Annual Report 2017–2018 Table of Contents
1 Accountability Statement 25 Research, Applied Research, and Scholarly Activities 2 Message from the Board Chair and the President 27 Community Outreach and Underrepresented Learners 6 Public Interest Disclosure (Whistleblower Protection) Act 31 Internationalization 7 Operational Overview: 32 Capital Plan A Year in Review 35 Information Technology 14 Goals, Priority Initiatives, Expected Outcomes, and 36 Financial Information Performance Measures 20 Enrolment Plan and Program Changes Accountability Statement
The NorQuest College Annual Report for the year ended June 30, 2018 was prepared under the Board’s direction in accordance with the Fiscal Planning and Transparency Act and ministerial guidelines established pursuant to the Post-secondary Learning Act. All material economic, environmental, or fi scal implications of which we are aware have been considered in the preparation of this report.
[Original signed by Ann Colbourne, B.Sc., MA, BMedSc., MD, FRCP(C)]
S. Ann Colbourne, B.Sc., MA, BMedSc., MD, FRCP(C) Chair, Board of Governors December 18, 2018
Management’s Responsibility for Reporting
NorQuest College’s management is responsible for the preparation, accuracy, objectivity, and integrity of the information contained in the annual report including the fi nancial statements, performance results, and supporting management information. Systems of internal control are designed and maintained by management to produce reliable information to meet reporting requirements. The system is designed to provide management with reasonable assurance that transactions are properly authorized, are executed in accordance with all relevant legislation, regulations and policies, reliable fi nancial records are maintained, and assets are properly accounted for and safeguarded.
The annual report has been developed under the oversight of the institution audit committee, as well as approved by the NorQuest College Board of Governors and is prepared in accordance with the Fiscal Planning and Transparency Act and the Post-secondary Learning Act.
The Auditor General of the Province of Alberta, the institution’s external auditor appointed under the Auditor General Act, performs an annual independent audit of the consolidated fi nancial statements which are prepared in accordance with Canadian public sector accounting standards.
[Original signed by Dr. Jodi L. Abbott, ICD.D]
Dr. Jodi L. Abbott, icd.d President and CEO
ANNUAL REPORT 2017–2018 1 Message from the Board Chair and the President
With our incredible growth over the past few years, creating more learner access than we ever have before, NorQuest College has come of age in Alberta’s post-secondary landscape.
The Singhmar Centre for Learning, our first capital infrastructure project in over 40 years, opened for classes in fall 2017 and became a dynamic new home for our learners and employees. It’s a space where education and technology combine with a sense of close-knit community. Complementing this is our building next door, the Civic Employees Legacy Tower, which is currently under renovation with four refreshed and wonderfully designed floors completed to date.
As part of our commitment to Indigenous learners and communities, we celebrated the opening of our new Indigenous student centre, launched our new Indigenization Strategy, and became the first post-secondary in Edmonton to sign the Colleges and Institutes Canada Indigenous Education Protocol. These important and inclusive first steps are helping to break down barriers and provide a positive environment for Indigenous learners.
Another barrier to education can be lack of affordable child care. We took steps to remove this barrier with the opening of the 1000 Women Child Care Centre, a significant milestone for our college. This innovative centre provides culturally sensitive child care services to college students, employees, and the community. The centre is delighted to be among those offering $25-a-day child care thanks to the governments of Alberta and Canada.
Innovation and smart business found a winning combination in ATB NorQuest, the first bank branch in Alberta operated by a post-secondary institution. ATB NorQuest’s profits support scholarships, awards, and bursaries at the college — an entrepreneurial model that thinks outside the box to support learner success at NorQuest.
Now and in the future, we are a college of choice, and emerging as a key player in Alberta’s economy. We are making disruptive strides, both in the impact we make to our learners and the impact we have in the community. A recent study conducted by Economic Modeling Specialists International, for example, indicates that NorQuest College added $471.4 million of total income to Edmonton’s regional economy in 2016–2017, which is equivalent to supporting 5,707 jobs in the region.
Our tremendous growth, community impact, and unique partnerships with business and industry shows that NorQuest College is recognized and valued for providing education that leads to a brighter future.
[Original signed by Ann Colbourne, [Original signed by B.Sc., MA, BMedSc., MD, FRCP(C)] Dr. Jodi L. Abbott, ICD.D]
S. Ann Colbourne, B.Sc., MA, BMedSc., Dr. Jodi L. Abbott, icd.d MD, FRCP(C) President and CEO Chair, Board of Governors
2 NORQUEST COLLEGE Board of Governors July 1, 2017 – June 30, 2018
Alan Skoreyko Troy Chalifoux Dalyce McElhinney Chair, Board of Governors Public Member Public Member Public Member (effective May 1, 2018) David Dominy (until March 18, 2018) Public Member Lillian Ruptash Dr. S. Ann Colbourne (until April 21, 2018) Public Member Chair, Board of Governors (until April 28, 2018) Jim Gurnett (Chair effective March 20, 2018) Public Member Tracy Topolnitsky Public Member (effective May 1, 2018) Academic Member Dr. Jodi L. Abbott Brian Hjlesvold Khalid Hashi President and CEO Public Member Non-Academic Member Dr. Terry Anderson Kanwal Lali Steve Chiazza Public Member Public Member Student Member (effective May 1, 2018) (effective June 1, 2018) Carla Madra Melissa Bourgeois Public Member Gordon Holub Public Member Student Member (until April 28, 2018) (until May 30, 2018)
Current board as of December 2017 Front row (left to right): Lillian Ruptash, Alan Skoreyko, Dr. Jodi Abbott, Kanwal Lali, Carla Madra, Bilan Ahmed Second row (left to right): Dr. S. Ann Colbourne, Brian Hjlesvold, Gordon Holub, Melissa Bourgeois Back row (left to right): Tracy Topolnitsky, Khalid Hashi, David Dominy Absent: Dr. Terry Anderson, Troy Chalifoux, Steve Chiazza, Jim Gurnett, Dalyce McElhinney
ANNUAL REPORT 2017–2018 3 Institutional Context
Vision, Mission, and Values
Vision Values
NorQuest College is a vibrant, We value people. We: inclusive, and diverse learning environment that transforms lives • treat people with integrity and respect and strengthens communities. • empower and encourage risk taking • celebrate commitment, contribution, and accomplishments • promote health and wellness
Mission We value learning. We: NorQuest College inspires lifelong • foster creativity, innovation, and critical thought learning and the achievement of • encourage growth, development, and lifelong learning career goals by offering relevant • build on the diversity of our learners, employees, and partners and accessible education. We value our role in the community. We: • display leadership and responsibility for our outcomes • partner to achieve community goals
We value the quality of the processes we use in reaching our goals. We: • demonstrate a learner-centred approach • set clear expectations, measure results, and demonstrate accountability • promote teamwork, cooperation, and sharing throughout the college • follow fair process in accomplishing our objectives
Brand Model
Our Essence Our Attributes Challenge Positive Inclusive Exciting Student-centred Confident
Our Promise Relevant and Progressive Necessary Maximizing Professional opportunities that Catalyzing others don’t see
4 NORQUEST COLLEGE Business Model Principles
Learner-Centred • We anticipate, understand, and respond to our learners’ needs. • We deliver programs that provide value to learners’ career goals. • We use processes that empower our learners.
Market Driven • We anticipate and respond to market demand for our programs and services by developing business opportunities and influencing demand. • We proactively design and deliver programs and services that are relevant to both the workplace and to learners’ career paths.
Evidence-Based Decisions • We make decisions based on data and information, such as financial data, market data, performance data, impacts, and relationship data. • We make decisions based on evaluation of risk, opportunity, and viability. • We consider business opportunities that have various levels of risk and financial return.
Integrated Organization • We function as an integrated organization with shared goals, role clarity, and accountability. • We create processes that often cross organizational structure boundaries to achieve expected outcomes of the college. • We ensure the path to decisions is clear and accessible. • We ensure that integrated processes are transparent, so that each stakeholder in a process understands the roles of everyone in the process.
Entrepreneurial • We are alert to, and create, opportunities. • We are innovative and flexible in assembling the required resources to capitalize on an opportunity. • We strive for profitability where the opportunity exists to help offset the cost of pursuing other important priorities for our communities and learners.
Quality and Continuous Improvement • We define standards of quality and performance for all aspects of the college. • We define expected outcomes and then measure and report our performance against those targets. • We monitor our improvement and influence organizational behaviour through tools such as a balanced scorecard and performance feedback.
ANNUAL REPORT 2017–2018 5 Public Interest Disclosure (Whistleblower Protection) Act
The Public Interest Disclosure (Whistleblower Protection) Act, which came into force June 1, 2013 requires that the college report annually on the number of disclosures that have been made to the college’s Designated Officer, number of investigations commenced, and any measures taken from an investigation in relation to the wrongdoing.
2017–2018 Reports
Inquiry Types: Number Received:
General Inquiries 0 Disclosures of Wrongdoing 0 Investigations 0 Reports Written 0
NorQuest College's downtown campus redevelopment features state-of-the- art labs and training spaces for learners.
6 NORQUEST COLLEGE Operational Overview: A Year in Review
Substantial milestones achieved for downtown campus development NorQuest College’s new campus addition, the Singhmar Centre for Learning, opened for classes in September 2017. The many new features include an Indigenous student centre, state-of-the-art classrooms and labs, student spaces, food services, and a much larger Learner Centre. The new building helps NorQuest provide a better, more consolidated campus experience for learners.
The Singhmar Centre for Learning is also home to the 1000 Women Child Care Centre, which received a Government of Alberta grant to offer $25-a-day quality child care. It also houses ATB NorQuest, a full-service banking facility open to students, employees, and the community. NorQuest is the first post-secondary institution in Alberta to manage a banking facility, and profits from ATB NorQuest are used to benefit college learners.
Additionally, the original downtown building, now called Civic Employees Legacy Tower, moved forward in its renovation with the completion of floors five, six, and seven. Entire building renovations are scheduled to be completed in fall 2019 with the building ready for fall term classes.
Honorary diploma awarded to Hayley Wickenheiser NorQuest College conferred its 2018 honorary diploma to one of the top players in women's hockey history, Hayley Wickenheiser. Wickenheiser’s passion for sport is matched by her desire to give back. She has worked tirelessly as a mentor with sports organizations across Canada. She also created the Canadian Tire Wickenheiser World Female Hockey Festival, providing thousands of women from around the world access to hockey and exceptional educational sessions. Fitting for a person receiving this honour, education is also top of mind for Wickenheiser: she earned a master’s degree at 37 and is continuing her educational journey Our 2018 convocation in medicine. ceremony was a proud moment for more than 1,200 graduates crossing the stage.
Women's hockey great Hayley Wickenheiser was NorQuest's Honorary Diploma choice for 2018.
ANNUAL REPORT 2017–2018 7 Operational Overview: A Year in Review
President’s Medal awarded to Dwight Phillips Since arriving in Canada from Jamaica in 2014, armed with a degree in Land Economy and Valuation Surveying, Dwight Phillips has kept busy with education and the community. First he became involved with his church, then volunteered with the Boys and Girls Club. His resume also includes volunteer time with Habitat for Humanity, Youth Empowerment and Support Services, and the Strathcona Place Seniors Centre. To formally educate himself in a new line of work that allows him to help others, Dwight chose NorQuest’s Community Support Worker certificate program and earned an impressive 3.91 grade point average. NorQuest College recognized his hard work and community spirit by awarding him with the 2018 President’s Medal.
College achievements
NorQuest College indigenization strategy
NorQuest College's indigenization strategy, entitled Wahkôhtowin (a Cree word meaning "everything is related"), outlines how, as an institution of higher learning, NorQuest is deeply committed to respectfully representing the cultural foundations, historical experiences, richness, and strength of Indigenous capabilities. More than words on paper, the NorQuest College indigenization strategy helps guide the college’s day-to-day work. It is a living document that provides a holistic approach to reconciliation and decolonization.
Colleges and Institutes Canada Indigenous Education Protocol
NorQuest College became the first Edmonton post-secondary to sign the Colleges and Institutes Canada (CICan) Indigenous Education Protocol. The document highlights the President's Medal importance of structures and approaches required to address Indigenous Peoples’ learning recipient Dwight Philips needs, and supports the educational and economic development of Indigenous communities. is a champion of volunteer work in By signing the protocol, NorQuest College recognized and reaffirmed its responsibility and his community. obligation to Indigenous education. NorQuest College's signing of the CICan Indigenous Education Protocol was a proud day for the college and the Indigenous communities it serves.
8 NORQUEST COLLEGE Operational Overview: A Year in Review
Gord Downie and Chanie Wenjack Fund Legacy Room
NorQuest College was the first institution of any kind in Western Canada to offer space for the creation of a Downie-Wenjack Legacy Room. The project is a result of the former Tragically Hip singer’s calls to action for reconciliation, and celebrates the memory of Chanie Wenjack, a young Indigenous boy from Ontario who never returned home from residential school over 50 years ago. This is an opportunity for organizations and the corporate sector to answer Downie’s call to action. NorQuest is doing so, in part, by dedicating a special space in the college in memory of victims and to honour the survivors of the Indian Residential Schools.
Leadership in Challenging Times podcast
The Leadership in Challenging Times podcast features Lieutenant-Colonel Jeff Wilson from 3rd Canadian Division in Edmonton and NorQuest College President and CEO Dr. Jodi L. Abbott. A community engagement effort, the overarching theme of the podcast is to have a conversation about difficult subjects. Topics covered include gender parity, mental health, and sexual violence—all from a leadership perspective.
Alberta Deans of Business Case Competition
NorQuest College’s Faculty of Foundational, Career, and Intercultural Studies and MacEwan University’s School of Business hosted the 13th annual Alberta Deans of Business Case Competition, sponsored by the Chartered Professional Accountants Education Foundation. The three-day event brought together Alberta’s best business students with the opportunity to compete in a case study. The teams were required to develop beneficial solutions for real-world business problems.
New board chair appointed
NorQuest College welcomed Dr. S. Ann Colbourne as the new Chair of NorQuest College’s Dr. S. Ann Colbourne Board of Governors. Dr. Colbourne has been a member of the board since 2017. A respected delivers an inspiring Edmonton physician, she is an ardent supporter of the 1000 Women: A Million Possibilities message at the movement and other college endeavors. Her broad leadership skills in the health system will be 1000 Women annual a great asset in her role as board chair of NorQuest College, where health-care programs such as luncheon.
Health Care Aide and Practical Nurse are some of the largest in the country. Unveiling the Downie- Wenjack Legacy Room at NorQuest College.
ANNUAL REPORT 2017–2018 9 Operational Overview: A Year in Review
Alberta Indigenous Construction Career Centre
In August 2017, the Alberta government announced an investment of $1.9 million over two years through a federal-provincial grant to support the Alberta Indigenous Construction Career Centres at NorQuest College and Bow Valley College. The centres connect unemployed Indigenous people with employers looking to fill construction-related jobs. The Alberta government contributed $1 million to pilot the project in March 2015, and the additional $1.9 million is expected to help approximately 1,700 people.
Canadians for a Civil Society
In fall 2017, more than 150 people attended the first-ever speaker series presented by the Edmonton volunteer organization Canadians for a Civil Society at NorQuest College. Throughout the day, more than a dozen speakers, ranging from an award-winning journalist to family lawyers to Order of Canada recipients, gave their perspectives on the topics of respect, rule of law, literacy, human rights, and economic opportunity. Canadians for a Civil Society is the brainchild of longtime friend of NorQuest College, retired citizenship judge Gurcharan Singh Bhatia. The Society is committed to advancing human dignity, a culture of peace, and the full enjoyment of the human birthright to a life free of fear and want.
