appointment. An individual appointed under this subsection serves until a successor is elected and qualified. If a vacancy occurs more than 90 days before a regular election, an election shall be held at that regular school election to fill that office for the remainder of the office’s unexpired term, if any. This subsection applies regardless of whether an individual is appointed under subsection (1) to fill the vacancy.” (Michigan Legislative Act 302, Public Acts of 2003, Chapter XIV, Sec. 311, effective March 30, 2004).

e. Power to Elect Officers. The Trustees shall elect a Chairperson of the Board of Trustees, a Vice Chairperson, a Secretary, and a Treasurer.

f. Power to Appoint Other Officers and Agents. The Board of Trustees shall have power to appoint such other officers and agents as the Board may deem necessary for transaction of the business of the Board.

g. Removal of Officers and Agents. Any officer or agency may be removed by the Board of Trustees whenever in the judgment of the Board the business interest of the Board will be served thereby.

h. Power to Fill Vacancies. The Board shall have power to fill any vacancy in any office occurring for any reason whatsoever. The office of a trustee becomes vacant immediately, regardless of declaration by an officer or acceptance by the board or 1 or more of its members, upon any of the following events:

i. The death of the trustee. ii. The trustee being adjudicated insane or being found to be a legally incapacitated individual by the court of

competent jurisdiction. iii. The trustee’s resignation. iv. The trustee’s removal from office. v. The trustee’s conviction for a felony. vi. The trustee’s election or appointment being declared void by a competent tribunal. vii. The trustee’s neglect or failure to file the acceptance of office, to take the oath of office, or to give or renew

an official bond required by law. viii. The trustee ceasing to possess the legal qualifications for holding office. ix. The trustee moving his or her residence from the school district.

i. Delegation of Powers. For any reason deemed sufficient by the Board of Trustees, whether occasioned by absence or otherwise, the Board may delegate all or any of the powers and duties of any officer to any other

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officer or director, but no officer or director shall execute, acknowledge, or verify any instrument in more than one capacity.

j. Power to Require Bonds. The Board of Trustees may require any officer or agent to file with the Board a satisfactory bond conditioned for faithful performance of his or her duties.

k. Compensation. The compensation of officers and agents may be fixed by the Board. 4. Officers.

a. Chairperson. The Chairperson of the Board of Trustees shall be selected by the members of the Board. The Chairperson shall preside over all meetings of the Board of Trustees. The Chairperson shall ensure that the Board's Bylaws and established rules are followed and that the Board and its standing or ad hoc committees are fulfilling their stated responsibilities. The Chairperson shall represent the Board as appropriate in various public relations functions. An individual may not serve more than three (3) consecutive years as Chairperson. In times of unique challenge to the Board, the Chair may be elected for up to two (2) additional consecutive one-year terms by a vote of no less than five of the seven members of the Board.

b. Vice Chairperson. A Vice Chairperson shall be chosen by the membership of the Board. The Vice Chairperson shall perform the duties and exercise the powers of the Chairperson during the absence or disability of the Chairperson.

c. Secretary. The Secretary shall be chosen from the membership of the Board. The Secretary shall, by affixing his or her signature, attest to the accuracy of the Board meeting minutes and shall ensure that the Board's records are maintained in an appropriate manner. The Secretary shall authorize all notices required by statute, bylaw or resolution. The Secretary shall perform such other duties as may be delegated by the Board of Trustees. The President or the President's designee shall serve as Assistant Secretary to assist the Secretary in the performance of his or her duties.

d. Treasurer. The Board of Trustees shall elect a Treasurer of the Board from its membership who will perform duties in connection with the finances of the College as may be required by the Board. The Board may direct the President to designate a chief financial officer as custodian of the funds who shall report to the President and maintain full and accurate accounts and fiscal procedures.

5. Fiscal Year. The College's fiscal year shall begin on the first day of July and end on the thirtieth day of June. 6. Execution of Instruments

a. Checks, Etc. All checks, drafts, and orders for payment of money shall be signed in the name of the Board and shall be countersigned by such officers or agents as the Board of Trustees shall from time to time designate for that purpose.

b. Contracts, Conveyances, Etc. When the execution of any contract, conveyance, or other instrument has been authorized without specification of the executing officers, the Chairperson or Vice Chairperson and the Secretary may execute the same in the name and on behalf of this Board. The Board of Trustees shall have power to designate the officers and agents who shall have authority to execute any instrument in behalf of this Board.

7. Power of Board to Borrow Money. The Board of Trustees shall have full power and authority to borrow money whenever, in the discretion of the Board, the exercise of said power is required in the general interest of the College, and in such case the Board of Trustees may authorize the proper officers to make, execute, and deliver in the name and on behalf of the Board of Trustees such notes, bonds, and other evidence of indebtedness as said Board shall deem proper, and said Board shall have full power to mortgage the property of the College, or any part thereof, as security for such indebtedness. The power to borrow money shall require the approval of a majority of the Board of Trustees.

8. Committees. Special committees of the Board of Trustees shall be appointed by the Board Chair as deemed necessary.

9. Amendment of Bylaws. These bylaws may be amended, altered, changed, added to, or repealed by the affirmative vote of a majority of the Trustees. The process to amend, alter, change, or repeal shall be proposed at a regular or special meeting of the Board and adopted at a subsequent regular meeting provided that the proposed amendment,

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alteration, change, addition, or repeal be reduced to writing and each Trustee be notified of said proposal at least seven days prior to the next regular meeting.

Adopted by the Northwestern Michigan College Board of Trustees October 23, 1995

Revised April 28, 1997

Revised January 27, 2003

Revised February 24, 2003

Revised October 24, 2005

Revised November 19, 2007

Revised July 26, 2010

Revised May 18, 2015

If any provisions(s) of this set of bylaws conflicts with laws applicable to Northwestern Michigan College, including the Community College Act of 1966, the Freedom of Information Act, or the Open Meetings Act, as each may be amended from time to time, such laws shall control and supersede such provisions(s)

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Gift Acceptance 1. The Board of Trustees of Northwestern Michigan College (NMC) shall direct all unsolicited gifts of private property,

devise, or bequest to the Northwestern Michigan College Foundation (Foundation), which has been formed solely to receive gifts and administer funds for the benefit of NMC.

2. Such direction shall not be considered as a recommendation to accept gifts. Presentation of gifts, bequests, memorials, awards, property, or scholarships shall be accepted at the discretion of the Foundation and recognized and approved by the Board of Directors of the Foundation, and shall be subject to the current Foundation Gift Acceptance Policies and Procedures, as may be amended from time to time, and the applicable laws and regulations governing §501(c)(3) organizations. Such recognition and approval shall in no case be considered an endorsement of a particular product, service or business.

3. The Board of Trustees shall exercise appropriate control with respect to directed gifts to the Foundation by establishing the following procedures: a. It is expected that the Foundation will consult with NMC officials regarding the acceptability of tangible property

or real property in advance of accepting those items. “Tangible property” and “real property” shall include, but not be limited to the following items: land, works of art, supplies, and equipment.

b. The President and the Excecutive Director of the Foundation may tentatively accept contributions subject to the final approval of the Foundation’s Board of Directors at its next meeting.

c. Acceptance by the Foundation of equipment or services that may require institutional support which involves, but may not be limited to, operating budget expenses or capital investment or other expenses (whether initial or continued) shall be presented to the President’s Office for consideration and approval by the Board of Trustees prior to acceptance by the Foundation.

d. All contributions to the Foundation of tangible property, excluding gifts of real property which, by attribute, shall be sold, conveyed, or otherwise disposed of in order to convert to cash as soon as possible, will ultimately become the property of NMC and subject to the same controls and regulations that govern the use of property owned by NMC.

e. Attached to this policy is a copy of the current Foundation Gift Acceptance Policy. In the event that a gift, bequest, or devise is not directed to the Foundation, the procedures incorporated in the attached policy, as may be amended by the Foundation from time to time, shall govern the actions of the Board of Trustees, and the Executive Director of the Foundation shall consult with the Foundation’s Board of Directors as appropriate for recommendations to be made to the Board of Trustees.

Adopted by the Northwestern Michigan College Board of Trustees November 19, 2007



If any provisions(s) of this policy conflicts with laws applicable to Northwestern Michigan College, including the Community College Act of 1966, the Freedom of Information Act, or the Open Meetings Act, as each may be amended from time to time, such laws shall control and supersede such provisions(s)

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Property Naming Opportunities In keeping with Board Process Policy A-106.00, the Board of Trustees of Northwestern Michigan College reserves the right to be involved in the decision-making process, to deliberate and evaluate options, and to vote upon determination of major property naming opportunities. The College may, from time-to-time, honor or memorialize certain individuals or organizations in recognition of extraordinary contributions to the College. These contributions may include financial gifts, time and talent devoted to the College by community members, or distinguished service on the part of faculty and staff. The appropriate recognition opportunities will be identified by executive staff and recommended by the president to the Board of Trustees.

