Minutes 01/24/2006

An executive session and regular meeting of the Maricopa County Community College District Governing Board was scheduled to be held at 5:30 p.m. at the District Support Services Center, 2411 West 14th Street, Tempe, Arizona, pursuant to A.R.S. §38-431.02, notice having been duly given.

PRESENT

GOVERNING BOARD
Scott Crowley, President
Ed Contreras, Secretary
Linda Rosenthal, Member
Don Campbell, Member
Jerry Walker, Member

ADMINISTRATION
Rufus Glasper
Steve Helfgot
Debra Thompson
Darrel Huish
Maria Harper-Marinick
Albert Crusoe
Anna Solley
Pete Kushibab
Mary Kay Kickels
Larry Christiansen
Ken Atwater
Dr. Ginny Stahl for Art DeCabooter
Homero Lopez
Gene Giovannini
Linda Thor
Jean Ann Abel
Maria Hesse

CALL TO ORDER
The regular meeting was called to order at 6:50 p.m.

Acknowledgement was made that members of the NAU CC580 Community College Class taught by Jesse De Anda were present this evening.

EXECUTIVE SESSION
The executive session was called to order by President Crowley at 5:30 p.m.

PLEDGE OF ALLEGIANCE
The assembly pledged their allegiance to the United States of America led by Governing Board Member Ed Contreras

PRESIDENTIAL MESSAGE
President Crowley commented that before proceeding with the evening’s meeting, he wanted to make known what his goals were for the coming year during his term as Board President. He made the following remarks:

As I begin the year as Board President I would like to have my goals stated right up front. You look at this Board and it is diverse in many ways, from youth to political perspective, and different levels of experience. I hope with all of this in mind that we can continue to move forward the mission and values we adopted last year. The students must always come first; none of us would be here without them. To follow that the Chancellor and the Faculty deserve every tool and opportunity to deliver the best education for those customers. They do it in a professional manner, and with more feeling and compassion than the local state and private universities. We all must continue to work together to move the District to a place that provides a better workforce and greater transfer opportunities for and to our students.

Also, the bond will help with classroom structure, and partnerships will help continue to build bridges for greater opportunities and new programs. If structures are built with no staff and no faculty, those buildings will not serve students or our purpose. Without continued strong financial planning and foresight we will limit our chances for future success as well as our students. As I said, I believe we offer a much better product than the high- priced, overcrowded universities. We also know the cost of everything has gone up; we must remain fiscally responsible to our stakeholders. Our taxpayers demand it.

Finally, I want to look at additional support for our students. With the large numbers of students from every walk of life attending our campuses every year, we must develop appropriate systems to help them in other aspects of their life outside of their education. We all know that the pressure of family, job and everyday living affects how we react and, certainly, how we learn. I see the world with a lot of different challenges than most because of my job as a firefighter. It is my strong desire to see the Maricopa Community Colleges develop a system that would further assist the limited outstanding staff we currently have on campus by seeking behavioral health support services from an established local system so that our students can be free of other stresses and get on with their higher education and job training.

I thank all of you for your dedication and commitment to students.

CITIZEN'S INTERIM
No citizens came forward.

BOARD MEMBER REPORTS
There were no reports.

CHANCELLOR'S REPORT
Chancellor Glasper introduced the following members of audience:

• Mr. Doyle Burke, President of the Maricopa Retirees Association, who presented a $5,000 check to the Maricopa Foundation to be divided equally and used to help students at all ten colleges. It was the desire of the Retirees Association that this money be used for magazine subscriptions, on-line journals and resources. Mr. Steve Schenk accepted the check on behalf of the Maricopa Foundation and thanked the members of the Retirees Association for the time, talent, and money they donated.
• Dr. Glasper also acknowledged the presence of Rene Blatte, Director of MCTV, and congratulated him on awards recently presented to MCTV. Mr. Blatte came forward and provided remarks regarding the accomplishments of the MCTV and its personnel. His remarks are included in this meeting packet.

SECRETARY'S REPORT
There was no report.

