Audit finance committee report

The Illinois Valley Community College board’s audit finance committee reviewed the tentative 2023 budget, construction projects and proposed retirement incentives for administration and support staff Thursday.

The proposed $37.5 million ’23 budget represents an 8 percent increase in revenue over 2022, due mainly to $4.1 million in Higher Education Emergency Relief Funds (HEERF), said Vice President for Business Services and Finance Matt Seaton.

Expenditures for all funds are $39 million, a 13 percent increase, again due primarily to HEERF expenses. (A total of 1,776 students received HEERF last spring.)

“The roughly $1.5 million difference between revenue and expenses will be covered by fund balances for ongoing Public Health and Safety projects,” Seaton said.

The operating budget is balanced at $24 million, an 11 percent hike over 2022. The budget anticipates a reduction in staff from 374 to 366.

IVCC President Jerry Corcoran said the college is in sound financial shape.

“We’re controlling costs very well by freezing tuition, offering students more scholarships, significant financial aid including incentives tied to retention – and using fund balances for much-needed facility enhancements,” Corcoran said.

“On top of all that, the audit was clean and we have no debt,” he added.

View the tentative budget at: https://www.ivcc.edu/businessservices/financial-budgets/FY2023_Tentative_Budget.pdf.

Prior to the meeting, Seaton led a tour of the new $1.2 million dental assisting and hygiene lab in the upper gym; it is expected to be completed by Aug. 1.

Other projects include nearly $2 million in exterior water and air sealing completed by next summer, completion of parking lots 1 and 5 by Aug. 1 for $935,000, completion of the D201 CETLA/Band room by Jan. 1 for $2 million and mechanical upgrades totaling $240,000.

Following June 9 approval of a four-year collective bargaining agreement with faculty represented by AFT Local 1810, similar early retirement incentives are being considered for administration and support staff.

The option to participate in the incentives will run through Dec. 31 and employees can choose a one-, two- or three-year package.

In other business, the committee approved an updated risk management policy allowing for time studies to diversify how tort is used. In addition, the policy calls for annual review and approval of all tort-eligible expenses.

The committee also reviewed a bookstore transition plan. Due to staff turnover, IVCC is exploring subcontracting the textbook side of bookstore operations.