Adopted by the Northwestern Michigan College Board of Trustees April 20, 1998

Reviewed without revision December 19, 2005



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Investment Policy 1. Purpose: It is the policy of the Board of Trustees to invest its funds in a manner which will provide the highest

investment return with the maximum security while meeting the daily cash flow needs of Northwestern Michigan College (hereinafter “The College”) and comply with all state statutes governing the investment of public funds.

2. Scope: This policy on banking and investments applies to all financial assets of the College. These assets are accounted for in the various funds of the College and include the general fund, auxiliary funds, restricted funds, plant funds, and agency funds and any other funds established by the College. Investment income will be allocated to the general fund in accordance with generally accepted accounting principles.

3. Objectives: The primary objectives, in priority order, of the College's banking and investment activities shall be: a. Safety - Safety of principal is the foremost objective of the investment program. Investments shall be undertaken

in a manner that seeks to insure the preservation of capital in the overall portfolio. b. Diversification - The investments will be diversified by security type, as allowed by regulation, financial institution

and maturity of securities in order to reduce portfolio and market risks. c. Liquidity - The investment portfolio shall remain sufficiently liquid to meet all operating requirements that may be

reasonably anticipated. 4. Delegation of Authority to Make Investments: The College delegates the daily management responsibility for the

investment program to the Vice President of Finance and Administration. 5. Permissible Investments: The Michigan Community College Act No. 331, as amended, provides the following

permissible investments: a. Bonds, bills, or notes of the United States, or of an agency or instrumentality of the United States, or obligations

of this State. b. Negotiable certificates of deposit, savings accounts, or other interest-earning deposit accounts of a financial

institution. As used in this subdivision, "financial institution" means a bank that is a member of the Federal Deposit Insurance Corporation, A savings and loan association that is a member of the Federal Savings and Loan Insurance Corporation, or a credit union whose deposits are insured by the national Credit Union Administration.

c. Bankers' acceptances issued by a bank that is a member of the Federal Deposit Insurance Corporation. d. Commercial paper that is supported by an irrevocable letter of credit issued by a bank that is a member of the

Federal Deposit Insurance Corporation. e. Commercial paper of corporations located in this state rated prime by at least one of the standard rating services. f. Mutual funds, trusts, or investment pools composed entirely of instruments that are eligible collateral. g. Repurchase agreements against eligible collateral, the market value of which must be maintained during the life

of the agreements at levels equal to or greater than the amounts advanced. An undivided interest in the instruments pledged for these agreements must be granted to the community college. As used in this section, "eligible collateral" means all securities which otherwise would qualify for outright purchase under this act.

Additional funds of the College shall not be invested or deposited in a financial institution that is not eligible to be a depository of surplus funds belonging to this state under section 6 of 1855 PA 105, MCL 21.146.



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Policy Amendment and Additions Board policies may be amended, altered, added, or repealed by the affirmative vote of a majority of the Trustees. A recommendation to amend, alter, or repeal a policy, or to add a new policy, shall be proposed at a regular or special meeting of the Board of Trustees on a first-reading basis and adopted at a subsequent regular meeting. The proposed amendment, alteration, repeal or new policy shall be submitted in writing to each Trustee.

Adopted by the Northwestern Michigan College Board of Trustees on April 3, 2006

Reviewed without revision May 18, 2015


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Items for Specific Board Approval The following actions are matters in which the board specifically reserves the right to be involved in the decision-making process, to deliberate and evaluate options, and vote upon: Human Resources

Selection, evaluation, compensation, and retention of the president Policies and procedures related to the board-president relationship

Finance

Bonding/borrowing money Adoption of annual budget Approval of general fund budget adjustments Approval of persons authorized to execute financial instruments on behalf of the College Institutions utilized for investment of College funds Tax rate assessed Selection of auditing firm; acceptance of annual audit Utilization of reserve funds Expenditures from the Fund for Transformation in excess of $50,000 per year Approval of budget guidelines Declaration of a College-wide state of financial exigency Approval of general fund line-item expenditures of $35,000 or more, and $50,000 or more on construction/ renovation

projects

Educational Services

Approval and discontinuation of academic programs Annual establishment of tuition and fees that apply to all students Approval of degree requirements

Facilities (General)

Real estate acquisition and disposition Determination of facility names Approval of campus facilities plan Property naming opportunities

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Other

Policies and procedures related to the board's own processes Authorization of special elections Election of board officers Approval of College statements of mission, vision, values, and Institutional Effectiveness Criteria Appointment of College fellows Appointment of foundation board members Approval of Board Level Strategic Goals


Revised March 23, 1998

Revised April 17, 2000

Revised August 28, 2000

Revised December 19, 2005




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____________________________________________________________________________


From: Vicki Cook, Vice President of Finance and Administration

Date: May 5, 2015

Subject: Calendar Year 2015 Truth-in-Taxation Resolution

Attached is the recommended resolution for the Board to adopt at its regularly scheduled

meeting on May 18, 2015. It is required each year for the Board to set a time to have a Truth-in-

Taxation Hearing in which we inform the public of property values and the resulting revenue.

The resolution establishes the June 22, 2015 regular Board of Trustees meeting as the time of the

Truth-in-Taxation Hearing, as well as the Budget Hearing. Upon completing the public hearing,

the Board may then take action to certify taxes for the 2015-2016 fiscal year. As in the past, we

will recommend that the full tax levy be issued, and will justify the need to receive the funds as a

necessary means of balancing the budget.

If you have any questions, please contact me at your convenience.

MEMO


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TRUTH-IN-TAXATION

FIRST RESOLUTION

Northwestern Michigan College, Michigan (the “College”).

A regular meeting of the Board of Trustees (the “Board”) of the College was held at the

Oleson Center of Northwestern Michigan College, on the 18th day of May 2015, at 5:30 in the

evening.

The meeting was called to order by:

Present:

Absent:

The following preamble and resolution were offered by Member and

supported by Member :

WHEREAS, the Board may not adopt its proposed 2015-2016 budget until after a public

hearing has been concluded; and

WHEREAS, a copy of the proposed 2015-2016 budget including the proposed property

tax millage rate will be available for public inspection during normal business hours at the office

of the Vice President of Finance and Administration, Northwestern Michigan College, Traverse

City, Michigan; and

NOW THEREFORE, BE IT RESOLVED THAT on June 22, 2015 at 5:30 p.m. at the

Great Lakes Campus of Northwestern Michigan College, Traverse City, Michigan, the Board of

Trustees of Northwestern Michigan College will hold a public hearing to consider the college’s

proposed 2015-2016 budget and the property tax millage rate proposed to be levied to support

the proposed 2015-2016 budget.

Ayes:

Nays:

Resolution declared adopted.

Secretary, Board of Trustees

K. Ross Childs

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TRUTH-IN-TAXATION

FIRST RESOLUTION

The undersigned, duly qualified and acting Secretary of the Board of Trustees of Northwestern

Michigan College, Michigan, hereby certifies that the foregoing constitutes a true and complete

copy of a resolution adopted by said Board of Trustees at a regular meeting held on May 18,

2015, the original of which is part of the Board’s minutes. The undersigned further certifies that

notice of the meeting was given to the public pursuant to the provisions of the “Open Meetings

Act” (Act 267, PA 1976, as amended).

Secretary, Board of Trustees

K. Ross Childs

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___________________________________________________________________________ To: The Board of Trustees and President Timothy J. Nelson From: Rebecca Teahen, Executive Director for Resource Development Date: May 11, 2015 Subject: Foundation Board Appointments

The NMC Foundation Board of Directors recommends for Board of Trustees' approval the following Foundation Board appointments and reappointments.

NEW APPOINTMENTS

The NMC Foundation Board of Directors recommends the following individuals for new three-year terms commencing May 2015 and expiring December 2017:

William Donberg Bill Donberg spent 30 years with the Dow Chemical Company. He was Global Vice President of Adhesives and Coatings and President of Essex Specialty Products, a global supplier of adhesives and sealants to the automotive and aviation industries. He is currently CEO of Aetos Group, Inc, a full service supplier of robotic technology to the chemical and oil & gas industry. Bill has also been active in aviation training at University of Cincinnati and Northwestern Michigan College in Traverse City, Michigan. He is a member and past president of the Elk Rapids Rotary Club and active in missions to Haiti.His son and daughter-in -law are pilots in the Air Force and his daughter owns Grand Traverse Natural Health Care in Traverse City. Bill is married to Phyllis who volunteer teaches in the Elk Rapids Schools. Bill has a BS degree in Aeronautical and Astronautical Engineering from The Ohio State University.

Craig LaFave Craig, a graduate of the NMC class of 2001, is president of Olmsted Products and its parent company, Oilgear Co. He began at Olmsted, a manufacturer of specialty high-flow, high-pressure industrial hydraulic valves and control systems, while still a student. From his first day there as a draftsman, LaFave demonstrated a desire to learn and contribute to every aspect of the company, from design to production to sales and customer service. His work ethic quickly propelled him through the company. Within five years he was named general manager, responsible for the strategic direction of the company along with the ownership. He is now beginning to direct some of his energy towards community involvement and philanthropy. Craig also works with the Munson Foundation and his advocacy for NMC will continue for years to come.

