workshop and regular meeting of the … july 2017 board agend… · approval of the minutes of the...

WORKSHOP AND REGULAR MEETING OF THE BOARD OF TRUSTEES LONE STAR COLLEGE SYSTEM

TRAINING AND DEVELOPMENT CENTER BOARD ROOM 5000 RESEARCH FOREST DRIVE

THE WOODLANDS, TEXAS 77381-4356 July 10, 2017

5:00 p.m.

I. Call to Order

II. Pledge of Allegiance

III. Certification of the Posting of the Notice of the Meeting

IV. Closed Session

The Board of Trustees, in accordance with Section 551.001, et seq. of the TexasGovernment Code will move into Closed Session under one or more of the followingprovision(s) of the ACT:

Section 551.071 – Consultation with Attorney • Status of Pending or Proposed Litigation• On any item on the Agenda

Section 551.072 – Deliberation Regarding Real Property • LSC-University Park, LSC-CyFair, LSC-North Harris, LSC-

Tomball, LSC–Montgomery, LSC-Kingwood, LSC-System OfficeSection 551.074 - Personnel Matters

V. Reconvene Regular Meeting

VI. Introductions, Special Guests, Recognitions

VII. Workshop - None

VIII. Approval of the Minutes of the June 1, 2017 Budget Workshop and the June 1, 2017Workshop and Regular Meeting of the Board of Trustees

IX. Special Reports and Announcements1. Chancellor – Reports and comments from the Chancellor regarding meetings and

conferences attended, campus visits, community and district activities, educationprograms, current affairs related to higher education

2. Presidents - None

3. Vice Chancellors - None 4. Faculty Senate Presidents - None 5. Board Members

• Reports and comments from Board chair and Board members regarding meetings and conferences attended, campus visits, community and district activities, education programs, current affairs related to higher education

• Board Committee Reports

X. Citizen Participation

XI. Consideration of the Consent Agenda

(The purpose of the consent agenda is to allow the Board to identify and approve action items which require no additional information or discussion and for which there is unanimous approval. Trustees receive agenda materials one week in advance of the meeting to prepare for the business to be conducted.)

XII. Policy Report and Considerations

1. Consideration and Review of the Recommended Revision of the Lone Star College (the “College”) Board Policy Manual Sections IV.D.3. Ethical Standards, IV.F.4. Prohibited Unlawful Discrimination and Harassment Policy, VI.D.12. Civil Rights Complaints, and VI.F. Sexual Harassment, Assault, Violence, and Discrimination (FIRST READING)

2. Consideration and Review of the Recommended Revision of the Lone Star College (the “College”) Board Policy Manual Section III.D.2.10(h) Regarding Criteria for Awarding Contracts (ACTION ITEM 1)

XIII. Curriculum Report and Considerations 1. Consideration of Approval to Expand the Lone Star College (the “College”) Computer

Networking Microsoft Associate of Applied Science (AAS) Degree and Network and System Support Certificate I to LSC-CyFair (ACTION ITEM 2)

XIV. Financial Reports and Considerations

1. Consideration of Approval to Authorize the Chancellor or Designee to Enter into a Grant Contract on Behalf of Lone Star College (the “College”) with One Star (“One Star”) Foundation to Continue the AmeriCorps Grant Program at LSC-Kingwood (ACTION ITEM 3)

2. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute Contracts on Behalf of Lone Star College (the “College”) to Purchase Architectural Services Related to New Buildings for LSC-Kingwood, LSC-Montgomery, and LSC-University Park (ACTION ITEM 4)

3. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and

Execute Master Service Contracts on Behalf of Lone Star College (the “College”) to Purchase Facility Related Building Envelope Services (ACTION ITEM 5)


Execute Contracts on Behalf of Lone Star College (the “College”) to Purchase Construction and Skilled Trades Equipment for the LSC-North Harris Construction and Skilled Trades Technology Center (“CSTTC”) (ACTION ITEM 6)


Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase Tool Sets for LSC-North Harris Automotive Technology Program (ACTION ITEM 7)

6. Consideration of Approval to Ratify the Purchase of Internet Services and Approval to

Purchase Additional Internet Services for Lone Star College (the “College”) (ACTION ITEM 8)

7. Consideration of Approval to Authorize the Chancellor or Designee to Amend the

Construction Manager at Risk (“CMAR”) Guaranteed Maximum Price (“GMP”) for Construction Services Related to the Lone Star College- University Park (“LSC-UP”) Science and Innovation Center a Phase One Group 6A Project Under the 2014 General Obligation Bond Program (ACTION ITEM 9)

8. Consideration and Approval to Review and Ratify an Agreement for the Economic

Development of Harris County and the Chancellor’s Execution of the Agreement on behalf of Lone Star College (the “College”) (ACTION ITEM 10)

9. Consideration of Approval to Authorize the Chancellor or Designee to Renew the

Interlocal Agreement on Behalf of Lone Star College (the “College”) with New Caney Independent School District for the Early College High School Initiative (ACTION ITEM 11)

XV. Personnel Report and Considerations

1. Consideration and Authorization for the Chancellor or Designee to Execute Proposed

Employment Contracts for the Attached Employees (ACTION ITEM 12)

2. Proposed Addenda to the Chancellor’s Contract (ACTION ITEM 13)

XVI. Financial Report Monthly Financial Statements

XVII. Buildings and Grounds Report Construction Projects Update

XVIII. Suggested Future Agenda Items

XIX. Adjournment If during the course of the meeting covered by this notice, the Board should determine that a closed session of the Board should be held or is required in relation to an item noticed in this meeting, then such closed session as authorized by Section 551.001 et seq. of the Texas Government Code (the Open Meetings Act) will be held by the Board concerning any and all subjects and for any and all purposes permitted by Section 551.071-551.089, inclusive, of the Open Meetings Act, including, but not limited to: Section 551.071 - Consultation with Attorney Section 551.072 - Deliberation Regarding Real Property Section 551.073 - Deliberation Regarding Prospective Gift Section 551.074 - Personnel Matters Section 551.076 - Deliberation Regarding Security Devices Section 551.082 - Student Discipline Section 551.0821 - Personally Identifiable Information About Student Section 551.084 - Exclusion of Witness Section 551.087 - Economic Development Negotiations

Certification of Posting of Notice to the July 10, 2017 Workshop and Regular Meeting of the

Lone Star College System’s Board of Trustees

I, Stephen C. Head, Chancellor of the Lone Star College System, do hereby certify that a notice of this meeting was posted on Wednesday the 5th day of July, 2017 in a place convenient to the public at LSC-System Office The Woodlands, The Woodlands Leadership Building, on all college campuses and on the system website as required by Section 551.002 et seq., Texas Government Code. Special notice of the meeting was provided to the news media as required by Section 551.001 et seq., Texas Government Code. Given under my hand this the 5th day of July, 2017.

LONE STAR COLLEGE SYSTEM

_____________________ Stephen C. Head

Chancellor

MINUTES OF THE BUDGET WORKSHOP MEETING OF THE BOARD OF TRUSTEES OF THE

LONE STAR COLLEGE SYSTEM TRAINING AND DEVELOPMENT CENTER BOARD ROOM

5000 RESEARCH FOREST DRIVE THE WOODLANDS, TEXAS 77381

June 1, 2017 3:30 p.m.

PRESENT: Dr. Alton Smith, Chair

Dr. Kyle Scott, Vice Chair Mr. Ken E. Lloyd, Secretary Ms. Myriam Saldívar, Assistant Secretary Ms. Linda Good Mr. Art Murillo

Mr. David Vogt Dr. Ron Trowbridge ABSENT: Dr. David Holsey I. CALL TO ORDER: Dr. Smith called the budget workshop meeting of the Board of

Trustees to order at 3:32 p.m. after determining a quorum was present. II. PLEDGE OF ALLEGIANCE: Ms. Saldivar led the Board and guests in reciting the

Pledge of Allegiance. III. CERTIFICATION OF THE POSTING OF THE NOTICE OF THE MEETING:

Chancellor Head confirmed that the Notice for the meeting had been properly posted. No action was required. A copy is attached as Exhibit “A.

Mr. Murillo entered the meeting at 3:41 p.m. Dr. Scott entered the meeting at 4:00 p.m.

IV. REVIEW OF RECOMMENDED 2017-2018 BUDGET: Chancellor Head gave an overview of LSC growth and enrollment projections. Ms. Jennifer Olenick, vice chancellor and CFO of finance and administration gave a summary of the recommended budget for 2017-2018, alignment with the strategic plan and proposed performance metrics for colleges. The Board will be asked to adopt the budget on August 3, 2017. The recommended proposed budget is $ 373,320,000. . DISCUSSION: None.

V. CLOSED SESSION: None.

VI. ADJOURNMENT: Dr. Smith adjourned the budget workshop at 4:59 p.m.

ATTEST: ______________________________ ______________________________ Board of Trustees, Chair Board of Trustees, Secretary

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MINUTES OF THE WORKSHOP AND REGULAR MEETING OF THE BOARD OF TRUSTEES

LONE STAR COLLEGE SYSTEM CENTRAL SERVICES AND TRAINING CENTER

TRAINING AND DEVELOPMENT CENTER BOARD ROOM 5000 RESEARCH FOREST DRIVE

THE WOODLANDS, TEXAS 77381-4356 June 1, 2017

5:00 p.m.

PRESENT: Dr. Alton Smith, Chair Dr. Kyle Scott, Vice Chair Mr. Ken Lloyd, Secretary

Ms. Myriam Saldívar, Assistant Secretary Ms. Linda Good Mr. Art Murillo Mr. David Vogt

Dr. Ron Trowbridge ABSENT: Dr. David Holsey I. CALL TO ORDER: Dr. Smith called the workshop and regular meeting of the Board of

Trustees to order at 5:00 p.m. after determining that a quorum was present.

II. PLEDGE OF ALLEGIANCE: None. III. CERTIFICATION OF THE POSTING OF THE NOTICE OF THE MEETING:

Chancellor Head confirmed that the Notice for the meeting had been properly posted. No action was required. A copy is attached as Exhibit “A”.

IV. INTRODUCTIONS, SPECIAL GUESTS AND RECOGNITIONS: None.

V. WORKSHOP: None.

VI. CLOSED SESSION: At 5:02 p.m. Dr. Smith convened the Board in closed session, in accordance with Section 551.001 et seq. of the Texas Government Code under one or more of the following provision(s) of the Act:

Section 551.071 – Consultation with Attorney

• Status of Pending Litigation • On any item on the Agenda

Section 551.072 – Deliberation Regarding Real Property

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• LSC-University Park, LSC-CyFair, LSC-North Harris, LSC-Tomball, LSC–Montgomery, LSC-Kingwood, LSC-SO-University Park

Section 551.074 - Personnel Matters Section 551.076 – Deliberation Regarding Security Devices

VII. RECONVENE REGULAR MEETING: Dr. Smith reconvened the open meeting at 6:12

p.m.

