Call to Order

The meeting was called to order at 5:37 p.m.

Roll Call

Present: Brannan, Pelleran, Proctor, Rasmusson, Smith, Laverty, Canady
Absent: None

Trustee Canady arrived at 5:44 p.m.

Limited Public Comment Regarding Agenda Items

No public comment.

CHAIRPERSON AND BOARD MEMBER REPORTS

Chairperson Laverty

Moment of Silence for Richard "Dick" Eicher

Chairman Laverty requested that everyone stand for a moment of silence.

Presidential Search Firm Discussion

Sixteen firms sent proposals back to Lansing Community College. He thanked Ava Clark and Bev Baligad for the assistance they have given to the Board. The Board met at 1:00 p.m. today to interview four of the final search firms that were selected from the sixteen firms. The Board was now ready to make a decision.

MOVED by Trustee Pelleran and supported by Trustee Smith to select a Presidential Search Firm.

Roll Call Vote:
Brannan: Greenwood & Associates
Canady: Absent
Pelleran: Greenwood & Associates
Proctor: Greenwood & Associates
Rasmusson: Greenwood & Associates
Smith: Greenwood & Associates
Laverty: Greenwood & Associates

Motion carried for Greenwood & Associates.

The Board of Trustees has selected Greenwood & Associates of Miramar Beach, Florida to conduct the Presidential Search.

Chairman Laverty thanked the firms for their presentations, and stated that they were all excellent and that it was a tough decision.

Trustee Smith expressed how impressed she was with each of the firms and that all had delivered high quality presentations in terms of the information they had for the Board and their preparedness for the interview.

Presidential Search Liaison Report: Bev Baligad

Ms. Baligad updated the Board on the Presidential Search Website going live on August 3, 2006. The Board of Trustees were given 24 hrs lead notice prior to the "go live" time. Lansing Community College campus was given 2-hrs lead after the Board of Trustees and then communications went to the public.

Ms. Baligad thanked Nancy Ernsberger and Susanna Tellshow who created the website. It could not have been done without them. They received a round of applause from the audience.

Ms. Baligad stated that the nomination and application forms were available on the presidential search website. There is also a link on the Lansing Community College website announcing that the search has officially begun and that the search office is fully operational.

The deadline for nominations and applications has been set for August 16, 2006. Everyone is invited and encouraged to apply. The Board would like to see involvement from the community and the college as well.

Ms. Baligad stated that the term "screening committee" was the term the college was using to describe the search committee.

Ms. Baligad introduced Ms. Jan Greenwood, of Greenwood & Associates, Inc. as the search firm the Board had just selected.

Ms. Baligad stated that the screening committee will be recommending three to five top applicants to the Board. The Board will have the final say on who will be the President.

Ms. Baligad indicated that they are hoping to put the screening committee together by the next September 18, 2006 Board of Trustees meeting.

Trustee Pelleran asked that former Trustee, Mary Lou Olivarez stand to be recognized.

Former Trustee Mary Lou Olivarez was recognized by a round of applause from the audience.

Chairman Laverty asked what was the process and next steps were now that a search firm has been selected.

Ms. Baligad responded that she needs to get the Board together to decide how the candidates profile is going to look. Once the Board decides what it wants in a candidate, then Jan Greenwood can create the candidate profile that will be used to advertise the position.

Spotlight Discussion

There was discussion on the college spotlights.

Former President Cunningham Recognition

Trustee Proctor moved that the Board name the Administration Building the "Paula D. Cunningham Administration Building" in recognition of the service provided to this institution by our fourth President.

MOVED by Trustee Proctor and supported by Trustee Smith to name the Administration Building the Paula D. Cunningham Administration Building in recognition of the service provided to this institution by our fourth President.

Chairman Laverty opened the floor for discussion.

Trustee Pelleran felt is was premature to name a building after the former President in light of the fact the former president is still a paid staff member of Lansing Community College. She asked the Board to reflect on the February 9, 2006 Board meeting where the Board passed a resolution asking President Cardenas to bring a proposal to the Board to recognize and celebrate the many contributions of President Paula Diane Cunningham during her tenure at Lansing Community College, up to and including, the naming of an appropriate building in her honor. She also stated that on March 20^th President Cardenas informed the Board that they had a committee that met on March 7^th and March 14^. During this time, only 30 people were on the committee and only 50% of the committee members were represented at any of the meetings. Trustee Pelleran felt that the Board should not take action based on the fact that 50% attendance is not significant and that there was not a conclusive recommendation from the recommended body. She felt that more work was needed. Trustee Pelleran moved to table this particular item to have further discussion on what an appropriate tribute would be.

Chairman Laverty repeated the motion, to table by Trustee Pelleran, and asked if there was any support.

There was no support.

Chairman Laverty opened the floor again for discussion.