MEMO Resource Development

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MEMO

To: Tim Nelson, President From: Gene Jenneman, Executive Director Re: MCACA Grant Application Date: May 12, 2015 The Dennos Museum Center will be applying to the Michigan Council for Arts and Cultural Affairs for a

Program Support grant in the amount of $30,000.

The grant request is due June 1, 2015 and requires an authorization from the governing board of the

museum to apply. Hence we need a resolution of approval to apply from the NMC Board of Trustees at

its May meeting.

The Board of Trustees of Northwestern Michigan College authorizes the Dennos Museum Center through

its Executive Director to apply to the Michigan Council for Arts and Cultural Affairs for an operational

support grant in the amount of up to $30,000 to provide funding for its activities that take place between

October 1, 2015 and September 30, 2016, with the application due June 1, 2015.

Please include this on the Board agenda. We technically have a past Board resolution that allows the

College to apply for grants as needed, but this will make it a cleaner application process as we have to

provide a specific date of authorization.

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To: Timothy J. Nelson, President From: Chris Weber, Vice President of Enrollment Management & Student Services Lisa Thomas, Associate Dean of Student Life Marcus Bennett, Director of Residence Life & Judicial Affairs Date: April 14, 2015 Subject: East Hall Residence Rooms Furniture Purchase Recommendation This document is intended to provide an overview and recommendation to contract with Interphase Interiors out of Traverse City, Michigan for removal of current furniture and new furniture purchase and installation in East Hall residence rooms. Board Authorization Authorize the Northwestern Michigan College administration to enter into a contract with Interphase Interiors for $376,142. Background/Scope The purchase of new furniture for East Hall rooms would entail replacing all desks, desk chairs, and stackable bed frames for 120 rooms that house NMC students. Furniture was purchased for East Hall through a bond measure in 2003. The existing furniture is in worn condition. The purchase of new furniture would assist in the marketing of prospective students to our residential facility and for our summer residents. Rationale This purchase is necessary from two perspectives: first, for the safety of our residents, as the current furniture has seen a great deal of use in the last 10+ years, and is showing its wear and breaking. Second, the purchase of new furniture would assist in the marketing of prospective students to our residential facility and for our summer residents. New furniture also reemphasizes our mission to put the learner first at NMC, and provides a residential setting where students feel valued and can take pride in their surroundings.

MEMO Enrollment Management & Student Services

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A formal Request for Proposal (RFP) was drafted and solicitations to bid were placed in the Record Eagle as well as the Builder’s Exchange in Traverse City and Grand Rapids. The following companies responded.

Company Name Location Total Costs

Brill Company Ludington, MI $261,035

Hekman Furniture Zeeland, MI $276,424

Interphase Interiors Traverse City, MI $376,142

RT London Grand Rapids, MI $360,787

Interphase Interiors was chosen over the other bids for the following reasons:

1) Both Interphase Interiors and RT London provided a quality product that aligned with the request for both look and durability of the furniture. The difference between these two bids was approximately 4% of the total bid. Interphase Interiors is a local company based in Traverse City. The small difference in cost will be gained back through the efficiency and customer service benefits of utilizing a local vendor for installation and ongoing maintenance.

2) The product from Interphase Interiors was in line with the product requested; their furniture material was metal based as requested, unlike the wooden based product offered by Brill Company and Hekman Furniture.

3) Product Warranty was longer than or equal to the other vendors. Recommendation Authorize the Northwestern Michigan College administration to enter into a contract with Interphase Interiors for removal of current furniture and new furniture installation in East Hall residence rooms. Funding Source The funds for this contract are contained in the Residence Hall reserves.

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____________________________________________________________________________ To: Vicki Cook From: Ed Bailey Paul Perry

CC: Marguerite Cotto

Date: May 13, 2015

Subject: APL Classroom Renovation Project The objective of this document is to provide a recommendation for a construction contractor to renovate the former Receiving offices and small storage area at the Aero Park Laboratories building into a general purpose classroom. Board Authorization Authorize the administration to enter into contract with Traverse City Building Repair, Inc. in the amount of $58,500.00 (Contractor bid submittal of $53,256.27 plus a 10% contingency) for the construction of a new general purpose classroom in the Aero Park Laboratories building. Background The NMC Shipping and Receiving department relocated from the APL building to the Facilities building on main campus, leaving their former offices and small storage area vacant. The space is an ideal location to add an enclosed general purpose classroom, directly accessible high bay space within the APL facility. The proposed new classroom will have a capacity for 24 students. Below is a graphic illustrating the scope of work for this project and location within the building.

Funding for the project is from the Plant Fund and was budgeted in the amount of $90,000. Below is a summary of the total budget for the project;

Cost Category Costs

Design & Engineering Fees $10,000 Construction $60,000 Furniture & Equipment $10,000 Contingency $10,000 Project Total $90,000

MEMO Technical Division

Renovation area

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Page 2 of 2

Bid Process / Tabulation The design and construction documents for this project were completed by Cornerstone Architects and placed on the Traverse City Builders Exchange, publicly available to all contractors on April 27, 2015. Contractors were given two weeks to complete bids for the renovation work, with bids due on May 12, 2015 at 3:00 PM. Outlined below is a summary of all the bids received for the project.

Contractor Name Bid Total

RCI Richter Construction, Inc. $59,891.00 Spense Brothers $66,200.00 Traverse City Building Repair, Inc. $53,256.27

Traverse City Building Repair, Inc. is recommended for this project based upon price and firm qualifications. Please let us know if you have any questions on this Board action request or the details of the project.

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1

Lifelong& ProfessionalLearning

To: Timothy J. Nelson, President From: Marguerite Cotto, V.P. Date: May 12, 2015 Subject: Recommendation & Rationale – Elevate Online Registration Software Recommendation Authorization to purchase Ellucian Elevate (a Banner product) to provide online registration capacity for Extended Educational Services (EES) and additional non-credit services. The cost for set-up is $40,000, first year limited registration service is $43,250, and first year’s subscription is $39,500. (See Exhibit 1, attached.) The total requested is $122,750. Funding will be through an allocation from the Plant Fund, with repayment of to the fund beginning in FY’17. This is a single-source request of the Banner compatible service through Ellucian (SAAS).

Background Since 2013, a project team sponsored by EES and IT has been seeking a replacement for FlexReg, the online registration system which was first used in 2009. Although this software system represented an important leap for EES when first installed, incompatibility with the Banner interface and very limited improvements to the software over time have reduced successful online registration to between 7% - 11% of total enrollments per catalog (4-6 catalogs per year, plus specialty programs). EES processes an average of 10,000 registrations each year, 80% of which are by phone, fax, mail, or walk-in, with each transaction requiring a minimum of 7 minutes just for entry into the Banner

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2

system itself. At peak times for each term’s registration, phones are being answered at an average rate of 600 calls per week. Behind the scenes after registration, the lack of a Banner interface has added intermediate steps for data entry, limited the availability of data in real time, and required double entry of each catalog’s content. Rationale for recommendation Ellucian Elevate is a Banner family product purchased (by Banner) in response to the limitations of FlexReg for schools offering non-credit courses and programs. The project team’s research for a next generation product identified only a handful of online registration programs for the non-credit arena, with only the recent arrival of Elevate also meeting our IT department’s requirement of Banner compatibility. Thus, this is a single-source purchase request. EES is the third largest provider of non-credit (personal enrichment) courses in Michigan based on ACS data (2012-2013 Data Book). The following is reported headcount:

Wayne County Community College: 46,015 Schoolcraft College: 13,004 Northwestern Michigan College: 7,471 Washtenaw Community College: 5,480 Henry Ford Community College: 3,863

Based on the analysis of the Learning Resources Network (LERN.org), the national association representing non-credit programs, robust online registration services can boost annual revenues an average of 13%. Based on annual earnings of $850,000, a modest 10% increase in sales due to improved registration capacity would add an additional $85,000 to the bottom line. More significantly in the first two years of implementation would be the reduction in duplicative labor and time per completed registration. National data indicate that programs can successfully move to over 80% of registration being completed online. Thank you.

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Northwestern Michigan College N41-BPC-124549-051215 MJC Page 1 of 17

ELLUCIAN ELEVATE SUBSCRIPTION – SOFTWARE-AS-A-SERVICE (SAAS) AGREEMENT

BETWEEN

ELLUCIAN INC.

4375 Fair Lakes Court Fairfax, VA 22033

("Ellucian")

AND

NORTHWESTERN MICHIGAN COLLEGE 1701 E Front Street

Traverse City, MI 49686 (“Client”)

Ellucian and Client are sometimes referred to collectively as the “Parties” and/or individually as a “Party.” Each Party is signing this Ellucian Elevate Subscription – Software-as-a-Service (SaaS) Agreement (the “Agreement”) so that it creates a legally binding commitment. Each Party has had this Agreement signed by an individual who is authorized to bind such Party, respectively, and whose signature constitutes a representation and warranty by the Party that the signer has full authority to bind that Party. The Agreement is effective as of the date that it has been signed by both Parties, and the term “Execution Date” shall mean the latest date shown in the signature blocks on this page (below).