SingularityU Canada Summit
NorQuest College was a community partner for the SingularityU Canada Summit in Toronto on October 11 and 12, 2017. The summit was streamed live at the college throughout the event. SingularityU is the premier launch event of a new movement to inspire Canadians to shape Indigenous people the future of Canada and drive global impact. By bringing together leading Canadian and across Alberta will international thought leaders, the Summit provides a forum for true debate and uncommon benefit from additional funding for the Alberta conversations about how technologies like artificial intelligence, nanotechnology, and digital Indigenous Construction medicine will impact the way we live and work. Career Centre.
The Right Honourable Beverley McLachlin, Chief Justice of the Supreme Court of Canada, and Gurcharan Singh Bhatia at Canadians for a Civil Society.
10 NORQUEST COLLEGE Operational Overview: A Year in Review
Fundraising milestones
$21 million raised for Maximizing Opportunities: The NorQuest Campaign
Maximizing Opportunities: The NorQuest Campaign ended the year on June 30, 2018 with $21 million in philanthropic gifts, which includes donations from individuals, business, and charitable foundations. With an original goal of $20 million, monies raised from the campaign will support learner access to education through scholarships, awards, bursaries, increased funding for the college’s workforce relevant programs, work on the college’s $190 million campus expansion, and construction of the Singhmar Centre for Learning.
$2 million gift from Edmonton Civic Employees Charitable Assistance Fund
NorQuest College received a $2 million gift from the Edmonton Civic Employees Charitable Assistance Fund (ECECAF), announced in January 2018. To show its appreciation, the college renamed its original downtown building the Civic Employees Legacy Tower. ECECAF has been building community since 1941, and their donation is greatly appreciated. Approximately 11,000 members from nine different unions and associations can be proud of this investment.
NorQuest College chair provides $1 million gift to promote diversity and inclusion
Inspired by NorQuest’s growth and dedication to inclusive and culturally sensitive workplaces, Dr. S. Ann Colbourne, Chair of the NorQuest College Board of Governors and long-time friend of the college, donated a generous $1 million. In honour of her A transformational gift gift, the Centre for Intercultural Education has been renamed the Colbourne Institute from ECECAF is for Inclusive Leadership. It will provide an expanded range of services that encourage announced in the and support individual and organizational capacity in developing and sustaining building that will be inclusive cultures. renamed in their honour. NorQuest students will continue to be supported thanks to the success of the Maximizing Opportunities campaign.
ANNUAL REPORT 2017–2018 11 Operational Overview: A Year in Review
Awards in 2017–2018
Colleges and Institutes Canada Gold Staff Excellence Award
Sarah Apedaile won gold in the CICAN Awards of Excellence for Leadership in the Non-Managerial Staff category, which recognizes best practices from institutions across the country, as well as individual leadership and achievements. Sarah works as an intercultural specialist and faculty development advisor and was the first qualified intercultural development inventory administrator at NorQuest College.
Dr. Jodi L. Abbott recognized as a Global Woman of Vision
In 2017, Global Edmonton named NorQuest College President and CEO, Dr. Jodi L. Abbott as a Global Woman of Vision for her work in enhancing the presence of the college and for personal achievements reaching the highest levels.
NorQuest College named as one of top corporate cultures in Canada
Creating workplace pride and celebrating successes are important to NorQuest College’s culture. Waterstone, a leading Canadian recruitment firm, named NorQuest as one of Canada’s Most Admired Corporate Cultures. Recipients were recognized for their commitment to culture as a competitive advantage and for setting the benchmark for cultivating and sustaining great cultures that ultimately drive their growth and performance.
NorQuest College awarded for being smoke-free campus
NorQuest College was among 16 Alberta municipalities, school boards, and post-secondary institutions to receive a Smoke-Free Spaces recognition award. Presented by an alliance of health and recreation organizations, the new Smoke-Free Spaces program recognizes local government and public bodies that have gone the extra mile to promote healthy, smoke-free indoor, and Sarah Apedaile is outdoor spaces. an integral part of NorQuest's intercultural leadership.
A team from NorQuest accepts Waterstone's Most Admired Corporate Culture award in Toronto.
12 NORQUEST COLLEGE Operational Overview: A Year in Review
Punch Jackson Award of Excellence in Library Services
Liz Fulton-Lyne (associate chair, library instruction at NorQuest College) and a group of fellow volunteers were awarded the Punch Jackson Award of Excellence in Library Services in April 2018. Fulton-Lyne and her colleagues from the Greater Edmonton Library Association were honoured with this annual award of excellence for the Prison Libraries Project, which focuses on literacy development with incarcerated women.
Carolyn Dieleman Award
The Carolyn Dieleman Award celebrates individuals who have made an impact on the delivery of and access to innovative and quality language and ESL literacy programs in Alberta. Maroro Zinyemba, program chair of language training at NorQuest College, was given the award in 2017.
CASE Awards
The Council for Advancement and Support of Education (CASE) District VIII Communications Awards recognized NorQuest College in three categories. The 1000 Women: A Million Possibilities Case Statement earned silver in the Fundraising, Special Event & Other Communications (Fundraising Publications) category; the college’s fundraising subsite won a bronze in the Electronic & Digital Media (Alumni, Fundraising, or Student Recruitment Subsite) category; and the college’s Community Impact publication earned bronze in the Fundraising, Special Event, and Other Communications (Other Special Purpose Publications) category. The awards were presented in February 2018 in Seattle.
NorQuest wins for its Community Impact publication.
Liz Fulton-Lyne accepts the Punch Jackson Award of Excellence on behalf of the greater Edmonton Library Association.
NorQuest's Maroro Zinyemba is chosen for the Carolyn Dieleman Award.
Community 2017 ExCitED to
represent 2017 President’s medal winner norQuEst Vanya skipper, this year’s President’s medal winner, originally chose norQuest College because the programming it offered matched her career goals. she finished the therapeutic recreation program with an impeccable 4.0 grade point average. her hard work paid off and norQuest awarded her with the President’s medal for her strong academic standing, involvement in the community, leadership, and student citizenship. she now works at the glenrose rehabilitation Past President’s medal winners hospital in Edmonton, Alberta. “i am really excited to represent norQuest College as a Where are they now? professional,” says skipper. “the college really represents my values.” the winners of the first two President’s Medals ever awarded by norQuest College decided to stay close to their alma mater after graduation. Both have returned to norQuest and are now employed as instructional assistants in the programs in which they studied. “ With this President’s Medal Working it honour I feel like telling all double time my patients that if they have High school student “ I love my job at NorQuest. kids who are thinking about finishes college I wouldn’t change it for the world.” college, send them to NorQuest!” – 2016 winner sophia aarons – vanya skipper, 2017 President's Medal winner (Business administration) Groovin’ to inclusion “ T e a c h i n g keepsmetryingtofind at norQuest College the newest innovations and lessons from the industry.”
– 2015 winner vanyelle Behr (Pharmacy technician)
10 community impact 2017 NorQuest College 11
NQCI-May-16.indd 10 2017-05-17 2:48 PM NQCI-May-16.indd 11 2017-05-17 2:48 PM
ANNUAL REPORT 2017–2018 13 Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
To realize its strategic outcome, NorQuest College has established three priorities to guide the college to 2025:
1. Delivering programming 2. Creating an 3. Developing a unique known for its workforce enhanced presence market position relevance Broad recognition of the quality NorQuest College will establish Securing NorQuest’s value in of a NorQuest College education a bold market position that the economy and community is critical to the college’s future will support industry and the is essential for the college’s accomplishments. An enhanced community by building on its continued success. NorQuest will presence in the communities that expertise in essential skills, demonstrate this through two NorQuest serves, as well as in the intercultural education, Indigenous approaches: helping learners meet post-secondary sector, will lead to education, supports for students their educational objectives, and NorQuest credentials, programs, with disabilities, and workforce providing consulting, research, and services being increasingly relevant programming. NorQuest training, or other services to sought after by learners and learners are well prepared for community and industry. valued by employers. It will also the workforce or continuing contribute to attracting skilled and their education. The college’s Helping learners meet their innovative educators with a passion unique market position will educational objectives involves for teaching. maximize opportunities that others different approaches for different don’t see by identifying market Enhanced presence will also learners. It may mean offering niches in programming and in bolster the college’s ability to programming that leads directly student recruitment. to a career; providing foundational secure community, financial, and education that will help learners government support needed to continue their education; provide every student with an or providing specific learner exceptional educational experience. supports to increase educational opportunities for Indigenous learners, immigrant learners, and learners with disabilities.
14 NORQUEST COLLEGE Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
PRIORITY 1: Delivering workforce relevant programming The following represents NorQuest College’s goals, performance measures, and expected outcomes relating to affordability (for students and taxpayers), accessibility, and quality.
Goal Performance Measures Goal Status Progress Alignment
1. Access to 5,321 Full-Load Equivalents Access Exceeded 6,531 Full-load equivalents for the 2017–2018 fiscal year, workforce Quality exceeding the goal of 5,321. relevant credit Coordination education opportunities
2. Programs Establish a methodology Access Achieved Developed the NorQuest Employer Survey in endorsed by for gauging satisfaction of Quality 2017–2018. business and industry partners regarding Coordination community NorQuest learners' leaders preparedness for the intended experience
3. Diversification Launch 4 new credit programs Access Achieved Four new programs launched: in Program Quality Addictions Recovery Practitioner post-diploma Plan Coordination certificate (September 2017) Early Learning and Child Care diploma (September 2017) Mental Health Recovery Practitioner post-diploma certificate (January 2018) Medical Office Assistant certificate (May 2018)
Establish baseline Achieved Established baseline measurement at 86%. measurement for % of students satisfied with the variety of delivery options available
Develop 1 credit program Achieved Submitted Environmental Protection Technology with a clean energy and diploma for approval in June 2018. Program is expected environmental focus to launch in winter 2019.
4. Quality Research valued at $1.1 million Quality Exceeded Cumulative research value was $1,697,012.42 research (cumulative to June 2018) Coordination and applied research
ANNUAL REPORT 2017–2018 15 Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
PRIORITY 2: Creating an enhanced presence
Goal Performance Measures Goal Status Progress Alignment
5. Downtown Singhmar Centre for Learning Access Achieved SCFL opened its doors on August 21, 2017. Student Campus (SCFL) open for program delivery Affordability orientation and classes in the building began on Development – Fall 2017 classes Quality September 5. Other amenities became operational Project Coordination throughout 2017–2018 including food services and the ATB agency.
Start of Civic Employees Legacy Achieved As of June 30, 2018 CELT was 58% complete with Tower (CELT) renovations construction activities progressing on schedule. Occupancy was granted for floors 5, 6, and 7. All three Strategic Investment Fund (SIF) projects achieved the completion target of April 30, 2018. The roof replacement was substantially complete as of September 18, the Innovation Studio April 13, and the glazing replacement April 27.
6. Regional Innovations 1 new program Access Achieved Launched Apprenticeship Prep program delivery Stewardship piloted or Affordability in Wetaskiwin. implemented Quality include: Establishment Coordination Achieved Regional Stewardship hosted regional education of a Post- council meetings in Wetaskiwin and Stony Plain in Fall Secondary 2017 and established Task Teams that met regularly. Regional The Town and County of Whitecourt will organize Education Task future meetings. Dialogue focused on community Force needs for training and credit and non-credit opportunities that NorQuest could provide.
Establishment Achieved Initial meeting of Drayton Valley Post-Secondary of Drayton Regional Task Force held in October 2017 with Valley Regional subsequent meeting in December 2017. NorQuest Workforce & showcased with the new mayor and council in Post-Secondary December 2017. Task Team
7. Advancement Successful conclusion to Access Exceeded $21 million raised, exceeding the goal of $20 million. Maximizing Opportunities – Affordability The NorQuest Campaign Quality
8. Brand Increased brand awareness and Access Exceeded 85% of all applicants to NorQuest College feel very recognition reputation by 2% from 2015–2016 Quality or quite certain that their chosen academic program using the University College is the path to a satisfying career. This result exceeds Applicant Study Survey the 82% target.
16 NORQUEST COLLEGE Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
PRIORITY 3: Developing a unique market position
Goal Performance Measures Goal Status Progress Alignment
9. Campus Hold 3 learning sessions for Access Achieved Delivered 3 Mental Health First Aid workshops and 6 wellness and employees to help them other opportunities to further awareness of mental safety recognize indicators of learner health supports for learners in 2017–2018. mental health challenges and raise awareness of supports available to learners
90% or more learners feel Exceeded Student Satisfaction Survey results indicated physically and psychologically that: safe on campus • 95% of respondents felt that the building and access at NorQuest College is safe, and • 93% felt that NorQuest College is a safe place to express opinions.
Implement 6 new wellness Achieved Held 6 initiatives for employees. initiatives for employees
Development of Occupational Achieved Completed COR OHS Management System and Hazard Health and Safety (OHS) Assessments provided to employees. Completed an Management System based on internal COR Audit, as well as review and assessment to the Government of Alberta ensure compliance with Bill 30 legislative requirements. Certificate Of Recognition (COR) program requirements
Implement year one initiatives Achieved Delivered information regarding the Sexual Violence in support of the Sexual Policy and Procedure to over 3,000 students through Violence Policy orientation events, the week of welcome, Students' Association Mental Health Expo, and an #ibelieveyou event. Information, resources, and education delivered to employees on the Sexual Violence Policy and Procedure, sexual harassment, disclosure training, and sexual violence. The Sexual Violence Policy and Procedures and related policies were updated based on annual review cycle.
10. NorQuest 50% of all programs have Access Achieved More than 50% of programs have documented entry College mapped and documented Affordability and exit opportunities. welcomes entry and exit laddering Coordination students at opportunities, including any stage in the creation of articulation their learning agreements, where appropriate
ANNUAL REPORT 2017–2018 17 Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
PRIORITY 3: Developing a unique market position (continued)
Goal Performance Measures Goal Status Progress Alignment
11. Leverage 88% of learners are satisfied Access Exceeded The Student Satisfaction Survey Report revealed: employees’ with their level of inclusion Quality • 95% agreed “Instructors and employees make and students’ me feel welcome” diversity in • 88% agreed “Instructors and employees do not our curricula, discriminate” programming, • 95% agreed “NorQuest College makes me feel and services welcome” • 93% agreed "other students are accepting, treat Foster an them with respect and do not discriminate" intercultural and inclusive 90% of learners reporting Exceeded 92% of students agreed in the Student Satisfaction culture for our indicate improved confidence Survey Report that: “My experience at NorQuest has employees when interacting with people improved my confidence to interact with people who and students who are different from them are different than me.”
62% of employees have a Exceeded 86% of employees college-wide have received a satisfactory level of inclusion satisfactory level of inclusive engagement. engagement (college-wide)
Develop mechanism for prior Achieved Prior learning and life experience were included in level learning assessment and 3 of the Inclusive Engagement Scale. To accommodate recognition of intercultural a wide range of experiences and possibilities, the training recognition process required consultation with a supervisor and includes stand-alone professional development sessions and/or life experience focused on Indigenous awareness and understanding, intercultural awareness, or other topics related to diversity and inclusion as agreed upon by supervisor.
Determine baseline stage Achieved This baseline is taken from the Intercultural along the continuum of the Development Index results based on 145 participants. Intercultural Development Baseline scores for the institution are: Inventory (college-wide) • Perceived Orientation (PO) 124.45 (Acceptance Range) • Developmental Orientation (DO) 102.43 (Minimization Range) • Orientation Gap Score (difference) 22.02 The DO, which reflects behaviors, is in minimization but the PO, how we think we are doing, is in acceptance.