VIII. APPROVAL OF THE MINUTES OF MAY 4, 2017 WORKSHOP AND REGULAR MEETING OF THE BOARD OF TRUSTEES: upon a motion by Mr. Vogt and second by Mr. Murillo the board approved the minutes of the May 4, 2017 Workshop and Regular Meeting of the Board of Trustees. Dr. Scott abstained.

IX. SPECIAL REPORTS AND ANNOUNCEMENTS:

1. Chancellor: Dr. Head introduced Robert Barrera, the new associate vice chancellor of facilities and construction. Dr. Head introduced Helen Clougherty, vice chancellor and chief of staff to recognize the organizational development department for receiving the 2017 Ozzie award for Education. The Ozzie award is presented at the Accountability Plus Symposium and celebrates organizations that demonstrate excellence in accountability, leadership and culture. LSC is the first higher education recipient of this award. Ms. Clougherty acknowledged Deb Esparza, executive director of organizational development, for her leadership of LSC 20|20, the colleges’ cultural transformation process. Dr. Head announced student enrollment was up 16% over this time last year. The chancellor gave a legislative update: the BSN and BAT program proposals have passed and are now awaiting the governor’s signature. There is a slight increase in state appropriations and LSC is monitoring new budget approvals from the federal government to see how it impacts Pell grants and work study.

2. College Presidents: None.

3. Vice Chancellors: None.

4. Faculty Senate Presidents: None. 5. Board Members – Chair Alton Smith spoke about Josiah Crosby, the student that spoke

at the Star Gala, and how programs offered at Lone Star College have changed his life.

X. CITIZEN PARTICIPATION: None.

XI. CONSIDERATION OF THE CONSENT AGENDA: Item number 12 was removed from the agenda to be considered separately. Chair Smith proceeded with the Consent Agenda.

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Dr. Trowbridge made a motion to approve Action Items 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 13 and 14. Dr. Scott seconded the motion and the Board unanimously passed the Consent Agenda. A copy is attached as Exhibit “B”.

XII. POLICY REPORTS AND CONSIDERATIONS: 1. Consideration and Review of the Recommended Revision of the Lone Star College (the

“College”) Board Policy Manual Section III.D.2.10(h). Regarding Criteria for Awarding Contracts (FIRST READING): the Board of Trustees considere and reviewed the revision of the College’s Board Policy Manual Section III.D.2.10(h). amending the College’s required criteria for awarding contracts for goods and services when federal grant dollars are involved. A copy is attached as Exhibit “C”.

XIII. CURRICULUM REPORT AND CONSIDERATIONS:

1. Consideration of Approval of the 2018-2019 Academic Calendar (ACTION ITEM 1):

the Board of Trustees approved the proposed 2018-2019 Academic calendar. This item was passed in the Consent Agenda. A copy is attached as Exhibit “D”.

XIV. FINANCIAL REPORTS AND CONSIDERATIONS:

1. Consideration of Approval to Authorize the Chancellor or Designee to Amend the Contract with the Program Management Services Firm for Additional Program Management Services Related to the Aldine Independent School District (AISD) MacArthur Early College Facility (ACTION ITEM 2):. the Board of Trustees authorized the Chancellor or designee to execute a contract amendment with Jones Lang LaSalle Americas, Inc. (“JLL”), 1400 Post Oak Blvd., Suite 1100, Houston, Texas 77056 for additional program management services related to the AISD MacArthur Early College Facility in a sum not exceeding $174,827 for a revised total contract sum of $4,122,881. This item was passed in the Consent Agenda. A copy is attached as Exhibit “E”.

2. Consideration of Approval to Authorize the Chancellor or Designee to Enter into a Grant Contract on Behalf of Lone Star College (the “College”) with the University of Houston for the Operation of the College’s Small Business Development Center (“SBDC”) (ACTION ITEM 3): the Board of Trustees approved the Chancellor or designee to enter into a grant contract with the University of Houston, for a sum not exceeding $675,167 for the operation of the College’s SBDC; of which, up to $277,210 will be reimbursed by the University of Houston. This item was passed in the Consent Agenda. A copy is attached as Exhibit “F”.


Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase Science Lab Equipment for LSC-University Park Center for Science and Innovation (ACTION ITEM 4): the Board of Trustees authorized the Chancellor or designee to negotiate and execute a contract on behalf of the College with North Central Instruments, Inc.,

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(“NCI”) 3700 Annapolis Lane, Suite 145, Plymouth, MN, 55447, for science lab equipment in a sum not exceeding $329,802. If negotiations cease for any reason with NCI, the College may proceed to negotiate with the next firm providing quotes. This item was passed in the Consent Agenda. A copy is attached as Exhibit “G”.

4. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute an Agreement on Behalf of Lone Star College (the “College”) to Purchase Natural Gas for LSC-Kingwood, LSC-North Harris, and LSC-Montgomery (ACTION ITEM 5): the Board of Trustees authorized the Chancellor or designee to negotiate and execute an agreement on behalf of the College to purchase natural gas services from the Texas General Land Office (“GLO”), 1700 N. Congress Ave., P.O. Box 12873, Austin, TX 78711. This item was passed in the Consent Agenda. A copy is attached as Exhibit “H”.

5. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute Contracts on Behalf of Lone Star College (the “College”) to Purchase Construction and Skilled Trades Equipment for the LSC-North Harris Construction and Skilled Trades Technology Center (“CSTTC”) (ACTION ITEM 6): the Board of Trustees authorized the Chancellor or designee to negotiate and execute contracts on behalf of the College with the vendors listed below to purchase equipment for the LSC-North Harris-CSTTC in a sum not exceeding $249,266. The Chancellor recommends awarding the firms with the highest evaluation score the contracts: Hampden Engineering Corporation, 99 Shaker Road, East Longmeadow, MA 01028 and Lincoln Electric, 22801 St. Clair Avenue, Cleveland, OH 44117. This item was passed in the Consent Agenda. A copy is attached as Exhibit “I”.

6. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase Audio/Visual Systems for the LSC-North Harris Construction and Skilled Trades Technology Center (“CSTTC”) (ACTION ITEM 7): the Board of Trustees authorized the Chancellor or designee to negotiate and execute a contract on behalf of the College with Buckeye Technology Solutions d/b/a CCS Presentation Systems, 20212 Hempstead Road Building 1, Houston, TX 77065 for the purchase of audio/visual systems for the LSC-North Harris-CSTTC in a sum not exceeding $230,442. The Chancellor recommends awarding the firm with the highest evaluation score the contract. If negotiations cease for any reason with Buckeye Technology Solutions, the College may proceed to negotiate with the next firm in the order of selection ranking with a score of not less than 70 until a contract is executed. This item was passed in the Consent Agenda. A copy is attached as Exhibit “J”.


Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase a Web Based Student Course Evaluation System (ACTION ITEM 8): the Board of Trustees authorized the Chancellor or designee to negotiate and execute a contract on behalf of the College with CollegeNET, Inc., 805 SW Broadway Suite 1600, Portland, Oregon 97205, to purchase a web based student course evaluation system in a sum not exceeding

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$130,000 over a maximum five-year period. The initial term of the contract will be for three years with an option to renew for two additional one-year periods. The Chancellor recommends that the firm with the highest evaluation score be awarded the contract. If negotiations cease for any reason with CollegeNET, the College may proceed to negotiate with the next firm in the order of selection ranking with a score of not less than 70 until a contract is executed. This item was passed in the Consent Agenda. A copy is attached as Exhibit “K”.

8. Consideration of Approval for the Selection of an Internal Audit Vendor Pool of Qualified Firms for Lone Star College (the “College”) and Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute Contracts on Behalf of the College with the Selected PoolLaboratory (ACTION ITEM 9): the Board of Trustees authorized the vendor pool from which the College will select service providers for internal audit or consulting projects on an as needed basis; additionally, that the Board of Trustees authorize the Chancellor or designee to negotiate and execute internal audit scope of work (“SOW”) agreements for the College. The Chancellor finally recommends to the Board of Trustees that it expressly authorize him or a designee to execute five year contracts with the following firms: McConnell Jones Lanier & Murphy LLP, 4228 Loop Central Drive, Suite 1000, Houston, Texas 77081; Deloitte & Touche LLP, 1111 Bagby, Suite 4500, Houston, Texas 77002; Weaver and Tidwell LLP, 24 Greenway Plaza, Suite 1800, Houston, Texas 77046; and BKD LLP, 2800 Post Oak Blvd., Suite 3200, Houston, Texas 77056. This item was passed in the Consent Agenda. A copy is attached as Exhibit “L”.

9. Consideration of Approval to Authorize the Chancellor or Designee to Negotiate and Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase Audio/Visual System Upgrades (ACTION ITEM 10): the Board of Trustees authorized the Chancellor or designee to negotiate and execute a contract on behalf of the College with Troxell Communications, 2951 Marina Bay Drive #130, League City, Texas 77573, to purchase audio/visual system upgrades for all the colleges in a sum not exceeding $904,938. If negotiations cease for any reason with Troxell Communications, the College may proceed to negotiate with the next firm providing quotes in the order of lowest price until a contract is executed. This item was passed in the Consent Agenda. A copy is attached as Exhibit “M”.


Execute a Contract on Behalf of Lone Star College (the “College”) for the Purchase and Installation of Furnishings for the LSC-Kingwood Process Technology Center at Generation Park (ACTION ITEM 11): the Board of Trustees authorized the Chancellor or designee to negotiate and execute a contract on behalf of the College with McKinney Office Supply, 117 W. Louisiana, McKinney, Texas 75069, to purchase and install furnishings for the LSC-Kingwood Process Technology Center at Generation Park in a sum not exceeding $481,759. The Chancellor recommends awarding the firm with the highest evaluation score the contract. If negotiations cease with McKinney Office Supply, the College may proceed to negotiate with the next firm in the order of selection

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ranking with a score of not less than 70 until a contract is executed. This item was passed in the Consent Agenda. A copy is attached as Exhibit “N”.

11. Consideration of Approval to Authorize the Chancellor or Designee to Renew the

Interlocal Agreement on Behalf of Lone Star College (the “College”) with Humble Independent School District for the Early College High School Initiative (ACTION ITEM 12): upon a motion by Mr. Murillo and a second by Dr. Scott the Board of Trustees authorized the Chancellor or designee to renew the Interlocal Agreement on behalf of the College with Humble Independent School District and continue to operate an Early College High School (“ECHS”) Initiative. The term of the agreement was corrected by Chair Smith to read one year from June 14, 2017 through June 13, 2018. A copy is attached as Exhibit “O”

XV. PERSONNEL REPORTS AND CONSIDERATIONS:

1. Consideration and Authorization for the Chancellor or Designee to Execute Proposed

Employment Contracts for the Attached Non-Faculty Employees (ACTION ITEM 13): the Board of Trustees authorized the Chancellor or a designee to execute proposed employment contracts for the attached non-faculty employees. Each non-faculty employee’s name and job title is attached. This item was passed in the Consent Agenda. A copy is attached as Exhibit “P”.

