NMC Foundation Board Regular Meeting Wednesday, February 22, 2017, 7:30 a.m. Oleson Center, Main Campus Members Present Bill Marsh, Jr., Chair Kennard Weaver, Trustee Wendy Steele, Secretary Steve Fisher, Treasurer Rebecca Teahen, Executive Director Bonnie Alfonso Suzanne Allen Mike Ascione Chris Bott Barb Benson Chris Branson Bruce Byl Kerm Campbell Bill Donberg Fran Gingras Steve Rice Kevin Schlueter Susan Sheldon Marty Watts Timothy Young Members Absent Al Zelinski, 1 st Vice Chair Tim Nelson, 2 nd Vice Chair Mark Lundmark, Immediate Past Chair Doug Bishop Kim Hagerty Chuck Judson (Counsel) Randy Kiessel Craig LaFave Paul Maurer Diana Milock Jayne Mohr Pete Peterson Juliette Schultz Jim Weigand Staff Betsy Coffia Vicki Cook Lisa Cooper Holly Gorton Amanda Gower Jennifer Hricik Carly McCall Paris Morse Todd Neibaurer Paul Schoppe Elizabeth Schwind Stephen Siciliano Katharine Zurek Guests Laura Schmidt Gwen Tafelsky I. Welcome and Call to Order Bill Marsh Jr. called the meeting to order at 7:32 a.m. A. Review and Approval of Agenda Bill Marsh Jr. reviewed the agenda and asked for any additions, none were suggested. B. Approval of Minutes of December 14, 2016 Meeting On a motion by Wendy Steele, seconded by Bruce Byl, the minutes from the December 14, 2016, Foundation Board meeting were approved C. Special Gift Announcement Bill Marsh Jr. announced a campaign gift from the Byl family. Bruce, Mary, and Jeff Byl have committed $2 million to NMC in their estate plans designated for the Tucker Byl Memorial Scholarship. This will make the Tucker Byl Memorial Scholarship one of the largest scholarship funds at NMC. Marsh extended his gratitude on behalf of the Foundation Board. NMC Foundation Board Meeting (2/22/2017) 1
II. College Updates A. Focus on NMC: Nursing Simulator and Innovative Instruction Laura Schmidt, Director of Nursing and Allied Health, and Gwen Tafelsky, Simulation Lab Coordinator, presented on the use of simulation in the nursing program. Simulation allows students to practice their clinical skills and experience real-world situations in an active, safe, and supportive learning environment. The nursing program uses a wide range of simulators, from low fidelity simulators like CPR manikins, IV training arms, and a pyxis machine trainer, to advanced patient simulators like SimMan 3G and SimMom that can display neurological symptoms as well as physiological. The program also conducts simulations using real people as patients. The nursing program began using simulation in 2010 after purchasing their first simulators with funds from the Foundation. The use of simulation has led to improved clinical performance. B. Board of Trustees Report Kennard Weaver provided an update on the current building projects, sharing that the residence hall project is expected to wrap up in time for students to move in for the fall 2017 semester. The Dennos Museum project is also progressing but at a slower pace. Planning for the West Hall innovation center and library continues with the architectural firm Stantec collecting input from stakeholders on what they would like to see in the building. Weaver noted that the Board of Trustees met three times since the last Foundation Board meeting. At the regular meeting on December 19, the Trustees heard a report from faculty on the National Hunger and Homelessness Awareness Week Project. This was an interdisciplinary service learning project that focused on experiential learning. Resolutions of Appreciation were also adopted to recognize the service of outgoing trustees Bob Brick and Steven Rawlings. The Trustees had a retreat on January 11 in which Michael Hansen, president of the Michigan Community College Association (MCCA), presented on the Michigan community college governance structure, the role of the MCCA, and current legislative issues. Hansen explained that Michigan is unique, as it is one of four states where community colleges are autonomous without a central governance. At the retreat, the Trustees also discussed board level strategic goals for the College. These goals were adopted at the next regular meeting. At the January 23 meeting, re-elected trustee, Chris Bott, and newly elected trustee, Michael Estes, recited the Oath of Office. The Trustees also conducted the annual business of electing officers: Kennard Weaver, Chair; Chris Bott, Vice Chair; Rachel Johnson, Secretary; and Doug Bishop, Treasurer. Ross and Brenda Biederman were appointed as Fellows of NMC and the Trustees heard a presentation on the new livinglearning community project for engineering technology students. C. President s Report Stephen Siciliano, Vice President for Educational Services, provided an update in Tim Nelson s absence. He shared that President Nelson is currently out of town serving on Governor Snyder s new Building the 21 st Century Economy Commission. Commission members are charged with identifying priorities for the next 20 years along with short-term and long-term action items to achieve the vision of Michigan s economic future. The commission will submit a final report to the State in May. Siciliano noted that Governor Snyder s proposed budget for the 2017-2018 fiscal year contained several provisions of interest to NMC, including continued operations funding at FY17 levels, a NMC Foundation Board Meeting (2/22/2017) 2
