Minutes, Board of Trustees Regular Meeting, June 12, 2007

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Minutes, Board of Trustees Regular Meeting, June 12, 2007

BOARD OF TRUSTEES

OF THE

PERALTA COMMUNITY COLLEGE DISTRICT

Minutes of the Board of Trustees Regular Meeting, June 12, 2007, 5:01 PM, District Administrative Center, 333 E. 8th Street, Oakland, California

Present: Trustees Gonzalez Yuen, Guillen, Gulassa, Handy, Hodge, Riley, President Withrow, Student Trustees Hurd and James

Absent: None

The regular meeting was convened into open session at 5:01 PM by President Withrow for the purpose of reporting to the public the topics to be discussed in closed session. The closed session was convened at 5:01 PM by President Withrow who presided; the closed session adjourned at 7:21PM; open session convened at 7:24 PM by President Withrow who presided. The roll was called by the recording secretary.

REPORT OF CLOSED SESSION ACTIONS

Vice President Gulassa reported that at tonight’s closed session the Board voted to approve the following management contracts: President, College of Alameda, effective July 1, 2007 to June 30, 2009; Chief Information Officer, District Office; Dean of Student Support Services, Merritt College; Dean of Student Support Services, Laney College; and Division Dean II (Voc. Tech.), Laney College effective July 1, 2007 to June 30, 2008 and Business & Admin. Services Manager, Merritt College; Vice President Instruction, College of Alameda; Vice President Instruction, Laney College; Dir. Of Technology Services, District Office; Dir. Of Employee Relations, District Office and Division Dean II (Voc. Ed.), Berkeley City College effective July 1, 2007 to June 30, 2009, by the following called vote: AYES: 7; NOES: 0; ABSTAIN: 0; ABSENT: 0. The Board at tonight’s closed session voted to approve the following management contract, Assoc. Vice Chancellor International Education, effective July 1, 2007 to June 30, 2008 by the following called vote: AYES: 4; NOES: 2; ABSTAIN: 1; ABSENT: 0. The Board voted to approve the following public employee appointments: Bonnie Schaffner as Dean of Liberal Arts & Sciences, Berkeley City College, effective July 1, 2007 to June 30, 2009; Deborah Budd, Vice President-Instruction, Berkeley City College, effective July 1, 2007 to June 30, 2009; Mary Beth Benvenutti, Business & Administrative Services Manager, Laney College, effective July 23, 2007 to June 30, 2009; the interim public employee appointment of Minh Lam, Interim Director of Administrative Systems and Services, District Office, effective June 13, 2007 through February 1, 2008, by the following called vote: AYES: 7; NOES: 0; ABSTAIN: 0; ABSENT: 0, and approved the extension of the interim public employee contract of Gary Yee, Interim Assoc. Vice Chancellor-Institutional Research, District Office, effective July 1, 2007 to June 30, 2008, by the following called vote: AYES: 5; NOES: 1; ABSTAIN: 1; ABSENT: 0.

SWEARING-IN OF STUDENT TRUSTEES

President Withrow administered the oath of office to re-elected Student Trustees Marlene Hurd and Reginald James who will serve for the 2007-08 academic year.

APPROVAL OF AGENDA

ACTION: Upon a motion by Trustee Gonzalez Yuen, seconded by Trustee Gulassa, the Board voted unanimously to approve the agenda adding the following names to Item 23, Consider Approval of Short-Term Assignments-Hiring of Non-Academic Classified

Short-Term Employees on an Emergency Basis: Judith Bishop, Lucas Boucher, Lyle Carlson, Raymond Eakes, Darlene Glaim, Colleen Guenza.

MINUTES

1. Consider Approval of Minutes of the May 8 and May 22, 2007 Board Meetings

ACTION: Upon a motion by Trustee Gonzalez Yuen, seconded by Trustee Riley, the Board voted unanimously to approve the minutes of the May 8 and May 22, 2007 Board meetings.

COMMUNICATIONS FROM MEMBERS OF THE PUBLIC

Speaker Johnson, newly-elected Student Body President-College of Alameda, addressed Trustees stating that he was honored to serve both the City and College of Alameda, hoped for optimism, thanked the Student Trustees for their assistance and looked forward to unified alliances to address student issues proactively.

Speaker Lord, Laney College Librarian, highlighted Laney’s “Laney College Reads” project that features Trustees, students, faculty and administrators addressing their love for reading.

REPORTS AND PRESENTATIONS

2. Classified and Confidential Recognition

The Board and public recognized the classified and confidential staff listed below for their years of service within the district. Certificates were presented, and a reception was held for those so honored at this meeting.