Ellucian Client By:

By:

Authorized Signature Authorized Signature Name:

Name:

Printed Printed Title:

Title:

Date:

Date:

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1. Defined Terms. Ellucian uses certain capitalized terms in this Agreement to convey a particular meaning to those capitalized terms. Some of those terms are defined below; other terms are defined elsewhere in the Agreement, including in any Exhibits, Attachments and/or Appendices to the Agreement:

“Client Personnel” are both Client’s employees and Client’s third party consultants that are approved in advance by Ellucian and that have executed an Ellucian-approved confidentiality agreement prior to having access to the SaaS Solution. Client is responsible for the actions of all Client Personnel in connection with this Agreement, including their respective obligations of confidentiality and restrictions on use of the SaaS Solution per the terms of this Agreement.

“Cloud Contract Year” means a twelve (12) month period commencing on the Beginning Date specified in

Exhibit 1 and/or each subsequent twelve (12) month period commencing on the anniversary date of the Beginning Date during the Term hereof.

“Cloud Software Term” means the period, as further defined in Exhibit 1, during which Ellucian will

provide the SaaS Solution and Client will have the right to use the SaaS Solution (conditioned upon payment of the Annual SaaS Fees provided in Exhibit 1) and is synonymous with the use of “Term” herein.

“Commencement Date” is defined in Exhibit 1, and is the date on which the Term commences. The

Commencement Date is the first day for which Client pays SaaS Solution fees, although payment due date(s) are as specified in Exhibit 1.

“Confidential Information” means the non-public information that either Party maintains as confidential,

using appropriate commercial means to do so. Ellucian’s Confidential Information includes the SaaS Solution and all components of the SaaS Solution. Confidential Information does not include information that: becomes known to the public without fault or breach of a Party; the owner discloses to third parties without restriction on disclosure; or Ellucian obtains from a third party that is not under a confidentiality obligation to the owning Party.

“Defect” means a material deviation between the SaaS Solution and its Documentation. “Documentation” means the user documentation that Ellucian provides or makes available to Client for

the SaaS Solution. Client can make a reasonable number of copies of the Documentation for the SaaS Solution for Client’s use subject to the terms, conditions and restrictions of this Agreement.

“Enrollment Transaction” means a single session processing a successful registration of a student into a

program. This session can include one or more courses. Course or program drops are not counted as transactions. “Expiration Date” means the date the Term expires. “Intellectual Property Rights” means all patents, patent rights, patent applications, copyrights, copyright

registrations, trade secrets, trademarks and service marks and Confidential Information. “SaaS Solution” means the software-as-a-service (“SaaS”) utilization to be provided to Client by Ellucian

under this Agreement, and in accordance with the Service Levels described in Exhibit 2. “Third Party Component Provider” means those third parties utilized by Ellucian to provide components of

the SaaS Solution as follows: (i) Amazon Web Services (AWS) for the provision of hosting services, (ii) TouchNet services limited to processing of payments, (iii) Oracle Corporation for its database software, and (iv) Strike Iron Services, whose solution usage is limited to verification of postal addresses. In order to use the Ellucian Elevate SaaS Solution, Client must separately contract with a merchant services provider (such as TouchNet) for merchant services (that is, the services that enable a business to accept a transaction payment from a customer’s credit card or debit card through a secure channel). Merchant services are NOT provided by Ellucian and are NOT included as part of the fees payable to Ellucian. By its execution of this Agreement, Client represents that it has contracted directly with or that it intends to contract directly with TouchNet for the provision of merchant services.

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2. SaaS Solution, Generally. During the Term, Ellucian will make the SaaS Solution available to Client for use on a limited, non-exclusive, non-transferable right to remotely access Ellucian Elevate on term-of-years (as opposed to a perpetual) subscription basis for Client’s business operations. The specific limitations applicable to Client’s right to use Ellucian Elevate are as specified in Exhibit 1. Client may only grant access and use of the SaaS Solution to Client Personnel to the extent that the responsibilities of that person within Client’s organization require that the person have such access and use of the SaaS Solution. All such use and access is subject to the terms, conditions and limitations of this Agreement. Any rights that Ellucian does not expressly grant to Client in this Agreement are expressly reserved by Ellucian. Notwithstanding the use of the term “Subscription Year” herein, the Term of this Agreement is a single, indivisible statement of the length of this Agreement such that the Term shall commence on the Beginning Date and shall end on the Expiration Date, continuing and remaining in full force and effect during the Term until its natural conclusion (the Expiration Date), in accordance with the terms hereof, except in the case of a termination for cause or for non-appropriation of funds (as described in the Master Agreement). Upon any expiration of the Term or any earlier termination of this Agreement for any reason, Client’s right to use and access Ellucian Elevate will terminate automatically, and Ellucian shall, in response thereto, be free to take any and all actions necessary to discontinue Client’s prospective access to Ellucian Elevate.

Access to and use of Ellucian Elevate is made available on a remotely-hosted, software-as-a-service basis by

Ellucian, and, in this regard, software code is not physically shipped to Client. Ellucian will, as soon as reasonably practical following the Execution Date, provide the necessary process and procedure for Client’s access to Ellucian Elevate in accordance with this Agreement. The date on which Client is provided with this access, regardless of the date of Client’s first use of the Ellucian Elevate SaaS Solution, is the “Delivery Date” for the purposes of this Agreement.

If applicable, Client has certain additional responsibilities under this Agreement in connection with Ellucian’s provision of the SaaS Solution. These responsibilities are outlined in Exhibit 1 under Additional Considerations.

This Agreement and the rights Ellucian is providing to Client under this Agreement are subject to all laws,

regulations, orders or other restrictions regarding export from the United States or another country, and import into any country, of computer hardware, software, technical data or other items, or derivatives of such hardware, software, technical data or other items. Accordingly, Client agrees that Client will not allow the use of the SaaS Solution, in whole or in part, to be accessed by anyone on the U.S. Treasury Department’s List of Specially Designated Nationals, List of Specially Designated Terrorists, or List of Specially Designated Narcotics Traffickers, or the U.S. Commerce Department’s Denied Persons List or to be accessed or used within any country in which such access or use is prohibited by U.S. law. By signing this Agreement, Client warrants and represents that it is not involved in the research, manufacture, design, development, production or distribution of chemical, biological, or nuclear weapons or the technology used to deliver such weapons. 3. Information Services. In addition to providing Client with the SaaS Solution, Ellucian will provide Client with the information services identified in the Information Services Table contained in Exhibit 1 (“Information Services”), for the fees set forth in Exhibit 1. 4. Fees, Payment and Taxes. (a) Payments and Payment Terms. (i) SaaS Solution Fees. During the Term, Client will pay Ellucian the Annual SaaS Fee specified in Exhibit 1, on an annual basis pursuant to the payment terms specified in Exhibit 1. (ii) Consulting Services Fees. Except as otherwise specified in Exhibit 1, Ellucian will invoice Client for Information Services and the reasonable out-of-pocket travel and living expenses Ellucian incurs in providing consulting services, on a monthly basis, after Ellucian has provided the Information Services. These invoiced amounts are due within thirty (30) days from the date of invoice. (iii) Late Charge. Except with respect to fees due hereunder on the Execution Date, Ellucian reserves the right to charge Client a late fee for any payment that is past due. With respect to fees due hereunder

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on the Execution Date as provided for in Exhibit 1, Ellucian shall have the right to charge a late fee to the extent that payment is received later than fifteen (15) days after receipt of any invoice issued by Ellucian. Late fees will accrue on any amounts due and unpaid more than thirty (30) days after the invoice is received at a rate equal to the lesser of 1½% per month, or the highest rate permitted by law. (b) Taxes. Client is responsible for paying all taxes (except for taxes based on Ellucian’s net income or capital stock) relating to this Agreement, the application services, the SaaS Solution, and any other services provided or payments made under this Agreement. Applicable tax amounts (if any) are NOT included in the fees set forth in this Agreement. If Client is exempt from the payment of any such taxes, Client must provide Ellucian with a valid tax exemption certificate; otherwise, unless Client can show that Client has paid such tax amounts directly to the tax authority, Ellucian will invoice Client for, and Client agrees Client will pay all such tax amounts to Ellucian. (c) Ellucian’s Right to Suspend SaaS Solution. If in any case Client does not remit payment to Ellucian within thirty (30) days after Ellucian’s written demand for such amounts and the amount in question is not the subject of a bona fide dispute, then, in addition to preserving all of Ellucian’s other rights and remedies, Ellucian reserves the right, in its sole discretion and without further notice to Client, to suspend the SaaS Solution. Time is of the essence with regard to Client’s payment obligations under this Agreement. 5. Confidential Information. The Parties will be exchanging or have access to one another’s Confidential Information in connection with this Agreement. As used in this Section 5, the term “Disclosing Party” means the Party that is providing or allowing access to its own Confidential Information to the other Party, and the term “Receiving Party” means the Party that is receiving or accessing Confidential Information from or of the other Party. Except as otherwise permitted under this Agreement, the Receiving Party will not knowingly disclose to any third party, or make any use of the Disclosing Party’s Confidential Information. The Receiving Party will use at least the same standard of care to maintain the confidentiality of the Disclosing Party’s Confidential Information that it uses to maintain the confidentiality of its own Confidential Information of equal importance. Except in connection with the SaaS Solution, the non-disclosure and non-use obligations of this Agreement will remain in full force with respect to each item of Confidential Information for a period of ten (10) years after Receiving Party’s receipt of such Confidential Information; however, Client’s obligations to maintain the SaaS Solution as confidential will survive in perpetuity. 6. Indemnities.

