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ARIZONA BOARD OF REGENTS
MINUTES OF A MEETING
June 27, 1996
Table of Contents
- *Plans for Distribution of Classification Maintenance Review Funds (CMR)
- *Additional Optional Retirement Plan Products for Fidelity and AETNA
- *Easement for Corporation of the Presiding Bishop of the Church of Jesus Christ of Latter Day Saints (ASU)
- *Internal Audit Report: Student Recreation Center (NAU)
- *Multiple-Year Renewal Appointments for Lecturers and Senior Lecturers for 1996-97 (ASU)
RESOURCES COMMITTEE AGENDA (Continued)
REPORT FROM THE ARIZONA FACULTIES COUNCIL
REPORT FROM THE ACTING PRESIDENT OF ARIZONA STATE UNIVERSITY
REPORT FROM THE PRESIDENT OF THE UNIVERSITY OF ARIZONA
REPORT FROM THE PRESIDENT OF NORTHERN ARIZONA UNIVERSITY
REPORT FROM THE EXECUTIVE DIRECTOR
ESTABLISHMENT OF REGENTS AWARD AND SELECTION OF FIRST RECIPIENTS
ELECTION OF OFFICERS FOR BOARD OF REGENTS FOR 1996-97
INQUIRIES, REQUESTS, AND COMMENTS FROM REGENTS AND MEMBERS OF THE COUNCIL OF PRESIDENTS
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MINUTES OF A MEETING
ARIZONA BOARD OF REGENTS
June 27, 1996
A meeting of the Arizona Board of Regents was held on June
27, 1996, in Ashurst Hall of Old Main, Northern Arizona University, Flagstaff,
Arizona. President Basha called the meeting to order at 10:15 a.m. President
Basha asked the audience to stand and observe a minute of silence on behalf of
the soldiers who suffered a bombing attack in Saudi Arabia. Regent Mark Davis
then led the Pledge of Allegiance.
PRESENT: Regent Eddie Basha
Regent Rudy Campbell
Regent Arthur Chapa
Regent Mark Davis
Regent Kurt Davis
Regent Judy Gignac
ABSENT: Regent Fife Symington
Regent Lisa Graham Keegan
Regent George H. Amos, III
Regent John Munger
Regent Don Ulrich
Also present were: President Clara Lovett, Dr. Charles Connell, Dr.
Jeanette Baker, Ms. Sharon Marmaduke, Mr. Sam Polito, and Mr. Norm Hintz,
Northern Arizona University; Acting President Milton Glick, Dr. Christine
Wilkinson, Mr. Jennus Burton, Dr. Charles Bantz, and Mr. Allan Price,
Arizona State University; President Manuel Pacheco, Dr. Paul Sypherd, Dr. Saundra
Taylor, Mr. Richard Roberts, and Mr. Greg Fahey, University of Arizona;
Executive Director Frank Besnette, Board Counsel Joel Sideman, Secretary to the
Board Judy Garza, Dr. Mary McKeown, Dr. Thomas Wickenden, Mr. Tony
Seese-Bieda, and Ms. Norma Salas, Central Office; Dr. Thomas McGovern,
Chair of Arizona Faculties Council; and Mr. Jonathan Schmitt, Student Regent
Designee.
All lists, reports, summaries, background materials, and other documents
referred to in these minutes can be found in the June 27, 1996, Documents File.
President Basha announced he had agreed to withdraw Item 25, Report on the
Profile and Impact of Non-resident Undergraduate Tuition Waiver Recipients, from
this meeting agenda and asked that it be rescheduled for the August meeting.
CONSENT AGENDA
All items on the Consent Agenda, which are marked in these minutes with an *,
were considered as consent matters and were adopted unanimously upon motion of
Regent Campbell, seconded by Regent Gignac. There was no individual discussion
of these items.
*MINUTES
The Regents approved the minutes of the May 31, 1996, Regular Meeting and the
April 25, 1996, Executive Session.
Resources Committee Consent
*Plans for Distribution of Classification Maintenance Review Funds (CMR)
The Board approved the FY97 compensation plans for the distribution of CMR funds
as submitted by the universities and the central office. Each recommended that
those classifications furthest from the market and those that have demonstrated
difficulty with recruitment and retention be given priority in the distribution
of funds. The University of Arizona plan focuses CMR funds on classified staff;
ASU, NAU, and the central office will distribute funds over all classes of
employees.
*Additional Optional Retirement Plan Products for Fidelity and AETNA
The Board approved the addition of sixteen Fidelity and six Aetna funds to their
products available for investment in the Optional Retirement Plan (ORP).
*Easement for Corporation of the Presiding Bishop of the Church of Jesus
Christ of Latter Day Saints (ASU)
The Board granted a non-exclusive utility easement to install, operate, maintain
and replace water and sewer pipelines over, in, and under the parcel of land
owned by Arizona State University-- together with the right of ingress and
egress--for the property located at Orange Street and McAllister Avenue in Tempe
(357 square feet), to the Corporation of the Presiding Bishop of the Church of
Jesus Christ of Latter Day Saints.
*Internal Audit Report: Student Recreation Center (NAU)
The Board accepted the internal audit report for the Northern Arizona University
Student Recreation Center. There were no findings reportable to the Board. Three
internal recommendations were presented to the university administration.
Programs Committee Consent
*Multiple-Year Renewal Appointments for Lecturers and Senior Lecturers for
1996-97 (ASU)
The Board approved multiple-year renewal appointments for 18 lecturers in
Extended Education, Liberal Arts & Sciences, and Public Programs, and for
two senior lecturers in Business and Liberal Arts & Sciences at Arizona
State University.
RESOURCES COMMITTEE AGENDA
Regent Gignac chaired this portion of the meeting.