FACULTY REPORT
Faculty Executive Council President Jamie Moore came forward and wished everyone a Happy New year and also much success to President Crowley in the coming year. Ms. Moore introduced Dean Stover, Faculty Senate President at GateWay Community College, who introduced members of the GWC Faculty Senate and provided an overview of the faculty sponsored activities on their campus. Faculty Senate officers at GateWay are: Dean Stover, President; Sharon Luczu, President-elect; Jim Ragaisis, Treasurer; Nancy Kersten, Secretary. The activities included:

• Five faculty conversations on college goals (teaching and learning, expanding general education, ensuring that occupational programs meet the changing needs of the community, expanding and enhancing community linkages and partnerships, and improving enrollment management.
• An upcoming dialogue day to be held on the Scholarship of Teaching and Learning which will feature two Carnegie Scholars, Randy Bass and Dan Bernstein,.
• Lastly, Mr. Stover acknowledged the emeritus distinction designation to be approved later in the board meeting to Professor Alex Backus for his thirty-three years of service to the Maricopa Community College District Mr. Stover presented a plaque from GateWay and a letter from the Chancellor congratulating Mr. Backus for his dedication to the Maricopa organization.

EMPLOYEE GROUP REPORTS
There were no reports.

COLLEGE REPORTS
There were no reports.

STUDENT LIFE REPORT
Phi Theta Kappa students, Jeni McDaniel and Casey Matozevich, from Chandler-Gilbert Community College came forward to recap the activities of their organization. These activities included attending the annual conference in Texas, helping to raise part of $1,000,000 for cancer research, helping with Project Challenge and the Honors Satellite Series, participating in three walks, creating and auctioning off Vessels of Hope for patients at Phoenix Children’s Hospital, and volunteering at the Sojourner Center and Into the Streets. Their PTK group increased their membership by 20% of which they were very proud and they expressed that the quantity and quality of their volunteer work was a high priority for their group.

Four students: Amandia Aurand (PVCC), Christopher Dennis (PVCC), Elizabeth Scala (PVCC), and Filiz Dolor (GCC), were participants at the 2005 Arizona Town Hall dealing with Biotechnology came forward to share their experiences as student participants in this event. Filiz spoke about the value of the discussions and networking she was able to accomplish with both the TGEN organization, as well as the ASU Institute. Christopher spoke about the opportunity to participate on panels that held open-ended discussions and developed formal wording to be sent to the Arizona Legislature. Elizabeth expressed that this had been a wonderful experience that had enabled her to meet many people and other students. She was grateful to PVC and David Harbster for the nomination and opportunity to attend. Amandia found the Town Hall to be a very motivating experience. It was very well formatted and she was able to work side by side with politicians and educators.

STRATEGIC CONVERSATION FOLLOW-UP REPORT
There was no report.

ACCA/AADGB REPORT
Mrs. Rosenthal reported that these groups had not met since the last board meeting.

LEGISLATIVE REPORT
Page Gonzales and Matt Ortega reported on 2006 Legislative Highlights. They summarized the background, challenges, and opportunities that the 2006 legislative session will provide. A copy of their report is included as part of this meeting packet.

AWARDS AND RECOGNITIONS
Vice Chancellor Steve Helfgot acknowledged that this evening would be the last time Rick DeGraw would be present as a member of the Maricopa organization as he would be assuming the position of Vice President of the State Compensation Fund of Arizona. He expressed appreciation to Rick for his work and leadership on behalf of the District.

APPROVAL OF THE AGENDA
President Crowley requested a motion to approve the agenda.

MOTION NO. 9353
Dr. Campbell moved that the Governing Board agenda be approved. Motion carried 5-0.

CONSIDERATION OF CONSENT AGENDA
President Crowley requested a motion to approve the Consent Agenda.

The following items are included in the Consent Agenda:

A.1. APPROVAL OF MINUTES – Approve the minutes of the December 13, 2005 Regular Governing Board Meeting and the January 10, 2006 Special Governing Board Meeting.

