03-08-02minutes

Board of Regents

SUMMARY OF ACTIONS

Full Board Meeting

University of Alaska Board of Regents

March 7-8, 2002

Juneau, Alaska

OFFICIAL MINUTES

Regents Present:
Chancy Croft, Chair
Elsa Froehlich Demeksa, Vice Chair (March 7 only)
Frances H. Rose, Secretary
Brian D. Rogers, Treasurer
Mark Begich
Michael J. Burns
Joe Hardenbrook
Marlene Johnson
Kevin O. Meyers
Joe J. Thomas (March 7 only)
Joseph E. Usibelli, Jr. (excused at 1:00 p.m. on March 8)

Mark R. Hamilton, Chief Executive Officer and President, University of Alaska

Others Present:
E. Lee Gorsuch, Chancellor, UAA
Marshall L. Lind, Chancellor, UAF
John Pugh, Chancellor, UAS
Joseph M. Beedle, Vice President for Finance
Wendy Redman, Vice President for University Relations
James A. Parrish, General Counsel
James R. Johnsen, Chief of Staff
Janet Jacobs, Executive Director, Statewide Human Resources
Ann Ringstad, Director, Government Relations
Michael Sfraga, Director, Program Development
Pat Pitney, Director, Budget and Institutional Research
Jim Chapman, Provost, UAA
Paul Reichardt, Provost, UAF
Roberta Stell, Provost, UAS
Carol Griffin, Vice Chancellor for Administrative Services, UAS
Cindy Matson, Vice Chancellor for Administrative Services, UAA
Jeannie D. Phillips, Board of Regents' Officer
Barbara A. Bennett, Board of Regents' Staff

I. Call to Order

Chair Croft called the meeting to order on Thursday, March 7, 2002, at 8:20 a.m.

II. Adoption of Agenda

The agenda was approved as amended with no objections.

PASSED AS AMENDED (amendments noted by *)

"The Board of Regents adopts the agenda as presented.

I. Call to Order
II. Adoption of Agenda
III. Approval of Minutes
IV. President's Report
V. Presentations

A. Report from Alaska Cooperative Extension Advisory Council
B. Briefing on Distributed Education and Enrollment Management

VI. Public Testimony

VII. Consent Agenda

A. Academic and Student Affairs Committee

1. Approval of Degree Programs

B. Facilities and Land Management Committee

1. Approval of the 2002 Land Management Development Plan
*2. Schematic Design Approval - UAA Ecosystem/ Biomedical Health Facility Project (removed from Consent Agenda to Item VIII.B.1)

C. Finance and Audit Committee

*1. Schematic Design Approval - UAA Ecosystem/ Biomedical Health Facility Project (removed from Consent Agenda to Item VIII.B.1)

D. Joint Finance & Audit Committee and Facilities & Land Management Committee Meeting of February 13, 2002

*1. Approval of Project for UAA Ecosystem/Biomedical Health Facility (removed from Consent Agenda to Item VIII.B.1)
2. Approval of Increased Spending Authority for the University of Alaska Fairbanks SFOS Facility at Lena Point

VIII. New Business and Committee Reports

A. Academic and Student Affairs Committee
B. Facilities and Land Management Committee

*1. Project and Schematic Design Approval - UAA Ecosystem/ Biomedical Health Facility Project (from Consent Agenda)
2. Approval of Project and Schematic Design for the UAS Ketchikan Hamilton/Robertson Technical Education Center Remodel Project
3. Committee Report

C. Finance and Audit Committee

*1. Approval of Acquisition of University Center Mall Property in Anchorage, Alaska (added)
2. Committee Report

*D. Joint Finance and Audit Committee Meeting of February 13, 2002 (added)

1. Approval of Project Scoping and Development of Design-Build RFP for the UAF West Ridge Research Facility
2. Approval of Projects and Expenditure of Funds for Improving Science Facilities and Projects at the University of Alaska Fairbanks
3. Approval of Schematic Design for the University of Alaska Fairbanks Bristol Bay Classroom Addition

E. Human Resources Committee
F. Planning and Development Committee
G. Approval of Revisions to Corporate Authority Resolution
H. Approval of Revisions to Industrial Security Resolution

IX. Alaska Commission on Postsecondary Education Report

X. UA Foundation Report

XI. Future Agenda Items

XII. Board of Regents' Comments

XIII. Executive Session

XIV. Approval of an Honorary Degree for Spring 2002

XV. Approval of Board of Regents Meeting Schedule for 2003 and Revision to Meeting Schedule for 2002

XVI. Adjourn

This motion is effective March 7, 2002."

