Minutes of the
NIU Board of Trustees
FINANCE, FACILITIES AND OPERATIONS COMMITTEE
March 7, 2001

We have a full agenda today, the Chair said, with action items that include the Fiscal Year 2002 student fees, room and board, and tuition recommendations; the federal grant supporting Physics Department research and development; capital project approval for the north forty utility tunnel; and stadium turf replacement and computer laboratory upgrade projects. We will also be taking action on the lease renewal for the Chicago Exhibition Center art gallery, several annual contract renewals and purchases, authorization to investigate debt refinancing, and tuition increases. University reports will include periodic financial reports; updates on Altgeld Hall, Barsema Hall, the convocation center and the library build-out projects; and a utility expense update.

Chair Sanchez recognized the members of UAC, Dr. Richard Becker and Dr. James Lockard.

As you know, the state legislature decided that the public should be afforded the opportunity to address the Board of Trustees, Chair Sanchez said. We at Northern have created that opportunity through the Committees, he said, and I think this may be the first one. A request has been properly filed by Brad Kuhn to address the Committee.

Mr. Kuhn's statement is summarized below:

Mr. Kuhn addressed the issue of the convocation center and student fee increases. He noted that he had favored a student referendum regarding the convocation center, but that the referendum did not go through. His concern was the role of the students in paying for the convocation center after its completion, including such things as utility costs, employees and security staff.

I would like to respond to two of Brad's comments with information that both the Committee and the public should know, Student Trustee Barr said. First, although I, along with Brad, supported a referendum on the convocation center, appropriate action was taken by both the Board of Trustees and the university by having the student government select, through a vote of its Student Senate and approval by the student body president, a resolution supporting the convocation center. Second, Dr. Williams, John Gordon, Bob Albanese, several other students and I are currently in the process, of writing a shared governance agreement for the convocation center that will ensure long-term student input on the day-to-day operations and programming, as well as, on an informational basis, the finances to some degree. I am very grateful for the time Dr. Williams and John Gordon have put into this; and I am sure that it will, over the long haul, provide students with the information and the input they desire regarding the convocation center.

I just want to thank you, Mr. Kuhn, for taking the time to come and tell us your thoughts on this, Trustee Siegel said. We appreciate it and hope that others who choose to speak on issues that are important to them present them as well as you presented yours today.

I also applaud you for coming and sharing your ideas with us, Dr. Williams said. I would like to remind you all of several things. One, we have taken steps as part of the overall strategy for the operations of the convocation center to hire a professional person, John Gordon, who has the experience and the knowledge to operate such facilities. As stated previously, he is in the process of working with the Student Trustee and student groups in developing strategies for the full operation of the facility. This includes working with developing concerts and other activities that not only address student desires and needs, but also would provide additional income to the operation. We thoroughly looked at and investigated this as we developed the strategy for the entire facility, Dr. Williams said, and we are moving toward a full and comprehensive plan. We are in the process of working on all of these things, and there is student input in every aspect of it.

Mr. Kuhn, I applaud you for coming up, Trustee Boey said, because it is never easy to be a public speaker. Certainly, I can appreciate your concern, as a student, about the costs of going to school. It is a duty of the Board of Trustees to look at both the present and the future to ascertain what is important to the university overall. I am sure when we built the Holmes Student Center, the athletic facilities and the recreation facilities that there were concerns about those expenses. But the present generation has to pay for the future generations, and the future becomes the present as the loop goes on. So we have to be diligent in planning for both the present and the future, he said, and that is where we all try to do our very best. At the same time, I am not too old to have forgotten what it is like to be a student and to carry the daily costs through graduation, so I do appreciate your concerns.

I hope this demonstrates publicly that this legislative initiative for public comments can and does work, Chair Sanchez commented. The protocol was followed here, and I appreciate having the chance to be the beneficiary of its first application. 

The legislation dealing with public comment was not passed because of Northern, Trustee Siegel said. In fact, Northern was probably one of the few universities, if not the only one, in compliance prior to this, although it is now more formalized. Unfortunately, due to issues at one of the other Illinois public institutions, the legislature felt it was necessary to pass this legislation for all the public universities.
 

