±0160 MINUTES OF THE MEETING of the'." MICHIGAN STATE UNIVERSITY BOARD OF TRUSTEES August 9, 1985 I | President DiBiaggio called the meeting to order in the Board Room of the Administration i Building at 9:05 a.m. on Friday, August 9, 1985. ] Present: Trustees Dade, Lick, Owen, Pridgeon, Reed, Sawyer, Wilbur and Wilson; President \ ; j j DiBiaggio, Provost Winder, Vice Presidents Cantlon, Dickinson, Schonbein and Stewart; Acting Vice President and Secretary Wilkinson, General Counsel Carr, Executive Assistant to the President Kimball, Assistant Vice President Studer, Faculty Liaison Group and Student Liaison Group. ! '!• Approval of Proposed Agenda | Trustee Owen moved approval of the proposed agenda, seconded by Trustee Reed. Approved j by a vote of 8 to 0. I 2- Approval of Minutes of June 7, 1985 and June 27, 1985 \ Trustee Sawyer moved approval of the June 7, 1985 and June 27, 1985 Minutes, seconded by j Trustee Lick. Approved by a vote of 8 to 0. j 3. Affirmative Action Committee | The Board convened at 9:09 a.m. for an Affirmative Action Committee meeting. : 4. The Board reconvened at 9:47 a.m. Public Comments A. Dan Selke, President of the Council of Graduate Students (COGS), e^ddressed the Board concerning the history and magnitude of tuition increases for graduate students and general support for graduate education (copy of remarks on file in the SecretaryTs Office). B. Rocky Beckett, Executive Director of the Associated Students of Michigan State University (ASMSU), addressed the Board concerning historical background relating to in-state undergraduate tuition levels (copy of information on file in the Secretary's Office). C. Tom Ducker, Chair of the Student Council, expressed appreciation to the Board of Trustees and the administration for the cooperation he received while he was a student liaison member and expressed concern about interference from the State Executive Office into the decision-making process of the Board of Trustees. Personnel Actions: Appointments Lawrence J. Fischer • Waldimar J. i ! Moline Other Personnelj ! Actions: •" Sam M. Austin ACTION ITEMS A. PERSONNEL ACTIONS Appointments 1. Lawrence J. Fischer, Professor, Pharmacology & Toxicology, with tenure, at a salary of $77,000 per year on an AN basis, effective August 1, 1985. 2. Waldimar J. Moline, Professor, Crop & Soil Science, with tenure, at a salary of $80,000 per year on an AN basis, effective September 15, 1985. Other Personnel Actions 1. Sam M. Austin, Professor, Physics & Astronomy and Co-Director of the National Super- conducting Cyclotron Laboratory, at a salary of $82,000 per year on an AN basis, effective August 1, 1985. Change in title from Director of Research, National Super- conducting Cyclotron Laboratory and salary from $71,125. Henry Blosser 2 Henry Blosser, Professor,- Physics & Astronomy and.Co-Director of the National Super- conducting Cyclotron Laboratory, oil an AN basis, effective August 1, 1985. Change title from Director of the National Superconducting Cyclotron Laboratory. Gwen Andrew Gwen Andrew, Professor, Social Work and Dean, College of Social Science and Acting Dean, College of Human Ecology, at a salary of $73,458 per year on an AN basis, effective September 1, 1985. Add title Acting Dean, College of Human Ecology from $69,858 per year. Joseph B. Ishikawa Joseph B. Ishikawa, Professor, Art and Director, Kresge Art Gallery, on an AN basis, effective from July 1, 1985 through June 30, 1986. Continuation as Director of the Kresge Art Gallery. continued - - - I I i I • ; •; 10161 Minutes of the Meeting, continued August 9, 1985 6, ACTION ITEMS, continued A. PERSONNEL ACTIONS, continued Other Personnel Actions, continued 5. Theodore M. Brody, Professor and Chairperson, Pharmacology & Toxicology, on an AN basis, effective July 1, 1985 through December 31, 1985. Continuation as Chair- person of Pharmacology & Toxicology. Theodore M. Brody Pursuant to University policy, Professors Ishikawa and Brody would have relinquished their administrative duties as of July 1, 1985. It is recommended that they continue their administrative duties for the periods specified above. RESOLVED that the above appointments and recommendations be approved. Approved by a vote of 8 to 0, on motion by Trustee Dade, seconded by Trustee Wilbur. B. GIFT, GRANT AND CONTRACT REPORT It is recommended that the Board of Trustees accept the gifts, grants and contracts as listed in the report distributed