College Planning Council Wednesday, February 27, 2013 SAC 225 1:00 – 3:00 p.m. AGENDA ACTION/ DISCUSSION/ INFORMATION MINUTES 1. Call to Order/Introduction of Substitutes I 2 2. Review of Agenda I 2 3. Oral Communications Members of the audience may speak to non-agenda items (2 minutes per speaker) 5 4. Approval of Meeting Minutes a. b. November 28, 2012 January 23, 2013 A 5 5. Review of March 4, 2013 Board of Trustees Agenda Topic Leader(s)—John Hendrickson D/A 5 6. Budget Overview Topic Leader(s)—Victoria Lewis, Graciano Mendoza A 20 7. Fast Track to Work Director Position Topic Leader(s)—Dennis Bailey A 5 8. Education and Facilities Master Plan Update Topic Leader(s)—Victoria Lewis I/D 5 9. Accreditation Update Topic Leader(s)—Rachel Mayo I/D 5 10. Student Success Initiative Topic Leader(s)—Dennis Bailey I/D 5 11. Future CPC Agenda items May 4, 2013: Joint meeting with the Board of I/D Trustees on Student Success Initiative March 20, 2013: review of accreditation standards drafts ARRC and Strategic Plan Key Performance Indicators 5 TRUST + HUMANITY + CIVILITY + OPTIMISM The mission of Cabrillo College is to enhance the intellectual, cultural, and economic vitality of our diverse community by assisting all students in their quest for lifelong learning and success in an ever-changing world. Our purpose is to provide an accessible and effective learning environment which aids students in their pursuit of transfer, career preparation, personal fulfillment, job advancement and retraining goals. Our core values are academic freedom, critical thinking, and respect for all people and cultures. Our commitment is to encourage excellence, offer a balanced curriculum, promote teaching methods for diverse learning styles, and involve and enrich our community. 12. CPC Meeting Schedule: I/D First and third Wednesdays at 2:00 except March 6 and May 1, 2013 at 1:00 pm (Curriculum Committee) 5 13. Adjourn TRUST + HUMANITY + CIVILITY + OPTIMISM The mission of Cabrillo College is to enhance the intellectual, cultural, and economic vitality of our diverse community by assisting all students in their quest for lifelong learning and success in an ever-changing world. Our purpose is to provide an accessible and effective learning environment which aids students in their pursuit of transfer, career preparation, personal fulfillment, job advancement and retraining goals. Our core values are academic freedom, critical thinking, and respect for all people and cultures. Our commitment is to encourage excellence, offer a balanced curriculum, promote teaching methods for diverse learning styles, and involve and enrich our community. Cabrillo College Governing Board Monday, March 4, 2013 Cabrillo College Sesnon House 6500 Soquel Drive Aptos, California 95003 OPEN SESSION (McPherson Room) 1. Call to Order and Roll Call 2. Adoption of Agenda 3. Public Comments Regarding closed Session Items (three minute time limit per speaker) 4. In-service Training: Access to paperless agenda materials 5. Announcement of Closed Session 6. Adjourn to Closed Session CLOSED SESSION (Pino Alto Room) 1. Conference with Labor Negotiator (Government Code §54957.6) District’s Designated Representative: Victoria Lewis Employee Organization: CCEU 2. Conference with Labor Negotiator (Government Code §54957.6) District’s Designated Representative: Victoria Lewis Employee Organization: CCFT 3. Conference with Labor Negotiator (Government Code §54957.6) District’s Designated Representative: John Hendrickson Employee Organization: Management and Confidential Employees TIME 5:00 5:30 OPEN SESSION (McPherson Room) 1. Call to Order and Roll Call 2. Report Out of Closed Session TIME 6:00 OPEN SESSION (McPherson Room) PAGE A. Consent Items 1. Minutes and Consent Agenda (these items are approved when the agenda 5 is approved unless a Board member wishes to discuss) a. Minutes of February 11, 2013 2. Register of Warrants 10 It is recommended that the Governing Board ratify warrant numbers 97161-97536 for the amount of $2,124,702.44. 3. Budget Transfers by Resolution 24 It is recommended that the Governing Board approve Resolution Numbers 016-13 through 021-13 for Budget Transfers. 4. Donations from Cabrillo College Foundation 31 It is recommended that the Governing Board accept the donations to the named programs from the Cabrillo College Foundation. 