Guidelines for Preparation of 1997-98 State Operating Budget Requests
Regent Gignac reported that board and university representatives have conferred
with the staffs of the Joint Legislative Budget Committee (JLBC) and the Office
of Strategic Planning and Budgeting (OSPB) to improve the collaborative process
of developing the guidelines for preparation of the 1997-98 State Operating
Budget Requests.
Dr. Mary McKeown reminded the Regents that budget development guidelines in past
years had included five categorical adjustments to the current year base budget:
Annualization, Mandates, Demographic or Workload, Inflation, and Other Base
Adjustments. As was requested, estimates of the possible costs for each
guideline category were presented. In the past, the guidelines permitted
decision packages and funding to continue implementation of the Board's
enrollment growth management plan for continued development of ASU East, ASU
West, Sierra Vista, Arizona International Campus of the University of Arizona, 2
+ 2 programs, and distance education.
Dr. McKeown stated that recent discussions between staff and the Director of
OSPB have produced a consensus that a report on the amount needed for salary
adjustments, similar to the approach used by the Department of Administration in
requesting salary adjustments for state employees, could be prepared as a
separate part of the budget submission rather than including funding for
salaries in decision packages as in prior years.
Regent Gignac outlined several issues for the Regents to consider, including the
proposal to limit any request for additional funding to $40 Million, whether
decision packages would be part of this limit, and whether the universities
should be allowed to also present their needs above the $40 Million limit.
If the Regents decide to present salary adjustments as a separate part of the
budget submission, she suggested the presidents should come back to the Board in
August with preliminary figures.
Regent Kurt Davis suggested that the budget requests should be developed within
the $40 Million limit, inflation should be removed from the five categories,
each university should present not more than three priority decision packages,
and the universities could prepare a "needs" list that would not be
part of the budget submission.
President Pacheco stated he believed the value in allowing the universities to
submit a "needs" list would be to give the Regents the knowledge of
what direction the universities are heading as priorities extend over a period
of time longer than one year. President Lovett suggested each university list
three top priorities needing funding in FY98, accompanied by a narrative
describing how these particular requests fit into a larger, long-term picture.
Acting President Glick supported the idea of trying to submit a draft budget in
the range of $40 Million and said ASU could present its budget under the
guidelines being discussed. President Pacheco said he would have no problem with
deleting inflation as a category; however, he called the Board's attention to
some specific areas, such as libraries, that have incurred major cost increases
in the last few years.
Executive Director Besnette said he heard Regent Kurt Davis saying there should
be a realistic consideration of the prospects of actually securing funding for
inflation and President Pacheco saying inflation is a real factor the
universities must fund in some manner. Therefore, the universities could still
display for the Board what the amount would be, but they should recognize this
amount may be dropped before the budget is forwarded. Regent Gignac said she
believed the legislature has recognized the centrality of a library to a
university and the fact the cost of periodicals and books has increased a great
deal by funding inflation for libraries in the past.
Regent Gignac asked if it would be necessary for all three universities to have
the same priorities. Regent Kurt Davis stated he would be open to inflation
showing as part of a decision package if it was a priority of one or more of the
universities provided the Regents agreed on five categories, including the
decision package category, and the universities will put forward a number (2, 3
or 4) of priorities as part of the decision packages,
Regent Gignac stated she heard agreement that the universities should come back
with their salary package recommendations, similar to what the Department of
Administration does, as a separate salary request. The Council of Presidents
should look at the Governor's letter of June 20 to determine the meaning of the
additional steps for collaboration as suggested by the Governor, including
improvements in consideration and review of the budgets, performance measures,
priority-setting, budget calculations, and broader fiscal planning and
accountability.
This could then be included in the August budget presentation. The universities
should work within the $40 Million range to come back to the Board in August
with an idea of what their priorities are in regard to the 5 categories and what
their three highest priorities would be with decision packages.
Executive Director Besnette asked if the Board was asking for a recommendation
from the presidents and himself in August as to how the $40 Million would be
divided among the universities and was told yes. Dr. Glick asked if the
enrollment growth management issues were to be considered as part of the 5
categories and was told they were, but that actually makes 6 categories--Annualization,
Mandates, Demographics, Base Adjustment, Decision Packages, and Enrollment
Growth Management.
Initial FY97 All Funds Budget Reports, Including FY97 State Operating Budget
Expenditure Authority
Dr. Mary McKeown explained the FY97 All Funds Budget and summarized the FY97
State Operating Budget Expenditure authority. She introduced the university
budget officers, Sharon Marmaduke from NAU, Dick Roberts from UofA, and Allan
Carroll from ASU, who joined the meeting for this discussion. Regent Gignac
asked if ASU's new program to provide financial aid for the top 15 % of
Arizona's high school graduates is in addition to the Regent's waiver for the
top 5 % of high school graduates, how the two work together, and if this program
should be implemented at all three universities. Acting President Glick answered
that the other two universities are already doing similar programs. ASU will use
this program, based on both need and merit, in addition to the Regents' waivers
to encourage the top 5% to 15 % of high school graduates to come and remain at
the university. Ms. Marmaduke said NAU has a similar program for the top 10 % of
Arizona high school graduates. Mr. Roberts said the UofA has two programs, one
to offer waivers to students in case of ties in the top 5 % and one that is the
same as the one ASU contemplates. Regent Kurt Davis said he would like to know
the specifics of the programs at each of the three universities--how they
differ, where the dollars are going, what systems are in place, who is being
served.
Regent Gignac asked if the usual practice is to use the money that was set-aside
to service future debt service in anticipation of a bond sale for something else
if the bonding process is delayed as NAU is planning to do. President Lovett
answered NAU has done this in the past. Regent Gignac asked if this would be a
one-time request, especially if the money will be needed the next year for
bonding purposes; and was told it is anticipated this request will become part
of the base and will be funded every year. However, if the money is not used for
debt service, the university will need to come back to the Board for approval if
it wishes to use the money for something else.