(a) Intellectual Property Indemnity by Ellucian. Ellucian will defend, indemnify and hold Client harmless from and against any loss, cost and expense that Client incurs because of a claim that use of the SaaS Solution infringes any United States copyright of others. As a condition of Ellucian’s indemnity obligation: (i) Client must promptly notify Ellucian of any such claim; and (ii) Client must in writing grant Ellucian sole control of the defense and settlement of any such claim. Client can choose to represent Client’s own interests in any such action; however, that representation will be at Client’s own expense, and Client’s actions must not compromise Ellucian’s right to control the defense of the claim and negotiate its settlement or compromise. Client also agrees to cooperate with Ellucian to facilitate Ellucian’s ability to settle or defend the claim. Ellucian in turn, reserves the right, as Ellucian elects, to obtain for Client the right to continue using the SaaS Solution as part of the SaaS Solution; or to replace or modify the SaaS Solution, as long as that replacement or modification does not materially alter the SaaS Solution or increase the price Ellucian charges Client for the SaaS Solution. Ellucian also reserves the right to terminate the SaaS Solution if Ellucian does not feel that it can effect any of the foregoing results. If Ellucian terminates the SaaS Solution under these conditions, and Client has prepaid for any SaaS Solution, Ellucian will refund that prepayment to Client. THESE ARE ELLUCIAN’S EXCLUSIVE OBLIGATIONS WITH RESPECT TO

INFRINGEMENT OF INTELLECTUAL PROPERTY RIGHTS.

(b) From Client In Favor of Ellucian. Client will defend, indemnify, hold Ellucian and our agents, employees, officers and directors (collectively and individually “Ellucian” for purposes of this Section) harmless from and against any loss, cost and expenses arising from any use of the SaaS Solution in a manner contrary to or in violation of this Agreement, or in connection with any claim that Client’s data or other materials infringe any

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rights of any third party. Client’s obligations under this indemnification are expressly conditioned on the following: Ellucian must promptly notify Client of any such claim, must in writing grant Client sole control of the defense of any such claim and of all negotiations for its settlement or compromise (if Ellucian chooses to represent Ellucian’s own interests in any such action, Ellucian can do so at Ellucian’s own expense, but such representation must not prejudice Client’s right to control the defense of the claim and negotiate its settlement or compromise), and must cooperate with Client to facilitate the settlement or defense of the claim. 7. Limited Warranty, Remedy, Disclaimer of Warranty, Abrogation of Warranty and Limitation of Liability.

(a) Limited Warranty. Ellucian warrants to Client that, throughout the Term specified in Exhibit 1, the SaaS Solution, as used by Client for Client’s own, business operations in accordance with the provisions of this Agreement, will operate without Defects.

(b) Remedy. For each Defect, Ellucian, as soon as reasonably practicable and at Ellucian’s expense,

will provide Client with an avoidance procedure for or a correction of the Defect, in accordance with the Cloud Software – Maintenance Standards described in Exhibit 3. If, despite Ellucian’s reasonable efforts, Ellucian is unable to provide Client with an avoidance procedure for or a correction of a Defect, then, subject to the limitations set forth in Section 7(e) of this Agreement, Client can pursue Client’s remedy at law to recover direct damages resulting from the breach of this limited warranty. This remedy is exclusive and is in lieu of all other remedies, and Ellucian’s sole obligations for breach of the limited warranty set forth in Section 7(a), are contained in this Section 7(b).

(c) DISCLAIMER OF WARRANTY. The limited warranty in Section 7(a) is made to Client exclusively

and is in lieu of all other warranties, express or implied. ELLUCIAN MAKES NO OTHER WARRANTIES WHATSOEVER, EXPRESS OR IMPLIED, AND ELLUCIAN EXPLICITLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY AND OF FITNESS FOR A PARTICULAR PURPOSE. ELLUCIAN EXPRESSLY DOES NOT WARRANT THAT THE SAAS SOLUTION, IN WHOLE OR IN PART, WILL BE ERROR FREE OR WILL OPERATE WITHOUT INTERRUPTION.

(d) Abrogation of Limited Warranty. In each applicable instance, the limited warranty in Section 7(a)

will be null and void if anyone (including Client) other than Ellucian modifies the SaaS Solution, or if the apparent Defect is a result of the Client’s improper use of the SaaS Solution.

(e) LIMITATION OF LIABILITY. ELLUCIAN’S LIABILITY FOR ANY MATTER UNDER OR IN CONNECTION

WITH THIS AGREEMENT WILL NOT EXCEED THE GREATER OF (i) $10,000; OR (ii) THE TOTAL OF THE SAAS SOLUTION FEES AND INFORMATION SERVICES FEES THAT CLIENT PAID TO ELLUCIAN IN THE IMMEDIATELY PRECEDING TWELVE (12) MONTH PERIOD. IN NO EVENT WILL ELLUCIAN BE LIABLE FOR ANY LOST PROFITS OR LOST REVENUES, SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES, WHETHER BASED ON BREACH OF CONTRACT, TORT (INCLUDING NEGLIGENCE), PRODUCT LIABILITY, OR OTHERWISE, AND WHETHER OR NOT ELLUCIAN HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGE. 8. Term and Termination.

(a) Termination. Term is specified in Exhibit 1. Either Party has the right to terminate this Agreement for material breach by the other Party while the breach condition exists provided that to terminate this Agreement for material breach, the Party seeking termination must give the other (breaching) Party notice that describes the breach in reasonable detail, following which, from the date of its receipt of that notice, the notice recipient (the breaching Party) will have thirty (30) days to cure the breach to the reasonable satisfaction of the Party desiring termination. If the event or condition giving rise to the right of termination is not cured within that period, this Agreement will terminate when the terminating Party sends a second notice, advising the recipient that the material breach has not been cured. Termination will be effective ten (10) days after the breaching Party receives that second notice.

(b) Effect of Expiration of Term or Termination of Agreement. Upon the expiration of the Term or

upon any earlier termination of this Agreement by either Party, Client’s right to access and use the SaaS Solution will terminate. Upon the expiration or termination of the Term, Ellucian will work with Client in good faith to

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transition a return to Client of a copy of Client’s data that was housed in the SaaS Solution. Ellucian will provide these transition services on a time-and-materials basis at Ellucian’s then-current rates. Ellucian reserves the right to require that Client prepay for the time-and-materials services that Ellucian estimates will be required as part of such transition services. All obligations relating to non-use and non-disclosure of Confidential Information and indemnity, as well as Client’s obligations to respect Ellucian’s Intellectual Property Rights, will survive termination of this Agreement. Termination of this Agreement for cause will be without prejudice to the terminating Party’s other rights and remedies pursuant to this Agreement. 9. Data Security Provisions. In the course of providing the SaaS Solution and Information Services, Ellucian will maintain appropriate security measures to protect personal information consistent with all applicable state and federal laws and regulations. Ellucian maintains, at a minimum, industry standard and up to date security tools and technologies such as anti-virus protections and intrusion detection methods in providing services under this Agreement. Ellucian will update its tools and technologies during the term of this Agreement as industry standards change and updated tools and technologies become available. Client agrees to also maintain such security controls for any data under Client’s control as are necessary for data privacy and confidentiality, data integrity, authorization, authentication and non-repudiation, and virus detection and eradication in accordance with applicable state and federal laws and regulations. 10. Third Party Component Providers Services. In the course of providing certain components of the SaaS Solution or information Services, Ellucian contemplates the use of Third Party Component Providers. With respect to the use of the Third Party Component Providers’ services, Client agrees to comply with certain third party contractual provisions outlined in the Supplemental Terms attached to this Agreement. In the event of a conflict between the terms of this Agreement and the Supplemental Terms, the Supplemental Terms will be controlling with respect to the use of the Third Party Component Providers services components. 11. General. (a) Force Majeure. Neither Party will be liable to the other for any failure or delay in performance under this Agreement due to circumstances beyond Ellucian’s reasonable control, including Acts of God, acts of war, accident, labor disruption, acts, omissions and defaults of third parties and official, governmental and judicial action not the fault of the Party failing or delaying in performance. (b) Assignment. Except as provided herein, neither Party may assign any of its rights or obligations under this Agreement to any third party, and any attempt at such assignment will be void without the prior written consent of the other Party. For purposes of this Agreement, “assignment” will include use of the SaaS Solution for benefit of any third party to a merger, acquisition and/or other consolidation by, with or of Client, including any new or surviving entity that results from such merger, acquisition and/or other consolidation. Ellucian reserves the right to assign this Agreement, in whole or in part, to Ellucian’s successor by merger or consolidation, or to any person or entity to which Ellucian transfers any of its rights in the SaaS Solution. (c) No Waiver. A Party’s failure to enforce its rights with respect to any single or continuing breach of this Agreement will not act as a waiver of the right of that Party to later enforce any such rights or to enforce any other or any subsequent breach. (d) Notices. All notices and other communications required or permitted under this Agreement must be in writing and will be deemed given when: delivered personally; sent by United States registered or certified mail, return receipt requested; transmitted by facsimile confirmed by United States first class mail; or sent by overnight courier. Notices must be sent to a Party at its address shown on the first page of this Agreement, or to such other place as the Party may subsequently designate for its receipt of notices. (e) Choice of Law and Severability. This Agreement is governed by Virginia law. If any provision of this Agreement is illegal or unenforceable, it will be deemed stricken from the Agreement and the remaining provisions of the Agreement will remain in full force and effect. 12. Integration Provision. This Agreement contains the Parties’ entire understanding regarding the subject matter of this Agreement, and it supersedes and extinguishes all prior oral and written communications between

