Board of Regents

Minutes of the July, 2011 Board of Regents meeting

 

BOARD OF REGENTS OF THE UNIVERSITY OF WISCONSIN SYSTEM

Held in 1820 Van Hise Hall

Madison, Wisconsin

Thursday, July 14, 2011

10:00 a.m.

PRESIDENTS’ GREETING and Welcome to New Regents.................................................................................................... 2

2011-13 BIENNIAL BUDGET UPDATE........................................................................................................................................... 3

Biennial Budget Passage and Advocacy for Flexibility............................................................................................ 3

Effects of Funding Reductions........................................................................................................................................... 4

Biennial-Budget Detail........................................................................................................................................................... 5

Board Discussion of Biennial Budget.............................................................................................................................. 6

Approval of UW System 2011-12 Annual Operating Budget and Tuition.......................................................... 6

Overview of Operating Budget Goals............................................................................................................................. 6

Tuition Increase........................................................................................................................................................................ 7

Financial Aid and Net Cost................................................................................................................................................... 8

Annual-Operating-Budget Detail...................................................................................................................................... 8

Board Discussion of 2011-12 Operating Budget......................................................................................................... 9

2011-12 Operating Budget including Rates for Academic Tuition, Segregated Fees, Textbook Rental, Room and Board, and Apartments; Academic Tuition Refund Policy and Schedule; and Annual Distribution Adjustments............................................. 13

Closed Session............................................................................................................................................................................ 13

Closed Session Motion......................................................................................................................................................... 13

 

 


BOARD OF REGENTS OF THE UNIVERSITY OF WISCONSIN SYSTEM

Held in 1820 Van Hise Hall

Madison, Wisconsin

Thursday, July 14, 2011

10:00 a.m.

-President Spector presiding-

PRESENT:  Regents Jeffrey Bartell, Mark Bradley, Judith Crain, Danae Davis, Stan Davis, John Drew, Anthony Evers, Michael Falbo, Thomas Loftus, Edmund Manydeeds, Charles Pruitt, Brent Smith, Troy Sherven, Michael Spector, David Walsh, and Betty Womack

UNABLE TO ATTEND:  Regents Katherine Pointer and José Vásquez

- - -

PRESIDENTS’ GREETING and Welcome to New Regents

President Spector began the meeting by welcoming two new Regents.  The first, Mark Tyler, of Woodville, Wisconsin, was present to observe and would begin serving on the Board of Regents the following day.  He succeeded Regent Stan Davis as both President of the Wisconsin Technical College System Board and that board’s representative on the Board of Regents.  Regent Tyler, who previously served as Vice President of the WTCS Board, is also the founder and president of OEM Fabricators, a steel fabricator employing about 350 people in Woodville and Neillsville.   

Regent Tyler said that he was energized and humbled to join the Board of Regents.  He said that he hoped that his perspective as a manufacturer, farmer, technical-college graduate and life-long learner would be valuable on the Board.  Mr. Tyler received his B.A. in May 2011 from the University of St. Thomas.  Acknowledging the complexity of the University of Wisconsin System, he said that he had had the pleasure of working for some time with UW-River Falls Chancellor Van Galen and UW-Stout Chancellor Sorensen.  He said that his company’s principal connection with the University was through the pipeline of graduates that fill engineering and management positions; they are essential for the company’s growth.  He expressed his commitment to work diligently on the Board and to contributing his best efforts.  In particular, he would like to contribute to continuing the progress that had already been made in elevating the collaboration among all educational institutions, so that the progression of one’s life-long journey is seamless and without roadblocks.

President Spector also welcomed the Board’s new non-traditional student Regent, Troy Sherven, of Oregon, Wisconsin.  Regent Sherven expects to earn a Bachelor of Science degree in Management from UW-Stout in 2012.  He works full-time as the Manager of Information Systems at MCD, Inc. in Madison.  He succeeds former Regent Jessica Schwalenberg.

Regent Sherven thanked Board members for their gracious welcome.  Noting that he had returned to school 18 years after earning his two-year degree, he said that considerations in returning to UW-Stout included distance learning opportunities and the university’s friendliness toward returning adults.  He said he had taken classes at many other institutions, had seen what worked and did not work, and hoped to bring the perspective someone with this experience.  He said that he looked forward to working with the members of the Board.

President Spector announced that a third new Regent, student-Regent Katie Pointer, would be introduced in person at the September meeting.  An out-of-town commitment made prior to her appointment precluded her presence at the meeting.

President Spector turned to President Reilly to recognize a long-standing colleague who would be stepping into a new role.  UW-Stevens Point Provost Mark Nook agreed to serve as Interim Senior Vice President for Academic Affairs within UW System Administration.  Mark is stepping in for Rebecca Martin, who accepted a position with the U.S. Education Delivery Institute in Washington, D.C., and would be leaving UW System later in July.  President Reilly wished Dr. Nook best of luck in his new role.

- - -

2011-13 BIENNIAL BUDGET UPDATE

President Spector stated that the morning’s agenda would focus on two related items about budgets.  First would be an informational review of the 2011-13 biennial state budget and its major components affecting the UW System, followed by consideration of the UW System 2011-12 Annual Operating Budget, including setting tuition rates for the coming academic year.

            Biennial Budget Passage and Advocacy for Flexibility

When the Board last met on June 9 and 10, 2011, the Legislature’s Joint Finance Committee had just adopted significant new leadership flexibilities for all UW institutions.  Those flexibilities were preserved in the final budget bill approved by both legislative houses and signed by Governor Walker.  In addition, the final legislation also contained a fair number of challenges for UW institutions, which would affect the 2011-12 operating budget.

President Spector turned to President Reilly to further introduce the budget discussion.  President Reilly said that the two-year budget reduced taxpayer support for the UW institutions’ operating budget by $250 million, and also provided long-sought statutory changes in key areas such as budgeting, financial management, and personnel.

The final budget bill preserved a unified statewide system, while also providing UW-Madison with specific institutional authority in personnel systems, procurement, and accountability reporting.

The University System had long advocated for the authority to manage its operations more efficiently; President Reilly expressed appreciation for the Legislature’s and the Governor’s efforts to offer reasonable changes that would enhance the UW’s ability to cope with near- and long-term challenges.

Chancellors, joined by business and community leaders, advocated strongly for these flexibilities, President Reilly stated.  Governor Walker said from the start that he was open to the idea of providing more flexibility to all UW System institutions, and legislators gave the UW a budget that did that.

            Effects of Funding Reductions

Large funding cuts would be felt by everyone, in the form of larger class sizes, reduced services, smaller paychecks, and higher workloads.  President Reilly said that budgets were being cut at a time when more citizens want access to higher education, as shown by the System’s current highest enrollment ever.  President Reilly asked Chancellors Mike Lovell and Dick Telfer to speak about the negative effects of the budget cuts on to their universities.

UW-Milwaukee Chancellor Mike Lovell, saying that he had been having a lot of meetings with students, noted that students meet with their academic advisors, make a plan to graduate, and then when they go to register, find that they have been locked out of the classes they need because not enough course sections are available.  Chancellor Lovell read an email from a student, who expressed frustration about getting the classes she needed to graduate on time.  She said that she had to run around campus after the semester started to ask professors to allow her into their classes, and she was forced to take classes she could get into, instead of those that sparked her interest.  The chancellor said that, unfortunately, the problem was likely to get worse, because staffing and course sections would be reduced.  He referred to an obligation to help students graduate in a timely manner and said that a solution is needed.

UW-Whitewater Chancellor Dick Telfer highlighted three areas of concern:  (1) there are about 1,000 more students on campus than ten years ago, and class sizes have grown over the past eight years because of budget issues; (2) administrative capacity has been stripped in such a way that basic services such as cleaning, admissions, financial aid staffing, and even cleaning have been reduced; and (3) it is difficult to find the money for such high-impact practices as undergraduate research, study abroad, and tutoring.

President Reilly thanked the two chancellors for the examples they cited.  He noted that many cuts were occurring, but one important provision in the budget bill would mean that take-home pay would not shrink quite as much as we expected.  Thanks to a statutory change that was added by the Assembly, UW employees can make their new retirement contributions on a pre-tax basis, resulting in some savings.  For an employee earning $36,000 per year, for example, the ability to make pre-tax contributions will save an estimated $475 per year.

President Reilly said that the UW System needs to find new ways to keep making the case for the value of its mission, and the value of the faculty and staff who deliver on the mission.  The University of Wisconsin needs to help lead Wisconsin and the nation out of the recession, and thereby position itself for new investments in the UW.

            Biennial-Budget Detail

President Reilly called upon Senior Vice President Morgan to present the biennial budget in more depth.  Mr. Morgan spoke about Wisconsin Act 32, the 2011-13 biennial budget.  He said that the Legislature made few changes compared with the Joint Finance Committee’s version of the budget. 

Senior Vice President Morgan said that the UW System’s budget was reduced by $250 million, with UW-Madison’s share changing from about 50 percent to 38 percent, compared with the Joint Finance version; UW System Administration’s budget was reduced by 25 percent; and UW System Administration positions were reduced by 51.  In addition, the UW System would be  required to report back to Joint Finance and the Department of Administration about how the System Administration cut would be taken.

The Legislature approved some long-sought flexibilities:  (1) a GPR block grant for general program operations and debt service; (2) removal of limits on tuition authority, although a 5.5 percent limit on tuition applies to the current biennium; (3) authority for a supplemental pay plan, with Joint Committee on Employee Relations (JCOER) approval, and funded from UW System resources; (4) an opportunity for a UW personnel system, subject to JCOER approval; (5) the ability to conduct collective bargaining within the System; and (6) removal of a $12,000 dual-employment cap on certain UW employees; (7) authority to enter into contracts for purchases related to higher education; (8) an increase in the threshold for sealed bids from $25,000 to $50,000; (9) authorization to accept vehicles as gifts; and (10) authorization to establish travel policies for the UW beginning in 2013.  UW employees will not be counted in the state position count, beginning in 2013.

Senior Vice President Morgan also noted the creation in the budget bill of the Special Task force on UW Restructuring and Operational Flexibilities. The Task Force, with 17 members appointed by the Legislature and the Governor, would be charged with addressing:  (1) the structure and governance of the UW System; (2) the transition of employees to the new personnel system; (3) tuition flexibility and the Legislature’s role; (4) how pay plans should be determined; (5) additional flexibilities that could be provided; and (6) improvement of articulation and transfer of credit between institutions.  Mr. Morgan also reviewed the specific composition of the Task Force, funding for expenses, and staffing.

Highlighting other budgetary provisions, Mr. Morgan said that the budget requires a Legislative Audit Bureau financial and performance audit on telecommunications services and the relationship with WiscNet by January 1, 2013.  The budget also, effective July 1, 2013, prohibits the University from being a member, shareholder, or partner in any third-party entity providing telecommunications services to anyone other than higher-education institutions. 

In addition, the budget deleted the prohibition from receiving or expending funds related to the Building Community Capacity through Broadband (BCCB) grant awarded to UW-Extension.  The budget also prohibited UW-Extension from committing any funds to facilities under the BCCB grant project that were not committed prior to June 15, 2011, unless approved by the Joint Committee on Finance.  The University has significant concern about these budget provisions, as described at the June Board of Regents meeting.

            Board Discussion of Biennial Budget

Regent Danae Davis asked about possible results from the legislative Task Force, and whether the Task Force could undo already-approved provisions.  Senior Vice President Morgan said that the work of the Task Force was to be completed by January 1, 2012.  He was hopeful that there would be continued positive movement with respect to flexibilities, tuition, and other areas.

Regent Bartell, referring to the block-grant flexibility, asked a question about how the block grant would work.  Mr. Morgan said that the law is silent on how this would work, but prior discussions within the System have suggested that the Board would delegate flexibilities such as the block grant to the UW institutions.  Regent Bartell asked about tuition revenues, as they relate to the block grant.  Senior Vice President Morgan said that the budget provides for greater flexibility in institutions’ use of tuition revenue, without Regent approval.

Regent Loftus commented that the budget is a retreat from higher education in Wisconsin.  He said that the budget provides an incentive, whether intended or unintended, to enroll even more students because students now pay such a large cost of the UW System.  Also, there is an incentive to enroll more out-of-state students, who will pay the full fare.  Mr. Morgan responded that the Board had continued to push forward with the Growth Agenda, but it would be challenging to continue to provide a high-quality educational environment for students.  The proportion of general purpose revenue (GPR) funding is now only 18 percent. 