12. Indigenization Increase course completion Access Not 76% Indigenous course completion rate, a decrease of rate of Indigenous learners by Quality Achieved 3% from 2016–2017 (see page 28). 1% over 2016–2017 levels
Launch new Indigenous Achieved Indigenous student centre successfully launched and student centre to increase open to students at the start of the fall 2017 term. supports for Indigenous learners
Coordinate, partner, and sign Achieved Signed the protocol on November 2, 2017 as part of a the College and Institutes broader series of Indigenous events. Canada Indigenous Education Protocol
18 NORQUEST COLLEGE Goals, Priority Initiatives, Expected Outcomes, and Performance Measures
PRIORITY 3: Developing a unique market position (continued)
Goal Performance Measures Goal Status Progress Alignment
13. The use of 90% of learners are satisfied Access Achieved The 2017–2018 Student Satisfaction Survey showed workforce that technology helped Quality that overall 88% of learners agreed that their relevant them learn program provides training on technology that is technologies relevant. In addition, the Student Point of Entry helps learners Report (2017–2018) indicated that: achieve their • 94% were satisfied with using the Moodle educational Learning Management System goals • 94% were satisfied with the college computer labs
14. Develop Support implementation of Access Achieved NorQuest collaborated with Edmonton institutions a strong Alberta Rural Development Quality and local mental health agencies to develop a Comprehensive Network’s proposal to develop Coordination coordinated approach to student mental health for Community a collaborative CCI approach the Edmonton capital region. NorQuest appointed Institution and to addressing student mental a representative to a committee of post-secondary Campus Alberta health institutions and community members to develop relationship a collaborative approach to addressing student to ensure mental health and sexual violence. alignment and ease of NorQuest will appoint Achieved The college recruited resources that will provide access and a representative to the direct learner mental health support. Mental health coordination committee to identify shared workshops on suicide awareness and well-being for learners priorities and offer learnings were presented to learners in collaboration with to other CCIs based on external community organizations. NorQuest NorQuest’s experience aligned its assessment of learner health with other post-secondary institutions through participation in the National College Health Assessment.
ANNUAL REPORT 2017–2018 19 Enrolment Plan and Program Changes
NorQuest College served an individual learner population of 14,266 in the 2017–2018 academic year. This number includes all credit and non-credit learners. Those learners who are enrolled in more than one program or in both credit and non-credit programs are only counted once. The number of unique credit learners was 11,047. Non-credit or continuing education learners, including those who did assessment examinations, was 7,334. Credit Full-Load Equivalents (FLEs) reached 6,521 an increase of 14 per cent over 2016–2017. The overall number of FLEs showed an increase in Open Studies, Academic Upgrading, Administrative Professional, Business Administration, Community Support Worker, Early Learning and Child Care, LINC, and Practical Nurse.
2017–2018 2016–2017 2015–2016 Total Learners Served 1 18,381 17,592 15,850 Individual Learners 2 14,266 14,269 13,554 FLEs 3 6,521 5,712 5,012
1 The total number of learners served by NorQuest College in an academic year. 2 The total number of people who attended NorQuest College in one capacity or another over the course of the academic year. Learners are only counted once regardless of whether they are taking more than one program or a combination of credit and non-credit programs/courses. 3 Full Load Equivalents: This number is calculated by Advanced Education and is calculated by taking the course load (instructional + practicum hours) of the student enrolled and dividing by the full load of a program.
NorQuest's annual Open House is a showcase of the college's unique learning opportunities.
20 NORQUEST COLLEGE Enrolment Plan and Program Changes
Enrolment Results 2017–2018 Full Load Equivalents
Program Name Projections from Results** International learners as % 2017–2020 CIP of total enrolment Faculty of Foundational Career, & Intercultural Studies Academic Upgrading & AU Regions 1,147 1,371 2.90% Accounting Technician certificate 35 38 53.19% Administrative Professional certificate 86 148 20.48% Apprenticeship Prep 25 23 0.00% Business Administration diploma 216 298 82.35% Day Home Provider 29 26 0.00% ESL Intensive 290 360 0.76% Language Instruction for Newcomers to Canada 1,359 1,487 0.00% Literacy & Essential Skills Pathways 0 0 0.00% Transitions to Employment (previously TVP) 23 19 0.00% Youth in Transition 59 36 0.00% Sub total 3,267 3,806 Faculty of Health & Community Studies Addictions Recovery Facilitator post-diploma certificate 7 6 0.00% Advanced Education in Orthopedics post-diploma certificate 12 27 0.00% Community Support Worker certificate 82 96 63.70% Early Learning and Child Care certificate 67 67 48.91% Early Learning Child Care diploma 61 128 41.88% Health Care Aide (including workplace) certificate 392 386 0.71% Hospital Unit Clerk certificate 87 83 0.00% Medical Device Reprocessing Technician certificate 29 26 0.00% Medical Office Assistant certificate 15 7 0.00% Mental Health Recovery Facilitator post-diploma certificate 5 8 6.25% Open Studies 35 262 4.86% University Transfer 45 * * Pharmacy Technician diploma 63 50 21.31% Physical Therapy Assistant diploma 63 69 18.18% Practical Nurse diploma 861 1,312 5.37% Social Work diploma 144 99 15.97% Therapeutic Recreation certificate 53 63 15.96% Therapeutic Recreation diploma 33 26 3.85% Sub total 2,054 2,715 Total 5,321 6,521 7.59%
* University Transfer enrolment results are reported under Open Studies result ** NorQuest College prioritizes domestic students who have applied and are otherwise eligible up to the number that correlates to the Campus Alberta Grant before accepting international students.
ANNUAL REPORT 2017–2018 21 Enrolment Plan and Program Changes
The college prioritizes domestic students who have applied Programs Terminated and are otherwise eligible up to the number that correlates • Aboriginal Community Support Worker certifi cate to the Campus Alberta Grant. Once those are exhausted, (approved June 2018, eff ective July 1, 2018) the college accepts international students to meet our internationalization goals. • Mental Health Rehabilitation certifi cate and diploma (eff ective July 1, 2017) The acceptance of international students enables the college to serve more domestic students. One specifi c example is New Program Development: Fast Track Work-Plan the Business Administration cohort pilot in Drayton Valley. Without international students, NorQuest would not have After the college’s Strategic Plan was recalibrated in 2017, the cohort size needed to provide face-to-face instruction of the new Program Plan to 2025 was reviewed in the fall this program for local domestic learners. The college would of 2017 for opportunities to increase the number of new also likely be unable to provide a variety of specializations in programs launching over the next three years at the college. Business Administration for our domestic students because The college set an ambitious target with the Fast-Track cohort sizes would not be feasible. Work-Plan, which identifi ed 15 new credit programs to begin the development process in 2017–2018. The Fast Track Workforce Relevant Programming Work-Plan included one new program developed with a clean energy and environmental focus and one new post- NorQuest College engaged in focused, intentional, and baccalaureate certifi cate credential developed. Additionally, evidence-based research to introduce and terminate the two new foundational pathway/bridging programs are also in following programs in 2017–2018: development. In 2017–2018, 11 new programs were approved by NorQuest for proposal submission and four new program Programs Launched proposals were submitted to Advanced Education. • Addictions Recovery Practitioner post-diploma certifi cate (September 2017)
• Early Learning and Child Care diploma (September 2017)
• Medical Offi ce Assistant certifi cate (May 2018)
• Mental Health Recovery Practitioner post-diploma certifi cate (January 2018) Two of NorQuest's newest programs include Medical Office Assistant and Early Learning and Child Care.
22 NORQUEST COLLEGE Enrolment Plan and Program Changes
Program Credential Status Planned Approval Status (as of June 30, 2018) Launched (as of June 30, 2018) Arts and Sciences Non- Pilot approved Fall 2018 N/A University Transfer credentialed Program
Teaching English as an Post- PAPRS Submission Winter 2019 Submitted June 28, 2018 Additional Language baccalaureate (Approved September Professional certificate 28, 2018) Environmental Diploma PAPRS Submission Winter 2019 Submitted June 29, 2018 Protection Technology
Veterinary Office Certificate PAPRS Submission Spring 2019 Submitted June 20, 2018 Assistant (Approved July 18, 2018) Finance Diploma PAPRS Submission Fall 2019 Submitted June 25, 2018 Specialization, Business Administration
Dental Office Certificate NorQuest Approved; Fall 2019 Submission 2018 – 2019 Assistant Final PAPRS proposal (July 2018) review Interdisciplinary Diploma NorQuest Approved; Fall 2019 Submission 2018– 2019 Therapy Assistant Final PAPRS proposal (July 2018) review Disability Studies Diploma NorQuest Approved; Fall 2019 Submission 2018– 2019 Final PAPRS proposal (August 2018) review Settlement Studies Diploma NorQuest Approved; Fall 2019 Submission 2018– 2019 Final PAPRS proposal (July 2018) review Justice Diploma NorQuest Approved; Fall 2019 Submission 2018– 2019 Final PAPRS proposal review Health Care Post-diploma NorQuest Approved; Winter 2020 Submission 2018– 2019 Leadership Final PAPRS proposal review Optical Office Certificate In development Winter 2020 Submission 2018– 2019 Assistant
Pharmacy Assistant Certificate In development 2020 – 2021 Submission 2018– 2019 Education Assistant Certificate In development 2020 – 2021 Submission 2018– 2019 Health Informatics Certificate In development 2020 – 2021 Submission 2018– 2019 Academic Pathway Non- In development 2019 – 2020 N/A Bridging Program credentialed ESL Pathway Bridging Non- In development 2019 – 2020 N/A Program credentialed
ANNUAL REPORT 2017–2018 23 Enrolment Plan and Program Changes
Academic Quality Assurance Yearly Data review
NorQuest College undertakes quality assurance initiatives • Accounting Technician to support and foster a unique learning experience • Administrative Professional characterized by inclusive culture, exemplary faculty, authentic experiences, and accessible learning. The academic • Apprenticeship Prep review process continues to be refined every year as part • Community Support Worker of the college’s program life cycle management. A new methodology and standing Program Review Panel of trained • Day Home Provider program evaluators was launched to carry out the work of program review in collaboration with the academic • Early Learning and Child Care certificate programs. Program Review had an effective year with 20 • Foundations for Learning programs successfully completing reviews including two post-implementation reviews, 16 yearly data reviews, and two • Health Care Aide comprehensive program reviews with external reviewers. • Hospital Unit Clerk
In 2017–2018, the college conducted the following reviews: • Language Instructions to Newcomers to Canada (LINC) Post-Implementation Program reviews • Medical Device Reprocessing Technician
• Addictions Recovery Practitioner post-diploma certificate • Pharmacy Technician
• Early Learning and Child Care diploma • Physical Therapy Assistant
• Practical Nurse
• Social Work
• Youth in Transition
Comprehensive review
• English as a Second Language (ESL) Intensive
• Academic Upgrading
24 NORQUEST COLLEGE Research, Applied Research, and Scholarly Activities
Research and scholarly activities remained strong at These new projects extend NorQuest College’s research NorQuest College in 2017–2018. Applied research projects beyond its traditional area of strength in social innovation, continued across all areas of the organization. Research is community building, and health. Traditional areas of research being undertaken in both faculties as well as in Business remain strong with projects focused on identifying and Development, the Learner Centre, the International Office, improving issues related to student mental health, leveraging and Student Services. In total, 33 research proposals were social capital for personal success, and evaluating new developed, 25 projects were undertaken, and two external models of health care. research projects using NorQuest students and employees were approved. Researchers participated on four additional Building the foundation for growth projects held by external organizations. These ranged in scale In anticipation of future growth in applied research and from small, unfunded faculty-directed projects to large, other scholarly activities, NorQuest College established multi-year, multi-partner projects of an international scope its own Research Ethics Board. The college also completed and federal funding. construction of its Innovation Studio, which will facilitate In total, 15 externally funded projects brought in a total of faculty and student involvement in research and innovation $948,235 net new funding. This brings the applied research with local business, industry, and community organizations. cumulative total to $1,697,012 since 2015–2016. This year, Funded by the federal Post-Secondary Institution Strategic significant new research funding was secured through: Investment Fund and the Government of Alberta, the Innovation Studio was substantially completed in April 2018 • Employment and Social Development Canada to identify and began offering services and programs in September 2018. effective mechanisms for teaching essential skills and The first projects established in the Innovation Studio were decrease time to employment for newcomers to three projects piloting the use of augmented and virtual Canada with lower literacy levels in order to strengthen reality to improve learning about health care provision and the economy; human processes. • The College and Community Social Innovation Fund to create a partnership with Search and Rescue Alberta in order to advance processes and governance to improve public safety and resource usage province-wide; and NorQuest researcher • The Social Sciences and Humanities Research Council Bob Marvin (centre) Insight Development Grant Program to examine faculty’s shares his research data at a college event. experiences of moral distress in light of the changing landscape of higher education in Alberta. NorQuest's Innovation studio is a high-tech hub for collaboration and innovation.
ANNUAL REPORT 2017–2018 25 Research, Applied Research, and Scholarly Activities
Q Award for Excellence in Research and the Anna de Institutional Research Luca Research Travel Grant In addition to its applied research and scholarly activities, In 2017–2018, five researchers were nominated for NorQuest NorQuest College continues to promote institutional College’s Q Award for Excellence in Research and the Anna research uptake and engagement across the organization. de Luca Research Travel Grant. The winner was Dr. Dana In 2017–2018, the Institutional Research team continued Wight, who received the awards for her feminist reading of to promote the standardization of research practices and female passivity in gothic literature and her student-focused reporting in order to build understanding of long-term research project “Student Satisfaction with Clearly APA: trends and drive evidence-informed decision-making The NorQuest Guide to APA Style.” Dr. Wight’s research across the organization. It also implemented a new survey demonstrates NorQuest College’s dual commitment to both program, Qualtrics, enabling a decentralization of non-core academic research and the scholarship of teaching institutional research activities and increasing institution- and learning. wide capacity for research and evaluation of its services.
NorQuest College's Research Ethics Board is critical to ensure college research is of the highest ethical standard possible.
Applied research continues to be an integral part of NorQuest College.
26 NORQUEST COLLEGE Community Outreach and Underrepresented Learners
Regional Learners The Rural Routes program is in its fifteenth year of providing high-quality professional development support and services NorQuest College continues to fulfil its regional stewardship to adult ESL providers and ESL programs throughout Alberta, mandate by maintaining campuses in Wetaskiwin, Drayton through provincial and federal funding. Rural Regional Valley, and Whitecourt, with programs in each campus being Advisors work with, support, and serve: offered in various modalities. In the past year, NorQuest focused on enhancing the technology at each campus to • Coordinators, learning facilitators, and tutors who work ensure accessibility for learners is sufficient. Beyond the with ESL learners in the 130 CALP-funded organizations regional campus programs, NorQuest’s Dual Credit, Health across Alberta; Care Aide, University Studies, and Business Administration • Instructors with other small agencies and community- programs have established a strong delivery model in based adult learning providers in urban and rural Barrhead, Mayerthorpe, Morinville, Spruce Grove, and centres that provide adult ESL training and support for Stony Plain. Two unique regional offerings in the past year immigrants; were Apprenticeship Prep at Wetaskiwin Campus and the Business Administration program at the Drayton Valley • Community agencies, post-secondary institutions, library campus. The latter was particularly unique in that one learner programs, and other ESL providers within rural and small was a domestic student while all others were international urban communities who have limited expertise in the area students from India. The cohort allowed domestic seats to of immigrant education. be opened locally and is bringing economic development Services align with Canadian Language Benchmarks, ATESL’s opportunities to the community while increasing regional best practices, and guidelines for ESL programming. campus utilization.
