MINUTES OF REGULAR MEETING SAN JUAN COLLEGE BOARD OCTOBER 3, 2016
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1 MINUTES OF REGULAR MEETING SAN JUAN COLLEGE BOARD OCTOBER 3, 2016 ITEM A. CALL TO ORDER Mr. Hare called the meeting to order at 7:03 p.m. The following members were present: John Thompson, Vice Chairman R. Shane Chance, Secretary Dr. Joseph Pope, Member Evelyn B. Benny, Member Absent: Byron Manning, Member Matthew D. Tso, Member ITEM B. WELCOME OF GUESTS AND VISITORS San Juan College administrators and staff in attendance were: Dr. Toni Pendergrass, Barbara Ake, Jon Betz, Ed DesPlas, Dave Eppich, Adrienne Forgette, Chris Harrelson, Ron Jernigan, Kerri Langoni, Bill Lewis, Allan Nass, Michael Ottinger, Rhonda Schaefer, Nancy Shepherd, Vinny Zicolello, Julie Falconer, Shanna Sasser, Leslie Saavedra, Lance Myler, Andrea Weaver, Gerald Williams, Kelly Anderson, Steve Miller, Andrea Cooper, Karen Acree, and Kristie Ellis. Guests in attendance were: Hunter Esmiol ITEM C. ADOPTION OF AGENDA Mr. Chance moved and Ms. Benny seconded the motion to adopt the agenda with the deletion of Items G and H. MOTION CARRIED by a unanimous voice vote. ITEM D. APPROVAL OF MINUTES Approval of Minutes of Regular Board Meeting on September 6, 2016 Dr. Pope moved and Mr. Thompson seconded the motion to approve the Regular Meeting Minutes of September 6, MOTION CARRIED by unanimous voice vote. ITEM E. CORRESPONDENCE None ITEM F. REPORTS 1. Monthly Report 2855
2 Vinny Zicolello shared an Update on ITC (Information Technology Center). 2. Association Reports Student Association (SA) Mr. Hunter Esmiol reported they are working to fill the executive positions. The SA has held two meetings. They have discussed club standings and budgets. A Dakota Pipeline letter was developed. Meetings are being held in the Student Study Lounge for transparency purposes. Faculty Association (FA) Mr. Lance Myler shared there are concerns with staffing issues. The faculty workload is being addressed by the faculty handbook. Mr. Myler recognized there has been an increase in faculty and that staffing is largely a dean issue. He questioned if deans are aware of the support from available resources. The student appreciate small classes. Professional Staff Association (PSA) Ms. Shanna Sasser shared that the Office Olympics were a great success. The PSA hopes to do it again in the future. They are looking to do low cost events. The meetings this year will visit different departments. The last meeting was held at the QCB. There was a tour and a discussion of how business and the college come together. On November 7, 2016 there will be an in-service with Charles Marshall. Ms. Sasser also thanked Mr. DesPlas for quickly resolving the concerns with food services. Support Staff Association (SSA) Ms. Leslie Saavedra thanked the attendees to the Office Olympics. The SSA in continuing to review the survey results. A Lunch and Learn is scheduled on October 28, 2016 with Purchasing and EHSRM. ON November 4, 2016 there will be Celebration of Success for Support Staff. 3. Personnel Report The following appointments were made since the last Board meeting: Claude Pence, Instructor of Diesel Mechanics, School of Trades and Technology, effective August 29, 2016; Jeffrey Kellerman, Recruitment Analyst, Human Resources, effective August 29, 2016; Tanisha Sam, Senior Administrative Assistant, Advising and Counseling, effective September 6, 2016; John Boggs, Senior Director, Student Success Center, effective September 6, 2016; Benjamin Messenger, HR Generalist, Human Resources, effective September 12, 2016; Shayla Pete-Castillo, Custodian, Physical Plant, effective September 19, 2016; Jose Marentes, Custodian, Physical Plant, effective September 19, 2016; Brandon McAdams, Help Desk Technician, Information Technology Center, effective September 19, 2016; Micah Lang, Computer Lab Technician, Information Technology Center, effective September 19, 2016; James Cloen, Reference Librarian, Library, effective September 26, 2016; Richard Barnes, Instructor of Nursing/ADN Pre-Licensure Program, School of Health Sciences, effective September 26, 2016; LaGailene Nakai, Administrative Assistant II, Fine Arts Center, effective September 26, 2016; Kevin Martinez, Custodian, Physical Plant, effective September 26,