III. Approval of Minutes

Regent Thomas moved, seconded by Regent Demeksa, and passed with no objections that:

PASSED

"The Board of Regents approves the minutes of its regular meeting of December 6-7, 2001 as presented. This motion is effective March 7, 2002."

Regent Thomas moved, seconded by Regent Demeksa, and passed with no objections that:

PASSED

"The Board of Regents approves the minutes of its retreat of January 18-20, 2002 as presented. This motion is effective March 7, 2002."

Regent Thomas moved, seconded by Regent Demeksa, and passed with no objections that:

PASSED

"The Board of Regents approves the minutes of its special meeting of February 13, 2002 as presented. This motion is effective March 7, 2002."

IV. President's Report

President Hamilton provided information and updates on the following topics:

-- Legislative Session and progress on operating and capital budgets.
-- Points of pride including the Egan Library expansion, the UAA Debate Team currently ranked 10th in the nation; and the UAF hockey team's participation in its first NCAA championship tournament.
-- External Reviews on strategic planning elements; these reviews will be used to enhance systemwide efforts to improve quality and responsiveness of the university.
-- UA Academy 2002.
-- Strategic Planning efforts.
-- Briefing on the next two days' agenda.

V. Presentations

A. Report from Alaska Cooperative Extension Advisory Council

Karen Cedzo, chair of the Alaska Cooperative Extension Advisory Council, updated the Board of Regents regarding activities of ACE and its advisory council.

B. Distributed Education / Enrollment Management

Mike Sfraga, director of Program Development, provided progress reports regarding efforts in distributed education and enrollment management.

VI. Public Testimony

The Board of Regents recognized former Regent Gordon Evans.

The Board heard a report from Representative Bill Hudson regarding the Fiscal Policy Committee's work.

Ric Nekon, UAA student, spoke of his concerns regarding his inability to be placed in the UAA dormitories due to his disability.

Nancy Burke, director of Access Alaska, encouraged board members and administration to ensure that disabled students are able to live in UA dormitories.

The Full Board was recessed until Friday, March 8, 2002.

The Full Board went back into session at 2:00 p.m. on Friday, March 8, 2002.

VII. Consent Agenda

Regent Rogers moved the following motion as amended, which was approved with no objections.

PASSED AS AMENDED

"The Board of Regents approves the recommendations as amended below. This motion is effective March 8, 2002."

A. Academic and Student Affairs Committee

1. Approval of Academic Degree Programs - Reference 12

MOTION

"The Board of Regents approves the following academic degree programs at the University of Alaska Anchorage:

1. Certificate in Geographic Information Systems
2. Certificate in Massage Therapy
3. Bachelor of Science in Medical Technology
4. Bachelor of Arts in Philosophy and Certificate in Applied Ethics

This motion is effective March 8, 2002."

B. Facilities and Land Management Committee

1. Approval of the 2002 Land Management Development Plan - Reference 1

MOTION

"The Board of Regents approves the Land Management 2002 Development Plan as presented and directs the administration to continue its development efforts and carry out the plan to the extent practicable in accordance with Regents' Policy and guidelines set forth above. This motion is effective March 8, 2002."

2. Schematic Design Approval - UAA Ecosystem/Biomedical Health Facility Project - Reference 2

Removed from Consent Agenda to Item VIII.B.1.

C. Finance and Audit Committee

1. Schematic Design Approval - UAA Ecosystem/Biomedical Health Facility Project - Reference 3

Removed from Consent Agenda to Item VIII.B.1.

D. Joint Finance & Audit Committee and Facilities & Land Management Committee Meeting of February 13, 2002

1. Approval of Project for UAA Ecosystem/Biomedical Health Facility

Removed from Consent Agenda to Item VIII.B.1.

2. Approval of Increased Spending Authority for the University of Alaska Fairbanks SFOS Facility at Lena Point

MOTION

"The Board of Regents:
1. authorizes an increase in project budget authority from $1.7 million to $2.5 million;
2. authorizes the administration to modify its FY02 capital request to provide for NGF appropriation authority through a supplemental budget request of $800,000 additional for this phase of the project; and
3. authorizes expenditure of unrestricted funds not to exceed $2.5 million from inception to date to meet current commitments for planning and construction in anticipation of legislative receipt authority or utilization of existing small capital project authority.
This motion effective March 8, 2002."