CALPs from within NorQuest’s stewardship region are engaged in an annual meeting held at NorQuest College called Post-Secondary Transitions and Connections. The purpose of this event is to learn about the supports, services, and resources for learners transitioning from community NorQuest College's learning to post-secondary learning. Hosting and participating regional Dual Credit programs help students in community events is common for NorQuest and in 2017 aim higher with their this included hosting the Wetaskiwin community round education. dance and campus community breakfasts. Thanks to innovative techniques, NorQuest's regional campuses have the same training options as students at the main Edmonton campus.
ANNUAL REPORT 2017–2018 27 Community Outreach and Underrepresented Learners
Indigenous Learners and Supports NorQuest College is committed to helping Indigenous learners increase their course completion rate. Completion In November 2017, NorQuest College launched its rates will be analyzed to assess the variability by program Indigenization strategy with input from various internal and and delivery method so that supports can be aligned to the external stakeholders, including resident Elders, employees, needs of diff erent learner populations. While the percentage and NorQuest’s External Indigenous Advisory Council. The completion rate for indigenous learners dropped in 2017– Indigenization strategy titled, “Wahkôhtowin: We Are All 2018, it is important to note that NorQuest had a 29 per cent Related” will be assessed, enhanced, and monitored on increase in enrolment year-over-year for Indigenous students. an ongoing basis. The college also signed the Colleges and This number is well above the increase in enrolment of non- Institutes Canada Indigenous Education Protocol and in doing Indigenous students. so made commitments to further indigenize the academy at all levels of the organization. Finally, NorQuest continues to provide workforce relevant training to Indigenous communities across Alberta. A 23-week In preparation for the transition to the Singhmar Centre Hospitality Management Foundations program was delivered for Learning, the college constructed the new Indigenous to the Wesley First Nation in Morley. This program included student centre which opened to employees, learners, and 13 courses ranging from Workplace Hazardous Materials the public in September 2017. Services available to the Information System to Managing Casino Slot Operations. NorQuest community include access to resident Elders, Indigenous Student Advisors, the RBC Indigenous Mentorship program, and the ability to conduct ceremonies in a safe and welcoming environment.
The RBC Indigenous Mentorship program is student-led and hosted several events throughout the year including scholarship and bursary information sessions, guest Indigenous speakers, National Indigenous Peoples’ Day celebrations, the annual Indigenous Completion Celebration, Cree classes, and peer-to-peer mentoring. Indigenous students and employees are an In addition, Elders supported and engaged college learners important part of the and employees in many events including one-to-one advisory NorQuest community. sessions, talking circles, advice on college indigenization More than just words eff orts, and various cultural ceremonies. on paper, NorQuest's indigenization strategy is a living document that guides the college at all levels.
The SevenWahkôhtowin Sacred Teachings: A Holistic Approach The Seven Sacred Teachings: A Holistic Approach WE ARE ALL RELATED
• contribute to the understanding of reconciliation, colonization, and decolonization to 4 Newo: Honesty enhance relations between Indigenous and non-Indigenous Peoples Honesty is the foundation of all healthy human relationships. Without honesty, the integrity, • ensure that Indigenous learners see themselves in the curriculum strength, and stability of our wahkôhtowin (the web of relationships to which we all belong) • create new capacity for Indigenous and non-Indigenous learners to work respectfully and cannot be preserved; everything we attempt to do together will be undermined. effectively in any community because of the inclusion of Indigenous knowledge Our policies, procedures, and processes need to be aligned with our belief that all learners • contribute to the achievement and aspirations of Indigenous and non-Indigenous learners should feel safe, welcome, and comfortable within NorQuest College, and should be by using more than one worldview, and respecting the holistic perspective; and appropriately and effectively supported for student success. Honesty also calls us to look in the mirror, and to recognize there are ways of thinking and doing that persist within our • contribute to nation building, through the use of shared worldviews of our Indigenous college – things that need to change to advance our decolonization and reconciliation and non-Indigenous communities, and by working together to create social, economic, agenda. We need to consider things about ourselves, about the way we interrelate, about and cultural development our policies and procedures, about our curriculum and programs, and about our governance and decision-making.
3 Nisto: Truth To move ourselves along this pathway, we are committed to learning about intercultural Honouring and respecting the truth requires actively and fearlessly investigating reality competencies and the history of power, privilege, and oppression that have affected our in search of the truth—first about ourselves and then about the world around us. It also relationship with Indigenous Peoples. To succeed, we will need to humble ourselves to includes being open in mind and heart to recognize and accept the truth as it is discovered. honestly review our policies, processes, and structures, as well as our patterns of thinking and Facing and acknowledging the truth about what has happened in the relationship between interpretation, and ask ourselves if these are in the best interest of all learners. Then we need Indigenous Peoples and Canada is both fundamental and necessary for healing our to respectfully tell each other the truth and act upon it together. relationships, decolonization, and reconciliation.
One important area in which seeing and acknowledging the truth is of vital importance is 5 Nîyânan: Wisdom in student supports. For example, to support our students, it is necessary to be truthful Wisdom can be understood as the living expression of all Sacred Teachings woven together. about oppression and poverty. There are many systematic and often unconscious forms Seeking knowledge and understanding in all things, being loving and kind when it is difficult to of oppression that Indigenous Peoples face within educational institutions. NorQuest do so, being prudent and careful in judgement, weighing everything in the balance of experience is committed to identifying and transforming barriers faced by Indigenous learners. To and in the light of wise teachings, being slow to blame and slower to sever relationships – all of ensure learners are successful, we must first acknowledge that all learners come with prior these are expressions of wisdom. knowledge, talent, and skills, and we need to utilize these gifts. It is our responsibility to be A group of students The Community taking part in a Blanket Dialogue on creative, flexible, and respectful of the gifts that every learner brings to the learning process. Ceremony. Reconciliation during National Indigenous Indigenous students Day celebrations at benefit from a NorQuest College in variety of supports at 2017 sparked thoughtful NorQuest College. conversations.
INDIGENIZATION STRATEGY 2017
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6 ˆ{Fdq& Wahkôhtowin | We are all related NORQUEST COLLEGE INDIGENIZATION STRATEGY 2017 7
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28 NORQUEST COLLEGE Community Outreach and Underrepresented Learners
This program was successful because the graduates were Sexual Violence Policy and Procedure hired directly into available jobs in and around their Creating a safe environment for those impacted by sexual community. A similar program also including 13 courses was violence is a college-wide effort. Activities undertaken in delivered over 20 weeks with the Rupertsland Institute. This support of the Sexual Violence Policy and Procedure include: delivery included a four-week practicum placement. One employer was able to handle the majority of these practicum • 4,844 students received information about the Sexual students to assist with on-the-job training. An additional Violence Policy and Procedure through orientation, the Hospitality Training program which included five courses over week of welcome, SANQC Mental Health Expo, and an 13 days was delivered to the Enoch First Nation. Graduates #ibelieveyou event, as well as additional training events. from this program were also able to find employment in and around their community. • Delivered information, resources, and education to faculty and employees through a number of sessions Disability Services on the Sexual Violence Policy and Procedure and how it impacts people, as well as disclosure training. NorQuest College offers support to students with disabilities, including but not limited to: assistive technology, • Featured discussions on sexual violence and mental accommodated learning support, instructional assistance, health on episodes of the Leadership in Challenging exam accommodations, and sign language interpretation. In Times podcast. 2017–2018, 557 students received accommodated support, many of whom have multiple disabilities. This year, the college took additional steps to increase Universal Design for Learning initiatives on campus by delivering group Read and Write training sessions to all students. Read and Write is a learning tool that strengthens learners’ reading, writing, study, and research skills. All learner-accessible computers at the downtown campus were loaded with Read and Write, and as of May 2018, Read and Write was available at all NorQuest's connections NorQuest campuses. with Indigenous organizations and communities strengthens regional employment across Alberta.
NorQuest provides comprehensive instruction and support to deaf students.
ANNUAL REPORT 2017–2018 29 Community Outreach and Underrepresented Learners
Mental Health • Hosted a campus-wide event, Art with Impact: Movies for Mental Health, to increase awareness and understanding NorQuest College promotes health and wellness. Services of mental health stigmas. are offered to learners in private settings, helping with matters that affect studies and personal well-being. The • Hired a social worker to provide direct mental health college received a $440,000 grant from Advanced Education support to learners as well as to support mental to increase mental health supports to learners. By investing health initiatives. in the mental health of Alberta's post-secondary students, • Collaborated with Healthy Campus Alberta to develop a NorQuest is creating stronger communities, and helping coordinated approach to learners’ mental health. them to reach their full potential. • Participation in the regional post-secondary mental health The college undertook a number of activities in support of coordination committee to establish mechanisms across the grant deliverables, including: Alberta for the integration and coordination of programs • Delivered a National College Health Assessment student and services for post-secondary learners. survey to identify areas of mental health and concern, In addition to work undertaken as part of the grant including a separate wellness survey in the Language deliverables, the college also delivered information, Instructional for Newcomers to Canada program to resources, and education to employees through Mental accommodate learners with lower literacy. Health First Aid workshops, and a number of sessions on • Increased the number and variety of mental health events mental health supports for learners on campus. to highlight sexual violence, mental health awareness, and community and on-campus supports. As an example, the Students’ Association of NorQuest College and the Canadian Mental Health Association held mental health workshops for learners on suicide awareness and well-being.
• Developed a mechanism for learners to provide feedback on mental health initiatives by way of evaluation forms.
• Began development of a new online mental health tool (7 Cups of Tea) to provide online supports to learners and Throughout the school peer supports with resources. year, multiple college events promote mental health and wellness for students and employees at NorQuest.
30 NORQUEST COLLEGE Internationalization
NorQuest College strives to ensure its learners and graduates and sought to address poverty among vulnerable young obtain the global and intercultural knowledge and abilities people by increasing and improving their opportunities to required to perform professionally, socially, and emotionally participate meaningfully in the labour market. in an increasingly globalized and multi-cultural society Under this program, NorQuest and Olds College collaborated and workforce. with the Public Institute of Technological Higher Education in In 2017–2018, the college led recruitment missions to Rioja, Peru to support the development and implementation Vietnam, Jamaica, Mexico, Singapore, and India. A total of of a renewed competency-based Food Industry program. 791 international learners participated in NorQuest credit Improving Skills Training for Employment Program, a skills programs in 2017–2018. With the growth in the number of development program of CICan in collaboration with the international learners, consideration of how the college Tanzanian Ministry of Education and Vocational Training, can continue to sustainably attract and retain a diverse is a five-year $13 million program funded by Global Affairs array of international learners continues to be a primary Canada. focus. NorQuest is ensuring tuition revenues are reinvested in support and retention of learners and have aligned NorQuest College partnered with Lakeland College and employees at NorQuest International this year as a reflection obtained $325,000 over three years to work with Tanzanian of this commitment. partners to collaboratively assist the Vocational Education Training Authority to achieve several initiatives, including International learners contribute to provincial economic development of support programs in math, science, and growth and NorQuest’s own strategic progress. The objective English for academically disadvantaged students. of growing the number of international learners at NorQuest aligns well with the Government of Canada’s International Partnerships Education Strategy to double the number of international post-secondary learners in Canada by 2022, in an effort NorQuest College signed four memorandums of to create jobs and stimulate the economy. As NorQuest understanding (MOUs) with institutions in China focusing increases the number of international learners on campus, it and positioning the college well for overseas delivery of is also striving to open up greater access and opportunities health-care programs. Two MOUs were signed with for domestic learners. Examples of this have included running institutions in Vietnam focusing primarily on foundational face-to-face programs in Drayton Valley and at our main programs including English as a Second Language. campus in the evenings and weekends. These are alternatives to our regular offerings and international demand has both Outbound Learners made these new offerings sustainable and created spaces NorQuest International and program areas continue to for domestic learners who otherwise would not have had examine sustainable opportunities for learners to participate these opportunities. in an outbound manner but during the 2017–2018 fiscal year there were no learners sent outbound for international International Development Projects practicums or exchanges. NorQuest College continued to deliver on international development projects in 2017–2018 to provide training and support to partner institutions in Peru and Tanzania. Leveraging employee skillsets to participate in these development projects is critical to their success and increases engagement in internationalization efforts across the college.
The Education for Employment Andean Region Program was an $18.5 million program funded by Global Affairs Canada and administered by Colleges and Institutes Canada (CICan). The program, which came to a successful end this year, was being implemented with partners in Peru, Bolivia, and Colombia,
ANNUAL REPORT 2017–2018 31 Capital Plan
Downtown Campus Development Project Deferred maintenance
It was a long, incredible journey and there was much NorQuest College received $722,245 in Infrastructure excitement as the college opened its doors to the Singhmar Maintenance Program funding. Centre for Learning on August 21, 2017. The college has been During the year, the college completed upgrades to public experiencing unprecedented growth both in capacity and washrooms, universal washrooms, building lighting systems, learners, and this new building helps the college provide a building control systems, replacement of a boiler, and better campus experience for learners. It also contributes to replacement of variable frequency drives. the city’s downtown revitalization and education district.
The Singhmar Centre for Learning is an environmentally Strategic Investment Fund projects sustainable building that creates a healthy indoor In December 2016, the Government of Canada notified environment, provides increased building efficiencies, and NorQuest that three projects impacting the Civic Employees minimizes the cost to operate with a decreased impact to Legacy Tower were approved to receive funding from the Post- the environment. The college provided a submission to the Secondary Institution Strategic Investment Fund (SIF) Program: Canada Green Building Council in pursuit of Leadership in Energy and Environmental Design® certification. 1. NorQuest College Innovation Studio – develop a creative interdisciplinary research and innovation space Work also moved forward on the renovation of Civic to enable generative collaboration between NorQuest Employees Legacy Tower (previously called Heritage Tower), College and business, industry, and community partners. which includes newly designed learner spaces, building The Innovation Studio was incorporated into the Civic enhancements, and a new Innovation Studio. The college Employees Legacy Tower renovation. The total project selected Chandos Construction to manage the project. cost was $1,557,272 with $623,850 funded through SIF. Overall, the Civic Employees Legacy Tower was 58 per cent complete with occupancy granted for three renovated floors (five, six, and seven). Renovation of the Civic Employees Legacy Tower is expected to be completed by fall 2019. Celebrating the incredible growth and redevelopment of NorQuest College at the grand opening of the Singhmar Centre for Learning, October 4, 2017.
The 1000 Women Child Care Centre is a valued part of the new NorQuest campus.
32 NORQUEST COLLEGE Capital Plan
2. Civic Employees Legacy Tower glazing replacement NorQuest substantially completed all three projects prior to – replacement of aged glazing units with new high the April 30, 2018 SIF deadline. The college submitted close- performance units to improve building envelope out reports, including a third party audit, to the Government performance, increase energy efficiency, and reduce of Alberta. greenhouse gas emissions. The glazing replacement was incorporated into the Civic Employees Legacy Tower renovation. The total project cost was $1,626,745 with $467,349 funded through SIF.
3. Civic Employees Legacy Tower roof replacement – replacement of an aging roof system with a new roof membrane and increased insulation to extend the life span, reduce risk of water infiltration, improve occupant comfort, and improve energy efficiency of the building. The total project cost was $575,400 with $287,700 funded through SIF.