First of all, let me say that I have been in higher education at the fee-setting stage for many years, President Peters said, and I am very impressed at the way student fees and other fee recommendation are built from the ground up with subcommittees, giving people a chance to talk about them, so that by the time they reach me, they have been very thoroughly discussed. It was, especially for a new president, wonderful to know that debate had occurred and people were moving around the lowest possible increase to maintain our operations. I think this is a very good process. As outlined on page 9 of your report, we are not suggesting an increase in every category of student fees. For instance, we are not suggesting activity fee increases for the undergraduate, graduate or professional activity fees. We are requesting an increase in the athletics fee, Dr. Peters said, to cover the increased costs for salaries and so forth, because it is my understanding that we have not had an increase in the athletic fee for several years. We are also requesting an increase in the bond revenue fee, which includes amounts to which the Board has agreed previously. This relates directly to Brad's statement and his concerns, which are appropriate. The convocation center has a one dollar preprogrammed increase. There is a health insurance increase of $0.91 per credit hour. This is a very good health plan for students at a very good rate. I know this is a good increase, because I had to pay for my own son's health increase at another university, and it was pretty steep for less service. Also, health service goes up $0.19. There are no increases in grants-in-aid, student-to-student grants, the law fee or the graduate colloquium fee. The graduate colloquium fee is a rather innovative fee that I have not seen at most universities, Dr. Peters said. It provides graduate students with the means to invite experts in their fields to come in to speak, and they spend that money wisely. The result is an overall increase of approximately 6%, or about $44, depending on whether for a graduate, undergraduate or professional student, and I recommend these increases to you.

I want to very specifically say, Student Trustee Barr said, that over the last four years, I have taken part in the fee review process, and for the last three years I have taken part as the lead student representative. We have a small group usually of about five students that serve on the various fee review committees. Over time, I have served on all of them; and this past year, I served on most of them. I am well convinced in talking with other student governments around the state that we have the most integrated fee review system there is. Having more student input at various levels of the process – at the initial level, at the final level – before it is brought to the Board meeting with the President and the Executive Vice President, and, of course, having the students here at the Board level, it is a very good process. When I leave student government at the end of this year, I leave knowing that things are in good shape and that students will have an opportunity for strong representation in the future. Regarding the actual increases, he said, I think it is interesting to point out that we are recommending a zero percent increase in the activity fee, compared to an 80% increase recommended at one of the other public universities. In total, our fees do represent an increase that will not necessarily be easy to handle on the part of the students, he said, but they are necessary at every level for the advancement of the institution, so that in five years, after I and others graduate, our degrees will be worth more than when we started. These things are, in my view and in the view of those students that sat on this and the other fee review committees, absolutely necessary, and we support these increases. Chair Sanchez noted for the record that when the preapproved bond rate approvals from 1996 and 1999 are backed out, the average increase is 3.70%. The Chair asked for a motion to approve the FY02 student fee recommendations. Trustee Siegel so moved, seconded by Trustee Boey. The motion was approved.
 
I want to express my appreciation to all those who were involved in the fee process, Dr. Williams said. The work begins as early as December and carries through for about two and a half months of intense review. Thanks are due Paula Lofgren for her efforts in summarizing and keeping up with the increases. I do appreciate the effort, he said, and wanted the Board and this Committee to be aware of the staff and student hours involved in bringing these recommendations to you.

Agenda Item 7.b. – Fiscal Year 2002 Room and Board Rate Recommendations
The bottom line for the room and board rates is that the recommendation is for a zero net increase, Dr. Williams said. This is a result of the housing director working with the Residence Hall Association (RHA) and staff to come up with a strategy by which the needs of the area could be met and provide minimal impact on cost. They were able to do this through a program of increasing certain room rates and, at the same time, reducing certain board or food rates so that the net result is a zero net increase overall. In speaking with representatives from the RHA, Student Trustee Barr said, it is my understanding that they endorse this plan, and I want to do the same. Mr. Coakley from Housing and Dining has always been very open with them and has an integrated process involving student opinion in this as well. Chair Sanchez asked for a motion to approve the FY02 room and board rate recommendations. Trustee Siegel so moved, seconded by Trustee Vella. The motion was approved.