Trustee Canady reminded the Board that he initially made a motion several months ago to name the administration building after Paula Cunningham. He thought it was appropriate then, and thinks it's even more so now. He did not feel it was necessary to have further discussion on what's an appropriate tribute. He stated that what is customary here at the college is that a building is usually named after our former president. Trustee Canady believed that because Paula Cunningham served the college well for 30 years, did an outstanding job, is well revered and loved by the community that it is appropriate for the Board to name the administration building after her.

Trustee Smith clarified that at the time when Trustee Canady made the initial motion to name the administration building after Paula D. Cunningham her reason for not supporting that motion at the time was not because she did not feel it was an appropriate way to celebrate her, but simply because she did not feel that the Board had gone through a process to try and get feedback from the community as to an appropriate way to celebrate her. Trustee Smith felt that the committee had done its due diligence by looking at the Administration Building, the University Center, the West Campus Building, the Heath and Human Services Building and the Livingston County facility. She stated that by far the number one choice was the Administration Building; and that she will be supporting the motion to name the Administration Building after Paula D. Cunningham. Trustee Smith also mentioned that it was not fair to state that Paula is employed with the college and that she has a contract, but the fact is that she is no longer the President of Lansing Community College and that a sufficient amount of time has gone by where the Board needs to move forward on this. Trustee Smith thinks this is a wonderful way to celebrate Paula and also to move forward in the process for this college. She stated that today's meeting was very significant with the selection of a firm. This decision will help the college to move forward in selecting a new president and felt it an appropriate time to bring closure as well as to celebrate a new era by acknowledging the administration building as the Paula D. Cunningham building.

Trustee Proctor stated that regardless of what the committee did or didn't do, the President carried out the charge given to her by the Board and that at this point it was a Board decision.

Trustee Pelleran agreed that it was a Board decision and stated that if it is a Board discussion she finds that several people on this Board are quite disingenuous with their actions and asked Trustee Proctor to take to heart his concerns as to why it was referred to a committee if he really felt it was a Board decision and then not to look at having a legitimate committee. She questioned the sincerity that initiated the action in the first place and questions the sincerity right now. She thanked the Board for allowing her to comment.

Chairman Laverty reminded Trustee Pelleran that the minutes reflected her feeling at the time that the motion was fitting and proper and that she would be delighted for the Interim President to make that one of her first priorities and then come back with a recommendation to us.

Trustee Pelleran responded that she was aware of the minutes and the language of the motion but disagreed that her motion implied that the Board would accept this decision during the time that Paula Diane Cunningham is still a member of the staff at Lansing Community College. She stood by her statement and felt that since the argument was raised that Paula was a past president the Board should consider naming something in Jim Anderton's name to be consistent and genuine in what they were discussing and to refer that to committee for tribute to all presidents that serve at Lansing Community College.

Trustee Smith questioned if a motion was being made.

Chairman Laverty also questioned if a motion was being made.

Trustee Pelleran asked that it be considered as a friendly amendment to the motion.

Chairman Laverty responded that it as not a friendly amendment. Chairman Laverty disagreed with the statement about being disingenuous. He thought long and hard about this particular item and thinks the time has come to begin to try and move the college forward and to begin a healing process. He stated that the Board has been through a lot, people out in the audience have been through a lot, President Cunningham been through a lot, as well as the whole community. Chairman Laverty thinks that this would be one giant step toward the healing process to move the college forward and that the naming of a building is one thing but that there were other things that may be coming down the road as well. He mentioned that Trustee Rasmusson had comments about having an honorarium for the former President as well.

Trustee Pelleran replied that she received a phone call yesterday from people in the community asking her to vote. In the conversation with them, she was pretty firm in stating that the Board had not really had a legitimate discussion on the topic. Trustee Pelleran mentioned that she thought today's meeting was a special meeting and that she did not appreciate having a meeting on Election Day and wanted that comment on the record. She did not feel that the Board should be conducting public business when there is a primary election or a general election in the state of Michigan.

Chairman Laverty asked for clarity on her point

Trustee Pelleran responded that she replied to the person on the phone yesterday that this was not her priority for today. Her priority was to deal with the presidential search issue and her priority was to deal with the election at hand on a primary that is scheduled by statute in the State of Michigan. Trustee Pelleran stated that she was informed that there was $500,000 that this vote meant to Lansing Community College by other power brokers in town and she told the individual that she would hope that they would give that $500,000 to Lansing Community College anyway. She also stated that she would be casting a no vote today if the Board wishes to continue forward. Trustee Pelleran asked that this whole issue be given more scrutiny and more legitimate debate by this Board. She agreed that it is a Board discussion, and that Paula Diane Cunningham is well liked and has served this community and this college for many years, but was not going to be put into a corner and make a decision based on power brokering at this point and resents the request to do so.