President Reilly added that there is a trend nationally for students and their families to pay more of the cost of higher education.  Some UW institutions have chosen to grow the number of their students, while others have focused on retention and graduation to get more students through to earn a degree.  There is an incentive for institutions to grow, especially with the newly-added tuition flexibility.  He said that this is foolish in the long run, because it prevents some students from attaining a higher education.  Chancellor Wells said that the challenge is to figure out how to provide a higher-quality education at a lower-per-capita cost.  The incentive is to recognize the need to be entrepreneurial and innovative in figuring out how to subsidize the cost of higher education.

- - -

Approval of UW System 2011-12 Annual Operating Budget and Tuition

            Overview of Operating Budget Goals

 

Turning to the 2011-12 annual operating budget, President Spector said that the focus of the discussion would be on setting tuition for the coming academic year, but that there are many other parts to the budget, as well.  As the Regents review the proposed annual budget, he said, it would be important to consider a balanced big picture, including not only the price students pay, but also the aid that they receive to reduce that cost.  Another consideration is the more subjective matter of lifelong benefits students derive from a first-class college education, as well as whether UW institutions have the resources to deliver that first-class educational experience.

President Spector stressed the importance of keeping in mind the broader benefits that all of Wisconsin derives from having an educated workforce.  In light of the flexibilities now granted to the UW System, the annual budget should be examined to ensure that opportunities are pursued to use this new authority to stretch dollars further and serve students better.

President Reilly spoke next, providing an overview of the annual operating budget and noting the long-term goal of preserving broad access.  Wisconsin is not the only state where universities must tighten their belts to deal with state budget cuts, but the UW has successfully avoided the kinds of double-digit tuition increases that would place a heavier burden on students and their families.

To continue serving more than 182,000 students – and continue serving them well – UW System institutions need some additional revenues to preserve high-quality degree programs, help students graduate on time, and support mission-critical functions at all of the universities.  President Reilly said that the biennial budget provides significant new operational flexibilities, and he expressed gratitude for that new authority.  However, chancellors would still need to make tough choices about trimming operating budgets and delaying implementation of new programs. 

            Tuition Increase

President Reilly observed that the members of the Board share an abiding commitment to keeping public institutions excellent, accessible, and affordable.  He expressed pride in the effort in recent years to keep tuition increases reasonable and predictable.  For the last four years, increases at four-year campuses were held to 5.5 percent, less than at peer institutions.  If the Board accepts the recommended budget, the 5.5 percent increase would mean that UW-Madison tuition would rise by a total of $659 for the next academic year, representing a 5.5 percent general tuition increase of $409, plus the $250 differential tuition increase for the Madison Initiative for Undergraduates.  Even then, UW-Madison’s tuition is still projected to be the second- or third-lowest among the Big 10 universities.  With the 5.5 percent increase, tuition at UW-Milwaukee would increase by $400 annually, and at comprehensive universities, an average of $311 more per year.

Tuition for nonresident undergraduate students and resident graduate students would increase by the same dollar amount as resident undergraduate students, consistent with previous actions of the Board.

            Financial Aid and Net Cost

At a time of continued economic turbulence, any tuition increase is difficult.  President Reilly described the need to balance the quality of education with the price students must pay for that education.  President Reilly recalled the February presentation to the Board by Professor Sandy Baum, in which she talked about the “net cost” of college, when student aid, in the form of grants, scholarships, and tax benefits, is considered.  According to the College Board’s latest report on these trends over the past five years, the average net price for full-time students had declined, after adjusting for inflation, at public universities, private universities, and two-year colleges.

About two-thirds of all UW System undergraduate students receive some form of financial aid, and about half of those receive at least one outright grant or scholarship. Wisconsin Higher Education Grant (WHEG) awards and Federal Pell Grants comprise the largest sources of student aid at UW institutions.  One out of every five resident undergraduate UW students received a WHEG award the previous year, President Reilly said, with an average award of $2,161.  State funding for WHEG-UW will remain flat in the coming year, but UW leaders have worked with the Higher Education Aids Board (HEAB) to approve a new formula that would spread these grants among a larger number of students.  

Also, in the fall, the first cohort of Wisconsin Covenant scholars will arrive at UW campuses, with participating students receiving between $250 and $2,500 in aid each year. 

Continuing students who first enrolled before 2011-12 will still be eligible for Tuition Increase Grants, which help to offset some tuition increases for qualified students. Because of new flexibilities provided by the state, the UW System can reallocate unused funds from this program to assist other financially needy students. 

President Reilly concluded that the financial-aid opportunities he mentioned, together with more need-based aid from private sources, were important steps for ensuring that a high-quality UW education remains accessible and affordable.

            Annual-Operating-Budget Detail

President Reilly asked Senior Vice President Morgan and Associate Vice President Harris to present more detail on the proposed annual budget.  Associate Vice President Harris began by saying the proposed budget for 2011-12 included $5.6 billion of resources, including $1 billion of state funding, $1.2 billion in academic tuition revenue, and $3.4 billion of other funds (federal funds, gifts and grants, hospital revenues, operating revenue, etc.). 

The budget also includes $125 million general base reduction in GPR, the removal of $47 million of GPR that supported health insurance and retirement costs that employees are now required to pay, and significant reductions in funding for debt service and utilities.  The budget does not provide new resources requested by the Board, but does provide greater flexibility for the UW System to manage its operations.  The budget removes the requirement that employees take furlough days. 

Ms. Harris also reviewed the tuition-increase amounts that President Reilly had noted.  She noted, in addition, that tuition at the UW Colleges would increase for the first time in five years, by $235, making the Colleges’ tuition comparable to rates for liberal arts programming in the Wisconsin Technical College System. 

Associate Vice President Harris referred Board members to Table B-1 in the Board materials, showing rates for all students, including non-resident students.  She said that tuition increases would be used to help offset the $125 million general base reduction in GPR, covering about 30 percent of this required reduction.  The tuition funding is needed, with enrollments at the highest level ever, to continue to provide quality education.

Tuition will still be among the lowest compared to UW institutions’ peer groups after the recommended increases.  Ms. Harris referred to Table A-2, which she said showed that combined increases for tuition, segregated fees, and room and board are about 5 percent for resident undergraduate students (although only about one-quarter to one-third of students would incur this full cost, because not all students live on campus).

Ms. Harris described increases in need-based financial aid:  the Wisconsin Covenant Program, the Fund for Wisconsin Scholars, and institutional financial aid associated with differential tuition at UW-Madison and UW-Eau Claire.  Funding for WHEG will allow funding for more students. 

Segregated fee rates are proposed to increase an average of $33 at four-year institutions, with a large proportion of the increase due to student-initiated programming changes and major projects.  At UW Colleges, segregated fees are proposed to increase $20 on average, primarily because of the addition of mental health services staff and student-organization funding increases.

Room and board rates are proposed to increase $248, or 4.2 percent on average, due primarily to new or renovated residence halls, facility maintenance projects, and increasing food supply costs.

            Board Discussion of 2011-12 Operating Budget

Regent Bartell asked about the net price of higher education, since financial aid is a large factor in what students pay.  He asked about the new formula that spreads the WHEG cost among a larger group of students.  He also referred to a three-year Wisconsin Scholars Longitudinal Study at UW-Madison which concluded that financial aid has a more positive effect in getting the most at-risk and the most disadvantaged students through to graduation.  He asked whether formulae for distributing financial aid should focus on the neediest students for the greatest impact.  Associate Vice President Harris said that current formulae do allocate larger grants to the neediest students.  She said that there are also students in the middle-income group who, without grant aid, might be unable to attend college.  The goal is to stretch the resources as much as possible.  President Reilly commented that the new data would need to be analyzed carefully; the study Regent Bartell mentioned was the first of this type of study.

Regent Drew inquired about the rationale for not using the same percentage increase for nonresident as for resident tuition, about fairness for Wisconsin residents, and about why the UW is farther from the peer midpoint for nonresident than for resident tuition.  Associate Vice President Harris responded by saying that the rates for resident UW-Madison students are affected by $250 in differential tuition, while the increase for nonresidents is significantly higher.  With respect to other students, the standard practice had in the past been to increase nonresident tuition by the same percentage as tuition for resident students; this led to rates close to or above the peer median.  In addition, another nonresident tuition increase led to the UW’s getting out of the market, because its rates were higher than peers’ rates.  Four or five years ago, competitive pricing for nonresident students was introduced; nonresident students are attracted to the UW at those rates, while still subsidizing resident tuition rates.

Regent Loftus asked whether the Board’s authority to enact differential tuition was removed in the budget.  Ms. Harris said that the biennial budget did not remove this authority, but did prohibit the enactment of new differentials during the current biennium, beyond those already approved by June 2011.

Regent Loftus, commenting on the negative effect of the budget on the Growth Agenda, asked whether under the new block grant a chancellor is allowed to reduce or increase enrollment, or whether that authority resides with the Board.  Associate Vice President Harris said that the block grant concept did not address this.  Under current practice, chancellors can increase or decrease enrollment, based on the resources that they have.  However, under the Growth Agenda, the goal had been to increase graduates.

Regent Crain stated that she would like to hear from chancellors regarding the budget and also expressed disappointment about the disappearance of the Wisconsin Covenant.  Chancellor Gow commented that with fewer resources per student, increasing enrollment leads a university to be worse off in terms of resources, the more students it has.  Balancing the needs of the institution with what students pay is very difficult. 

Chancellor Gow continued, saying that his favorite thing as chancellor is commencement.  He also enjoys thanking the staff for their hard work.  However, in the past year, UW-La Crosse had 100 retirements, compared with 33 the year before.  In a workforce of 1,000, this is significant and was likely affected by the changing nature of compensation for faculty and staff; the UW was behind the competition in compensation, even before the requirements for increased health care and retirement contributions.  The situation is serious.  While it would be preferable to not have to raise tuition, it is important to keep an eye on retaining the best faculty and staff, so that the educational experience remains a good value. 

Regent Danae Davis asked President Reilly about the process to be used to consider revisiting the goals of the Growth Agenda, or whether the goals need to be changed, in light of current realities.  President Reilly said that the process had begun to set up meetings with chancellors and their teams for early fall.  He said that it would be necessary to take a tough look at the Growth Agenda goals.  Also, however, some chancellors feel a financial incentive to keep enrolling qualified students.  It would be disastrous for the state of Wisconsin to not stay with the goals that had been set, but at the same time, it would be wrong to stay with the goals and water down the quality of education.  Regent Danae Davis suggested that the synthesis of this analysis of information from the UW institutions would be a good discussion with the Board of Regents.

UW-Madison Provost DeLuca spoke about the difficulty of the present situation and said that he believed the Growth Agenda would be seriously compromised by the budget.

Chancellor Telfer reacted to earlier comments about enrollment vs. retention and graduation.  He noted that enrollment comes from bringing in new students, as well as retaining more students.  If retention improves, it might be necessary to decrease the size of incoming classes to stay stable.  He said that UW-Whitewater is at this point; the freshman class has not changed, but enrollment has grown.  Growth occurs, even without new students, transfers, etc., if the university does a good job.  Also, referring to the earlier discussion of nonresident tuition having gotten high enough to price students out of the market, Chancellor Telfer said that at UW-Whitewater, out-of-state student enrollment fell off precipitously several years earlier when nonresident tuition was increased too much; particularly given UW-Whitewater’s location, he did not want to discourage nonresident students from coming to his campus.

Regent Falbo asked about a decrease in debt service in the budget.  Associate Vice President Harris said that the budget reflected decreases in costs; a debt restructuring led to an increase, but this will go back up next year.  In addition, cost reductions appear because of decreases in state funding for health insurance and retirement; employees, instead of the state, will be paying these amounts. 

Regent Falbo asked if health insurance, as well as retirement, contributions could be pre-tax.  Ms. Harris explained that health insurance already is pre-tax.

Regent Falbo, referring to Table B-2 in the materials, asked for more comparative data on nonresidents and the comprehensive institutions.  Ms. Harris said that the comprehensives have about 40 peers, and it is challenging to gather that material in time for the budget discussion at the Board meeting.  A peer table could more readily be done at the end of June.  A nonresident comparison could be added.  President Spector asked Ms. Harris and Regent Falbo, as chair of the Business, Finance, and Audit Committee, to continue to work at a later time to define the information that would address Regent Falbo’s questions.

