Rockford Sun

Rock Valley College Community College District No. 511 Committee of the Whole Met Aug. 10.

Here are the minutes provided by the committee:

Call to Order 

The Rock Valley College Board of Trustees Committee of the Whole meeting was called to order  at 5:16 p.m. by Chairperson Jarid Funderburg. 

Roll Call 

The following members of the Board of Trustees were present at roll call: 

Mr. Jarid Funderburg                           Ms. Crystal Soltow 

Mr. Paul Gorski/joined at 5:18 p.m.     Ms. Lynn Kearney 

Mr. Bob Trojan                                     Mr. John Nelson/joined at 5:20 p.m. 

Ms. Gloria Cudia 

The following Trustee was absent at roll call: Ms. Evelyn Molina, Student Trustee

Also Present: Dr. Howard Spearman, President; Mr. Ron Geary, Vice President of Academic Affairs and Campus Safety/Chief Academic Officer; Dr. Patrick Peyer, Vice President of Student Affairs; Mr. Jim Handley, Vice President of Human Resources; Ms. Gina Caronna, Associate Vice President of Science, Technology, Engineering, & Math (STEM); Ms. Ellen Olson, Executive Director of Finance; Interim Chief Financial Officer; Ms. Heather Snider, Vice President of Institutional Effectiveness & Communications; Mr. Keith Barnes, Vice President of Equity and Inclusion; Ms. Janet Taylor; Executive Director of Facilities and Operations; Ms. Ann Kerwitz, Assistant to the President; Ms. Kris Fuchs, Assistant to the President; Mr. Rick Jenks, Chief of Police; Attorney Mathew Gardner, Robbins Schwartz; Ms. Brooke Gundersom, Manager of Physician Offices with OSF Healthcare; Ms. Lori Schneider, Director of Primary Care Clinics with OSF Healthcare; Ms. Tammie Beckwith Schallmo, Senior Vice President, Managing Director of PMA Securities, LLC.

Adjourn to Closed Session

At 5:17 p.m., a motion was made by Trustee Trojan, seconded by Trustee Kearney, to adjourn to closed session to discuss 1) The appointment, employment, compensation, discipline, performance, or dismissal of specific employees in accordance with Section 2 (c) (1); and/or 2) Collective negotiating matters per Section 2 (c) (2); and/or 3) The purchase or lease of real property for the use of the public body per Section 2 (c) (5), all in accordance with the Illinois Open Meetings Act. The motion was approved by a unanimous roll call vote.

Reconvene Open Session

At 5:44 p.m., a motion was made by Trustee Trojan, seconded by Trustee Cudia, to adjourn the closed session and reconvene to the open session. The motion was approved by a unanimous roll call vote. No action was taken as a result of the closed session.

Communications and Petitions

There were no public comments.

Recognition of Visitors

There were no visitors to be recognized.

Review of Minutes

There were no comments on the minutes from the July 13, 2021 Board of Trustees Committee of the Whole meeting.

General Presentations

1. RVCare Update

Mr. Jim Handley, vice president of human resources, introduced Ms. Brooke Gundersom, manager of physician’s offices with OSF Healthcare, and Ms. Lori Schneider, director of primary care clinics with OSF Healthcare. Ms. Gundersom gave a brief history of the RVCare Wellness Clinic, stating the wellness services were implemented in April 2017, and the RVCare clinic opened to patient care on November 15, 2017. Due to cost avoidance, Ms. Gundersom said that Rock Valley College (RVC) had saved $12,201.46 from January 2021 through June 30, 2021. Ms. Gundersom stated that Le Ann Galbraith, an advanced practice nurse, will be taking over for Ms. Christine Larson and introduced Ms. Caprisha Williams as the new medical office assistant. Ms. Gundersom made suggestions to increase the clinic utilization and reinstate the monthly meetings between OSF, RVC Human Resources, and RVC Marketing.

Trustee Trojan and board member Gorski commented that they would like to see cumulative data on cost avoidance and overall costs in future update presentations from year to year over the same period. Board member Gorski stated he could understand the numbers from 2020 due to COVID-19. However, the board will be taking a harder look at RVCare in future updates through 2021. No further discussion ensued.

2. PMA Refunding Discussion

Ms. Ellen Olson, executive director of finance/interim chief financial officer, introduced Ms. Tammy Beckwith Schallmo, senior vice president/managing director of PMA Securities, LLC. Ms. Beckwith Schallmo gave a brief description of how bond refunding works, discussed the refunding considerations, and explained that a make-whole call provision requires additional considerations. Ms. Beckwith Schallmo presented two scenarios to RVC. Scenario one and scenario two both shorten the final maturity on existing bonds by six years. Scenario one incorporates a $1,510,000 make-whole payment on the 2015C bonds and $26,794 of negative arbitrage on the 2015D bonds. Scenario two incorporates a $1,630,000 make-whole payment on the 2015C bonds and $367,018 of negative arbitrage on the 2015D bonds. Thus, the breakeven point between the partially taxable 2021 restructuring option (scenario two) and the all-tax-exempt restructuring option (scenario one) in 2023 and 2024 is 2.25%.