Agenda Item 7.c. – Fiscal Year 2002 Off-Campus Course Delivery Fee
There are costs in delivering courses off campus, and those costs have to be covered in some way, Dr. Williams stated. This item is pursuant to the President's program for increasing and organizing our efforts on off-campus course delivery. When I came here, President Peters said, I thought that one of the things NIU needed to do in the future was to deliver more courses off-site. This is obviously the changing landscape of American higher education, particularly for Northern and universities like Northern all across the country. When they cost off-campus courses out, they have to include the cost and the development of delivery, because delivery costs cannot be assumed within our base General Revenue budgets in many academic areas. Additionally, unlike on-campus delivery of traditional programs, there is a heavy market factor involved in the delivery of these programs. In some cases, the President said, we, as a public institution, are well below the market. So, what we are really asking for is a minor base rate increase in our off-campus delivery rate from $35 to $40, which is rather minimal; but it will help us, perhaps, encourage faculty to develop Internet-based courses and deliver more courses off-site. There are three other increases, he said, probably the most substantial of which is the MBA delivery fee. President Peters asked Dr. Kaplan if she would present a summary of information on those topics.

It is pretty clear to us in assessing our ability to maintain our market share in the western suburban areas that price is not the key factor, Dr. Kaplan said. What really matters is our ability to get the programs out there in some predictable way. That, for us, is a cost issue, which we hope these fee increases will impact in a positive way. Northern will still be cheaper than the competition in the western suburbs, but we hope to have at least some of the funding it takes to get our courses to the locations where we need them. Dr. Kaplan said she would like a clarification added to the record. Northern does have a couple of other master's level Business graduate programs out there currently at the MBA rate. Implicit in this request for an increase is the assumption that all the off-campus Business graduate programs will be at the same rate. With your permission, she said, I will edit this paragraph so it will be clear when this item goes to the full Board that we do not have some Business master's programs at a different rate than others. One of the concerns that I had several years ago on our off-campus delivery programs, Trustee Siegel said, was that many of what are considered competitive institutions, in terms of availability but not necessarily content, were able to provide students with a methodology that allowed them to obtain reimbursements from their employers a lot faster than they could with us. Have we addressed that at all?

We have discussed this issue with our Bursar, who has also worked as Bursar at other institutions, Ms. Shinham said. One issue in delaying the payment of fees to students is whether they should pay any penalties. We do have some agreements with corporations where NIU bills directly to the corporation, and, in that case, we expect the employer to pay no matter what. If the reimbursement is dependent upon a certain grade and we waive charging interest to those students for nonpayment, she said, it makes it very difficult to charge other students and consider the policy to be fair to all of our students. It is something we have had many discussions on and will continue to discuss to see what we are able to do to attract these categories of students and address their needs. One of the things implemented this semester, which is new for Northern, is payment by credit card. However, Ms. Shinham said, they are processed the day of payment through the State Treasurer's Office. There is a service fee that the students have to pay, which means there is no impact to Northern's revenue. We will continue to look at other alternatives, she concluded.

Trustee Siegel said he would like to hear something at the next Finance Committee meeting on some plan to deal with this. I think it is important to be able to access the students who may not be working for very large corporations that also have educational reimbursement policies, he said, and who may be choosing other institutions over Northern because of our payment plan structure. We would be very happy to work with our Bursar on that, Dr. Williams said. These are the kinds of issues we need to discuss because we want to be competitive. We are out there in the marketplace, and we want NIU to be the winner as the institution of choice. We will work with Dr. Kaplan and Ms. Shinham and report back to the Committee.

As the Chair, I would merely add that it would be very significant to me to learn what institutions are offering these kind of programs, Chair Sanchez said, because I am very concerned with being competitive, but I want to be competitive with the right players. Frankly, if Wright Junior College is doing one thing or some other institution is doing another thing, that is not of import to me. If there are competitive higher educational institutions that we clearly are competing with in the northwest or western suburbs and in the Rockford area, then that is of import to me, and I think it is important that we view it globally rather than just piecemeal.