Trustee Smith clarified that she did not want to give the impression that she felt it was a fitting tribute as a way for the Board to bring closure; but, because she thinks that the tribute is fitting because of the years of service and dedication that Paula D. Cunningham gave to this institution. It was her understanding that the Board unanimously felt that this was something that the Board was committed to doing and asked the current President to be committed to following through on the process. Trustee Smith felt that the President had done her job and that a committee was formed, the committee went through their diligence and the President came back with the findings of that committee and has presented them before the Board. Trustee Smith stated that just like any other committee that presents findings and makes recommendations, the Board has the option and the right to move forward that which the Board feels is best. Trustee Smith continued by stating that the highest recommendation was the Administration Building and the Board concurs with their recommendation which is why she is asking that it be moved forward.

Trustee Pelleran called the question.

Chairman Laverty opened the floor to Trustee Proctor.

Trustee Proctor wanted to address the comment of being disingenuous. He mentioned the motion he made back in February that the Interim President's first charge be to review and make a recommendation to the Board honoring Paula Diane Cunningham's service to Lansing Community College. He moved today that the Board name the building after her and that those two items have been quite consistent and not disingenuous.

Chairman Laverty agreed with Trustee Proctor and asked if there were any other comments.

Trustee Rasmusson called for the question.

MOVED by Trustee Proctor and supported by Trustee Smith to name the Administration Building the Paula D. Cunningham Administration Building in recognition of the service provided to this institution by our fourth President.

Roll call vote:
Ayes: Brannan, Canady, Proctor, Rasmusson, Smith, Laverty
Nays: Pelleran
Absent: None

Motion Carried.

There was a round of applause from the audience.

Bylaws Discussion

Trustee Smith made the recommendation to remove the bylaw discussion until they were ready to be presented to the Board.

Trustee Pelleran asked that it be kept on the agenda and that the Board reviewed the document in front of them.

Trustee Smith responded that she was making a motion.

Chairman Laverty asked if there was any support for the motion.

Trustee Canady supported the motion.

Trustee Proctor supported the motion.

Chairman Laverty stated that it was moved by Trustee Smith and supported by Trustee Canady and then opened the floor for discussion.

Trustee Pelleran asked that two amendments be considered today.

Chairman Laverty responded that a motion had been given regarding rather the Board was going to discuss this or not.

Trustee Pelleran replied it was correct but wanted to lay out why she would like to discuss it.

Chairman Laverty responded that the motion is whether the Board was going to discuss bylaws tonight or not.

Trustee Pelleran asked that since it is on the agenda, that the Board keep it on the agenda and that the Board discuss two items, 1.2.2 and 1.4.2 with suggested changes that she will present if the motion is defeated.

Chairman Laverty asked if there were any other comments or discussion on the motion to suspend discussion of the bylaws this evening.

MOVED by Trustee Smith and supported by Trustee Canady to suspend the Bylaw Discussion from the agenda.

Roll call vote:
Ayes: Brannan, Canady, Proctor, Rasmusson, Smith, Laverty
Nays: Pelleran
Absent: None

Motion Carried.

Open Discussion

Chairman Laverty stated that Trustee Rasmusson asked for the agenda to have an open discussion. Trustee Rasmusson gave an introduction.

Trustee Rasmusson felt that Trustees often just come, vote and go home. He felt it would be good to have open discussions on things they heard or learned and would like to share with the entire Board. Trustee Rasmusson shared what he learned about Presidential succession, from attending the Conference Board programs in New York.

Chairman Laverty asked Trustee Rasmusson to speak briefly about decentralization.

Trustee Rasmusson explained how at some Universities, the full-time faculty and part-time faculty with permanent contracts would vote on a Department Chair and would themselves also decide the business of that department. He may bring a resolution in September were the Board would ask someone like Bev Baligad to look into how this has worked when colleges have tried it.

Chairman Laverty asked Trustee Rasmusson about convergence.

Trustee Rasmusson explained that it is the areas of the internet, journalism, newspaper, television, movies and the new digital standard for cinema all blending together. He felt that this may be a new industry for this area and that the Board should think about what they could do to be part of convergence.

Trustee Smith felt that Trustee Rasmusson made a good point regarding the entertainment industry. She felt that Lansing has the power to do a lot of location type of work. With the new Ford ad, she felt that we could possibly capitalize and begin to do some type of recruitment in our area where Lansing Community College could play a major role.

Chairman Laverty opened up for additional comments. There were none.

Information and Announcements

Chairman Laverty mentioned that there was an ACCT conference coming up in October and that Trustee Smith and Trustee Proctor are delegates of the ACCT. They are to make travel arrangements through the Board Secretary. Other members that would like to attend should contact Chairman Laverty.

Chairman Laverty attended the Board of Water and Light meeting with Chris Strugar-Fritsch and Bruce Caradine. There was a public hearing on the steam rate increase. It is going to be approximately $200,000 more than what LCC had budgeted for this year. Trustee Laverty remarked that we were originally told that it was going to be a 1/2 to 3% increase.

Chairman Laverty commended Chris Strugar-Fritsch on speaking and making our case. The Board of Water and Light will be voting on this August 15, 2006.

