SAGINAW VALLEY STATE UNIVERSITY

BOARD OF CONTROL

MARCH 17, 2003

REGULAR FORMAL SESSION

INDEX OF ACTIONS

 

 

RES-1533 RESOLUTION TO MODIFY GENERAL FUND

OPERATING BUDGET FOR FISCAL YEAR 2002-2003

APPROVED.. 3

 

RES-1534 RESOLUTION TO AUTHORIZE THE ISSUANCE

AND DELIVERY OF GENERAL REVENUE BONDS

AND PROVIDING FOR OTHER MATTERS

RELATING THERETO

APPROVED.. 5

 

RES-1535 RESOLUTION TO APPOINT NOMINATING

COMMITTEE FOR MAY BOARD ELECTIONS

APPROVED.. 6

 

BM-984 MOTION TO MOVE TO INFORMAL SESSION

TO DISCUSS COLLECTIVE BARGAINING

APPROVED.. 7

 

BM-985 MOTION TO RECONVENE IN FORMAL SESSION

APPROVED.. 7

 

BM-986 MOTION TO ADJOURN

APPROVED.. 8

 

MINUTES

BOARD OF CONTROL

Regular Formal Session

March 17, 2003

Board of Control Room Third Floor, Wickes Hall

 

Present: Akbar

Braun

Cotter

DiCarlo

Gilbertson

Law

Sims

Vitito

Yantz

 

Absent:

 

Others

Present: L. Beuthin

B. Byam

B. Clark

D. Dawson

G. Eastland

J. Garibay

E. Hamilton

L. Herkstroeter

S. James

D. Karpovich

M. Malone

D. Martin

R. Maurovich

C. McFarland

B. Mudd

J. Muladore

C. Ramet

J. Royle

U. Rozanski

R. Schneider

M. Shannon

J. Stanley

M. Thorns

B. Yang

R. Yien

Press (1)

1.                  CALL TO ORDER

 

Chairman Vitito called the meeting to order at 1:32 p.m. with Trustees Akbar, Braun, DiCarlo, Law, Sims, and Yantz present.

2.                  PROCEDURAL ITEMS

1.                  Approval of Agenda and Additions to and Deletions from Agenda

Chairperson Vitito asked if there were any revisions to the agenda. Hearing none, he declared the agenda approved as distributed.

B. Approval of Minutes of February 10, 2003 Regular Formal Session of the Board of Control

 

It was moved and supported that the minutes of the February 10, 2003 Regular Formal Session be approved.

 

The minutes were unanimously APPROVED as written.

 

3.                  Recognition of the Official Representative of the Faculty Association

 

Professor Marcia Shannon, President of the Faculty Association, reported on the use of Blackboard on campus. She noted that in Fall 2000, 24 instructors were using it in 47 different courses at SVSU. During Winter semester 2003, 146 faculty were using Blackboard in 326 courses. Both the faculty and the students are very enthusiastic about this on-line instruction aid, which is available to students 24 hours every day.

Professor Shannon distributed copies of the English Departments booklet, Specific, Selected Course Descriptions for the 2003-2004 Academic Year. This document, which will be on-line for students, describes the classes offered by the English Department in greater specificity than does the University course catalog, enabling students to more easily select their courses.

Professor Shannon told the Board that the faculty stand ready to give input into the discussions that are taking place on campus regarding budget matters. She stated: I think if we share (in the discussion), there are some real advantages people buy into the decisions more, get results and improve morale, and it increases the breadth of understanding. I think all of us need to understand what the issues are so that we can be supportive of the actions that are taken.

Chairman Vitito thanked Professor Shannon for her comments.

4.                  Communications and Requests to Appear Before the Board

Dr. Robert S.P. Yien, Vice President for Academic Affairs, introduced faculty members Brooks Byam, Scott James, David Karpovich, Jim Royle, and Bing Yang, who were among those granted tenure at the Boards February meeting.

