MEETING OF THE COMMITTEE OF THE WHOLE OF THE BOARD OF TRUSTEES HOUSTON COMMUNITY COLLEGE September 8, 2011 Minutes The Board of Trustees of Houston Community College met as a Committee of the Whole on Thursday, September 8, 2011, at the HCC Administration Building, 2nd Floor, 3100 Main in Seminar Room A, Houston, Texas. COMMITTEE MEMBERS PRESENT Richard M. Schechter, Chair Mary Ann Perez, Vice Chair Eva Loredo, Secretary Bruce Austin Yolanda Navarro Flores Sandie Mullins Christopher W. Oliver Neeta Sane Dr. Michael P. Williams ADMINISTRATION Mary S. Spangler, Chancellor Art Tyler, Deputy Chancellor/COO Renee Byas, General Counsel Shantay Grays, Interim Executive Assistant to the Chancellor William Carter, Vice Chancellor, Information Technology Madeline Burrillo for Charles Cook, Vice Chancellor, Instruction Diana Pino, Vice Chancellor, Student Services Daniel Seymour, Vice Chancellor, Planning and Institutional Effectiveness Fena Garza, President, Southwest College Margret Ford Fisher, President, Northeast College William Harmon, President, Central College Zachary Hodges, President Northwest College Irene Porcarello, President, Southeast College Betty Young, President, Coleman College Remmele Young, Executive Director, Government Relations and Sustainability Willie Williams, Chief Human Resources Officer OTHERS PRESENT Derrick Mitchell, System Counsel, Bracewell & Giuliani Thomas Urban, President, Faculty Senate Clarence Grier, RBC Capital Other administrators, citizens and representatives from the news media Houston Community College Committee of the Whole – September 8, 2011 - Page 2 CALL TO ORDER Mr. Schechter, Chair, called the meeting to order at 4:43 p.m. and declared the Board convened to consider matters pertaining to Houston Community College as listed on the duly posted Meeting Notice. CAPITAL IMPROVEMENT PROGRAM (CIP) CLOSEOUT Dr. Tyler provided an overview of the CIP and informed that Bond Counsel has opined the CIP project. He noted that there is approximately $150,000 remaining in the CIP. (Mr. Oliver joined the meeting at 4:45 p.m.) Dr. Tyler recommended approving the closeout of the 2003 portion of the Capital Improvement Program. Motion – Ms. Perez moved and Mr. Oliver seconded to approve the closeout of the 2003 portion of the Capital Improvement Program. Mrs. Flores asked how the college was able to purchase police vehicles under the CIP. Dr. Tyler informed that the CIP allowed for the purchase of capital items (cars, computers, software, etc…). Mr. Oliver inquired of the amount remaining in the Maintenance Tax notes that has not been obligated. Dr. Tyler informed that there is approximately $22 million remaining. Mr. Austin inquired about the alternate plan regarding the Pinemont facilities. Dr. Tyler informed that the plan will be provided to the Board. Mr. Oliver inquired if the $22 million is not encumbered, is it committed. Dr. Tyler informed that the funds are allocated for the San Jacinto and the Midtown Tax Increment Reinvestment Zone (TIRZ) projects. He noted that of the $22 million approximately $4.1 million is uncommitted as denoted on the page 22 on the financial statement. (Dr. Williams joined the meeting at 4:55 p.m.) Mr. Austin recommended revisiting the projects previously presented by administration. Dr. Tyler reiterated that there are committed funds that are actually spent or encumbered. He noted that sometimes the budget expenses are less than budgeted, which provides for unexpended funds. He noted that although a project has been approved; the funds may not be expended. Mrs. Sane asked if Bond Counsel needs to provide an opinion. Dr. Williams informed that he requested Bond Counsel to provide an opinion. Houston Community College Committee of the Whole – September 8, 2011 - Page 3 Mr. Schechter recommended moving the item to the Regular meeting as a new topic with the intent of receiving an opinion from Bond Counsel. Motion Withdrawn – Ms. Perez moved to approve with an amended term of eighteen months. Mr. Oliver seconded. CONSTRUCTION