Type Description Funding Progress Expected Status Progress Made in Revised Sources of Funding Completion Last 12 Months Expected Collection Date (from Completion CIP) Date Existing NorQuest 40% Gov’t of Gov’t of Canada n/a Complete Project has moved College Canada 88% received from 0% to 100% Innovation over the past 12 Studio months. Existing Civic 29% Gov’t of Gov’t of Canada n/a Complete Project has moved Employees Canada 87% received from 0% to 100% Legacy Tower over the past 12 Environmental months. Sustainability Initiative – glazing replacement Existing Civic 50% Gov’t of Gov’t of Canada n/a Complete Project has moved Employees Canada 89% received from 50% to 100% Legacy over the past 12 Tower – roof months. replacement Existing Downtown 89% Gov't Gov't of AB Fall 2019 In progress Project has moved Fall 2020 Campus of AB 100% received, from 53% to 78% Development donation 30% over the past 12 Project 8% donation received months. (includes HEC 102 demo & landscaping) Existing Green Space Jun 2020 Not started n/a Sept 30, 2021
ANNUAL REPORT 2017–2018 33 Capital Plan
Funding from Accumulated Surplus The Alberta Teaching and Research Continuing Care Centre
The college evaluates, selects, and monitors projects NorQuest College is seeking approval and funding for a against our strategic outcomes. The college allocated capital project entitled the Alberta Teaching and Research $2.7 million for capital projects and was in budget. In Continuing Care Centre (TRCCC). The TRCCC will be a first- 2017–2018, projects included: of-its-kind continuing care facility in the province, providing critical long-term care bed capacity, innovative learning labs • Design and implementation of further automation of and classrooms, quality of life amenities, active living, and systems functionality for admissions, student enrolment technologically advanced industry-leading care. and records, and student financial support. The TRCCC facility is currently planned as a multi-storey, • Enhancements to information security. 200-unit building, serving residents along the continuing • Design and implement a new service desk care spectrum. Transitional care spaces and respite beds are management system. also being explored in order to provide the mix of care that responds to Edmonton’s specific needs. This facility will be • Design and implement a new point of sale and a centre of excellence, setting a new standard in seniors’ e-commerce solution for the Bookstore. care by co-locating clinical practice, research, academics, • Enhancements to the college’s PeopleSoft Enterprise community supports, and technology to form a space for Resource Planning system. the intersection of thought, leadership, creativity, and transformational advancements. • Acquisition of laptop computers, computer lab equipment, and interactive whiteboards to support The TRCCC will be a publicly owned asset by NorQuest, increased student enrolment and program demand. and operated by our continuing care partner. The projected construction cost of the TRCCC is approximately $113 million. • Evergreening purchases of network and other technology NorQuest has been working with a continuing care partner infrastructure, desktop equipment, and health care to explore models and potential designs for this innovative program equipment. centre. The college has also held meetings with Government of Alberta representatives in Advanced Education and Health to explore support for the project and will continue to pursue government support.
34 NORQUEST COLLEGE Information Technology
NorQuest College invests in technologies that foster In addition, planning is underway on assessing software interdepartmental collaboration, improve and secure access asset management, including aggregation of application to digital information, and ensure efficient, automated licenses and assets. This will result in efficiency overall and business processes through our enterprise resource planning compliance with privacy legislation. service. To ensure useful, sustainable services, as well as effective internal controls, the college: Digital Security
• Worked in close collaboration with Alberta Association in NorQuest continued to enhance its cyber security program Higher Education for Information Technology provincial to ensure that college digital assets are protected, and that partners and other Edmonton area institutions on sharing the information technology infrastructure is modernized. knowledge, custom-developed software assets, and The following initiatives demonstrated work in this area: learning management hosting services. • Continued to engage an experienced information security • Received a provincial grant to implement regulatory and officer to lead college security efforts. This resource was functional enhancements to the college’s student application shared part-time with Lakeland College in 2017–2018. system (Alberta Post-Secondary Application System). • Implemented a college-wide comprehensive digital • Piloted a new online registration for credit programming. security training program and conducted a college-wide phishing campaign as a drill for education purposes. • Recruited a Business Intelligence Analyst and implemented a business intelligence portal and dashboard data • Developed a digital security strategy and approved 15 security visualizations, in support of institutional decision-making. standards in support of the college's digital security policy.
• Continued its commitment to the provincial procurement • Developed a cloud-based security infrastructure project to ShareIT initiatives. improve the college’s information security posture, secure college information assets, and ensure that the network Technology plays an important role in achieving NorQuest’s infrastructure is designed to meet demand arising from growth target of bringing 40,000 learners to the college, and enrolment growth. Implementation begins in fall 2018. providing them with workforce relevant education. Activities undertaken to support the college’s growth target include: Internal Controls
• Successfully piloting Bring Your Own Device, which allows The college is committed to having continued, strong in-person learners to use their own devices both in and internal controls by ensuring that its information and outside the classroom, in two cohorts of the Health Unit technology assets are secure, accessible, and reliable, Clerk program. Plans to expand for wider implementation and its financial accounting and reporting are accurate, are targeted for fall 2018. complete, and timely. To that end, the college has engaged • Adopting technologies and increased investment in PricewaterhouseCoopers annually since 2012 to review and mobile devices to ensure a more flexible future learning make recommendations on the improvement of internal and working environment. college controls, and brought in external parties to perform system penetration testing and recommend security • Ensuring planning for additional cloud services adoptions. improvements for various key systems. This provides increased reliability, scalability, and flexibility of college learning and business systems. In order to meet the growing needs of the college, a new Through a partnership with NAIT and the University of information technology service management platform Alberta, the college plans to consolidate its Learning was implemented. The platform provides improved Management Systems (Moodle) into a cloud-based system information technology service delivery, allowing for some via Amazon Web Services. Cloud implementation to be standardization and increased collaboration across the completed in early 2018–2019. institution. The result is a more positive, stable, and secure educational environment. The tool allows the college to • Reducing complexity and ensuring access to college increase the effectiveness and efficiency of existing processes information systems and digital platforms in a safe while also making them more user friendly by introducing manner through reduced sign on initiatives. features such as a self-service portal.
ANNUAL REPORT 2017–2018 35 Financial Information
Management Discussion and Analysis Net Assets
The following discussion and analysis of the financial Net Assets increased from $38.2 million in 2016–2017 to statements should be reviewed in conjunction with the $38.6 million in 2017–2018 as a result of the annual surplus audited financial statements and accompanying notes to the of $0.2 million and accumulated remeasurement gains of financial statements. The financial statements represent the $0.2 million. This effectively was due to the increase in financial position and results of operations for NorQuest non-financial assets of $29.2 million less the decrease in net College for the year ended June 30, 2018. The college’s financial assets of $5.2 million, which were largely offset by consolidated financial statements for 2017–2018 have the increase in spent deferred capital contribution of been prepared in accordance with Canadian Public Sector $23.6 million. The college has increased its accumulated Accounting Standards and reflect the adoption of the net surplus from operations, decreased its internally restricted financial assets/net debt model as issued by the Public surplus in 2017–2018, and maintained its investment in capital Sector Accounting Board. assets. These changes are the result of the college’s focus on contributing to its net assets while still investing in Consolidated Statement of Financial Position capital assets. Net Financial Assets Consolidated Statement of Operations Financial Assets have decreased by $2.9 million over the prior year to a total of $94.7 million, which is mainly driven For the year ended June 30, 2018, the college reported a by a decrease in portfolio investments – non-endowment, $0.2 million excess of revenue over expenses compared to partially offset by an increase in cash and cash equivalents, a $0.5 million excess in 2016–2017. plus a decrease in accounts receivable. The decrease in Revenues portfolio investments reflect expenditures attributed to the Downtown Campus Development Project (DCDP) funds that Total revenue increased by $18.3 million (20.1 per cent) were held in portfolio investments. compared to the prior year: $91.1 million in 2016–2017 to $109.4 million in 2017–2018. Liabilities have increased by $2.3 million over the prior year to a total of $79.6 million, which is partially due to The college’s largest source of revenue is provincial and the inclusion of debt in 2018 associated with the Singhmar federal government grants. These government grant Centre for Learning parkade, an increase in accounts payable, revenues represented 66.6 per cent ($73 million) of total and partially offset by a decrease in deferred revenue. The revenue in fiscal 2017–2018 compared to 67.1 per cent ($61 million) increase in Accounts Payable reflects expenditures accrued in 2016–2017. The provincial government provided a for the DCDP. two per cent increase on their base Campus Alberta Grant for 2017–2018 and additional funding to cover the amount Net Financial Assets total $20 million and have decreased by estimated to be lost from the tuition freeze. Federal Grants $5.2 million over the prior year as a result of the decrease in increased by $1.1 million from $8.8 million in 2016–2017 to financial assets and the increase in liabilities. $9.9 million in 2017–2018 related to higher service levels Non-Financial Assets provided by the college for Language Instruction for Newcomers to Canada. Non-Financial Assets increased over the prior year by $29.2 million to a total of $166.6 million. This was attributed Student tuition and related fees revenue increased by to the increase in tangible capital assets as a result of $5.4 million from $23.1 million in 2016–2017 to $28.5 million in construction work-in-progress within the DCDP – Civic 2017–2018. The college experienced an increase in full-load Employee Legacy Tower. equivalencies from 5,712 in 2016–2017 to 6,521 in 2017–2018. This reflects a 14.2 per cent increase in tuition related full- load equivalencies as compared to the prior year as a result of increases in business, health sciences, social sciences, and language training programs.
36 NORQUEST COLLEGE Financial Information
Consolidated Statement of Operations (continued)
Revenues (continued)
Total Revenues 2018
57.6% Government of Alberta Grants 26.1% Student Tuition and Fees 9.0% Federal and Other Government Grants 4.7% Sales of Services and Products 2018REVENUE 1.4% Investment Income 1.2% Donations and Contributions
Investment income increased by $0.5 million from Total Expenses by Function 2018 $1.1 million in 2016–2017 to $1.6 million in 2017–2018. The college has updated its investment policies in 32.9% Instruction order to advance its investment strategy, which 17.1% Academic Support has resulted in higher investment income. 15.4% Institutional Support 14.8% Facility Operations and Maintenance Sales of Services and Products increased by 2018 EXPENSES 10.0% Student Support $0.5 million from $4.6 million in 2016–2017 to 6.7% Computing and Data Communication $5.1 million in 2017–2018. This was a result of 2.2% Ancillary Services increased parking revenues of $0.3 million and 0.9% Special Purpose bookstore revenues of $0.2 million.
Donations and other Contributions increased by $0.2 million from $1.1 million in 2016–2017 to $1.3 million in 2017–2018. The increase is due Total Expenses by Object 2018 to contributions from the Edmonton Oilers Hospitality Bursary and the 1000 Women bursary. 56.1% Salaries 18.8% Materials, Supplies, and Services 2018 11.5% Employee Benefits EXPENSES 6.7% Amortization of Tangible Capital Assets 3.5% Leases, Maintenance, and Repairs 1.2% Utilities 1.1% Cost of Goods Sold 1.0% Scholarships and Bursaries 0.1% Interest on Debt
ANNUAL REPORT 2017–2018 37 Consolidated Financial Statements
39 Independent Auditor's Report 40 Statement of Management Responsibility 41 Consolidated Statement of Financial Position 42 Consolidated Statement of Operations 43 Consolidated Statement of Change in Net Financial Assets 44 Consolidated Statement of Remeasurement Gains and Losses 45 Consolidated Statement of Cash Flows 46 Notes to the Consolidated Financial Statements
38 NORQUEST COLLEGE Independent Auditor’s Report
To the Board of Governors of NorQuest College
Report on the Consolidated Financial Statements
I have audited the accompanying consolidated financial statements of NorQuest College, which comprise the consolidated statement of financial position as at June 30, 2018, and the consolidated statements of operations, change in net financial assets, remeasurement gains and losses, and cash flows for the year then ended, and a summary of significant accounting policies and other explanatory information.
Management’s Responsibility for the Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of these consolidated financial statements in accordance with Canadian public sector accounting standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility
My responsibility is to express an opinion on these consolidated financial statements based on my audit. I conducted my audit in accordance with Canadian generally accepted auditing standards. Those standards require that I comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the consolidated financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the consolidated financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the consolidated financial statements.
I believe that the audit evidence I have obtained is sufficient and appropriate to provide a basis for my audit opinion.
Opinion
In my opinion, the consolidated financial statements present fairly, in all material respects, the financial position of NorQuest College as at June 30, 2018, and the results of its operations, its remeasurement gains and losses, its changes in net financial assets, and its cash flows for the year then ended in accordance with Canadian public sector accounting standards.
[Original signed by W. Doug Wylie FCPA, FCMA, ICD.D]
W. Doug Wylie FCPA, FCMA, ICD.D Auditor General October 29, 2018 Edmonton, Alberta
ANNUAL REPORT 2017–2018 39 NorQuest College Statement of Management Responsibility
Year ended June 30, 2018
The consolidated financial statements of NorQuest College have been prepared by management in accordance with Canadian public sector accounting standards. The consolidated financial statements present fairly the financial position of the college as at June 30, 2018 and the results of its operations, remeasurement gains and losses, changes in net financial assets and cash flows for the year then ended.
In fulfilling its responsibilities and recognizing the limits inherent in all systems, management has developed and maintains a system of internal control designed to provide reasonable assurance that college assets are safeguarded from loss and that the accounting records are a reliable basis for the preparation of the consolidated financial statements.
The Board of Governors is responsible for reviewing and approving the consolidated financial statements, and overseeing management’s performance of its financial reporting responsibilities.
The Board of Governors carries out its responsibility for review of the consolidated financial statements principally through its Finance and Audit Committee. With the exception of the President, all members of the Finance and Audit Committee are not employees of the college. The Finance and Audit Committee meets with management and the external auditors to discuss the results of audit examinations and financial reporting matters. The external auditors have full access to the Finance and Audit Committee, with and without the presence of management.
These consolidated financial statements have been reported on by the Auditor General of Alberta, the auditor appointed under the Post-secondary Learning Act. The Independent Auditor’s Report outlines the scope of the audit and provides the audit opinion on the fairness of presentation of the information in the consolidated financial statements.
[Original signed by [Original signed by Dr. Jodi L. Abbott, ICD.D] Jill Matthew, CPA, CA, CMC]
Dr. Jodi L. Abbott, ICD.D Jill Matthew, CPA, CA, CMC, ICD.D President & Chief Executive Officer Vice President, College Services & Chief Financial Officer
40 NORQUEST COLLEGE NorQuest College Consolidated Statement of Financial Position
As at June 30, 2018 (in thousands of dollars) 2018 2017
Financial assets excluding portfolio investments restricted for endowments Cash and cash equivalents (note 4) $ 50,098 $ 32,099 Portfolio investments – non-endowment (note 5) 40,010 59,500 Accounts receivable 4,331 5,862 Inventories held for sale 230 161 94,669 97,622
Liabilities Accounts payable and accrued liabilities 27,153 21,822 Employee future benefit liabilities (note 7) 814 1,256 Debt (note 8) 4,932 - Deferred revenue (note 9) 46,709 54,211 79,608 7 7, 28 9 Net financial assets excluding portfolio investments restricted for endowments 15,061 20,333 Portfolio investments – restricted for endowments (note 5) 4,977 4,855 Net financial assets 20,038 25,188
Non-financial assets Tangible capital assets (note 10) 165,895 136,967 Prepaid expenses 748 513 166,643 137,4 8 0 Net assets before spent deferred capital contributions 186,681 162,668 Spent deferred capital contributions (note 11) 148,046 124,452 Net assets (note 12) $ 38,635 $ 38,216
Net assets is comprised of: Accumulated surplus $ 38,433 $ 38,216 Accumulated remeasurement gains 202 -
$ 38,635 $ 38,216
Contractual rights (note 14) Contingent liabilities and contractual obligations (notes 13 and 15)
Approved by the Board of Governors:
[Original signed by Ann Colbourne, [Original signed by Carla Madra, B.Sc., MA, BMedSc., MD, FRCP(C)] CPA, CA]
Dr. S. Ann Colbourne Carla Madra, CPA, CA Chair, Board of Governors Chair, Finance and Audit Committee
The accompanying notes are an integral part of these consolidated financial statements.