with the agenda. RESOLVED that the above recommendation be approved. Approved by a vote of 8 to 0, on a motion by Trustee Sawyer, seconded by Trustee Lick. C. BIDS AND CONTRACT AWARDS (1) Spartan Village - Reroofing of Seven Buildings The following bids were received on July 9, 1985 for the Reroofing of Seven Buildings in Spartan Village. This project replaces the original roofs installed on the buildings which were constructed in 1957-58. These roofs have exceeded their 20-year life expentancy and require replacement. Bidder Sonny's Roofing Company, Inc. Haussman Construction Company Base Bid $121,800.00 226,823.00 Notification and/or plans and specifications were sent to the offices of Builders Exchange and Dodge Reports in Lansing. The following minority organizations were also notified: Inner City Business Improvement Forum, Construction Association of Michigan, and Association of Minority Contractors. No minority or women-owned businesses submitted bids. Due to the specialized nature of this project, it was determined that there were no subcontracting opportunities. It is the opinion of the staff that the bid process was unresponsive. The low bidder, Sonnyfs Roofing Company, Inc., is a new firm and is not certified by the roofing manufacturer as required by the specifications. This would result in not receiving the normal 20-year guarantee by the manufacturer for this installation. Also, it should be noted that we only received one responsive bid, which was in excess of the University's estimates. Therefore, it is recommended that the bids be rejected and the project be rebid. This project was estimated at $210,000.00 by the Physical Plant Division in June, 1985. RESOLVED that the above bids be rejected and project be rebid as recommended. Approved by a vote of.8 to 0, on a motion by Trustee Dade, seconded by Trustee Sawyer. (2) Replacement of Underground Fuel Storage Tanks at Spartan Stadium The following bids were received by the Purchasing Department on June 4, 1985 for Replacement of the Underground Fuel Storage Tanks at Spartan Stadium. This project involves removal of four 10,000-gallon tanks, which are 37 years old, and installation! of three new 20,000-gallon tanks. Also included are the associated pumps, piping, electronic metering, and construction of a small metering house. The base bid is for installation of three steel tanks which are guaranteed for 20 years and the alternate bid is for installation of three fiberglass tanks which are guaranteed for 30 years. Bidder Kares Construction Company Parks Installation Company R. W. Mercer Company Murray Equipment, Inc. Base Bid $164,900.00 166,900.00 169,385.45 212,633.01 Alternate Base Bid $185,300.00 171,300.00 172,885.45 212,867.22 continued - - - Spartan Village- pReroofing of Seven Buildings Spartan Stadium Underground Fuel Storage Tanks Replacement i I 10162 1985-86 Budget Guidelines Guidelines for Development of Preliminary 1985-86 Budgets Minutes of the Meeting, continued August 9, 1985 6, ACTION ITEMS, continued C. BIDS AND CONTRACT AWARDS, continued (2) Replacement of Underground Fuel Storage Tanks at Spartan Stadium, continued Notification and/or plans and specifications were sent to the offices of Builders Exchange and Dodge Reports in Lansing. The following minority organizations were also notified: Inner City Business Improvement Forum, Construction Association of Michigan, and Association of Minority Contractors. No minority or women-owned businesses submitted bids. Due to the specialized nature of this project, it was determined that there were no subcontracting opportunities. It is recommended that a purchase order in the amount of $171,300.00 be awarded to Parks Installation Company for installation of the fiberglass tanks, as provided for in the alternate bid, and that the following budget be established: Contract - Parks Installation Company Design, Coordination, and Inspection Contingency $171,300.00 13,600.00 17,100.00 Total $202,000.00 The cost of removing the existing tanks was estimated at $80,000.00 and the cost of installation of the new tanks was estimated at $90,000.00 by the Physical Plant Division in October, 1984. Funding for this project will be from the Auxiliary Activities Fund. RESOLVED that the above contract be awarded and project budget be established as recommended. Approved by a vote of 8 to 0, on motion by Trustee Owen, seconded by Trustee Wilbur. 