Minnesota State - December 2004 Board Meeting Minutes

Wednesday, December 15, 2004
Wells Fargo Place
St. Paul, Minnesota

Trustees Present: Robert Hoffman, Chair, Will Antell, Duane Benson, Tyler Despins, Cheryl Dickson, Ivan Dusek, Clarence Hightower, Vincent Ijioma, David Olson, David Paskach, Thomas Renier, Ann Curme Shaw and Christopher Schultz

Trustees Absent: Mary Choate and Lew Moran

Call to Order
Chair Robert Hoffman called the meeting to order at 12:35 p.m.
Chair's Report
1. Minutes of Board of Trustees Meeting of Wednesday October 20, 2004
  As there were no corrections to the minutes, Chair Hoffman announced that the minutes stand approved as written.
3. Draft Minutes of Executive Committee Meeting of December 1, 2004
  Chair Hoffman reported that the draft minutes of the Executive Committee meeting are included for information in the board packet.
5. Other
  Chair Hoffman reported that several Trustees were attending fall commencements.
  Chair Hoffman stated that each January for the past seven years the Board and Chancellor have hosted the "Annual Foundation Thank You Luncheon." Due to concerns that the month of January may present travel problems for those in greater Minnesota , the date has been changed to April 19, 2005 . The recognition will be a late afternoon reception rather than a luncheon as in the past.
  
  Chair Hoffman reported that due to scheduling conflicts, the June Board of Trustees meeting dates will change from June 21-22, to June 14-15.
  
  Chair Hoffman announced that Chancellor McCormick was elected as Chair of the Midwestern Higher Education Compact (MHEC). Founded in 1991, the compact represents more than 850 colleges in Illinois , Indiana , Kansas , Michigan , Minnesota , Missouri , Nebraska , North Dakota , Ohio and Wisconsin.
  
  The compact sponsors a variety of programs related to cutting costs for students and institutions, improving access to education and conducting research on higher education policy. During the past year, those programs saved member states more than $27.6 million, including $2.3 million for Minnesota State Colleges and Universities, state and local governments and students.
  
  Chair Hoffman reminded those present that due to the Dr. Martin Luther King holiday on Monday, January 17, the January Board of Trustees meetings will be on Wednesday and Thursday, January 19-20, rather than Tuesday and Wednesday, January 18-19.
  
  Chair Hoffman remarked that he found the presentation on Academic Quality Improvement by Dr. Carol Twigg valuable and that he looks forward to further information on course redesign at the January meeting.
  
  Chair Hoffman commented that he received a letter from President Richard Davenport expressing his thanks for the support he received from the Board and Chancellor during his illness and recovery.
Trustee Reports
Trustee Tyler Despins reported that he attended the Minnesota State University Student Association (MSUSA) Board of Directors meeting at Metropolitan State University on December 3-5, 2004 .
Trustee Despins requested that the Board review the meeting dates for next year's meeting calendar to accommodate student trustee schedules during the week of finals. Chair Hoffman noted that the future meeting dates would be reviewed and scheduled to not coincide with finals week.
Chancellor's Comments
Chancellor McCormick thanked the Board members, presidents, faculty and staff for their support during the past year. He acknowledged Mr. Scott Olson, Acting President of Minnesota State University, Mankato .
Chancellor commented on the presentation on Academic Quality Improvement by Dr. Carol Twigg. He added that he sees great potential to do more for less, and to serve the students more effectively. He suggested giving presentations to the foundations to raise funds for the program and requested that some of the Board members join him in those presentations.

Chancellor spoke of the bonding bill and that the Senate Capitol Investment Committee met on November 29. He noted the cost of the projects for Minnesota State Colleges and Universities has increased $23 million, due to an increase in material costs and inflation, bringing the total request to $298 million. He urged everyone to do what they can to support the bonding bill.

Chancellor reported that he has met with more than half of the 26 new legislators and will continue to meet with each individually until all are completed.

Chancellor acknowledged Presidents Ron Wood and Roland Barden as Search Committee Chairs for the presidential positions at Minnesota State Community and Technical College and Winona State University , respectively. He added that he hopes to present candidates to the Board by late March of 2005. He added that an Interim President shall be named at Northland Community and Technical College when President Orley Gunderson retires in the summer of 2005.

Chancellor commented on the development of the Systemwide Mid-Level Leadership Development Program. He commended the work of the presidents and the participation of the Board in development of the program.

Chancellor announced that the Citizens League concluded its work and released a report entitled Trouble on the Horizon: Growing Demands and Competition, Limited Resources and Changing Demographics in Higher Education. He noted that the report will be the major topic of discussion at the January meeting.

Chancellor stated that at the January Board meeting he will present the first biannual report of the Work Plan. He added that he plans to meet individually with each Board member, and to contact each president and student and faculty representatives for consultation on the Work Plan initiatives.