3 Changes: Marci Clark, from Financial Aid Technician to Financial Aid Advisor, Financial Aid Office, effective September ; Jennifer Martinez- Maestas, from Student Intake Specialist to Onboarding Specialist, Adult Basic Education Program, effective September 1, 2016; Jon Jones, from Network Administrator to Network Systems Analyst, Information Technology Center, effective September 12, Separations: Virgil Todacheeney, Security Officer, Public Safety, separation of employment, effective September 7, 2016; Hendrick Begay, Custodian, Physical Plant, separation of employment, effective September 13, 2016; Ron Bonebrake, Equipment Maintenance Worker, Health and Human Performance Center, retirement, effective September 30, Financial Report Mr. DesPlas presented the financial report for the month ending August 31, 2016 as presented in the Board packet. Dr. Pope moved and Mr. Thompson seconded the motion to approve the Financial Report as submitted in the Board packet. MOTION CARRIED by unanimous voice vote. ITEM G. ITEM H. ITEM J. CITIZEN COMMENT Mr. Gerald Williams spoke on campus infrastructure. OLD BUSINESS NEW BUSINESS 1. APPROVAL OF FY WORKERS COMPENSATION AND UNEMPLOYMENT INSURANCE PREMIUMS San Juan College obtains workers compensation and state unemployment insurance coverages though the New Mexico General Services/Risk Management Department. The college has received notice of premiums due for the period July 1, 2016 June 30, Coverages and related premiums are reflected below. Workers Compensation $158, State Unemployment $ 31, Total $189, Mr. Chance moved and Ms. Benny seconded the motion to approve the college administration s recommendation that the aforementioned insurance coverages 2857
4 be renewed and that payment of the associated premiums be authorized. MOTION CARRIED by unanimous voice vote. 2. FIRST READING OF REVISION FOR BOARD POLICY 303, VI. F. MEETING PROCEDURES ORDER OF BUSINESS At the September 6, 2016 work session of the San Juan College Board of Trustees, use of a consent agenda within the regular meetings of the Board of Trustees was discussed. A consent agenda, as part of each regular meeting s order of business will include the following items: Minutes of the prior meeting Correspondence Personnel Report Financial Report Routine one-shot Purchase Awards or Purchase requisitions under a previously-approved multi-year contract or Purchase Award Curriculum items Informative Reports Approval of Resolutions that were well discussed in previous meeting or work session Use of a consent agenda will require a revision of San Juan College Board Policy 303, section VI, paragraph F as follows: F. Order of Business: The normal order of business on the agenda of regular Board meetings shall be as follows: 1. Call to Order 2. Welcome of Guests and Visitors 3. Adoption of Agenda 4. Approval of Minutes 4. College Reports 5. Correspondence 5. Citizen Comment 6. College Reports 6. Consent Agenda 7. Citizen Comment (if any) 7. Individual Items/New Business 8. Old Business 8. Announcement of Next Meeting 9. New Business 9. Tentative Closed Session (if any) 10. Announcement of Next Meeting 10. Adjournment 11. Adjournment Dr. Pope moved and Mr. Thompson seconded the motion to instruct staff to place this item on the agenda for the November 7, 2016 regular meeting of the Board of Trustees for consideration of final adoption of revised policy, to be effective November 7, MOTION CARRIED by unanimous voice vote. 2858
5 3. APPROVAL FOR CERTIFICATION OF ASSET INVENTORY The governing unit of the College is required to certify the inventory of equipment assets of the College at year end as part of the year-end audit process. For this purpose, the inventory of the equipment assets has been completed to the best of the San Juan College staff s ability and is presented to the Board of Trustees. The list of San Juan College s asset inventory has been included in the board packet. Mr. Chance moved and Dr. Pope seconded the motion to approve and certify the asset inventory for purposes of the FY 2016 audit. MOTION CARRIED by unanimous voice vote. 4. APPROVAL OF PERFORMANCE CONTRACTING FOR REPLACEMENT OF PHYSICAL PLANT EQUIPMENT AND ENERGY CONSERVATION Performance Contracting is a method of financing the replacement and upgrade of large, high-cost physical plant equipment and systems. The debt incurred to finance select, energy conserving physical plant upgrades is repaid by the savings from reduced utilities usage and cost. The contractor selected for Performance Contracting provides a guarantee that the energy savings generated from the prescribed energy conservation measures will be sufficient to cover the debt payments on the equipment financed. Should the savings fall short of the guarantee, the performance contractor must make-up the difference required to cover the debt payment. In July 2015, the New Mexico Higher Education Department Capital Improvements Committee recommended that San Juan College (SJC) use Performance Contracting as a funding mechanism to replace aging and obsolete plant equipment. In February 2016, the SJC Board approved an Investment Grade Energy Audit agreement with Johnson Controls (JCI). At the July 5, 2016 work session for the SJC Board of Trustees, recommendations for equipment replacement and upgrade within a Performance Contracting methodology were reviewed with the Trustees. The recommended projects, totaling $7.2 million, accommodate replacements and upgrades in: Lighting Retrofits and Controls, New Chiller Plant, CHW and HW Loop Improvements, AHU Replacements, HVAC DX Unit Replacements, Energy Management System Upgrades, and Waste Management Improvements. 2859