6. D. OTHER ITEMS FOR ACTION (1) 1985-86 Budget Guidelines President DiBiaggio introduced the 1985-86 budget guidelines with the following remarks; The Trustees will recall that an earlier version of the proposed budget guidelines for fiscal year 1985-86 included a recommended increase in tuition and the development of certain new programs for the institution. The Board was subsequently requested by Governor Blanchard to freeze tuition for in-state students. Therefore, we requested of the Board that it defer the July 25-26 meeting to this date in order that we might gather further information and reconsider the entire budgetary process in an attempt to meet the Governor's request. We have completed this process and present to you a preliminary General Fund budget for fiscal year 1985-86. President DiBiaggio then summarized the preliminary General Fund recommendation (copy on file in the SecretaryTs Office), noting that the major components included a freeze on further reliance on forward funding and a return to conventional budgetary practice in lieu of the internal budget procedure known as "Cash Management." He stated that previously proposed program allocations were reduced from $4.1 million to $2.2 million. Following the budget presentation, President DiBiaggio said that he had met with Governor Blanchard and Mr. Robert Naftaly, the State Budget Director, and they have absolutely assured him that they will work with the University in assisting it in addressing its fiscal problems. He said he found their statements encouraging and that we will, therefore, move forward with negotiations with the Governor and Mr. Naftaly. Predicated upon this assurance by the Governor and Mr. Naftaly, we are recommending this preliminary budget. The reason that it is preliminary is, until we complete these discussions, we cannot recommend a final budget for this fiscal year. Guidelines for the Development of Preliminary 1985-86 Budgets The Guidelines for the Development of Preliminary 1985-86 Budgets provide for tuition and fee adjustments, budget and salary guidelines, graduate and undergraduate stipends, and student employee wage adjustments as well as the Agricultural Experiment Station, Cooperative Extension Service, and Intercollegiate Athletics Program budgets. RESOLVED that the tuition and fee schedule be approved as noted to be effective Fall Term 1985 and that the development of preliminary 1985-86 budgets, including salary and wage adjustments, proceed for action by the Board of Trustees at its October meeting. Approved by a vote of 7 to 1, on a motion by Trustee Dade, seconded by Trustee Owen. Trustee Reed voted No. 10163 Research Excellence and Development Fund East Lansing Public School Contract Minutes of the Meeting, continued August 9, 1985 6, p.- • OTHER ITEMS FOR ACTION, continued (2) Research Excellence and Development Fund President DiBiaggio stated as part of the budget we incorporated a portion of dollars that were appropriated to the institution by the Legislature for a Research Excellence and Development Fund. On the State's fiscal year, this allocation would be $6.6 million. In the legislation, these dollars are appropriated as a line item to the institution and a mechanism was called for on the reporting of the use of these funds to reflect that they are being used for the intended purpose. The legislation also called for a three-member panel to review the informational reports. Following our understanding of the appropriation bill, we have incorporated these dollars in our preliminary budget, and we have provided as information to you the distribution of these funds for the University's fiscal year. Since the signing of the bill by the Governor, we have now been requested by Mr. Naftaly, the State Budget Director, to sign a memorandum of agreement whereby these dollars would be awarded on a project basis rather than as line items, and requiring prior approval for each project from a five-member panel. The University administration1s concerns about this proposed memorandum of agreement has been expressed to the Board of Trustees through a memorandum which has also been forwarded to Mr. Naftaly. It is the President's opinion that the agreement so directly affects the authority of the Board as to require the Trustees1 concurrence with the memorandum. The President requested the Board's guidance on this matter. Trustee Dade then made the following statement on behalf of the Board of Trustees: It