The meeting was called to order by Chair Myron Siegel at 11:45 a.m.  Recording Secretary Mimms conducted a roll call of Trustees.  Present for the meeting were Trustees Robert Boey, Susan Grans, James Myles, David Raymond, Manuel Sanchez, Student Trustee David Marquez and Chair Siegel.  Not present was Trustee George Moser.  Having noted the presence of a quorum, the meeting proceeded. 

Verification of Appropriate Notice of Public Meeting

Confirmation of Open Meetings Act notification compliance was given by Board Parliamentarian Ken Davidson.

Chair Siegel called for a motion to close the public meeting to conduct an Executive Session to discuss personnel, property and Executive Session minutes.  Trustee Myles so moved, seconded by Trustee Sanchez.  A roll call vote of the Trustees was unanimous.

BOARD OF TRUSTEES MEETING RECONVENED

The public meeting of the Board of Trustees was reconvened by Chair Siegel at 1:40 p.m. 

Announcements

Chair Siegel recognized State Representative Dave Wirsing, thanked him for being at the meeting and asked if he’d like to say a few words.

Representative Wirsing said he appreciated the opportunity to say a few things.  He complimented the NIU Board for its consistent sense of direction.  Rep. Wirsing stated that, from a legislative perspective, the next two years would be a little more challenging, but that he, as well as some of his fellow legislators who believe strongly in higher education, are up to that task.  The Veto Session, Rep. Wirsing said, would be an opportunity to talk to legislators from the other side of the aisle who are strong supporters of higher education and who may support the direction created during the 89th General Assembly.  It is my hope, Rep. Wirsing stated, to be the minority spokesperson on the House Higher Education Committee.

Rep. Wirsing said he would be holding a meeting of all the higher education entities, the Lieutenant Governor, the Governor’s Office and the IBHE on January 6, in Springfield.  This would be a continuation of two meetings held in Spring 1995 to give direction to the public universities and the community college system regarding the new governance system.  The January meeting would allow for a review and assessment of the new governance system after one calendar year.

Chair Siegel thanked Rep. Wirsing for his kind words, support and help during the last year.  He said that Rep. Wirsing had been instrumental in this Board’s successes in 1996 and, on behalf of the Board, thanked him.

Trustee Boey said that he agreed with Chair Siegel and appreciated the effort the Representative had put forth for NIU on many occasions.  Trustee Boey said he wanted to thank Rep. Wirsing for his effort and that he looked forward to the Representative’s continued support in future years.

Chair Siegel reminded those present that, since the last Board meeting, the Illinois Board of Higher Education Chair, Art Quern, was tragically killed in an accident.  The Chair expressed his sympathy and condolences.

President La Tourette stated that he too had extended his condolences to Mr. Quern’s family.  There were many important things on the agenda for the Illinois Board of Higher Education at the time of Mr. Quern’s death.  He said that it was too soon to predict exactly what will take place with the Board of Higher Education, particularly in the area of P•Q•P initiated by Mr. Quern.  Given the constraints on the State budget he assumed there would be continued pressure to reallocate budget funds from lower to higher priorities.

Given the changes occurring in higher education, for example in the need for ever more technology, regardless of what may occur with the P•Q•P initiative, NIU will be required to set priorities and determine where funds can be reallocated to provide the best possible up-to-date education for NIU students.  President La Tourette closed by publicly extending his sympathy to Mrs. Quern and her daughters and to other members of the family, as well as to the executive director at the Board of Higher Education, Dr. Wagner, who, the president said, also felt a great sense of loss.

Meeting Agenda Approval

Trustee Sanchez moved for approval of the Agenda.  Trustee Grans seconded the motion.  The motion was approved.

Approval of Minutes

Trustee Myles moved for approval of the Minutes of the September 18, 1996 meeting.  Trustee Raymond seconded the motion.  The motion was approved.
 

REPORTS OF BOARD COMMITTEES AND BOARD LIAISONS

Executive Committee

There was no report from the Executive Committee.