Regent Gignac asked if ASU's request for additional FTE is a conventional
approach and what programs the 105.4 FTE will serve. Dr. Glick answered it is a
conventional approach. Approxi- mately 70 % of the dollars will go to the
colleges, approximately 5 % will go to the library, and approximately 20 % will
go to special instructional needs. Approximately 90 % of the dollars will be
used for faculty.
Dr. McKeown told the Regents the universities and the central office are
projecting total revenues for FY97 of $1.9 Billion from all sources. The
revenues are comprised of $814.2 Million from the State Operating Budget, $569.5
Million from unrestricted local funds, and $523.3 Million from restricted local
funds. FY96 total revenues from all sources were $1.85 Billion. The State
Operating Budget continues to make up 42 % of the total All Funds Budget. Each
university receives differing shares from the three fund sources due to its
particular mission. The universities and the central office propose to expend
$1.7 Billion of the $1.9 Billion in revenue during the year.
Regent Gignac commended NAU for anticipating no units will be in debt exceeding
$100,000 by the end of the year and ASU for the progress it has made in
decreasing the Intercollegiate Athletic Department debt. She asked if Regents
were satisfied with the description of anticipated property purchases as listed
in the budget and the current system of purchasing property which requires the
universities to request permission from the Board for each sale. The Regents did
not express any desire to change the system.
Regent Gignac introduced the subject of the use of indirect cost recovery
dollars. She said these dollars are received based on a formula that includes
the need for libraries, space, debt service, utilities, etc. and it is not clear
in the All Funds Budget Report how those funds are used. Dr. McKeown said
that information is provided by the universities to the central office and is
available to anyone who would like the information. Regent Gignac asked that a
synopsis be made available to Regents.
Regent Kurt Davis said he would like to know what dollars are used to implement
the Hurwitz measures and what dollars are used for the Board's other strategic
initiatives. Executive Director Besnette asked that Regents let him know if
there are changes that could be made in the way the All Funds Budget is
displayed that would make it more useful to them. Regent Gignac agreed it would
be helpful to know where the dollars go in regard to the strategic goals adopted
by the Board. the undergraduate experience effectiveness; so she would like to
see the All-Funds Budget related to those strategic goals. Regent Kurt Davis
agreed he would like to know what FTE's and what dollars support which programs.
Regent Gignac suggested there be a couple of pages that show the All Funds
Budget the Board is being asked to adopt; then additional pages to equate the
budget with the strategic goals. Regent Mark Davis stated NAU's Original Budget
Summary, Detail of Expenditures - FY 1997, was informative because it broke down
the categories and was more specific about where the money was going.
Regent Gignac asked why the two UofA branch campuses were not treated the same
in the All Funds Budget. Mr. Robert said the Sierra Vista campus was overlooked
in the back-up material because it receives its money from the general fund and
there was no revenue source to trigger an additional schedule. Regent Gignac
asked why the Sierra Vista campus does not retain tuition as the Arizona
International Campus of the UofA does and was told it was simply a decision of
the academic body to treat the Sierra Vista campus as a general-fund function.
She asked for the two campuses to be treated the same in funding reporting.
Upon motion of Regent Chapa, seconded by Regent Kurt Davis, the Board approved
the FY97 All Funds Budget and the Arizona University System's FY97 State
Operating Budget expenditure authority as submitted. Executive Director Besnette
responded to questions concerning time lines by stating the Council of
Presidents will continue to look for ways to make the All Funds Budget more
informative, including ways to enable the presentation to give the Board a
clearer idea of how resource allocations are following the major strategic
directions, and will seek Board input in that process. He said this would take
some time, but believed it could be accomplished by the next update in November.
Other requests will be brought to the Board in a timely fashion, but probably
not in August, since that meeting agenda is already very heavy.
Eastburn Building Renovation: Project Approval (NAU)
Mr. Norm Hintz summarized NAU's request for Project Approval for the Eastburn
Building Renovation, Center for Excellence in Education, which was originally
constructed in 1958. This capital project constitutes a major renovation and
will include replacement of the mechanical system, correction of code/safety
issues, and reconfiguration of space. He said NAU plans to initiate construction
in September for the work that is directly related to classrooms, funding the
project with internal funds until bonding funds are received in May 1997. To
meet this schedule, the multi-year bond plan will be presented to the Regents in
August, submitted to the Joint Committee on Capital Review (JCCR) and the
Governor's office thereafter, and to a JCCR hearing to be requested for
September or October.
Regent Campbell asked if it would be less expensive to build a new building and
was told the comparison had not been calculated, but the building is sound so it
appears it would be less expensive to renovate. He also asked why there was no
fee for a construction manager and was told the plans are to combine the
services of the architect and the internal work force to manage the project.
Regent Mark Davis asked if this renovation will provide faculty offices so
Peterson Hall will not have to be renovated and was told yes. This will provide
office space for all the Center for Excellence in Education faculty in one
building. Currently they are scattered around the campus. Regent Davis commented
that he had discussed the bond sale with President Lovett. He was told the
planned, gradual sale of these bonds would not place an upward pressure on
tuition, so he planned to vote yes on this issue. Upon motion of Regent Kurt
Davis, seconded by Regent Chapa, the Board granted Project Approval to NAU for
the Eastburn Building Renovation project for a total cost not to exceed $4
Million.
Property Exchange with Arizona State Savings & Credit Union (NAU)
Mr. Norm Hintz explained NAU wishes to exchange property it owns with property
owned by the Arizona State Savings and Credit Union (ASSCU) to acquire a site
for the new Biology/Biochemistry building addition at the corner of Ellery
Avenue and Humphreys Street, immediately north of the existing Chemistry
Building, on the Flagstaff campus. The ASSCU has requested to be allowed to
retain a strip on the south side of the property for parking spaces. Therefore,
NAU wishes to sell to ASSCU a strip of land representing approximately 2/3 of
the property NAU will keep, at the appraised price of about $8 per square foot.