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the Parties about that subject matter. No purchase order or similar document that Client issues modifies this Agreement, and this Agreement can only be modified by an amendment, signed on behalf of each Party, purporting to modify this Agreement. Both the transaction provided for in and the fees due under this Agreement are non-cancelable, and the amounts paid under this Agreement are nonrefundable, except as provided in this Agreement. By the execution of this Agreement, each party represents and warrants that it is bound by the signature of its respective signatory. Further, in executing this Agreement, Client has not relied on the availability of either any future version of any Baseline Component System, or any future software product.

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EXHIBIT 1

SAAS SOLUTION: Ellucian Elevate – Cloud Deployment Cloud Software License: For the Cloud Software identified in the table below, and only during the Cloud Software Term (as defined below), Ellucian grants Client a non-exclusive, non-transferable license to access and use the Cloud Software for Client’s internal use only. This license will begin on the Beginning Date and will continue until the Expiration Date, each as specified in the table below (the “Cloud Software Term” shall mean the five (5) year period from the Beginning Date to the Expiration Date, inclusive). Each one (1) year period beginning on the Beginning Date or an anniversary thereof during the Cloud Software Term is referred to as a “Cloud Contract Year.” Ellucian will provide access to the Cloud Software consistent with the Service Level Agreement (the “SLA”) in Exhibit 2 to this Agreement. Except in the case of a termination for material breach as described in Section 8(a) above, the Cloud Software Term will continue, and remain in full force and effect, until its conclusion, in accordance with its terms. Without limitation, nothing in this Exhibit 1 will be interpreted to give Client the right, and Client will not have the right, to terminate the Cloud Software Term prior to its conclusion. Access to and use of the Cloud Software is made available on a remotely-hosted basis by Ellucian and, in this regard, software code is not physically shipped to Client. Ellucian will, as soon as reasonably practical following the Execution Date, provide the necessary process and procedure for Client’s access to the Cloud Software in accordance with this Agreement. The date on which Client is provided with this access is the “Delivery Date” for the purposes of the Cloud Software. The right of Client to continue to access and use the Cloud Software is dependent upon Client’s payment to Ellucian of the subscription fee identified in the table below. Upon any expiration of the Cloud Software Term or any termination of this Agreement for any reason, Client’s right and license to access the Cloud Software will terminate. Without limitation to any other limitations and/or restrictions as provided for in this Agreement, Client’s access and use of the Cloud Software is limited to the number of enrollment transactions specified below.

Cloud Software Beginning Date/Expiration Date Software Supplement Annual Subscription Fee

Ellucian Elevate 1. 2

June 1, 2015/May 31, 2020 None $39,500

TOTAL ANNUAL SUBSCRIPTION FEE: $39,500 Notes: 1

The Cloud Software annual subscription fee includes: (i) 50,000 Address Cleanses per year; (ii) 2 Elevate instances (one production instance, and one training/test instance; and (iii) a maximum 10 GB of data. If Client should exceed the limit (per Subscription Year) for Address Cleanses, Ellucian will invoice Client an additional fee of $.03 per Address Cleanse up to the first 100,000 Address Cleanses in excess of the limit. Thereafter, if Client should exceed the 100,000 threshold, Client must contact Ellucian to purchase additional block(s) of 500,000 Address Cleanses at the then current rate.

2 The Cloud Software annual subscription fee includes Client’s access and use of the Cloud Software for up to 2,500 enrollment transactions, and all enrollment transactions in excess of 2,500 will be billed at a rate of $5.00 per enrollment transaction (subject to a 5% Cloud Contract Year-to-Cloud Contract Year increase during the Cloud Software Term), quarterly on a calendar year basis. As used herein, an “enrollment transaction” means a single session processing a successful registration of a student into a program. This session can include one or more courses. Course or program drops are not counted as enrollment transactions.

Merchant Services: In order to access and use the Ellucian Elevate Could Software, Client must separately contract with a merchant services provider (such as TouchNet) for merchant services (that is, the services that enable a business to accept a transaction payment from a customer’s credit card or debit card through a secure channel). Merchant services are NOT provided by Ellucian and are NOT included as part of the fees payable to Ellucian. By its execution of this Agreement, Client represents that it has contracted directly with or that it intends to contract directly with TouchNet for the provision of merchant services. Software Support Services: There are no separate Software Support Services charges associated with the Cloud Software, and in this regard, there is no Software Support Services Order Form accompanying this Agreement.

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Software Support Services for the Cloud Software are included with the annual subscription fee and are provided during the Cloud Software Term in accordance with Exhibit 3 to this Agreement. Client Responsibilities and Prohibitions:

Client's authorized users will be provided with unique access codes in order to access the Cloud Software (“Passwords”), and Client must hold the Passwords in strict confidence and not transfer, exchange, misuse or abuse the Passwords in any way or attempt in any way to disable, deactivate or render ineffective the password protection of the Cloud Software.

Client will be responsible for its users’ compliance with this Agreement.

Client will be responsible for the accuracy, completeness, quality and legality of Client Data (meaning, all electronic data or information submitted by Client to the Cloud Software, including without limitation any “Client PII”) and of the means by which it acquired Client Data.

Client will maintain copies of all Client Data and current backup copies of all Client Data supplied to Ellucian to be processed by the Cloud Software, and Ellucian will have no liability for any loss or damage caused by Client's failure to maintain backup copies.

Client will use commercially reasonable efforts to prevent unauthorized access to or use of the Cloud Software, and notify Ellucian promptly of any such unauthorized access or use.

Client will use the Cloud Software only in accordance with this Agreement, the Documentation and applicable laws.

Client will not make the Cloud Software available to anyone other than its authorized users.

Client will not sell, resell, rent or lease the Cloud Software.

Client will not create any derivative works based on the Cloud Software.

Client will not use the Cloud Software to store or transmit infringing, libelous, or otherwise unlawful or tortious material, or to store or transmit material in violation of third-party privacy rights.

Client will not use the Cloud Software to store or transmit any viruses, worms, time bombs, Trojan horses and other harmful or malicious code, files, scripts, agents or programs.

Client will not interfere with or disrupt the integrity or performance of the Cloud Software.

Client will not attempt to gain unauthorized access to the Cloud Software or their related systems or network.

Client will not use the Cloud Software to communicate, by way of electronic communication or otherwise, any message, data or material that: (1) is libelous, harmful to minors, obscene or constitutes pornography, (2) infringes the copyrights, patents, trade secrets, trademarks, trade names or other proprietary rights of a third party or is otherwise unlawful, or (3) would otherwise give rise to civil liability, or that constitutes or encourages conduct that could constitute a criminal offense, under any applicable law or regulation.