Chancellor reported that Pine City Technical College won a $1.5 million dollar grant from the Department of Defense for Virtual Reality training. The grant is the second largest to be awarded in the country. Chancellor congratulated President Robert Musgrove.

Chancellor concluded his remarks with quotes from two recent articles. A quote by Trustee Olson from the December issue of Twin Cities Business Monthly stated: "The business community depends on a higher education system that can recruit and prepare more graduates for the demands of knowledge-intensive jobs in our state." He added that another article from the New York Times cites: "A national commission on writing found that one-third of the employees of the nation's blue-chip companies wrote poorly." Chancellor noted there is great work to be done by Minnesota State Colleges and Universities along with K-12 for improvement in that area. Chair Hoffman commented that written and oral communications are the major weaknesses of college graduates, and it is a problem facing higher education.
Joint Council of Student Associations
2. Minnesota State College Student Association
  Mr. Justin Pahl, President, Minnesota State College Student Association (MSCSA), addressed the Board of Trustees.
4. Minnesota State University Student Association
  Mr. Derek Hudyma, Vice Chair, Minnesota State University Student Association (MSUSA), addressed the Board of Trustees.
Minnesota State Colleges and Universities' Bargaining Units
1. American Federation of State, County and Municipal Employees
  Ms. Karen Foreman, President, Local 638, American Federation of State, County and Municipal Employees (AFSCME), addressed the Board of Trustees.
3. Minnesota Association of Professional Employees
  Mr. Rick Nelson, Business Agent, Minnesota Association of Professional Employees (MAPE), addressed the Board of Trustees.
5. Minnesota State University Association of Administrative and Service Faculty
  Mr. John Ferden, President, Minnesota State University Association of Administrative and Service Faculty (MSUAASF), provided a written update on the activities of MSUAASF.
7. Inter Faculty Organization
  Dr. Nancy Johnson Black, President, Inter Faculty Organization (IFO), addressed the Board of Trustees.
Consent Agenda
All matters listed under Consent Agenda will be enacted by one motion in the form listed below. Any trustee may request that an item or items be removed from the Consent Agenda for independent consideration.
There were no items for the consent agenda this month.
1. Board Standing Committee Reports
2. 1. Finance/Facilities Policy Committee, Clarence Hightower, Chair
  2. 1. Finance/Facilities Division Update
      Chair Clarence Hightower reported that the committee heard an update from Vice Chancellor Laura King on the Finance/Facilities Division.
    3. *Amendment to Real Estate Transaction Policy 6.7 (Second Reading )
      Committee Chair Hightower moved that the Board of Trustees approves the change in Board Policy 6.7, as noted in Attachment A. The Chancellor shall report all real estate acquisitions and dispositions to the Board annually.
      Trustee Duane Benson seconded and the motion carried with two opposed (Trustees Antell and Despins).
      