Audit Committee Report - Trustee Brannan

Trustee Brannan reported that he met with Trustee Rasmusson and Chairman Laverty to discuss transition of the new Audit Committee appointees. He is also working on scheduling the pre-audit meeting with Mr. Bruce Dunn, CPA, President of Maner, Costerisan and Ellis. Per Trustee Rasmusson, the college is starting to look at a proposed Internal Auditor position. Trustee Brannan has seen a job description for the Internal Auditor from President Cardenas. He thanked President Cardenas for putting that job description together. More importantly, he stated, the internal control document which was prepared, is the first key in implementation. The committee is moving forward and looking forward to the meeting coming up with Mr. Dunn.

Chairman Laverty informed the audience that the Audit Committee meets prior to the audit, during the audit and at the end of the audit. He also stated that Trustee Rasmusson has done an outstanding job acting as the Chair of that committee but is now chairing the Finance Committee. He is still continuing to help Trustee Brannan and Chairman Laverty with the up coming audit.

Finance Committee Report - Trustee Rasmusson

Honors Resolution

Trustee Rasmusson presented his reason for having the Honors Resolution.

Chairman Laverty has looked at this resolution and felt that this was a good idea.

The floor was opened for comments.

Trustee Proctor made a correction to the therefore clause adding the word Board.

THEREFORE, the Board takes the following actions:

Trustee Brannan felt also that this is a great idea and something that we should be doing.

Trustee Smith agreed as well and thought it was fitting for the Board to have an Honors Committee to not only honor our students, but those that are in the community. She made reference to the award that the Foundation gives at the end of the year and that the Board could do something similar as well. She also suggested doing this award more than just once a year; perhaps on a monthly basis, depending on how many people the Board decides to honor.

There was no other comment.

Honors Resolution

WHEREAS, many people have contributed in remarkable ways to the advancement of Lansing Community College; and

WHEREAS, many people have contributed in remarkable ways to education in the District, to economic development and to the well-being of the community; and

WHEREAS, the Board of Trustees should recognize remarkable achievements, dedication and good works of this kind; and

WHEREAS, the Trustees are confident in the future, the good conscience of the community and generations the College serves;

THEREFORE, Board the takes the following actions:

1. The Board creates an Honors Committee, which shall consist of two Trustees chosen by the Chair or other process hereafter determined by the Board, the Chair as an ex officio voting member, or a Trustee acting as the Chair's representative, and the President as an ex officio non-voting member, or the President's representative.

2. The Honors Committee will receive and collect names and information on meritorious persons, including faculty, students, local educators and students, staff, alumni, supporters, friends and patrons of the College, for Board action. No name offered shall be rejected. All names shall be kept on permanent file for future action, as the Board determines.

3. The Honors Committee may consider and recommend types of honors and recognition, possibly classes or categories, or suggest an ad hoc approach, and the Committee may secure legal counsel from the Board's Counsel with respect to legal issues, if any arise, as approved by the Chair.

MOVED by Trustee Rasmusson and supported by Trustee Pelleran to accept the Honors Resolution.

Roll call vote:
Ayes: Brannan, Canady, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: None

Motion Carried.

IT Zone

Trustee Rasmusson gave background of the Ann Arbor IT Zone as being a new economy networking group in southeastern Michigan and that the Chair authorized Board members to participate. Trustee Rasmusson attended the workshop on Acquiring New Products by Licensing University Technology. Trustee Rasmusson may have a recommendation so that the Board can properly reward our faculty and create intellectual property to sell and a way for the school to generate revenue. But more importantly, he felt it was a way for the college to receive recognition for the modules it creates.

Chairman Laverty asked how often they met.

Trustee Rasmusson answered that they have activities at least twice weekly.

Mercer Group Professional Services

Trustee Rasmusson stated that the Board authorized 35 more hours to the Mercer Group. He made a motion to authorize an additional 40 hours for the Mercer Group. These hours would be to look at whether we are properly implementing the bylaws and the policy changes and to also have Ms. Lazar look into some budget policy questions. Trustee Rasmusson felt that Ms. Lazar could explore some different ways that the Board could have gone through the budget and the staff could discuss with her.

Trustee Pelleran supported the motion.

MOVED by Trustee Rasmusson and supported by Trustee Pelleran to authorize an additional 40 hours to the Mercer Group.

Chairman Laverty stated that the 35 hours that were approved at the last meeting had already been used to pay an invoice. Chairman Laverty stated that he was in support of the motion, but asked Ms. Baligad to give some explanation.

Bev Baligad responded that Ms. Lazar was not only helping the Board do the things that she is suppose to do with regards to the bylaw and the policies implementation but that Ms. Lazar was also going to assist her in putting together a benefit package for the new President who will be hired by the Board. Ms. Baligad wanted the Board to have a statistical study of other community colleges of this size and with the same amount of campuses and students, so that the Board would have an idea as to what they should offer the new President.

Chairman Laverty questioned if this would be the benefit compensation package for a new president.