2. Consideration and Approval to discontinue contributions to the Health and Life Insurance Premiums of current and former Trustees whose service began before August 31, 2003 (ACTION ITEM 14): the Board of Trustees considered and approved discontinuing contributions to the health and life insurance premiums of current and former Trustees whose service began before August 31, 2003. This item was passed in the Consent Agenda. A copy is attached as Exhibit “Q”.

XVI. FINANCIAL REPORT

Monthly Financial Report: Ms. Jennifer Olenick, vice chancellor and CFO for finance and administration, presented the monthly financial statements for the month ended April 30, 2017. A copy is attached as Exhibit “R”.

XVII. BUILDING AND GROUNDS REPORTS:

Construction Projects Update: the Board reviewed the report as presented. A copy is attached as Exhibit “S”.

XVIII. SUGGESTED FUTURE AGENDA ITEMS: None.

XIX. ADJOURNMENT: There being no further business, the meeting was adjourned at 6:39 p.m.

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ATTEST: ______________________________ ______________________________ Board of Trustees, Chair Board of Trustees, Secretary

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Consideration of Consent Agenda Board Meeting 7-10-17 Consent Agenda:

A roll call of individual action items will determine the consent agenda. If a trustee has a question or plans to cast a negative vote regarding a specific recommendation, then the trustee/trustees need to acknowledge their intention to the Chair by show of hand during the roll call: this action item will be considered in the regular order of business as an individual action item. Those action items that the trustees plan to approve without further question or discussion will be placed on the consent agenda during roll call of individual action items. Upon the creation of the consent agenda, a motion, a second to the motion, and unanimous approval of the Board of Trustees is needed to approve the action items. Upon approval of the consent agenda, the Board of Trustees will proceed with the remainder of the agenda.

Rationale: The consent agenda format is an organization process for meetings that allows the

governing board to focus their time and attention on action items that require more elaboration, information, and/or discussion. The intent of the consent agenda is to support efficiency and effectiveness of the meeting.

Tally of Action Items: Chancellor Board

Consent Recommended Separate Agenda Separate Action Action

# 1 - Approve Rev Policy Section III.D.2.10(h) ______ ______ ______ # 2 – Approve AAS Computer Networking Degree/Cert I ______ ______ ______ # 3 – Auth Chan/Contract/One Star Foundation/AmeriCorps ______ ______ ______ # 4 – Auth/Chan/Neg/Cont/Purch/Arch/Svs/New/Buildings ______ ______ ______ # 5 – Auth/Chan/Neg/Cont/Purch/Facility Bldg Envelope Svcs. ______ ______ ______ # 6 – Auth/Chan/Neg/Cont/Purch/Const/Skilled/Trade/Equip ______ ______ ______ # 7 – Auth/Chan/Neg/Cont/Purch/Tool Set LSC-NH Auto Tech ______ ______ ______ # 8 – Ratify Purch of Internet Svcs for Lone Star College ______ ______ ______ # 9 – Auth/Chan/Amend/CMAR GMP for LSC-UP Sci/Innov ______ ______ ______ #10 – Ratify Agreement Econ Development of Harris County ______ ______ ______ #11 – Auth Chan Renew Interlocal Agree/New Caney ISD ______ ______ ______ #12 – Auth Chan Exec/Employment Contracts ______ ______ ______ #13 – Accept any Proposed Addenda Chancellor’s Contract ______ ______ ______

Policy Report and Consideration No. 1 (FIRST READING) Board Meeting 7-10-17

Request: Consideration and Review of the Recommended Revision of the Lone Star College (the “College”) Board Policy Manual Sections IV.D.3. Ethical Standards, IV.F.4. Prohibited Unlawful Discrimination and Harassment Policy, VI.D.12. Civil Rights Complaints, and VI.F. Sexual Harassment, Assault, Violence, and Discrimination (FIRST READING)

Chancellor’s Recommendation:

That the Board of Trustees consider and review revisions to the College’s Board Policy Manual Sections IV.D.3. Ethical Standards, IV.F.4. Prohibited Unlawful Discrimination and Harassment Policy, VI.D.12. Civil Rights Complaints, and VI.F. Sexual Harassment, Assault, Violence, and Discrimination, to comply with recent legislation regarding campus peace officers.

Rationale: Recent state legislation, Senate Bill 4, prohibits institutions of higher education from materially limiting enforcement of federal immigration laws via policies or pattern and practice. To ensure compliance with this legislation, the College is proposing revisions to College Board Policy Manual Sections IV.D.3. Ethical Standards, IV.F.4. Prohibited Unlawful Discrimination and Harassment Policy, VI.D.12. Civil Rights Complaints, and VI.F. Sexual Harassment, Assault, Violence, and Discrimination. These revisions clarify policy applicability to campus peace officers.

Fiscal Impact: None.

Staff Resource: Mario K. Castillo 832-813-6655

LONE STAR COLLEGE SYSTEM DISTRICT BOARD POLICY MANUAL

Fourth Edition

SECTION IV – HUMAN RESOURCES

IV.D.3. Ethical Standards

IV.D.3.01 Ethical Standards

. . .

Nothing in this policy section limits a Campus Peace Officer from inquiring into the immigration status of a person under lawful detention or arrest.

****

IV.F.4. Prohibited Unlawful Discrimination and Harassment Policy

IV.F.4.01 Policy

. . .


**** SECTION VI – STUDENTS

VI.D.12. Civil Rights Complaints

VI.D.12.1. Policy. . .


****

VI.F. Sexual Harassment, Assault, Violence, and Discrimination

VI.F.1.1. Policy. . .


Policy Report and Consideration No. 2 (ACTION ITEM 1) Board Meeting 7-10-17

Request: Consideration and Approval of the Recommended Revision of the Lone Star College (the “College”) Board Policy Manual Section III.D.2.10(h). Regarding Criteria for Awarding Contracts


That the Board of Trustees consider and approve the revision of the College’s Board Policy Manual Section III.D.2.10(h). amending the College’s required criteria for awarding contracts for goods and services when federal grant dollars are involved.

Rationale: Federal regulations issued by the Office of Management and Budget prohibit Lone Star College from applying a local geographical preference when awarding most contracts for goods and services funded wholly or partially by federal grants. The proposed policy revision allows the College to adhere to these regulations by not applying a local geographical preference when awarding contracts for goods and services funded wholly or partially by federal grants.

Fiscal Impact: None.

Resource: Mario K. Castillo 832-813-6655Jennifer Olenick 832-813-6512

LONE STAR COLLEGE SYSTEM DISTRICT BOARD POLICY MANUAL

Fourth Edition

Page 1 of 1

III.D.2.10. College Criteria for Awarding Contracts In awarding a contract, the College must consider:

(a) purchase price, including delivery and installation;

(b) the reputation of the vendor and of the vendor’s goods or services;

(c) the quality of the vendor’s goods or services;

(d) the extent to which the goods or services meet the College’s needs;

(e) the vendor’s past relationship with the College;

(f) the impact on the ability of the College to comply with laws relating to historically underutilized businesses;

(g) the total long-term cost to the College to acquire the goods or services;

(h) for a contract for goods and services, other than goods and services to be funded wholly or partially by one or more federal grants or related to telecommunications and information services, building construction and maintenance, or instructional materials, whether the vendor or vendor’s ultimate parent company or majority owner:

1. has its principal place of business in this state; or

2. employs at least 500 persons in this state; and

3. any other relevant factor specifically listed in the request for bids or proposals. 35F

Curriculum Report and Consideration No. 1 (ACTION ITEM 2) Board Meeting 7-10-17 Request: Consideration of Approval to Expand the Lone Star College (the

“College”) Computer Networking Microsoft Associate of Applied Science (AAS) Degree and Network and System Support Certificate I to LSC-CyFair


That the Board of Trustees approve expanding the Computer Networking Microsoft Associate of Applied Science (AAS) Degree and Network and System Support Certificate I to LSC-CyFair.

Rationale: LSC-CyFair requests approval to offer the Computer Networking

Microsoft Associate of Applied Science (AAS) Degree and Network and System Support Certificate I. Currently, these programs are offered at LSC-Kingwood and LSC-North Harris. Demand in the Houston-The Woodlands-Sugarland Metropolitan Statistical Area (MSA) shows considerable growth for related occupations. In addition, labor market data from the Texas Workforce Commission and Burning Glass Technologies shows moderate to strong demand and strong wages for this occupational field.

Microsoft Academy AAS Occupation: Computer Network Support Specialists TWC Forecasted Total Annual Average Job Openings in the Gulf Coast (2014-2024) 100

TWC Median Wage (2015) $34.10/hr.

Burning Glass Job Postings 262 (Jan. 1, 2016-Dec. 31, 2016, Houston-The Woodlands-

Sugarland MSA) Burning Glass Job Postings Requiring Microsoft Certified Systems Engineer (MCSE) and Microsoft Certified Solutions Associate (MCSA) Certifications

458 (Jan. 1, 2016-Dec. 31, 2016, Houston-The Woodlands-Sugarland MSA)

Sources: Texas Workforce Commission, Burning Glass Technologies The Texas Higher Education Coordinating Board requires that the College’s Board of Trustees approve new programs.

Fiscal Impact: Estimated start-up costs of $44,400 will be funded with the LSC-CyFair

proposed FY 2017-2018 operating budget.

Staff Resource: Seelpa Keshvala 832-952-6347 Alicia Harvey-Smith 832-813-6648

Financial Report and Consideration No. 1 (ACTION ITEM 3) Board Meeting 7-10-17 Request: Consideration of Approval to Authorize the Chancellor or Designee to

Enter into a Grant Contract on Behalf of Lone Star College (the “College”) with One Star (“One Star”) Foundation to Continue the AmeriCorps Grant Program at LSC-Kingwood


That the Board of Trustees approve the Chancellor or designee to enter into a grant contract for the operation of the AmeriCorps program at LSC-Kingwood for a sum not exceeding $460,964 for the operation of the College’s AmeriCorps program, of which up to $340,858 will be reimbursed by One Star.