continuation of the cap on the unfunded accrued liability contributions by community colleges to the Michigan Public School Employees Retirement System (MSPERS), and a one-time investment of $1 million in general funds to support the Michigan Transfer Network website. Siciliano shared two handouts: Northwestern Michigan College: 101 (see Appendix A) and NMC: Supporting the Regional Economy (see Appendix B). These handouts include basic information on NMC, including funding, priorities, strategy, and economic impact. Board members were encouraged to utilize this information when fielding questions from the community. III. Foundation Initiatives A. Campaign for NMC Rebecca Teahen shared an overview of the timeline and events that have occurred to reach this point in the campaign. In December 2012, Kathy Cole completed an assessment of the Foundation and recommended taking three years to implement the recommendations, build capacity, and prepare for a possible campaign. A feasibility study was completed during the summer of 2015 and based on those results the board made the decision in February 2016 to proceed with a comprehensive campaign. In the spring of 2016, a seed fund was established with generous lead gifts from the Milocks and Smiths. The campaign officially started in July 2016, with all gifts recognized within the campaign from that point forward. The current timeline shows the Leadership Phase lasting another eighteen months. This phase will focus on NMC s closest friends and those with the capacity for gifts greater than $100,000. Gifts during this phase could potentially make up 70% of the total campaign. A unique element of this campaign is that planned gifts will count towards the campaign total and donors will be recognized today for their future gifts. B. Campaign Steering Committee Report Bruce Byl, Co-Chair, provided a status update from the Campaign Steering Committee. Committee members and staff are continuing to have gift conversations with members of the leadership group 29 of 41 individuals from Group A have been engaged so far. This group includes Foundation Board, Board of Trustees, and members of the Campaign Steering Committee. Byl shared that the marketing firm Credo was selected to conduct marketing research and develop a branding plan for the campaign. Members were invited to provide input to Credo representatives during a session on March 9. The committee has continued to refine procedures for named giving and are working to align named gift opportunities for the entire campaign. More information on these opportunities will be shared at the next board meeting. Planning continues for events related to the 50 th anniversary celebration of NMC s Aviation program and the Dennos Museum Center s 25 th anniversary and expansion celebration. Next steps for the Campaign Steering Committee will include continued conversations with the leadership group, work with Credo, and developing a timeline of future campaign events and activities. As of December 30, just under $7 million was raised for the campaign, this includes $3 million designated for the Dennos expansion, $609,000 for program support, and $3.3 million for scholarship support. Approximately 40% of this was pledged through planned gifts. Byl reported that overall, we are nearly 20% of the way to our potential goal and are tracking ahead of initial projections. The NMC Foundation Board Meeting (2/22/2017) 3
current quarter is off to a great start with $400,000 raised in the last six weeks. This puts the total raised for the campaign over $7 million. C. Annual Fund Report Chris Bott shared that the Annual Fund has received two significant gifts this fiscal year that were inspired by campaign conversations. He reported that as of February 20, the Annual Fund campaign has raised $433,203. At 64% of the way through the fiscal year, this total exceeds the fiscal year goal of $275,000 by 58%. Compared to this time last year, the number of donors to the Annual Fund is up 10%. D. Board Development Committee Report Bill Marsh Jr. reported that two new members will join the board in April. Don Coe is one of the founding partners of Black Star Farms and currently serves as the chair of the