Bev Baligad responded yes and that the Board would need this when they were ready to make an offer to their preferred presidential candidate.

Trustee Pelleran reminded Ms. Baligad that when they authorized her as the Board Liaison, they had also authorized her with the authority to hire staff that she needed.

Bev Baligad agreed and stated that she had chosen Jan Lazar to consult with.

Trustee Proctor replied that he was under the assumption that the search firm would be providing some information with regard to compensation for Presidents.

Bev Baligad was glad that he asked that question and felt is was very important. She stated that she worked on behalf of Lansing Community College for the Board and that the search firm would be paid 1/3 of the new President's first year's cash salary. She felt that providing the information on other president's who were employed in similar colleges to LCC was a good way for the Board to be able to compare it with the suggestions from Greenwood.

Trustee Proctor replied that he hoped to have a lot more faith in the search firm to do the right thing.

Bev Baligad responded yes, but that she wanted to make sure that the Board has more options to look at with which to base their opinion on. She wants to ensure that they are inline with other similar colleges.

Trustee Smith expressed her concerns about the Mercer Group in that it appears like the scope keeps expanding for the work for which the Board has asked Ms. Lazar to do. She felt comfortable with allowing the necessary time for Ms. Lazar to fulfill her obligations with the bylaws and policies and with working with Ms. Baligad on the benefit packages. However, she was not interested in the Board continuing to broaden what the scope is unless the Board was to put it out for bid or unless the Board has discussion as to other options for using other contractors or consultants. The fact that it seems like the scope of her work keeps expanding poses some concerns to Trustee Smith.

Trustee Canady understood what Trustee Smith was saying but didn?t really have the same concerns because he had a lot of faith in Jan Lazar. He expressed that she does an outstanding job and that she always has in the places he has worked with her. Trustee Canady was comfortable with authorizing additional hours.

Chairman Laverty asked if there were any other discussion before the Board votes.

Trustee Smith wanted to go on the record as saying that it really has nothing to do with her not being pleased with the work that Ms. Lazar has done because she is very pleased with the work she's done. She felt that in terms of the Board getting consultants, and awarding contracts, the Board needed to model the behavior that they would like to see the staff model when obtaining contracts. Trustee Smith also stated that because she has heard the Board voice concerns when other additional work was assigned to other contracts, the Board needed to be consistent.

Bev Baligad pointed out that Ms. Lazar worked directly under her for the Board and that she did not know what she was going to need with regards to the search in addition to what the search firm was providing. She was using Ms. Lazar's expertise in certain related areas, but beyond that she might not even use her. She didn't know.

Trustee Pelleran echoed Trustee Canady's comments and also found Ms. Lazar to be an expert of the highest caliber and happy to have her services available in our community.

Trustee Proctor stated that he wanted to see the Mercer Group complete the bylaw review and make the recommendations to bring the bylaws in the line with the policies the Board just changed. He did however share the same concerns as Trustee Smith did about the increasing scope of the actual commitments the Board made. He stated that he had made comments earlier on the Board about some of the contracts and their increasing scope and was going to try and be consistent tonight and always and therefore would not be supporting the motion with this piece in it.

Chairman Laverty stated that the Board started out with 200 hours and then the Board authorized to give her another 100 hours and that there have been several times where it has been 40 hours at a time that the Board has been adding to Ms. Lazar's contract. He agreed that what Ms. Baligad was having Ms. Lazar do was important and that the Board needed to finish up. Chairman Laverty stated that the Board has a copy of the bylaws with all of Ms. Lazar's changes in blue and would like to get this behind them as soon as possible.

Trustee Pelleran stated that for the first time in six years since she has sat on the Board, the Board has dealt with the policies. She further stated that the Board's charge was to be a policy making body. When Trustee Pelleran, Brannan and Rasmusson, as the Ad Hoc Committee, took on the task of reviewing a grossly failed system at the college that disenfranchised students, faculty, administrators and taxpayers, with the understanding that when they entered into the inquiry, that she would do so under one caveat and that was to have the assistance they needed to adequately review policies at the college, to make sure the Board was developing policies that were helping to realign the balance between the Board and the administration. She remarked that she was thrilled that under Chairman Laverty's leadership the Board has taken on the task of developing policies and that they have had the expertise to do so. She felt that ensuring that the administration properly implements these Board policies is critical to moving forward. She thanked the Mercer Group for providing a much needed revision of the policies. She applauded Ms. Lazar for her "stick-to-itiveness" in dealing with all of their interesting and multifaceted personalities to get us through the professional services they needed. She thanked the Mercer Group publicly and again reiterated that the Board's charge is to be a policy making Board; not to micromanage the institution.

Trustee Smith offered a friendly amendment that would separate the portion for the Mercer Group between the bylaw and the policy hours that are needed, and a separate contract for Ms. Baligad for whatever time in services that Ms. Baligad may feel she's going to need from the Mercer Group. She thought they should make it two separate contracts since they were dealing with two separate issues here.

