November 12, 2025 Audit Finance Committee Meeting Minutes

The Audit Finance Committee of the Board of Trustees of Illinois Valley Community College District No. 513 met at 10:00 a.m. on Wednesday, November 12, 2025 in the Board Room (C307) at Illinois Valley Community College.

Committee Members Physically Present

William F. Hunt, Committee Chair

Maureen O. Rebholz

Everett J. Solon

Committee Members Virtually Present

Committee Members Absent

Board Members Physically Present

Jay K. McCracken, Chair

Angela M. Stevenson, Vice Chair

Others Physically Present

Tracy Morris, President

Kathy Ross, Vice President for Business Services and Finance

Mark Grzybowski, Vice President for Student Services

Eric Johnson, Controller

Others Virtually Present

Lynda Marlene Moshage

The meeting was called to order at 10:00 a.m. by Mr. Hunt.

PUBLIC COMMENT

None

PTMA INVESTMENTS PRESENTATION

Brian Hextell and Tom Lanzara from PTMA Investments gave a portfolio update on IVCC’s investments. The presentation began with a PTMA overview and their investment strategy. A market and economic update included fed pivots from inflation employment, inflation trending back to target levels, treasury curve–steeper expectations, and a PTMA market outlook were given. Finally, an IVCC portfolio update was given and included an investment overview, reserve portfolio summary with goals/objectives, maturities aligned with benchmark, yield trends, net and gross returns, and financial strategies.

FY25 AUDIT UPDATE

Ms. Ross updated the committee on the audit. As reported to the Board in October, an extension request was submitted to ICCB based new guidelines for the single audit for any federal programs, which was not received due to the Federal government shutdown. Guidance from auditing firm was that the audit may not be done by December 31. Mr. Johnson stated IVCC continues to work with the auditors and are on point to complete our parts of the report by December 31, with only the single audit needing completion.

IT STRATEGIC PLAN

Kathy Ross, Vice President for Business Services and Finance, presented on behalf of Mr. Denton, Director of Information Technology. The IT Master Plan presentation included a cybersecurity update, Moran Audit status update, and future IT needs.

Highlights from the 2025 cybersecurity update included a rising trend in spam/phishing attacks that are mitigated through Multi-Factor Authentication (MFA), layered security, and user education; KnowBe4 PhishER identified 32,000+ suspicious emails processed by AI and user-reported emails that were mostly resolved automatically; phishing simulations done to test our employees had a less than 5% click rate which indicates strong user awareness; and MFA was fully implemented within the last year for student accounts, resulting in a large drop in student account compromises. 2026 Cybersecurity Objectives were reviewed and Ms. Ross highlighted the Ai Tools Adoption Management which establishes clear protocols and governance around the evaluation, implementation, and secure use of Ai tools within IVCC’s IT environment; Data Loss Prevention (DLP) which looks at implementing automated controls to detect and prevent the external transmission of Social Security numbers and other sensitive data, enhancing compliance and safeguarding student and employee information; and Network Access Control (NAC) which is deployed through the new Aruba network to ensure only authorized, compliant devices can connect to the campus network, reducing unauthorized access and strengthening network security.

The overall Moran Cybersecurity Assessment as well as the overall Moran IT Assessment is 100% completed. This is a testament to Mr. Denton and the IT Department to work through and taking seriously all that was included in these assessments. Future IT needs for FY25 through FY29 were reviewed for the areas of Teaching and Learning and the IT Environment.

2025 TAX LEVY

Ms. Ross discussed the tax levy and how it was determined. There will be no overall change to the individual taxpayer on a $100,000 home as long as the valuation stays stable. The proposed total tax levy will not require a truth-in-taxation hearing. The estimated 2025 EAV amounts received from the County Assessors Offices was an increase of 13.61%. However, an 6.50% increase was utilized for calculation purposes, based on historical data. IVCC continues to be eligible for the Additional Education fund and will levy it at the maximum rate of .01080 allowed by ICCB. The Protection, Health, and Safety (PHS) fund levy will be at a rate of .0205 for relocation of IT Department, Interior Lighting phase II, and phase I of the Academic Support Center renovation which will include the new ADA elevator. These were deemed a priority by the Board Facilities Committee and Board Audit Finance Committee in June 2025. Audit and Tort fund rates will increase due to anticipated increases in costs related to litigation and safety. The 2025 Working Cash Bonds issuance was favorable with the True Interest Cost (TIC) coming in at 3.69%. This, along with the additional 2% increase in EAV allows IVCC to levy at .0340. IVCC’s tax rate is the same as it was in 2024.

OTHER

None

ADJOURNMENT

Mr. Hunt declared the meeting adjourned at 10:52 a.m.