VIII. New Business and Committee Reports

A. Academic and Student Affairs Committee

In addition to action items, the committee also reviewed the following:

-- Prioritization of Issues and Issue Focus Statements for Agenda Setting
-- Update on Upcoming Academic External Review
-- Update on Accreditation Activities

The following requests were made to the administration:

-- Add to academic degree program proposals, information on possible salary range of employment after graduation.
-- Compare/contrast MAU strategic plans with issue prioritization compiled by the Board of Regents.
-- Provide update on academic external review.

B. Facilities and Land Management Committee

*1. Project and Schematic Design Approval - UAA Ecosystem/Biomedical Health Facility Project (from Consent Agenda)

At the special meeting of February 13, 2002, the joint committees approved the following motion:

MOTION AS AMENDED

The Board of Regents:
1. authorizes the initiation of the UAA Ecosystem/Biomedical Health Facility Project (project approval) as presented at a cost not to exceed $4.85 million;
2. authorizes the administration to seek a re-appropriation of $2.75 million from the UAA science deferred maintenance appropriation to the UAA Ecosystem/Biomedical Health Facility Project;
3. authorizes utilization of the FY03 capital request appropriation and/or federal receipt authority to include $2 million for the UAA Ecosystem/ Biomedical Health Facility Project; and
4. authorizes the use of unrestricted operating funds not to exceed $400,000 to continue planning and design for the project in anticipation of receipt appropriation, general fund authorization and/or debt financing.

At the committee meeting on March 7, 2002, the following motion was approved:

PASSED AS AMENDED

"The Finance & Audit Committee and the Facilities & Land Management Committee withdraws the motion passed at their February 13, 2002 meeting and hereby recommends that the Board of Regents approve the project and schematic design for the University of Alaska Anchorage Ecosystem/Biomedical Health Facility project as presented and authorizes the administration to bid and award contracts not to exceed a total project cost of $4.85 million, subject to the availability of funding as may be approved or authorized in accordance with procedures established by the Finance and Audit Committee. This motion is effective March 7, 2002."

Regent Burns moved the following motion, which passed with no objections:

PASSED AS AMENDED

"The Board of Regents approves the project and schematic design for the University of Alaska Anchorage Ecosystem/ Biomedical Health Facility project as presented and authorizes the administration to bid and award contracts not to exceed a total project cost of $4.85 million, subject to the availability of funding as may be approved or authorized in accordance with procedures established by the Finance and Audit Committee. This motion is effective March 8, 2002."

2. Approval of Project and Schematic Design for the UAS Ketchikan Hamilton/Robertson Technical Education Center Remodel Project

The following motion was approved at the committee level:

PASSED

"In accordance with Regents' Policy 05.12.04.A, the Facilities and Land Management Committee approves the Project and Schematic Design for the UAS Ketchikan Hamilton/Robertson Technical Education Center Remodel Project as presented, authorizing the administration to bid and award contracts not to exceed a total project cost of $1.705 million. This motion is effective March 7, 2002."

3. Committee Report

In addition to action items, the committee received information on the following items:

-- Criteria for Prioritizing FY04 Capital Budget Requests
-- Status Report on University Investments in Capital Facilities, Construction in Progress, and Other Projects
-- Initial Presentation of UAS Master Planning Efforts
-- Review of Master Plan for UAF Tanana Valley Campus
-- Information Regarding UA Debt

The committee requested the following information from the administration:

-- Provide info on what "traditions" might hamper the budget process that might require policy to correct.
-- Consider a commission to review operation processes to look for savings and efficiencies.
-- Provide info regarding charges for credit card transactions.
-- Explore the possibility of freeing up debt capacity by outsourcing utility operations.

The following items were requested as future agenda items:

-- Regents' Policy Realignment to Reflect Committee Structure
-- Naming of Facilities (Revenue & Marketing)
-- Information on the High Cost of University Buildings
-- External Review of Facilities/Project Agreements
-- UA Wide Planning Matrix

The committee requested that a special meeting be held in Fairbanks during the month of April 2002.

C. Finance and Audit Committee

*1. Approval of Acquisition of University Center Mall Property in Anchorage, Alaska (added)

Regent Begich moved the following motion, which passed with no objections:

PASSED

"The Board of Regents approves the purchase of approximately 90,000 square feet of the University Mall Center and adjacent property in Anchorage, Alaska, subject to legislative appropriation for acquisition and essential improvements, approval of the purchase agreement by General Counsel and the Vice President for Finance, and approval of the UAA project agreement and detailed cost breakdown by the Facilities and Land Management Committee. This motion is effective March 8, 2002."