Additional Terms and Restrictions: Certain Cloud Software is subject to additional terms and restrictions as set forth in a Software Supplement attached to this Agreement. Further, Ellucian may utilize certain “Third Party Component Providers” (meaning, third parties utilized by Ellucian to provide components of the Cloud Software environment) including but not limited to: (i) Amazon Web Services (“AWS”) for the provision of hosting services, (ii) TouchNet services limited to processing of payments, (iii) Oracle Corporation for its database software, and (iv) Strike Iron Services, whose solution usage is limited to verification of postal addresses. With respect to the use of the Third Party Component Providers’ services, Client agrees to comply with any third party contractual provisions outlined in any Software Supplement attached to this Agreement. In all cases, if any terms of a Software Supplement conflict with any other terms of this Agreement, the terms of the Software Supplement will control. Without limitation, Ellucian utilizes Amazon Web Services (“AWS”) for the provision of hosting services associated with this Cloud Software. In this regard, Client shall ensure that all Client personnel fully comply with the Acceptable Use Policies currently available at http://aws.amazon.com/aup. Payment Terms: For the Cloud Software identified in this Exhibit 1, the “TOTAL ANNUAL SUBSCRIPTION FEE” represents the subscription fee for each Cloud Contract Year during the Cloud Software Term. The subscription fee for the initial Cloud Contract Year (meaning, the period commencing on the Beginning Date and continuing one (1) year thereafter) is due on the Execution Date. Thereafter, for each successive Cloud Contract Year during the Cloud Software Term, annual subscription fee will be specified by Ellucian in an annual invoice and will be due in

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advance, on or before the commencement of each applicable Cloud Contract Year. Payment is due thirty (30) days from the date(s) of such invoice(s). Delivery: The Cloud Software is provided on a “hosted” basis. Accordingly, only those elements of the Cloud Software that must be installed locally will be delivered to Client at the Delivery Address or will otherwise be made available to Client for electronic access (“Local Elements”). INFORMATION SERVICES TABLE:

Description Service Amount Service Rate 1,2

Fee 1,2

Ellucian Elevate – Basic Continuing Education Implementation Services (see Exhibit 4)

160 person-hours

$250/person-hour $40,000

TouchNet Services – required for payment processing Fixed Fee 3

Fixed Fee $3,250

TOTAL ESTIMATED INFORMATION SERVICES FEE: $43,250

Notes: 1 Hourly rates specified in this Information Services Table will be held in place for services rendered on this implementation

project for a period beginning on the Execution Date and ending one (1) year thereafter. 2

Travel and living expenses are additional and will be billed monthly as Ellucian renders the services. Client is advised that, without limitation, Ellucian personnel rendering services bill for preparation time and follow-up time. Where a number of hours is specified in the table with an associated hourly rate, the “Fee” is a good faith estimate based on the information available to Ellucian at the time of execution of this Agreement. The total amount that Client will pay for these services (i.e., the “TOTAL ESTIMATED INFORMATION SERVICES FEE”) will vary based on the actual number of hours of services required to complete the services and the rate that is applicable during that year in which the services are rendered.

3 The TouchNet Implementation Services include the following:

Defined Engagement and Project Management: A TouchNet Implementation Lead will work closely with the Client’s project leaders and Ellucian’s services staff to review and tailor the Elevate Project Plan to illustrate key tasks, including the TouchNet implementation. The Implementation Lead will coordinate installation, configuration, training and go-live activities with the Client.

Timeline: The Payment Center software will be loaded in the TouchNet DataCenter within 10 business days of licensing. Configuration, integration and training will be scheduled with the Client. TouchNet will work with the Client’s key stakeholders and resources to adjust standard Project Plans in an effort to accommodate resource availability and constraints.

System Testing: TouchNet will perform System Integration Testing after the TouchNet Component System is installed and configured to enable integration with the Ellucian Elevate. TouchNet’s testing efforts are not considered to be exhaustive as subsequent testing should be conducted by the Client to ensure adherence with applicable Client business rules as well as gain familiarity with the new Payment Center.

Training: TouchNet provides Client training for Payment Center leveraging the Client’s Test Environment via LiveMeeting. These sessions are a mix of hands-on training and a review of PowerPoint materials.

User Verification Testing: It is the responsibility of the Client to ensure adequate resources and time are allocated to perform User Verification Testing of the new Payment Center. Many new business processes and functions are introduced as a part of the implementation of Payment Center and it is recommended highly that Client take the time during User Verification Testing to validate and refine some of those new processes.

Additional Considerations.

1. Electronic Availability Constitutes Delivery. Ellucian will provide Client with the URL to access the Ellucian Elevate Component System within thirty (30) days following the Commencement Date, and will have discharged its obligation of delivery when it makes that URL available to Client.

2. Payment Terms: Ellucian will invoice Client for the Estimated Information Services hourly fees on a monthly basis in arrears, as Ellucian renders such hourly services and payments will be due thirty (30) days from the date of invoice. Travel and living expenses associated with the Estimated Information Services will be invoiced on a monthly basis in arrears and payments will be due thirty (30) days from the date of invoice. The fees for the TouchNet Services are due on the Execution Date. Ellucian will invoice Client for all other services and applicable charges on a monthly basis in arrears, and payments will be due within thirty (30) days from the date of invoice.

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EXHIBIT 2

Ellucian Elevate – Service Level Agreement 1. Service Levels; General and Definitions. As used herein, the term “Availability” means the percentage of a

particular month (based on 24-hour days for the number of days in the subject month) that the Cloud Software is available for remote access by Client, as measured by Ellucian.

Availability: The ability of the production instance of the Cloud Software to receive, queue, and execute real-time requests.

Measurement: Cloud Software Availability is measured as the ratio of actual Availability to expected Availability resulting in an “Achieved Availability” percentage. Achieved Availability is determined by calculating the aggregated 5 minute periods, during the periods the Cloud Software is scheduled to be available, (“Scheduled Uptime”) excluding without limitation scheduled downtime or emergency maintenance, that the Cloud Software is unavailable for use by Client (“Unscheduled Outage”), divided by the total aggregate minutes of scheduled Availability for the month which is Scheduled Uptime minus the time the Cloud Software is scheduled to be unavailable with Client’s agreement (“Scheduled Downtime”), and rounded to the nearest tenth (10

th)

unless otherwise indicated in the specific service level definition.

Availability will be measured by Ellucian monitoring tools. The Achieved Availability calculation is expressed as:

1 – (Unscheduled Outage / (Scheduled Uptime - Scheduled Downtime)) 2. Service Level Objective. Ellucian will aim to achieve a commercially reasonable level of Availability for the

Cloud Software. 3. Production Service Level Credits and Environment Maintenance Procedures. Except under the conditions

mentioned in the Exclusions section below, if the Availability of Client’s Cloud Software is less than one hundred percent (100%), Ellucian will issue a credit to Client according to the following table:

Monthly Availability Days of Credit Issued by Ellucian*

99.00% - 99.90% 3 Days of Credit

95.00-98.99 7 Days of Credit

< 95.00% 15 Days of Credit

* For purposes of the “Days of Credit Issued by Ellucian” in the table above, one (1) Day of Credit will be

calculated by taking the annual Cloud Software subscription fee, dividing it by twelve, and then dividing by the total number of days in the applicable month.

In order to receive any of the Service Credits described above, Client must notify Ellucian within thirty (30) days of an incident occurring that they intend on collecting Service Credits. Failure to comply with this requirement will forfeit Client’s right to receive a Service Credit.

If Ellucian can confirm the unavailability, and after Ellucian performs a root cause analysis which identifies that the Cloud Software is the cause of the unavailability, then credits will be applied and aggregated in an “Annual Credit Account.” Promptly following the end of each Cloud Contract Year during the Cloud Software Term, the Annual Credit Account for the prior Cloud Contract Year will be applied as a credit against the subscription fees due for the then-current Cloud Contract Year. Service Credits are not refundable and can be used only towards future billing charges for the Cloud Software, as provided above in this paragraph. For credit balances in Annual Credit Accounts applicable to the final Cloud Contract Year of the Cloud Software Term, Ellucian will, promptly following the end of the Cloud Software Term, issue Client a payment in the amount of the Annual Credit Account balance. Notwithstanding the above, the total amount credited to Client in a particular month will in no event exceed the total subscription fee paid by Client for such month (i.e., an amount equal to 1/12

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of the applicable annual subscription fee) for the affected Cloud Software. Credits are exclusive of any applicable taxes charged to Client or collected by Ellucian. Such credits are Client’s sole and exclusive remedy with respect to any failure or deficiency in the Cloud Software.

Ellucian reserves the right to perform emergency maintenance without any prior notification to Client, if Ellucian determines that it is necessary to protect and maintain the security and/or integrity of the Cloud Software. Ellucian’s standard maintenance windows are as described below (NOTE: The below windows are maximums and will only be utilized if required). Ellucian will use diligent efforts to announce scheduled maintenance as defined by these maintenance windows.

Application Specific Services Infrastructure – Maintenance Windows

Window Duration Days Anticipated service

disruption Notification

Daily 2 hours Weekdays, outside of normal U.S.

Ellucian business hours Low None

Weekly 4 hours Weekend Low 48 hours

Monthly 8 hours Weekend Likely 1 week

The “Application Specific Services Infrastructure” is controlled by Ellucian and encompasses, but is not limited to, the following: database software, application software, refreshes, system configuration changes, and programming-related activities. The specific timings for the above windows are published by Ellucian and can be changed at Ellucian’s sole discretion. Emergency changes required to restore disrupted Cloud Software will follow documented change processes and may not occur during a defined window.

For Client’s having the specific right to access a test/non-production environment, maintenance on the test/non-production environment will be performed during business hours with at least one (1) months’ notice. No service credits will be issued for the test/non-production environment.

4. Data Retention.

Ellucian will maintain historical data from the Cloud Software for a period of no less than three (3) years.

Upon termination of the Cloud Software, Ellucian will maintain data for thirty (30) days from the date of termination.

5. Exclusions.

Service Credits are not applicable to the extent any period of unavailability is (i) caused by Client’s misuse of the Cloud Software or use of the Cloud Software other than in accordance with the terms and conditions hereof and/or the Documentation; (ii) caused by any outages, delays, or latency elsewhere on the Internet that hinder access to the Cloud Software; (iii) caused by the failure or unavailability of any services provided by third parties or components that are not provided to Client by Ellucian; (iv) caused by any circumstance beyond Ellucian’s reasonable control, or (v) within a standard or emergency maintenance window.

