PERALTA COMMUNITY COLLEGE DISTRICT
AUDIT AND FINANCE COMMITTEE MEETING
MINUTES
Date:
Location:
Start time:
End time:
July 12, 2007
Chancellor’s Conference Room, District Office
4:30 p.m.
5:10 p.m.
PRESENT:
Bill Withrow, Chair
Cy Gulassa, Trustee
Gail Waiters, Inspector General
Tom Smith, Vice Chancellor for Finance and Administration
Sadiq Ikharo, Vice Chancellor for General Services
Karolyn Van Putten, Vice President, District Academic Senate
AGENDA:
1.
2.
3.
4.
Review and approve the agenda.
Review and approve the minutes of the May 10, 2007 meeting.
Review and discuss the proposed 2007-08 tentative budget.
Review and discuss the Management Letter issued by our Auditor for
this past year.
5. General Report by the Inspector General.
6. Review and discuss goals and timelines for the implementation of
Peralta Enterprise software to control assets of the Peralta colleges
that historically have been expensed upon receipt.
7. Review status of the Inspector General’s audit of the Purchasing
process.
Chair Withrow opened the meeting at 4:30 p.m.
Proposed 2007-08 Tentative Budget (Vice Chancellor Smith)
VC Smith discussed the first tentative budget after a year of PeopleSoft, there was a
problem with reconciliations. The numbers that were big enough to get reconciled will
be available by Tuesday. VC Smith distributed Exhibit C the 2006-07 Second Principal
Apportionment. The District was funded at $18,306.09.
State has not passed their budget yet. Exhibit A is final listing of all funding sources,
categorical funding. Paid out more on adjuncts than what we receive from the state.
Faculty and staff diversity line is for training; can bypass certain rules for hiring of
minorities.
General fund budget: 39% of budget goes to faculty, 19.5% goes to classified staff, 7%
management, 11% medical/dental benefits, 3.5% sheriff contract, 9% is other benefits
(STRS, PERS), 2% is DSPS/Transfers and 2% for publishing, postage, building repairs.
The question was raised as to why DSPS is not categorical. There is not enough money
from state, the District needs to support from general fund. Every District gets short
changed on this. Peralta received $2.5M in categorical program and transferred $1.8M,
it is almost a 50% match.
July 12, 2007
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With the addition of Berkeley City College, VC Smith increased the sheriff’s budget.
Measure E funds can no longer be used for security there.
VC Smith will present the tentative budget to Board on Tuesday (unrestricted budget).
Trustee Gulassa requested a breakout of the four colleges. Merritt’s enrollment has
improved by adding counselors. Need to look at drop out rate in the nursing program.
VC Ikharo discussed Building D and trying to plan for the labs for nursing program.
VC Smith is in the process of building financial statements with adopted budget from
last year and transfers, then actuals as percentage of the budget. He indicated Finance
can drill down as far as the Board wants to go. He can produce monthly for Audit and
Finance Committee, with quarterly to Board.
CalWorks showed a negative in the budget that is because it is based on the number of
CalWorks students you have. The District was overpaid on estimate of CalWorks
students and you need to return money to state. CalWorks is run out of Educational
Services and we have not been doing well with the CalWorks program. CalWorks
provides the District with workers, it is the students that are being placed, we are not
pushing enough people into the program. In1999, Peralta received $1.8M in CalWorks
funding, now down to $1M. The District is not well versed on how the system works.
Not having resources to do proper assessments. Need assessment center at Laney. The
CalWorks program is managed by the Vice President for Student Services at each
college.
Management Letter issued by Auditor (Vice Chancellor Smith)
VC Smith is still waiting to receive the management letter; once received he will need to
review and respond. Four of the items will not have responses. VC Smith will provide
the letter to the committee as soon as he has it. The management letter will be added
to the September agenda.
Chair Withrow requested progress reports detailing the issues found in the outside
audit. One issue he mentioned was the lack of an inventory control system for assets in
the colleges and at the District office. He would like to be informed on how this is
progressing. He also indicated that at a facilities meeting held three months ago, that
VC Ikharo had talked about a project management program. Chair Withrow feels that
the inventory control system would be a part of the project management program. There
are a number of issues that are projects that tend to involve multiple participation. He
doesn’t see the Board or the Chancellor having visibility with progress on some of these
issues.
General Report by the Inspector General (IG Gail Waiters)
International Affairs program review is on website. IG Waiters is preparing Board
presentation for September 18th. She is almost ready to introduce the first phase for
the project on human resources; she wants to find out where the priorities are. HR will
have chance to comment on what priorities are.
Review status of the Inspector General’s audit of the Purchasing process (IG Gail
Waiters)
IG Waiters and VC Ikharo met last Monday, regarding the project and what it will entail.
She referred to her handout. IG Waiters requested that VC Ikharo notify his staff that
she would be meeting with them. Components include Purchasing, Warehouse
(receiving), and how we do contract administration.
July 12, 2007
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Next meeting will be September 13th. Thursday following the second Tuesday of the
month.
Meeting adjourned at 5:10 p.m.
July 12, 2007
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