Regent Loftus referred to the language in the biennial budget related to the development of a new personnel system for UW-Madison and for the rest of the System, with JCOER approval.  He said the language seemed to imply that the new personnel systems could forgo the peer-group test and have a new system of pay scales.  Senior Vice President Morgan said that he was not sure there would be new pay scales, but that there likely would be a revamping of how decisions would be made about how groups of employees would be compensated.  Regent Loftus asked when the Board of Regents and the UW-Madison chancellor would work on this.  Mr. Morgan clarified that the new systems would not go into effect until the next biennium.

President Spector called for a motion to adopt Resolution 9948.  The motion was moved by Regent Pruitt and seconded by Regent Danae Davis.

During discussion of the motion, Regent Drew said that he had received a brochure from UW-Stout Chancellor Sorensen about the economic impact that UW-Stout has on the state of Wisconsin.  According to a study, for every one dollar of state tax investment in UW-Stout, the university generates $9.59 of economic activity in the state.  A similar study for UW-Madison showed that every one dollar of state investment yielded $21 in economic activity for the state.  State dollars invested in the University of Wisconsin System create jobs in the public and private sector, which generate tax revenue and, most importantly, educate students to lead enriched and productive lives.  Notwithstanding the good that the UW System does, the Governor and Legislature have presented a budget that makes massive cuts to the UW System. 

Regent Drew said that the Board is being asked to raise tuition 5.5 percent on resident, to generate $37 million, which would partially offset what was cut.  For the first time, tuition (at 21.6 percent) would be greater than the state GPR share of the budget (17.9 percent), representing a move away from a shared responsibility of the people of Wisconsin, through their government, to provide high-quality public higher education.  This is a move toward a system that will be public in name only and will restrict access to more and more people of low and moderate income.  Regent Drew said that he supported similar tuition increases in the past, when they were part of a responsible budgeting process that recognized the importance of the UW System and public higher education.  However, he said the tuition increase is an attack on Wisconsin citizens, and a giant step away from high-quality, affordable higher education.  He said that working people are not getting 5.5 percent pay increases; it is not fair to ask them to shoulder more of the burden of the cost. 

Regent Drew said that in addition to faculty and staff doing more with less because of budget cuts, students and their parents were being asked to pay more for less, even though every effort would be made to maintain quality.  Saying that tuition is going in the wrong direction and sends the wrong signal, Regent Drew said that he was opposed to the tuition increase.

Regent Sherven said that he had been talking with other students about the proposed tuition increase.  He said that it is important to clearly communicate to students and the public that the increase covers only about one-third of the budget cut. 

Regent Manydeeds expressed agreement with Regent Drew’s thoughts.  He said that in his area of the state, the belief was that students are shouldering the burden of the budget cuts.  The actual proportion should be made clear, as Regent Sherven stated.  However, people are hurting.  While it is necessary to ask them to pay more, it is not fair.  He said he would like to go on record as not supporting the tuition increase.

            President Spector, noting that such decisions are difficult, called for a vote on the motion.  After a voice vote, a roll call vote was requested; Resolution 9948 was adopted, with Regents Bartell, Bradley, Crain, Danae Davis, Stan Davis, Evers, Falbo, Pruitt, Sherven, Smith, and Spector (11) voting in favor of the resolution, and Regents Drew, Loftus, Manydeeds, and Womack (4) voting in opposition.  There were no abstentions.

2011-12 Operating Budget including Rates for Academic Tuition, Segregated Fees, Textbook Rental, Room and Board, and Apartments; Academic Tuition Refund Policy and Schedule; and Annual Distribution Adjustments

Resolution 9948:         That, upon the recommendation of the President of the University of Wisconsin System, the 2011-12 operating budget be approved, including rates for academic tuition, segregated fees, textbook rental, room and board, and apartments; the tuition refund policy and schedule; and annual distribution adjustments as attached in the document 2011-12 Operating Budget and Fee Schedules, July, 2011. The 2011-12 amounts are:

                                    GPR                                        $1,001,508,980            17.9%

                                    Academic Tuition                   $1,208,995,939            21.6%

                                    Total GPR/Fees                      $2,210,504,919            39.5%

                                    Other                                      $3,379,690,152            60.5%

                                    Total                                       $5,590,195,071            100.0%

- - -

            The meeting recessed at 11:50 a.m., with committees to convene at 12:20.  Following the committee meetings, the full Board reconvened at 2:15 p.m. 

Closed Session

The following resolution was moved by Regent Smith, seconded by Regent Falbo, and adopted on a roll-call vote, with Regents Bartell, Crain, Danae Davis, Stan Davis, Drew, Falbo, Loftus, Manydeeds, Pruitt, Sherven, Smith, Spector, Vásquez, Walsh, and Womack voting in the affirmative.  There were no dissenting votes and no abstentions.

Closed Session Motion

Resolution 9949:         That the Board of Regents move into closed session to consider annual personnel evaluations, as permitted by s. 19.85(1)(c), Wis. Stats.

The meeting was adjourned at 4:25 p.m.

 

Submitted by:

/s/ Jane S. Radue                          

Jane S. Radue, Secretary of the Board

 

 

BOARD OF REGENTS OF THE UNIVERSITY OF WISCONSIN SYSTEM

Held in 1820 Van Hise Hall

Madison, Wisconsin

Friday, July 15, 2011

     9:00 a.m.

Approval of the Minutes of the April and May Board of Regents meetings. 16

REPORT OF THE PRESIDENT OF THE BOARD.. 16

UW-Milwaukee School of Public Health.. 16

Board Committee Assignments. 17

Review of Recent Events in the System and a Look Ahead.. 17

Preliminary Thoughts on Possible Board-Committee Restructuring.. 18

REPORT OF THE PRESIDENT OF THE SYSTEM... 19

President’s Advisory Committee on Roles of UW System Administration.. 19

News from Around the UW System... 20

Reports from Office of Policy Analysis and Research. 20

Remains of Native American Home Found by UW-La Crosse Archeology Class. 21

Johnson Controls, Inc. Partners with UW-Madison and UW-Milwaukee. 21

Climate Change Research Project by UW-Eau Claire Biologist 21

UW-Madison Education Building Receives Platinum LEED Ranking. 22

Grants for UW-Whitewater’s Business Outreach Centers. 22

New Residence Hall at UW-Platteville. 22

UW-Stout Featured in NorthStar Economics Report 22

UW-Marathon County Alumnus Elected President of the Ho-Chunk Nation. 23

BOARD OF REGENTS ACADEMIC STAFF EXCELLENCE AWARDS PRESENTATION.. 23

Individual Award - Dr. Joseph Abhold, Director, UW-Oshkosh Counseling Center. 23

Individual Award - Alfonso Gutierrez, Director, UW-Madison Radio Frequency Identification Lab and Director, Research and Education, UW E-Business Consortium... 25

Program Award - UW-Madison’s Dictionary of American Regional English (DARE) Program, Joan Houston Hall, Chief Editor. 27

REPORT OF THE BUSINESS, FINANCE & AUDIT COMMITTEE. 29

Business, Finance & Audit Committee Business. 29

Joint Session with Education Committee. 29

Delegation of Unclassified Personnel Flexibilities. 29

Semi-Annual Status Report on Large/Vital Information Technology Projects. 29

United Council Mandatory Refundable Fee Adjustment 29

Office of Operations Review and Audit:  Quarterly Status Report 30

Trust Funds: Request for Principal Expenditure – Laurabell S. Tullock Bequest 30

Minutes of the June 9, 2011 Meeting. 30

INC Research, LLC. 30

Report of the Senior Vice President 30

Consent Agenda.. 31

Delegation of Unclassified Personnel Flexibilities. 31

United Council Mandatory Refundable Fee Adjustment 32

UW System Trust Funds Request for Principal Expenditure Laurabelle S. Tullock Bequest 32

UW-Madison Contractual Agreement With INC Research, LLC. 32

CAPITAL PLANNING AND BUDGET COMMITTEE. 32

Capital Planning and Budget Committee Business. 32

Approval of Design Report and Single-Prime Bidding for UW-Eau Claire Education Building Project 32

Authority for Waiver to Allow Selection of a Construction Manager-at-Risk for UW-Madison Memorial Union Theater Wing Renovation Project 33

Authority to Adjust Project Scope and Budget of UW-Madison Lakeshore Residence Hall–Phase II Project 33

Authority to Seek the Release of Additional Building Trust Funds to Plan the School of Freshwater Sciences and the Kenwood Interdisciplinary Research Complex. 33

Authority to Accept the Gift of a House at UW-River Falls. 34

Authority to Construct All-Agency Maintenance and Repair Projects. 34

Consent Agenda.. 34

Approval of the Design Report of the Education Building Project and Authority to Seek a Waiver of Wis. Stats. § 16.855 to Allow Single Prime Bidding and Construct the Project, UW-Eau Claire. 34

Authority to Seek a Waiver of Wis. Stats.§ 16.855 to Allow for the Selection of a Construction Manager-At-Risk for the Memorial Union Theater Wing Renovation–Phase I Project, UW-Madison. 34

Approval of the Design Report of the Lakeshore Residence Hall–Phase II Project and Authority to Adjust the Scope and Budget and Construct the Project, UW-Madison. 35

Authority to Seek Building Trust Funds to Plan the School of Freshwater Sciences and the Kenwood Interdisciplinary Research Complex, UW-Milwaukee. 35

Authority to Accept the Gift of a Single Family House Situated on a 1.56 Acre Parcel of Land Located in the City of River Falls, Wisconsin, UW-River Falls. 36

Authority to Construct All Agency Maintenance and Repair Projects, UW System.. 36

Report of the Associate Vice President. 36

REPORT OF THE EDUCATION COMMITTEE. 36

Education Committee Business. 36

Report from Office of Operations Review and Audit:  Service Learning in the UW System.. 36

Panel Discussion on Innovation and Reform in Teacher Preparation in the UW System.. 37

Regent Policy Document 7-1:  Board of Regents Undergraduate Transfer Policy. 37

Report of the Senior Vice President 38

Consent Agenda.. 38

Regent Policy Document 7-1 Board of Regents Undergraduate Transfer Policy. 38

APPROVAL OF THE BOARD OF REGENTS 2012 REGULAR MEETING SCHEDULE. 39

Approval of Board of Regents 2012 Meeting Schedule. 39

RESOLUTIONS OF APPRECIATION.. 39

Resolution of Appreciation for Senior Vice President Martin.. 39

Resolution of Appreciation for Rebecca R. Martin. 41

UNFINISHED AND ADDITIONAL BUSINESS. 43

CLOSED SESSION.. 44

Closed Session Motion. 44

Authority to Change the Name of the “J.F. Friedrick Center” to “Vel Phillips Hall,”UW-Madison. 44

Approval Amended Additional Compensation Agreements Athletic Director, Head Men’s Basketball Coach, and Head Women’s Hockey Coach, UW-Madison. 44

Request for Salary Approval: Interim Chancellor, UW-Madison. 45

 

BOARD OF REGENTS OF THE UNIVERSITY OF WISCONSIN SYSTEM

Held in 1820 Van Hise Hall

Madison, Wisconsin

Friday, July 15, 2011                       

9:00 a.m.

-President Spector presiding-

PRESENT:  Regents Jeffrey Bartell, Judith Crain, Danae Davis, John Drew, Anthony Evers, Michael Falbo, Thomas Loftus, Edmund Manydeeds, Charles Pruitt, Brent Smith, Troy Sherven, Michael Spector, Mark Tyler, José Vásquez, and Betty Womack

UNABLE TO ATTEND:  Regents Mark Bradley, Katherine Pointer and David Walsh

- - -

Approval of the Minutes of the April and May Board of Regents meetings

The minutes of the April 7 and 8, 2011 and May 3, 2011 meetings, as distributed, were unanimously approved on a voice vote.

- - -

REPORT OF THE PRESIDENT OF THE BOARD

 

            UW-Milwaukee School of Public Health

President Spector began his report by stating that within the previous ten days he had participated in the dedication of the new UW-Milwaukee School of Public Health in downtown Milwaukee.  Regents Pruitt and Falbo were present, as were Mayor Barrett, the head of the Zilber Foundation, aldermen, and others.  President Spector recalled discussions of the name change from the University of Wisconsin School of Medicine to the University of Wisconsin School of Medicine and Public Health; Mayor Barrett spoke passionately to the Board five years before about how important it was that there not be exclusivity in public health.  President Spector said that the Board should be pleased that there is now both a UW School of Medicine and Public Health that does good work statewide and a UW-Milwaukee School of Public Health which would especially benefit the Milwaukee area with its research and clinical work.  The best of both worlds had occurred. 