Name / Location / Years of Service
Kimthuy Dinh / COA / 5
Johnny Dong / BCC / 5
Robert Fleming / LANEY / 5
Maura Sealund / MERRITT / 5
Marivic Lizardo / COA / 5
Lynne Williams / LANEY / 5
Jasmine Martinez / BCC / 5
Nestor Alvarado / DISTRICT OFFICE / 5
Doris Brinkley-Hankins / MERRITT / 5
Phi Le / BCC / 5
Wai Shum / LANEY / 5
Simon Chan / MERRITT / 5
Frank Chez / BCC / 5
Phu Le / BCC / 5
James Ciraulo / MERRITT / 5
Donna Dorsey / BCC / 5
Shaleen Alcutt / MERRITT / 5
Crystal Dikes / MERRITT / 5
Terry Tricomi / BCC / 5
Abigail Brewer / DISTRICT OFFICE / 5
Catherine Massey / BCC / 5
Joyce Brown-Willis / DISTRICT OFFICE / 5
Connie Portero / LANEY / 5
Tuan Tran / LANEY / 10
Resurreccion Nicolas / BCC / 10
Antonia Andrew / MERRITT / 10
Blanca Montesdeoca / LANEY / 10
Nghi Dong / LANEY / 10
Natasha Spivey / DISTRICT OFFICE / 10
Pat Jameson / DISTRICT OFFICE / 10
Rachel Hurtubise / MERRITT / 10
Lan-huong Pham / COA / 10
Marilyn Montague / BCC / 15
Janet Barnett / COA / 15
Flora Crockett / LANEY / 15
Muriel Montague / COA / 15
Fernando Uribe / DISTRICT OFFICE / 15
Judith Adams / MERRITT / 15
Subash Basho / LANEY / 15
Michael Donaldson / LANEY / 15
Belinda Flowers-Birch / DISTRICT OFFICE / 20
Ronald Graciolett / DISTRICT OFFICE / 20
Sheryl Queen / DISTRICT OFFICE / 25
Joy Hughes / COA / 25
Patricia Barnett / COA / 25
David James / LANEY / 25
Sherry Anderson / COA / 25
George Revell / COA / 30
Bobby Snell / COA / 30
Yvonne Lewis / LANEY / 30
Joyce Lee / COA / 35
June Harding / MERRITT / 35
Nancy Pak / DISTRICT OFFICE / 35
Mary Gulley Pacheco / COA / 35

3. Investment Presentation

Chancellor Harris opened the presentation stating that under the leadership of Vice Chancellor Smith, the district issued bonds to cover a health benefits obligation for the district’s retired/retiring employees; the proceeds from the bonds have been invested to meet that obligation.

Vice Chancellor Smith introduced presenters Gordon Froeb, Sr. Vice President and Matthew Rubin, Vice President, of Lehman Bros. Asset Management LCC and Mark Harris, President, The Pineapple Group, LLC.

Mr. Harris informed that Board President Withrow and Vice Chancellor Smith were invited to address the Governor’s Commission on Pension Relief to describe how the District entered into this type of transaction; other entities are following Peralta’s lead. Mr. Harris next informed those in attendance of the initial tasks performed by the Pineapple Group that included: participate in selection of an asset manager, participate in the development of investment policies and guidelines, research and develop allocation models, develop performance benchmarks, monitor investment performance, production of an annual report of investment performance, and monitoring derivatives. Mr. Harris further stated that there is a general mix of 65% fixed and 35% equity investments. Peralta’s investment has performed very well (out performing its benchmarks), earning approximately $25 million in its first year.

Mr. Froeb stated that the asset allocation committees’ decisions determine the district’s yield, and Lehman has widely diversified the portfolio. Mr. Rubin stated that the asset allocation decisions are targeted to meet the needs of the district and will be rebalanced over time.

Lehman representatives next addressed the question of risk associated with this type of investment: to meet financial goals within the portfolio, to invest in asset classes that are not as high performing as others, and risk v. return is understanding the risk tolerance of the client. Another important investment aspect is timing of the market. Other continued risks mentioned were spilling over of the housing market, trade and savings imbalance and geo-political risks.

President Withrow, Chair of the Board’s Audit and Finance Committee, indicated that the committee is very pleased with the increased revenue from the investment. A follow-up will be needed relative to the risk tolerance. Regarding the risk factor, when this process began, the district made a decision to follow the CalPERS system’s success.

