January 1998 Board Meeting Summary

World Trade Center
St. Paul, Minnesota

THIS SUMMARY IS NOT THE OFFICIAL MINUTES OF THE MEETING


Minnesota Public Higher Education Compact Agreement

The Board of Trustees ratified the Minnesota Public Higher Education Compact Agreement between Minnesota State Colleges and Universities and the University of Minnesota. The agreement, signed by MnSCU Chancellor Morris J. Anderson and University of Minnesota President Mark G. Yudof on January 15, 1998, provides for numerous shared ventures including more cooperative degree programs, shared libraries and technological resources.

1997 Gifts and Grants Report
The Board of Trustees accepted the FY 1997 Gifts and Grants Report consistent with Board Policy 8.1. MnSCU institutions and their foundations received $49.5 million in FY 1997.

FY1999-FY2001 Allocation Model
The Board of Trustees endorsed the chancellor's outline for preparation of FY2000-FY2001 operating budget principles and allocation method. The chancellor will provide the Board with an update of the peer grouping effort in March 1998 and May 1998. The Board intends to adopt principles and a new allocation framework in advance of the FY2000-FY2001 operating budget request to Governor Carlson and the Minnesota legislature. The chancellor is further directed to prepare the FY1999 operating budget recommendations without change to the current allocation method.

MnSCU Policy 5.2 - Fees
The Board of Trustees approved the recommended MnSCU Policy 5.2 - Fees and repealed the carry forward policies CC V.01.02, Resources: Fees Section: SU Policy 5.4-Supplemental Fees; SU Policy 5.6; Student Activity and TC 3.2.2.0 Fees and MnSCU Board Policy 2.5, Application Fee.

Staff is directed to include the projected impact of the fee policy change into the tuition proposal for FY 1999 and propose amendments if necessary.

State Grant Recommendation
The Board of Trustees accepted the amended motion related to the state grant recommendation, as follows:

  1. That modification be made to the current state grant program for student financial aid that ensures that the projected savings from the Federal Pell grant change are retained in the state grant program and are provided to those students/recipients at the lowest income levels, including the consideration of decoupling as an option.
  2. That the State of Minnesota conform with each of the Federal income tax provisions in Title II of the Taxpayer Relief Act of 1997.
  3. That the recommendation of HESO extending student eligibility for childcare grants to 13 quarters or 9 semesters be adopted by the State of Minnesota.

Revenue Fund Rate Restructuring Plan
The Board of Trustees accepted the recommended motion approving the residence hall program rate restructuring proposal effective with FY1999 rates. Universities are directed to develop a consultation process with students for review of proposed rates prior to presentation to the Board, for the Board's approval. A management plan will be presented to the Board of Trustees in November of each year and will include a four year projection of program income and expenses, a repair and replacement program and report on the past two years of experience. Each university management plan will also provide for a reserve equal to 110 percent of operating revenues by the year 2002.

Metro Plan/Capital Plan
The Board of Trustees approved the recommended motion related to the Metro Plan Capital Program and directed the chancellor to convey the program to the governor and 1998 legislature. The amount of the Metro Plan Capital Program is $14,591,000, broken out as follows:

  • Statewide - classroom of the future study - $2,000,000
  • Normandale Community College - remodel science building - $240,000
  • North Hennepin Community College - renovation and expansion of science building - $6,051,000
  • Century College - pedestrian bridge and related work site - $5,300,000
  • Anoka-Hennepin Technical College - plan for college's future delivery of academic services - $1,000,000.

Proposed Amendments to Internal Audit Charter
The Board of Trustees approved the amended Internal Audit Charter. The amendments to the charter are primarily technical clarifications.

Metro Plan Update
The Board of Trustees received a preliminary report on the Metro Area Master Academic Plan prepared by Dr. Hazel Reinhardt. The Board will hold hearings on the preliminary plan at Metropolitan State University, Great Hall, on February 4, from 2:00 pm to 5:00 pm, and at Minneapolis Community and Technical College, Gourmet Dining Room, on February 5 from 2:00 pm to 5:00 pm.

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