Academic Affairs, Student Affairs and Personnel Committee

Committee Chair Myles stated that there was no report.  However, he said there had been conversation between other Committee members and himself.  He said that he did not want the students to feel, because the AASAP Committee had not met, that the Board is not concerned with student affairs.  Discussions had been held regarding the continuance of meetings on minority concerns and the retention of faculty and minority students.  After conversation with the Provost, it was decided that Dr. Bernard Ray, Director, Academic Support Services, would convene those meetings on campus.  In 1997, AASAP Committee meetings will be held to approve sabbatical leaves, promotions, tenure, etc.  Program matters will be considered by the Board in June before being submitted to the Illinois Board of Higher Education.  Another area that will be considered by the Committee is the impact of the IBHE’s P•Q•P program.  Chair Myles said it was his belief that the Board needed to understand the past and potential impact of P•Q•P reallocations, especially on the university’s ability to respond to the increased regional demand for more access to graduate programs.  Trustee Myles said that appropriate meetings would be scheduled to examine these issues.

Finance, Facilities and Operations Committee

Committee Chair Boey stated that the Finance, Facilities and Operations Committee met on December 6, 1996.  The Committee accepted the following informational reports:  Periodic Status  Report on Capital Projects in Excess of $250,000; Periodic Summary Report of Purchases, Leases, Capital Projects and Professional Services in Excess of $100,000; Summary of Architectural/Engineering Firm Selection and Contract Fee Guidelines; and a report on a potential tuition increase for the upcoming year.

The following actions were included in the President’s Report for presentation and Board approval.  The Committee approved and recommended full Board approval of the project scope, architectural/engineering firm selection and budget for the following capital projects:  (1) Center for University Resources for Latinos and Latin American Studies, (2) Recycling Center, (3) Campus Child Care Facility, (4) Stevenson Towers Renovation-Phase I and (5) West Campus Site Improvements-Phase I.  The Committee also approved and recommended Board approval of an increase in expenditure authorization for printing and delivery of the Northern Star.

Legislation, Audit and External Affairs Committee

Committee Liaison Kathy Swanson delivered the report for Chair Moser in his absence. Ms. Swanson provided the Board with a brief update on the status of the General Assembly Veto Session.  A comprehensive capital bonding bill, called for a vote in the House, failed to obtain the 71 votes necessary to pass.  Swanson said it appears that capital needs across the state will continue to climb.  Discussions are scheduled to begin again in January between legislative leaders and the Governor regarding a capital bill during the Spring Session.  Discussion of a supplemental budget should occupy the bulk of the two remaining legislative days.  Legislative leaders indicate the supplemental budget proposed by the Governor is set at $53 million, but higher education needs in general are not addressed as only the most dire emergency funding issues were included.  The President and Ms. Swanson met with over 18 legislators and staff in Springfield to discuss the capital needs of the university.  There was a fair amount of receptivity on the part of the House and Senate leaders, Democrat and Republican alike.  However, Swanson said, the State’s financial needs are great, and funding is extremely limited.  Inclusion in the supplemental will be an uphill battle for all higher education institutions.  If an agreement on the size and scope of the supplemental budget can be reached between the Governor and the legislature, the vote would be held on January 6 and 7.

The 90th General Assembly convenes on January 8. Michael Madigan will return as House Speaker with a 60-58 vote margin.  Lee Daniels will return as Minority Leader. Republicans held the Senate in the November elections by a slim 212 vote margin and now hold 31 seats while the Democrats hold 28.  Senate President Philip and Minority Leader Emil Jones will continue in their positions.  The prospects for higher education under a divided House and the committee assignments will be discussed at the January LAEA meeting.  A combined session calendar is being prepared by the President’s Office for the Board’s reference.

The Board of Higher Education is scheduled to release its FY98 budget recommendations in early January.  These recommendations will then be forwarded to Governor Edgar for consideration as he drafts his FY98 State budget for the legislature’s review.  During the past three years, Governor Edgar and the Bureau of the Budget have fully funded the IBHE’s budget recommendations.  NIU will be working in conjunction with the other universities to lobby the Governor and his staff in January and February.  The Boards of Trustees at the universities will be asked to assist in this effort.  A progress report will be given in the January LAEA Committee meeting.

Swanson noted that Senate Bill 1122, requiring full disclosure of legislative scholarship recipients, passed both houses with the Governor’s changes incorporated during the Veto Session.  Legislative scholarship winners will have to sign an affidavit of residency and indicate the university, program of study and value of the tuition waiver prior to receipt of the scholarship.  The University of Illinois-Chicago Redevelopment Initiative, with the Governor’s changes requiring additional accountability, also passed both houses during the Veto Session.