Upon motion of Regent Kurt Davis, seconded by Regent Chapa, the Board granted
authority to exchange properties with the ASSCU for siting of the new
Biology/Biochemistry building addition, including the sale of a strip of land to
ASSCU, subject to review of documents by university counsel.
Replacement Building and Campus Entrance Project: Conceptual Approval (NAU)
Mr. Norm Hintz summarized NAU's request for Conceptual Approval to continue
planning and design for construction of a new small building and to develop
landscaping for a primary campus entrance in conjunction with construction of
the future Biology/Biochemistry building addition. Regent Mark Davis asked if
the visitor center replacement building would be funded by academic revenue
bonding and was told yes. Upon motion of Regent Kurt Davis, seconded by Regent
Campbell, the Board granted Conceptual Approval to NAU to design a replacement
building and landscaping in conjunction with the new Biology/Biochemistry
building addition. Regent Mark Davis voted no.
The meeting recessed at 11:36 a.m. and reconvened at 1:00
p.m.
CALL TO THE AUDIENCE
Katie Harrison (On Behalf of Mr. and Mrs. Duane and Pat Thomas)
Ms. Katie Harrison read a letter from Mr. and Mrs. Duane and Pat Thomas on
behalf of their daughter, Jolene Thomas, who is a graduate of the NAU Nutrition
Department. Ms. Thomas expressed her concerns about the Department.
Dr. Sharon Brawner, a former Assistant Professor of Bilingual/Multi
Education at NAUYuma, voiced her concerns about the lack of rigorous course
requirements for students at NAU Yuma and the fact she did not receive a copy of
the criteria that is used to evaluate faculty.
Kyle S. Tindall was represented by an unknown woman reading a letter Ms.
Tindall had written to Regent John Munger stating she had wasted a semester of
school at NAU due to improper advisement.
Dr. Manuel Madrid, Superintendent of St. Johns Unified School District,
spoke in support of the education he received at the Center for Excellence in
Education at NAU, which he believed prepared him for his current employment.
Barbara Clark, Chair of the State Advisory Council for the Center for
Excellence in Education at NAU, spoke on behalf of the Council. The Council
believes the Center for Excellence in Education provides the citizens of this
state with an outstanding array of programs designed to produce the educational
leaders of today and tomorrow.
Bob Boothe, stated the Center for Excellence in Education at NAU provided
him with the competence and skills to perform his duties as the Principal of
Seacrist Elementary School in Flagstaff and helped him earn the award of
National Distinguished Principal for the State of Arizona.
Dr. Marie Axman, Principal of St. Mary's School in Flagstaff, said she
believed she owed her career achievement to the quality education she received
in the doctoral program at the Center for Excellence in Education at NAU.
Dr. Karen Butterfield, Executive Director of Flagstaff Arts Leadership
Academy, stated her support of the Educational Leadership doctoral program at
NAU.
Kathy Perko, Coconino County Superintendent of Schools, spoke both for
herself and her family in support of the Center for Excellence in Education at
NAU.
Roger Short, Superintendent of the Williams School District, spoke of the
accomplishments of several graduates of the Center for Excellence in Education
at NAU.
Dr. Gretchen Boyer, consultant, said the Educational Leadership Program
at NAU provided her with classes that were rigorous, meaningful, and relevant.
RESOURCES COMMITTEE AGENDA (Continued)
Regent Gignac chaired this portion of the meeting.
Renovation of U.S. Government Building: Revised Conceptual Approval (ASU
East)
Dr. Charles Backus summarized ASU East's request to revise a Conceptual Approval
originally granted for the renovation of the Base Exchange Facility (Building
785) at the former Williams Air Force Base that will provide permanent
laboratory, classroom, and office space for the School of Technology and the
School of Agribusiness and Environmental Resources. Upon motion of Regent Chapa,
seconded by Regent Campbell, the Board approved revised Conceptual Approval for
the Renovation of Building 790 for ASU East and agreed that the project name be
changed to Renovation of the Technology Center. The project should be included
in the ASU East FY 1998-2002 Capital Improvement Plan.
Old Main Renovation Project: Conceptual Approval (ASU)
Mr. Jennus Burton summarized ASU's request for Conceptual Approval for the Old
Main Renovation/Restoration to provide office and program space for the Arizona
State University Alumni Association. Regent Mark Davis asked if the building
would be used only by the Alumni Association as he did not want to use academic
bonding for non-academic purposes. He was told the first floor will be used for
telecommunications, an academic function. Regent Kurt Davis asked where the Army
and Air Force ROTC would be moved and if these programs are supportive of the
move. Mr. Burton said they probably would be moved to space vacated by units
moving to ASU East or to space in the proposed Liberal Arts/Social Sciences
Building, and the programs are thrilled to be moving out of an old building.
Regent Kurt Davis asked if there is a target amount for fund raising by the
Alumni Association and was told they have committed to raising the $3 Million
required for the infrastructure and the university has committed $1.5 Million in
bonding authority to address only safety and code requirements. Upon motion of
Regent Campbell, seconded by Regent Kurt Davis, the Board granted Conceptual
Approval for the Old Main Renovation/Restoration to house the Alumni Programs
and to continue the building's usefulness into the next century.
Mediated Settlement: Senova Corporation v. Arizona Instrument
Corporation, et al; Arizona Instrument Corporation v. Senova Corporation et al;
and Robert A. Ferris v. Arizona Board of Regents, et al. (ASU)
Mr. Paul Ward summarized the essence of the dispute, the material terms of the
settlement, and commented on the enhancement of the administration of technology
transfer at ASU. Regent Basha commented that ASU funds used for this settlement
would come from indirect cost recovery; they would not adversely impact academic
programs for students.