* * *

Michael Malone, Vice President of the Leona Management Company, reported on the highly successful C鳡r Chᶥz Academy located in southwest Detroit, which is one of the charter schools authorized by Saginaw Valley State University. His company works in four states, with ten different authorizors, and manages 40 charter schools. He noted that they have been very impressed with SVSUs involvement with and support for the Academy over the past several years.

(Trustee Cotter joined the meeting at 2:00 p.m.)

Javier Garibay, Principal of the C鳡r Chᶥz Elementary Academy, stated that the elementary school is in its sixth year of operation and has 465 children, 97% of whom come from poor families. Eighty percent of the Hispanic children are bilingual. Mr. Garibay thanked SVSU for providing mentors for their teachers, most of whom have been teaching for less than three years. He thanked Dr. Ronald Schneider, SVSUs Director of School & University Partnerships, for his assistance, and told the Board they deserved to be proud of their authorization of the Academy.

3.                  ACTION ITEMS

1)                 Resolution to Modify General Fund Operating Budget for Fiscal Year 2002-2003

RES-1533 It was moved and supported that the following resolution be adopted:

WHEREAS, The Board of Control adopted on June 10, 2002 the General Fund Operating Budget for fiscal year 2002-2003 and subsequently modified same on December 13, 2002; and

WHEREAS, Subsequent to December 13, 2002, the University has again revised its revenue estimate to reflect a second State Executive Order appropriation reduction as well as additional tuition revenue from winter semester credit hours in excess of budget;

NOW, THEREFORE, BE IT RESOLVED, That the attached budget summary indicating a recommended revised base budget be adopted for fiscal year 2002-2003. (See Appendix One: Budget)

 

President Gilbertson told the Board that the University had received an Executive Order cut of 1.5% in addition to the earlier cut, bringing the total cut to 3.5%, or $960,000. The proposed modified base budget simply recognizes that loss of income with a few minor modifications.

The motion was APPROVED unanimously.

President Gilbertson noted that the Governors proposed Executive Budget for Fiscal Year 2004 had proposed another 6.5% cut to higher education appropriations, which were proportioned evenly across the 15 public universities in the State. He stated: We certainly appreciate the difficulty the State finds itself in, from a budget perspective, and do not want to whine about that. Like other institutions, we will have to do what we can to take the losses we are required to take, in order to assist the State through this difficult economic time. . . . We also have an obligation, as stewards of this institution, to point out what the implications of the Governors budget request will be.

Even more distressing than the numbers . . . is the university-bashing that seems to be going on as part of this budget process. . . . A recent article in a Detroit newspaper features sweeping comments about Michigans universities, without any differentiation and distinctions and without much information about this institutions budget evidenced in those sweeping comments about universities not doing enough to get rid of fat. Its distressing and grossly unfair to the various institutions, and particularly unfair to SVSU. We have been good stewards of the publics resources and have operated over a period of time with efficiencies that may be bordering on excessive. . . .

We have continuously accepted enrollment growth, as part of our Mission as an institution of opportunity, and we have done so without State support in response to that growth. We have had good capital support, though, from the State with regard to the new buildings, but without operating funds to support this continuous expansion of opportunity which is vital to the people of this region and beyond. We have created efficiencies through growth. . . .

Over a period of years . . . there has been a shifting of cost from tax support to tuition . . . and anything we do in terms of our budgets especially our tuition judgments has to be considered in that context. . . . There are also some wide discrepancies in how the States public universities are funded. . . . We receive less now in State support on a per-student basis than we have in the past, and next year we will receive even less than five years ago. . . . But the tuition set by this Board is still the lowest in the State. I think thats a record of which we can be proud, even if, unfortunately, some critics give us scant recognition for that fact. . . . We receive the second-lowest per-student support from the State a number that has been declining and at the same time we have the lowest tuition. I can assure you that no budget I will recommend will change that ranking this year or next. I hope to be able to ask for some understanding on the part of our political leadership, so that they might avoid sweeping comments about all universities. . . . The Board ought to get credit for its stewardship of what I think is a very lean and efficient institution, for both the taxpayers and our students.