5. Quarterly Financial Status Report CCFS-311Q 32 It is recommended that the Governing Board accept the report, CCFS 311Q Quarterly Financial Status Report, and order its inclusion on the official minutes of the College. TIME 6:01 March 4, 2013 6. Human Resources Management Report It is recommended that the Governing Board ratify and/or approve the human resources management report. 37 Introduction of Newly Appointed Faculty and Staff Oral Communications: Members of the audience may speak to nonagenda items (three minute time limit per speaker) B. Special Presentation 2011-12 Professional Development Leave (Sabbatical) Reports– Presentation by two faculty members who were on sabbatical in 2011-12. 6:10 C. Oral Reports 1. Board Members’ Reports 2. Student Trustee’s Report 3. Superintendent’s Report 4. Faculty Senate: Comments on issues of interest to the Faculty Senate 5. CCEU: Comments on issues of interest to the Cabrillo Classified Employees Union 6. CCFT: Comments on issues of interest to the Cabrillo College Federation of Teachers 6:25 D. Action Items 1. Notice of Reemployment/Non-Reemployment of Designated Academic Employees It is recommended that the Governing Board accept the Superintendent/President’s recommendations as provided. 2. Resolution 015-13: Reduction or Discontinuance of Classified Service It is recommended that the Governing Board adopt Resolution 015-13 as presented. 3. Educational Master Plan It is recommended that the Governing Board approve the Educational Master Plan as presented. 4. Facilities Master Plan (FMP) Semi-Annual Update, Revision and Project Status It is recommended that the Governing Board approve the Facilities Master Plan as presented. 5. Student Services Component Job Description: Fast Track to Work Director It is recommended that the Governing Board approve the revised description for the Fast Track to Work Program Director as provided. 6. Spring 2013 Curriculum Committee Actions It is recommended that the proposed changes be approved for a fall 2013 effective date. 6:45 39 41 43 44 49 52 March 4, 2013 E. Information Items: The following items are provided for Governing Board information. 1. 2012-13 through 2016-17 Budget Planning Update 7:15 62 2. Sunshine District 2013-16 Initial Proposal: CCFT/District The District 2013-16 Initial Proposal for negotiations with CCFT is presented for information; it will return for action at the next Governing board meeting. 3. Sunshine CCFT 2013-16 Initial Proposal: CCFT/District The CCFT 2013-16 Initial Proposal for negotiations with CCFT is presented for information; it will return for action at the next Governing Board meeting. 4. Board Policy 5035: Withholding of Student Records Student Services, First Reading Board policies are presented as a first reading for Governing Board review and will return for action at the next Governing Board meeting. 5. March 2013 Accreditation Update 72 6. Board Travel 86 The following items are provided for Governing Board information. No staff report is anticipated. 7. 2011-12 Professional Development Leave Reports 89 74 76 78 8. Grant Applications Recently Submitted by Career Education and Economic Development (CEED) 92 9. Quarterly Investment Report (Dec 12) 93 10. Spring 2013 Flex Week Activities Report 99 11. Cabrillo College Monthly Calendar 100 12. Financial Reports 102 13. Agenda for Next or Future Board Meetings The Cabrillo College Governing board may discuss items to be placed on the future board meeting agendas. F. ADJOURN 7:45 For ADA related meeting accommodations, contact the Executive Assistant to the President at (831) 479-6306 at least 24 hours in advance of the meeting. 