Ms. Beckwith Schallmo recommended that PMA will continue to monitor market conditions. Unless tax-exempt rates rise by more than 2.25% over the next seven months, PMA recommends that the College revisit its options in April of 2022.

Teaching, Learning & Communications Discussion: Board Liaison Trustee Cudia

1. Enrollment Update

Ms. Heather Snider, vice president of institutional effectiveness and communications, presented the fiscal year 2022 enrollment update. Ms. Snider stated that Summer II credit hours were down 9.79%.

Fall classes start on August 14, 2021, and as of August 10, 2021, credit hours for fall were down 5.61% compared to last fall. However, she feels that there is still time for fall enrollment to increase.

2. Early College Intergovernmental Agreement (IGA) Renewals Update

Mr. Ron Geary, vice president of academic affairs and campus safety/chief academic officer, presented an update on the IGA renewals for the Early College program. Mr. Geary stated that all school districts have received, signed, and returned all Early College IGAs. There was no further discussion.

Finance Discussion: Board Liaison Trustee Soltow

1. Purchase Reports

Ms. Ellen Olson, executive director of finance/interim chief financial officer, presented the purchase reports.

Purchase Report A - FY22 Addendums:

A. Software – (Other Contractual Services: Institutional Research & Planning)

1. Watermark Insights New York, NY $ 22,000.00 (1)*

Item A: Trustee Nelson asked why it was a 50% increase. Ms. Olson referred the question to Ms. Snider. Ms. Snider explained this is a new module to support institutional, program/department, and course assessment. It replaces the current online program and also provides a new program. Ms. Olson stated that this would be expensed with Higher Education Emergency Relief Fund II and Coronavirus Response and Relief Supplemental Appropriations Act (HEERF CRRSAA) funds.

Purchase Report B – FY22 Purchases:

A. Squad Car – (Operations & Maintenance Fund – RVC Police, Other Capital Outlay) 

1. Morrow Brothers Ford Greenfield, IL $ 41,350.00 (1)*

B. Production Contract – (Auxiliary Enterprises Fund – Starlight, Other Contractual Services)

2. Musical Theatre International (MTI) New York, NY $ 40,000.00 (2)*

C. Production Contract – (Auxiliary Enterprises Fund – Starlight, Other Contractual Services)

3. Concord Theatricals New York, NY $ 30,000.00 (3)*

D. Instructional Supplies – (Instructional Supplies General: English)

4. Barnes & Noble Rockford, IL $ 10,000.00 (4)*

E. Uniform Service – (Uniforms Service: Plant Maintenance and Operations)

5. Cintas Cincinnati, OH $ 11,000.00 (5)*

F. Maintenance Services – (Maintenance Services: Building)

6. TBD $ xx.xx (6)*

Purchase Report C - FY22 Advanced Technology Center (ATC) Purchases:

A. IT Equipment – (Maintenance Services Other IT Equipment: Big Thunder Boulevard Belvidere)

1. B&H Photo                                       New York, NY             $ 14,447.00 (1)* 

CDW G                                                 Chicago, IL                 $ 18,259.00 

Paragon Development Systems Inc.   Brookfield, WI             $ 20,658.00 

IT Savvy                                               Chicago, IL                 $ 20,884.00 

Entre Computer Solutions                   Machesney Park, IL    $ 21,031.00

B. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

2. TBD $ xx.xx (2)*

Purchase Report D - FY22 Advanced Technology Center (ATC) Change Orders:

A. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

1. Stenstrom & Sons Construction Rockford, IL $ 626.00 (1)*

B. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

7. Stenstrom & Sons Construction Rockford, IL $ 1,350.00 (2)*

C. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

7. Stenstrom & Sons Construction Rockford, IL $ <530.00>(3)*

D. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

7. Stenstrom & Sons Construction Rockford, IL $ 4,047.00 (4)*

E. Advanced Technology Center – (Operations & Maintenance Fund: ATC)

7. Stenstrom & Sons Construction Rockford, IL $ 890.00 (5)*

2. Fiscal Year 2022 Tentative Budget (Set Hearing Date/30-day Notice)

Ms. Olson presented the fiscal year 2022 tentative budget. The proposed spending plan totals $136,184,422 for all funds and $58,280,052 for the operating funds (funds 01 and 02), which includes a $1,500,000 transfer from the capital fund (fund 03) for funds designated for the Advanced Technology Center (ATC) scholarships.

