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Governing Board Handbook - Section VIII, Fiscal Management

8.01. FISCAL MANAGEMENT

The Board delegates to the President responsibility for general fiscal management of the College. The Board shall adopt specific policies relative to fiscal management as required by state statute and as otherwise deemed appropriate. The policies-which shall be on file in the President's Office-shall include, but not be limited to, the following:

  1. Budget. The Board annually shall conduct a public budget review and approve a budget for the College for the next fiscal year.  The Board shall approve all budget adjustment requests made to the New Mexico Higher Education Department.
  2. Agreement between Governing Board and CNM Foundation. The Governing Board and the CNM Foundation shall have a memorandum of understanding addressing their relationship, the Foundation's organization and function, and the management and distribution of gifts and donations.
  3. Audits. The Board shall adopt an audit policy to provide guidelines to the administration relative to audits and evaluations of the Colleges fiscal operation.
  4. Check Signing and Wire Transfer Authority. The Board shall designate persons to sign checks and authorize wire transfers on behalf of the College.
  5. Investments. The Governing Board shall adopt a policy providing guidelines for investment of College assets.
  6. Mileage and Per Diem Rates. The Board shall establish maximum mileage and per diem rates compatible with state statute.
  7. Nursing Endowment Fund. The Governing Board shall develop an oversight and investment policy for the donor-established nursing endowment fund.
  8. Travel Policy and Procedures. The Board shall adopt a policy that outlines policies and procedures relative to reimbursement and arrangements for College-related travel.
  9. Procurement Code. The Board shall adopt a policy that follows state statute in the procurement of services, tangible personal property, and construction.
  10. Representation and Entertainment Expenses. The Board shall adopt a policy regarding use of appropriated funds and the Colleges general activity account for representation and entertainment expenses.
  11. Debt Management. The Board shall adopt a debt management policy to provide a framework to guide decisions regarding the use and management of College debt. Adherence to debt policies will help to ensure that the College maintains a sound debt position and that credit quality is protected.
  12. Fund Balance Policy. The Board shall adopt a fund balance policy that assures long term fiscal stability for the College.

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8.02. MASTER PLAN & CAPITAL OUTLAY PROJECTS

  1. As part of the annual CNM Master Plan process, the CNM Governing Board shall approve the acquisition and disposition of real property and other capital outlay projects that have an estimated project cost exceeding $100,000 ( including gross receipts tax) and that fall under the following categories:
    1. Any sale or purchase of real property. An independent appraisal of the property shall be obtained.
    2. Any project which results in the additional square footage, whether from construction or long-term lease of a new facility or building addition, or purchase of portable buildings.
    3. Any proposal to issue bonds.
    4. Any alterations, site improvements,new building construction or building renovation.
    5. Any demolition of real property.
    6. Any informational technology (IT) project based on total estimated costs exceeding $100,000 (including gross receipts tax).
  2. The Governing Board approval shall occur annually as part of the update to the five-year Master Plan project list provided by administration. Any project not included in the annual Master Plan, with an estimated project costs exceeding $100,000 (including gross receipts tax) project list will be presented to the full Board for project approval as an out-of-cycle master plan project.
  3. Change orders that increase the approved costs of a Master Plan project by up to ten percent (10%) may be approved by the Vice President for Finance and Operations.
  4. Change orders that increase the approved cost of a project by more than ten percent (10%) shall be presented to the Capital Outlay Committee of the Governing Board for approval.
  5. The sale, trade or lease of any CNM owned Real Property, for a period of more than five (5) years or more than $25,000, requires New Mexico Board of Finance Approval per 1.5.23 NMAC.
  6. Master Plan Projects that include any of the following require New Mexico Higher Education Department Approval per 5.3.10.8.C NMAC.
    1. Any purchase of Real Property.
    2. Projects that result in additional square footage (including leases).
    3. Proposals to issue Bonds.
    4. Alterations or site improvements with an estimated project costs in excess of $300,000.
  7. Maintenance projects for facilities or information technology are not be considered as Master Plan or Capital Outlay projects.
  8. Capital Outlay Projects that are less than the amount to be considered to be a Master Plan Item will require the following College Approvals:
    1. Major Small Project Item: projects that have an estimated project cost greater than the amount allowed under small purchases (including gross receipts taxes) per Section 13-1-125 NMSA 1978 and less than the amount to be considered a Master Plan item, will require approval by the Budget Office and CNM Executive Oversight Committee (EOC). With the latest change to Section, 13-1-125 NMSA 1978 Effective July 1, 2013 this would be any project with projected costs greater than $60,000 (including gross receipts tax) and less than $100,000 (including gross receipts tax).
    2. Minor Small Project Items: projects that have estimated project costs that do not exceed the amount allowed under the small purchase limits (including gross receipts taxes) per Section 13-1-125 NMSA 1978 will require approval of the Budget Office and the division Vice President for the requesting division or the President (or designee) for other direct reports.