I agree with you totally, Trustee Boey said. We are not interested in matching up with different quality programs out there. As we know, there are different qualities of programs being offered, and we cannot be everything to everybody. As a businessman, I know we need to be competitive, but on the same playing field, not on a different, side field. Chair Sanchez asked for a motion to approve the FY02 off-campus course delivery fees. Trustee Siegel so moved as amended by Dr. Kaplan and was seconded by Trustee Skoien. The motion was approved.

Agenda Item 7.d. – Fiscal Year 2002 Tuition Recommendation
The item points out that the IBHE budget includes certain assumptions relative to the Income Fund which have direct bearing on tuition, Dr. Williams said. As a result, the university is recommending a 4.5% increase in all tuition rates, undergraduate, graduate and law, and also the summer rates.

This setting of base tuition rates is one of the most serious if not the most important thing that the Board does, President Peters said, and it is one of the most important recommendations that I make. This recommendation comes after very careful analysis of the minimum tuition increase NIU needs given the kind of assumptions built into the background of the recommendations. The IBHE, when they forwarded their recommendations to the Governor, built in certain assumptions about our Income and other funds. Therefore, this recommendation of 4.5% for graduate and undergraduate tuition is the lowest level we think will cover the items included in their recommendation plus add a very small amount for two items not covered in the IBHE budget that are very important for this campus – smart classrooms and faculty development, helping faculty learn the new instructional technologies. All of that is of direct benefit to students. The other thing that is at play is making sure our tuition remains in proper relation to comparable institutions, he said, and it is. Another institution in the state has come forward with an extremely bold and ambitious plan that will result in significant increases over a three-year period in the base tuition rates. At this time, we have chosen not to add surcharges for new students; but depending on other factors and our programmatic needs, that may be something we would consider in future years. Right now, however, I am very comfortable in bringing the proposed tuition increases forward, because access is so important in higher education in the state of Illinois, and it is so much a part of NIU's history and culture. I am confident that this is a sound recommendation that will keep the quality education of NIU where it should be, the President said.

In answer to inquiries from Trustee Skoien, Dr. Williams answered that in the last few years, in submitting our budget to the IBHE, NIU has responded to meeting budget requirements that assume the Income Fund is going to grow at a certain percentage going into that budget year, so tuition increases have been reflective of that and not much more. Last year, NIU's increase was 3.5%, and the year before that about 3%. Those were pretty much in response to the IBHE's budget. That is also the case here, he said, except in this year's budget we are looking at the potential of some add-on dollars within the Income Fund generated by the increase, which would address the priorities identified by the President. The amount generated is approximately $2.5 to $3.0 million. That then responds to an IBHE budget, which includes a salary package requiring institutions to come up with 2% of that salary package from Income Fund revenues, so that is built into the recommendation. Beyond that, Dr. Williams said, in response to this, the University of Illinois has a very aggressive plan, which includes a 5% base increase in tuition for all students. In addition, students coming into the University of Illinois for the first time, both freshmen and transfer students, would pay an additional $500 a year surcharge. The second year of their plan includes a second 5% increase in tuition, and those students identified as new in the prior year would then pay a $1,000 add-on surcharge. That surcharge would also be charged to any new students starting in Fiscal Year 2003. The plan includes another year, which includes another 5% increase. So that is 15% from the base increases alone, he said. Some of the other universities, in response to the requirements of the Income Fund, range from 3% all the way up to 6%. Illinois State's tuition increase is 3.5%; Southern Illinois, 3%; Chicago State, 5%; and Western Illinois, 6%. So, you can see, Dr. Williams said, it is all over the board, and part of it is in response to the actual condition of the Income Fund of that institution and the requirements necessary to meet IBHE budget recommendations. What we had to do in our assessment of tuition is both address the basic need of making sure our Income Fund would be of the size that would address all of the requirements of the IBHE budget, and address some key priorities President Peters has identified for the institution. The incremental difference in what is generated to address those priorities is very small, he said.

I think I probably speak for the Board in saying that we share the same sentiments President Peters has in regard to increasing tuition, Trustee Skoien said. I do not think anybody likes to increase tuition in any amount, and it sounds to me like what the administration has put together is a thoughtful, prudent and conservative increase. It is something that is not an easy thing, frankly, to vote on, because we really do care, as the President said, about access and what impact this has on the students.