Rationale: One Star awarded a grant contract to the College to deliver the

AmeriCorps program at LSC-Kingwood during FY 2017. Since this award, the College has submitted a proposal to continue services. If approved, the proposal will result in a contract with a start date of August 1, 2017. This contract award was a result of the College’s application for funding submitted on April 26, 2017. According to College policy, the proposal was reviewed and approved by the College’s Office of the General Counsel, signed by the Chancellor, and submitted by the College’s Resource Development and Administration Department. The total project budget is $460,964. Of this amount, One Star may reimburse up to $340,858. The College is responsible for matching funds of $120,106. The matching funds of $120,106 will be provided through a direct-cash match of $18,918 and with indirect costs of $101,188. Grant related purchases will satisfy procurement methods approved by state law, and allowed by board policy and the grant contract including, but not limited to, competitive bids and requests for qualifications. The AmeriCorps program provides mentorship and support services to participating high schools and first-year LSC-Kingwood students. The goals of the program include increasing the number of economically disadvantaged high school students who matriculate to college and expand the number of economically disadvantaged students who obtain a post-secondary degree. Mentors who complete a specified number of service hours earn an education award that can be used to further their education at the College or at a university.

Fiscal Impact: The reimbursable sum of $340,858 and the required matching funds of $120,106 will be included in the proposed FY 2017-2018 LSC-Kingwood operating budget and by indirect costs. The grant expenditures will be reimbursed by One Star after receiving proper documentation.

Staff Resource: Rand Key 281-655-3701 Katherine Persson 281-312-1640 Jennifer Olenick 832-813-6512


Negotiate and Execute Contracts on Behalf of Lone Star College (the “College”) to Purchase Architectural Services Related to New Buildings for LSC-Kingwood, LSC-Montgomery, and LSC-University Park


That the Board of Trustees authorize the Chancellor or designee to negotiate and execute contracts on behalf of the College to purchase architectural services with the highest ranked firms listed in the attachment in a sum not exceeding $3,630,272. If negotiations cease for any reason with the 1st ranked firm, the College will proceed to negotiate with the next highest ranked firm with a score of 70 or more.

Rationale: As a result of the November 4, 2014 bond election, the College is

authorized to issue up to $485M in general obligation bonds for the purchase of land, new construction, repair and replacement, and renovation of facilities. Professional architectural services are required for phase II construction projects related to the approved bond referendum. The architectural services will include, but not be limited to, programming design, mechanical, electrical, plumbing, heating, ventilation, and air conditioning (“HVAC”), and civil engineering. In compliance with the provisions of Texas Government Code 2254.004, a Request for Qualifications (“RFQ”) #437 was publicly advertised and 40 responses were received. The initial evaluation of proposals was conducted based on the firm’s qualifications, references, relevant higher education project experience, approach and methodology, experience of proposed personnel, extent to which certified historically underutilized businesses (HUB), minority and/or veteran or women-owned businesses are utilized, and the completeness and thoroughness of the response. On-site presentations were made by the 16 firms receiving the highest proposal scores.

Fiscal Impact: Funds for these purchases are available from bond proceeds issued under

the 2014 General Obligation Bond Referendum. Staff Resource: Katherine Persson 281-312-1640 Rebecca Riley 936-273-7222 Shah Ardalan 281-290-2999 Jennifer Olenick 832-813-6512

Phase II Projects 1st Ranked Firm 2nd Ranked Firm LSC-Kingwood New Healthcare Instructional Building

Autoarch Architects, LLC 6200 Savoy Drive, Suite 100 Houston, Texas 77036

M. Arthur Gensler Jr. & Associates, Inc. 711 Louisiana Street, Suite 300 Houston, Texas 77002

LSC-Montgomery New Student Services Building

Harrison-Kornberg Architects, LLC 3800 Buffalo Speedway, Suite 550, Houston, Texas 77098

Autoarch Architects, LLC 6200 Savoy Drive, Suite 100 Houston, Texas 77036

LSC-University Park New Instructional Arts Building

Studio RED Collaborative 1320 McGowen Street Houston, Texas 77004

Smith & Company Architects 1500 McGowen, Suite 200 Houston, Texas 77004


Negotiate and Execute Master Service Contracts on Behalf of Lone Star College (the “College”) to Purchase Facility Related Building Envelope Services


That the Board of Trustees authorize the Chancellor or designee to negotiate and execute master service contracts on behalf of the College to purchase facility related building envelope services. The scope of the award is for individual projects less than $100,000. Total estimated annual costs for these services are expected to be $1,500,000 and not exceeding $7,500,000 over the five-year contract term. See attached listing for recommended vendors. The term of this award is for an initial two years with the option to renew for three additional one-year periods. The College reserves the right to cancel any agreement upon 30 days’ written notice with or without cause. Hourly rates will remain firm for the first year. Rate adjustments may be considered for subsequent years after receiving written justification supported by an increase in trade rates, inflation, or other measure as approved by the College. Quotes will be requested from all awarded vendors for all projects.

Rationale: These services are required to expedite the turn-around time for small

projects, minor building envelope services, maintenance, repairs, and inspection services for college facilities. In compliance with Texas Government Code 2269, Subchapter I, Sec. 2269.401, a Competitive Sealed Proposals (“CSP”) #499 was publicly advertised. The College received seven responses. Proposal evaluation was based on cost; qualifications, experience and service needs met; quality of services; references; past performance; the extent to which certified historically underutilized business (“HUB”), minority and/or veteran or women-owned business are utilized; long-term cost; and enhanced services/completeness and thoroughness of proposal.

Fiscal Impact: Funds for these purchases are included in the proposed FY 2017-18

college operating budgets. Funds for subsequent years will be included in future proposed college operating budgets. This is a new service to the College, and there is no historical spend.

Staff Resource: Jennifer Olenick 832-813-6512

Vendor Address

Sea Breeze Roofing, Inc. 1927 Aherns, Houston, TX 77017 J.R. Jones Roofing 5511 Mitchelldale Street, Houston, TX 77092 Texas Liqua Tech Services Inc. dba: Liqua Tech 1819 Milby Street, Houston, TX 77003 A&E Tech Reps. Dba: Restoration Services, Inc. 9810 Fairbanks N., Houston, TX 77064 TDC Waterproofing & Restoration, LLC. 4417 Campbell Road, Houston, TX 77041 Garland/DBS, Inc. 3800 E. 91st Street, Cleveland, OH 44105


Negotiate and Execute Contracts on Behalf of Lone Star College (the “College”) to Purchase Construction and Skilled Trades Equipment for the LSC-North Harris Construction and Skilled Trades Technology Center (“CSTTC”)


That the Board of Trustees authorize the Chancellor or designee to negotiate and execute contracts on behalf of the College with the vendors listed below to purchase equipment for the LSC-North Harris-CSTTC in a sum not exceeding $1,177,357.

Vendor Address Amount Advanced Technologies Consultants

110 W. Main St., P.O. Box 905 Northville, MI 48167

$976, 964

W.W. Grainger

16741 North Freeway, Houston, TX 77090

$166,054

MSC Industrial Supply

4540 Kendrick Plaza, # 190 Houston, TX 77032

$34,339

Total $1,177,357

Rationale:

The LSC-North Harris-CSTTC will provide specialty construction workforce education for field services, electrical, pipefitting, heating, ventilation, air conditioning (“HVAC”), and refrigeration trades. The equipping of this state of the art training center will be fully utilized to train students in the professions of Field Service Technicians, Electrical Technology, HVAC and Refrigeration, and Pipefitting. The College will train students using the standard and accepted methodologies for creating highly competent and skilled graduates along with providing a training environment that embraces cutting-edge technology in these same professions. Graduates of the LSC-North Harris-CSTTC programs will demonstrate knowledge of necessary skills in their respective trade to seek successfully gainful employment. The College will train students to apply critical thinking to research, evaluate, analyze, and synthesize information to solve problems related to the equipment, instrumentation, and systems of operation for their respective trades. This purchase complies with Texas Education Code § 44.031(a) (4) which allows the use of inter-local contracts. The College will purchase from Advanced Technologies Consultants through the Region 5 Purchasing Cooperative, contract #20160406, W.W. Grainger through Texas Multiple Award Schedule Purchasing Cooperative (TXMAS), contract #2-539030,

and MSC Industrial through BuyBoard Purchasing Cooperative, contract #501-15. The College completed a market analysis to determine best value.

Fiscal Impact: $1,177,357 for these purchases are available from the General Obligation Bonds, Series 2015A.

Staff Resource: Gerald Napoles 281-618-5444 Jennifer Olenick 832-813-6512


Negotiate and Execute a Contract on Behalf of Lone Star College (the “College”) to Purchase Tool Sets for LSC-North Harris Automotive Technology Program


That the Board of Trustees authorize the Chancellor or designee to negotiate and execute a contract on behalf of the College with Snap-On Industrial, a division of IDSC Holdings, LLC, P.O. Box 9004, Crystal Lake, IL, 60039, for tool sets in a sum not exceeding $205,670.

Rationale: The LSC-North Harris Automotive Technology program has been reviewed by the National Automotive Technician Education Foundation and has full Automotive Service Excellence (ASE) certification. It is a master-level program accredited by the National Automotive Technical Education Foundation. Students hired from this program will be expected to have a basic set of tools. These tools are an apprentice-level set typically required of any technician entering the industry as a condition of employment. The cost of these tools is a barrier for our students seeking employment in the automotive trade. These tools kits would be funded by LSC Promise. This purchase complies with Texas Education Code § 44.031(j), where a sole source purchase is justified for an item for which competition is precluded because of the existence of a patent, copyright, secret process or monopoly. This is a unique mission of Snap-On Industrial with National Society of Certification Centers (NC3) and the industry-recognized portable certifications that are built on national skill standards and have strong validation and assessment standards.

Fiscal Impact: $197,420 for this purchase is available from the FY 2017 LSC-Foundation budget through LSC Promise and $8,250 is available from donations to LSC Workforce programs at Star Gala 2016.

Staff Resource: Gerald Napoles 281-618-5444 Jennifer Olenick 832-813-6512

Financial Report and Consideration No. 6 (ACTION ITEM 8) Board Meeting 7-10-17 Request: Consideration of Approval to Ratify the Purchase of Internet Services and

Approval to Purchase Additional Internet Services for Lone Star College (the “College”)


That the Board of Trustees approve ratification of the purchase of internet services for $120,935 and approve the purchase of additional internet services for $171,701with PS Lightwave, Inc., 5959 Corporate Drive, Suite 3300, Houston Texas 77036, formally known as Phonoscope Light Wave Inc., and Level 3 Financing, Inc., 1025 Eldorado Blvd., Broomfield, CO 80021 in a sum of $292,636 for a total revised sum not exceeding $942,636 over the five-year period.

