June 2002
Board Meeting Minutes

Wednesday, June 19, 2002
World Trade Center
St. Paul, Minnesota

Trustees Present: Mary Choate, Chair, Will Antell, Andrew Boss, Nancy Brataas, Daniel Coborn, Dennis Dotson, Ivan Dusek, Robert Erickson, Bob Hoffman, Jim A. Luoma, Lew Moran, Michael Redlinger, Joann Splonskowski, Joseph Swanson and Michael Vekich

Absent: None

1. Call to Order
   Chair Mary Choate called the meeting to order at 1:50 p.m. and reported that a quorum was present. There were no changes to the agenda.
   

2. Chair's Report

   a. Minutes of the Board of Trustees Meeting of May 22, 2002
   As there were no corrections or additions to the minutes, Chair Choate announced that the minutes stand approved as written.
   b. Report of the Executive Committee Meeting of June 5, 2002
   Chair Choate reported that the Executive Committee met on June 5. There was no formal action taken at the meeting. Discussion items included the proposed FY 2003 meeting calendar that will be voted on at the July 17 meeting. The Chancellor reported on Fond du Lac Tribal and Community College, Minneapolis Community and Technical College and Northwest Technical College planning. Board members were informed that the last date for filing for board office is June 17, and that the election of officers will be held at the July 17 meeting. Bill Tschida, Vice Chancellor for Human Resources, reported on the reorganization of the Office of the Chancellor.
   c. Proposed FY 2003 Meeting Calendar (First Reading)
   There was a discussion about the proposed meeting calendar for FY 2003. The calendar will be voted on at the July 17 board meeting. Several trustees commented that they felt fewer meetings would not provide enough time for the six new trustees to become familiar with agenda items. Several trustees commented about the changing role of the board's objectives and spoke in favor of fewer meetings, suggesting that retreats and forums would provide additional opportunities for all of the trustees, incumbents and newly appointed, to have more focused discussions on issues relative to higher education.
   d. Declarations of Candidacy for Board Officer Vacancies
   Chair Choate announced that June 17 was the deadline for declarations of candidacy for board officer, although nominations can be made from the floor at the time of elections in July. Two candidates have declared their candidacy, and the names will be announced 25 days prior to the election.
   
   Trustee Vekich noted that the secretary position would be vacant due to the change in the Executive Director/Board Secretary position. He continued that the position could be left alone or combined with the treasurer position. Chair Choate directed staff to add this item to the Executive Committee's meeting agenda on June 26.
   e. Other
   Chair Choate thanked Trustee Vekich for his role in leading the Ad Hoc Assessment Committee.
   

3. Trustee Reports
   President Kathleen Nelson, Lake Superior College, reported that Trustee Luoma spent three and a half days with her and other members of the college at an Academic Quality Improvement Project (AQIP) strategy forum, sponsored by the Higher Learning Commission, in Chicago. She presented Trustee Luoma with a certificate of recognition from the Higher Learning Commission for his service to higher education and in appreciation of his participation at the forum.
   
   Trustee Luoma commented that his participation in Lake Superior College's AQIP forum was an invaluable learning experience.
   

4. Chancellor's Comments: James McCormick.
   a. Chancellor's Quarterly Report
   Chancellor McCormick thanked the trustees who are retiring from the Board for their support. He spoke of their commitment and advocacy of education that has been demonstrated throughout their terms by giving of their time, talent and resources to Minnesota State Colleges and Universities. In recognition of trustee service, a photo gallery of the previous board chairs and trustees will be on display in the Office of the Chancellor.
   
   Chancellor McComick thanked the Office of the Chancellor staff and MnSCU's broader constituency, students, faculty and staff for their participation in the drafting and content of the strategic plan. In support of the strategic directions, the work plan will have an increased focus on outcomes. The work plan process includes one-on-one meetings with each trustee, including visits with the newly elected trustees. Chancellor McCormick recognizes the Citizens Advisory Commission for their great work on our behalf.
   
   Chancellor McCormick noted that MnSCU was nationally recognized last week in New York City when it won a Silver Anvil Award for excellence in public affairs and government from the Public Relations Society of America.
   
   Chancellor McCormick also reported that he was impressed with the stature of MnSCU's involvement in the Higher Learning Commission conference in Chicago this past winter. He noted that MnSCU institutions are highly respected and modeled across the country.
   