At the ceremony in Milwaukee, special thank yous were conveyed to Regent Danae Davis for all that she had done to make the School of Public Health a reality, President Spector reported.  Many plaudits were given, as well, to Associate Vice President David Miller, who had worked hard to find practical and creative ways to solve seemingly-unsolvable financial and other issues.

            Board Committee Assignments

President Spector noted that he had been working on committee appointments.  He said that he was anxious to complete the appointments and asked Regents to speak with him about their committee preferences, if they had not already done so.

            Review of Recent Events in the System and a Look Ahead

President Spector said that 2011 had been a rather unusual year for the Regents.  Since January, Board members had experienced, among other things, a dramatic, spirited, and intense debate about the future of the UW System and the content of legislation that deeply affects the future of higher education in Wisconsin.  Looking ahead, the System has tremendous challenges, but also path-breaking opportunities, President Spector said.  In creating a context in which Chancellors can best manage significant funding cuts, the Board also faces a new landscape that includes long-requested leadership flexibilities and statutory changes that would affect all UW universities and colleges.  To fully realize the potential in those opportunities, the System must learn from the differences that occasionally caused division, and leverage shared strengths to move forward for the benefit of all.

As the Board assesses the new landscape, it will be important to take renewed measure of what the Board does, how it does it, and why.  President Spector stated that these are vital questions, and the answers would impact the UW System for a generation to come.  It is necessary to approach this process in an open-minded and questioning manner, neither adhering stubbornly to the status quo, nor immediately embracing significant revisions of past practices or structures.  It may turn out that a combination of the status quo and thoughtful change regarding governance or other issues is both necessary and beneficial.

President Spector said that one thing is certain:  that the UW System is worthy of great pride.  The System’s flagship, UW-Madison, is widely considered a leader among the nation’s and the world’s undergraduate and research institutions.  At the same time, the other individual universities and colleges, and the UW System taken as a whole, are increasingly the envy of many other states.  The System has worked well, and the best of it needs to be preserved. 

Focusing energy on how best to deliver higher education services includes examination of the governance of both the System and its constituent institutions, one of the major issues to be addressed by the legislative Task Force.  President Spector noted that the biennial budget called for the formation of a special Task Force to examine six discrete topics, including the structure of UW System, tuition flexibility, and transfers.  UW System would “staff” that Task Force, working with the Legislative Fiscal Bureau and the Department of Administration.

President Spector suggested that in addition to providing that staff support, it is important to respectfully make known to the Governor and the Legislature that it is appropriate that the Board of Regents play a meaningful and substantive part in ongoing discussions that will shape higher-education relationships in Wisconsin.  President Reilly is already identifying chancellors and UW System staff to examine each of the six Task-Force topics, so that the UW System can contribute meaningfully to the Task Force recommendations.  President Spector stressed the importance of individual Regents’ involvement in that process, as well, serving with chancellors and staff members to develop and refine the System’s best ideas on each issue area.

President Spector said that the budget bill called for four members of the legislative Task Force to be current or former members of the Board of Regents or former UW chancellors; System representatives would work with the appointing authorities to express interest in being involved, with the hope that some current Regents would be considered for membership.

            Preliminary Thoughts on Possible Board-Committee Restructuring

In looking ahead to the legislative Task Force’s work, it is timely to explain the major changes the System is already embracing, including the delegation of authority to UW institutions and the reshaping of UW System Administration.  President Spector said he would like to share some early thoughts about changes to the Board that could be considered even under the Board’s current structure.

Saying that he did not have a formal proposal to share at the present meeting, President Spector said that he would like to seek Regents’ reactions to an idea that would involve three new Board committees, probably standing committees, each intended to recognize the unique features of several sectors within the UW System:  (1) the two doctoral institutions; (2) the 11 comprehensive institutions; and (3) the UW Colleges and the UW-Extension.  President Reilly had suggested that Regents look at the Board’s committee structure and how it aligns with the unique roles of the diverse institutions within the UW System.  

The purpose of new committees would be to focus attention on the issues unique to each sector.  For example, the doctoral institutions committee might consider issues such as graduate student remissions, Division I sports, or certain types of advanced research – issues that are unique to those institutions, their missions, and their faculties.  Among the comprehensives, the question of how to build master’s program arrays, for instance, might be a special topic.  Both UW Colleges and UW-Extension have unique relationships with county governments and county boards around the state, and those specific concerns might be best addressed by a Colleges and Extension Committee.  

If the Board determines new standing committees should be added, this would require changes to the Board’s bylaws.  In making those changes, careful consideration would need to be given to how the duties of new committees would intersect with and overlap with the duties of the existing standing committees.  President Spector posed questions that would need to be addressed, such as whether the responsibilities of the existing committees would be changed; whether a new academic program at UW-Milwaukee would be considered by the Education Committee, by the Doctoral Institutions Committee, or by both; and how staffing, committee composition, and frequency of meetings would be handled. 

President Spector concluded, however, that the idea was worthy of careful consideration in light of changing circumstances.  He asked that Secretary Radue work on developing the new-committees idea with greater specificity, working closely with President Reilly and consulting with Regents, chancellors, cabinet members, and others who would likely be affected by the changes. 

President Spector invited Regents’ comments on the sector-committees idea.  Regent Crain responded positively, indicating that the idea was intriguing and worthy of further thought.  Regent Bartell, noting the challenges of the committee-overlap issue, said that he had heard from chancellors and Colleges deans that they would like to have a more direct route to Regent decision-making, generally.  If the new committees would foster this, they would be worth pursuing.  Regent Womack said that she liked the idea, and it would be important to be mindful of communication channels; some Board members might not be part of the new committees but would want to know what is happening.  Also, the focus of the committees would need to be clearly defined.  Regent Vásquez, saying that he, like others, was intrigued, cautioned that new committees would mean additional work for Board members and staff; the practicality of new committees would need to be considered in light of continued staff-resource reductions.

- - -

REPORT OF THE PRESIDENT OF THE SYSTEM

            President’s Advisory Committee on Roles of UW System Administration

President Spector turned to President Reilly for his report.  President Reilly provided an update on the work being done to reshape UW System Administration, saying that in the short term, it would be necessary to manage a required 25-percent cut to UW System Administration’s general purpose revenue (GPR) funding, which amounts to about $2.4 million per year.  In achieving that reduction, the legislature required the UW System eliminate at least 51 full-time-equivalent UW System Administration staff positions. 

A longer-term effort would be to engage in a broader discussion about the role of UW System’s central office – how it supports the statewide governing board and how it serves the individual UW universities, colleges, and Extension.  President Reilly reported that the Advisory Committee on the Roles of UW System Administration had been making good progress.  The committee, chaired by Regent Pruitt and facilitated by former UW-Superior Chancellor Terry MacTaggart, also included Regent Bartell, Regent Crain, Regent Vice President Brent Smith, and Regent Emeritus Jay Smith. 

President Reilly said that with input from a broad range of stakeholders, the committee was on track to submit its recommendations to him in August, looking at what System Administration does and why it matters, from the dual perspectives of the governing body and the UW System’s member universities.  President Reilly said that the report of the committee would provide a valuable foundation for decisions about how to manage the 25-percent GPR cut and the corresponding position reductions.

President Reilly invited Regent Pruitt to give a brief update on the committee’s progress. Regent Pruitt said that the Advisory Committee was comprised of a wonderful group of chancellors, provosts, chief business officers, staff, and students – a range of representatives of the constituencies that make up the University of Wisconsin System.  The process was a complicated one, with many interests represented.  The committee had so far met three times, and would meet again in August.  Regent Pruitt said that Regent-members of the committee would be contacting other Regents to gather thoughts and perspectives. 

He commented on the challenge of balancing the introduction of new flexibilities, a desire to move those flexibilities out to the institutions, and interest in giving chancellors an opportunity to be more entrepreneurial, along with exercising against the leadership and accountability responsibilities that come with being a state land grant university.  A challenge of the committee, and of the Board, would be to take a new look at the what, how, and why of current operations.  These are important questions, and Regent Pruitt said that the committee would welcome the advice and counsel of the Regents.  The committee’s work would be the first of many steps to come. 

Regent Pruitt invited other Regent-members of the Advisory Committee to share their thoughts.  Vice President Smith noted that for the previous six months, the Board had been telling the Legislature, the public, and UW institutions that it wanted to evaluate, and perhaps change somewhat, the relationship between System Administration and the UW institutions.  He commented that the Advisory Committee is a first step in demonstrating this effort to change.  He predicted that the committee’s work and ideas for accomplishing the new relationship would be closely watched. 

President Reilly then noted that a copy of the report of the Advisory Committee would be provided when submitting the System Administration budget reduction plan to the Joint Committee on Finance and the Department of Administration (DOA) by September 1, as required by law.  He said it was important for legislators and state leaders to see that a thoughtful approach was taken, driven by the priorities of people outside of Van Hise Hall.

President Reilly said that he and his staff would work closely with President Spector and Vice President Smith prior to sharing the Advisory Committee’s report and the budget reduction plan on September 1.  When submitting the report to the Joint Committee on Finance and DOA, he would indicate that the overall report would be subject to review and approval by the full Board at its September 8th meeting. 

            News from Around the UW System

Reports from Office of Policy Analysis and Research

Continuing his report, President Reilly noted that UW System’s Office of Policy Analysis and Research (OPAR) released a report on “Trends in Enrollment.”  UW System institutions once again enrolled a record number of students in the fall 2010 semester, topping 182,000, for a 2-percent increase over fall 2009.  Wisconsin residents comprise 82 percent of all undergraduate students. 

In another report, OPAR found that in 2009-10 the UW System conferred a record number of degrees, 33,442 degrees at all levels.  This was an 8-percent increase over the previous five years, and a 24-percent increase since 1999-2000. Almost three-quarters (74 percent) of degrees conferred were baccalaureate degrees – with the top three disciplines being Business (18.5 percent), Social Sciences (8 percent) and Education (7.5 percent).

At the graduate level, Education was the top discipline (19 percent), followed by Business (16 percent) and Health Professions (15 percent).  Also of note, underrepresented minority students earned a record number and proportion of degrees conferred by UW System institutions. In 2009-10, underrepresented minority students earned 2,122 degrees, or 6.3 percent of all degrees conferred, a 27-percent increase since 2005-06.

President Reilly congratulated all chancellors and their colleagues for these results, particularly given tight resources.  He also thanked Associate Vice President Heather Kim and her team for compiling the reports.

Remains of Native American Home Found by UW-La Crosse Archeology Class

A UW-La Crosse archeology class discovered the remains of a Native American home near Holmen in La Crosse County that could be more than 500 years old.  In the course of their five-week field study, the students unearthed a section of a village “long house,” believed to have been used by members of the Oneota, a late pre-historic farming culture.  So far, more than 7,000 artifacts have been documented, including remnants of the home and broken pieces of pottery.  Remnants at the site have yet to be fully examined, but they should help show what life was like in the area before any form of European influence appeared on the scene, according to archeology professor David Anderson.  Commenting that this was exciting work, President Reilly congratulated Chancellor Gow and the UW-La Crosse community.

Johnson Controls, Inc. Partners with UW-Madison and UW-Milwaukee

President Reilly said that UW-Madison and UW-Milwaukee were partnering with Johnson Controls, Inc., the world’s leading automotive battery supplier, to position Wisconsin as a worldwide leader in energy storage.  Johnson Controls is endowing a professorship, research labs, and graduate studies in energy storage at the two research-intensive universities.  President Reilly said that the current economy demands innovative public-private cooperation.  The gift from Johnson Controls is the latest in a series of smart investments made by a growing Wisconsin company that recognizes the value of higher-education partnerships.  President Reilly congratulated Interim Chancellor David Ward, Chancellor Mike Lovell, and their respective campuses.

Climate Change Research Project by UW-Eau Claire Biologist

Scientific models used to predict future climate change could be modified because of findings from an extensive research project that involves Dr. Tali Lee, a UW-Eau Claire biologist, and several of her students.  Dr. Lee and researchers from the University of Minnesota conducted an 11-year experiment with 13 plant species common in Midwestern prairie ecosystems.  They found that the capacity for these plants to absorb extra carbon from the atmosphere as carbon dioxide levels rise is less than expected, which means that existing climate change models may underestimate the pace of future carbon dioxide increases and the associated global climate change.  Therefore, global warming could happen even faster than was thought. President Reilly cited this work as an example of cutting-edge research, and he congratulated Chancellor Levin-Stankevich and his colleagues at UW-Eau Claire.