B.1. APPROVAL OF EMERITUS STATUS DISTINCTION
GATEWAY COMMUNITY COLLEGE & SCOTTSDALE COMMUNITY COLLEGE - Award Emeritus Distinction to MCCCD Faculty members at GateWay Community College and Scottsdale Community College for their meritorious contributions and quality of instruction to the Maricopa County Community College District.

B.2. APPROVAL OF APPROVAL OF SETTLEMENT WITH JP MORGAN PARTNERS, L.L.P., JP MORGAN CHASE & CO., JP MORGAN BANK, BANK ONE, N.A., BANK ONE CORPORATION, BANC ONE CAPITAL MARKETS, INC., THE BEACON GROUP, LLC, THE BEACON GROUP FOCUS VALUE FUND-III, LP, THOMAS MENDELL, HAROLD POTE, AND ERIC WILKINSON -Approve a settlement in the National Century Financial Enterprises litigation with three of the defendants, JP Morgan Partners, L.L.P., JP Morgan Chase & Co., JP Morgan Bank, Bank One, N.A., Bank One Corporation, Banc One Capital Markets, Inc., the Beacon Group, LLC, the Beacon Group Focus Value Fund-III, LP, Thomas Mendell, Harold Pote, and Eric Wilkinson. The total settlement will be allocated to multiple parties in the lawsuit and it is estimated that the District’s share will equal approximately $1.3 million.

C.1. APPROVAL OF FACULTY/MANAGEMENT/ADMINISTRATIVE/ SUPPORT - Approve the recommended personnel actions as presented with addendum.

D.1.A. APPROVAL OF PROPOSED CURRICULUM AND PROGRAMS – Approve the proposed curriculum and programs as submitted

D.1.B. APPROVAL OF CURRICULUM – CATALOG COMMON PAGES – Approve the curriculum catalog common pages as submitted.

D.2. APPROVAL OF AGREEMENT FOR DUAL ENROLLMENT WITH NORTHWEST CHRISTIAN HIGH SCHOOL – Authorize entry into an agreement on behalf of its colleges with Northwest Christian High School for their dual enrollment program.

D.3.APPROVAL OF INTERGOVERNMENTAL AGREEMENT BETWEEN MESA COMMUNITY COLLEGE AND THE ARIZONA DEPARTMENT OF ECONOMIC SECURITY, REHABILITATION SERVICES ADMINISTRATION – Accept the Intergovernmental Agreement (IGA) between Mesa Community College and the Arizona Department of Economic Security (DES), Rehabilitation Services Administration (RSA).

E.1. APPROVAL OF CONSULTANT SELECTION FOR EXPANSION OF GLENDALE COMMUNITY COLLEGE NORTH – Approve awarding a contract to RNL Design, with a maximum fee budget of $1,900,000, to provide architectural and engineering services for the expansion of Glendale Community College North.

E.2 APPROVAL OF SALE OF SMALL PORTION OF CHANDLER-GILBERT COMMUNITY COLLEGE LAND TO THE CITY OF CHANDLER FOR GILBERT ROAD EXPANSION – Approve the sale of +/-1.4 acres of land running along the eastern boundary of Chandler Gilbert Community College for the Gilbert Road widening. Total cash payment for the land conveyance will be $150,000.00., in addition to the college benefiting from $307,000 in improvements installed by the City along Gilbert Rd. These improvements include new curb and sidewalk, and covering of an open irrigation ditch

E.3 APPROVAL OF DRAINAGE EASEMENT TO THE CITY OF CHANDLER AT CHANDLER-GILBERT COMMUNITY COLLEGE – Grant a Drainage Easement along Gilbert Road, at the eastern edge of Chandler Gilbert Community College, to the City of Chandler.

F.1 APPROVAL OF COURSE FEE ADDITIONS – PARADISE VALLEY COMMUNITY COLLEGE – Approve the proposed addition of 2 courses shown below to the adopted fee schedule for Paradise Valley Community College. The fees will be effective spring semester 2006.

