NMC Board of Trustees Study Session October 30, 2017 Timothy J. - PowerPoint PPT Presentation

NMC Board of Trustees Study Session October 30, 2017 Timothy J. Nelson, President 1

Board Study Session Learning Outcomes Enrollment – Environment and Activities • Understanding of the current enrollment environment • Awareness of enrollment initiatives tied to strategic plan • Greater understanding of student support services Revenue – Current and Trends • Grasp current and future trends in revenue sources and how this influences strategic decisions 2

Board Study Session Learning Outcomes Underlying Principles of Planning and Budgeting • Review Environmental Assumptions – MCCA-NMC • Understand Reserves and Debt – Levels and Uses • Evaluate Resource Guidelines 3

Enrollment – Environment and NMC Activities • Demographics • Historical Enrollment • Specialty Programs • Enrollment and Retention Initiatives • Student Support Services • Board Metrics for Student Success and Retention 4

About Northwestern Michigan College - Context • 5,100 unduplicated credit students annually • University Center, Museum, Radio Station, Training and Community Extended Education together with traditional credit students yields 50,000 “learners” • Accredited by the Higher Learning Commission (AQIP); multiple program accreditations • Five on-campus housing facilities • Baccalaureate programming • Policy governance organization • $54M enterprise with $40M Foundation 5

Learner Types • Learners served annually – Traditional college – 5,100 – University Center – 1,200 to 1,500 – Training – 1,200 to 2,000 in industry – Extended Education – approximately 10,000 – Dennos visitors 60,000 – 70,000 – Radio station – 7,500 • Best estimate - 50,000 different learners 6

Where They Come From Fall 2017 Registration 1% 29% International Grand Traverse Other Michigan Out of State 50% Service Area 4% 16% 7

What They Look Like Status Gender 37% 48.60% 51.30% 63% Part Time Female Full Time Male 8

Contact Hours Follow Unemployment Rate 9

Age Group Enrollment Enrollment by Headcount 2010 2011 2012 2013 2014 2015 2016 2017 % Change <=17-20 2,078 2,001 2,002 2,122 2,153 2,051 2,094 2,085 0% 21+ 3,362 3,175 2,845 2,605 2,394 2,222 2,073 1,871 -44% Total 5,440 5,176 4,847 4,727 4,547 4,273 4,167 3,956 -27% 10

Age Group Enrollment in Contact Hours 2010 2011 2012 2013 2014 2015 2016 2017 % Change <=17-20 25,348 24,125 23,505 24,491 24,222 22,980 22,750 23,440 -8% 21+ 35,580 32,648 28,994 26,708 24,499 22,841 21,206 18,858 -47% Total 60,928 56,773 52,499 51,199 48,721 45,821 43,956 42,298 -31% 11

Specialty Programs • Aviation • Maritime • BS Marine Technology • Water Studies • Engineering Technology • Culinary • Nursing • Audio Tech 12

Capacity and Enrollment in Specialty Programs Program Estimated overall capacity Fall 2017 Enrollment Engineering Tech 200 103 Aviation 94 94* BS In Marine Tech 45 26 Water Studies 60 55 GLMA 210 195 Nursing 160 142 Culinary 150 119 Audio Tech 54 40 13 * Aviation does not include UAS

Initiatives to Increase Enrollment and Retention • Enrollment Initiatives • Recruitment activities for specialty programs • Additional housing • Digital marketing advertisements • Elimination of application fee • Expand online offerings • Retention Initiatives • Student activities sense of belonging • Faculty engagement during registration • Staff and Advisors engagement • Student success coaches • Tutoring • Required orientation • Structured Guided Pathways (Pg. 14 in Board Packet) • My Academic Plan 14

Student Support Initiatives NMC Support • Food insecurity • Food pantry • Transportation insecurity • Gas cards • Emergency Bata passes • Childcare • Scholarships • Partnership with Munson for low cost childcare • Emergency Funds • Emergency loans • Student Life has emergency funds in their budget to support food or housing on temporary basis Local Resources • Student Life has contacts for local agencies to assist student needs • Student Life staff sit on local teams in support of youth housing and suicide prevention initiatives 15