Rationale: At the March 7, 2013 meeting, the Board of Trustees approved the purchase

of internet services from Phonoscope Light Wave, Inc. and TW Telecom Holdings, Inc. for an estimated sum of $650,000 through a formal Request for Proposal process in compliance with Texas Education Code Section 44.031(a). This contract was for 1Gbps connection from each vendor. The amended contracts expand our internet capacity from 1Gbps to 5Gbps per connection. Due to internet bandwidth demand we increased the capacity from two 1Gbps connections to two 5Gbps connections in 2015. This increased our annual costs and exceeding the estimated $650,000 over the life of the contracts. This ratification adjusts the original approval to not exceed $942,636 over the life of the contract. This overage was identified as the annual contracts were being updated for the FY18 fiscal year. The term of the original contract for PS Lightwave, Inc. was April 3, 2013 to April 2, 2018. An addendum to the original contract was executed on July 15, 2015 extending the term of the contract to July 14, 2018 and increasing the bandwidth to 5Gbps at a cost of $171,701 for the contract period. The term of the original contract for TW Telecom Holdings, Inc. (formerly Level 3 Communications, LLC and now Level 3 Finances, Inc.) was September 22, 2014 through September 21, 2019. An amendment was executed on August 24, 2015 changing the term of the contract to expire August 23, 2019 and increasing the bandwidth to 5Gbps at a cost of $120,935 for the contract period. Additional services were added to protect Lone Star College IT assets from Distributed Denial of Service (DDOS) attacks in 2014. The new services contain DDOS attacks before they reach the LSC network.

This recommendation seeks Board Approval to extend to the end of the earliest amended contract terms, which is with PS Lightwave, Inc. A Request for Proposal will be issued in early Spring of 2018 for internet services.

Fiscal Impact: $292,636 for this purchase will be included in the proposed FY 2018 LSC-College Services operating budget. $171,701 of this amount would be allocated to PS Lightwave and $120,935 would be allocated to Level 3 Finances. Funds for subsequent fiscal years will be included in future proposed budgets.

Staff Resource: Link Alander 832-813-6832 Jennifer Olenick 832-813-6512

Financial Report and Consideration No. 7 (ACTION ITEM 9) Board Meeting 7-10-17 Request:

Consideration of Approval to Authorize the Chancellor or Designee to Amend the Construction Manager at Risk (“CMAR”) Guaranteed Maximum Price (“GMP”) for Construction Services Related to the Lone Star College- University Park (“LSC-UP”) Science and Innovation Center a Phase One Group 6A Project Under the 2014 General Obligation Bond Program


That the Board of Trustees authorize the Chancellor or designee to amend the CMAR GMP with the LSC-UP CMAR firm, E.E. Reed Construction, L.P., (“E.E. Reed”) 333 Commerce Green Blvd., Sugar Land, Texas 77478, for construction services related to the LSC-UP Science and Innovation Center, a phase one, group 6A project under the 2014 General Obligation Bond Construction Program. The College must transfer funds from fund savings realized under a separate budgetary item, within the project, which will increase the agreement’s GMP for a sum not exceeding $250,000.

Rationale: At the June 2015 Board meeting, the Board of Trustees approved E.E. Reed to provide CMAR services for the construction of phase one, group 6A bond projects for LSC-UP in compliance with Texas Government Code§ 2269.253 through a formal Request for Qualifications process. The completion and operation of the Center for Science and Innovation requires extension of domestic and sanitary water services by Municipal Utility District (“MUD”) 286. The MUD's selected contractor withdrew from the project before commencing work and the MUD selected a subsequent, more expensive, contractor. The College is required to compensate MUD 286 for the increase in costs. Unforeseen delays in delivery of these services have also affected the cost of overall construction and this proposed amendment to the GMP will allow for the payment of increased costs for the MUD 286 contractor as well as associated costs for delays to the project. The requested amount of $250,000 shift from the unused FF&E budget is meant to offset the following MUD costs. The balance will be covered by owner’s contingency in the project.

Item # Description Amount

1 Original MUD Contractor (CES) for the utility extension

$155,447

2 Increase cost for CES due to project delays $ 16,269

3

Cost increase for the replacement MUD contractor (T Construction) for the utility extension

$ 45,364

4 Design fee for MUD engineer to design the utility extension

$ 58,421

5 Cost for tap fees $131,124

6 Plan inspection fee $ 7,000 Total $413,625

The table below summarizes all transactions approved by the Board of Trustees to date for this CMAR firm: E.E.Reed Contract Summary

Board

Approval

Description

Amount Original

3/3/2016

GMP-LSC- UP's Center of Science and Innovation

$15,400,000 First Amendment

8/4/2016

GMP-Bldg. 12 and 13 Entrance Canopy and Parking Project

$1,816.108

Second Amendment

11/13/2016

Geology Rock Wall

$225,000

Proposed Amendment

7/10/2017

Domestic and Sanitary Water Costs

$250,000 Total $17,691,108

Fiscal Impact:

Funds for this purchase are available from the General Obligation Bonds, Series 2015A.

Staff Resource: Shah Ardalan 281-290-2999 Jennifer Olenick 832-813-6512

Financial Report and Consideration No. 8 (ACTION ITEM 10) Board Meeting 7-10-17 Request: Consideration and Approval to Review and Ratify an Agreement for the

Economic Development of Harris County and the Chancellor’s Execution of the Agreement on behalf of Lone Star College (the “College”)


That the Board of Trustees review and ratify the Economic Development Funding Agreement with Harris County for an in-kind sum not exceeding $125,000 and the Chancellor’s execution of the agreement. The term of the contract is March 1, 2017 through February 28, 2018.

Rationale: The College has participated in this Economic Development Program since 1993. The College is awarded $125,000 if it will match the amount in-kind. The College provides this match of funding through employee salaries, facilities, services, equipment, and rentals. Under Section I.D.1.11 of the College’s Policy Manual, the Chancellor has limited authority to take emergency action that is normally within the authority of the Board. Such authority is limited to occurrences that require urgent or immediate action including when such action is reasonably necessary to protect the College’s property or financial interests. Harris County required an expedited execution of the Economic Development Funding Agreement which would have risked $125,000 in funding from Harris County to the College if the deadline of May 9, 2017 Commissioners’ Court had not been met.

Fiscal Impact: Funds for this match will be included in the proposed FY 2017-18 External Affairs operating budget. Total contract amount with in-kind match is $250,000.

Staff Resource: Amos McDonald 832-813-6621

Jennifer Olenick 832-813-6512

Financial Report and Consideration No. 9 (ACTION ITEM 11) Board Meeting 7-10-17 Request:

Consideration of Approval to Authorize the Chancellor or Designee to Renew the Interlocal Agreement on Behalf of Lone Star College (the “College”) with New Caney Independent School District for the Early College High School Initiative


That the Board of Trustees authorize the Chancellor or designee to renew an Interlocal Agreement on behalf of the College with New Caney Independent School District for the Early College High School (“ECHS”) Initiative. The term of the agreement will be three years from August 1, 2017 through July 31, 2020.

Rationale: ECHS initiatives are innovative high schools that allow students less likely

to attend college an opportunity to earn a high school diploma and 60 college credit hours. ECHS initiatives provide dual credit at no cost to students, offer rigorous instruction and accelerated courses, provide academic and social support services to help students succeed, increase college readiness, and reduce barriers to college access. The ECHS initiative focuses on students for whom the transition into post-secondary education is potentially problematic. Its priority is to serve students from low-income families, first-generation college students, English language learners, and minority students (all of whom are statistically underrepresented in post-secondary education).

Fiscal Impact:

Direct costs of approximately $100,780 for this ECHS initiative will be included in the proposed FY 2018 operating budget for LSC-Kingwood. Enrollments in the ECHS initiative generate contact hours that are included in the basis for the State’s biennium funding allocation. Contact hours from Fall 2014 and Spring 2015 generated an estimated $42,102 in State funding in FY 2017.

Resource: Katherine Persson 281-312-1640

Alicia Harvey-Smith 832-813-6648 Jennifer Olenick 832-813-6512

Personnel Report and Consideration No. 1 (ACTION ITEM 12) Board Meeting 7-10-17

Request: Consideration and Authorization for the Chancellor or Designee to Execute Proposed Employment Contracts for the Attached Individuals


That the Board of Trustees authorize the Chancellor or a designee to execute proposed employment contracts for the attached individuals. Each individual’s name, job title, not-to-exceed contract sum, and hire start date is attached.

Rationale: Board Policy Section III.D.1.3(a). requires Board approval of employment contracts. In accordance with this policy, this authorization would expressly delegate such authority to the Chancellor or a designee for the attached individuals.

Fiscal Impact: Positions and salaries have been budgeted for 2016-2017.

Staff Resource: Mario K. Castillo 832-813-6655

Name

Job Title

Not-to-Exceed Contract Sum

Hire Date

Green, Susan Director, Library $87,424 04/16/17

Personnel Report and Consideration No. 2 (ACTION ITEM 13) Board Meeting 7-10-17 Request: Proposed Addenda to the Chancellor’s Contract Recommendation:

Acceptance of any proposed addenda to the Chancellor’s contract.

Financial Report and Consideration No. 1 Board Meeting 7-10-17

Report: Monthly Financial Statements

The financial statements for the month ended May 31, 2017 and the quarterly

investment report for the period ending May 31, 2017 are presented for Board

review.

82.1%83.7% 83.6% 83.5%

87.2%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2012-13 2013-14 2014-15 2015-16 2016-17

ACTUAL REVENUES AS A % OF BUDGET9/1 THROUGH 5/31

1

68.4% 68.1%70.2% 70.0% 69.8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2012-13 2013-14 2014-15 2015-16 2016-17

ACTUAL EXPENDITURES AS A % OF BUDGET 9/1 THROUGH 5/31

2

LONE STAR COLLEGE

Statement of Revenues and ExpendituresGeneral and Auxiliary FundsYTD May 31, 2017Unaudited

PRIOR YEAR

% ACTUAL PRIOR YEAR % ACTUAL

TO BUDGET ACTUAL TO BUDGET

FORECASTED FISCAL YTD 75% FY FISCAL YTD 75% FY

BUDGET VARIANCE ACTUAL ELAPSED 5/31/2016 ELAPSED

REVENUES:

State Appropriations $ 74,051,000 $ 38,264 $ 52,947,881 71.5% $ 52,905,428 71.4%

Tuition and Fees 119,381,000 (4,216,983) 95,259,309 79.8% 89,035,826 79.0%

Taxes 134,613,000 7,876,003 141,029,979 104.8% 124,279,286 99.2%

Investments 365,000 286,988 474,993 130.1% 306,018 72.9%

Other 5,962,000 641,873 3,412,216 57.2% 3,794,323 63.0%

Total Current Operations Revenues 334,372,000 4,626,145 293,124,378 87.7% 270,320,881 84.9%

Auxiliary Revenues 13,290,000 93,423 10,079,951 75.8% 10,801,884 59.5%

Total Revenues 347,662,000 4,719,568 303,204,329 87.2% 281,122,765 83.5%

EXPENDITURES:

Instruction-Academic 84,758,373 (1,264,310) 62,883,144 74.2% 61,295,531 72.4%

Instruction-Workforce 30,039,224 - 24,440,857 81.4% 24,085,389 79.9%

Public Service 615,468 - 472,633 76.8% 554,196 73.2%

Academic Support 52,459,126 - 34,791,358 66.3% 33,553,047 63.6%

Student Services 45,015,018 - 29,313,568 65.1% 30,292,400 63.9%

Institutional Support 36,824,558 23,973,884 65.1% 22,526,195 70.5%

Plant Operation and Maintenance 34,762,112 - 23,931,114 68.8% 24,565,936 73.3%

Staff Benefits 32,535,049 - 22,768,508 70.0% 21,048,314 77.6%

Total Educational and General Expenditures 317,008,928 (1,264,310) 222,575,066 70.2% 217,921,008 70.7%

Repair, Replacement and Other

Internally Designated 5,562,000 (1,500,000) 3,094,248 55.6% 2,133,812 42.3%

Auxiliary 12,621,450 990,657 8,351,262 66.2% 12,191,651 65.6%

Total Expenditures 335,192,378 (1,773,653) 234,020,576 69.8% 232,246,471 70.0%

Other Changes - Debt Service & Fund Transfers 7,500,000 - 5,609,920 6,979,844

Total Expenditures & Transfers 342,692,378 (1,773,653) 239,630,496 239,226,315

NET INCREASE IN FUND BALANCES

General Funds 4,301,072 7,390,455 61,845,144 43,286,217

Auxiliary Funds 668,550 (897,234) 1,728,689 (1,389,767)

TOTAL NET INCREASE IN FUND BALANCES $ 4,969,622 $ 6,493,221 $ 63,573,833 $ 41,896,450

LONG TERM CASH RESERVES: FORECAST

Revised Forecasted Net Increase in Fund Balance $ 11,462,843

FY 2017 "One-Time" Cash Transactions (3,747,126)

Beginning Cash Reserves, 9/1/2016 42,055,920

Forecasted Cash Reserves, 8/31/2017 $ 49,771,637

LONG TERM CASH RESERVES AS A % OF

EXPENDITURES 14.9%

3

LONE STAR COLLEGE

Balance Sheet

May 31, 2017

Unaudited

GASB Memorandum Memorandum

General & Reporting Totals Totals

ASSETS Restricted Entries (*) Current Year Prior Year

Cash, cash equivalents & investments $ 89,665,214 $ 277,408,628 $ $ 367,073,842 $ 273,017,132

Accounts receivable, net 9,458,478 3,463,470 4,964,961 17,886,909 20,620,965

Prepaid and deferred expenses 15,642,695 - 15,642,695 12,022,713

Inventories, at cost - - - 13,437

Capital assets, net - - 794,797,646 794,797,646 783,665,578

TOTAL ASSETS 114,766,387 280,872,098 799,762,607 1,195,401,092 1,089,339,825

Deferred Outflows - - 21,100,577 21,100,577 8,864,100

TOTAL ASSETS AND DEFERRED OUTFLOWS $ 114,766,387 $ 280,872,098 $ 820,863,184 $ 1,216,501,669 $ 1,098,203,925

LIABILITIES AND FUND BALANCES

LIABILITIES:

Accounts payable & Accrued Absences Payable $ 3,840,009 $ 12,535,157 $ 16,375,166 $ 11,768,564

Deferred revenues 5,908,079 4,402,162 - 10,310,241 10,369,333

Accrued interest payable - 9,994,040 - 9,994,040 9,120,817

Bonds payable - - 828,505,447 828,505,447 736,603,657

Net Pension Liability - - 51,162,604 51,162,604 48,590,998

Assets held in custody for others - 9,431,990 - 9,431,990 9,167,005

L/T Due to Other Local Government - 16,264,311 - 16,264,311 -

TOTAL LIABILITIES 9,748,088 52,627,660 879,668,051 942,043,799 825,620,374

Deferred Inflows - - 23,436,941 23,436,941 14,864,130

TOTAL LIABILITIES AND DEFERRED INFLOWS 9,748,088 52,627,660 903,104,992 965,480,740 840,484,504

TOTAL FUND BALANCES 105,018,299 228,244,438 (82,241,808) 251,020,929 257,719,421

TOTAL LIABILITIES, DEFERRED INFLOWS AND

FUND BALANCES $ 114,766,387 $ 280,872,098 $ 820,863,184 $ 1,216,501,669 $ 1,098,203,925

* Includes GASB (Governmental Accounting Standards Board) reporting entries related to Capital Assets, Long-Term Debt, and Pensions

Auxiliary

4

POOLS $ 39,980,172

MONEY MARKET ACCOUNTS 1,797,189

Operating Cash - Subtotal 41,777,361$

US GOVT. AGENCIES $ 40,831,501

MUNICIPAL BOND 4,229,697

COMMERCIAL PAPER 6,991,132

Cash Reserves - Subtotal $ 52,052,330

TOTAL 93,829,691$

OPERATING FUNDS 05/31/2017

LONE STAR COLLEGE

SUMMARY OF OPERATING FUNDS

AS OF MAY 31, 2017

OPERATING CASH

CASH RESERVES

5

QUARTERLY INVESTMENT REPORT

FOR THE QUARTER ENDED

May 31, 2017

Prepared byFinance and Administration Department

/s/ Jennifer OlenickJennifer Olenick, CFA Chief Financial Officer and Vice Chancellor, Finance & Administration

/s/ Tammy CortesTammy Cortes, Associate Vice Chancellor for Budget, Finance & Treasury

The investment portfolio of Lone Star College is in compliance with the Public Funds Investment Act and the College's Investment Policy andstrategies.

6

LONE STAR COLLEGE INVESTMENT PORTFOLIO REPORTAS OF MAY 31, 2017

Quarter End Results by Investment Category:

Portfolio Book Value Unrealized Market Value Portfolio Book Value Unrealized Market ValueType of Security % 5/31/2017 Gains / (Losses) 5/31/2017 % 2/28/2017 Gains / (Losses) 2/28/2017

Money Market and Investment Pools 86.2% 324,109,567$ -$ 324,109,567$ 85.3% 364,487,228$ -$ 364,487,228$ Certificates of Deposit 0.0% - - - 0.3% 1,240,000 - 1,240,000 Securities 13.8% 52,052,330 (76,953) 51,975,377 14.4% 61,709,008 (38,273) 61,670,735 Portfolio Total 100.0% 376,161,897$ (76,953)$ 376,084,944$ 100.0% 427,436,236$ (38,273)$ 427,397,963$

TexPool 1.07% TexPool 0.93%Logic 1.08% Logic 0.97%Lone Star 1.01% Lone Star 0.88%Southside 0.91% Southside 0.71%

Capital One 0.30%

NOTES:1) Yields for the above referenced accounts vary daily.2) The benchmark for the Unrestricted and Restricted Funds is the 90 day U.S. Treasury Bill. As of May 31, 2017 the rate was 0.93%.

Average Yield as of May 31, 2017 Average Yield as of February 28, 2017

7

LONE STAR COLLEGE INVESTMENT PORTFOLIO REPORTFOR THE QUARTER ENDED MAY 31, 2017

Beginning Beginning Ending Period EndingPurchase/Opened Maturity Face Buy Market Value Book Value Interest Securities Securities Disc. / Prem. Book Value Unrealized Market Value

Date Date Amount Yield 2/28/2017 2/28/2017 Payments Purchased Matured Amortization 5/31/2017 Gain / (Loss) 5/31/2017MONEY MARKET AND INVESTMENT POOLS

TexPool 9/23/1993 N/A N/A N/A 210,170$ 210,170$ 371$ -$ -$ -$ 210,541$ $ 210,541$ TexPool Prime 9/23/1993 N/A N/A N/A 194,500 194,500 13,394 23,071,267 17,289,166 - 5,989,995 - 5,989,995 Logic 9/03/1996 N/A N/A N/A 92,979,382 92,979,382 240,973 20,468,436 38,053,579 - 75,635,212 - 75,635,212 Lone Star-Govt 3/29/2001 N/A N/A N/A 253,272 253,272 78 8,377,483 8,542,000 - 88,833 - 88,833 Lone Star-Corporate 3/29/2001 N/A N/A N/A 3,090,725 3,090,725 4,644 - 1,900,000 - 1,195,369 - 1,195,369 Lone Star-Corporate Plus 1/26/2001 N/A N/A N/A 239,572,064 239,572,064 535,243 21,988,756 43,784,295 - 218,311,768 - 218,311,768 *LSCS-Corp Plus_AldineISD 12/14/2016 N/A N/A N/A 16,224,551 16,224,551 39,760 - 512,219 - 15,752,092 - 15,752,092 Southside - MMA 4/27/2011 N/A N/A N/A 6,911,137 6,911,137 14,620 - - - 6,925,757 - 6,925,757 Capital One-MMA 8/12/2013 N/A N/A N/A 5,051,427 5,051,427 643 - 5,052,070 - - - -

TOTAL 364,487,228 364,487,228 849,726 73,905,942 115,133,329 - 324,109,567 - 324,109,567

CERTIFICATES OF DEPOSITFrost Bank 10/28/2015 4/28/2017 245,000 0.90% 245,000 245,000 - - 245,000 - - - - Frost Bank 10/28/2015 4/28/2017 250,000 0.90% 250,000 250,000 - - 250,000 - - - - Frost Bank 10/29/2015 5/01/2017 250,000 0.90% 250,000 250,000 - - 250,000 - - - - Frost Bank 11/04/2015 5/04/2017 245,000 0.85% 245,000 245,000 - - 245,000 - - - - Frost Bank 11/04/2015 5/04/2017 250,000 0.85% 250,000 250,000 - - 250,000 - - - -

1,240,000 1,240,000 - - 1,240,000 - - - -

COMMERCIAL PAPERCommercial Paper 01/25/2017 7/18/2017 3,000,000 1.13% 2,986,934 2,986,934 - - - 8,586 2,995,520 - 2,995,520 Commercial Paper 01/25/2017 7/1/2017 4,000,000 1.14% 3,982,589 3,982,589 - - - 13,023 3,995,612 - 3,995,612 TOTAL 6,969,523 6,969,523 - - - 21,609 6,991,132 - 6,991,132

BONDSMunicipal Bond 02/22/2017 11/1/2017 2,615,000 0.95% 2,622,740 2,624,624 - - - (3,599) 2,621,025 (2,050) 2,618,975 Municipal Bond 03/30/2017 3/15/2020 1,600,000 1.60% - - - 1,600,000 - 8,672 1,608,672 (3,744) 1,604,928 TOTAL 2,622,740 2,624,624 - 1,600,000 - 5,073 4,229,697 (5,794) 4,223,903