F.2 APPROVAL OF BUDGETED EXPENDITURE AMENDMENT FOR FY04-05 – Approve amendment to budgeted expenditures (shown below) to match what was actually expended in each fund, as per the audited financial statements.

MOTION NO. 9354
Mrs. Rosenthal moved for approval of the Consent Agenda. Motion approved 5-0.

C.2. APPROVAL OF GOVERNING BOARD REVIEW OF FACULTY RESOLUTION OF CONTROVERSY– Review the pending resolution of controversy submitted by Dr. Rosemary Leary, as well as the evidence in connection with such matter, pursuant to Section 6.2.5 of the Residential Faculty Policy Manual (RFP).

MOTION NO. 9355
Mr. Contreras moved that no written comment be rendered and that the Level 5 decision stand. Motion approved 4-0-1 (Mrs. Rosenthal abstained).

(VI.A.)
Budget Analysis Report Summary
Fund 1 - General Unrestricted Fund
For the Six Months Ended December 31, 2005

Expenditure analysis indicates 43.6% of the budget has been expended so far this year as compared to 43.1% expended at this same point in time last year. 25.4% of the budget remains unexpended or unencumbered compared to 26.6% in the prior year. Revenue analysis indicates that 59.4% of the budget has been recognized to date. Projected fund balance will increase by about $1.8 million during this fiscal year. 6% of budgeted expenditures are projected to be unexpended and projected ending fund balance for June 2006 is $80.4 million and equates to about 45 days of operating budget, or more than six payrolls.

(VI.B.)
1994 General Obligation Bonds
Series A (1995), Series B (1997), Series C (1999), and Series D (2001) and GO Bond Refunding Series (2002 & 2004), 2004 General Obligation Bonds Series A (2004), and 1994
Capital Development Plan Summary
As of December 31, 2005

As of December, 2005, $382.6 million of 1994 bond proceeds have been expended representing about 99% of total proceeds available from the bond authorization and capital development plan. Bond Proceeds are invested until expended. As of December 31, 2005, the net remaining balance on the 1994 GO Bond is $14.1 million, categorized as follows:

Bond Proceeds $3.2 million
Interest Allocated to Life Without the Bond $4.8 million
Interest NOT Allocated to Life Without the Bond $6.1 million

Remaining earnings are invested and will be used for future debt service or capital projects such as Life Without the Bond.

As of December 31, 2005, $26.3 million of 2004 bond proceeds have been expended and encumbered representing about 14% of total proceeds from the bond authorization and capital development plan.

This report is also provided to the Capital Development Advisory Council and the Audit and Finance Committee on a quarterly basis. Detail is provided to the colleges monthly.

(VI.C.)
Revenue Bond Projects
Receipts and Disbursements Analysis
As of December 31, 2005

The 2002 series funded the South Mountain PAC and portions of the SIS project. The South Mountain PAC has been completed and is operational. Total commitments for the SIS project approximate $10.26 million, with a remaining project fund balance of $188 thousand or 2% of original budget. The 2003 series funded the Paradise Valley PAC. Total commitments (expenditures and encumbrances) for the Paradise Valley PAC approximate $8.5 million, resulting in remaining project funds of $320 thousand or 4% of the original budget. In addition to Revenue Bond proceeds, resources from general obligation bonds, student fees, interest earnings, or college capital accounts may fund PAC and SIS projects.

Bond proceeds are invested until expended. As of December 31, 2005, approximately $1.5 million in net interest has been received on invested proceeds. These funds have been used to pay professional fees, additional project costs, and debt service. Additionally, a reserve has been established to pay future professional fees on the bond issue.

This report is also provided to the Capital Development Advisory Council and the Audit and Finance Committee on a quarterly basis.

NEXT BOARD MEETING
The next Governing Board Meeting will be a Strategic Conversation
On February 14, 2006 at 4:00 p.m. at the Scottsdale Community College.

ADJOURNMENT
The meeting adjourned at 7:50p.m.

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Ed Contreras
Governing Board Secretary