ANNUAL REPORT 2017–2018 41 NorQuest College Consolidated Statement of Operations
Year ended June 30, 2018 (in thousands of dollars) 2018 Budget (note 21) 2018 2017
Revenues Government of Alberta grants (note 19) $ 58,406 $ 63,025 $ 52,282 Federal and other government grants (note 19) 8,899 9,876 8,826 Sales of services and products 6,622 5,083 4,625 Student tuition and fees 26,498 28,524 23,167 Donations and other grants 658 1,324 1,121 Investment income 680 1,571 1,070
101,763 109,403 91,091
Expenses (note 16) Instruction 34,817 35,934 32,295 Academic support 18,235 18,620 16,584 Student support 9,338 10,893 9,630 Computing and data communication 8,061 7,325 6,434 Facility operations and maintenance 12,048 16,137 8,028 Institutional support 16,479 16,867 14,885 Ancillary services 1,996 2,364 1,906 Sponsored research 39 46 154 Special purpose 750 975 630
101,763 109,161 90,546
Annual operating surplus - 242 545 Endowment contributions (note 12) - (25) 272
Annual surplus - 217 817 Accumulated surplus, beginning of year 38,216 38,216 37, 39 9
Accumulated surplus, end of year $ 38,216 $ 38,433 $ 38,216
The accompanying notes are an integral part of these consolidated financial statements.
42 NORQUEST COLLEGE NorQuest College Consolidated Statement of Change in Net Financial Assets
Year ended June 30, 2018 (in thousands of dollars) 2018 Budget 2018 2017 (note 21)
Annual surplus $ - $ 217 $ 817 Acquisition of tangible capital assets (53,322) (36,245) (49,748) Amortization of tangible capital assets 6,515 6,123 3,065 Loss on disposal of tangible capital assets 1,194 46 Change in prepaid expenses (235) (108) Change in spent deferred capital contributions 45,968 23,594 46,361 Change in accumulated remeasurement gains 202 - (Decrease) increase in net financial assets (839) (5,150) 433 Net financial assets, beginning of year 25,188 25,188 24,755 Net financial assets, end of year $ 24,349 $ 20,038 $ 25,188
The accompanying notes are an integral part of these consolidated financial statements.
ANNUAL REPORT 2017–2018 43 NorQuest College Consolidated Statement of Remeasurement Gains and Losses
Year ended June 30, 2018 (in thousands of dollars) 2018 2017
Accumulated remeasurement gains, beginning of year $ - $ - Unrealized gains attributable to: Portfolio investments – non-endowment 211 -
Amounts reclassified to Consolidated Statement of Operations: Portfolio investments – non-endowment (9) - Accumulated remeasurement gains, end of year $ 202 $ -
44 NORQUEST COLLEGE NorQuest College Consolidated Statement of Cash Flows
Year ended June 30, 2018 (in thousands of dollars) 2018 2017
Operating transactions Annual surplus $ 217 $ 817 Add (deduct) non-cash items: Amortization of tangible capital assets 6,123 3,065 (Gain) on sale of unrestricted portfolio investments (9) - Loss on disposal of tangible capital assets 1,194 46 Expended capital recognized as revenue (4,908) (1,364) Decrease in employee future benefit liabilities (442) (736) Decrease (increase) in accounts receivable 1,531 (2,792) (Increase) decrease in inventories held for sale (69) 134 Increase in accounts payable and accrued liabilities 5,331 3,367 (Decrease) increase in deferred revenue, excluding restricted realized gains and change in unrealized gains (7,535) 35,175 Increase in prepaid expenses (235) (108)
Cash provided by operating transactions 1,198 37,6 0 4
Capital transactions
Acquisition of tangible capital assets (36,245) (49,748)
Cash applied to capital transactions (36,245) (49,748)
Investing transactions Purchase of portfolio investments (149,967) (143,655) Proceeds on sale of portfolio investments 169,579 113,700
Cash provided by (applied to) investing transactions 19,612 (29,955)
Financing transactions Debt – repayment (68) - Debt – new financing 5,000 - Increase in spent deferred capital contribution, less expended capital recognized as revenue 28,502 47,725
Cash provided by financing transactions 33,434 47,725
Increase in cash and cash equivalents 17,999 5,626 Cash and cash equivalents, beginning of year 32,099 26,473
Cash and cash equivalents, end of year $ 50,098 $32,099
The accompanying notes are an integral part of these consolidated financial statements.
ANNUAL REPORT 2017–2018 45 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars) 1. Authority and Purpose The Board of Governors of NorQuest College is a corporation that manages and operates NorQuest College (“the college”) under the Post-secondary Learning Act (Alberta). All members of the Board of Governors are appointed by either the Lieutenant Governor in Council or the Minister of Advanced Education, with the exception of the President, who is an ex officio member. Under the Post-secondary Learning Act, Campus Alberta Sector Regulation, the college is a comprehensive community institution offering diploma and certificate programs, as well as a wide range of foundational and preparatory programs. The college is a registered charity, and under section 149 of the Income Tax Act (Canada) is exempt from the payment of income tax.
2. Summary of Significant Accounting Policies and Reporting Practices a) General – Public Sector Accounting Standards (PSAS) and Use of Estimates
These consolidated financial statements have been prepared in accordance with Canadian PSAS.
The measurement of certain assets and liabilities is contingent upon future events; therefore, the preparation of these consolidated financial statements requires the use of estimates, which may vary from actual results. The college’s management uses judgment to determine such estimates. Employee future benefit liabilities, amortization of tangible capital assets and the revenue recognition for expended capital are the most significant items based on estimates. In management’s opinion, the resulting estimates are within reasonable limits of materiality and are in accordance with the significant accounting policies summarized below. These significant accounting policies are presented to assist the reader in evaluating these consolidated financial statements and, together with the following notes, should be considered an integral part of the consolidated financial statements. b) Valuation of Financial Assets and Liabilities
The college’s financial assets and liabilities are generally measured as follows:
Financial Statement Component Measurement Cash and cash equivalents Cost or amortized cost Portfolio investments Fair value and amortized cost Accounts receivable Amortized cost Inventories held for sale Lower of cost or net realizable value Accounts payable and accrued liabilities Amortized cost Debt Amortized cost
Unrealized gains and losses from changes in the fair value of financial assets and liabilities are recognized in the Consolidated Statement of Remeasurement Gains and Losses. When the restricted nature of a financial instrument and any related changes in fair value create a liability, unrealized gains and losses are recognized as deferred revenue.
All financial assets are tested annually for impairment. When financial assets are impaired, impairment losses are recognized in the Consolidated Statement of Operations. A write-down of a portfolio investment to reflect a loss in value is not reversed for a subsequent increase in value.
For financial assets and liabilities measured using amortized cost, the effective interest rate method is used to determine interest revenue or expense. Transaction costs are a component of cost for financial instruments measured using cost or amortized cost. Transaction costs are expensed for financial instruments measured at fair value. Investment management fees are expensed as incurred. The purchase and sale of cash and cash equivalents and portfolio investments are accounted for using trade-date accounting.
46 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
2. Summary of Significant Accounting Policies and Reporting Practices (continued) b) Valuation of Financial Assets and Liabilities (continued)
The college does not use foreign currency contracts or any other type of derivative financial instruments for trading or speculative purposes.
Management evaluates contractual obligations for the existence of embedded derivatives and elects to either designate the entire contract for fair value measurement or separately measure the value of the derivative component when characteristics of the derivative are not closely related to the economic characteristics and risks of the contract itself. Contracts to buy or sell non- financial items for the college’s normal purchase, sale or usage requirements are not recognized as financial assets or liabilities. The college does not have any embedded derivatives. c) Revenue Recognition
All revenues are reported on the accrual basis of accounting. Cash received for which goods or services have not been provided by year end is recognized as deferred revenue.
i. Government grants, non-government grants, and donations
Government transfers are referred to as government grants.
Restricted grants and donations are recognized as deferred revenue if the terms for the use, or the terms along with the college's actions and communications as to the use, create a liability. These grants and donations are recognized as revenue when the terms are met. If the grants and donations are used to acquire or construct tangible capital assets, revenue will be recognized over the useful life of the tangible capital assets.
Government grants without terms for the use of the grant are recognized as revenue when the college is eligible to receive the funds. Unrestricted non-government grants and donations are recognized as revenue in the year received or in the year the funds are committed to the college if the amount can be reasonably estimated and collection is reasonably assured.
In-kind donations of services, materials and tangible capital assets are recognized at fair value when such value can reasonably be determined. Transfers of tangible capital assets from related parties are recognized at the carrying value.
ii. Grants and donations related to land
Grants and donations for the purchase of land are recognized as deferred revenue when received, and recognized as revenue when the land is purchased. The college recognizes in-kind contributions of land as revenue at the fair value of the land when a fair value can be reasonably determined. When the college cannot determine the fair value, it records such in-kind contributions at nominal value.
iii. Endowment donations
Endowment donations are recognized as revenue in the Consolidated Statement of Operations in the year in which they are received, and are required by donors to be maintained intact in perpetuity.
iv. Investment income
Investment income includes dividends, interest income and realized gains or losses on the sale of portfolio investments. Investment income from restricted grants and donations is recognized as deferred revenue when the terms for use create a liability, and is recognized as investment income when the terms of the grant or donation are met.
The endowment spending allocation portion of investment income earned by endowments is recognized as deferred revenue when the terms for the use by the endowment create a liability. Realized investment income allocated to endowment balances for the preservation of endowment capital purchasing power is recognized in the Consolidated Statement of Operations.
ANNUAL REPORT 2017–2018 47 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
2. Summary of Significant Accounting Policies and Reporting Practices (continued) d) Endowments
Endowments consist of externally restricted donations received by the college, the principal of which is required to be maintained intact in perpetuity.
Investment income earned (excluding unrealized income) on endowments must be used in accordance with the various purposes established by the donors. Benefactors as well as college policy stipulate that the economic value of the endowments must be protected by limiting the amount of income that may be expended and reinvesting unexpended income.
Under the Post-secondary Learning Act, the college has the authority to alter the terms and conditions of endowments to enable:
• Income earned by the endowments to be withheld from distribution to avoid fluctuations in the amounts distributed and generally to regulate the distribution of income earned by the endowments.
• Encroachment on the capital of the endowment to avoid fluctuations in the amounts distributed and generally to regulate the distribution of income earned by the endowments if, in the opinion of the Board of Governors, the encroachment benefits the college and does not impair the long-term value of the fund.
In any year, if the investment income earned on endowments is insufficient to fund the spending allocation, the spending allocation is funded from the accumulated capitalized investment income. However, for individual endowment funds without sufficient accumulated capitalized income, endowment principal is used in that year. This amount is expected to be recovered by future investment income. e) Inventories Held for Sale
Inventories held for sale are valued at the lower of cost and expected net realizable value and are determined using the weighted average method. f) Tangible Capital Assets
Tangible capital assets are recognized at cost, which includes amounts that are directly related to the acquisition, design, construction, development, improvement or betterment of the asset, and cost associated with asset retirement obligations. Cost includes overhead directly attributable to construction and development. Work in progress, which includes facilities and improvement projects and development of information systems, is not amortized until after the project is complete and the asset is in service.
The cost, less residual value, of the tangible capital assets, excluding land, is amortized on a straight-line basis over the estimated useful lives as follows:
Buildings and site improvements 10 – 40 years Leasehold improvements Term of lease Furniture, equipment, and vehicle 10 years Computer hardware and software 3 years
Tangible capital assets write-downs are recognized when conditions indicate they no longer contribute to the college’s ability to provide services, or when the value of future economic benefits associated with the tangible capital assets are less than their net book value. Net write-downs are recognized as expenses.
Intangible assets, works of art, historical treasures and collections are expensed when acquired and not recognized as tangible capital assets because a reasonable estimate of the future benefits associated with such property cannot be made.
48 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
2. Summary of Significant Accounting Policies and Reporting Practices (continued) g) Asset Retirement Obligations
Asset retirement obligations are recognized for statutory, contractual or legal obligations, associated with the retirement of tangible capital assets when those obligations result from the acquisition, construction, development or normal operation of the assets. The obligations are measured initially at fair value, determined using present value methodology, and the resulting costs capitalized into the carrying amount of the related asset. In subsequent periods, the liability is adjusted for the accretion of discount and any changes in the amount or timing of the underlying future cash flows. The capitalized asset retirement cost is amortized on the same basis as the related asset and the discount accretion is included in determining the results of operations. h) Foreign Currency Translation
Transaction amounts denominated in foreign currencies are translated into their Canadian dollar equivalents at exchange rates prevailing at the transaction dates. In the period of settlement, foreign exchange gains and losses related to non-capital items are recorded in the Consolidated Statement of Operations, and foreign exchange gains and losses related to capital items are recorded in the Consolidated Statement of Financial Position. i) Employee Future Benefits
i. Pension
The college participates with other employers in the Public Service Pension Plan (PSPP), the Management Employee Pension Plan (MEPP) and the Supplementary Retirement Plan (SRP). These pension plans are multi-employer defined benefit pension plans that provide pensions for the college's participating employees based on years of service and earnings.
The college does not have sufficient plan information on the PSPP, MEPP and SRP to follow the standards for defined benefit accounting, and therefore follows the standards for defined contribution accounting. Accordingly, pension expense recognized for the PSPP, MEPP and SRP is comprised of employer contributions to the plan that are required for its employees during the year, which are calculated based on actuarially pre-determined amounts that are expected to provide the plan’s future benefits.
ii. Long-term disability
The cost of providing non-vesting and non-accumulating employee future benefits for compensated absences under the college's long-term disability plans is charged to expense in full when the event occurs which obligates the college to provide the benefits. The cost of these benefits is actuarially determined using the accumulated benefit method, a market interest rate and management's best estimate of the retirement ages of employees, expected health care costs and the period of employee disability. The college undertakes a formal actuarial review on a bi-annual basis and extrapolates the prior year actuarial information forward in the years in which a formal actuarial review is not performed. Actuarial or estimated gains or losses on the accrued benefit obligation are recognized in the period in which they occur.
iii. Short-term illness
The cost of providing non-vesting and non-accumulating employee future benefits for compensated absences under the college's short-term illness plan is charged to expense in full when the event occurs which obligates the college to provide the benefits. The liability for these benefits is estimated using the specific rates of pay, the expected duration of their absence to a maximum of 80 days, and an estimate of their expected benefits for each employee. Any gains or losses on the accrued benefit obligation are recognized in the period in which they occur.
ANNUAL REPORT 2017–2018 49 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
2. Summary of Significant Accounting Policies and Reporting Practices (continued) j) Basis of Consolidation
The consolidated financial statements use the line by line consolidation method to record the accounts of the NorQuest College Foundation ("the foundation"), which operates under the Companies Act (Alberta) to raise funds for projects, programs, and services that serve to improve opportunities for NorQuest College learners' success. The foundation is a registered charity and has been granted tax exempt status under the Income Tax Act (Canada). k) Liability for Contaminated Sites
Contaminated sites are a result of contamination of a chemical, organic or radioactive material or live organism that exceeds an environmental standard being introduced into soil, water or sediment. The liability is recognized net of any expected recoveries. A liability for remediation of contaminated sites normally results from an operation(s) that is no longer in productive use and is recognized when all of the following criteria are met:
i. an environmental standard exists;
ii. contamination exceeds the environmental standard;
iii. the college is directly responsible or accepts responsibility;
iv. it is expected that future economic benefits will be given up; and
v. a reasonable estimate of the amount can be made.