The salient terms of the proposed settlement are: 1. Arizona Instrument
Corporation (AZI) will receive $1,000,000 in cash; 2. AZI also will receive over
the next five years up to $200,000 in tuition assistance for AZI employees and
dependants attending ASU; 3. Robert Ferris (Ferris) will receive $1,250,000 in
cash; 4. Senova Corporation (Senova) will receive $2,850,000 in cash; 5. ASU and
State Risk Management shall each pay 50% of the total $5.3 Million settlement
amount. The $200,000 in tuition assistance shall be credited to ASU's 50% share;
6. Each of the parties will execute complete and mutual releases of all claims
against all other parties; 7. Senova will transfer to ASU all rights it has to
the chemical sensing technology which was in dispute as well as its continuous
hydrogen sulfide analyzer which was not in dispute. The 1993 license agreement
between Senova and Arizona State Research Institute (ASRI) will be terminated.
ASU, pursuant to a license agreement to be negotiated, will exclusively license
to AZI the chemical sensing technology; 8. All previous technology, research,
licensing, consulting, and other agreements between ASU, ASRI, and AZI, and all
obligations thereunder will be conclusively terminated; 9. The terms of this
settlement are also subject to review and approval by the Joint Legislative
Budget Committee. Each party will bear its own costs and attorneys' fees except
that ASU and State Risk Management will share equally the attorney's fees and
costs incurred by ASRI; 10. This settlement proposal does not resolve the claims
of Mr. and Mrs. Archbold.
Upon motion of Regent Campbell, seconded by Regent Gignac, the Board granted
authority to ASU to enter into a settlement agreement with Senova Corporation (Senova),
Arizona Instrument Corporation (AZI), Robert A. Ferris (Ferris), and all other
named parties in the above-referenced lawsuits obligating payments not to exceed
$2,650,000 and otherwise in substantial conformance with the above-proposed
terms; provided, however, the final Settlement Agreement and Release and related
documentation, including without limitation, the ABOR license to AZI, are
subject to the final review and approval of Board Counsel.
Supplemental Student Fee of $330 for Classroom Rental of MBA Classes at
Motorola University West (ASU)
Acting President Glick explained the request for a $330 supplemental fee for
classroom rental for MBA classes at Motorola University West. This is a joint
program of the ASU College of Business and College of Engineering and Applied
Science. Most of the students attending these classes have their fees paid by
various technology companies. Regent Mark Davis asked if the fee will increase
if less than 30 students signed up for the course and if financial aid will be
available to students who are not sponsored. Dr. Glick said the fee will not
increase and there will be financial aid for unsponsored students with
demonstrable need. Regent Kurt Davis asked if other sites had been considered
and was told yes; however, it is believed this site has unique advantages for
this program. Regent Chapa asked if students are supportive of this program and
was told there is a waiting list for the class and cost has not been an issue.
Upon motion of Regent Chapa, seconded by Regent Campbell, the Board authorized
Arizona State University to charge a supplemental fee of $330 per academic year
to students enrolled in MBA courses offered by the ASU College of Business at
the Motorola University West facility at the ASU Research Park.
Multiple-Year Employment Contract for Director of Athletics (UofA)
President Pacheco explained this request is to replace in part and extend
Director of Athletics Don James Livengood's current contract that expires
January 14, 1997. The new contract will include the same terms and conditions as
his current contract except the contract will be on a fiscal-year basis rather
than a calendar-year basis. The new contract will expire June 30, 1999.
Regent Gignac suggested the presidents and the executive director be asked to
add to the Athletic Directors' (AD's) contracts, as well as head coaches
contracts (especially mens football, basketball, and baseball), a clause which
formalizes the annual evaluation process in a manner similar to that required
for faculty and a clause that affords additional compensation for meeting
specific increases in retention and graduation rates for student athletes. She
would limit the contracts to those sports mentioned because the other sports
don't seem to have retention and graduation problems, but President Basha
suggested all coaches contracts should contain this language. President Pacheco
answered he would check, but believes those head coaches contracts already
contain that type of language. He would be willing to make the language
concerning goals in this area more specific in the Athletic Director's contract,
but did not want to add a bonus for accomplishing a higher rate of retention and
graduation as this is part of the AD's job. The Council of Presidents was asked
to present thoughts on this suggestion to the Board by December, 1996.
Upon motion of Regent Chapa, seconded by Regent Gignac, the Board authorized the
University of Arizona to enter into a multiple-year employment contract with Don
James Livengood according to the terms and conditions described in the executive
summary.
Amendment to Board Policy 4-203 (B) 5., Requirements for Resident Status
(Domiciled Within 75 Miles of the Arizona Boarder in California (First Reading)
President Basha asked why the proposed revision, which allows students living
within 75 miles of the Arizona border in certain California counties and cities
to enroll as in-state residents for a total of no more than 6 credit hours in
programs offered by ASU, NAU, or UofA in Mohave, LaPaz or Yuma counties, should
be made permanent. Executive Director Besnette said this revision had originally
been allowed because no additional funds were required to serve these students
because the capacity already existed. He believed the capacity still exists, and
he suggested the Board make this policy permanent as long as the capacity
remains.
Regent Kurt Davis asked if this program could provide an opportunity to charge a
higher fee for out-of-state users and was told there would be no customers at a
higher rate as these students are mostly employees of the agri-business
companies in the El Centro area that could not afford the higher rate. He also
asked if California had been approached for a reciprocal agreement for Arizona
students and was told there are no universities close enough to make the
exchange practical.
President Basha stated he will not be able to support this amendment at the
second reading because he does not believe the change should be made on a
permanent basis. Regent Gignac asked that this amendment not be placed on the
Consent Agenda when it returns for second reading.
