The Grand Rapids Community College Board of Trustees approved the 2024-25 mid-year budget during their Feb. 17 meeting. The mid-year budget included adjustments to the college’s revenue as well as its expenditures.
The mid-year budget was presented by Director of Budget and Business Services Nathaniel Lloyd, as well as Vice President for Finance and Administration Lisa Freiburger, who filled in for GRCC President Charles Lepper during Monday’s meeting as he was on leave. The report showed that the college saw a positive revenue increase in three separate areas.
Lloyd began by explaining that winter enrollment was up 4.6% compared to last winter, which translates to an additional $784,000 in the budget. The second revenue increase can be seen in property taxes, as they were originally projected to increase by 5% but are currently expected to increase by 7%, totaling $1.3 million.
GRCC also received a one-time payment of $2.6 million from the Unfunded Actuarial Accrued Liability (UAAL). Freiburger explained that “(The UAAL) is a portion of the employer contribution rate for the Michigan Public School Employees Retirement System,” in an email to The Collegiate.
Adjustments included money that is required to be sent back to the UAAL, a transfer to Plant Morane totaling $3,00,000 “to help cover additional deterred maintenance projects” as well as “additions” totaling $192,000. These additions include, but are not limited to, wage increases, website maintenance and professional development.
In total, the college has a projected revenue of $134.6 million and $134.2 million in projected expenses, leaving around $400,000 in the surplus. Net assets come out to about $25.2 million, which accounts for 18.7% of the total annual revenue for GRCC.
Looking forward to the 2025-26 fiscal year, Freiburger said that GRCC is continuing to monitor legislative changes and the impact changes may have to the budget. At the state level, Governor Gretchen Whitmer proposed a 4% increase in funding for community colleges statewide.
Additionally, the single audit report from GRCC’s accounting firm, Plante Moran, was presented by Controller Todd Hurley.
According to Hurley, “The single audit is really a comprehensive audit of all the college’s internal controls.”
Planet Moran conducted an assessment of GRCC to determine what major programs the college has. This year, the “student financial aid cluster” was the only major program. This cluster is made up of Pell grants, student loans, Supplemental Educational Opportunity Grants and work study funds and totals a combined $26 million as of the last fiscal year.
Hurley shared that the college received $34.3 million in federal funds in the past fiscal year, which is an 18% increase from the prior fiscal year, when GRCC received $29.1 million.
No material weaknesses or significant deficiencies were identified by the auditors, and the auditors gave the financial aid cluster the opinion of “unmodified,” which is the highest opinion one can receive, according to Hurley.
In other news, GRCC Police Sgt. Kam Robles, who was filling in for Chief of Police Rebecca Whitman, gave the board an update regarding the public safety committee. The committee will see no changes in staffing, as Grant Snider and David Selmon have agreed to continue to serve alongside Nikki Smith and Hillery Haney. This committee exists to hear complaints from the community regarding the GRCC Police Department, and Robles told board members they have only had one complaint in 14 years.
Additionally, Maria Choi, who is now serving as the president of Student Government, shared that the student organization will be focusing on frequent tabling events this semester.
“We are prioritizing on-campus tabling to gather valuable student feedback, spread awareness about student government and increase attendance at our student town halls,” Choi said.
All purchases over $100,000 were approved. Purchases include:
- $108,000 for “an increase to Midwest Collaborative Library Services or consortium membership increase.”
- $109,810 for “permission to issue purchase order for an additional payment to Muskegon Community College from Strengthening Community College grant fund.”
- $123,370 for “permission to issue purchase order for replacing tile flooring in Spectrum
- lower-level bakery.”
- $200,442 for “permission to issue purchase order for additional payment to Grand Rapids Urban League per subrecipient agreement for One Workforce grant.”
- $202,260 for “permission to issue purchase order for additional payment for December, February-June expenses for employee/student bus pass pilot.”
Following the meeting, newly elected board member Micha Perkins was sworn in alongside re-elected board Treasurer Sheryl Siegel.
The board will meet next on Monday, March 15 at 4:15 p.m. in the board conference room located on the fifth floor of Raleigh J Finkelstein Hall. Freiburger shared that during the March meeting a tuition recommendation will be presented to the board for “consideration.”