2. Committee Report

In addition to action items, the committee also received information on the following items:

-- Guidelines for the FY04 Operating Budget Request
-- Criteria for Prioritizing FY04 Capital Requests
-- Information Regarding UA Debt
-- Regents' Policy Realignment to Reflect Committee Structure

D. Joint Facilities & Land Management and Finance & Audit Committee Meeting of February 13, 2002

At the joint committee meeting, the following motions were approved:

1. Approval of Project Scoping and Development of Design-Build RFP for the UAF West Ridge Research Facility

PASSED AS AMENDED

"The Finance & Audit and Facilities & Land Management Committees recommend that the Board of Regents authorize the expenditure of transferred bond proceeds not to exceed $160,000 to initiate project scoping and development of a design build RFP for the UAF West Ridge Research Building Shell Project. This motion is effective February 13, 2002."

2. Approval of Projects and Expenditure of Funds for Improving Science Facilities and Projects at the University of Alaska Fairbanks

PASSED

"The Finance & Audit and Facilities & Land Management Committees approve, subject to the availability of funds as determined by Vice President Beedle, the UAF Arctic Health Research Building Sprinklers Phase I Project at a total project cost of $1.5 million, and the UAF Revitalization of the Old MIRL Lab Project at a total project cost of $815,000 as presented, and recommends that the Board of Regents approve as presented the expenditure plan for Series I Bond Proceeds and related third-party reimbursements. This motion is effective February 13, 2002."

3. Approval of Schematic Design for the University of Alaska Fairbanks Bristol Bay Classroom Addition

PASSED

"As required by Regents' Policy 05.12.04 C., the Finance & Audit and Facilities & Land Management Committees approve the schematic design for the University of Alaska Fairbanks Bristol Bay Campus Addition as presented, and authorizes the university administration to bid and award contracts not to exceed a total project cost of $1,850,000, and should the administration identify additional funding, the Finance & Audit and Facilities & Land Management Committees recommend that the Board of Regents approve the schematic design for the University of Alaska Fairbanks Bristol Bay Campus Addition as presented, and authorize the university administration to bid and award contracts not to exceed available funding. This motion is effective February 13, 2002."

E. Human Resources Committee

The Human Resources Committee heard reports on the UA Academy 2002 and the classification project.

Members requested the following information be provided:

-- Affirmative Action report
-- Employee turn-over rate
-- Retirement data
-- Survey data on why people leave their job

Members requested the following be considered as future agenda items:

-- Report on faculty governance vs. faculty bargaining issues
-- Update on all union contracts
-- Update on differences between union and non-union health plans

F. Planning and Development Committee

The committee reviewed and recommended revisions to the Board of Regents' Bylaws; approval is scheduled for the June 2002 meeting.

The committee also requested that the data collected during the retreat be compiled.

G. Approval of Revisions to Corporate Authority Resolution

The Board of Regents regularly passes a resolution specifying certain university officers as being authorized to execute investment and banking transactions for the University of Alaska. Because of changes in officers of the Board of Regents, a current resolution is necessary in order to execute timely investment and banking transactions.

Regent Rogers moved, seconded by Regent Begich, and approved with no objections that:

PASSED

"The Board of Regents approves the Corporate Authority Resolution, as may be revised to reflect any change in names or titles of officers resulting from the annual election of officers, and authorizes the Chair and Secretary of the Board of Regents to sign the resolution. This motion is effective March 8, 2002."

H. Approval of Revisions to Industrial Security Resolution

The President and selected members of the university administration are routinely designated by the Board of Regents to handle any duties and responsibilities relating to classified information in connection with contracts with the Department of Defense and other federal agencies. These individuals are given an extensive security screening and are the only members of the administration, including the Board of Regents, to have access to classified information. The university has received similar security clearances since the mid-1950s. Execution of the resolution allows regents and other members of the administration to be exempted from security clearance procedures.

The resolution is identical to resolutions previously passed except for a change in names of officers of the Board of Regents.

Regent Rogers moved, seconded by Regent Begich, and approved with no objections that:

PASSED

"The Board of Regents approves the Industrial Security Resolution, as revised to reflect the change in titles of various regents resulting from the annual election of officers, and authorizes the Chair and Secretary of the Board of Regents to sign the resolution. This motion is effective March 8, 2002."

IX. Alaska Commission on Postsecondary Education Report

No report.

X. UA Foundation Report

No report.