Annual Report on Real Property Leases
The Arizona University System (AUS) projected 108 leases for Fiscal Year 1997
for a total of 477,648 square feet with an annual revenue of $1,795,857. The AUS
projects it will be the lessee in 109 leases for a total of 500,226 square feet
at an annual expenditure of $3,960,723.
Regent Gignac asked if the Board would be interested in a presentation on
property leases that discusses issues such as what properties the universities
are leasing, who are they leasing the properties to, and would there be a
benefit in reducing the leases. It was agreed this presentation will be made at
some appropriate future time.
Annual Space Inventory and Utilization Report
The Arizona University System (AUS) reports a shortage of net assignable square
feet for classrooms of 139,893, for classroom laboratories of 492,661, for
research laboratories of 908,600, for libraries of 818,847, and for offices of
516,638.
Regent Gignac asked if the Board would be interested in a presentation on space
inventory and utilization that discusses such issues as the occupancy numbers
for each university, the different numbers of hours per week facilities are
occupied by each university, a definition of inventory, guidelines, the
subtotals as used in Form 7-11, and how the occupancy rate can be increased. It
was agreed this presentation will be made at some appropriate future time.
PROGRAMS COMMITTEE AGENDA
Regent Campbell chaired this portion of the meeting.
Annual Report on Progress Toward Meeting the Goals Linking Faculty Teaching
Effort to the Quality of Undergraduate Education
Provost Paul Sypherd, Provost Charles Connell, Vice Provost Charles Bantz, and
Vice Provost Michael Gottfredson joined the meeting for this discussion. This is
the second annual report by the universities on the measurable goals approved by
the Board in September 1994. Provost Sypherd reminded the Board it was
understood this would be an evolutionary process during which measures and goals
would be improved and refined.
Vice Provost Gottfredson told the Board the University of Arizona is making
significant progress in meeting the measurable goals, even though the rate may
not be as fast as desired. The goals have provided a valuable tool to evaluate
the quality of undergraduate education at the university and to effect change.
He reported gains in increasing ranked faculty in the lower division compared to
last year. He said seven colleges now meet or exceed the goals, but five do not.
Advising has been markedly improved, class availability has substantially
improved, direct contact between ranked faculty and first-year students is much
higher than before, major renovations have been made in classrooms, and
significant portions of the faculty have undergone training on technology to
assist them with their teaching.
Dr. Gottfredson stated significant and difficult projects have been undertaken
to allow the accomplishment of the goals. The minimum number of students
required for a class to be formed in graduate and upper division courses has
been raised and the minimum number of units required for degree has been reduced
in many programs. Many programs have been closed or consolidated at the
undergraduate level. There are automated student progress reports and course
schedules.
He stated additional work was needed, but programs are underway that will result
in significant accomplishments.
Vice Provost Gottfredson informed the Board the University of Arizona would like
to add a goal called: "Excellent students: enhancement of the quality of
undergraduate students." He said the preparation of students coming to the
university is fundamentally related to their graduation and retention rates, and
the university believes it should seek to set standards and pursue projects to
try to increase the preparation of the students. They believe this goal will
help focus attention on the K-12 projects, relationships with community
colleges, and relationships with the high schools.
Dr. Gottfredson agreed the University of Arizona graduation rates had not
increased at the desired rate. However, he said there had been a modest, but
steady increase in graduation rates since 1981; and pointed out that none of the
students who are depicted in this data were in the programs that have been
described since they entered the university before the goals were established. A
section describing the tradeoffs necessary to achieve the measurable goals for
undergraduate education was added, also.
President Basha asked what commitment in teaching hours is expected from the
faculty at the University of Arizona, disregarding the research and community
service components, and was told it varies substantially by field and by
program. Some faculty members are expected to teach three courses a term in
areas where there is not a significant research obligation. It is impossible to
separate the research obligation from the teaching obligation in some fields.
President Basha stated he was approaching the issue from the viewpoint of a lay
person; however, he remembered that faculty members were originally required to
teach 15 hours. Then it was reduced to 12 hours, to 9 hours, and now he believed
it was an average of 6 hours. Provost Sypherd stated different time values are
given for teaching a laboratory course, teaching in a classroom, and supervising
nurses at bedside; so it is hard to give an average value. The department head
and dean would expect a certain output from faculty members involving their
contact with students, the amount of time they spend advising, and the amount of
time they spend in field work or other activities that use up clock time; and it
varies systematically by field of study.
Regent Kurt Davis said in any setting--university, business, government--there
is something called "program creep" that occurs over a period of time,
and he wants to make sure the universities examine their courses to see there
hasn't been any "creep" before they start eliminating programs. Regent
Chapa was concerned that "program creep" sometimes occurred because of
the desire of faculty to teach in their specialty, rather than student demand.
Regent Gignac was concerned about the use of the terminology ranked faculty,
regular faculty, and final degree faculty as it differed among the three
universities and made it hard to compare results.
President Basha stated he is still unhappy with the number of contact hours
ranked faculty spend with students, especially at the University of Arizona, and
is considering presenting a motion for a mandate that will require ranked
faculty to teach a certain number of hours. Dr. McGovern answered that he
believes there is a move in the direction of more teaching hours; but it will
take longer than two years to accomplish, so he hopes the Regents can be
patient. Regent Chapa said this issue is at the top of the agenda for most
Regents. He knows the staff is trying to bring about change, but the Regents are
asked by legislators and other constitutencies for a simple number answer. That
is why Regents keep asking for a base number, such as faculty are required to
teach blank number of hours, whether it be 9, 6, or 12.