2013-14 Budget Reduction Process Commitments, Criteria and Strategies Revised 2/27/13 The economic crisis affecting the state budget is conservatively projected to last at least three yearsend soon. At the current time, our best efforts at projecting the fiscal impact on Cabrillo indicate that our state funding may continue to declinebegin to increase over the next few years. The intent of the following process commitments, criteria and strategies is to enable Cabrillo to move from being a college that is organized and staffed to operate on a $60 million budget to an organization and staffing level that can deliver sustainable services to the community with a smaller budget. I. Process Commitments A. Link Budget planning, including program and service reductions and redesign efficiencies, to long range planning, including the evaluation of the impact on student success. B. Utilize the appropriate forums to dialogue about the restructuring, consolidation, reductions, and/or elimination of programs and services resulting from a reduction in resources. C. In the event that program and workforce reductions are necessary, the college will work to preserve faculty, staff and management positions when possible and, if not possible, will assist with employment-related transitional issues. D. The process will be characterized by openness, respect, sensitivity, and inclusiveness. The College Master Plan provided the general framework for the following criteria: II. Criteria A. Compliance Requirements 1. Maintain accreditation standards of the college and academic programs 2. Maintain state and federal compliance requirements (Strategic PlanCMP Goal B) e.g.: 50% law Full-Time faculty obligation number (FON) Accessibility B. Preserve transfer, basic skills, and Career Technical Education so students are able to complete their academic goals (Strategic PlanCMP Goal BA) Core courses toward an AA/AS General education breadth Labor market C. Minimize negative impact on student success (Strategic PlanCMP Goals B & CA) e.g. ARCC D. Optimize enrollment to achieve maximum state revenues. III. E. Minimize impact of non-base budget programs on General Fund (Strategic PlanCMP Goal EA) Ancillary/Auxiliary operations Categorical and grant-funded programs F. Maximize efficiency of programs and services (Strategic PlanCMP Goal A and Technology Plan) Are college programs and services efficient? WSCH/FTEF Non-redundant G. Minimize the negative impact on the operational needs of new and existing facilities (Strategic PlanCMP Goal D B and Facilities Master Plan) H. Optimize effective utilization of college facilities (Strategic PlanCMP Goal EB) I. Maximize flexibility and opportunities for employees (Process Commitment C) Strategies A. Design and implement Strategic Enrollment Management Plan and determine the FTES targets for 2011-12 through 2013-14.the Student Success Initiative for the college. B. Review all auxiliary and categorical program budgets with the appropriate budget administrator to identify reductions. C. Evaluate college-wide services and systems; explore alternative models across components; reduce costs, reduce duplication of function, and increase efficiencies throughout the college. D. Management of personnel budget. Process Overview Utilize salary savings for vacant positions to reduce the overall budget reduction target. Salary savings may be used to fund replacements for vacant positions based on demonstrated need and the approval of the Vice President/President. Salary savings may not be used to cover other operating expenses or equipment purchases. Cabinet may approve the recruitment of vacant positions based on demonstrated need. Human Resources will provide a list of vacant positions and the status of recruitments on a weekly basis. Administrative Services will provide a report of cumulative salary savings on a monthly basis. E. Evaluate facility use for efficiency and effectiveness. Watsonville Scotts Valley Energy Use Reduction F. Discuss compensation and benefit programs with all employee groups. IV. Historical Data Available A. Internal Data Cost Center Actual 06-07 Expenditures, number of full-time equivalent faculty, staff and administrators (FTE) and FTES Actual 07-08 Expenditures, FTE and FTES Budget 08-09 Expenditures, FTE Staffing levels by department and bargaining unit from accreditation self-study FACT Books http://pro.cabrillo.edu/pro/factbook/index.html Space Planning project database Suggestion box for anonymous input Budget reduction Website Accreditation Self-Study http://www.cabrillo.edu/services/pro/accred/index.html Program Planning Pages http://pro.cabrillo.edu/pro/factbook/programPlanningTables.html Accreditation Self-Study http://www.cabrillo.edu/services/pro/accred/index.html Budget & Benefits Information Center: http://www.cabrillo.edu/internal/adminservices/budgetcenter/ Educational Master Plan: http://www.cabrillo.edu/services/pro/masterPlan/ FACT Books http://www.cabrillo.edu/services/pro/factbook/ Program Planning Pages http://pro.cabrillo.edu/pro/factbook/programPlanningTables.html Strategic Plan: http://pro.cabrillo.edu/cmp/ Technology Plan: http://www.cabrillo.edu/services/pro/accred/pdf/ITTP.pdf B. External Data Fiscal Data Abstract 06-07 Current Cost of Education 06-07 WASC Accreditation Standards http://www.cabrillo.edu/services/pro/accred/pdf/ACCJC%20NEW%20STANDARDS.pdf CABRILLO COLLEGE FY 2012-13 through 2013-14 Budget Development Timeline Draft February 27, 2013 CPC Nov./Dec. 2012 January 14, 2013 January 10, 2013 January 8/15/29,2013 January 18, 2013 January 23, 2013 February 11, 2013 February 19, 2013 February 27, 2013 March 4, 2013 March, 2013 March 5/26, 2013 March 6, 2013 March 6/20, 2013 April, 2013 April 8, 2013 April 9/23, 2013 April 3, 2013 April 3/17, 2013 April - June 2013 May 6, 2013 May 7/28, 2013 May 1, 2013 May 1/15, 2013 May 25, 2013 CPC/BOARD MEETING Action Items; - Academic Staffing Recommendation- Replace six full-time faculty positions for Fall 2013 BOARD MEETING Information Items: - 2012-2014 Budget Update 2013-14 GOVERNOR'S STATE BUDGET ADMINISTRATIVE COUNCIL STATE BUDGET WORKSHOP MANAGER'S MEETING/CPC MEETING Review Governor's Budget and impact of Proposition 30 - Discussed major components of budget planning parameters for 2013-14 -Increase the replacement of full-time teaching faculty from six to eight for Fall 2013 -Permanently fund 280 teach units to stabilize enrollment and capture restoration funding for 2012-13 - Updated revenue assumptions to include 2012-13 restoration funding BOARD MEETING Information Items: - Budget Update ADMINISTRATIVE COUNCIL CPC MEETING Information Items: - Update Budget Parameters FY 2012-13 through 2016-17 - Update Budget Development Timeline- FY 2013-14 - Review Strategies, Commitments and Criteria BOARD MEETING Information Items: - Update Budget Parameters FY 2012-13 through 2016-17 - Update Budget Development Timeline- FY 2013-14 - Review Strategies, Commitments and Criteria First Principal Apportionment 2012-13/ 2012-13 Recal ADMINISTRATIVE COUNCIL MANAGERS MEETING CPC MEETINGS Continue to evaluate/revise Planning Parameters BOARD MEETING Action Items: - Update Budget Parameters FY 2012-13 through 2016-17 - Update Budget Development Timeline- FY 2013-14 - Review Strategies, Commitments and Criteria ADMINISTRATIVE COUNCIL MANAGERS MEETING CPC MEETINGS 2012-13 Negotiations- All groups BOARD MEETING ADMINISTRATIVE COUNCIL MANAGERS MEETING CPC MEETINGS Governor's May Revise for 2013-14 released CABRILLO COLLEGE FY 2012-13 through 2013-14 Budget Development Timeline Draft February 27, 2013 CPC June 2013 June 5, 2013 June 5/19, 2013 June 10, 2013 June 11, 2013 August 5, 2013 August 6/27, 2013 August 7, 2013 August 7/21, 2013 September 9, 2013 September 10/24, 2013 September 4, 2013 September 4/18, 2013 Second Principal Apportionment 2011-12 Received MANAGERS MEETING CPC MEETINGS Action Items: - 2013-14 Preliminary Budget Information Items: - 2013-14 Updated Budget Planning Parameters Final Budget BOARD MEETING Action Items: - 2013-14 Preliminary Budget Information Items: - 2013-14 Updated Budget Planning Parameters Final Budget ADMINISTRATIVE COUNCIL BOARD MEETING Action Items: - 2013-14 through 2015-16 Budget Planning Parameters ADMINISTRATIVE COUNCIL MANAGERS MEETING CPC MEETINGS BOARD MEETING Action Items: - 2013-14 Final Budget ADMINISTRATIVE COUNCIL MANAGERS MEETING CPC MEETINGS Cabrillo's budget planning process for 2013-14 began late due to the uncertainty surrounding the passage of Proposition 30. February 27, 2013 CPC 2013-14 Base Budget Planning (Best, Mid, Worst Case) 2012-13 Structural Deficit 2012-13 Revenue Adjustments A. Restoration funds- 1.6% B. Revenue Adjustment for Prop 30 passing 2013-14 Revenue Adjustment 2013-14 Revenue adjustments A. Restoration/Growth@ 2% B. COLA@1.65% (0, .825%, 1.65%) C. Deficit factor for apportionment shortfalls (3%,2%, 1%) D. Other TOTAL Revenue Adjustment 2013-14 Expenditure Adjustments Full-time Faculty Obligation - Replace 7, 8, or 9 vacancies 2012-13 Funded positions 196.25 2013-14 Funded positions 193.75 with 