UW-Madison Education Building Receives Platinum LEED Ranking

The Education Building on Bascom Hill at UW-Madison recently became the first building in the UW System to receive a Platinum ranking, the highest ranking available for Leadership in Energy and Environmental Design (also known as LEED).  One of the project team’s central goals in renovating the 111-year-old building was to provide at least another 100 years of service at a time when many 40-year-old buildings are being replaced. The project incorporates an array of green technology and is the first in the Midwest to use an active chilled-beam system for cooling and ventilation.  Developed in Norway, chilled-beam systems have been used for about 20 years in Europe.  The Education Building is also the first state-owned building in Wisconsin to receive an Energy Star rating.  President Reilly congratulated Interim Chancellor Ward and the UW-Madison community.

Grants for UW-Whitewater’s Business Outreach Centers

UW-Whitewater’s business outreach centers were recognized for their successful efforts to help companies stay strong and grow, despite a tough economy. The campus’s Small Business Development Center and Wisconsin Innovation Service Center recently received two grants totaling more than $350,000 from the U.S. Small Business Administration to continue and expand their work with regional businesses.  The Small Business Development Center also was honored with a Service Excellence Award from the U.S. Small Business Administration.  In addition, about 20 UW-Whitewater students work for the business outreach centers, providing a hands-on learning opportunity.  President Reilly congratulated Chancellor Telfer and UW-Whitewater.

New Residence Hall at UW-Platteville

President Reilly said that in April, the Board had approved the sale of 1.6 acres of land to the UW-Platteville Real Estate Foundation to facilitate the construction of a new residence hall. UW-Platteville broke ground for that project, a six-story hall that will house more than 600 students.  The 153,000-square-foot building is scheduled to open its doors in August of 2012.  UW-Platteville’s incoming freshman class is the largest in the institution’s 145-year history.  The new facility will bring UW-Platteville’s residence- hall population to nearly 3,300.

UW-Stout Featured in NorthStar Economics Report

A recent report by the economic research and consulting firm, NorthStar Economics, noted that UW-Stout contributes $347 million each year to Wisconsin’s economy, and returns $9.59 for each one dollar that state taxpayers invest in the institution.  The report also found that nearly 7,100 jobs in the area are attributable to UW-Stout.  At the same time, the report showed that the percentage of the total UW-Stout operating budget supported by state tax dollars declined from about 37 percent in 2004 to 19 percent in 2010-11. 

UW-Marathon County Alumnus Elected President of the Ho-Chunk Nation

President Reilly reported that an alumnus of UW-Marathon County, Jon Greendeer of Stevens Point, was elected President of the Ho-Chunk Nation.  He attended UW-Marathon County in 1999-2001 and was active on campus, particularly with diversity issues.  Mr. Greendeer said his administration's initial focus would be Ho-Chunk Nation member employment, opportunity and education.  President Reilly congratulated President Greendeer, Campus Dean Keith Montgomery, Chancellor Ray Cross and the UW-Marathon County community.

After reading a short summer poem by Robert Louis Stephenson, President Reilly concluded his report.

- - -

BOARD OF REGENTS ACADEMIC STAFF EXCELLENCE AWARDS PRESENTATION

President Pruitt turned to Regent Drew, chair of the Regents Academic Staff Excellence Awards Committee, to lead the awards presentation.

Regent Drew welcomed the winners of this year’s Academic Staff Excellence Awards for Excellence.  This is the highest recognition to be bestowed on members of the UW System’s academic staff.  With this award, the Board of Regents salutes the hard work, dedication, and innovative thinking of talented academic staff members.  Awards would be presented to two individuals and one program.  Regent Drew said that the Board was pleased to recognize and honor these winners for their outstanding work. 

He thanked fellow Regents Stan Davis, Brent Smith, José Vásquez and Betty Womack for their work on the awards committee, saying that all committee members were impressed by the talent, commitment, and achievements of all of the nominees.  He asked Vice President Smith to introduce the first award-winner. 

            Individual Award - Dr. Joseph Abhold, Director, UW-Oshkosh Counseling Center

Vice President Smith said that he was privileged to present the first individual Academic Staff Excellence Award to Dr. Joseph Abhold of UW-Oshkosh.  Vice President Smith said that Dr. Abhold has been the Director of the Counseling Center at UW-Oshkosh since 1999.  In that time, he played a significant and transformative role in campus-wide student success and retention activities.  He also assumed leadership of some of the more challenging issues on campus, including alcohol use, tobacco use, violence prevention, victimization, and diversity awareness.  Colleagues say he has worked tirelessly on retention efforts, bringing assessments to campus to help identify high-risk students.  He also headed up an initiative to increase diversity awareness, streamlined procedures to respond to crises on campus, and encouraged outreach efforts to students both on- and off-campus who may need expertise offered by the mental health professionals at the Counseling Center.

Vice President Smith noted that Dr. Abhold had indicated that his philosophy was founded on balancing two needs:  taking a long-term approach to creating systems that create and reinforce student success, while at the same time, maintaining focus on the immediate needs of individuals.  Last year, the Counseling Center at UW-Oshkosh provided 289 outreach and training programs for more than 9,200 people on campus.  It also provided more than 4,100 therapy hours, a 46-percent increase over 1999, when Dr. Abhold first came to the Center.  Over the past two years, Dr. Abhold also chaired a UW systemwide Mental Health Task Force that was responsible for modifying Regents’ mental health policies to better meet the needs of students. 

Vice President Smith presented the Academic Staff Excellence Award to Dr. Abhold and congratulated him on his receipt of the award. 

Dr. Abhold thanked committee-chair Regent Drew and all of the members of the Academic Staff Excellence Committee for the honor.  He also thanked Vice Chancellor Petra Roter and Chancellor Richard Wells for their ongoing support of the UW Oshkosh Counseling Center and many other campus programs that support students, staff, and faculty.  He noted their commitment to the concept that student well-being and student success are intimately connected.

Dr. Abhold also acknowledged the outstanding work of the Counseling Center staff, emphasizing that their excellence, professionalism and hard work, along with the collaboration of many colleagues across the campus and the System, were essential to any successes that he could claim. 

Saying that the award letter had suggested he comment on “factors that have been critical to my development as an outstanding academic staff member,” Dr. Abhold told a story that he said he had never before told in public:  He said he was born on a country road, in rural Wisconsin, more or less in the middle of a cornfield.  He was a first-generation college student; neither of his parents completed high school.  He was the youngest of nine children, and none of his siblings pursued higher education.  When he told his parents he planned to go to college, his mother’s response was that they always thought he would get a job at the factory.  She did not intend to be unsupportive, but the idea of college was incomprehensible to her. 

Prior to scheduling classes at UW-Oshkosh, Dr. Abhold said, he had never stepped foot on a college campus.  Arriving at school, he had no friends, no money, and no idea what to do or where to go.  Despite this lack of preparation, he said he thrived, becoming immersed in a culture where he felt understood and encouraged to reach higher.  He cited examples of this, saying that he was engaged with his faculty and classes, in student organizations, and in student activities; that people all over campus were willing to help him navigate the maze of higher education; and his first-year residence hall director encouraged him to become a community advisor, which led to three challenging years in that role.  He said he used the services of the Counseling Center while struggling with his emerging identity. 

He graduated with honors and gained acceptance to a competitive doctoral program in clinical psychology.  Earning his Ph.D. and working as a psychologist at Ball State University solidified his academic understanding of student development and mechanisms of academic success.  He learned how engagement is the antidote to apathy, and how academic staff play a pivotal role in this engagement. 

Dr. Abhold acknowledged those who shaped and nurtured his aspirations, saying that some people in similar circumstances might believe they pulled themselves up by their own bootstraps, but he did not believe this.  Rather, he said he sees himself as a product of the UW System, and of the idea that with a little help, people like him could go on to help others.  Dr. Abhold said that this idea, more than anything else, was what motivated him to give back and to strive for excellence on his campus and for the System. 

He concluded his remarks by thanking the Board for the honor and expressing appreciation to the Board for its efforts during challenging times; people throughout the state depend on the UW System to demonstrate excellence in serving them every day. 

Individual Award - Alfonso Gutierrez, Director, UW-Madison Radio Frequency Identification Lab and Director, Research and Education, UW E-Business Consortium

Regent Vásquez presented the second individual Academic Staff Excellence Award, to Alfonso Gutierrez of UW-Madison.  Mr. Gutierrez is Director of the UW Radio Frequency Identification Lab, as well as Director of Research and Education for the UW E-Business Consortium.

Regent Vásquez said that the award recognized Mr. Gutierrez’s outstanding contributions to the College of Engineering, the UW E-Business Consortium, and the Department of Industrial and Systems Engineering.  Over the past nine years, his leadership and critical research support for several innovative multidisciplinary university-industry partnerships had placed the College of Engineering and the campus in the international spotlight and garnered recognition for UW-Madison as a preeminent center for thought leadership in radio frequency identification (RFID) industries. 

In his role as Director for Research and Education of the UW E-Business Consortium, which includes about 70 leading Wisconsin companies, Mr. Gutierrez helped to develop and implement a variety of offerings, such as industry peer groups, that enable collaborative learning among the consortium members and the sharing of best practices.  In this way, members have been able to stay on top of emerging technologies and business practices, and also tap into the collective experience and wisdom of the group.  That, in turn, helps them make informed decisions and gain competitive advantages.

Six years ago, Mr. Gutierrez helped establish the UW RFID lab, a state-of-the-art facility for research, development and technology transfer of radio frequency identification and related technologies.  The lab’s research projects have typically been motivated by significant needs and applications in a variety of industries, such as healthcare, transportation, or manufacturing. 

Regent Vásquez noted that over the years, Mr. Gutierrez received numerous awards honoring his contributions, including a Certificate of Commendation from Gov. Jim Doyle in 2006 for his contributions in expanding innovation in Wisconsin and growing the state’s economy.  He also was recently elected as an active member of the prestigious AIDC-100, an international organization of automatic identification and data capture professionals who have significantly contributed to the advancement of the industry, with membership limited to 100 worldwide.

Regent Vásquez presented the Academic Staff Excellence Award to Mr. Gutierrez, who began by saying, “Gracias a la vida, que me ha dado tanto.  Thanks to Life, that has given me so much.”  Mr. Gutierrez said that this was a fragment of a poem from Violeta Parra, one of his favorite Chilean poets.  This poem became very popular as a song all across Latin America during the 70s, and was adopted by his family as a prayer of gratitude before meals, when they would recount their blessings.  He repeated this expression several times during the course of his remarks. 

In response to the question of what drove him to where he is today, Mr. Gutierrez said his response was three major forces of equal weight:  what he could do by myself, what other people helped him accomplish, and pure luck.

Referring to the second force, what other people help him accomplish, he said that Life had given him passion and love – his spouse, Patty, and children, Alex, Martin and Camila.  He expressed gratitude for them.  In his professional life, he had been fortunate to have many mentors, who were a constant lighthouse in his journey.  He mentioned his kindergarten teacher in his home country of Colombia, teachers, uncles, neighbors, and bosses.  These mentors appeared when he needed them.  He recognized Dr Raj Veeramani, who brought him into academia ten years before, and gave him direction, encouragement, a shared vision, and friendship.  Life also gave him sponsors, those special people who believe in one’s ideas and also provide the resources one needs; a team of people who make his daily working life enjoyable and easier; and his students, who he said represent a marvelous mix of cultures, intelligence, and personalities. 

Referring to pure luck, Mr. Gutierrez said that there are two kinds of luck:  the good luck of being in the right place, at the right time with the right people, and the bad luck of learning from mistakes, which provides a source of learning and growth.  He closed his remarks by extending a wish for life’s blessings on all present.

Program Award - UW-Madison’s Dictionary of American Regional English (DARE) Program, Joan Houston Hall, Chief Editor

Regent Womack presented the Academic Staff Excellence Program Award to the Dictionary of American Regional English (DARE) Program.  She began by citing examples that hint at the rich and colorful language spoken in the United States -- soda or pop; sandwich, sub, hero, hoagie, or grinder; and boonies, sticks, puckerbrush, or willywags.  Regent Womack said that the place to learn more is DARE, a multi-volume reference tool that records the thousands of words, phrases, and pronunciations that vary from one part of the United States to another.

For more than 50 years, the Department of English at UW-Madison has worked on what The New York Times has described as “one of the glories of contemporary American scholarship.”  Regent Womack said that the award recognized the Dictionary’s editorial staff.