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EXHIBIT 3

Defect Reporting Process

Cloud Software – Maintenance Standards 1. Defined Terms:

“Notification” means a communication to Ellucian in accordance with Ellucian’s then-current policies and procedures for submitting such communications. In submitting a Notification, Client will identify the Notification level (i.e. Priority One, Two, Three, or Four Notification). “Priority One Notification” means a Notification reporting that Client believes that a Defect has caused: (i) a full failure of Client’s Equipment; (ii) a full failure of the Cloud Software; or (iii) a partial failure of its Equipment or the Cloud Software that, in either case, prevents Client from performing data processing which is critical to Client’s operations on the day on which the alleged Defect is reported. “Priority Two Notification” means a Notification reporting that Client believes that a Defect has caused a partial failure of Client’s Equipment or the Cloud Software, and that significantly impedes its ability to perform data processing which is critical to Client’s operations on the day on which the alleged Defect is reported. “Priority Three Notification” means a Notification reporting that Client believes that a Defect has caused an intermittent failure of, or problem with, Client’s Equipment or the Cloud Software that causes a significant delay in Client’s ability to perform data processing on the day on which the alleged Defect is reported, but where the processing is not critical to Client’s operations. “Priority Four Notification” means a Notification reporting that Client believes that a Defect has caused a problem with its Equipment or the Cloud Software, but that does not significantly affect critical processing.

2. Hours During Which Ellucian’s “ActionLine” Telephone Support Will Be Available to Client in Connection

with the Provision of Maintenance: Five (5) days per week, Monday through Friday, excluding United States holidays and Ellucian-observed holidays, from 8:00 AM to 8:00 PM (Eastern US Time).

3. Targeted Response Times: With respect to Ellucian’s Support obligations, Ellucian will use reasonable efforts

to respond to Notifications from Client relating to the Baseline Cloud Software in accordance with the following guidelines, with the time period to be measured beginning with the first Ellucian ActionLine business hour occurring after Ellucian’s receipt of the Notification:

Priority One Notifications – two (2) hours or less. Priority Two Notifications – four (4) hours or less. Priority Three Notifications – twenty-four (24) hours or less. Priority Four Notifications – seventy-two (72) hours or less.

For purposes of these targets, a “response” will mean as an initial contact from an Ellucian representative to Client to begin evaluation of the problem reported under one of the categories of Notifications identified above. As a prerequisite to Ellucian’s obligation to respond to Client, Client must follow the policies and procedures of Ellucian’s ActionLine (such as the dialing of a particular phone number, the categorization of a particular problem, etc.) when submitting its Notification.

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SUPPLEMENTAL TERMS FOR THIRD PARTY COMPONENTS

With respect to the Third Party Component Provider services identified in the Agreement, the following terms apply:

1. Client represents and warrants that it has the necessary rights to provide any Client content or data under this Agreement to Ellucian for use in conjunction with the Third Party Component Provider Services as contemplated by this Agreement. Client shall ensure that Client Personnel fully comply with the Acceptable Use Policies currently available at http://aws.amazon.com/aup.

2. Catastrophic Events. Disruptions in the interconnection with the servers resulting from the neglect or other fault of Client and/or its agents or contractors and “Catastrophic Events” such as power outages, wide-ranging failures in the Internet (or its successor global communications network), or in telecommunications services, and similar calamities, are outside Ellucian’s and the Third Party Component Providers’ control and as such, Ellucian and the Third Party Component Provider make no representations or warranties with respect to up-time, availability, or the like as it applies to the Third Party Component Provider service.

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EXHIBIT 4

Elevate Scope of Service for Continuing or Community Education

Ellucian service professionals will facilitate the implementation team through a sequence of planning, configuration and training activities to allow for utilization and configuration of the solution to meet your business requirements. The Elevate Implementation utilizes On-Demand Subscription Library (ODSL) training courses and lessons. The attendance and review of these sessions are critical in ensuring overall success of the project

Service Description

Engagement Engagement Description

Elevate Planning and Discovery Engagement

Complete Implementation Questionnaire Discovery Document Distribution, Collection, Analysis Complete Discovery Documents

Elevate and ERP Integration Service Engagement

Integration Install Prep Call Integration Install to Test Environment (Banner/Colleague) Integration to ERP System Verification (Technical) Integration to ERP System Verification (Functional)

Elevate Modeling Engagement Validate Discovery Items and Supporting Documentation Deliver Future State Model

Elevate System Overview Engagement

Demonstrate, Review & Discuss Elevate System Functionality with a focus on the Staff Experience and the Student Experience

Elevate Design and Planning Engagement

Business Process Design & Validation Validate Model Configuration Build of Client specific data sets in Test

Elevate Security and Branding Engagement

Knowledge Transfer of Elevate Security Knowledge Transfer of Elevate Branding

Elevate Core Configuration and Knowledge Transfer Engagement

Elevate Program Manager(Programs & Courses) Overview - Create Program and Program Instances - Create Course, Course Instances, and Offerings - Go-Live Services

Service Configuration - Parameter Setting for Service - E-Mail Templates - Service Workflow

Assessments Account Receivables

- Transaction Processing - Course Cancellations - Processing Refunds - Receipts - Information for Finance (General Ledger Codes) - Fee Structure - Finance Export for ERP - Accounts Receivable Static Data

Elevate Student Records Engagement

Student Concepts - Personal Information - Communications

Student Tracking - Attendance Monitoring - Withdraw Student - Re-Instating a Student

Elevate Build in Live Environment Engagement

Coaching calls as client builds their programs and courses in Live Environment

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Elevate Validate Live Environment Engagement

Validation of the client Live Elevate Build by client and feedback to client on corrections for successful go-live

Elevate Operational Support Engagement

Provide additional consulting services after initial go-live and to be consumed within 3 weeks of go-live

Elevate Project Administration Project Administration - Resource Allocations - Milestone Sign-offs

Project Assumptions:

This service package is only for implementing One (1) Continuing Education Program. (I.e. Business as area of study would build Microsoft Office or Marketing program).

All services will be delivered remotely unless specifically indicated as an onsite engagement.

Due to this being a SaaS offering, client customizations are not supported.

Building of program and courses will be in anticipation and support of the defined go live date.

This service package includes the use of Ellucian On-Demand Subscription Library (ODSL) content for training pre-requisites for certain engagements as outlined in the Elevate Implementation Guide delivered to the client before the first consulting engagement.

Client Responsibilities:

Client will provide a high-level point of contact representing the unit of focus, to determine the processes to be discussed, engagement expectations, and to oversee coordination of participants and timelines in support of overall project.

Client will identify and schedule participants for conference calls, and for each scheduled visit and/or engagement of Service Provider’s resources, including all onsite and remote working sessions for overall project

Client will circulate Elevate deliverables for review by client’s executives, stakeholders and project teams as appropriate.

Client will ensure participants have a level of computing technology knowledge, including computer usage, internet browsing, and email functionality.

Client will ensure participants have current log-in credentials to the Ellucian Hub, and have knowledge on locating product documentation.

Client will ensure participants have viewed the Elevate On-Demand Subscription Library (ODSL) content as defined as engagement pre-requisites, before the engagement begins.

Client will facilitate room logistics/equipment and invitation and confirmation of the onsite engagement, and group participants for duration of project

Client will ensure pre-requisites are met to support the installation of the integration, including but not limited to, installing patches or upgrades to ERP to support integration, installation of Ellucian Messaging Services hardware/software, and installation of Ellucian APIs, etc. as outlined within the Ellucian Elevate Readiness Document available on Ellucian Hub Document Library.

Internal business processes must be defined and aligned as appropriate across the institution.

Creation of an Executive Steering Committee and/or Project Team to guide and direct the project.

Build out of the catalog, courses, and programs to support the project Live implementation.

Preparation, development, validation and execution of user acceptance planning and testing to support go-live readiness.

Client will provide resources (personnel and technology) to support web design and deployment in support of online marketing and registration via Elevate.

Client is responsible for participation and coordination with the Ellucian Cloud Services Team and Payment Gateway Services Provider to allow for configuration and training of the payment gateway.

Out of Scope:

Ellucian installation, setup, and configuration of any pre-requisites for the integration, including but not limited to, installing ERP patches or upgrades to support integration, installation and configuration of Ellucian Messaging Services hardware/software, installation of Ellucian APIs, etc.

Any third party or non ERP integration or data migration.

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Building of web sites, pages, or design to support the integration with Elevate.

Any customizations or localizations to the solution including, but not limited to, user interface, or payment gateway, other than those delivered with the solution.

Ellucian resource to building any program and courses in anticipation and support of the defined go live date, unless custom scoped and approved.

Multi-Entity considerations are not included as part of this scope of service.

Single set of log in credentials utilized between Elevate and any authentication services.

Training, Consulting, Support, and Building of Courses to support Workforce Development Programs, Programs with Admissions Requirements, or Programs with Multiple Courses to be completed in sequence or with requisites.

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