Trustee Siegel asked if it was still the practice of the IBHE to penalize the universities on any fee increase over 3%, taking back a portion, about 20%, to go into the scholarship fund. Our increase just fits under the new cap on the scholarship fund, Dr. Williams said. This means that the financial aid package will allow for this increase for students who rely on financial aid because they do not have the economic wellbeing to pay their own tuition. We do know, for example, that the UI with its more aggressive tuition plan has an affordability issue of how students will be able to address their increases, and the institution is proposing a form of financial aid to assist students in meeting their tuition requirement. So, it is essentially what the IBHE used to do, but the individual institution has set up its own plan. It is important that we do not follow so much what other institutions do, Trustee Siegel said, especially what the University of Illinois has done. I want to thank both President Peters and Dr. Williams, our two top people, for really doing a good job at finding a way to deal with these tuition increases so that they do not adversely affect our students any more than they absolutely have to.

We have not really assessed the impact to the cost of education because of our increased energy costs this year, President Peters said, so we need a little bit of buffer there. But if you think about it in the broad scope of Illinois, the region and the country, he said, given what other institutions are doing, NIU remains an incredible buy for the value of education, even with increases which pain us.

One would think that the heating increases alone would have justified an increase greater than the 4.5%, Chair Sanchez said. But I am reminded that 35 years ago, the value NIU presented to people like me made a difference in my selection. And here, comparatively speaking, 35 years later it is hard to deny that you get great value for your dollar here at NIU; so, I could not agree more with President Peters. Nevertheless, you have heard everybody say what an important, sensitive subject this is. From day one, when the Board of Trustees was formed more than five years ago, the Chair said, it was a gigantic concern. It continues to be one of the most delicate, sensitive matters we have, because we never want to go to a situation where deserving students are not viewing Northern as a place where they reasonably can go from a financial standpoint.

My specific concern is about affordability, Student Trustee Barr said, not so much at Northern, but in higher education in general. For the last 30 years, higher education has made a very pronounced change from a primarily grant-sponsored sort of financial aid to loans. That, of course, involves a huge affordability factor, and is very difficult to swallow. In addition to that, he said, over the last 30 years, the proportion of the state budget spent on higher education has dropped significantly from about 17.5% in Illinois to around the current 11%. That, again, has a tremendous impact on affordability. I think Northern does a good job. We need to keep technology in the classroom, he said, and we need to do whatever it takes to make sure we can retain our quality faculty.

Chair Sanchez asked for a motion to approve the FY02 tuition recommendation. Trustee Siegel so moved, seconded by Trustee Vella. The motion was approved. Chair Sanchez then turned the meeting over to Vice Chair Skoien for the next two agenda items.

Agenda Item 7.e. – Fiscal Year 2002 Athletic Sports Camp Housing and Meal Expenditure
Approval of the athletic sports camp housing and meal expenditure is a routine item that comes before the Board every year, Dr. Williams said. It is a passthrough, totally supported by the revenues paid by the participants when they enter these camps. Vice Chair Skoien asked for a motion to approve the FY02 athletic sports camp housing and meal expenditure request. Trustee Siegel so moved, seconded by Trustee Vella. The motion was approved.

Agenda Item 7.f. – Fiscal Year 2002 Student Accident and Sickness Insurance Contract
As indicated by the President, Dr. Williams said, we offer a very good, strong insurance program to our students. The university's recommendation is for approval of a new contract with Mega Life of St. Petersburg, Florida that would cover several years. We ask your approval of the contract as recommended. Vice Chair Skoien asked for a motion to approve the FY02 student accident and insurance contract. Trustee Boey so moved, seconded by Trustee Siegel. The motion was approved.

Agenda Item 7.g. – Physics Department Research Project Equipment
Agenda Item 7.g. is approval of the purchase of equipment for a Physics Department research grant. Dr. Williams asked Ms. Kathy Buettner, Executive Director of State and Federal Relations, to give the Committee an overview of this request.