XI. Future Agenda Items

Regent Rose asked that a report be made at a future meeting on classified research.

Regent Hardenbrook announced that the Coalition of Student Government should have its constitution ready for approval by the September 2002 board meeting.

XII. Board of Regents' Comments

Regent Burns commented that it had been a good meeting; that public comment has decreased and needs to be reflected in the time allotted for public testimony; also, when meeting in Juneau, public testimony times but be set for both locations (Baranof Hotel and UAS campus).

Regent Rose spoke of her enthusiasm for the commitment of the board to the community college mission.

Regent Johnson reported that she has met with some of the faculty and staff and Sealaska Heritage Foundation on joint projects; and commented that the University of Alaska still has a long way to go with what is delivered to rural Alaska.

Regent Hardenbrook expressed a concern regarding students involved in student government activities having problems getting excused from classes during their governance duties and asked that the administration look into this problem.

Regent Rogers congratulated UAS on the new classroom wing, UAF on College Bowl team and wished them the best on their upcoming National competition; he reported that there would be a major hockey game, Festival of Native Arts, and scholars all in Fairbanks this weekend; and asked that the administration schedule public testimony periods for both days of board meetings: one in the morning and one in the afternoon.

Regent Croft announced that the UA Foundation representatives will be Regents Rogers and Croft; reminded regents to attend student meetings; and asked that the strategic planning rating sheets and commencement schedules be submitted to the Board of Regents' office as early as possible.

XIII. Executive Session

The following motion was approved with no objections:

PASSED

"The Board of Regents goes into executive session at 2:50 p.m. A.S.T in accordance with the provisions of AS 44.62.310 to discuss matters the immediate knowledge of which would have an adverse effect on the finances of the university related to:
--Litigation
--Labor Relations including collective bargaining discussion concerning ongoing and upcoming negotiations
--Land Transactions
--Contract Negotiations regarding UAA lands and the Mental Health Trust, UAA surge space leases, and UAF construction contracts;
and matters which would affect the reputation or character of a person or persons including honorary degree recipients and personnel matters. The session will include members of the Board of Regents, President Hamilton, General Counsel Parrish, and such other university staff members as the president may designate and will last approximately 30 minutes. Thus, the open session of the Board of Regents will resume in this room at approximately 3:20 p.m. A.S.T. This motion is effective March 8, 2002."

The Board of Regents concluded an executive session at 3:23 p.m. A.S.T. in accordance with AS 44.62.310 discussing matters the immediate knowledge of which would have an adverse effect on the finances of the university and matters which would affect the reputation or character of a person or persons. The session included members of the Board of Regents, President Hamilton, General Counsel Parrish, and other university staff members designated by the president and lasted approximately 33 minutes.

XIV. Approval of an Honorary Degree for Spring 2002

A recommendation was submitted by the University of Alaska Fairbanks and was reviewed prior to the March 6-8, 2002 board meeting.

Regent Rogers moved, seconded by Regent Burns, and passed with no objections that:

PASSED

"The Board of Regents approves the nominee for an honorary doctoral degree at the University of Alaska Fairbanks as proposed, for commencement exercises in the spring of 2002 and beyond, and authorizes Chancellor Lind to invite the approved nominee and announce the nominee's acceptance. This motion is effective March 8, 2002."

XV. Approval of Board of Regents Meeting Schedule for 2003 and Revision to Meeting Schedule for 2002

After discussion, board members agreed to the following schedule:

2002
Regular Meeting / *June 11 - PM only; June 12, June 13 - AM only / Fairbanks
Regular Meeting / September 12-13, 2002 / Anchorage
Meeting re Budget / *November 12, 2002 / Anchorage
Annual Meeting / December 5-6, 2002 / Fairbanks

*indicates revision

2003
Board of Regents' Retreat / January 17-19, 2003 / Girdwood
Regular Meeting / February 20-21, 2003 / Juneau
Regular Meeting / April 17-18, 2003 / Kenai
Regular Meeting / June 5-6, 2003 / Fairbanks
Regular Meeting / September 11-12, 2003 / Anchorage
Meeting re Budget / November 7, 2003 / Fairbanks
Annual Meeting / December 4-5, 2003 / Anchorage

PASSED AS AMENDED

"The Board of Regents approves the revision to the 2002 meeting schedule and approves the 2003 meeting schedule as presented. This motion is effective March 8, 2002."

XVI. Adjourn

Chair Croft adjourned the meeting at 3:45 p.m. on Friday, March 8, 2002.