   Chancellor McCormick noted that one of the goals in this year's work plan was to create a working relationship and alignment with the presidents, the Office of the Chancellor, and the Board. Enormous progress has been made on this effort. The presidents are working together as a team and together with the Office of the Chancellor staffing the Board. Chancellor McCormick thanked President Kathleen Nelson for great leadership, and he thanked the committee chairs, all of the presidents and the staff in the Office of the Chancellor for their work on this goal. Chancellor McCormick concluded that creating an environment where everyone's best can be released to accomplish the mission is encouraging and rewarding and the foundation of MnSCU's success.
   
   

5. Joint Council of Student Associations
   The following representatives of student associations addressed the Board of Trustees: Brad Krasaway, President, Minnesota State College Student Association (MSCSA); Justin Klander, state chair, and Frank Viggiano, Executive Director, Minnesota State University Student Association (MSUSA).
   

6. MnSCU Bargaining Units
   The following representatives of MnSCU bargaining units addressed the Board of Trustees: Karen Foreman, President, American Federation of State, County and Municipal Employees' (AFSCME) Minnesota State Colleges and Universities Policy Committee; Jeanne Cornish, President, Minnesota State University Association of Service Faculty (MSUASF); and Jim Pehler, President, Inter Faculty Association (IFO).
   

7. Consent Agenda
   a. Joint Powers Agreements with Intermediate School Districts
   b. Minnesota State College Student Association (MSCSA) FY 2003 Fee Proposal (Second Reading)
   c. FY 2003 Audit Plan
   
   Trustee Swanson moved approval of the Consent Agenda. Trustee Vekich seconded and the Consent Agenda was approved unanimously.
   

8. Board Standing Committee Reports

   a. Finance/Facilities Policy Committee, Robert Erickson, Chair

   1. Minnesota State University Moorhead Student Health Building Proposal (First Reading)
      Committee Chair Erickson moved to suspend the rules to allow consideration of the Minnesota State University Moorhead Student Health Building Proposal. Trustee Vekich seconded and the motion carried.
      
      Committee Chair Erickson moved that the Board of Trustees approves (a) leasing state property at Minnesota State University Moorhead to the Minnesota State University Moorhead Alumni Foundation for a term not to exceed ten (10) years; (b) construction, by the Foundation, of a temporary Student Health Services Building as described herein; and (c) lease-back of the building by the University for a term not to exceed ten (10) years, after which time the building shall be razed and the underlying property returned to the University. All of the documents shall be reviewed and approved by the Office of the Chancellor prior to execution. Trustee Coborn seconded and the motion carried unanimously.

   2. Northeast Higher Education District Campus Master Plans
      
      • Rainy River Community College
        Committee Chair Erickson reported that the committee reviewed Rainy River Community College's campus master plan.
      • Vermilion Community and Technical College
        Committee Chair Erickson reported that the committee reviewed Vermilion Community and Technical College's campus master plan.
   3. FY 2004-2009 Capital Budget Guidelines (First Reading)
      Committee Chair Erickson reported that the committee reviewed the FY 2004-2009 Capital Budget Guidelines as a first reading. This item is slated for action at the July meeting.
   4. FY 2004-2005 Biennial Budget Request
      Committee Chair Erickson reported that the committee reviewed the FY 2004- 2005 Biennial Budget Request.
      
      

   b. Technology Committee, Ivan Dusek and Joseph Swanson, Co-Chairs

   1. Internet2: University of Minnesota/Minnesota State Colleges and Universities Collaboration
      Committee Co-Chair Swanson reported that the committee heard a presentation on Internet2: University of Minnesota/Minnesota State Colleges and Universities Collaboration.
   2. Campus Technology Planning Committee
      Co-Chair Swanson reported that due to time constraints this item was postponed and will be rescheduled at a future date.

   
   c. Audit Committee, Daniel Coborn, Chair

   1. Policy 1.C.2 on Fraudulent and Other Dishonest Acts (Second Reading)
      Committee Chair Coborn moved that the Board of Trustees approves new Policy 1.C.2., Fraudulent and Other Dishonest Acts, and repeals Board Policy 7.2 Part 3. Trustee Erickson seconded and the motion carried unanimously.
   2. Recommendation from Internal Auditing Study on Board-Level Indicators
      Committee Chair Coborn reported that the committee reviewed the recommendations from Internal Auditing's Study on Board-Level Indicators.