8 replacements Fall 2013 frozen FON- 189.6 /Unfrozen 211.6 Add Teaching Units to maintain enrollment cap from 2012-13 (300, 268, 260) Add Counseling Units for CG 51 Courses- 12 Units for Fall 2013 Add Teaching Units to capture 2% restoration/growth in 2013-14 Step, Column, Longevity, etc Medical Benefit increase- 8% (50%-50% cost share = 1/2) Retiree Medical Benefit Increase PERS rate increase Increase in Worker's Comp., Gen. Liability, TRAN Interest Expense Utilities Operating Cost Increases Total Expenditure Adjustments Projected 2013-14 Structural Balance (Deficit) * One-time Reserves used to bridge deficit Net Deficit for 2013-14 * Does not include categorical program impacts on the general fund. The salary/benefit budget includes a credit to the expense lines of $300k for salary/benefit savings. Worst Case (2,800,000) Range MidRange (2,800,000) Best Case (2,800,000) 600,000 1,681,326 700,000 1,681,326 800,000 1,681,326 0 0 (1,650,000) ? 631,326 0 450,000 (1,100,000) ? 1,731,326 ? 900,000 (550,000) ? 2,831,326 57,000 95,000 133,000 1.5 (531,000) (21,240) ? (330,000) (287,500) (85,000) (165,000) (80,000) (20,000) (150,000) (150,000) (1,762,740) (3,931,414) 2.5 (474,360) (21,240) ? (330,000) (230,000) (85,000) (165,000) (70,000) (15,000) (100,000) (125,000) (1,520,600) (2,589,274) 2,589,274 0 3.5 (460,200) (21,240) ? (330,000) (172,500) (85,000) (165,000) (60,000) (10,000) 0 (100,000) (1,270,940) (1,239,614) (3,931,414) (1,239,614) February 27, 2013 CPC 2013-14 through 2016-17 Base Budget Planning Parameters 2013-14 Projected Difference between ongoing Revenues & Expenses (Structural Deficit) Increase in State Revenue Anticipated A. Restoration/Growth B. 1/2 COLA @1.65%, 2.3%, 2.5%, 2.7%* C. Other Net change in revenue Net Increases in Ongoing Expenses Full-time Faculty Position changes (2.5) (net of adjunct backfill) , 18, 8, 6 Add Teaching Units to maintain enrollment cap from 2012-13 (300,268,260) Add Counseling Teaching Units for CG 51 Courses- 12 Units for Fall 2013 Add Teaching Units to capture restoration/growth for 2013-14 Step, Column, Longevity Increases, etc. Medical Plan Rate Increase-- 8% (50%-50% cost share in place) Retiree Benefit Increase PERS Rate Increase STRS Rate Increase Worker's Comp, Unemployment Insurance TRAN Interest Expense Utilities Net Operating Increases Reduction in Indirect Reimbursements from grants Labor agreements Total Expenditure Increases 2014-15 Projected 2015-16 Projected 2016-17 Projected (1,518,674) (2,589,274) (3,183,274) (3,317,274) ? ? ? ? ? ? ? 450,000 (1,068,674) 1,375,000 1,485,000 (1,324,274) (1,808,274) (1,832,274) (684,000) (304,000) (228,000) (474,360) ? ? ? (21,240) ? ? ? ? (330,000) (230,000) (85,000) (165,000) ? (70,000) (15,000) (100,000) (125,000) ? ? ? (330,000) (230,000) (145,000) (150,000) ? (50,000) (20,000) (100,000) (150,000) ? ? ? (330,000) (230,000) (145,000) (175,000) ? (50,000) (25,000) (100,000) (150,000) ? ? ? (330,000) (230,000) (145,000) (175,000) ? (50,000) (30,000) (100,000) (150,000) ? ? (1,520,600) (1,859,000) (1,509,000) (1,438,000) Budget Reductions ? ? ? ? Ongoing Shortfall* (2,589,274) (3,183,274) (3,317,274) (3,270,274) Operating Reserves available to bridge deficit *Deficit net of One-time funds 95,000 ? 1,265,000 2,589,274 0 Cost of 1% for all employees = $425,000 RDA continues to be a major threat. The RDA shortfall was backfilled for 2012-13 but there is no guarantee this will continue. Although RDA will be backfilled for 2012-13, the state is delaying payments to CCCs because of a cash shortfall, increasing the amounts CCCs must borrow (in addition to apportionment deferrals). * COLA estimates projected based on School Services of California Financial Dartboard February 27, 2013 CPC ONE-TIME OPERATING RESERVES Projected Reserves budgeted for 2012-13 Deficit $3,142,914 ADD: 2011-12 One-time increase from recal State Mandate Reimbursement not budgeted in 2012-13 Restoration received for 2012-13, not budgeted in 2012-13 Anticipated Budget Savings from 2012-13 State Mandate Reimbursement for 2013-14 $448,000 $300,000 $700,000 $1,500,000 $250,000 LESS: Deficit Factor for 2012-13- 6.57% Projected Operating Reserves available for 2013-14 * Does not include FTES reserve of $1,000,000 or the 5% General Reserve ($3,608,000) $2,732,914