When Professor Frederic Cassidy first envisioned DARE nearly 50 years before, he anticipated that the data collection would take five years and the editorial work would require another five years. The project that he expected to complete by himself with the assistance of two editors has instead required an editorial staff ranging from two to 10 academic staff members and has spanned decades.  DARE staff members, in the scientist, researcher, and special librarian categories, have done the background research and written the text for more than 50,000 entries in the four volumes published so far.  Volume 5, which will complete the alphabet, is due out in 2011.  DARE shows how and where people use words, not everyday language, but expressions that our grandparents used.

Regent Womack said that while the dictionary was originally intended as a record of American English dialects for use by linguists, librarians, teachers, writers, historians and journalists, over the years it became recognized as a valuable reference tool for doctors, lawyers, police officers, natural scientists, oral historians, actors, and others.  In the 1990s, for example, a child abductor left a note demanding that a ransom be deposited in a trash can “on the devil strip” at an intersection.  A forensic linguist used this dictionary to help solve the crime; the term “devil strip”– also known as a median – was common only in a small part of Ohio.

In addition to doing the research for and writing of the Dictionary entries, the academic staff members of DARE have also provided training and guidance for dozens of over the decades.  Regent Womack quoted Susan Cook, Associate Dean for the Arts and Humanities at UW-Madison, who said that “DARE ranks among the on-going research initiatives of which the Graduate School is especially proud for how beautifully it embodies our combined mission of education and research…  It is the gold standard for dictionaries of its kind, and the model by which any similar projects are judged.”

Closing her remarks, Regent Womack presented the Regents Academic Staff Excellence Award for a program to the Dictionary of American Regional English project team, led by Joan Houston Hall, who has headed DARE for the past decade.

Ms. Houston Hall expressed her appreciation and said she was delighted to accept the program award on behalf of the academic staff who serve as DARE’s editors and bibliographer, but also for DARE’s classified staff, students, and volunteers.  Without every one of them, DARE could not have reached the letter “z.”  Ms. Houston Hall said that DARE records words, phrases, pronunciations, grammar, and syntax that vary from one part of the country to another.  It was anticipated that librarians, linguists, historians, and teachers of American literature would be the primary users.  However, many others also love the work, including thousands of everyday folks who love language. 

Ms. Houston Hall provided a favorite example of the usefulness of DARE.  A Tennessee librarian had a patron come into the library who asked about “dry land fish.”  She found nothing in any fish books; she finally looked in DARE and discovered that in Kentucky and Tennessee, a dry land fish is a mushroom.  Physicians who grow up in one part of the country and are working somewhere else may be at a loss if a patient complains of, for example, ground itch, or dew poison, or pone; DARE allows them to look up regional or folk terms for ailments and find out what to ask next. 

Citing other examples of DARE’s usefulness, Ms. Houston Hall said that a lawyer in Atlanta wrote about an experience with a mediator from Kentucky; the mediator mentioned that they were heading for a dog fall.  Googling “dog fall” led the lawyer to DARE’s entry, showing that a dog fall settlement is tie, or a draw, particularly found in Kentucky and Arkansas; the mediator was from Louisville.  Oral historians find DARE immensely useful; they can read memoirs or diaries of people who lived 100 or 150 years ago and come across regional or folk terms that they have never seen before.  Playwrights and novelists consult DARE because they want to be sure that the words that their characters speak are appropriate for the time and place of the setting of their novel or play.  A favorite example of DARE’s utility, as Regent Womack had recounted, was the case in which a forensic linguist solved a problem by recognizing that the term “devil strip” is used in the area outlined by Youngstown, Cleveland, and Akron, Ohio.  One of the suspects in the criminal case was from Akron; when confronted with the linguistic and other evidence, he confessed. 

Ms. Houston Hall said she was often asked about whether American English is becoming homogenized.  She said that it is not.  Language is changing, but it is not becoming homogenized.  Many regional expressions remain.  DARE has recently contracted with Harvard University Press to produce the digital version of DARE, which should come out in 2013.  It is hoped that DARE can maintain a small staff to continue updating the way the American language changes.  DARE has maintained an amazing collaboration, she said, among federal agencies, the Graduate School and other parts of UW-Madison, independent foundations, corporations, businesses, and many hundreds of individuals who care about their language and are willing to contribute to DARE’s success.  Ms. Houston Hall closed her remarks by again expressing gratitude for the Academic Staff Excellence Award.

To close the awards ceremony, President Spector thanked the Awards Committee and expressed appreciation for all of the recipients’ inspiring stories.  Regent Drew thanked Sal Caranza of the Office of Academic Affairs for his work in coordinating the awards process, the other staff involved in preparing nomination materials, and Heather LaRoi of Communications and External Relations for her assistance in preparing Regents’ remarks. 

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REPORT OF THE BUSINESS, FINANCE & AUDIT COMMITTEE

President Spector called upon Regent Falbo to present the report of the Business, Finance, and Audit Committee.

            Business, Finance & Audit Committee Business

 

Joint Session with Education Committee

Regent Falbo noted that the committee first met in joint session with the Education Committee to hear about a recently-completed program review report.  This report would be covered in the Education Committee’s report, but Regent Falbo observed that this was the first presentation to the Board by the new Director of Operations Review and Audit, Elizabeth Dionne.  He said that Ms. Dionne came to the UW System with considerable experience in the Higher Ed practice of KPMG, and that her solid financial background would serve the System well, as it delegates the flexibilities received in the biennial budget.

Delegation of Unclassified Personnel Flexibilities

The committee approved a resolution delegating additional flexibilities relating to unclassified personnel including:  (1) authority to approve Vice Chancellor/Provost’s pay plan and base adjustments, and (2) authority to appoint and set the salary of UW Colleges Deans.  The committee also endorsed the President’s further delegation of these and other flexibilities to the UW Chancellors. 

Semi-Annual Status Report on Large/Vital Information Technology Projects

The committee heard from Associate Vice President for Learning and Information Technology Ed Meachen on the status of three large IT projects as required by s. 13.58(5)(b)(3) Wis. Stats.  These large or high-risk projects (defined as over $1 million) include:  (1) the mainframe-based Legacy Budget System; (2) Phase 2 of the HRS Implementation; and (3) re-implementation of the Student Information System at UW-Platteville.

United Council Mandatory Refundable Fee Adjustment

Regent Falbo reported that the committee heard from representatives from United Council, including Executive Director Nicole Juan, Dylan Jambrek, and Tyler Borkowski.   They collectively provided some history on United Council and the recent focus of its work.  They also spoke about how United Council interacts with students and the services provided.  They addressed the input that students have had on the proposed mandatory-refundable-fee increase and how the new resources would be deployed in the areas of organizational visibility, staff capacity, and student participation.  Committee members acknowledged the work of United Council, along with former Regents Colleen Thomas and Aaron Wingad, in focusing their efforts more effectively.  The committee approved an increase of the mandatory refundable fee from $2 to $3 per academic session. 

Later in the Board meeting, Regent Falbo recognized the members of United Council who were present in the room and acknowledged their hard work in revitalizing United Council, which represents more than 150,000 UW students.

Office of Operations Review and Audit:  Quarterly Status Report

Director of Operations Review and Audit Elizabeth Dionne presented the quarterly status update.  She indicated that she added the reconfirmation of the 2011 audit plan as a mechanism to revisit planned reviews in light of changing priorities.  The Committee discussed the opportunity for the audit office to be engaged in defining ways for the campuses to become more effective and efficient. 

Trust Funds: Request for Principal Expenditure – Laurabell S. Tullock Bequest

Regent Falbo said that the committee approved a request from the UW-Madison Department of Chemistry to make available for expenditure two-thirds of an approximately $1.5-million bequest from the Laurabell S. Tullock estate.  Examples were provided of how the funding would be used to leverage other resources in order to competitively recruit and retain faculty in the top-ten-ranked Chemistry Department.

Minutes of the June 9, 2011 Meeting

The Committee approved the minutes of the June 9, 2011 meeting of the Business, Finance, and Audit Committee.

INC Research, LLC

The Committee approved a clinical trial contract between UW-Madison and INC Research, LLC valued at $664,524.

Report of the Senior Vice President

Senior Vice President for Administration and Fiscal Affairs Michael Morgan provided an update on the status of the Human Resource System (HRS) implementation.  He outlined some of the stabilization challenges across the System.  While saying that the HRS technology is working well, he noted that the HRS Project Team is committed to working collaboratively with the campuses to improve system performance, business practices, and the services provided.

Mr. Morgan also provided some initial thoughts on the timetable for delegating to UW institutions the new flexibilities granted in the 2011-13 biennial budget.

            Consent Agenda

Regent Falbo then moved the adoption of Resolutions 9950, 9951, 9952 and 9953, which had been approved unanimously by the Business, Finance, and Audit Committee.  Regent Bartell seconded the motion, and the Board adopted the resolutions on a unanimous voice vote.

Delegation of Unclassified Personnel Flexibilities

Resolution 9950:         That, upon the recommendation of the President of the University of Wisconsin System, the Board of Regents:

1) approves the President’s request to delegate to the UW System President the Board’s authority to approve the Vice Chancellor/Provosts’ pay plan and base adjustments, and endorses the President’s recommendation that this authority be further delegated to the UW Chancellors;

2) approves the President’s request to delegate to the UW System President the Board’s authority to appoint and set the salary for the UW Colleges Deans, and endorses the President’s recommendation that this authority be further delegated to the UW Colleges and UW-Extension Chancellor; and

3) endorses the President’s delegation of authority to the UW Chancellors to:

a) recruit, appoint and set the salary within the Board of Regents’ approved salary range for new and interim Vice Chancellor/Provost hires;

b) approve the faculty salary when an administrator returns to a faculty position;

c) use modified chancellor titles (Vice Chancellor (non-deputy), Assistant Chancellor, etc.) and assign the position to a UW System salary range;

d) approve extraordinary salary ranges for unclassified staff;

e) approve and establish institution-specific peer institutions for market salary comparisons.

United Council Mandatory Refundable Fee Adjustment

Resolution 9951:         That, upon the recommendation of the Executive Director of the United Council of University of Wisconsin Students, the Board of Regents approves the adjustment of the Mandatory Refundable Fee from $2.00 to $3.00 per student per academic term beginning in the fall semester of 2011.

UW System Trust Funds Request for Principal Expenditure Laurabelle S. Tullock Bequest

Resolution 9952:         That, upon recommendation of the Chair of the Department of Chemistry, the Chancellor of UW-Madison, and the President of the University of Wisconsin System, the Board of Regents approves two-thirds of the principal of the bequest from the Laurabelle S. Tullock estate being made available for spending.

UW-Madison Contractual Agreement With INC Research, LLC

Resolution 9953:         That, upon the recommendation of the Chancellor of the University of Wisconsin-Madison and the President of the University of Wisconsin System, the Board of Regents approves the contractual agreement between the University of Wisconsin-Madison and INC Research, LLC.

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CAPITAL PLANNING AND BUDGET COMMITTEE

President Spector turned to Regent Bartell, Chair of the Capital Planning and Budget Committee, who reported that, along with the minutes of the June committee meeting, six resolutions were unanimously approved by the Capital Planning and Budget Committee were now presented as consent agenda items.

            Capital Planning and Budget Committee Business

Approval of Design Report and Single-Prime Bidding for UW-Eau Claire Education Building Project 

Regent Bartell reported that Resolution 9954 requested approval for the design report for the new UW-Eau Claire Education Building project, and authority to seek a waiver from the State Building Commission to allow single-prime bidding for the $44.5-million project.  The new four-story building will provide space for the consolidation of the education departments and programs of the College of Education and Human Sciences into one location, and replace obsolete space in Brewer Hall and the Campus School.  The building also will house 22 classrooms, faculty offices, and student services functions.  This is the first academic building on the UW-Eau Claire campus in about 40 years.  The use of a single-prime delivery method will help reduce the amount of administration required to manage the project at a time of diminished staff resources.

Authority for Waiver to Allow Selection of a Construction Manager-at-Risk for UW-Madison Memorial Union Theater Wing Renovation Project

Regent Bartell said that Resolution 9955 requested authority to seek a waiver from the State Building Commission to allow the selection of a construction manager-at-risk for the $52-million UW-Madison Memorial Union theater-wing renovation project.  This project will restore and renovate a majority of the west wing of the Memorial Union and also address many other areas throughout the Union with mechanical, electrical, plumbing, and accessibility upgrades.  Many of the areas to be upgraded date back to 1929 and 1937, when the Union was constructed.

It is essential to have a construction manager-at-risk for this project due to the very tight construction-site constraints that will result from keeping the building operational during the course of this project.  A construction manager-at-risk is able to coordinate construction activities with the activities of the Union.