Chairman Laverty responded that he would not accept a friendly amendment. He felt that it all was getting a little confusing. What happened was that the 35 hours the Board had authorized was already being used by Ms. Lazar and she had not started on the project the Board had authorized for the 35 hours which is why Chairman Laverty spoke with Trustee Rasmusson about an additional 40 hours for the Mercer Group. He felt that between now and the next meeting they should be able to contain the work she is doing and know what the Board is paying for. Chairman Laverty told Ms. Baligad that he did not know until tonight that she had Ms. Lazar doing what she's doing in addition to working on making the bylaws coincide with the policies.

Trustee Pelleran asked to make a friendly amendment to the motion that was on the table, to authorize up to an additional 40 hours for the Mercer Group to complete the bylaws and that the Board authorizes up to 100 hours for the Mercer Group under Bev Baligad to work with our Search Liaison. She also added that if it gets to a point were Ms. Baligad's required service of the Mercer Group is about to exceed the 100 hours that she would come back to the Board with a different proposal.

Trustee Rasmusson felt that more needed to be added to Trustee Pelleran's statement. He stated that he was not disagreeing with what she said, but that it was not just the bylaws. He mentioned that Ms. Lazar was pretty much finished with the bylaws but that she then needs to talk as an advisor to the staff on how the implementation is going and if they have any questions. The third thing was the Board needs to have someone explore, and this is Ms. Lazar's area of specialty, things that the Board needs to do differently in the way of budgeting. The allocation of overhead. Trustee Rasmusson said that the college is currently using ROI that may inaccurately cause us to price things and that Ms. Lazar could talk to Michelle Gallagher or other people to get this information. He would like to know if there were other ways to account for overhead, and to account for the marginal cost of programs.

Trustee Pelleran responded to Trustee Rasmusson that she did not think with those three particular areas that 40 hours would be enough.

Chairman Laverty asked if there was support for the additional 100 hours.

Trustee Pelleran responded that the motion only needed to be accepted by the person who made the motion. She questioned the Board Secretary on who made the motion.

Chairman Laverty replied that he did not think it was a friendly amendment.

Trustee Rasmusson responded that he would not accept it as a friendly amendment

Trustee Smith asked to have a friendly amendment that would separate the work that's being done by Jan Lazar for the bylaws. She expressed concerns about extending the scope of her work to looking at the overhead allocation. She stated that this was not because she didn't think it was necessary, but that she did not feel she had adequate enough information to decide that Ms. Lazar was the individual that the Board would like to have the work done. Trustee Smith said that it was not the question of whether or not the Board needed to have the work done but who the Board wanted to have the work done by. Trustee Smith related a personal example of what she felt was "scope creep." Trustee Smith expressed that she would like to find a way to contain the scope of Ms. Lazar's work, and that maybe as a Board, they have not been clear about the amount of work that Ms. Lazar was going to be required to finish the bylaws. She was not comfortable proceeding in an unplanned manner.

Trustee Canady was under the impression that the reason they were doing it in such small increments was so they could keep their arms around it and would not get out of control. He stated that 40 hours was not much work and that he didn't have any problems with the way that the resolution was drafted at this point. He thinks that the fact that the Board has a discussion every time Ms. Lazar does 40 hours of work is enough containment in and of itself. He stated that he would support the motion as drafted.

Chairman Laverty replied that he did not hear support for either of the other two motions.

Trustee Proctor commented that he has now heard four elements for the scope of the work that is to be done by the Mercer Group. One is to complete the review of the bylaws and to make some recommendations to make them consistent with the policy changes. Second engage the services of the Mercer Group to assure that the bylaws and the policies are properly implemented. Third that Ms. Lazar would assist Ms. Baligad in regards to benefit packaging for presidential compensation issues and finally something about overhead allocation and a return on investment. He felt that the two related issues were the bylaws and the implementation of the bylaw and the policies. He thought that was what the Board was dealing with but the Board keeps adding other elements. Trustee Proctor stated that he could support extending the contract of services for the Mercer Group for Ms. Lazar to complete the bylaw revisions and to oversee some implementation but that it was probably going to take more that 40 hours if they were talking about assuring implementation. He thought the Board ought to consider opening up the process if they were looking at someone to conduct oversight of the search consultant with regards to compensation matters for the President. They should give that to someone else and open it up for bidding.

Chairman Laverty stated that the Board had a motion and support to provide an additional 40 hours of services and that he would like to take a vote on that and would work with Bev and Jan Lazar to better define the scope, direction, and estimate. He felt that even with the lengthy discussion they don't know what's going on and that there was no question that the scope has changed from what they had initially intended. He asked if there were any other discussions.

MOVED by Trustee Rasmusson and supported by Trustee Pelleran to authorize an additional 40 hours to the Mercer Group.

Roll call vote:
Ayes: Brannan, Canady, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: None

Motion Carried.