Chairman Vitito stated that the Board agreed with President Gilbertson, and that the University has done a good job of managing its resources.

2)                 Resolution to Authorize the Issuance and Delivery of General Revenue Bonds and Providing for Other Matters Relating Thereto

 

RES-1534 It was moved and supported that the attached resolution be adopted. (See Appendix Two: Bonds)

 

James G. Muladore, Vice President for Administration and Business Affairs, told the Board that this is an area where the University could save money. Prior to 2001, SVSU issued approximately $75 million of bonds at various interest rates, up to approximately 5.4%. Current market conditions are not conducive to refinancing, in spite of the low interest rate environment, as municipal bonds are trading relatively close to corporate bonds. The call dates for these bonds are eight-to-ten years in the future, and refinancing at this time would result in a negative arbitrage situation.

Resolution 1534 asks for authorization to refinance existing bonds when market conditions change. The Board will be advised of such action.

The motion was APPROVED unanimously.

3) Resolution to Appoint Nominating Committee for May Board Elections

RES-1535 It was moved and supported that the following resolution be adopted:

 

WHEREAS, Saginaw Valley State University Board of Control bylaws stipulate that a nominating committee shall be appointed by the Board to recommend candidates for each office;

NOW, THEREFORE, BE IT RESOLVED, That Robert J. Vitito, Ruth A. Braun, and Sally Stegeman DiCarlo be appointed to serve as the Saginaw Valley State University Board of Control nominating committee.

 

Chairman Vitito asked for discussion. Hearing none, he called for the vote.

 

The motion was APPROVED unanimously.

 

4.                  INFORMATION AND DISCUSSION ITEMS

 

4)                 Staff Member of the Month

 

Calvin McFarland, Staff Member of the Month for January, was presented to the Board. (See Appendix Three: McFarland)

5)                 Presentation on Faculty Development and Professional Growth

Dr. Robert S.P. Yien, Vice President for Academic Affairs, reviewed the six categories of faculty development: sabbaticals, unit committee awards, faculty improvement pool requests, SVSU Foundation Resource Grants, University Fellows, and external grants and support (including Fulbright Scholarships and institutional grants).

Dr. Basil Clark, Professor of English, demonstrated the website he created as a result of his sabbatical, during which he researched King Arthur.

Dr. George Eastland, Professor of Chemistry, discussed the work he had done while on four sabbaticals, the first two of which were in England.

Dr. Lynn Herkstroeter, Professor of French and German, told the Board the main goal of her three-summer sabbatical was to develop materials for her students to use so that they could practice and/or understand better the concepts utilized in class. She also demonstrated her webpage.

5.                  OTHER ITEMS FOR CONSIDERATION OR ACTION

6)                 Motion to Move to Informal Session to Discuss Collective Bargaining

BM-984 It was moved and supported that the Board move to Informal Session to discuss collective bargaining.

 

The motion was APPROVED unanimously.

 

The Board moved to Informal Session at 3:14 p.m.

 

7)                 Motion to Reconvene in Formal Session

 

BM-985 It was moved and supported that the Board reconvene in Formal Session.

 

The motion was APPROVED unanimously.

 

The Board reconvened in Formal Session at 4:15 p.m.

 

6.                  REMARKS BY THE PRESIDENT

 

President Gilbertson suggested a possible candidate for an Honorary Degree at Commencement on May 10^th.

7.                  ADJOURNMENT

8)                 Motion to adjourn

BM-986 It was moved and supported that the meeting be adjourned.

The motion was APPROVED unanimously.

The meeting was adjourned at 5:05 p.m.

Respectfully submitted:

 

 

 

___________________________

Robert J. Vitito

Chairman

 

 

 

___________________________

D. Brian Law

Secretary

 

 

 

___________________________

Jo A. Stanley

Recording Secretary

Secretary to the Board of Control