Taste of Success Committee. Chris Millward is a financial services practice owner with Sagemark Consulting and is an NMC alumnus. The committee will continue to identify and have conversations with potential board members. Members were encouraged to attend and invite potential donors to Foundation and general NMC events. E. Finance and Audit Committee Report Steve Fisher presented an overview from the Finance and Audit Committee meeting on February 15. During the meeting, members reviewed the portfolio with our investment consultant, IPEX. For the fourth quarter of 2016, the overall portfolio was up 0.4%. For 2016, the overall portfolio saw an increase of 7% which is an increase of $2,420,267 for the year. The ending value for the portfolio as of December 31 was $34,824,878. The five-year average return was 5.4% after accounting for inflation and expenses, this exceeds our target of 5%. Since January 1, the overall portfolio is up almost 2.8% which is an increase of $967,000. Fisher noted that going forward quarterly budget statements for the Foundation will show a disparity between the 2017 budget and the year-to-date actuals. This is because the 2017 budget for contributions includes planned gifts while the year-to-date actuals do not. The committee will meet with investment portfolio managers in May. Committee membership was reviewed and the following motion was made. Motion: That the Foundation Board approve the 2017 membership of the Finance and Audit Committee: Barb Benson, Chris Bott, Chris Branson, Steve Fisher, Randy Kiessel, Mark Lundmark, Jim Weigand, Al Zelinski, Tim Nelson, and Rebecca Teahen. Wendy Steele moved. Bruce Byl seconded. The motion passed. F. Executive Director s Report Rebecca Teahen reported that board giving is up over last year with 17 members already at the President s Club level. Many gift conversations are pending, so these numbers are expected to increase. She then reviewed ongoing Foundation programs including general operations, annual giving, alumni relations, and major gifts. These programs are will continue to function throughout the campaign and are critical to the long-term success of the Foundation after the campaign is complete. General operations highlights include a recent database upgrade to Raiser s Edge NXT, annual budgeting work, policy development, management of 400 named funds, clean audit, solid spending policy, and 145 board and committee members. Annual giving highlights include more direct mail and email than last year, an expanded committee, management of Dennos and WNMC annual giving, and a significant increase in annual fund dollars and NMC Foundation Board Meeting (2/22/2017) 4
donors each year. Alumni Relations Program highlights include 18 active volunteers recruiting and networking with students, a well-received e-newsletter with a 19.65% open rate, annual alumni never giver mailing, and over 30,000 mailing addresses in the sixcounty area. The major gifts program is stronger and become more systematic as a result of the campaign. Highlights of the program include an investment in database management, prospects organized and classified into groups, a significant increase in gift officer actions, and more dollars raised already in this campaign than ever before at NMC. Teahen emphasized that all of these programs will help raise the sights of NMC donors and the community, position the College for long-term success, and increase the engagement of partners, donors, and volunteers. IV. Closing Remarks Bill Marsh Jr. thanked everyone for their time and reminded them to attend the next Foundation Board meeting on April 26, 2017. The meeting adjourned at 9:18 a.m. Handouts: Recorded by: Amanda Gower, Resource Development Wendy Steele, Secretary Upcoming Foundation Events: February 22, 2017 Meeting Agenda December 14, 2016 Foundation Meeting Minutes December 2016, January 2017 Contributions Memo, quarter ending 12/31/16 Vicki Cook Statement of Activity, quarter ending 12/31/16 IPEX Report, quarter ending 12/31/16 IPEX, asset allocation as of 2/14/17 Campaign timeline NMC calendar of events A Taste of Success Friday, February 24, 2017, 6:30 p.m. Great Lakes Campus Alumni Networking Reception Thursday, March 2, 2017, 5:30 p.m. Lobdell s A Teaching Restaurant Foundation Finance & Audit Committee Meeting Wednesday, April 19, 2017, 7:30 a.m. Founders Hall, Room 110 Scholarship Luncheon Friday, April 21, 2017, 12:00 p.m. Hagerty Center, Great Lakes Campus Foundation Board Regular Meeting Wednesday, April 26, 2017 7:00 a.m. Breakfast, 7:30 a.m. Meeting Oleson Center, Main Campus NMC Barbecue Sunday, May 21, 2017, 11:00 am - 5:00 pm Main Campus NMC Scholarship Open Thursday, August 3, 2017 Grand Traverse Resort and Spa NMC Foundation Board Meeting (2/22/2017) 5