      Trustee Antell stated his opposition to the motion commenting that he is opposed to any allocation of land acquisition that uses tuition as means of support, regardless of the size of the acquisition. He added that he opposes capital outlay to be borne of the students.
  3. Audit Committee, Ann Curme Shaw, Chair
  4. 1. *Fiscal Year 2004 Audited Financial Statements
      Committee Chair Ann Curme Shaw moved that the Board of Trustees approves the release of the fiscal year 2004 audited financial statements as submitted.
      Trustee Vincent Ijioma seconded and the motion carried.
    2. System-Level Accountability Framework Update
      Committee Chair Shaw reported that the committee heard an update on the System-Level Accountability Framework. The student debt burden data is a measure of access and affordability; the graduate related employment and continuing education are measures of economic development. Committee Chair Shaw added that the measures show the data to be par with the national percentages, but there is evidence of dramatic change.
    3. Follow-up Recommendations of Services to Traditionally Underrepresented Student Populations Study
      Committee Chair Shaw reported that the committee heard a status update from President Anne Weyandt on the s tudy recommendations of services to traditionally underrepresented student populations.
  5. Educational Policy Committee, David Paskach, Chair
  6. 1. Academic and Student Affairs Update
      Committee Chair David Paskach reported that the committee heard an update from Senior Vice Chancellor Linda Baer on the activities of the Academic and Student Affairs Division.
    3. Proposed Amendment to Policy 2.1, Campus Student Associations (First Reading )
      Committee Chair Paskach reported that the committee reviewed the Proposed Amendment to Policy 2.1, Campus Student Associations. This will be an action item at the January meeting.
    5. Proposed Amendment to Policy 3.7, Statewide Student Association (First Reading )
      Committee Chair Paskach reported that the committee reviewed the Proposed Amendment to Policy 3.7, Statewide Student Association. This will be an action item at the January meeting.
    7. Proposed Amendment to Procedure 2.9.1, Financial Aid Satisfactory Academic Progress
      Committee Chair Paskach reported that the committee reviewed the Proposed Amendment to Procedure 2.9.1, Financial Aid Satisfactory Academic Progress. The amendment was provided as information, as the Board of Trustees does not approve procedures.
    9. Proposed Policy 3.29, and Proposed Procedure 3.29.1, College and University Transcripts (First Reading)
      Committee Chair Paskach reported that the committee reviewed the Proposed Policy 3.29, and Proposed Procedure 3.29.1, College and University Transcripts. Proposed Policy 3.29 will be an action item at the January meeting. Committee Chair Paskach noted there is a concern by the Minnesota State University Student Association (MSUSA) regarding academic suspensions remaining on student records following suspension and re-admittance. The committee will review the concerns provided by MSUSA at the January meeting.
    11. Campus Profile: Winona State University
      Committee Chair Paskach reported that the committee heard a presentation on Winona State University from President Darrell Krueger with Mr. Gary Evans, Hiawatha Broadband Communications, Inc. President and Chief Executive Officer; Mr. Dusty Finke, WSU Student Senate President; Ms. Mary Kesler, Winona State University Faculty Association President; and Ms. Rachelle Schultz, President and Chief Executive Officer, Winona Health.
      The presentation highlighted Winona State University's "New University" Initiative. Committee Chair Paskach commented on the strong support shown by the Winona community. He added that the committee encouraged building a plan from the initiative.
    12. Other
      Committee Chair Paskach commented that in January the Educational Policy Committee will hear a follow-up report on the course redesign initiative outlined in Dr. Twigg's presentation to the Board.
  7. Human Resources Policy Committee, Ivan Dusek, Chair
  8. 1. Human Resources Update
      Committee Chair Ivan Dusek reported that the committee heard an update from Vice Chancellor Bill Tschida on the Human Resources division.
    3. Leadership Development Program Report
      Committee Chair Dusek reported that the committee heard a progress report on the leadership development program from Vice Chancellor Bill Tschida. The program will help the Minnesota State Colleges and Universities identify and develop both institutional and system office leaders to replace the large number of leaders retiring or otherwise leaving the system within the next several years.
  9. Advancement Committee, Cheryl Dickson, Chair
  10. 1. Advancement Update
      Committee Chair Dickson reported that the committee heard an update from Vice Chancellor Linda Kohl on the system Website and a report on the success of the business community campaign. Committee Chair Dickson provided a brief report to the committee on the Minnesota State Colleges and Universities Foundation. Significant gifts to the Minnesota State Colleges and Universities include:
      - The Central Lakes College Foundation received its largest donation since the Foundation's creation in 1995. The donation in the amount of $350,000 was received from Clarence and Fran Holden and will provide continued funding for the unique scholarship program that bears their name.
      - Metropolitan State University received $90,000 from the Otto Bremer Foundation for Domestic Violence Prevention-Ex-Offender Re-entry Initiative.
      - Minnesota State University Mankato received new major gift commitments totaling nearly $700,000.
      - The Hennepin Technical College Dinner and Auction brought in $75,000.
      - Bemidji State University received $310,000 from an anonymous donor to cover all costs of removing and replacing the old gymnasium floor; $100,000 from a football alumnus for scholarships for football players to be matched with undesignated dollars related to Title IX.
    3. 2005 State Legislative Initiatives
      Committee Chair Dickson reported that the committee heard a report from Deputy to the Chancellor Ostrem on the 2005 State Legislative Initiatives. There are several initiatives to be presented to lawmakers including policy and housekeeping measures. Significant goals for the session are the biennial budget request from the Board of Trustees and the capital budget.
    5. 2005 Federal Earmark Requests
      Committee Chair Dickson reported that the committee heard an update on the 2005 Federal Earmark Requests from Mary Jacquart, Federal Government Relations Director. The update provided a status report on the Federal fiscal year 2005 budget and readiness for fiscal year 2006 appropriation (earmark) requests for Minnesota State Colleges and Universities.
  11. Technology Committee, Lew Moran, Chair
  12. 1. Information Technology Update
      Committee Vice Chair Dusek reported that the committee heard an update from Vice Chancellor Ken Niemi on the c urrent issues and work related to Information Technology.
    3. Security Progress Report
      Committee Vice Chair Dusek reported that the committee heard a Security Progress Report from Vice Chancellor Niemi. The progress report reviewed the initiatives and development plans for risk assessment and security-project control.
    5. Desire2Learn Implementation Update
      Committee Vice Chair Dusek reported that the committee heard an update on the Desire2Learn software implementation from Associate Vice Chancellor John O'Brien. The implementation offers courses from 31 institutions within the completion of the first semester.
    7. Information Technology Services Accountability Framework
      Committee Vice Chair Dusek reported that due to time constraints the Information Technology Services Accountability Framework will be presented at a future meeting.
3. Requests by Individuals to Address the Board
4. Other Business
  There was no other business to come before the Board.
6. Adjournment
  Chair Hoffman adjourned the meeting by consensus at 1:46 p.m.
Recorded by Ingeborg K. Chapin
Board Secretary