The college has land that may contain contaminates, none of which has been disturbed. As the college has no legal obligation to remove the contamination until development of the land, the estimated liability cannot be reasonably determined. The liability for contaminated sites would be recognized in the period in which there is certainty that the land development will proceed and there is sufficient information to estimate the amount of the liability. l) Expense by Function
The college uses the following categories of functions in its Consolidated Statement of Operations:
Instruction
Expenses related to support all activities that are part of the college's credit and non-credit programs and those non-sponsored research and scholarly activities.
Academic support
Expenses related to the services, administrative and management activities that directly support academic functions, course and curriculum development activities, and academic personnel development.
Student support
Expenses related to admissions and registry functions and activities that support the student body or provide services to individual students or student groups. These include student services administration, social and cultural activities, counselling services and career guidance, financial aid administration, and scholarship awards.
Computing and data communication
Expenses related to resources, activities, and services that provide and support computing, networking, data communications, and other information technology functions.
50 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
2. Summary of Significant Accounting Policies and Reporting Practices (continued) l) Expense by Function (continued)
Facility operations and maintenance
Expenses related to the maintenance and renewal of facilities that house the teaching, research, and administrative activities within the college. These include utilities, facilities administration, building maintenance, custodial services, landscaping and grounds keeping, as well as major repairs and renovations. Also includes amortization of buildings, site improvements, furniture, equipment and vehicles.
Institutional support
Expenses related to executive management, public relations, alumni relations, corporate marketing and communication, fundraising and funds development, corporate insurance premiums, corporate finance, human resources, and any other centralized college-wide administrative services.
Ancillary services
Expenses related to operations ancillary to the normal institutional functions of instruction and research such as bookstores, printing, parking services, and amortization expenses related directly or attributable to such operations.
Sponsored research
Expenses related to all sponsored research activities specifically funded by restricted grants and donations from external organizations and undertaken within the college.
Special purpose
Expenses that do not support the major activities of the college such as instruction, ancillary services, and sponsored research. These include expenses for community service specifically funded by restricted grants and donations. m) Funds and Reserves
Certain amounts, as approved by the Board of Governors, are set aside in accumulated surplus for future operating and capital purposes. Transfers to or from funds and reserves are an adjustment to the respective fund when approved. n) Future Accounting Changes
In June 2015, the Public Sector Accounting Board issued PS 3430 Restructuring transactions. This accounting standard is effective for fiscal years starting on or after April 1, 2018. PS 3430 Restructuring transactions defines a restructuring transaction and establishes standards for recognizing and measuring assets and liabilities transferred in a restructuring transaction.
In March 2018, the Public Sector Accounting Board approved PS 3280 Asset retirement obligations. This accounting standard is effective for fiscal years starting on or after April 1, 2021. PS 3280 Asset retirement obligations provides guidance on how to account for and report a liability for retirement of a tangible capital asset.
Management is currently assessing the impact of these new standards on the consolidated financial statements.
ANNUAL REPORT 2017–2018 51 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
3. Adoption of New Accounting Standards The college has prospectively adopted standards from July 1, 2017:
• PS 2200 - Related party disclosures, defines a related party and identifies disclosures for related parties and related party transactions, including key management personnel and close family members.
• PS 3420 - Inter-entity transactions, establishes standards on how to account for and report transactions between public sector entities that comprise a government's reporting entity from both a provider and recipient perspective.
• PS 3210 - Assets, provides guidance for applying the definition of assets set out in PS 1000 Financial statement concepts, and establishes general disclosure standards for assets.
• PS 3320 - Contingent assets, defines and establishes disclosure standards for contingent assets.
• PS 3380 - Contractual rights, defines and establishes disclosure standards on contractual rights.
4. Cash and Cash Equivalents
2018 2017 Cash $ 28,798 $ 32,096 Cash equivalents 21,300 3 $ 50,098 $ 32,099
Cash equivalents include cash in bank subject to 30-day notice of withdrawal, short-term investments with a maturity less than three months from the date of acquisition, and money market pooled funds with an average maturity of 73 days from the date of acquisition. Included in cash and cash equivalents are restricted amounts for endowments of $836 (2017 - $2) and capital government transfers of $15,301 (2017 - $3,766).
52 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
5. Portfolio Investments 2018 2017 Portfolio investments – non-endowment $ 40,010 $ 59,500 Portfolio investments – restricted for endowments 4,977 4,855 $ 44,987 $ 64,355
The composition of portfolio investments measured at fair value is as follows: 2018 Level 1 Level 2 Level 3 Total Portfolio investments at fair value Term deposits $ - - - $ - Pooled investment funds Bonds - 30,792 - 30,792 Canadian equities - 6,107 - 6,107 Foreign equities - 8,088 - 8,088 $ - $ 44,987 - $ 44,987
2017 Level 1 Level 2 Level 3 Total Portfolio investments at fair value Term deposits $ 64,355 $ - $ - $ 64,355 Pooled investment funds Bonds - - - - Canadian equities - - - - Foreign equities - - - - $ 64,355 $ - $ - $ 64,355
The fair value measurements are those derived from: Level 1 - Quoted prices in active markets for identical assets. Level 2 - Fair value measurements are those derived from inputs other than quoted prices included with level 1 that are observable for the assets, either directly (i.e. as prices) or indirectly (i.e. derived from prices). Level 3 - Fair value measurements are those derived from valuation techniques that include inputs for the assets that are not based on observable market data (unobservable inputs). The college has a formal investment policy that provides guidelines within which the college's investment portfolio is to be effectively and ethically maintained, managed and enhanced. The policy governs asset mix, exposure limits, credit quality and performance measurement. The Finance and Audit Committee, a committee of the Board of Governors has been delegated oversight responsibility for the college's investments. The Finance and Audit Committee is provided with regular updates on the performance of the portfolio investments to ensure compliance with the stated policy objectives and to evaluate the ongoing appropriateness of the investment policy. During the fiscal year, the college engaged an external investment manager. The investment manager is delegated authority to purchase and sell securities within pooled funds subject to the college's investment policy. Investment holdings are currently separated into three funds: operating reserve, capital and endowment; whose performances are monitored against established benchmark returns.
ANNUAL REPORT 2017–2018 53 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
6. Financial Risk Management The college is exposed to the following types of risk:
Market price risk
The college is exposed to moderate market price risk, the risk that the value of a financial instrument will fluctuate as a result of changes in market prices, whether those changes are caused by factors specific to the individual security, its issuer or general market factors affecting all securities. To manage this risk, the college has established an investment policy with a target asset mix that is diversified by asset class with individual issuer limits. The investment policy specifies minimum bond ratings, that securities be listed on approved stock exchanges and other benchmarks determined appropriate by the college for each of the operating, capital and endowment portfolio investments. The policy provides for an acceptable level of investment risk to: obtain a reasonable rate of return, provide growth and income that aligns with college obligations, and preserve capital amounts.
In 2018, the college commenced investing in pooled investment funds that have market based unit values subject to fluctuation. The market value of a pooled investment fund is its net asset value, which is allocated to pool participants. Participants in the pools have no control over the management or selection of securities in the pool. The college is exposed to market price risk when it purchases units issued by the pools. Unrealized gains and losses attributable to changes in fair market value are reflected in either the Statement of Remeasurement Gains and Losses or deferred revenue if they relate to restricted funds. In 2017, the college invested solely in term deposits with fixed interest income.
The college assesses its portfolio sensitivity to a percentage increase (decrease) in market prices. The sensitivity rate is determined using the beta coefficient relative to the security’s benchmark weighted by holding over a one year period for total pooled equities as determined by the external investment manager. At June 30, 2018, if market prices had a 5% (2017 - not applicable) increase or decrease, with all other variables held constant, the increase or decrease in deferred unrealized gains and losses and accumulated remeasurement gains and losses for the year would be $292 (2017 - not applicable.)
Foreign currency risk
Foreign currency risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The college does not hold any financial assets or liabilities denominated in foreign currencies. The college is exposed to foreign exchange risk on its pooled investments that hold foreign equities or bonds. The college does not use foreign currency forward contracts or any other type of derivative financial instruments for trading or speculative purposes. The college's exposure to foreign exchange risk is low due to minimal business activities conducted in foreign currencies.
Credit risk
Counterparty credit risk is the risk of loss arising from the failure of a counterparty to fully honor its financial obligations with the college.
The college is exposed to credit risk on its fixed income investments and has established an investment policy with required minimum credit quality standards and issuer limits to manage this risk. As at June 30, 2018, fixed income investments consisted solely of pooled investment funds with a low credit risk that carried an average credit quality rating of at least A-. As at June 30, 2017, 100% of the college's investments were held in A1 rated term deposits.
The credit risk on fixed income investments held are as follows:
Credit Rating 2018 2017 A- 100.0% - A1 - 100.0%
54 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
6. Financial Risk Management (continued)
Credit risk (continued)
The credit risk from accounts receivable is low as the majority of balances are due from government agencies. When appropriate, the college provides an allowance for doubtful accounts receivable. The college has agreements with donors for pledges, which are not enforceable by law, exposing it to counterparty credit risk. As the college does not record pledges receivable until collected, the credit risk is low.
Liquidity risk
Liquidity risk is the risk that the college will encounter difficulty in meeting obligations associated with its financial liabilities. The college's liquidity risk arises due to its cash outflow requirements related to accounts payable and accrued liabilities, debt and financing of capital construction in progress. The college maintains and monitors adequate working capital to ensure that funds are available to meet current and forecasted financial requirements in the most cost effective manner. The future contractual payments related to fixed rate debt are described in note 8 and for other contractual obligations in note 15.
Interest rate risk
Interest rate risk is the risk to the college’s earnings that arise from the fluctuations in interest rates and the degree of volatility of these rates. The college's interest sensitive assets that generate interest income are its cash and cash equivalents and portfolio investments, while its interest sensitive liabilities that incur interest expense are debt. This risk is managed by investment policies that limit the term to maturity of certain fixed income securities that the college holds. In 2018, the college was exposed to low interest rate risk on its cash balances. There was a 75 basis point increase in 2018 (2017 - 0 basis point increase) in the prime rate that affected the interest earned on cash balances held at the college's bank. Interest rates for other fixed income investments, including GIC's and pooled bond funds, fluctuated little in 2018 and 2017. If interest rates increased by 1%, and all other variables are held constant, the potential loss in fair value to the college would be approximately 3.28% or $1,011 on total investments in pooled bond funds of $30,792 (2017 - not applicable). Interest risk on the college's debt is managed through a fixed rate agreement with Alberta Capital Finance Authority as described in note 8.
The maturity and average effective market yield of interest bearing assets are as follows:
Average effective market Asset class < 1 year 1 - 5 years > 5 years yield Cash 100.00% - - 1.48% Cash equivalents - money market 100.00% - - 1.30% Portfolio investments - term deposits 100.00% - - 1.00% Portfolio investments - pooled bond funds - 29.00% 71.00% 3.00%
ANNUAL REPORT 2017–2018 55 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
7. Employee Future Benefit Liabilities
Employee future benefit liabilities are comprised of the following: 2018 2017 Benefit liability for employees on long-term disability $ 763 $ 1,015 Liability for short-term illness 51 241
$ 814 $ 1,256 a) Defined Benefit Accounted for on a Defined Benefit Basis
i. Long-Term Disability (LTD)
The college provides long-term disability defined benefits to its permanent and term employees, who came under one plan during 2017. The LTD plan provides pension and non-pension benefits after employment, but before the employee's normal retirement date.
LTD liabilities for both permanent and term employees were actuarial valuated as at June 30, 2018. The college performs an actuarial valuation every second year with the next valuation scheduled for the 2020 fiscal year. For 2017, the Benefit Liability for Employees on LTD was estimated assuming no change in actuarial assumptions and using forecasted values for new additions to the LTD program from the 2016 actuarial assessment and adjusting for changes in volume of employees on LTD. The college had 10 (2017 - 14) employees on LTD as at June 30, 2018.
The expense and financial position of the LTD plan are as follows:
2018 2017 2017
Benefit liability for Benefit liability for Benefit liability for term employees on LTD permanent employees employees Expense Interest cost $ 17 $ 24 $ - Amortization of actuarial losses (326) (490) (44)
Total expense (309) (466) (44)
Financial Position Accrued benefit obligation: Balance, beginning of year 1,015 1,696 105 Adjustment for 2017 actuarial estimate 289 - - Interest cost 17 24 - Benefits paid (232) (215) (61) Actuarial losses (326) (490) (44) Accrued benefit obligation and benefit liability for LTD $ 763 $ 1,015 $ -
The college plans to use its working capital to finance these future obligations.
56 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
7. Employee Future Benefit Liabilities (continued) a) Defined Benefit Accounted for on a Defined Benefit Basis (continued)
i. Long-Term Disability (LTD) (continued)
The significant actuarial assumptions used to measure the accrued benefit obligation are as follows:
2018 2017 2017
Benefit liability for Benefit liability for Benefit liability for employees on LTD permanent employees term employees
Accrued benefit obligation 2.4% 1.4% 0.5% Discount rate 3.5% 3.5% - Long-term average compensation increase
Benefit cost(a) Discount rate 1.4% 1.5% 1.7% Long-term average compensation increase 3.5% 3.5% - Alberta inflation (long-term)(a) 2.0% 2.0% - Estimated average remaining service life 4.8 yrs 6 yrs 2 yrs
(a) Benefit cost items and Alberta inflation are used in year over year comparative analysis.
As there are no assets set aside to fund these liabilities, the 2018 and 2017 discount rates used for the accrued benefit obligation and benefit cost were provided by the actuary engaged by the college.
ii. Liability for Short-term Illness (STI)
The college provides short-term illness defined benefits to its permanent and term employees. The liability for short-term illness is recognized when an event occurs that obligates the college to provide such benefits for a maximum of 80 days. The college had 12 (2017 - 7) employees on STI as at June 30, 2018.
The financial position and expense of the STI plan are as follows: 2018 2017 Accrued benefit liability, beginning of year $ 241 $ 191 Obligations arising/ expense during the year 480 626 Benefits paid (670) (576)
Accrued benefit liability, end of year $ 51 $ 241
ANNUAL REPORT 2017–2018 57 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars) b) Defined Benefit Accounted for on a Defined Contribution Basis
Multi-Employer Pension Plans (i) Public Service Pension Plan (PSPP)
The Public Service Pension Plan (PSPP) is a multi-employer contributory defined benefit pension plan for all permanent and term employees excluding management positions and is accounted for on a defined contribution basis. The pension expense recorded in these consolidated financial statements is $5,688 (2017 - $5,638).
An actuarial valuation of the PSPP was carried out as at December 31, 2017. At December 31, 2017, the PSPP reported an actuarial surplus of $1,275,843 (2016 - $302,975). For the year ended December 31, 2017, PSPP reported employer contributions of $363,748 (2016 - $350,083) and employee contributions of $366,706 (2016 - $352,532). For the 2017 calendar year, the college's employer contributions were $5,790 (2016 calendar year - $5,400). (ii) Management Employee Pension Plan (MEPP)
The Management Employee Pension Plan (MEPP) is a multi-employer contributory defined benefit pension plan for management positions and is accounted for on a defined contribution basis. The pension expense recorded in these consolidated financial statements is $1,340 (2017 - $1,477).