US GOVT. AGENCIESFHLMC 2/24/2016 11/07/2017 3,000,000 0.85% 3,000,855 3,000,000 - - - - 3,000,000 (519) 2,999,481 FAMCA 2/24/2016 09/28/2017 3,000,000 0.87% 3,001,404 2,997,995 - - - 871 2,998,866 (1,029) 2,997,837 FHLB 8/30/2016 08/28/2018 3,000,000 1.00% 2,987,547 3,000,000 - - - - 3,000,000 (9,054) 2,990,946 FHLB 10/7/2016 10/01/2018 3,000,000 0.90% 2,987,472 3,000,000 - - - - 3,000,000 (15,183) 2,984,817 FHLB 10/11/2016 10/11/2018 3,000,000 1.00% 2,990,928 3,000,000 - - - - 3,000,000 (11,499) 2,988,501 FHLMC 1/25/2017 01/25/2019 1,600,000 1.35% 1,598,917 1,600,000 - - - - 1,600,000 (1,402) 1,598,598 FHLB 1/27/2017 12/14/2018 3,000,000 1.28% 3,026,319 3,024,883 - - - (3,501) 3,021,382 (1,114) 3,020,268 FMCDN 1/31/2017 02/13/2019 4,000,000 0.76% 3,977,916 3,977,917 - - - 7,666 3,985,583 (5,575) 3,980,008 FFCB 2/13/2017 08/21/2019 3,000,000 1.21% 2,994,450 2,999,421 - - - 75 2,999,496 (7,023) 2,992,473 FAMCA 2/21/2017 11/03/2017 3,000,000 1.45% 3,000,000 3,000,000 - - - - 3,000,000 (6,102) 2,993,898 FCDN 2/17/2017 08/21/2019 3,200,000 0.76% 3,183,466 3,183,467 - - - 6,133 3,189,600 (4,022) 3,185,578 FHLB 2/17/2017 12/08/2017 3,000,000 0.82% 3,053,454 3,053,568 - - - (17,414) 3,036,154 (6,043) 3,030,111 FHLMC 2/17/2017 11/28/2017 2,000,000 0.81% 2,000,600 2,000,634 - - - (214) 2,000,420 (2,822) 1,997,598 FNMA 3/13/2017 03/13/2020 3,000,000 1.80% - - - 3,000,000 - - 3,000,000 228 3,000,228 FFCB 10/26/2015 4/21/2017 3,000,000 0.57% 2,999,874 2,999,725 - - 2,999,725 - - - - FNMA 10/26/2015 4/27/2017 1,268,000 0.55% 1,269,300 1,269,162 - - 1,269,162 - - - - FNMA 10/27/2015 4/27/2017 5,000,000 0.55% 5,005,125 5,004,556 - - 5,004,556 - - - - FHLMC 10/27/2015 5/08/2017 5,000,000 0.51% 5,000,845 5,003,533 - - 5,003,533 - - - -

TOTAL 52,078,472 52,114,861 3,000,000 14,276,976 (6,384) 40,831,501 (71,159) 40,760,342

SUMMARYMONEY MARKET AND INVESTMENT POOLS 364,487,228 364,487,228 849,726 73,905,942 115,133,329 - 324,109,567 - 324,109,567 CERTIFICATES OF DEPOSIT 1,240,000 1,240,000 - - 1,240,000 - - - - COMMERCIAL PAPER 6,969,523 6,969,523 - - - 21,609 6,991,132 - 6,991,132 BONDS 2,622,740 2,624,624 - 1,600,000 - 5,073 4,229,697 (5,794) 4,223,903 US GOVT. AGENCIES 52,078,472 52,114,861 - 3,000,000 14,276,976 (6,384) 40,831,501 (71,159) 40,760,342 PORTFOLIO TOTAL 427,397,963$ 427,436,236$ 849,726$ 78,505,942$ 130,650,305$ 20,298$ 376,161,897$ (76,953)$ 376,084,944$

Period Book / Market Transactions

8

LONE STAR COLLEGE INVESTMENT PORTFOLIO COMPOSITIONFOR THE QUARTER ENDED MAY 31, 2017

/s/ Jennifer OlenickJennifer Olenick, CFA Vice Chancellor, Finance & Administration

/s/ Tammy Cortes

NOTE: 0% represent accounts less than 1%.

Texpool2%

LSIP61%

Logic21%

MMA2%

CDs0%

CP2%

Muni Bond1%

US Govt. Agencies11%

Texpool LSIP Logic MMA CDs CP Muni Bond US Govt. Agencies

9

LONE STAR COLLEGE INVESTMENT PORTFOLIO REPORT BY FUNDFOR THE QUARTER ENDED MAY 31, 2017

FUND: OPERATING (UNRESTRICTED)

OPERATING CASHBeginning Beginning Ending Period Ending

Purchase/Opened Maturity Face Buy Market Value Book Value Interest Securities Securities Disc. / Prem. Book Value Unrealized Market ValueDate Date Amount Yield 2/28/2017 2/28/2017 Payments Purchased Matured Amortization 5/31/2017 Gain / (Loss) 5/31/2017

MONEY MARKET AND INVESTMENT POOLS

TexPool Prime 9/23/1993 N/A N/A N/A 194,500 194,500 9,822 21,575,051 17,289,166 - 4,490,207 - 4,490,207 Logic 9/03/1996 N/A N/A N/A 44,123,323 44,123,323 101,869 4,887,302 21,336,763 - 27,775,731 - 27,775,731 Lone Star-Govt 3/29/2001 N/A N/A N/A 252,731 252,731 78 8,377,483 8,542,000 - 88,292 - 88,292 Lone Star-Corporate 3/29/2001 N/A N/A N/A 3,077,312 3,077,312 4,611 - 1,900,000 - 1,181,923 - 1,181,923 Lone Star-Corporate Plus 1/26/2001 N/A N/A N/A 34,643,290 34,643,290 20,990 14,985,279 43,205,540 - 6,444,019 - 6,444,019 Southside - MMA 4/27/2011 N/A N/A N/A 1,793,395 1,793,395 3,794 - - - 1,797,189 - 1,797,189

TOTAL 84,084,551 84,084,551 141,164 49,825,115 92,273,469 - 41,777,361 - 41,777,361

CASH RESERVES

COMMERCIAL PAPER

Commercial Paper 01/25/2017 7/18/2017 3,000,000 1.13% 2,986,934 2,986,934 - - - 8,586 2,995,520 - 2,995,520 Commercial Paper 01/25/2017 7/1/2017 4,000,000 1.14% 3,982,589 3,982,589 - - - 13,023 3,995,612 - 3,995,612

TOTAL 6,969,523 6,969,523 - - - 21,609 6,991,132 - 6,991,132

BONDSMunicipal Bond 02/22/2017 11/1/2017 2,615,000 0.95% 2,622,740 2,624,624 - - - (3,599) 2,621,025 (2,050) 2,618,975 Municipal Bond 03/30/2017 3/15/2020 1,600,000 1.60% 1,600,000 8,672 1,608,672 (3,744) 1,604,928

TOTAL 2,622,740 2,624,624 - 1,600,000 - 5,073 4,229,697 (5,794) 4,223,903

US GOVT. AGENCIES-

FHLMC 2/24/2016 11/07/2017 3,000,000 0.85% 3,000,855 3,000,000 - - - - 3,000,000 (519) 2,999,481 FAMCA 2/24/2016 09/28/2017 3,000,000 0.87% 3,001,404 2,997,995 - - - 871 2,998,866 (1,029) 2,997,837 FHLB 8/30/2016 08/28/2018 3,000,000 1.00% 2,987,547 3,000,000 - - - - 3,000,000 (9,054) 2,990,946 FHLB 10/7/2016 10/01/2018 3,000,000 0.90% 2,987,472 3,000,000 - - - 3,000,000 (15,183) 2,984,817 FHLB 10/11/2016 10/11/2018 3,000,000 1.00% 2,990,928 3,000,000 - - - - 3,000,000 (11,499) 2,988,501 FHLMC 1/25/2017 01/25/2019 1,600,000 1.35% 1,598,917 1,600,000 - - - - 1,600,000 (1,402) 1,598,598 FHLB 1/27/2017 12/14/2018 3,000,000 1.28% 3,026,319 3,024,883 - - - (3,501) 3,021,382 (1,114) 3,020,268 FMCDN 1/31/2017 02/13/2019 4,000,000 0.76% 3,977,916 3,977,917 - - - 7,666 3,985,583 (5,575) 3,980,008 FFCB 2/13/2017 08/21/2019 3,000,000 1.21% 2,994,450 2,999,421 - - - 75 2,999,496 (7,023) 2,992,473 FAMCA 2/21/2017 11/03/2017 3,000,000 1.45% 3,000,000 3,000,000 - - - 3,000,000 (6,102) 2,993,898 FCDN 2/17/2017 08/21/2019 3,200,000 0.76% 3,183,466 3,183,467 - - - 6,133 3,189,600 (4,022) 3,185,578 FHLB 2/17/2017 12/08/2017 3,000,000 0.82% 3,053,454 3,053,568 - - - (17,414) 3,036,154 (6,043) 3,030,111 FHLMC 2/17/2017 11/28/2017 2,000,000 0.81% 2,000,600 2,000,634 - - - (214) 2,000,420 (2,822) 1,997,598 FNMA 3/13/2017 03/13/2020 3,000,000 1.80% 3,000,000 3,000,000 228 3,000,228

TOTAL 37,803,328 37,837,885 - 3,000,000 - (6,384) 40,831,501 (71,159) 40,760,342

SUMMARY:MONEY MARKET AND INVESTMENT POOLS 84,084,551 84,084,551 141,164 49,825,115 92,273,469 - 41,777,361 - 41,777,361 COMMERCIAL PAPER 6,969,523 6,969,523 - - - 21,609 6,991,132 - 6,991,132 MUNICIPAL BOND 2,622,740 2,624,624 - 1,600,000 - 5,073 4,229,697 (5,794) 4,223,903 US GOVT. AGENCIES 37,803,328 37,837,885 - 3,000,000 - (6,384) 40,831,501 (71,159) 40,760,342 PORTFOLIO TOTAL 131,480,142$ 131,516,583$ 141,164$ 54,425,115$ 92,273,469$ 20,298$ 93,829,691$ (76,953)$ 93,752,738$


10

LONE STAR COLLEGE INVESTMENT PORTFOLIO REPORT BY FUNDFOR THE QUARTER ENDED MAY 31, 2017

FUND: CONSTRUCTION IN PROGRESS


Date Date Amount Yield 2/28/2017 2/28/2017 Payments Purchased Matured Amortization 5/31/2017 Gain / (Loss) 5/31/2017MONEY MARKET AND INVESTMENT POOLS