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8.03. PROCUREMENT

Section 13-1-97-C NMSA1978 requires all procurement for local public bodies shall be performed by a central purchasing office designated by the governing authority of the local public body and Section 13-1-95.2 NMSA1978 requires effective January 1 of each year beginning in 2014 and every time a chief procurement office is hired, the local public body shall provide to the state purchasing agent the name of the local public body’s chief procurement officer and information identifying the local publics body’s central purchasing office.

Section 13-1-30 NMSA 1978 requires that except as otherwise provided in the Procurement Code [Sections 13-1-28 through 13-1-199 NMSA 1978], that code shall apply to every expenditure by state agencies and local public bodies for the procurement of items of tangible personal property, services and construction.

  1. The CNM Executive Director of Purchasing and Materials Management will serve as the CNM Chief Procurement Officer as required by Section 13-1-95.2 NMSA 1978 and the CNM Purchasing Office will be designated as the central purchasing office for all procurement as required by Section 13.1-95-C NMSA 1978.
  2. The CNM Procurement Office will maintain policies and procedures for the procurement of items of tangible personal property, services, and construction that comply with the Procurement Code (Sections 13-1-28 through 13-1-199 NMSA 1978).
  3. The CNM Chief Procurement Officer, with the consent of the Vice President of Finance and Operations, may delegate to subordinates as deemed necessary and appropriate by clearly delineating in writing such delegated authority and the limitations thereto.
  4. The Governing Board Capital Outlay Committee shall approve any Master Plan Project procurement having a value of, or potential to exceed $300,000 (including gross receipts tax).
  5. The Governing Board shall approve any procurement having a value of, or potential to exceed $500,000 (including gross receipts tax).
  6. Contracts for legal or external auditing services having a value that meets the New Mexico Procurement Code requirements for small purchases per Section 13-1-125 NMSA 1978; an emergency procurement per Section 13-1-127 NMSA 1978; or sole source procurement per Section 13-1-126 NMSA 1978 may be awarded by the central purchasing office without further review or approval by the Governing Board.
  7. Contracts for legal or external auditing services having a value that exceeds the New Mexico Procurement Code requirements for small purchases, and/or does not meet the requirements for emergency or sole source procurement shall be evaluated and selected in accordance with the following procedures. All applicable general requirements of the Procurement Code shall be followed.
    1. Upon receipt of the proposals, the central purchasing office shall make a determination as to the responsiveness of each proposal and forward all responsive offers to the chairperson of the Governing Board for legal services or the Audit Committee of the Board for auditing services.
    2. Based on the proposals and the evaluation criteria set forth in the request for proposals, the Board (or delegated subcommittee) meeting in closed session shall evaluate statements of qualifications and performance data submitted by the responsive offerors and may conduct private interviews with and may require private presentation by any responsible offeror regarding their qualifications, their approach to the project and their ability to furnish the required services. In conducting its evaluation, the Board (or delegated subcommittee) shall be guided by the criteria set forth in the request for proposals.
    3. In determining which offerors best meet the evaluation criteria, each responsive proposal shall be rated according to the numerical or other quantitative measures assigned to the evaluation criteria approved by the Board.
    4. The Board (or delegated subcommittee) shall privately rank and give evaluation scores for the proposals of all responsible offerors submitted and shall make a selection from among the ranked/recommended offerors, except that all ranked/recommended offerors may be rejected, in total. In the event of a rejection of all ranked/recommended offerors by the Board (or the delegated subcommittee), the Board shall state its reason or reasons for rejection which shall be placed in the minutes of the meetings at which the rejection takes place. Upon rejection, the procurement process shall cease and a new request for proposals may be issued.
    5. Responsible offerors ranked, scored and recommended by the Board (or designated subcommittee) may be afforded an opportunity for discussion and revision of proposals. Revisions may be permitted after submissions of proposals and prior to award for the purpose of obtaining best and final offers. Negotiations may be conducted with responsible offerors who submit proposals found to be reasonably likely to be selected for award.
    6. The Board (or delegated subcommittee) may make its selection on the basis of a study of the proposals submitted by the offerors recommended by the appropriate subcommittee, or by privately interviewing such offerors in a closed meeting, or by a combination of these methods.
    7. The Board’s (or delegated subcommittee) selection shall be effective only upon the affirmative vote of a majority of a quorum of the Board at a public meeting.
    8. Negotiations concerning contract terms with the selected offeror or offerors shall be conducted by the appropriate subcommittee with the assistance of the central purchasing office and/or legal counsel, if needed, subject to input by the Board, all in accordance with the Procurement Code.
    9. The award shall be made to the responsible offeror or offerors whose proposal is most advantageous to Central New Mexico Community College, taking into consideration the evaluation factors set forth in the request for proposals.
    10. The names of all businesses submitting proposals and the names of businesses, if any, selected for private interview shall be public information. After an award has been made by the Board, final ranking and evaluation scores for all proposals shall become public information. Businesses which have not been selected shall be so notified in writing after an award is made in accordance with New Mexico Procurement Code.

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