On the local level, Swanson said that the Office of Public Affairs was producing a series of issue papers about the university.  The first paper provides information about the university’s current enrollment and is designed to reflect the changing nature of Northern Illinois University’s student interests and needs.  Several local business owners have been critical of the decline in residential enrollment at the university over the last ten years.  Since 1981, enrollment at the university has decreased by 16%.  During the same period, the number of high school seniors in our service region has declined nearly 23%.  Thus, NIU has remained ahead of the base line decline.  The university is very aggressively pursuing additional recruitment strategies through new marketing initiatives.  Furthermore, while residential enrollment has dropped, the number of commuting students has risen dramatically, reflecting the changing nature of the delivery of higher education.  Swanson indicated that the series of white papers reflects the President’s belief that communication with the greater DeKalb community is critical to NIU’s long-term success in attracting and retaining qualified students.  The next paper will focus on the economic impact of the university on the community and will be published in late January or early February.  Ms. Swanson said that she will also be working closely with Representative Wirsing and other business, industry and local government leaders to further promote partnerships between the university and the community.

The next meeting of the Committee is scheduled for January 23 at 10:30 a.m.

Trustee Boey stated that local leader response to the first paper on issues of community interest is very positive.  He said that he endorsed the concept and thought the series should be continued.  Chair Siegel said he thought it was an excellent piece and also congratulated Ms. Magara and Mr. Malone for their work.

Rep. Wirsing said it would be only a few days until the 90th General Assembly started.  No committee chairs are in place as yet, so there is some uncertainty at this time.  Higher education faces a challenging two years, Wirsing said, because outside of Chicago, it is not a high priority of the Speaker of the House.  That is not partisan, he said, it is just a matter of historical record.  He thought that all of education throughout the state of Illinois would be the big challenge during this session.

Chair Siegel thanked Rep. Wirsing and said that there was a great deal of interest at the university in when capital bonding funds might be a raised so that some of the deferred maintenance and other issues could be addressed.

Student Trustee Marquez said a group of students also went down state with the Student Association’s governmental affairs advisor to meet with representatives and discuss the issue of NIU’s fair share of public funds in light of the fact that the university serves 12% of the state’s public university population but receives only 8% of the funds.  Rep. Wirsing complimented the students who visited, saying that they showed a good representation.

Illinois Board of Higher Education Report

President La Tourette attended both the October and November meetings of the IBHE. The October 1 meeting was devoted primarily to P•Q•P reports which had been submitted earlier.  The independent colleges and universities and the proprietary institutions provided a perspective on their reallocation plans. Presentations were given by the community colleges on the results of their overall assessment from the Illinois Community College Board, and some talked about their response to particular P•Q•P programs.  The Illinois Mathematics and Science Academy also presented a P•Q•P report.  In presenting NIU’s report, President La Tourette said that he emphasized the transition the university was undergoing with the new Board and the kind of briefings the Board had been given on budget conditions at NIU and on the status of the P•Q•P process.  He noted that over the four-year period from FY93 to FY96, NIU had reallocated over $10 million from lower to higher priorities.  In FY96, the reallocation was approximately $3.3 million — $1.5 million of that reallocation went to strengthening undergraduate education and just under $1 million went to improving technology.  It was also mentioned that several administrative positions had been eliminated or held open in order to provide funds for reallocation.

Another topic of interest in October was a follow-up discussion on the need for a public university presence in Lake County.  This initiative was undertaken by Rep. Lachner who indicated there was a need for programs to be offered in Lake County by a public university at public university tuition prices.  In September, the Board of Higher Education endorsed the concept of a multiuniversity center, advanced by the Executive Director, Dr. Wagner, who cited the success of the Multiuniversity Center (MUC) at Oak Brook as justification for this move.  The existing MUC is supported only by Northern Illinois University and the University of Illinois.  Originally, the MUC in Lake County was supposed to attract programming from all the public universities as well as private institutions.  Instead, what has been approved as a result of discussion in September and October is an $85,000 budget for a center to be coordinated by the University of Illinois.  This was accompanied by a request to universities to increase programming in Lake County.  NIU has responded by offering a technology course for undergraduates similar to those being instituted in Rockford to see if a market exists.  Dr. Wagner stated that he would consider a request by institutions for additional funding for off-campus programming.

