By Tom Latek
Kentucky Today
The Kentucky Community and Technical College System Board of Regents are asking state Auditor Mike Harmon to begin an examination of the financial operations, internal policies and controls of the system, and updated their presidential search.
The audit request was made after leadership and the board learned the System Office had a fund balance that had not been properly classified to the board. The fund balance is nonrecurring funds that typically are used for items such as asset preservation or starting new programs. The System Office and the 16 KCTCS colleges all have fund balances used for these items.
In addition to the state audit, FORVIS, an accounting firm, will conduct a forensic audit to ensure all accounting procedures are industry best practices and to determine what the recommended fund balance should be.
“The overall financial position of KCTCS is strong,” Board Chair James Lee Stevens said. “However, the board wants to ensure the system is following proper procedures and is transparent in the reporting of its finances.”
The board also decided to begin the search for a permanent president for KCTCS, and a national search firm will be hired to assist with the search. The board had planned to hire an interim president, but because that search was unsuccessful, the regents decided to move forward with the search for the fourth president of KCTCS.
The board also received an update about the systemwide analysis conducted by Huron Consulting that began in December 2022. Because the system is now 25 years old, the board and KCTCS leadership determined a study was needed to review a multitude of areas including:
• Space utilization assessment.
• Academic programming optimization.
• Financials and organization assessment.
• Compensation and equity.
• A framework to define career paths, compensation compared to market, and internal equity.
“The board is pleased with the progress of the study and thanks the many KCTCS employees and students who are providing information and input to the Huron team,” Stevens noted. “Huron is now reviewing all the data they’ve collected and will share some of their findings with us later this spring. The compensation study results will be released in the fall.”
The quarterly board meeting was held at Bluegrass Community and Technical College in Lexington. The next meeting is June 15-16 at West Kentucky Community and Technical College in Paducah.