Authority to Adjust Project Scope and Budget of UW-Madison Lakeshore Residence Hall–Phase II Project

Regent Bartell reported that Resolution 9956 requested authority to adjust the project scope and budget of the $17-million program-revenue-funded UW-Madison Lakeshore Residence Hall Project, Phase II.  This is the second phase of a project to improve food service facilities located in the west lakeshore area of campus and construct a 176-bed student residence hall to satisfy the demand for on-campus housing.  Phase I, approved last year, will provide 412 beds; with the current plans, UW-Madison will be able to accommodate all in-coming freshmen who choose to live in an on-campus residence hall.

This building will be the first LEED-certified residence hall on the Madison campus, and the hall will house the GreenHouse, which is one of seven residential-learning communities on campus; students, together with faculty, will be able to find sustainable solutions for social and environmental challenges in such areas as agri-food systems, energy conservation, building and design, and alternative energy sources.  

Authority to Seek the Release of Additional Building Trust Funds to Plan the School of Freshwater Sciences and the Kenwood Interdisciplinary Research Complex.

Resolution 9957 sought the release of additional building trust funds to plan the School of Freshwater Sciences and the Kenwood Interdisciplinary Research Complex.  Consultants have been retained for both these projects, which were advance enumerated in the 2011-13 and 2013-15 biennia.  These funds will continue the planning work already underway to develop preliminary plans, cost estimates, and design reports for these two projects.  The two projects together are budgeted at about $125 million.

Authority to Accept the Gift of a House at UW-River Falls

Resolution 9958 sought authority to accept the gift of a house, valued at $530,000, situated on a 1.56-acre parcel of land in the city of River Falls.  The building would function in the immediate term as the university’s “international house,” to provide accommodations for visiting scholars and guests.  It could also be a retreat and workshop and serve other university functions.  Regent Bartell noted that under the flexibilities for UW System, included in the biennial budget, if the house were worth less than $150,000, the Board could accept it without Building Commission approval.

Authority to Construct All-Agency Maintenance and Repair Projects

Resolution 9959 requested authority to construct four All Agency Maintenance and Repair projects totaling about $3 million.  One of those projects will implement energy conservation measures at Sandburg Hall on the UW-Milwaukee campus. 

            Consent Agenda

Regent Bartell then moved the adoption of resolutions 9954, 9955, 9956, 9957, 9958 and 9959.  Regent Drew seconded the motion, and the Board adopted the resolutions on a unanimous voice vote.

Approval of the Design Report of the Education Building Project and Authority to Seek a Waiver of Wis. Stats. § 16.855 to Allow Single Prime Bidding and Construct the Project, UW-Eau Claire

Resolution 9954:         That, upon the recommendation of the UW-Eau Claire Chancellor and the President of the University of Wisconsin System, the Design Report of the Education Building project be approved and authority be granted to (1) seek a waiver of Wis. Stats. § 16.855 under the provisions of Wis. Stats. § 13.48 to allow single prime bidding and (2) construct the project at an estimated cost of $44,500,000 ($44,000,000 General Revenue Supported Borrowing, $500,000 Building Trust Funds-Contingency).

Authority to Seek a Waiver of Wis. Stats.§ 16.855 to Allow for the Selection of a Construction Manager-At-Risk for the Memorial Union Theater Wing Renovation–Phase I Project, UW-Madison

Resolution 9955:         That, upon the recommendation of the UW-Madison Chancellor and the President of the University of Wisconsin System, authority be granted to seek a waiver of Wis. Stats. § 16.855 under the provisions of Wis. Stats. §13.48 (19) to allow selection, through a Request for Proposal process, of a Construction Manager-at-Risk (CMAR) for construction of the Memorial Union Theater Wing Renovation-Phase I project at a preliminary estimated budget of $52,000,000 ($40,500,000 Program Revenue Supported Borrowing and $11,500,000 Gift Funds).  Authority to construct the project will be sought at the 35% design phase.

Approval of the Design Report of the Lakeshore Residence Hall–Phase II Project and Authority to Adjust the Scope and Budget and Construct the Project, UW-Madison

Resolution 9956:         That, upon the recommendation of the UW-Madison Chancellor and the President of the University of Wisconsin System, the Design Report of the Residence Hall-Phase II project be approved and authority be granted to: (a) increase the project scope and budget by $5,473,000 ($4,273,000 Existing Program Revenue Borrowing and $1,200,000 Program Revenue-Cash) and (b) construct the project for a total project cost of $17,316,000 ($11,843,000 Program Revenue Supported Borrowing; $1,107,000 Program Revenue Supported Borrowing Utility; $3,166,000 Residual Program Revenue Supported Borrowing; and $1,200,000 Program Revenue-Cash).

Authority to Seek Building Trust Funds to Plan the School of Freshwater Sciences and the Kenwood Interdisciplinary Research Complex, UW-Milwaukee

Resolution 9957:         That, upon the recommendation of the UW-Milwaukee Chancellor and the President of the University of Wisconsin System, authority be granted to seek the release of an additional $815,000 ($789,350 Building Trust Funds–Planning, $15,000 Program Revenue-Cash, $10,650 Gift/Grant Funds) to continue planning for the Kenwood Integrated Research Complex–Phase I and Freshwater Sciences Addition–Phase I.

Authority to Accept the Gift of a Single Family House Situated on a 1.56 Acre Parcel of Land Located in the City of River Falls, Wisconsin, UW-River Falls

Resolution 9958:         That, upon the recommendation of the UW-River Falls Chancellor and the President of the University of Wisconsin System, authority be granted to accept the gift of a single family house situated on a 1.56 acre parcel of land located at 545 River Hills Drive, in the city of River Falls, Pierce County, Wisconsin, for the University of Wisconsin-River Falls.

Authority to Construct All Agency Maintenance and Repair Projects, UW System

Resolution 9959:         That, upon the recommendation of the President of the University of Wisconsin System, authority be granted to construct various maintenance and repair projects at an estimated total cost of $2,807,500 ($252,300 General Fund Supported Borrowing and $2,555,200 Program Revenue Supported Borrowing).

            Report of the Associate Vice President

Regent Bartell said that Associate Vice President David Miller reported to the committee that the Building Commission approved about $26 million for projects at its June meeting.  He also discussed the need for additional flexibilities, beyond those passed in the biennial budget bill, and the hope that the special legislative Task Force would address at least some of these needs. 

Concluding his report, Regent Bartell said that the committee convened in closed session to consider a UW-Madison naming request, to be brought to the full board at its closed session in the afternoon. 

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REPORT OF THE EDUCATION COMMITTEE

President Spector called upon Regent Vásquez to present the report of the Education Committee.

            Education Committee Business

Report from Office of Operations Review and Audit:  Service Learning in the UW System

Regent Vásquez began his report by saying that the Education Committee and Business, Finance, and Audit Committee were introduced to the new Director of the Office of Operations Review and Audit, Elizabeth Dionne.  Ms. Dionne provided an overview of the Office’s report on “Service Learning in the UW System.”  She identified the various roles and responsibilities of the different parties involved in service learning, including:  (1) those at the institutional level, such as faculty who organize service learning opportunities for their students, as well as the students; and (2) external parties, such as off-site community agencies, where students participate in the service learning activities.  Ms. Dionne outlined risks and liability at stake for each of these parties, and in the different settings where service learning takes place.

Overall, UW institutions that offer service learning are doing a good job attending to these risk and liability considerations, Ms. Dionne said.  For example, they conduct site visits of community partners, address the transportation issues encountered by their students, and communicate and set expectations with students regarding these experiences. 

The report included one recommendation, which was the focus of some discussion, namely that all of those involved with service learning at the institutional level should work with their own risk management staff and the UW System Office of Safety and Loss Prevention to determine the appropriate circumstances in which students are covered under statutory liability protections as agents of the State of Wisconsin.

Panel Discussion on Innovation and Reform in Teacher Preparation in the UW System

The committee discussed some of the reform efforts in teacher preparation taking place at UW Schools of Education.  Three panelists provided information on:  (1) UW-Green Bay’s Applied Leadership for Teaching and Learning program, which offers a master’s degree to experienced educators and addresses diversity and underserved PK-12 students through partnerships involving the Green Bay campus and regional K-12 educators (Tim Kaufman); (2) UW-Oshkosh’s ACT! Program, a licensure program for working professionals who already have a bachelor’s degree and want a new career teaching secondary school math or sciences in Wisconsin (Mike Beeth); and (3) UW-Stout’s Advancing STEM Education program, comprising a number of partnerships, including several degree and teacher-certification options focused on technology and science education (Mary Hopkins-Best).  Regent Vásquez reported that these are programs that represent truly innovative approaches to preparing teachers for high-need areas in Wisconsin.  The UW System’s Schools of Education are engaged in cutting-edge practices and partnerships to address the needs of an increasingly diverse student population statewide.

Regent Policy Document 7-1:  Board of Regents Undergraduate Transfer Policy

Regent Vásquez said that in June the Board endorsed revisions to the UW System policy on undergraduate transfer.  The System policy was the work of a committee composed of UW System and campus experts working on transfer, developed with broad input from, and after extensive vetting with, UW institutions.  Regent Vásquez said the Education Committee was asked to approve revisions to RPD 7-1, the Regent policy on undergraduate transfer. 

The revised RPD 7-1 is, by design, distinct from the UW System policy.  It follows the new format established in the last few months by Board leadership, in consultation with Secretary Radue and the President’s Cabinet.  It includes sections covering:  scope; purpose; oversight, roles and responsibilities; related policies; and relevant history.  Most importantly, the Regent policy makes an enduring policy statement addressing the UW System as a whole, and sets out fundamental principles as a basis for action for UW institutions.

Regent Vásquez said that the Regent policy directs all readers to the System policy, contained in the revised ACIS 6.0 and 6.2 documents, which articulate the guidelines, procedures, and administrative practice for how the Regent policy will be implemented at UW institutions.  This was the committee’s first engagement with a substantive RPD, after acting to remove some obsolete, “low-hanging fruit” policies from the RPDs.  The committee appreciated the clarity and brevity of the revised 7-1 and gave its unanimous approval.

Report of the Senior Vice President

Regent Vásquez noted that the Education Committee heard moving farewell remarks from Senior Vice President Rebecca Martin.  The committee expressed their appreciation for Dr. Martin’s leadership and guidance to the Education Committee and gave her a standing ovation.  The committee also thanked Regent Crain for so ably chairing the Education Committee.

As part of the Senior Vice President’s report, the committee heard a presentation on LEAP/Inclusive Excellence at the Institutions, featuring UW-Superior.  UW-Superior Interim Provost Faith Hensrud, gave an overview of the impressive work underway in Inclusive Excellence.  The committee appreciated Provost Hensrud’s assessment that the campus’s significant staff turnover was both the biggest challenge and the biggest opportunity in fulfilling the university’s commitment to implementing Inclusive Excellence.  Thirty-seven faculty members, out of a total of 127, were hired in the last two years.

            Consent Agenda

Regent Vásquez then moved the adoption of Resolutions 9960 which, in addition to the minutes of the June 9, 2011 meeting, had been approved unanimously in the Education Committee.  Regent Davis seconded the motion.  During discussion, Regent Bartell asked if chancellors or others had expressed any concerns about the transfer-policy changes.  Regent Vásquez said that such concerns were not voiced in the Education Committee meeting the day before, but he asked Senior Vice President Martin to address the question, as well.  Dr. Martin said that there was considerable discussion at the June meeting on the changes in the System-level policy, which is where the operational detail resides, but not at the meeting of the day before, where Regent policy was addressed.  The Board adopted the resolution on a unanimous voice vote.

Regent Policy Document 7-1 Board of Regents Undergraduate Transfer Policy

Resolution 9960:         That, upon recommendation of the President of the University of Wisconsin System, the Board of Regents approves the changes to Regent Policy Documents RPD 7-1, “University of Wisconsin System Undergraduate Transfer Policy.”

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APPROVAL OF THE BOARD OF REGENTS 2012 REGULAR MEETING SCHEDULE

President Spector noted that a draft 2012 Board of Regents meeting schedule was in the Board packets and requested a motion to approve Resolution 9961, adopting the schedule.  Regent Davis moved approval; the motion was seconded by Regent Bartell and adopted on a unanimous voice vote.

Approval of Board of Regents 2012 Meeting Schedule

 

Resolution 9961:         That, upon the recommendation of the Secretary of the Board of Regents, the Board of Regents adopts the attached draft regular-meeting schedule for 2012.