An actuarial valuation of the MEPP was carried out as at December 31, 2015, and was then extrapolated to December 31, 2017. At December 31, 2017, the MEPP reported an actuarial surplus of $866,006 (2016 - $402,033). For the year ended December 31, 2017, MEPP reported employer contributions of $109,462 (2016 - $131,706) and employee contributions of $81,546 (2016 - $78,917). For the 2017 calendar year, the college's employer contributions were $1,338 (2016 calendar year - $1,601). (iii) Supplementary Retirement Plan (SRP)
Supplementary Retirement Plan (SRP) is a multi-employer contributory defined benefit pension plan providing additional pension benefits to managers of designated employers who participate in the Management Employee Pension Plan (MEPP) and whose annual salary exceeds the maximum pensionable salary limit under the Income Tax Act. It is accounted for on a defined contribution basis. The pension expense recorded in these consolidated financial statements is $145 (2017 - $124).
An actuarial valuation of the SRP was carried out as at December 31, 2016, and was then extrapolated to December 31, 2017. At December 31, 2017, the SRP reported an actuarial deficit of $54,984 (2016 - $50,020). For the year ended December 31, 2017, SRP reported employer contributions of $3,634 (2016 - $3,878) and employee contributions of $3,633 (2016 - $3,987). For the 2017 calendar year, the college's employer contributions were $127 (2016 calendar year - $130). The college participated in the SRP effective from January 1, 2013. The SRP's deficit is being discharged through additional contributions from the employers effective April 1, 2015. Other than the requirement to make additional contributions, the college does not bear any risk related to the SRP deficit.
58 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
8. Debt Debt is measured at amortized cost and is comprised of the following:
Collateral Maturity date Interest rate 2018 2017 Debentures payable to Alberta Capital Finance Authority:
Debenture for parkade loan 1 September 2042 2.989% $ 4,932 $ -
$ 4,932 $ -
Collateral - (1) General security agreement. Principal and interest repayments in each of the next five years and thereafter are as follows:
Principal Interest Total 2019 $ 139 $ 146 $ 285 2020 143 142 285 2021 147 138 285 2022 152 133 285 2023 156 129 285 Thereafter 4,195 1,372 5,567
$ 4,932 $ 2,060 $ 6,992
Interest expense on debt is $75 (2017 - $0) and is included in the Consolidated Statement of Operations.
9. Deferred Revenue Deferred revenues are set aside for specific purposes as required either by legislation, regulation or agreement:
2018 2017
Unspent Deferred deferred capital Tuition and contribution contributions other fees Total Total
Balance, beginning of year $ 8,568 $ 43,222 $ 2,421 $ 54,211 $ 19,036 Grants, tuition, donations received during the year 18,057 20,878 31,482 70,417 116,066 Restricted gains on sale of portfolio investments - realized 13 - - 13 - Restricted investment income - realized 739 27 - 766 553 Unrealized gains 20 - - 20 - Transfers to spent deferred capital contributions (4,648) (23,854) - (28,502) (47,725) Recognized as revenue (15,832) (5,885) (28,524) (50,241) (33,729) Transfer from endowments 25 - - 25 10 Balance, end of year $ 6,942 $ 34,388 $ 5,379 $ 46,709 $ 54,211
ANNUAL REPORT 2017–2018 59 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
10. Tangible Capital Assets 2018 2017
Buildings Furniture, Computer & site Leasehold equipment hardware & Land improvements improvements & vehicle software Total Total
Cost Balance, beginning of year $ 6,752 $ 134,330 $ 3,351 $ 8,202 $ 13,845 $ 166,480 $ 119,509 Acquisitions - 29,756 - 4,069 2,420 36,245 49,748 Disposals, including write-downs - (2,180) - (533) (1,539) (4,252) (2,777) 6,752 161,906 3,351 11,738 14,726 198,473 166,480
Accumulated Amortization Balance, beginning of year $ - $ 12,487 $ 3,311 $ 3,512 $ 10,203 $ 29,513 $ 29,179 Amortization expense - 3,206 22 948 1,947 6,123 3,065 Disposals, including write-downs - (1,129) - (404) (1,525) (3,058) (2,731) - 14,564 3,333 4,056 10,625 32,578 29,513 Net book value, June 30, 2018 $ 6,752 $ 147,342 $ 18 $ 7,682 $ 4,101 $ 165,895 Net book value, June 30, 2017 $ 6,752 $ 121,843 $ 40 $ 4,690 $ 3,642 $ 136,967
Historic cost includes work-in-progress as at June 30, 2018 totaling $22,220 (2017 - $108,272) comprised of building $0 (2017 - $107,754), site improvements $22,105 (2017 - $348), development of information systems $69 (2017 - $170) and equipment & fixtures $46 (2017 - $0), which is not amortized as the assets are not in service.
11. Spent Deferred Capital Contributions Spent deferred capital contributions is comprised of restricted grants and donations spent on tangible capital acquisitions (not yet recognized as revenue).
2018 2017 Balance, beginning of year $ 124,452 $ 78,091 Transfers from unspent deferred capital contributions 23,854 47,0 42 Transfers from deferred contributions 4,648 683 Expended capital recognized as revenue (4,908) (1,364) Balance, end of year $ 148,046 $ 124,452
60 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
12. Net Assets
The composition of net assets is as follows: Accumulated Investment in Internally surplus from tangible restricted operations capital assets surplus Endowments Total Net assets, as at June 30, 2016 $ 13,224 $ 10,949 $ 8,823 $ 4,403 $ 37,399 Annual operating surplus 545 - - - 545 Endowments New donations - - - 282 282 Transfer from endowments - - - (10) (10) Internally funded tangible capital assets Amortization of tangible capital assets 1,712 (1,712) - - - Acquisition of tangible capital assets (2,023) 2,023 - - - Net book value of tangible capital asset disposals 35 (35) - - - Expenditures funded from internally restricted surplus 2,032 - (2,032) - - Net Board appropriation to internally restricted surplus (2,237) - 2,237 - - Net assets, as at July 1, 2017 $ 13,288 $ 11,225 $ 9,028 $ 4,675 $ 38,216 Annual operating surplus 242 - - - 242
Endowments Transfer from endowments - - - (25) (25) Internally funded tangible capital assets
Amortization of tangible capital assets 1,992 (1,992) - - - Acquisition of tangible capital assets (7,743) 7,743 - - - Debt repayment (68) 68 - - - Debt - new financing 5,000 (5,000) - - - Net book value of tangible capital asset disposals 417 (417) - - - Expenditures funded from internally restricted surplus 2,756 - (2,756) - - Net Board appropriation to internally restricted surplus (1,000) - 1,000 - - Change in accumulated remeasurement gains 202 - - - 202 Net assets, as at June 30, 2018 $ 15,086 $ 11,627 $ 7,272 $ 4,650 $ 38,635
Net assets is comprised of: Accumulated surplus $ 14,884 $ 11,627 $ 7,272 $ 4,650 $ 38,433 Accumulated remeasurement gains 202 - - - 202 $ 15,086 $ 11,627 $ 7,272 $ 4,650 $ 38,635
Investment in tangible capital assets represents the amount of the college’s accumulated surplus that has been invested in the college’s tangible capital assets.
ANNUAL REPORT 2017–2018 61 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
12. Net Assets (continued)
Internally restricted surplus
Internally restricted surplus represent amounts set aside by the college's Board of Governors for specific purposes. Those amounts are not available for other purposes without the approval of the Board and do not have interest allocated to them. Internally restricted surplus with significant balances include:
Appropriations Balance at from Spent Balance at beginning of unrestricted during end year net assets the year of the year Capital Downtown campus development $ 1,149 $ - $ (695) $ 454 Information and technology asset investment 3,421 801 (1,521) 2,701 Non-IT asset investment 2,556 199 (514) 2,241 7,126 1,000 (2,730) 5,396
Operating Program and curriculum development 1,500 - - 1,500 Scholarships and bursaries 102 - (26) 76 Other 150 - - 150 1,752 - (26) 1,726 Research Applied research 150 - - 150 $ 9,028 $ 1,000 $ (2,756) $ 7,272
13. Contingent Liabilities The college is a defendant in three (2017 - three) legal proceedings arising in the normal course of business. The ultimate outcome of these proceedings is not likely to succeed or is not accurately determinable, therefore a liability cannot be reasonably estimated at this time. The college believes that any settlement will not have a material adverse effect on the financial position or the results of operations of the college. Management has concluded that none of the claims meet the criteria for recognizing a liability under Canadian public sector accounting standards.
During the year, the college began renovating its Civic Employee Legacy Tower (formerly Heritage Tower) building, which is known to contain hazardous asbestos material. Renovation of the eight-floor building is being done in two phases. Phase one is complete, and four floors underwent asbestos abatement. Phase two is underway with renovation commenced on two floors as at June 30, 2018. An estimate of asbestos abatement of $361 has been recorded in the financial statements based on invasive, destructive sampling performed by a remediation contractor on open and accessible areas. An estimate of asbestos abatement on the remaining floors cannot be made as much of the asbestos is concealed.
The college has other facilities containing hazardous materials, none of which has been disturbed that would pose a current health hazard. As the college has no legal obligation to remove the hazardous materials in these facilities until renovation or demolition, the estimated liability cannot be reasonably determined. The asset retirement obligations would be recognized in the period in which there is certainty that the renovation or demolition project will proceed and there is sufficient information to estimate the amount of the liability.
62 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
14. Contractual Rights Contractual rights are rights of the college to economic resources arising from contracts or agreements that will result in both assets and revenues in the future when the terms of those contracts or agreements are met.
Estimated amounts that will be received or receivable for each of the next five years and thereafter are as follows:
Operating Capital Other leases leases contracts Total 2019 $ - $ - $ 17,725 $ 17,725 2020 - - 7,141 7,141 2021 - - 532 532 2022 - - 33 33 2023 - - 29 29
- - 305 305 Thereafter Total at June 30, 2018 $ - $ - $ 25,765 $ 25,765 Total at June 30, 2017 $ - $ - $ 50,378 $ 50,378
15. Contractual Obligations The college has contractual obligations which are commitments that will become liabilities in the future when the terms of the contracts or agreements are met. The estimated aggregate amount payable for the unexpired terms of these contractual obligations are as follows:
Information Service systems and Long-term Capital contracts technology leases projects Total 2019 $ 3,073 $ 1,085 $ 1,367 $ 24,108 $ 29,633 2020 2,651 406 1,220 9,887 14,164 2021 1,158 75 665 285 2,183 2022 5 47 592 285 929 2023 2 29 592 285 908 Thereafter 3 386 592 5,567 6,548 Total at June 30, 2018 $ 6,892 $ 2,028 $ 5,028 $ 40,417 $ 54,365 Total at June 30, 2017 $ 9,689 $ 973 $ 3,258 $ 74,676 $ 88,596
ANNUAL REPORT 2017–2018 63 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
16. Expense by Object The following is a summary of expense by object:
2018 Budget (note 21) 2018 2017 Salaries $ 60,484 $ 61,208 $ 55,867 Employee benefits 13,090 12,594 11,765 Materials, supplies and services 14,527 20,485 13,371 Utilities 1,523 1,298 1,179 Leases, maintenance and repairs 3,813 3,863 2,992 Cost of goods sold 1,336 1,222 1,332 Scholarships and bursaries 400 1,099 929 Amortization of tangible capital assets (including loss on disposal) 6,515 7,317 3,111 Interest on debt 75 75 - $ 101,763 $ 109,161 $ 90,546
17. Funds Held on Behalf of Others The college holds the following funds on behalf of others over which the Board has no power of appropriation. Accordingly, these funds are not included in the consolidated financial statements.
2018 2017 Deferred Salary Leave Plan $ 50 $ 98 NorQuest College Faculty Association 43 55 NorQuest Committee for the Arts 9 9 NorQuest College Student Association 37 150 $ 139 $ 312
18. Related Parties The college is a related party with organizations within the Government of Alberta reporting entity. Key management personnel of the college and their close family members are also considered related parties. The college may enter into transactions with these entities and individuals in the normal course of operations and on normal terms.
The college has no business relationships, outstanding amounts or transactions (other than compensation as described in note 20) with key management personnel.
The college has debt liabilities with Alberta Capital Finance Authority as described in note 8. The college received government transfers as described in note 19.
During the year, the college conducted business transactions with related parties, including ministries of the Government of Alberta and other post-secondary institutions. The revenues and expenses incurred for these business transactions have been included in the Consolidated Statement of Operations but have not been separately quantified. During the year, the college provided and received the following services at nominal or reduced amounts:
• The college has an agreement with Alberta Infrastructure to October 31, 2019 for the lease of 3,806 square meters of space and parking stalls related to the Westmount Campus. The college is responsible to pay its share of operating costs, however it pays rent of a nominal amount.
64 NORQUEST COLLEGE NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
19. Government Transfers The college operates under the authority and statutes of the Province of Alberta. Transactions and balances between the college and the Government of Alberta are measured at the exchange amount and summarized below.
2018 2017
Grants from Government of Alberta Advanced Education: Operating $ 47,322 $ 46,479 Capital 20,722 81,477 Strategic Investment Fund (SIF) 501 706 Other 9,208 3,086
Total Advanced Education 77,753 131,748
Other Government of Alberta departments and agencies Alberta Labour 704 1,334 Alberta Health 70 - Other 121 134
Total other Government of Alberta departments and agencies 895 1,468
Total contributions received 78,648 133,216 Deferred contributions (15,623) (80,934)
Total Government of Alberta grants $ 63,025 $ 52,282
Federal and other government grants Contributions received $ 10,370 $ 8,901
Deferred contributions (494) (75)
Total Federal and other government grants $ 9,876 $ 8,826
ANNUAL REPORT 2017–2018 65 NorQuest College Notes to the Consolidated Financial Statements Year ended June 30, 2018 (in thousands of dollars)
20. Salary and Employee Benefits
2018 2017 Other Other cash non-cash Base salary(2) benefits(3)(4) benefits (5)(6) Total Total Governance(1) Chair of the Board of Governors $ - $ 7 $ - $ 7 $ 5 Members of the Board of Governors - 28 - 28 24 Executive President & Chief Executive Officer 336 89 96 521 481 Vice-Presidents (VP): VP Teaching & Learning & Chief Academic Officer 198 28 47 273 278 VP College Services & Chief Financial Officer 198 34 51 283 290 VP External Affairs & Corporate Counsel 200 30 50 280 284 VP Business Development 193 28 46 267 274 Executive Director, Workforce Development & Human Resource 172 - 42 214 221
(1) The chair and members of the Board of Governors receive no remuneration for participation on the Board. (2) Base salary includes pensionable sabbatical and base pay. (3) Other cash benefits for Governance represents administrative honorarium for the chair and members of the Board of Governors. (4) Other cash benefits for Executive include earnings such as estimated variable compensation and vacation payouts for the president and vice presidents. (5) Other non-cash benefits for Executive include the employer's share of all employee benefits and contributions or payments made on behalf of employees including pension, supplementary retirement plan, basic life insurance, employee and family assistance program, extended health care, dental plan, accidental death and dismemberment, long-term disability plan, parking, professional memberships, professional development and tuition fees. (6) The Supplementary Retirement Plan (SRP) was implemented effective January 1, 2013. Under the terms of the SRP, Executive officers may receive supplemental payments. SRP is described in note 7.
21. Budget Figures Budgeted figures have been provided for comparison purposes and have been derived from the college’s Comprehensive Institutional Plan as approved by the Board of Governors, which included an assumption the college would receive $2,000 in lights on funding for the Singhmar Centre for Learning.
22. Approval of Financial Statements The consolidated financial statements were approved by the Board of Governors of NorQuest College.
23. Comparative Figures Certain comparative figures have been reclassified to conform to the current year presentation.
66 NORQUEST COLLEGE ANNUAL REPORT 2017–2018 67 NorQuest College | A proud partner in Campus Alberta 10215 108 Street NW Edmonton, Alberta, Canada T5J 1L6
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