It is my privilege to stand before the Committee and be able to report to you on the exciting news this Board item represents for you this morning, Ms. Buettner said. As you know, NIU has a long collaboration with Fermilab. With our Ph.D. in Physics, which was added about a year and a half ago, we have been able to considerably step up that collaboration. In addition, NIU has just received full membership in the prestigious University Research Association, a group of about 89 universities across the country that participate in management of federal research laboratories. Also, about two years ago, the Board directed my office to begin to step up our federal relations, and, in conjunction with the physics program and others, she said, we have done just that. This morning I would like to report that NIU has received the largest federal research grant in its history to date, courtesy of Speaker Hastert, for the development of NICADD (Northern Illinois Center for Accelerator Detector and Design). Speaker Hastert could not be with us this morning, Ms. Buettner said, but I would like to introduce Brian Harbin, Field Director for Speaker Hastert, who is bringing a message directly from the Speaker to the Board.

Mr. Harbin read the following statement from Speaker Hastert:

Unfortunately, my schedule with the U.S. House of Representatives does not allow me to be here with you today, but I am very pleased to announce $4.2 million for Northern Illinois University and their Center for Accelerator and Detector Development. Thanks to the leadership of NIU's President, John Peters, and the university's emphasis on high energy accelerator physics and its history of collaboration with the Fermi National Accelerator Laboratory, Northern Illinois University is an ideal recipient. I have been and remain a strong champion of high energy physics. Illinois is blessed with the nation's high energy physics laboratory in Fermilab, and it is imperative that we in Illinois work to assure Fermilab's preeminence. Soon, Fermilab's Tevatron Collider will no longer be the world's most powerful accelerator, so it is imperative that research and development on the future of high energy physics and the training of future accelerator scientists begin now. NICADD is perfectly suited to fill this important role. NICADD will provide a Center for the Theoretical and Experimental Study of Accelerator Instrumentation and Subatomic Particle Production and Detection. Staff and visiting physicists, hopefully sharing joint appointments with Fermilab, will work closely with experimentalists, theorists and staff already at Northern Illinois University and Fermilab on research problems related to the next generation of accelerators and detectors. With up to date communications equipment, the NICADD will also provide a venue for communitywide discussions on the next accelerator. In partnership with Fermilab, the center will help conduct the research and development necessary to develop options for future high energy physics facilities.

Sincerely, J. Dennis Hastert

Before I ask Dr. Blazey, Dr. Hedin and Dr. Holmes, from Fermilab, to summarize what NICADD is going to do for Northern, Fermilab and Illinois as a whole, Ms. Buetter said, I just wanted to point out something to the Board that I learned through my interactions with the Physics Department for the last two years on this issue. Protecting the preeminence of Fermilab is a very important priority that we all share, but it is becoming an issue that is pervading policy debate in Springfield and, now, in the Illinois Congressional delegation. There is a new accelerator that is being built and will open in 2002 or 2003 in Switzerland. What we are doing here at NICADD and what some of the research now is gearing up for in the state of Illinois and in Washington is to try to protect the preeminence of Fermilab and bring back the next generation of accelerator science to Fermi, and there will be competition for that. The strongest competition at this point is Palo Alto, California, Stanford University and Fermi. So the state has made an investment, which we are part of as an institution. NIU Physics Professor Dr. David Hedin is leading that effort. NIU has received a $2.5 million grant from the state for five years as part of a multiuniversity research consortium. Northern's share of that is about $450,000 a year for that five-year commitment to participate in designing and researching these new technologies and designs. There will be codirectors from NIU and from Fermilab, who will run NICADD as a joint project. Ms. Buettner asked Dr. Blazey to explain NICADD and its importance in more detail to the Board and to the audience.

Dr. Blazey also expressed his thanks to Speaker Hastert. What I want to do is give a quick overview of the rationale and the structure and some of the projects that we intend with NICADD, he said. This represents an opportunity for NIU to participate in advanced research and particle acceleration and detection. It is especially timely now because the physics community is at this moment, and particularly this summer in a conference at Snowmass, considering the next generation of devices that will be built to restore the preeminence of the American scientific community and the search for fundamental forces and the origins of mass. In addition, I think it is worth noting that these new resources and the available expertise are an opportunity for the educational system of NIU and northern Illinois in general, and the economy and the nation as well.