6 The contract between SJC and JCI to execute the energy conservation measures requires SJC Board approval. SJC and JCI will use the contract developed by and required by the State of New Mexico for Energy Performance Contracting. This document has been provided to the Board. In September 2016, proposals were solicited from financial institutions and municipal securities underwriters to finance the equipment replacements and upgrades through the audit-determined energy conversation measures. After review of the responses which were received, one proposal appears to be most advantageous to the College. Recommended for acceptance by San Juan College is the proposal submitted George K. Baum & Company, investment bankers for a lease purchase arrangement through Sterling National Bank at an annual fixed rate of 2.71% interest across years. The estimated closing date on this financing is November 18, The written finance proposal from George K. Baum and Company has been provided to the Board. Following SJC Board approval of the energy performance contract with JCI and approval of the finance proposal from G.K. Baum, SJC will pursue New Mexico Higher Education Department approval in November of 2016 and State Board of Finance approval in December Dr. Pope moved and Mr. Thompson seconded the motion to approve the contract with JCI for energy performance contracting and the year, 2.71% annual interest finance proposal from George K. Baum and Company. MOTION CARRIED by unanimous voice vote. 5. APPROVAL EMPLOYEE AND RETIREE HEALTH PLAN FOR CALENDAR YEAR 2017 In 2015 San Juan College released a Request for Proposals for health insurance for eligible employees and eligible retirees. CIGNA was selected and has been providing the health insurance plan for covered employees since January 1, Coverage and premiums for January 1, 2017 through December 31, 2017 have been negotiated. A summary of plan changes is below: Two plans will be offered: the PPO core plan and a lower cost, high deductible plan. Highlights of the In-Network benefits of the two plans for calendar year 2017 include: 2017 Core Plan 2017 High Deductible Plan Deductible $1,500 employee $2,500 employee x 2 for more than x 2 for more than employee employee Out of Pocket Maximum $5,500 employee x 2 for more than employee $5,500 employee x 2 for more than employee 2860
7 Coinsurance PCP/Specialists Office Visit $30/$50 deductible, then Preventive Care 100% 100% Inpatient Hospital 20% (employee portion) deductible, then Outpatient Surgery 20% (employee portion) deductible, then Urgent Care $50 deductible, then Emergency Room $200 deductible, then Prescription Retail $5/$35/$55/20% deductible, then Lifetime Maximum unlimited unlimited A matrix that compares the current plans to the calendar year 2017 plans has been provided to the Board. Changes to the monthly premiums as they impact covered employees and the college are below: 2017 Core Plan 2017 High Deductible Plan Employee $ $ Employee + Spouse $1, $1, Employee + Child $ $ Family $1, $1, The employee portion and the college portion of the monthly premiums will be shared as follows: Employee College Base Pay less than $50,000/year 20.5% 79.5% Base Pay $50,000 - $59,999/year 31.0% 69.0% Base Pay greater than $60,000/year 41.5% 58.5% There will be no change in the retiree/college sharing of monthly premiums. For active employees, the estimated total premiums for calendar year 2017 are $5,394,131, an increase of $415,894 from the calendar year 2016 estimated total premiums. This $415,894 increase is estimated to be shared: $152,479 employee-paid and $263,415 college-paid. The increased cost for retiree premiums will be paid by the Retiree Insurance Trust. To incent employees to enroll in the lower cost, high deductible plan, the college will fund a $50/month contribution to a Health Saving Account administered by CIGNA. 2861
8 Mr. Chance moved and Mr. Thompson seconded the motion to approve the health plan changes, premiums and health savings account offer for the 2017 calendar year. MOTION CARRIED by unanimous voice vote. ITEM K. ANNOUNCEMENT OF NEXT MEETING The next regular meeting will be held on Monday, November 7, 2016 at 7:00 p.m. in the San Juan College Board Room. Executive Session to Discuss Personnel Matters Pursuant to Sections to , NMSA 1978, Subsection H, Paragraph 2, the Board went into Executive Session to discuss personnel matters. A motion was made at 8:03 p.m. by Dr. Pope and seconded by Mr. Thompson for the Board to meet in executive session. MOTION CARRIED by a unanimous roll call vote. The Executive Session concluded at 8:20 p.m. and the matters discussed in the closed meeting were limited only to those specified in the motion for closure. Mr. Chance moved and Ms. Benny seconded the motion to return to the regular meeting. MOTION CARRIED by unanimous roll call vote. ITEM L. ADJOURNMENT Dr. Pope moved and Mr. Thompson seconded the motion to adjourn. Mr. Hare adjourned the meeting at 8:21 p.m. Mr. Ken Hare, Chairman San Juan College Board ATTEST: Date: _ November 7, 2016 _ R. Shane Chance, Secretary San Juan College Board 2862
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