General Counsel Resolution

Trustee Rasmusson reminded the Trustees of the new policy where the Board will pick the internal and external auditor, the CFO on the recommendation of the President and the Legal Counsel.

He mentioned that in July with the assistant of the Board Secretary, he circulated what the qualifications, needs and duties would be. President Cardenas has worked on this and developed what is needed for posting each of these. This resolution provides for posting of these positions. He also stated that he would like the Board to authorize the President in the meantime, to retain a lawyer for any specific college issues she may have because it may take the Board a couple of months to make a decision.

Chairman Laverty opened the floor for discussion. There was no comment.

General Counsel Resolution

The Board of Trustees of Lansing Community College mindful of the need for proper governance and full legal compliance directs the President to undertake the necessary and useful measures to effect the following:

1.Post as a full time position, the position of College General Counsel, in conformity with the outline of qualifications and requirements, supplied each Trustee by Trustee Rasmusson on July 2, 2006, as modified by suggestions subsequently offered by other Trustees, if any, and any additions required by College employment policies to the extent applicable. Serves at the pleasure of the Board. Include non-discrimination and other language followed by College policy.

2.Post as a full time position, the position of Board Liaison, in conformity with the outline of qualifications and requirements, supplied each Trustee by Trustee Rasmusson on July 2, 2006, as modified by suggestions subsequently offered by other Trustees, if any, and any additions required by College employment policies to the extent applicable. Serves at the pleasure of the Board. Include non-discrimination and other language followed by College policy.

Seek bids for the following, adding terms and conditions and notices, as relevant, from the usual Purchasing practices and policies of the College:

1. College General Legal Counsel - in conformity with the outline supplied each Trustee by Trustee Rasmusson on July 2, 2006, as modified by suggestions subsequently offered by other Trustees, if any. The request for proposals should advise that the Board will decide whether to make the position a contract with a law firm or lawyer or a full time College employee position, after it has received proposals and any responses to the posting. Include other matters set forth in the July 2, 2006, communication, as relevant. The contract should be described as a one year contract with the option of a two-year extension.
2. College Legislative and Public Affairs Counsel - as described in the July 2, 2006, communication.
3. College Local Legislative and Public Affairs Counsel - as described in the July 2, 2006, communication.

4.Include any changes adopted by the Board on the record in its meeting adopting this motion.

5.Suggest to firms and persons submitting proposals that each bidder bid as a per-hour rate and rate for costs, and as a total annual cost, unless the bidder feels there is insufficient information to set an annual cost figure.

6.An effort should be made to notify attorneys and law firms through newspaper advertising, public or internet posting and sending messages to firms that are known to practice in relevant areas of the law.

7.In the event the Board Counsel seeks the General Counsel contract, it would have to work out the matter of a "wall" in the event there were ever a governance issue that seemed to put the Board and President in opposition, or other conflict.

8.Until such time as the Board selects a College General Counsel, the President is authorized to retain counsel of her choice for the interim period.

MOVED by Trustee Rasmusson and supported by Trustee Pelleran to adopt the General Counsel Resolution:

Roll call vote:
Ayes: Brannan, Canady, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: None

Motion Carried.

Personnel & Compensation Committee Report - Trustee Smith

Board Liaison and Board Administrative Assistant Process

Trustees Smith stated that the first job would be for the posting for both position to go out. The Board members have had an opportunity to look at the positions and have had input on the posting. The committee is working on putting a process together and will report back to the Board once that has been finalized.

Trustee Pelleran made a motion to suspend the by-laws in order to authorize President Cardenas to post the position. The motion was withdrawn based on Trustee Rasmusson clarifying that anytime a majority votes for a decision on anything, it becomes the decision of the college.

MOVED by Trustee Smith and supported by Trustee Brannan to post the Board Liaison and Board Administrative Assistant Position.

Roll call vote:
Ayes: Brannan, Canady, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: None

Motion Carried.

Other Trustee Reports/Comments

Chairman Laverty asked for any other reports or comments. There was no comment.

PRESIDENT'S REPORT

Trustee Canady left the meeting at 7:00 p.m.

IT Update

President Cardenas reminded the Board that on June 28, 2006 she was asked to review the situation regarding the Oracle Information Technology System. Over the last few weeks, college staff has explored different systems that use the Sungard Higher Education Banner application and PeopleSoft. There were multiple meetings across campus and a cross section of people who have been working to identify the best system as we look at migrating to a new software system. At the beginning of the discussion of the current system, they had focused on just the student application system. As discussions across campus continued, it was felt that in the best interest of the institution that we also looked at the finance and the HR system. In the action item there will be a capital project that was forwarded to the Board that will recommend the use of Sungard Higher Education. It currently serves 10 million learners and has a customer based of more than 1,600 institutions. They are looking at a mixed model that will include outsourcing a few positions that are currently vacant at this time. There is an immediate need for these positions as well as keeping the staff that we have on hand. She is looking at approval today for the contract to be signed so she can continue to move forward with the planning process. The goal is to start planning right after Labor Day and start with a timeframe in order to properly implement the student system.