is the sense of the Board of Trustees that, given MSU's unique ' land-grant mission of public service, there is a strong historical link between its research program and the economic and social needs of Michigan. The Board encourages the President to continue his discussions with the Executive Branch in order that the StateTs needs and the University's strengths may be even more closely interrelated. The Board is confident that this partnership may be forged without sacrificing either essential institutional flexibility or requisite public accountability, and urges the President to press on with his efforts toward this end. (3) East Lansing Public School Contract Since 1947, the University and the East Lansing Public School District have entered into various agreements wherein the University reimburses the District for a share of the operating and capital costs for K-12 students who live in University housing. In return, the School District has constructed the necessary facilities and furnished the required educational programs for these students. At its June 25, 1982 meeting, the Board of Trustees extended these arrangements through the 1985 school year. Representatives of the University and the School District recently met to review these arrangements and recommend that the University and the School District extend the current arrangements for an additional year, or through June 30, 1986, and that the present program be adjusted by an 8% increase in the base for each pupil enrolled. Also, it is recommended that the University expend an additional $5,039 to cover the after-hours operation of the Spartan Village Community Center, fund up to 2.9 English language positions, and continue to fund 80% of the prorated 1979 debt for the Spartan Village addition (1979-89). (Background information relating to the current agreement is provided with the agenda.) RESOLVED that the current agreement between the University and the East Lansing Public School District be extended through June 30, 1986, as recommended. Approved by a vote of.8 to 0, on motion by Trustee Reed, seconded by Trustee Wilson. (4) Establishment of School of Health Education, Counseling Psychology, and Human Performance The College of Education, with the concurrence of the College of Human Medicine and the College of Osteopathic Medicine, proposes formation of a School of Health Education, Counseling Psychology, and Human Performance. This School would incorporate programs of the existing Department of Health and Physical Education and programs in Counseling Psychology and Rehabilitation Counseling. The Department of Health and Physical Education as an organizational entity would be replaced by the School of Health Education, Counseling Psychology, and Human Performance. Establishment of School of Health Education, Counseling Psychology, and Human Performance The rationale for this reorganization is summarized in the statement distributed with the agenda titled: College of Education, Reorganization Proposal. As outlined in the statement, this proposal has been reviewed by appropriate committees at the Department, College, and University levels. Consultation with the Executive Committee of Academic Council (ECAC) is outlined in the memorandum dated July 16, 1985.! continued -• - --• 10164 Minutes of the Meeting, continued August 9, 1985 6. D. OTHER ITEMS FOR ACTION, continued (4) Establishment of School of Health Education, Counseling Psychology, and Human Performance, continued It is recommended that the School of Health Education, Counseling Psychology, and Human Performance be established, RESOLVED that the above recommendation be approved. Approved by a vote of 8 to 0, on motion by Trustee Lick, seconded by Trustee Reed. 7. REPORTS TO THE BOARD •A. BOARD COMMITTEE REPORTS (1) Affirmative Action Affirmative Action Committee Trustee Lick reported that the Affirmative Action Committee met this morning to view a film on sexual harassment and to become acquainted with University procedures in addressing these matters. She indicated that the Committee will be meeting on a regular basis to be informed on several matters in the area of affirmative action. B. PRESIDENT'S REPORT President DiBiaggio expressed his gratitude to the Board of Trustees for accepting his recommendation that David Kimball be permitted to join him at the University as his Executive Assistant. The Board adjourned at 11:03 a.m. /^/President Secretary 1 1