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RESOLUTIONS OF APPRECIATION

            Resolution of Appreciation for Senior Vice President Martin

President Spector called upon Regent Crain to present a resolution of appreciation for Senior Vice President Rebecca Martin.  Regent Crain, the immediate past chair of the Education Committee, asked both Dr. Martin and Regent Davis, who had chaired the committee before her, to join her at the podium.

Regent Crain said that in the context of the earlier Academic Staff Excellence Awards, as well as the discussion about restructuring in the System, it was important to recognize the critical work of Academic Affairs, which had been led so well by Dr. Martin. 

Regent Crain said that one of the greatest privileges of serving on the Board was coming to know and work with the superb administrators, educators, and other employees of UW institutions and the University of Wisconsin System.  Most of those at the Board table are lay people in the educational world; Regent Crain said that she was continually inspired by and tremendously proud of those who are the real leaders of the University of Wisconsin.  Regent Crain said that she had great appreciation for Dr. Martin, having worked closely with her as a member and chair of the Education Committee during Dr. Martin’s tenure as Senior Vice President for Academic Affairs.

The resolution to be presented for Regent approval outlines some of Dr. Martin’s impressive achievements as Provost at the University of Wisconsin-Parkside, and particularly focuses on her role as the UW System’s chief academic officer.  Regent Crain said that everything highlighted in the resolution represented the strengths that she had come to greatly admire in Dr. Martin’s leadership -- her vision, her commitment to the system’s growth priorities, her unwavering focus on what is best for students, her strong belief that quality must be central to decision-making, and her insistence on the values of diversity and inclusiveness.  The University of Wisconsin is stronger because of Senior Vice President Martin’s leadership in these areas, and her influence will live on, Regent Crain said.

Regent Crain acknowledged that she had learned a great deal from Dr. Martin and very much admired her considerable intellect and her knowledge of current educational issues.  She also expressed appreciation for Dr. Martin’s respect for the views of others when addressing complicated and sometimes controversial issues.  She would listen carefully and consider all relevant information and viewpoints, yet also would be absolutely steadfast and direct in expressing her own convictions.  Referring to herself as “an old feminist,” Regent Crain said that she had been greatly heartened by Senior Vice President Martin’s understanding of the importance of modeling and supporting effective female leadership.

In working with the Board of Regents Education Committee, Dr. Martin was very skillful in building an understanding of the issues.  She encouraged the committee to work productively with the provosts, fostering the committee’s appreciation, understanding, and support of their important work.

Regent Crain offered the Board’s very best wishes, saying that she knew that Dr. Martin would make a difference that would matter to the educational world, including the University of Wisconsin, which will continue to benefit from her expertise, vision, and leadership.  Regent Crain expressed pride in and gratitude for Senior Vice President Martin’s service. 

Regent Davis spoke next, describing Dr. Martin as a quiet leader who walks softly but carries a big stick; “quiet leader” is a phrase that describes one of her most endearing and impactful characteristics.  “Compassionate leader” expresses why Dr. Martin had been so instrumental in the accomplishment of “the right thing to do” in higher education.  “Convener and effective architect of problem resolution” describes Dr. Martin’s attributes, and speaking as one who had participated numerous times in accomplishing outcomes through working effectively with others, Regent Davis said that she truly admired Dr. Martin for her gifts and skills in this regard.

Regent Davis went on to describe Dr. Martin as a “courageous leader,” who has the courage of her convictions and is able to articulate the destination clearly for all to understand.  She is an “avid and active listener,” key to her ability to work through differing perspectives to a common good or end.  She is a “hard and determined worker,” demonstrated by everything she undertook.  “Discrete and loyal” were other highly-valued attributes that Dr. Martin consistently exercised.

Regent Davis expressed her admiration for having the opportunity to work with Dr. Martin for nearly five years.  Much had been accomplished through the Education Committee, and Regent Davis said she would miss her, and that the U.S. Education Delivery Institute would be lucky to have her.

President Reilly, taking the opportunity to add his thoughts, remarked that he knew that the new opportunity was a very meaningful one for Dr. Martin, and that it was the UW Systems’ loss.  She was the greatest of colleagues, whose judgments he trusted, commitments he shared, and values he admired.  He said that it was his honor and privilege to be her colleague.

Regent Davis then read the resolution of appreciation, which was approved by acclamation.

Resolution of Appreciation for Rebecca R. Martin

Resolution 9962:         WHEREAS, Rebecca Martin has dedicated over 21 years to leadership positions in higher education, including serving as the University of Wisconsin System’s chief academic officer since 2007; and

WHEREAS, Rebecca brought extensive higher education experience and expertise to the UW System, serving as Provost and Vice Chancellor for Academic Affairs at UW-Parkside, in addition to multiple leadership positions at the University of Vermont, including Senior Vice Provost, Interim Provost, and Acting President; and

WHEREAS, Rebecca’s vision for quality higher education in Wisconsin emanated from her desire to prepare all Wisconsin residents for work and life in the 21st-century global society; and

WHEREAS, Rebecca played a key role in developing and implementing the UW System’s Growth Agenda for Wisconsin and More Graduates initiatives, focused on improving retention and graduation rates while supporting UW institutions in advancing academic quality; and

WHEREAS, through her academic oversight and passionate interest in providing students from all backgrounds with equitable opportunities for education, she positioned the UW System as one of the primary players in the national Access to Success initiative and guided Wisconsin’s involvement in becoming the first state to lead and pilot the Association of American Colleges and Universities’ Liberal Education and America’s Promise (LEAP) Campaign; and

WHEREAS, Rebecca led efforts in Inclusive Excellence, the UW System’s framework for diversity and equity, building on two ongoing projects that foster positive campus change, the Equity Scorecard and Campus Climate Projects;

WHEREAS, Rebecca’s belief in higher education as a public good is mirrored by her commitment to advancing the arts, libraries, and cultural offerings to communities and populations throughout the state; and

WHEREAS, she has been a strong leader of the talented staff across the multiple units of Academic Affairs, and offered thoughtful, valued counsel throughout her service to President Kevin P. Reilly and university colleagues;

BE IT THEREFORE RESOLVED that the Board of Regents of the University of Wisconsin System hereby offers thanks and commendation to Rebecca Martin for her many life achievements and for her service as University of Wisconsin System Senior Vice President for Academic Affairs, and wishes her every success in her new position with the U.S. Education Delivery Institute in Washington, D.C.

            After the resolution was read, Senior Vice President Martin expressed her thanks and said that she had left the University of Vermont for the University of Wisconsin nine-and-a-half years before.  She was looking for an opportunity to serve a university that was serious about teaching and learning, diversity, and community engagement.  Very few universities actually live these ideas.  At UW-Parkside, Dr. Martin said, she found an institution where these ideas were played out every day in classrooms, campus activities, and administrative actions. 

            She said that she found, after coming to Wisconsin, that these principles were also clear values for the Board of Regents, as demonstrated in the Board’s priorities.  The articulation of these ideas in the Growth Agenda was compelling as she took on the senior vice presidency.  She said that the opportunity to work with the Board and colleagues throughout the System on making these priorities a reality, through Inclusive Excellence, More Graduates for Wisconsin, and LEAP, had been the most rewarding undertaking of her career.  She urged the Board to maintain a clear focus on these values and priorities while grappling with the challenges facing the UW System in the days ahead. 

            Senior Vice President Martin thanked the provosts for their full support in her efforts; the Regents, especially Regent Crain and Regent Davis, who guided the Education Committee’s work; faculty and academic staff representatives, who helped keep a commitment to shared governance in focus at all times; the chancellors, System Administration’s fiercest critics and strongest allies; the Cabinet and the staff of Academic Affairs; and President Reilly, with his clear direction and steady leadership.  She also thanked her partner, Jim, for his steadfast support and infinite patience in listening to her work through challenges.

            Closing her remarks, Dr. Martin said that the opportunity at the U.S. Education Delivery Institute to focus her work solely on closing the education and achievement gap for students of color was very compelling.  At the same time, stepping away from the people and the work of the UW was extremely difficult.  She said that she would truly miss everyone.  She quoted Robert Kennedy and then said that the fate of the University of Wisconsin System and its vital role in the lives of the citizens was in the hands of those present.  She said that she trusted that the values that brought the System to where it is today would remain highly important.

President Spector offered special thanks to Regents Crain and Davis for their heartfelt comments.

He also noted that in Regents’ folders was a resolution of appreciation for Chancellor Biddy Martin, who was not present.  He expressed good wishes to her as she takes on the leadership of Amherst College, one of the nation’s premier liberal arts colleges.

President Spector indicated that at a future meeting, the Board would plan to honor outgoing Regents Danae Davis; Stan Davis; Tom Loftus; and Betty Womack, who had submitted a letter of resignation and would be relocating with her husband to Texas.

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UNFINISHED AND ADDITIONAL BUSINESS

President Spector asked for any communications, petitions, or memorials.  Regent Loftus asked the Board to honor UW-graduate Ronald Asmus, who died on April 30, 2011, at the age of 53.  Mr. Asmus was born in Milwaukee and graduated from UW-Madison after first studying engineering, finally majoring in history and international relations.  Mr. Asmus, Regent Loftus reported, was an architect of modern Europe, whose 1993 article on foreign policy led to the expansion of the North Atlantic Treaty Organization (NATO) into Eastern Europe following the Cold War.  He was appointed to the State Department to help implement the policy he proposed.  Countries belonging to NATO had to meet certain conditions, such as settling border disputes, having civilian control of the military, providing full rights for minorities, and being parliamentary democracies.  These were radical ideas at the time.  He was at the signing of the admission of Poland, Hungary, and the Czech Republic into NATO, paving the way for other countries’ membership. 

Regent Loftus said that Mr. Asmus should be memorialized and recognized for his good and influential work.  Regent Loftus’s communication was met with applause in honor of Mr. Asmus. 

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The meeting adjourned at 11:20 and reconvened at 11:40 to move into closed session.

CLOSED SESSION

The following resolution was moved by Regent Smith, seconded by Regent Bartell, and adopted on a roll-call vote, with Regents Bartell, Crain, Davis, Evers, Falbo, Loftus, Manydeeds, Pruitt, Smith, Spector, Tyler, Vásquez, Walsh, and Womack voting in the affirmative.  There were no dissenting votes and no abstentions.

            Closed Session Motion

Resolution 9963:         That the Board of Regents move into closed session to consider personal histories related to the naming of a facility at UW-Madison, as permitted by s. 19.85(1)(f), Wis. Stats.; to consider a compensation adjustment for the UW-Madison athletic director, as permitted by s. 19.85(1)(c), Wis. Stats.; to consider a compensation adjustment for the UW-Madison men’s basketball head coach, as permitted by s. 19.85(1)(c), Wis. Stats.; to consider a compensation adjustment for the UW-Madison women’s hockey head coach, as permitted by s. 19.85(1)(c), Wis. Stats.; to consider salary approval for an interim chancellor for UW-Madison, as permitted by s. 19.85(1)(c), Wis. Stats; to confer with legal counsel regarding pending or potential litigation, as permitted by s. 19.85(1)(g), Wis. Stats.; and to consider annual personnel evaluations, as permitted by s. 19.85(1)(c), Wis. Stats.

The following resolutions were adopted during the closed session:

Authority to Change the Name of the “J.F. Friedrick Center” to “Vel Phillips Hall,”UW-Madison

Resolution 9964:         That, upon the recommendation of the of the UW-Madison Chancellor and the President of the University of Wisconsin System, authority be granted to change the name of the “J.F. Friedrick Center” to “Vel Phillips Hall.”

Approval Amended Additional Compensation Agreements Athletic Director, Head Men’s Basketball Coach, and Head Women’s Hockey Coach, UW-Madison

Resolution 9965:         That, upon recommendation of the President of the University of Wisconsin System and the Chancellor of the University of Wisconsin-Madison, the Board of Regents hereby approves the attached amended additional compensation agreements for Athletic Director Barry Alvarez, Head Men’s Basketball Coach William F. Ryan, Jr., and Head Women’s Hockey Coach Mark Johnson.

Request for Salary Approval: Interim Chancellor, UW-Madison

Resolution 9966:         That, upon recommendation of the President of the University of Wisconsin System, salary approval is requested for David Ward as Interim Chancellor of the University of Wisconsin-Madison, effective July 18, 2011 at an annual base salary rate of $437,000.

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The meeting was adjourned at 1:50 p.m.

 

Submitted by:

/s/ Jane S. Radue                          

Jane S. Radue, Secretary of the Board