The operating funds budgeted revenues are $61,163,859, an increase of $6,052,901 due to a rise in property tax revenue due to equalized assessed value (EAV), assuming 100% state funding and budgeting tuition and fees at the fiscal year 2021 levels. Operating funds budgeted expenditures for operations is $58,280,052, an increase of $3,169,094 from the prior year. The operating budget includes the following assumptions: Revenue; 5% EAV increase over 2020 EAV estimates; State funding remains at fiscal year 2021 levels; Tuition and fees remain at fiscal year 2021 levels. Expenses: contractual salary increases; 9.5% increase in benefit costs based on fiscal year 2021 projection; includes additional expense associated with the opening of the ATC; Allocating 33% of the state funding to contingency.

Ms. Olson stated that the fiscal year 2022 tentative budget is a balanced budget for operations. The public hearing will be scheduled for 5:15 p.m. on September 28, 2021.

3. Cash and Investment Report

Ms. Olson presented the July 31, 2021, cash and investment report. The total for operating cash and investments is $64,988,026. The change in operating cash and investments since June 30, 2021, was <$824,388>. Total Capital Funds are $22,955,921, and the change in capital funds since June 30, 2021, was $109,947. There were no questions.

Operations Discussion: Board Liaison Trustee Kearney

1. Personnel Report

Mr. Jim Handley, vice president of human resources, presented the draft personnel report for August 2021. The administration recommends appointing one full-time engineering and technology instructor and the dean of advising and retention. There are two departures. There were no questions.

2. Fiscal Year 2021 Human Resources (HR) Annual Report

Mr. Handley presented the annual HR personnel report for fiscal year 2021. Total full-time employees are 369, which is 1.1% above fiscal year 2020. Employee appointments were down 25.6%; Total separations were 47. RVCs turnover percentage rate for fiscal year 2021 was 12.74%, which is slightly higher than fiscal year 2020 by 1.5%. There were no questions.

3. RVC College Events Calendar

Mr. Handley mentioned that the RVC events calendar was in the Committee of the Whole packet for review. There were no questions.

4. Capital Projects Update

Ms. Janet Taylor, executive director of facilities and operations, presented the capital projects update. Ms. Taylor stated several projects are in the works and that the campus parking lot project improvements were almost complete.

Ms. Taylor explained that the Educational Resource Center (ERC) stairway and concrete bid was rejected by the Capital Development Board (CDB) because all general contractor bids failed to meet minority and female business enterprise participation goals, as set by the project manual. Ms. Taylor stated that the CDB had been contacted, and an emergency request has been put in place due to the ERC stairs and concrete being in such disrepair that it would not make it through the winter. The emergency request has been approved, and Ms. Taylor expects to hear from the CDB this week.

Trustee Trojan asked when the Trustees can see the Facilities Master Plan, and Ms. Taylor stated that it is still under review. Discussion ensued, and Ms. Taylor said she was working with a committee on a timeline and would inform the Trustees when complete.

5. Advanced Technology Center (ATC) Update

President Spearman introduced Ms. Olson to present the ATC update. Trustees wanted to know if RVC was on budget with the ATC. Ms. Olson replied yes, the ATC is on budget. Trustee Trojan inquired about the budget column and an approved column on the ATC cost summary spreadsheet. Questions included is RVC on budget, will more items need to be approved, and will RVC be over budget, under budget, or right on budget? Ms. Olson replied that she believed the ATC would be pretty close to budget and that more items will need to be approved.

Other Business

1. COVID-19 Update

Dr. Spearman gave a brief COVID-19 update, stating that the internal RVC COVID calls would be returning regularly, and, moving forward, masks will be worn indoors no matter your vaccination status.

2. New Business

Dr. Spearman spoke to the pocket guidelines that were created for handouts to the community. The pocket guidelines give a brief overview of RVC and all that it has to offer. Ms. Snider distributed the pocket guidelines to Trustees and RVC staff.

Next Regular Board of Trustees Meeting

The next Regular Board of Trustees meeting will be held on August 24, 2021, at 5:15 p.m.; in the Educational Resource Center (ERC), Performing Arts Room (PAR), Room 0214, or remotely via videoconference.

Next Committee of the Whole Meeting

The next Committee of the Whole meeting will be held on September 14, 2021, at 5:15 p.m., in Woodward Technology Center (WTC), Room 1322, or remotely via videoconference.

Adjourn

At 6:58 p.m., a motion was made by Trustee Trojan, seconded by Trustee Kearney, to adjourn the meeting. The motion was approved by a unanimous voice vote.

https://www.rockvalleycollege.edu/Community/BOT/upload/2021-09-14-CotW-Packet.pdf