BOARD LEVEL STRATEGICGOALS KEY RESULTS, GOALS, and TARGETS Learner Success (SD1, IE1, IE2, IE3) B1. Develop and implement an integrated and 1. By July 2017, full implementation of a systematic and aligned aligned learning outcomes system. process. B1_T1 Fall 2014 Fall Fall Fall 2017 2015 2016 Targets ↑93. College‐level Course Completion (all grades‐Ws)/(all grades) 92.9% 93.4% 92.6%1 5% ↑81. College‐level Course Enrollee Success Rate (2.0 and above)/(all grades) 80.0% 80.2% 77.6%1 7% ↑87. College‐level Course Completer Success (2.0 and above)/all grades ‐ Ws) 86.1% 85.6% 85.7%1 4% Community College Completion/Graduation Main Cohort rate within six years (cohorts from 2008, 2009, ↓14. and 2010) 15.6% 16.3% 13.7%2 6% Community College Transfer Main Cohort rate within six years (cohorts from 2008, 2009, and 2010) ↓35. 38.9% 36.7% 37.0%2 0% Total Community College Main Cohort Completion/Graduation/Transfer rate within six years (cohorts from ↓49. 2008, 2009, and 2010) 54.5% 53.0% 50.7%2 6% Fall‐to‐spring persistence (all currently enrolled less dual enrolled, grads, transfer) B1 ↑80. 78.2% 77.2% 74.5%1 _2 9% . Retention Plan: Fall to fall persistence (all currently enrolled less dual enrolled, grads, transfer) ↓53.4 54.2% TBD 51.8%1 % 16

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Revenue Current and Trends • Tuition • State Appropriations • Federal • Property Tax • Portfolio A,B,C 18

Tuition History • Tuition and fees for general classes have risen 43% in real terms (2000 adjusted dollars) from $61 per contact hour in 2000-01 to $87 in 2017-18. • Tuition and fees for general classes have risen from $61 to $148.70 in nominal terms over the same period. • NMC tuition and fees (and room and board) are approximately equal to the national average for two-year public colleges. (See next slide) Price per contact hour – general courses Year 2000 2000-01 2017-18 Adjusted Dollars $61 per 148.70 per $87 per contact contact contact 19

Average Charges for Full-Time (30 hours) Two Year Public Undergraduates 2016-17 National Average NMC Tuition and Fees $3,520 $3,876 Room and Board $8,060 $8,150 Tuition and Fees and Room and $11,580 $12,026 Board NMC tuition, fees, room and board is 3.85% above national average. Source: The College Board. Trends in College Pricing 2016 20

State Appropriatio ions - His istoric ical • In nominal dollars, State operating appropriations in 2016-17 for Northwestern Michigan College were $10,521 less than in 2000-01. • In dollars adjusted for year 2000 equivalency, state operating appropriations for 2016-17 were $3,593,622 less than in 2000-01. • Student enrollment in those two years is approximately the same in contact hour production. 21

State Appropriatio ions - His istoric ical State Appropriations by Year – Actual Distribution – Nominal Dollars $12,000,000 $10,000,000 $8,000,000 $6,000,000 $4,000,000 $2,000,000 $- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 2000-2001 2016-2017 Year 2000 Adjusted Dollars $9,428,609 $9,318,088 $5,834,987 22

State Appropriations Percentage Changes 35.00% 28.15% 30.00% 25.00% 20.00% 15.00% 10.00% 7.29% 5.00% 2.89% 2.76% 1.34% 0.00% 0.00% 0.00% -0.84% -1.89% -5.00% -4.40% -6.65% -10.00% -12.72% -15.00% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 *excludes UAAL payments 23

State Unfunded Actuarial Accrued Liability Payments (UAAL ) • NMC’s contribution rate is currently capped at 20.96% of payroll expense (2012 PA300) for two of the seven plans • The UAAL portion is calculated by MPSERS each year. Calculation is the difference between the retirement system’s assets and the pensions accrued to current and future retirees • NMC’s rates range from 20.96% -25.56% • State UAAL for 2018 is 11.32% of NMC’s payroll expenses 24

State UAAL Payments Fiscal Year Amount 2017 $1.7 million 2016 $1.8 million 2015 $1.3 million 2014 $ 785 thousand • Direct payments from the State that the college returns as a contribution • Assumptions are these payments will continue • College has set aside $651,000 as reserves if payments are discontinued 25

State Capital Outlay • NMC received authorization in August, 2017 for Innovation Center • Funding amount $7,500,000 • Last Capital Outlay project was in 2005 for $650,000 • Prior to the 2017 Funding NMC ranked 23 rd out of the 28 community colleges 26

Federal Support NMC Federal Program Support • Great Lakes Maritime Academy • 2017 Funding was $797,901 • General Operations • Capital improvements • Fuel • Perkins – supports Occupational program • 2017 funding was $234,307 • Equipment • Professional Development • Personnel for special projects 27

Federal Supplements Student Federal Assistance Fiscal Year 2017 Type Total Amount Unduplicated Head Count Pell $4,477,365 1,509 Federal Supp. Opp. Grant $ 111,762 179 Student Loans $8,012,291 1,793 Parent Loans $1,634,606 130 28