November 2019 Meeting Minutes

November 2019 Meeting Minutes

Board of Trustees Meeting Minutes

November 14 2019

 

The Northark Board of Trustees met in regular session Thursday November 14, 2019 at the Bennie Ellis on the South Campus.  Chair Bill Lovell called the meeting to order at 2:58 p.m. Trustees, David Evans, Scott Miller, R.G. Earnest, Chris McNew, Kevin Cheri, Sarah Newman, and Don Tomlinson were present.  Trustee Sara Jo Fendley was absent.

Northark personnel attending included Dr. Randy Esters, Dr. Rodney Arnold, Kim Potts, Billie Reed, Tavonda Brown, Kris Greening, Brandon Cone, Jo Adams, Cindy Mayo, Nell Bonds, Don Sugg, Dr. Rick Massengale, Jennifer Marshall, Micki Somers, and Dr. Laura Berry

 

Approval of Agenda:

Chair Lovell asked if there were any changes to the agenda. There being none, the agenda stood approved.

 

Regular Reports:

Finance Report:  Don Sugg shared financials through October 31. He said we have four months behind us and third way through the fiscal year. He highlighted over the first four months and focused on the tuition and mandatory fees.

In the E&G fund, tuition revenue is little ahead of our budget. The big increase in revenue is in part with the sale of the center campus and the $3 increase in tuition.  He stated the expenses are trending with salary and benefits. Don reported our total annual budget hours are 38, 500, about 1100 hours down from what we budged last year. Don went over the tuition fees covered the analysis to year- to- date for this year compared to last year- to –date and reported there is a shift in the residency, with the In-state tuition down in hours but up in Out-of- state continuous and general. We are losing lower priced hours and gaining the upper priced hours. We are gaining out-of- state residency hours which is a positive stated Don.

Auxiliary is facing challenges, but we are doing better than we did last year on the revenue side. The operations are doing well but the problem is cost to sale. He stated coming into year we lowered sales projection $1,084,150 for whole year with a gross margin targeted at$289,283 at 26.7 %. Year to date actual net profit to date is $50,802 at 8.2%. Sales are over 50% but the cost of sales is much higher. He stated they are looking at their book log but not sure if it’s operating properly with it being the inventory and categorizing of inventory is being crossed. Cross categorizing can affect the margin markup. Don stated we may need to look at the activity, athletic fees, and programs to ride the ship for the Auxiliary fund. Trustee Miller asked if re-categorize correctly would help with the fund. Don replied he” believes it could be better, but it would not be enough to offset the gross profit margin”. Trustee McNew asked “what went well with the Out- of- state tuition.” Don replied that heavy recruitment and we compare well with OTC and College of the Ozarks.  

 

President’s Report:

Dr. Esters started by talking about the Win project (Workforce Initiative Network) that the BCEDC is sponsoring and we are helping with this project in addition we are featured in the WIN magazine. He recognized the Sniperz won the kick ball tournament.  He went over the Fall Festival with the turn out being great. He discussed the Food Drive and thanked everyone who participated. We brought 1,508 pounds of food and $518 in cash, beating the goal of 10,000 pounds by 75 pounds. He shared the annual Northark Day of Service with our employees going to non-profit organizations to help our community. He thanked Roger Turner for the t-shirts and his participation. He gave a special thanks to Arvest bank foundation for donated to North Arkansas College and the funds will provide tuition for international student, Yassin Mbugi. Dr. Esters discussed the Aspen Institute College Excellence Program. They choose the top 150 community colleges to apply for their award and we were selected to be in the Aspen Institute. He stated we are going to move forward to taking a shot at the application. Dr. Esters mentioned that out of 1,604 accredited colleges and universities we were ranked number 14 with the top 3 being Colorado State University, Lindenwold University, and Brigham Young University. He then brought up Dr. Arnold to go over the Campus Housing. Dr. Arnold stated that we are no longer partnering with a private company for the residence hall and they are now looking at Foundation owning, developing, and managing the property. The residence hall will be a 60 bed facility and targeting to open in Fall 2021. Dr. Ester’s asked Trustee Cheri and Miller to give a brief overview of the ADHE Annual Trustees Conference. Trustee Cheri mentioned it was a good experience and had the opportunity to listen to the governor. He brought up that he enjoyed hearing about the true mission of the college and highlighted about the roles of the Board of Trustees.  They spoke about what we should be doing as representatives of the Board, President, and the community.

 

Approval of Consent Agenda:

Chair Lovell requested a motion to approve the Consent Agenda. The Consent Agenda included the October  Regular Meeting Minutes, In-state rate for out of state UAMS students in Northark MLT Program for prerequisites, replacement positions; Tobacco Education Coordinator and ETS Academic Advisor. Trustee Evans moved, Trustee Earnest seconded.

Monitoring Reports:

Don Sugg reported on Ends 6- Affordability and achieving Operational Excellence. Don discussed on four categories; Fund Balance, Expenditures per FTE, Tuition & Fees, and Program Grants & Fees. He stated the Fund Balance as Percent of Revenue with GASB Pension & OPEB Liability, Instruction Expenditures, Academic Support Expenditures, Student Services Expenditures, Institutional Support, and Physical Plant Expenditures per FTE are slightly less than our two year colleges peers. Tuition fees are less than our peers with our In-state rate being less than the two year average. Program Grants & Fees are far ahead of our two year counterparts. Don stated our fund balance is growing and expects to continue through the year.

Trustee Miller discussed the GASB pension liability with Trustee Evans asking if GASB was a federal law, Don replied it is a federal guideline from the National College and University Association, and governmental accounting.

New Business:

New Business item included the nomination of Board of Trustees Officers Committee.

 Chair Bill Lovell nominated the committee of officers David Evans as Chair, Kevin Cherie and Sarah Jo Fendley to assist Trustee Evans. They will make recommendation in December meeting. Chair Lovell will then hand the gavel to David Evans during December meeting. Trustee Evans stated they will discuss through conference call or a meeting of the recommendations. He then will take the step to contact all the board to discuss the nominations and have approval at the December Board meeting.

 

Board Comments:

Trustee David Evans requested a list of the men and ladies basketball schedules. There being no further business Chair Lovell requested a motion to adjourn. Trustee Miller made a motion, which was seconded by Trustee Cheri and passed. The meeting adjourned at 3:58 p.m.