   
   d. Educational Policy Committee, Robert Hoffman, Chair

   1. Academic and Student Affairs Update
      Linda Baer, Senior Vice Chancellor for Academic and Student Affairs, reported on the activity that has commenced in relation to educational services in Rochester. With regard to future planning in the area of development of new programs, the University of Minnesota Provost will have management responsibility. MnSCU will work with the UMR Provost in these new program planning efforts. All existing upper division and graduate programs will remain with Winona State University. The lower division courses would continue to be offered by Rochester Community and Technical College.
   2. Joint Planning with Minnesota State Colleges and Universities and the University of Minnesota
      Committee Chair Hoffman reported that committee heard an update on the Joint Planning with Minnesota State Colleges and Universities and the University of Minnesota.
   3. Proposed Amendment to Policy 3.22 Course Syllabi (Second Reading)
      Committee Chair Hoffman moved that the Board of Trustees approves the amendment to Policy 3.22 Course Syllabi. Trustee Redlinger seconded and the motion carried unanimously.
   4. Proposed Policy 3.26 Intellectual Property and Proposed Policy 3.27 Reproduction and Use of Copyrighted Materials (Second Reading)
      Committee Chair Hoffman moved that the Board of Trustees approves Proposed Policy 3.26 Intellectual Property. Trustee Vekich seconded and the motion carried unanimously.
      
      Committee Chair Hoffman moved that the Board of Trustees approves Proposed Policy 3.27 Reproduction and Use of Copyrighted Materials. Trustee Vekich seconded and the motion carried unanimously.
   5. Minnesota State Colleges and Universities Strategic Plan
      Senior Vice Chancellor Baer summarized that the main focal points of Minnesota State Colleges and Universities Strategic Plan are student focus, community success and stewardship under four strategic directions: (1) increase access and opportunity; (2) expand high quality learning programs and services; (3) strengthen community development and economic vitality; and (4) fully integrate the system.
      
      Committee Chair Hoffman moved that the Board of Trustees approved the 2002-2005 strategic plan for the Minnesota State Colleges and Universities. Trustee Luoma seconded and the motion carried unanimously.
   6. Northwest Technical College Plan
      Committee Chair Hoffman moved that the Board of Trustees approves the plan to reorganize the administration of Northwest Technical College and adopts the following changes, effective July 1, 2002:
      
      
      1. The Northwest Technical College campuses at Detroit Lakes, Wadena and Moorhead shall be under the administration of the President of Fergus Falls Community College.
      2. The Northwest Technical College campus at Bemidji shall be under the administration of the President of Bemidji State University.
      3. The Northwest Technical College campus at East Grand Forks shall be under the administration of the President of Northland Community and Technical College.
      
      Trustee Luoma seconded and the motion carried with one abstention (Trustee Splonskowski).

   
   e. Advancement Committee, Lew Moran, Chair

   1. Amendment to Policy 3.23 Naming Colleges and Universities (Second Reading)
      Committee Chair Moran moved that the Board of Trustees approves the amendment to Policy 3.23 Naming Colleges and Universities. Trustee Luoma seconded and the motion carried unanimously.
   2. Tagline Discussion
      Committee Chair Moran reported that the committee had a discussion on the tagline that will be associated with the names of all of the colleges and universities.
   3. Legislative Session - Interim Strategy
      Committee Chair Moran reported that the committee heard an update on the legislative session.
   4. Development Update
      Committee Chair Moran reported that the committee heard an update on development activities.
   5. Marketing Update
      Committee Chair Moran reported that the committee heard an update on marketing activities.

   
   f. Human Resources Policy Committee, Nancy Brataas,Chair

   1. Appointment of Interim President of Minneapolis Community and Technical College
      Committee Chair Brataas moved that the Board of Trustees approves the recommendation of Chancellor McCormick to appoint Josephine Reed-Taylor as interim president of Minneapolis Community and Technical College, effective July 1, 2002, and authorizes the Chancellor to negotiate an employment contract to that effect, under the terms and conditions of the Personnel Plan for MnSCU Administrators. Trustee Dusek seconded and the motion carried unanimously.
      
      Dr. Reed-Taylor thanked the Board of Trustees and Chancellor McCormick for appointing her interim president of Minneapolis Community and Technical College. She also acknowledged the support of the faculty, staff and students at college, as well.
   2. Proposed Amendment to Policy 4.2, Appointment of Presidents (Second Reading)
      Committee Chair Brataas moved that the Board of Trustees approves the recommended revisions to Policy 4.2, Appointment of Presidents. Trustee Vekich seconded and the motion carried unanimously.
   3. Minnesota State College Faculty (MSCF) Bargaining Update
      Committee Chair Brataas reported that the committee heard an update on negotiations with the Minnesota State College Faculty (MSCF).
   4. Closed Session: Chancellor Assessment
      Committee Chair Brataas reported that the Human Resources Policy Committee and the entire Board of Trustees met in closed session with Chancellor McCormick to discuss his job assessment for his first year as Chancellor. Committee Chair Brataas called on Trustee Vekich, Chair of the Ad Hoc Assessment Committee, to provide a summary of the of the Chancellor's assessment.
   5. Summary of Chancellor Assessment
      Trustee Vekich thanked the members of the Ad Hoc Assessment Committee, Vice Chair Luoma, Trustee Brataas and Chair Choate who served as an ex-officio member. He also acknowledged the contributions of Bill Tschida, Vice Chancellor for Human Resources, and John Asmussen, Executive Director, Office of Internal Auditing.
      