Vice Provost Connell highlighted issues in the NAU report. Enrollment growth
patterns show the total number of undergraduate students at the Mountain Campus
and in statewide academic programs over the last ten years has grown in a steady
fashion, but is now stabilizing at the Mountain Campus. The enrollment is
growing dramatically in the statewide programs and requires new ways of
delivering these programs, especially in remote sites. The major new initiatives
to improve undergraduate education and to allow the delivery of courses in
different formats to allow opportunities for statewide degree completion are the
3-Year Degree Program, the Freshmen Year Experience, the Year Around Program,
alternative delivery using technology and "traveling faculty," and an
audit being conducted almost course-by-course and faculty-by-faculty. Dr.
Connell said NAU also is planning to take a hard look at the goals that have
been achieved in this process, such as the ratio of computers to students and
lower division classes taught by full-time faculty. They have exceeded the goals
of number of student contacts with faculty, proportion of classes with 30 or
fewer students, faculty mentoring relationships, and students integrated within
research activities.
Regent Gignac asked if NAU intends to reexamine the goals that have already been
reached and was told they do. Regent Mark Davis said he would rather see more
preventative programs than reactionary programs. He also asked the universities
to examine their advising capabilities at branch campuses. President Lovett
responded that advisement, especially of undeclared majors, has been targeted
for emphasis.
Vice Provost Charles Bantz highlighted the issues in the ASU Report. He said
colleges and departments are now integrating these measures into what is
expected of them and how they will be assessed. The ability of students to
access the classes they desire has immensely improved. There has been some
improvement in advising. There has been an investment in classroom facilities
such as computers. There has also been an improvement in lower division classes
taught by ranked faculty. Dr. Bantz believes this will increase at a greater
rate as the colleges' strategic plans make this part of the deans' and chairs'
evaluations. There has been a growth of undergraduate students involved in
research. Even though the freshman graduation rate is stable, it is hoped the
120-hour initiative and others will move that rate and the time-to-degree
measure upward.
Dr. Bantz described the improvements made in ASU's undergraduate mathematics
classes.
Report on Why Students Leave the Universities Prior to Graduating
Mr. Don-Paul Benjamin from the Central Office, Dr. William Johnson from ASU, and
Dr. Sarah Bickel from NAU joined the meeting for this discussion. The Board had
directed this study to be undertaken following an Auditor General's report
entitled The Student Experience that questioned why students,
especially those with high abilities, leave the universities before graduating.
Dr. Johnson called the Board's attention to the information provided that
described the methodology used in the study. He said the use of current students
to conduct the survey by telephone had resulted in more candid responses than
would have been received with a written survey.
Dr. Bickel summarized the data that reported why students left and where they
went. The reasons students gave for leaving were basically the same, regardless
of race, gender, or academic ability. "Persisters" who had considered
leaving gave the same reasons for contemplating leaving as did those who
actually left. Based on the students surveyed, most students entered the
universities with the intent of earning a bachelor's degree at that particular
university; but something happened to alter their intent. For the most part,
that was a personal or financial challenge. The majority of the students who
left one of the Arizona universities did not leave higher education or the State
of Arizona; most enrolled in a college or university in Arizona. Another 1/3
planned to enroll in the future and 90% of the "exiters" planned
ultimately to pursue their university degree. The "exiters" appeared
to have fewer connections with the campus and the faculty than the "persisters."
Regent Campbell asked if students who cited "personal reasons" had
been questioned further and was told some reasons cited were: wanting to live
closer to family/friends, family obligations, illness, relationships, roommate
problems, and desire to leave their hometown. Upon motion of Regent Gignac,
seconded by Regent Chapa, the Board accepted the report as submitted.
Report on Academic Program Reviews (ASU)
This item summarized the 11 academic programs that were reviewed by ASU
beginning in the fall of 1994 and were completed this year under the direction
of the Board policy on university program reviews. Similar reports from NAU and
the UofA are tentatively scheduled for next November. Vice Provost Charles Bantz
and Dean Bianca Bernstein joined the meeting for this discussion. This is the
first use of the standardized data tables that are being used by all 3
universities. Regent Gignac and Regent Campbell expressed their appreciation for
the improvements made in this report since last year.
Progress Report - University Virtual Academic Programs: Inventory of Academic
Courses Delivered Electronically by the Three Universities
Dr. Martha Gilliland from the UofA, Dr. Thomas Wickenden from the Central
Office, and Dr. Sam Levy of NAU joined the meeting for this discussion.
Regent Gignac stated this is a wonderful beginning. She informed the Board the
Community College Board received a presentation by Dr. Doreen Dailey, President
of Yavapai Community College, on the Arizona Learning Systems Process; and
suggested the presentation would be helpful for the Regents to hear. Regent Kurt
Davis suggested this is an issue that should be embraced aggressively by the
Board. He informed the Regents he had prepared a series of parameters or talking
points which he intended to circulate among the Regents prior to the next
meeting as he would like them to be discussed in some detail.
REPORT FROM THE ARIZONA FACULTIES COUNCIL
Dr. Thomas McGovern introduced, in absentia, the new President of the Arizona
Faculties Council, Dr. John Schwarz, from the University of Arizona. Dr.
McGovern reflected on his past year as representative for the Arizona Faculties
Council, and thanked everyone for the courtesy, cooperation, and opportunities
he received during his term. President Basha thanked Dr. McGovern for his
eloquent, passionate, and inspiring voice for higher education during the past
year and the intellectual bridge he provided between the Board and the faculty.
PUBLIC AWARENESS
Regent Gignac chaired this portion of the meeting.
Public Awareness and Outreach Plan for 1996-97
Regent Gignac explained this item represents a plan of activity and initiatives
designed to reach out in a positive way to both current and prospective members
of the legislature. It is the product of inter-university steering committee
meetings and tying into work done in previous years by the Board and the Public
Awareness and Outreach Committee. Inter-university group members Mr. Fred
Stevens and Mr. Harry Gunn, from NAU, and Ms. Christine Thompson, from the
Arizona Students' Association, were present for this discussion.