Of continuing concern is the number of programs being approved for off-campus delivery in northern Illinois.  During the October meeting, seven new bachelor’s degrees, four new master’s degrees and 15 new associate’s degrees were approved to be offered throughout northern Illinois by independent colleges and universities.

Also disturbing was the uneven treatment of the universities’ various P•Q•P reports.  The reports were submitted in advance of the October meeting; the universities were allowed the opportunity to comment on the reports at the October meeting, and then received a written assessment provided by the staff of the Board of Higher Education on their P•Q•P reports.  There appears to be continued pressure for program elimination and reduction, particularly at NIU.  The IBHE staff continues to be critical of graduate programs at NIU, not recognizing their significance to our mission, both on and off campus, to offer affordable access to people who need to upgrade their education to be effective in their professions.  NIU is a major provider of master’s programs in northern Illinois which meet these work force needs.  It is important to realize, the President said, that in the last four years, less than 5% of our reallocated funds came from program elimination or reduction.  In other words, there is no direct link between program elimination and increased productivity.  Major priorities like technology and connectivity and the improvement of retention and graduation rates through advising and counseling of students will not be addressed through this emphasis on program elimination and reduction. It is very important for the Academic and Student Affairs Committee, chaired by Mr. Myles, to look at this question, because NIU has been asked by the Board of Higher Education, along with all other public institutions, to do yet another assessment and report on graduate education.  Dr. La Tourette closed saying that Northern’s $10 million reallocation is well within the guidelines established by the Board of Higher Education for a two to three percent reallocation per year over the life of P•Q•P.

University Civil Service Merit Board

Trustee Myles said he was unable to attend the meeting, but the agenda he received contained no items from NIU.

Northern Illinois University Foundation

There was no report from the Northern Illinois University Foundation.
 

PRESIDENT’S REPORT NO. 6

Personnel Transactions

Agenda Item 8.a.(1) – New Appointments (1996 Summary)

This was an information item which listed new regular faculty and administrative appointments processed at Northern Illinois University during the 1996 calendar year in accordance with Board Regulation II.A.

Financial Transactions

The following action items were previously introduced, reviewed and approved in the Finance and Facilities Committee.  The university requested Board approval to establish a total budget for each of these projects and to select the architectural and engineering firm which will design the projects.
 

Agenda Item 8.b.(1) – Center for University Resources for Latinos and Latin
  American Studies

In response to a question from Student Trustee Marquez, President La Tourette stated that Board of Trustees Regulations require the university to bring a project back to the Board any time the established budget amount is exceeded.  Architectural and Engineering firms are informed by the university of the budget limitation for each project.  If the targeted amount is exceeded, the architectural and engineering firm must absorb the extra cost.

In the case of the Center for University Resources for Latinos and Latin American Studies, the university requested Board of Trustees approval to contract with the firm of Wendell Campbell and Associates to provide all design documents, construction administration services and any other architectural and engineering services based on fee guidelines established by the Capital Development Board.  Approval was requested to set the total project budget at $600,000 and to advertise and receive bids, execute construction contracts, and issue work orders necessary to complete all work associated with this project.

Chair Siegel asked for a motion in accordance with the recommendation to approve Agenda Item 8.b.(1).  Trustee Sanchez so moved, seconded by Trustee Raymond.  The motion was approved.

Item 8.b.(2) – Recycling Center

This item was a proposal to construct a facility to replace the inadequate space currently used for the Recycling Center.  The university recommended Board of Trustees approval to contract with the firm of Pedriana Gustafson Inc. to provide architectural and engineering services at fees consistent with Capital Development Board guidelines, to advertise and receive bids, execute construction contracts and issue work orders necessary to complete all work associated with this project.  The total budget was established at $1.2 million, which is inclusive of all the items listed in the above recommendation.

Chair Siegel asked for a motion to approve the university recommendation for Item 8.b.(2).  Trustee Grans so moved, seconded by Student Trustee Marquez.  The motion was approved.