MATERIAL TESTING/OBSERVATION AND GEOTECHNICAL ENGINEERING SERVICES (PROJECT NO. 11-25) Motion - Ms. Perez moved and Mr. Oliver seconded that the term be eighteen months instead of three years. Mr. Rogelio Anasagasti informed that the solicitation did not specify a length of time for the terms. Mr. Dahse informed that the testing is needed on a day-to-day basis for various projects. Mrs. Flores inquired of the benefit of the eighteen months versus the three years. Mr. Austin informed that often you are able to get a better unit price on the longer term. Mr. Oliver noted that due to the need to tighten the belt economically, it may be beneficial to set a lower term. Mrs. Sane agreed with Mr. Austin and inquired of the overhead cost of having to go out to bid in eighteen months. Dr. Tyler informed that the cost for each bid would be approximately $25,000 because of the cost of advertising, legal documents and evaluation. Ms. Loredo inquired if all four companies have prior experience with HCC and if they are local. Mr. Anasagasti informed that they have prior experience with the college and a local presence. (Mr. Oliver stepped out at 5:13 p.m.) Mr. Austin inquired if the college could have a local presence preference similar to that adopted by the city and inquired if the college would have to go to the legislature as the City did. Mr. Mitchell informed that the college would have to go to the legislature. (Mr. Oliver returned at 5:17 p.m.) Mr. Schechter requested that Counsel provide a written legal analysis and opinion if local preference could be a factor in procurement consideration. Vote – The motion passed with a vote of 6-2-1 with Trustees Austin and Sane opposing; and Trustee Flores abstaining. Houston Community College Committee of the Whole – September 8, 2011 - Page 4 RENEWAL OF LEASE AGREEMENT FOR SPACE IN GREENBRIAR SQUARE (STAFFORD, TEXAS) Motion – Dr. Williams moved and Mr. Oliver seconded. The motion passed with a vote of 9-0. RESOLUTION FOR A LOAN WITH A HCC APPROVED DEPOSITORY BANK FOR CAPITAL RELATED EXPENDITURES Motion – Dr. Williams moved and Mrs. Sane seconded. The motion passed with a vote of 7-1-1 with Mrs. Flores opposing and Ms. Loredo abstaining. TUITION AND FEES FOR NON-CREDIT CLASSES Motion – Mr. Austin moved and Mrs. Sane seconded. Ms. Madeline Burrillo noted that the increase would be for approximately $40 per course for the affected courses. Vote – The motion passed with vote of 9-0. AGREEMENT BETWEEN HARRIS COUNTY AND HOUSTON COMMUNITY COLLEGE RELATING TO JOINT ELECTIONS TO BE HELD ON NOVEMBER 8, 2011 Motion – Dr. Williams moved and Ms. Loredo seconded. Mr. Austin noted that a resolution was passed that states if unopposed the Board member did not need to be included on the ballot. Vote – The motion passed with a vote of 9-0. INVESTMENT REPORT FOR JULY 2011 Motion – Dr. Williams moved and Mrs. Sane seconded to receive the report. The motion passed with a vote of 9-0. UPDATE ON STRATEGIC PLANNING PROCESS Dr. Seymour provided an update on the Strategic Planning process. MONTHLY FINANCE REPORT FOR AUGUST 2011 Mr. Schechter recommended postponing discussion of the report until the Regular meeting scheduled for September 15, 2011. ADJOURNED TO CLOSED SESSION Mr. Schechter adjourned the meeting to Executive Session at 5:40 p.m., notice having previously been given and reiterated in accordance with Sections 551.071, 551.072, and/or 551.074 of the Open Meetings Law. Mr. Schechter stated that any final action, vote or decision on any item discussed in Executive Session would be taken up in Open Session or in a subsequent Public Meeting. Houston Community College Committee of the Whole – September 8, 2011 - Page 5 Mr. Schechter reconvened the meeting in Open Session at 6:48 p.m. and entertained motions on pending matters. (Present: Trustees Austin, Mullins, Perez, Oliver, and Schechter) ADJOURNMENT With no further business, the meeting adjourned at 6:48 p.m. Recorded and Submitted by: Sharon R. Wright, Manager, Board Services Minutes Approved: October 20, 2011