Mr. Tony Seese-Bieda, from the Central Office, introduced the new UofA Student
Body President, Rhonda Wilson, and the new ASU Student Body President, Marc
Baumgartner, who presented Regent Gignac with a trophy thanking her for service
as chair of the Public Awareness Committee.
Upon motion of Regent Kurt Davis, seconded by Regent Chapa, the Board adopted
the recommended outreach plan for the 1996 election cycle and subsequent
legislative session.
REPORT FROM THE BOARD'S REPRESENTATIVE TO THE STATE BOARD OF DIRECTORS FOR
COMMUNITY COLLEGES OF ARIZONA
Regent Gignac reported the State Board of Directors for Community Colleges met
in June for a retreat where they heard presentations on several issues,
including the Arizona Learning System.
REPORT FROM THE ACTING PRESIDENT OF ARIZONA STATE UNIVERSITY
Acting President Milton Glick reported that Douglas Anderson, Director of the
Cronkite School of Journalism and the Cronkite Chair, has just been named by the
Freedom Forum as the Outstanding Journalism Educator in the United States. The
National Science Foundation granted $2.4 Million to a group of ASU faculty to
put their electron microscopy expertise on the World Wide Web so students in
classes throughout the world can manipulate electron microscopes in their
classes without having their own electron microscope.
REPORT FROM THE PRESIDENT OF THE UNIVERSITY OF ARIZONA
President Pacheco informed the Regents of the death of Dr. Allan Beigel, former
University of Arizona Vice President.
Dr. Pacheco reported that Regents' Professor Roger Angel has been selected to
receive a MacArthur Foundation Fellowship. Dr. Angel had the idea that led to
the technology that produced large astronomical mirrors.
REPORT FROM THE PRESIDENT OF NORTHERN ARIZONA UNIVERSITY
President Lovett reported the performances of Wagner's Ring, the second cycle,
was a tremendous artistic success. It was the first time the full
"Ring" was done in a small community and the first time on a
university campus. NAU expects to have the Nevada Ballet Theater in residence
for a couple of weeks in the summer of 1997 and is hoping Dale Wasserman will
produce his new western musical in Flagstaff.
Dr. Lovett informed the Regents there are currently 400 Olympians training at
the High Altitude Sports Center.
REPORT FROM THE EXECUTIVE DIRECTOR
Executive Director Besnette reported the State Budget Reform Act requires that
every other year a master list of programs and subprograms be submitted to the
State Office of Strategic Planning and Budgeting. The master list includes, for
each program and subprogram, a mission, a description, and funding information
for the last three fiscal years. In addition, goals and performance measures are
provided for each subprogram. This document was not provided to Board members
because of its size, but is available to any Regent who requests one.
ESTABLISHMENT OF REGENTS AWARD AND SELECTION OF FIRST RECIPIENTS
President Basha summarized the history of the development of the Regents
Award for Outstanding Service to Higher Education. A Regents Award
selection committee, composed of Regent Art Chapa, Chair, Regent Rudy Campbell,
Regent Hank Amos, former Regent Andy Hurwitz and former Regent Rhian Evans
developed guidelines for the selection of nominees and screened nominations.
Regent Chapa summarized the screening process and presented the nominees
selected by the committee to the Board for approval. The committee recommended
two recipients this year: 1)The Flinn Foundation, a philanthropic endowment
founded by Dr. and Mrs. Robert S. Flinn. The Foundation has supported higher
education at all three universities for many years with twenty annual Flinn
Scholarships. They have also made specific grants in support of programs at all
three universities. All of the Foundation's activities have been on a regular
and continuing basis. 2) Jim Click, President of the Click Automotive Team and
Chairperson of the Board of Arizona Bank. Mr. Click is responsible for launching
a higher education scholarship program for the sons and daughters of the Jim
Click Automotive Team and Arizona Bank employees. Under the program, 38
employees received scholarship benefits during 1995 for a total expenditure of
$88,900.
Upon motion of Regent Chapa, seconded by Regent Mark Davis, the Board formally
approved the establishment of the Regents Award on an annual basis and the
recommendation of the selection committee that the first two Regents Awards be
presented to the Flinn Foundation and Mr. Jim Click. It is expected there will
be a special luncheon held during the September Board meeting in Tucson to
present the awards.
ELECTION OF OFFICERS FOR BOARD OF REGENTS FOR 1996-97
President Basha reported he had appointed a nominating committee composed of
Regents Chapa and Mark Davis with Past President Chapa serving as Chair. Regent
Chapa reported the following nominations to serve as officers of the Arizona
Board of Regents for the 1996-97 year: President John Munger, President Elect
Rudy Campbell, Treasurer Judy Gignac, Secretary Hank Amos, Assistant Secretary
Kurt Davis, and Assistant Treasurer Jonathan Schmitt. Upon motion of Regent
Chapa, seconded by Regent Mark Davis, the Board elected the slate of officers as
submitted by the nominating committee.
INQUIRIES, REQUESTS, AND COMMENTS FROM REGENTS AND MEMBERS OF THE COUNCIL OF
PRESIDENTS
On behalf of the Board, President Basha presented Student Regent Mark Davis an
engraved glass piece in recognition of his service on the Board. He praised
Regent Davis's concern for students, his sense of vision, and his courage in
taking the leadership on student issues. Regent Davis expressed his appreciation
for the time and patience afforded him by the Regents and stated he believed the
past year had been a tremendous learning experience.
President Lovett introduced the new NAU Faculty Senate Chair, Professor Larry
Gould.
The meeting adjourned at 5:17 p.m.
SUBMITTED BY:
________________________________
Judy E. Garza, Secretary to the Board
APPROVED BY:
_____________________________
Eddie Basha, President
ATTEST:
________________________________
Judith A. Gignac, Secretary