Agenda Item 8.b.(3) – Campus Child Care Facility

The university recommended Board of Trustees approval to contract with Burnidge-Cassell Associates for architectural and engineering services, to advertise and receive bids, execute construction contracts and issue work orders necessary to complete all work associated with this project.  The project scope and budget was set at $3.1 million.  Student Trustee Marquez so moved, seconded by Trustee Myles.  The motion was approved.

Item 8.b.(4) – Stevenson Towers Renovation-Phase I

The university recommended Board of Trustees approval of the project scope and a total project budget of $14,430,400, and sought permission to advertise and receive bids, execute construction contracts, and issue work orders necessary to complete all work associated with this project.

Chair Siegel called for a motion to approve the Stevenson Towers Renovation recommendation.  Trustee Sanchez so moved, seconded by Trustee Raymond.  The motion was approved.

Agenda Item 8.b.(5) – West Campus Site Improvements - Phase  I

The university recommended Board of Trustees approval to engage the architectural and engineering services of Johnson, Johnson & Roy, utilizing consultant fee guidelines developed by the Capital Development Board.  Approval was also requested to advertise and receive bids, execute construction contracts, issue work orders necessary to complete all work associated with the project, and to establish the total project budget at $6 million.

Chair Siegel asked for a motion to approve Phase I of West Campus Site Improvements.  Trustee Grans so moved, seconded by Student Trustee Marquez.  The motion was approved.

Agenda Item 8.b.(6) – Northern Star Printing and Delivery Service - Multiple Bids

The University recommended Board of Trustees approval of an increase of $37,000 in expenditure authorization for Northern Star printing and delivery service for a total amount of $286,000.

Chair Siegel asked for a motion to approve the expenditure increase for Northern Star printing and delivery service.  Trustee Sanchez so moved, seconded by Trustee Myles.  The motion was approved.

Item 8.c. – Summary of Grant Contract Awards

Dr. La Tourette stated that this was an information item on awards for the year to date.  Last year there was a significant drop in federal funds available for research.  While there is some indication that some funds not available last year may become available this year, it is too soon to know if funding will return to its previous level.

Agenda Item 8.d. – Periodic Status Report on Capital Projects in Excess of
  $250,000
Agenda Item 8.e. – Periodic Summary Report on Transactions
Agenda Item 8.f. – Tuition
Agenda Item 8.g. – Annual Report on Oral English Proficiency

Chair Siegel noted that these were all information items and asked if the Trustees had any comments or questions on them.

Regarding tuition, Trustee Raymond noted, as he had indicated at the Finance Committee Meeting on January 17, that this is a process that the Trustees should very carefully review and thoroughly consider since this will be the first tuition increase this Board will be acting on.  He said that tuition increases have been receiving a lot of attention in the media over recent months and will most likely be part of a public policy debate.  There have been many statistics and studies published in Washington recently tracking tuition increases over the last ten to twenty years, he stated, showing that the increases have exceeded the rate of inflation over the longer period of time.  Trustee Raymond noted that some of Illinois’ other state universities had already approved tuition increases that exceeded, in some cases, twice the rate of inflation in the past year.  We have to assure ourselves, he said, that action is being taken to cost-effectively and efficiently run the university.

President La Tourette reviewed with the Board members the issues that have to be considered by the university.  There were three main issues:  (1) A recommendation for tuition for FY98 which begins on July 1 of 1997.  (2) A projection of tuition over the next three or four years.  This kind of projection has been encouraged by the IBHE, but tuition is heavily is dependent on what the State provides.  Currently, approximately 40% of the funds received by NIU come from the State.  (3) The rate of increase in tuition for special areas such as the Law School and graduate education must be based on the increase for undergraduate education and result in charges comparable to those in effect at other state institutions.  The proposed tuition increase for the NIU Law School matches the increases already approved by the University of Illinois and Southern Illinois University boards.  Another consideration is the continuing reduction in course fees developed in the early 1980s to cover the installation, maintenance and upgrading of certain computer facilities being used by students in a few disciplines at that time.  Many of these facilities are now open to all students and, thus, should be funded generally rather than through course-specific fees.

