MINUTES

Work Session – Board of Trustees

May 21, 2007

In accordance with the terms and provisions of the Texas Open Meetings Act, Chapter 551 of Texas Government Code, the Board of Trustees of the Austin Community College District convened in public session on Monday, May 21, 2007, at 6:15 p.m. in the Board Room (201) of the Highland Business Center of Austin Community College located at 5930 Middle Fiskville Road, Austin, Texas, with the following members present: Mr. John F. Hernandez, Chair/Presiding Officer; Ms. Veronica Rivera, Secretary; Mr. Allen H. Kaplan; Dr. James W. McGuffee; and Mr. Rafael Quintanilla. Trustees Lillian Davis, Nan McRaven, Barbara Mink, and Jeffrey Richard were absent from the meeting.

It is further found and determined that in accordance with the policies and orders of this Board, the notice of this meeting has been posted and return thereof made pursuant to the terms and provisions of the Texas Open Meetings Act, Chapter 551 of the Texas Government Code, and there has been full compliance with the terms and provisions of said act, including the timely posting of the subjects of this meeting.

DISUSSION AND POSSIBLE ACTION

Agenda Item 8321

Final Report from Advisory Committee on Finance and Budget

Chair John Hernandez introduced the item and Mr. Ben Ferrell, Vice President, Business Services, called attention to the final report from the Citizen’s Advisory Committee on Finance and Budget on topics assigned to the Committee in November 2005 for Fiscal Year 2006. The Committee was established by Resolution 7598 on October 2, 2002, and was charged to “…review the College’s financial systems and policies, to assess the quality of budget-related information, and to produce recommendations for Board consideration. The Committee was renewed by the Board of Trustees in October 2003, October 2004, and November 2005. In October 2006, the Committee asked the Board to consider not renewing the Committee, as Committee members agreed that its purpose had been served, and no major issues pertaining to its charge remained.

Mr. Ferrell introduced Mr. Hunter Ellinger, Committee member and former Trustee. He presented the Final Report of the Committee composed of Kathi Schwerdtfeger, Bob Rutishauser, Pete Palazzari, Kimberly Edwards, Toni Hunter and Hunter Ellinger. He reported on Access to College, Economic Model of College Operations, Lease, Buy, Build, or Share Model for Facilities, Review of Policy Compliance of Budgeting Procedures. The recommended actions were: increase and focus financial aid; pilot provision of textbooks by ACC; use economic-model information; use comparative-cost information; and gradually reduce Early College Start waivers. Mr. Ellinger discussed the key Committee conclusions and stated that the Committee’s agendas, working materials, and reports are posted on the Committee’s website at www.schoolsupport.net/ACFB/ .

Agenda Item 8322

Policy Compliance Report: E-7, Resource Development

Chair John Hernandez introduced the item and Dr. Mary Hensley, Vice President, College Support Systems and ISD Relations, introduced staff in the Accounting and Grants Development Offices. Dr. Hensley provided information and discussed the Budgets for Restricted Accounts for Fiscal Year 2003-2007 and the Indirect Cost/Administrative Allowance for Fiscal Year 2001-2007, and the Grants Development Department Focus. Ms. Stephanie Dempsey, Executive Director of the Austin Community College Foundation, presented the 2006 ACC Foundation Overview, ACC Foundation Assets, ACC Foundation 2006-07 Scholarships, and the Independent Auditors’ Report and Financial Statements for the Austin Community College Foundation, May 31, 2006.

Agenda Item 8323

FY08 Budget Study: Facilities Master Planning

Chair John Hernandez introduced the item and Mr. Ben Ferrell cited the need to discuss Facilities Master Planning to meet ACC’s Closing the Gaps targets through 2020, and to incorporate the priorities and recommendations from the Sasaki Facilities Master Plan report. ACC received Sasaki’s final report on facilities master planning in January 2007. The Sasaki report was discussed at the February 5, 2007, and February 19, 2007, Board meetings. Based on those discussions, ACC staff prepared a comprehensive facilities and financing strategy for adding new campuses, and the expansion and renovation of existing campuses. Mr. Ferrell presented a Chart for Closing the Gaps Facilities Master Planning; Staff Recommendations regarding Facilities Master Planning Summary and Discussion Questions; a Chart for Facilities Planning and Construction Time Line; ACC Facilities Financing Options; and District-Wide Parking Assessment/Enhancement. Trustees discussed the information presented, and Mr. Ferrell responded to questions from Trustees.

Mr. Tom Pollan, ACC Legal Counsel, and Mr. Jorge Rodriguez of Coastal Securities discussed ACC’s facilities financing alternatives for both in-district and out-of-district construction, financing mechanisms, and authorized financing methods for Texas community colleges. Information was presented on General Obligation bonds, Combined Fee Revenue Bonds, Public Facilities Corporation—District initiated and Developer initiated, Maintenance Tax Notes, Operating Leases/Purchases, Contractual Obligations, Other Vehicles, and a Potential Public Facilities Corporation Timeline. Trustees discussed the materials presented and requested additional information.

Agenda Item 8324

Consideration of Acquisition of an Easement

Adjacent to the Cypress Creek Campus

Chair John Hernandez introduced the item and Mr. Ben Ferrell asked that the Board consider an easement with the Ranch at Cypress Creek Municipal Utility District No. 1 for approval at the June 4, 2007, Board meeting. He stated that ACC recently purchased land in the vicinity of the Cypress Creek Campus for the purpose of adding additional parking for students. A lot for a utility easement owned by the Ranch stands between the current Campus and the new property. ACC has been in negotiations with the Municipal Utility District (MUD) for an access easement to construct driveways to provide ingress and egress from ACC’s existing parking lots to the new property. Mr. Ferrell stated staff and Board counsel had negotiated a proposed agreement in the amount of $25,000 with the MUD. The proposed agreement was presented for discussion by the Trustees. This item will be included on the agenda for the June 4, 2007, Board meeting.

Executive Session

There was no Executive Session.

Announcements

There were no announcements.

Adjournment

Having no motion before the Board, the May 21, 2007, Work Session of the Austin Community College Board of Trustees was adjourned at 9:10 p.m.

Approved By

Veronica Rivera, Secretary