      Trustee Vekich reported that the Ad Hoc Assessment Committee sought feedback from all trustees through an assessment tool and accepted feedback from other interested stakeholders through confidential comments on a secure website established for this purpose. The results show that the trustees unanimously approve of the Chancellor's performance. The rating scale used was from 1 (poor) to 5 (outstanding). The average ratings for each attribute ranged from 4 (very good) to 5 (outstanding), with an overall average rating of 4.7
      
      The assessment tool solicited feedback on 43 specific attributes, and the five receiving the highest ratings were:
      • Educational and professional leadership.
      • Effective representation of the system and institutions to the public.
      • Promotion of a positive system image.
      • Demonstration of support for the Minnesota State Colleges and Universities.
      • Ability to articulate ideas and concepts.
      
      The section of the assessment tool concerning the Work Plan showed that trustees as a group rated the Chancellor highly on the quantity and quality of the work, the articulation of a vision, and promoting a positive image of the system.
      
      The assessment produced 112 written comments on Chancellor McCormick's performance. Two areas in which trustees would like more emphasis are:
      • Focus on outcome-based measures.
      • Enhance the recognition of MnSCU nationally.
      
      The overall results show an extraordinarily positive assessment of Dr. McCormick's performance. Trustee Vekich concluded that he believes that the Board needs to demonstrate its recognition and support of this outstanding performance as Chief Executive Officer of the Minnesota State Colleges and Universities system in concrete ways.
   6. Chancellor Salary Determination
      Committee Chair Brataas moved that the Board of Trustees approves a new annual salary of $250,000 for the Chancellor, effective July 1, 2002. This salary shall be implemented on or after the date that the Legislative Subcommittee on Employee Relations authorizes the implementation of the salary provisions of the Personnel Plan for MnSCU Administrators. Trustee Vekich seconded and the motion carried unanimously.
   7. Chancellor Contract Amendment Authorization and Performance Determination
      Committee Chair Brataas moved that the Board of Trustees authorizes the Chair of the Board, in consultation with the Chair of the Human Resources Policy Committee, and the Chair of the Ad Hoc Assessment Committee, to amend, and execute on behalf of the Board, the Chancellor's employment contract relative to a one year extension, objectives, other remuneration and deferred compensation. Trustee Vekich seconded and the motion passed unanimously.
      
      Chancellor McCormick thanked the Board of Trustees for their vote of confidence.
      
      

9. Requests by Individuals to Address the Board
   On behalf of the Leadership Council, Kathleen Nelson, Co-Chair of the Leadership Council and President of Lake Superior College, thanked Chancellor McCormick for his outstanding leadership. She also thanked out-going Trustees Brataas, Dotson, Erickson, Splonskowski, Swanson and Vekich for their service, and noted a special thank you to all of the trustees for their growing trust in the leadership of Minnesota State Colleges and Universities.
   

10. Other Business
    Chair Choate introduced newly appointed Trustees Cheryl Dickson, Vincent Ijioma and Shaun Williams, whose terms begin on July 1.

    Chair Choate announced that as a result of the 2001-2002 Work Plan to address reorganization of the Office of the Chancellor, the position of executive director/board secretary was eliminated, effective June 30. Chair Choate recognized Penny Harris Reynen for her service as the Executive Director/Board Secretary.
    
    Chair Choate also recognized Karen Boubel, Interim President of Minnesota State University, Mankato; Ronald Swanson, President of Northwest Technical College; and Phillip Davis, President of Minneapolis Community and Technical College.
    
    Chair Choate presented certificates signed by Governor Jesse Venture in recognition and appreciation of their service to Minnesota State Colleges and Universities to six trustees whose terms on the Board will expire on June 30: Nancy Brataas, Dennis Dotson, Robert Erickson, Joann Splonskowski, Joseph Swanson and Michael Vekich.
    
    

11. Adjournment
    Chair Choate adjourned the meeting by consensus at 3:42 p.m.