For information purposes, Dr. La Tourette stated that the median tuition for undergraduates at research and doctoral institutions was $2,937 for the 1995 academic year.  Last Fall at NIU, the figure for the typical student would taking 13½ credit hours per semester would have been $2,422 or about 82.5% of the national median.  Dr. La Tourette also noted that the way in which the budget is constructed actually forces the institution to make a tuition increase at least as large as the general increase in state funds being recommended by the Board of Higher Education.  Without such an increase, the effective increase on the State side would be reduced by one-third.

Kathy Swanson reiterated that there was a fairly strong sentiment developing among those interested in higher education in Springfield that the Governor may not be able to fully fund the Board of Higher Education’s recommendations.  NIU will be asking the Board members to help lobby the Governor to consider fully funding those recommendations.  He has done so for the last three years, but, because of competing resources and a very limited supply of additional funds, the university is faced with some uncertainty as to whether the full recommendations of the Board of Higher Education will be endorsed by the Bureau of the Budget and the Governor’s staff as the 1998 budget is prepared.

Agenda Item 8.h. – 1997 Meeting Dates

This item listed the dates of January 23, April 24, June 12, September 25 and December 11 as 1997 meeting dates for the NIU Board of Trustees.

Chair Siegel asked for a motion to approve these dates.  Chair Myles so moved, seconded by Trustee Marquez.  The motion was approved.
 

CHAIR’S REPORT NO. 4

Agenda Item 9.a. – Executive Session Minutes Release

In accordance with the Illinois Open Meetings Act, as amended, Chair Siegel recommended that the Board approve the release of specified sections of executive session minutes from confidentiality as reviewed and advised in the Chair’s Report.  Trustee Sanchez so moved, seconded by Trustee Myles.  The motion was approved.

Agenda Item 9.b. – Approval of Board Regulations - Section IV

Referring to the subsection of Section IV of the Regulations, Trustee Raymond requested that the Board receive information about waivers granted on a regular basis.  Dr. La Tourette explained that this section of the Regulations merely requires that the university be in compliance with state and federal laws.  There is legislative authorization for the university to waive up to 4% of the undergraduate tuition collected for particular types of students.  The only information related to waivers that can be made public is the criteria the committee uses to make these decisions, the process used and the number of students in each category.  President La Tourette stated that he does not receive specific student information and deferred to university General Counsel George Shur.  Mr. Shur stated that the Board and the central staff is certainly entitled to know the number of grants by category, in state and out of state; the names of the students, however, would be confidential.  Only department heads in each student’s area of specialization would receive that information on a need-to-know basis.  No one else at the university receives this information.  Chair Siegel asked Dr. Williams to provide the Board with a copy of the report on tuition waivers that he submits to the IBHE on a periodic basis.

Chair Siegel entertained a motion to approve Section IV of the Regulations.  Trustee Sanchez so moved, seconded by Trustee Grans.  The motion was approved.

Agenda Item 9.c. – Review of 1996 Meetings

Chair Siegel commented that his records indicated the Board and its committees had met over 20 times in 1996, and that things seem to be going well.  He asked Dr. Charles Larson for comments from the perspective of UAC.  Dr. Larson thanked the Board on behalf of the University Advisory Committee for their cooperation, not only at the general Board Meetings, but in the Committee meetings as well.  He thought the UAC representatives were pleased with the opportunity to have input and with the closer ties to the campus being experienced with the new Board.

Other Matters

Chair Siegel announced that graduation was the following weekend (December 15) and that all members of the Board of Trustees would be attending the various graduations in full academic regalia.

Student Trustee Marquez recognized Peter Adrian, recycling director; Michael Coakely, housing director; Becky Kasten, president of RHA; Chris Herrmann, campus child care director; Ryan DeParr, assistant recycling director; John Actin, programming vice president of RHA; Culley Sullivan, hall counsel president; and Frank Fuente, program coordinator for University Resources for Latinos for their help and continued involvement with the West Campus Master Plan.

Dr. Larson stated that faculty and operating staff and supportive professional staff were very pleased with the plans for a new child care center.  Needs are there not only for students, he said, but also for employees, and everyone is very pleased that this action is being taken.

Next Meeting Date

The next meeting date was scheduled for January 23, 1997.

Chair Siegel wished happy holidays to everyone and entertained a motion to adjourn.  Trustee Sanchez so moved, seconded by Trustee Grans.  The motion was approved.
 

Respectfully submitted,
 

Sharon M. Mimms
Recording Secretary