Trustee Guillen spoke about the fact that Peralta meets three out of seven of the benchmarks established and also spoke about what needs to occur to closely align the results from the benchmark earnings as well as overseas investments mentioned. Speaking to international investments, Mr. Rubin stated that investments have not been made in India and China but some have been made in the Far East, Brazil and in emerging markets; all portfolios are managed by a disciplined process that has been put in place. In answer to a comment from Student Trustee James regarding not making investments in the Sudan or the Ivory Coast, it was stated that geopolitical risks must be reviewed in order that investments are not made in these countries.

In answer to a concern voiced by Student Trustee Hurd, Mr. Froeb stated that human rights and outsourcing are two things which Lehman Brothers are very aware as a firm and it tries to avoid those companies in order to have a socially responsible portfolio that will reflect human rights issues. However, when many restraints are placed, it hinders returns.

In answer to a question from Trustee Gonzalez Yuen, Mr. Harris stated that the investments do not have an ethical screen but the investment firms are very aware of the will of the Board; however, ethical screens have not been set by the Board.

CONSENT CALENDAR

4. Holiday Closure

As has been done for the past several years, the District wishes to provide early notice to employees concerning the Christmas/New Year holiday closure period. The following dates are the subject dates for 2007.

Christmas Eve: Monday, December 24, 2007 (per CBA (Classified Bargaining Agreement))

Christmas: Tuesday, December 25, 2007 (per CBA)

CBA Holiday #1 Wednesday, December 26, 2007

CBA Holiday #2 Thursday, December 27, 2007

CBA Holiday #3 Friday, December 28, 2007

New Year’s Eve:Monday, December 31, 2007 (per CBA)

New Year’s Day:Tuesday, January 1, 2008 (per CBA)

CBA Closure Days: “Employees shall receive three (3) Holiday closure days per year, non cumulativeto be used only for Holiday Closure.”

5. Naming of Jerry L. Adams Learning Resources Center

Berkeley College President Walters will introduce this item for considering the naming of the Learning Resources Center at Berkeley City College for former instructor Jerry L. Adams. This item has been reviewed and is forwarded by the Board’s Standards and Management Committee. The Chancellor recommends approval.

6. Consider Appointment of Member of Measure A Oversight Committee

It is requested that the Board approve the appointment of Ms. Wilma Chan to the Measure A Oversight Committee. Ms. Chan will serve as a representative from the public at large. The Chancellor recommends approval.

7. Approval to Accept Bid No. 06-07/56, Supply and Install Window Coverings in Building “A” at Laney College, Burris Window Shades

The scope of work for this project is to supply and install 79 mechanical window shades (both solar and blackout shades) in all Building A classrooms. This project is part of the previously Board approved short-term construction projects for Laney College.

A formal bid (06-07/56) was conducted, and a bid opening was held on May 14, 2007. Two bids were received, as follows:

CONTRACTOR

/

LOCATION

/

TOTAL BID

Burris Window Shades / Oakland, CA / $ 62,825.00
Soulful Oasis / Oakland, CA / $102,814.20

Approval is requested to accept the lowest responsible and responsive bid submitted by Burris Window Shades, in the amount of $62,825.00. The Chancellor recommends approval. Funding Source: Measure A.

8. Resolution 06/07-63, Accept Bid and Award Contract, Student Center Restroom Rehab Project at Laney College, Bid No. 06-07/55, S & H Construction, Inc.

The project scope involves demolition work consisting of the removal of finishes including floor tile, toilet partitions, and fluorescent light fixtures in ten Student Center restrooms. Refurbishment work includes preparation and painting of walls, ceilings and doors, installation of new tiled floors, wall tile refurbishment, toilet partitions, new and refurbished doors and hardware, light fixtures and toilet accessories. Staff will work with the contractor to install the backbone necessary for the District to purchase and install diaper changing stations in both the women’s and men’s restrooms. This project is part of the previously Board approved short-term construction projects for Laney College.

A bid opening was held on May 14, 2007. Four bids were received, as follows:

CONTRACTOR

/

LOCATION

/

TOTAL BID

Bay Construction Company / Oakland, CA / $189,000
S & H Construction, Inc. / Fremont, CA / $305,000
Eternal Construction, Inc. / South San Francisco, CA / $398,600
Rodan Builders, Inc. / Belmont, CA / $459,000

Bay Construction Company requested to withdraw their bid based on clerical errors in the bid. Approval is requested to accept the bid from S & H Construction, Inc., in the amount of $305,000, as the lowest responsive and responsible bidder. This resolution formally accepts the bid and authorizes the contract award to S & H Construction, Inc. for the Student Center Restroom Rehab Project at Laney College. The Chancellor recommends approval. Funding Source: Measure A.