TexPool Prime 9/23/1993 N/A N/A N/A -$ -$ 3,572$ 1,496,216$ -$ -$ 1,499,788 -$ 1,499,788$ Logic-CIP GO Bonds 9/03/1996 N/A N/A N/A 48,747,659 48,747,659 138,816 15,581,134 16,716,816 - 47,750,793 - 47,750,793 Logic-CIP MTN Bond 9/03/1996 N/A N/A N/A 40,651 40,651 108 - - - 40,759 - 40,759 Lone Star-Corp Plus Rev. Bond 3/29/2001 N/A N/A N/A 150,047,769 150,047,769 372,169 - - - 150,419,938 - 150,419,938 Lone Star-Corporate Plus 3/29/2001 N/A N/A N/A 406,671 406,671 993 - 33,783 - 373,881 - 373,881 Southside - MMA 4/27/2011 N/A N/A N/A 5,117,742 5,117,742 10,826 - - - 5,128,568 - 5,128,568

SUB-TOTAL 204,360,492 204,360,492 526,484 17,077,350 16,750,599 - 205,213,727 - 205,213,727

*LSCS-Corp Plus_AldineISD 12/14/2016 N/A N/A N/A 16,224,551 16,224,551 39,760 - 512,219 15,752,092 15,752,092

SUB-TOTAL 16,224,551 16,224,551 39,760 - 512,219 - 15,752,092 - 15,752,092

TOTAL 220,585,043 220,585,043 566,244 17,077,350 17,262,818 - 220,965,819 - 220,965,819

CERTIFICATES OF DEPOSITFrost Bank 10/28/2015 4/28/2017 245,000 0.90% 245,000 245,000 - - 245,000 - - - - Frost Bank 10/28/2015 4/28/2017 250,000 0.90% 250,000 250,000 - - 250,000 - - - - Frost Bank 10/29/2015 5/01/2017 250,000 0.90% 250,000 250,000 - - 250,000 - - - - Frost Bank 11/04/2015 5/04/2017 245,000 0.85% 245,000 245,000 - - 245,000 - - - - Frost Bank 11/04/2015 5/04/2017 250,000 0.85% 250,000 250,000 - - 250,000 - - - -

SUB-TOTAL 1,240,000 1,240,000 - - 1,240,000 - - - -

SECURITIESFFCB 10/26/2015 4/21/2017 3,000,000 0.565% 2,999,874 2,999,725 - - 2,999,725 - - - - FNMA 10/26/2015 4/27/2017 1,268,000 0.545% 1,269,300 1,269,162 - - 1,269,162 - - - - FNMA 10/27/2015 4/27/2017 5,000,000 0.548% 5,005,125 5,004,556 - - 5,004,556 - - - - FHLMC 10/27/2015 5/08/2017 5,000,000 0.509% 5,000,845 5,003,533 - - 5,003,533 - - - -

TOTAL 14,275,144 14,276,976 - - 14,276,976 - - - -

SUMMARY:MONEY MARKET AND INVESTMENT POOLS 220,585,043 220,585,043 566,244 17,077,350 17,262,818 - 220,965,819 - 220,965,819 CERTIFICATES OF DEPOSIT 1,240,000 1,240,000 - - 1,240,000 - - - - US GOVT. AGENCIES 14,275,144 14,276,976 - - 14,276,976 - - - - PORTFOLIO TOTAL 236,100,187$ 236,102,019$ 566,244$ 17,077,350$ 32,779,794$ -$ 220,965,819$ -$ 220,965,819$

*Funds belong to Aldine Independent School District for the construction of the MacArthur Early College Facility at LSC-East Aldine Satellite Center.


11

LONE STAR COLLEGE

INVESTMENT PORTFOLIO REPORT

FOR THE QUARTER ENDED MAY 31, 2017

FUND:


Date Date Amount Yield 2/28/2017 2/28/2017 Payments Purchased Matured Amortization 5/31/2017 Gain / (Loss) 5/31/2017MONEY MARKET AND INVESTMENT POOLSTexPool 9/23/1993 N/A N/A N/A 210,170$ 210,170$ 371$ -$ -$ -$ 210,541$ $ 210,541$ Logic 9/03/1996 N/A N/A N/A 67,749 67,749 180 - - - 67,929 - 67,929 Lone Star-Govt 3/29/2001 N/A N/A N/A 541 541 - - - - 541 - 541 Lone Star-Corporate 3/29/2001 N/A N/A N/A 13,413 13,413 33 - - - 13,446 - 13,446 Lone Star-Corporate Plus 1/26/2001 N/A N/A N/A 54,474,334 54,474,334 141,091 7,003,477 544,972 - 61,073,930 - 61,073,930 Capital One-MMA 8/12/2013 N/A N/A N/A 5,051,427 5,051,427 643 - 5,052,070 - - - -

TOTAL 59,817,634 59,817,634 142,318 7,003,477 5,597,042 - 61,366,387 - 61,366,387

SUMMARY:MONEY MARKET AND INVESTMENT POOLS 59,817,634 59,817,634 142,318$ 7,003,477 5,597,042 - 61,366,387 - 61,366,387 PORTFOLIO TOTAL 59,817,634$ 59,817,634$ 142,318$ 7,003,477$ 5,597,042$ -$ 61,366,387$ -$ 61,366,387$


INTEREST & SINKING

12

LONE STAR COLLEGE TOTAL INVESTMENT PORTFOLIO BOOK VALUEFOUR YEAR COMPARISON THROUGH MAY 31, 2017

/s/ Jennifer OlenickJennifer Olenick, CFA Vice Chancellor, Finance & Administration

/s/ Tammy Cortes

This chart tracks LSC's total book value quarter-by-quarter to provide a historical perspective of the College's investment portfolio.

0.00

50,000,000.00

100,000,000.00

150,000,000.00

200,000,000.00

250,000,000.00

300,000,000.00

350,000,000.00

400,000,000.00

450,000,000.00

13

Building and Grounds Report Board Meeting 7-10-17 Report: Construction Projects Update

The monthly construction projects update is presented for Board review.

CONSTRUCTION PROJECTS UPDATE As of May 30, 2017

2014 General Obligation Bond Program Projects Summary

LSC-CyFair

• Instruction and Student Life Building: Completed room finishes in all areas of the building. Security and Audio Visual testing of systems is complete. Elevator communications connectivity is now complete awaiting State inspection. Permanent gas service is functional. Testing, balancing and commissioning of all mechanical, electrical and plumbing systems are final. Fire alarm testing has been conducted with the final Fire Marshal walk through slated for the end of this month. Movable furniture installation and final technology hook-ups are finished. Project is due to be substantially complete by July 5, 2017.

• Cypress Center Workforce Expansion: Exterior masonry and window installation are complete. Interior finishes have started and are progressing. Conditioned air and permanent power are functional in all spaces. Furniture for the project is still on track for delivery. Project is still tracking to be substantially complete by mid-August 2017.

• Westway Park Information Technology & Visual Communications Satellite Center: Project bid documents are now updated and the advertisement process for rebidding has started. A revised expected completion timeframe is forthcoming.

LSC-Kingwood

• Student Services Center Expansion: Certificate of Occupancy obtained. Substantial completion has been issued. Furniture is installed. Equipment installation is underway. Contractor is completing punch list items. Final installation of building items arriving late will occur at end of May, and AV installation in early June.

• Kingwood Pilot Plant: Preconstruction services complete. Final price and scope negotiations for the Guaranteed Maximum Price (“GMP”) proposal submitted for LSCS approval. This facility is slated for an expected Spring 2018 opening.

• Process Technology Center: Exterior framing, sheathing, and waterproofing complete, brick installation in progress. Roofing nearing completion. Interior wall framing complete, one side walls complete. Door frames installed. Mechanical, electrical and plumbing (“MEP”) is progressing and working to incorporate functional modifications to select areas. Furniture bids reviewed and a vendor is selected. Utility service to the site is currently underway. Project is due to be substantially complete by late-August 2017.

LSC-Montgomery

• Live Entertainment Technology Building: Obtained a certificate of occupancy. Specialty equipment is being delivered. The general contractor is addressing a few outstanding items.

LSC-North Harris

• Construction & Skilled Trades Technology Center: Exterior soffit plaster is in progress. Interior floor, ceiling and wall finishes are in progress. Final sitework (grading, sidewalks and landscape) is in progress. Construction is expected to be substantially complete by early July 2017.

• East Aldine Satellite Center: Architectural drawings for both the East Aldine Satellite Center and the Aldine Independent School District (“AISD”) Early College need to be completed and rebid. Following the conclusion of the bid process, a revised guaranteed maximum price (“GMP”) contract is expected to be presented to the Board of Trustees for consideration of approval in November or December 2017. Construction for the East Aldine Satellite Center and AISD Early College Facility is expected to be complete in the summer of 2019.

• Relocate Electrical Service Underground: The service cut over occurred over the weekend of May 19 – 21. The old CenterPoint transformer has been removed and the contractor is currently removing the old overhead power lines and related equipment. Grounds repairs should be completed within 4 weeks.

• Central Plant Renovations: Project final price negotiations have been terminated with the awarded contractor. The College is in the planning process of developing another competitive bidding event for this project. A revised expected completion timeframe is forthcoming.

LSC-Tomball

• South Entrance Drive: A final executed contract has been issued to Lazer Construction Company and field mobilization has commenced. Initial focus will be on clearing the roadway site and the detention pond excavation. Coordination efforts between the new entrance and the SH 249 expansion continue. CenterPoint overhead and underground work is nearing completion.

LSC-University Park • Science and Innovation Building: The construction of the domestic and sanitary water service

by the local municipal utility district (“MUD”) is ongoing and affecting the ability to complete construction of the building which otherwise is nearing substantial completion. That delay and the installation of the geological wall exhibit area are very likely to delay occupancy until after the start of Fall 2017 classes.

• Buildings 12 & 13 Entrance Canopy and Parking: The College, at the request of the Business Park Association, is in the process of contract finalization for the performance of a traffic impact study. This study is a pre-requisite to obtaining project authorization by the Business Park Association.

• Library Remodel, Building 12 Level 8: Project final price negotiations have been terminated with the awarded contractor. The College is in the planning process of developing another competitive bidding event for this project. A revised expected completion timeframe will be forthcoming.

• Kitchen Removal, Commons Building Level 1: Project final price negotiations have been terminated with the awarded contractor. The College is in the planning process of developing another competitive bidding event for this project. A revised expected completion timeframe will be forthcoming.

System-wide Security Upgrades

• Satellite center mass communication upgrades are complete. Security and mass notification upgrades at main campuses will be bid and contracted in two phases. The bid has been put on hold until further notice.

workshop and regular meeting of the … july 2017 board agend… · approval of the minutes of the...

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