Trustee Smith asked President Cardenas how this transition would affect registration.

President Cardenas answered that for Fall registration, no new changes will be made at all until after the Fall registration has been completed. During the month of September they will be doing a planning session for the entire implementation process and project management. At the time of the conversion, there will be dual systems in place so that the college can continue its business process. The timeframes that are most sensitive are those that relate to financial aid as well as the Department of Education updates. At this point, she does not foresee any changes that would impact registration.

MOVED by Trustee Brannan and supported by Trustee Pelleran to authorize the President to move forward with the Sungard unified digital campus software purchase implementation.

The Chair opened the floor up for discussion. There was no comment.

Roll call vote:
Ayes: Brannan, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: Canady

Motion Carried.

Health Care Update

Ms. Jan Stuart explained that the college currently has two health care carriers. One is for bargaining employees, and the other is for non-bargaining employees. She went on to explain that it was no longer economically effective to continue to have two additional carriers. HR has explored the College's options and received collective input from non-bargaining employees and has selected one carrier.

Trustees Rasmusson questioned if anyone would be adversely affected by this change.

Ms. Stuart responded no.

Trustees Smith also express concerns of this affecting employees being moved from one carrier to another.

Ms. Stuart responded that the coverage was very compatible.

President Cardenas added that the Board should be updated as to what was going on with the College's non-bargaining employees.

Human Resources: New Hires, Leaves, and Sabbaticals

Administrative Appointments:

Emily Baynes, B.A., Assistant Director, Financial Aid, Student Academic Support Division

Elizabeth Stallard, B.A., Associate Director, Financial Aid, Student Academic Support Division

Leslie Lacy, M.S., Language Skills Faculty, Liberal Studies Division

Keith Phillips, M.A., Foreign Language Faculty, Liberal Studies Division

Martine Rife, J.D., Writing Faculty, Communications, Liberal Studies Division

James Ripley, A.S., Automotive Faculty, Transportation Technologies, Technical Careers Division

Chief Financial Officer

President Cardenas distributed a job description for the Chief Financial Officer. It was also emailed to the Board so that they would have sufficient time to review and make any recommendations or changes. Although she has full authority to post this position, this position has a dotted line that reports to the Board's Audit Committee and would like the past Audit Chair and the current Audit Chair to review this job description as it relates to the Audit Committee function.

Chairman Laverty questioned what timeline the President was looking to have feedback on this position.

President Cardenas asked for one week.

Executive Director of Compliance and Internal Control

President Cardenas explained that this job was created in direct relationship to the internal control issues that the institution has been facing. This job description includes not only an individual to help oversee internal control in the accounting and payroll, but across the campus. She would like to have this job posted as we are implementing the new policies and procedures so that the internal control systems are properly in place. She stated that there was a tremendous amount of work to be done with regards to an office of internal control and prior to it actually functioning in a compliance capacity.

Chairman Laverty asked Trustee Rasmusson what he needed from the Board, and if everyone had reviewed the job description.

Trustee Brannan felt that this job description addresses the issues that have been talked about in the past three years on the Audit Committee and is prepared as the new Chair of the Audit Committee to approve this job and move it forward.

President Cardenas had consensus from the Board to post this job.

ACTION ITEMS

Finance - Approval of Bids, Approval of Consulting Services

Ms. Beckie Beard presented the following bids for the Board's approval:

1. Cabling Maintenance Services in the amount up to $85,000 per year on a Time and Materials Basis. The recommendation was for a Sole Source to be given to F.D. Hayes Electric.
   

1. Consulting Services & Temporary Staffing in the amount of $205,000. The recommendation was for a Sole Source to be given to Financial Aid Services.
   

1. Enrollment Management Model in the amount not to exceed $524,332 over the next three years. The recommendation was for a Sole Source to be given to Noel-Levitz, Inc.

Discussion followed.

MOVED by Trustee Pelleran and supported by Trustee Brannan to accept the President's action items.

Roll call vote:
Ayes: Brannan, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: Canady

Motion Carried.

CLOSED SESSION

MOVED by Trustee Pelleran and supported by Trustee Rasmusson that the Board go into closed session for a personnel evaluation that has been requested in a closed hearing.

Roll call vote:
Ayes: Brannan, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None
Absent: Canady

Motion Carried.

The Board entered into closed session at 7:35 p.m.

The Board returned to open session at 8:28 p.m.

PUBLIC COMMENT

Chairman Laverty asked for public comment.

No public comment.

ADJOURNMENT

MOVED by Trustee Pelleran and supported by Trustee Brannan for the meeting to adjourn.

Roll call vote:
Ayes: Brannan, Pelleran, Proctor, Rasmusson, Smith, Laverty
Nays: None

Absent: Canady

Motion carried.

The meeting adjourned at 8:31 p.m.