October 11, 2011 Audit/Finance Committee Meeting

FY2010 AUDIT

A preliminary draft of the comprehensive annual financial report for the fiscal year ending June 30, 2011, had been distributed to the committee members.  Mr. David Spiller, of Gordon, Stockman & Waugh, P.C., the Board’s auditor, reviewed portions of the report and identified no weaknesses and no instances of noncompliance in the audit.  Mr. Spiller indicated there would be no management letter and no recommendations for improvement.  The annual financial report will be placed on the October board agenda as an information item and will be submitted to the Illinois Community College Board by Friday, October 14. Mr. Spiller distributed information related to the financial statement audit required by Statement on Auditing Standards No. 114.  It was moved by Dr. Driscoll and seconded by Ms. Olivero to approve the Audit, as presented.  Motion passed by voice vote.

2011 TAX LEVY

At the October board meeting, the administration will recommend to the Board to authorize preparation of the 2011 Tax Levy.  Based on information provided by LaSalle County, the equalized assessed valuation (EAV) of farmland is expected to increase by 10 percent, residential property is expected to decrease by 2 percent and all others are expected to remain the same.  The percentage of farmland for EAV calculation is 15 to 16 percent and residential is 49 to 50 percent.  Total EAV for 2011 will increase approximately one percent.  The estimated tax rate of .3463 is less than the 2010 tax rate of .3512.  The overall levy for 2011 is $10,407,150 which is less than a five percent increase from last year’s levy of $9,911,678 and would not require a public hearing.  Cheryl Roelfsema plans to present this tentative tax levy to the November board meeting and the final tax levy in December.  Dr. Driscoll was pleased the College is able to decrease the tax rate.  Ms. Olivero was also pleased the College can decrease the tax rate for the tax payers and still meet its obligations.  It was moved by Ms. Olivero and seconded by Dr. Driscoll to recommend the tax levy presented to the Board.  Motion passed by voice vote.