We plan to hire about 15 researchers at NICADD, Dr. Blazey said, and seven are already on board. The projects they will be working on are the electron linear accelerator, muon collider research, simulation, particle detectors, and operation and design for experiments. NICADD is very generously supported, and we are thankful to receive a large grant from Congress. We are receiving about $.45 million a year from the state of Illinois through the HECA and Technology Challenge Grant programs. In addition, we have a longstanding $300,000 per year grant from the National Science Foundation that will be somewhat subsumed inside NICADD and used to support NICADD's activities. The university is also helping out in a big way by supplying a three-lab wing in Faraday West. It puts quite a squeeze on the labs, he said, and I thank the department for helping us out with that. Plus, the Graduate School is providing contingency funds so we can begin these projects and begin acquiring equipment. It is also a strong and very enthusiastic collaboration with Fermilab National Accelerator Laboratory. President Peters and the director of the lab signed a Memorandum of Understanding with Fermilab on January 17. NICADD is codirected by Dr. Holmes of Fermilab and myself.

Another thing that is most important and I hope becomes a hallmark at the center, Dr. Blazey said, we want to build up a new accelerator physics program Ph.D. There are something like 10,000 accelerators in this country that are used by medicine and laboratories, yet we only train a few accelerator physicists in this country every year. There is a great need for this program, especially with the lab just down the road. We will soon be starting a tenure-track search, and we already have a few students enrolled in the program. NICADD is an outreach program. We are working with the Public Opinion Laboratory taking a survey to find out what citizens in northern Illinois think about accelerators and Fermilab's future. Results are expected from that later this summer.

We have a lot planned for NICADD, Dr. Blazey continued, so let me spend a few minutes talking about the program. The first thing we are going to be involved in is electron accelerator techniques. This is a cutting edge research program. We will be using the Fermilab Photo Injector, which uses lasers shining on a cathode that is irradiated with radio frequency sources to generate the most intense electron beams that have ever been seen. This is going to be an international facility. Steve and I have started organizing a committee of scholars for a possible role to help us operate this facility in the most effective way. We are collaborating on the design and manufacture of the next linear collider structures, which are made of a million copper discs. These copper discs have micron tolerances that look like a mirror, and have to be finely machined. Nobody knows how to make a million of them. We are beginning now to acquire equipment to start producing these discs and see exactly what needs to be done. We are also involved in muon collider research; Dr. David Hedin is leading that research effort. A member of the Illinois Consortium of Accelerator Research, we are responsible for a major component of the device that collects and accelerates muons. Just briefly, Dr. Blazey explained, if you have a proton source, it hits a target, the target makes pions, which decay, and you need to collect those muons. That is what NIU has chosen to get involved with. The linear accelerator and the muon collider are two of the primary options for the next machine, and that is why we are getting heavily involved. We are going to be involved in particle detection construction where we would like to start acquiring an extrusion line, a set of machinery that allows you to pull or draw plastic scintillator out, because we could use this scintillator to detect charged particles. It is cheap to make if you can do it, and it provides a very economical way to build these huge detectors that are required now for our experiments. So, we really need something, some way to make these detectors inexpensively. Finally, Dr. Blazey said, NICADD will be involved in the operation and design of these experiments for the next generation of collider or particle accelerators. We would like very much to move ahead now and hope you will approve this motion.

Dr. Blazey introduced Dr. Steve Holmes, Associate Director for Accelerators at Fermilab.

I am currently serving as the Associate Director for Accelerators at Fermi National Accelerator Laboratory, Dr. Holmes said, and will be serving as the codirector of NICADD. We at Fermilab operate the highest energy particle accelerator in the world, which is located in Batavia. We have been in that position since 1983, but that long story is coming to an end over the next five years or so. I am very happy to be here today to convey to you Fermilab's enthusiasm and excitement about the formation of the Northern Illinois Center for Accelerator and Detector Design. I think it is a great opportunity for Northern, he said, but it is also a great opportunity for us. If one looks around the world today at the forefront facilities used to support research in the physical sciences and the accelerator facilities, you will see that they are largely located at large national laboratories. Those laboratories have the responsibility not only for operating those facilities but for developing the underlying technologies that support them. This is not always the way it was. Particle accelerators were invented by university physicists in the 1920s and 1930s. Through about the 1960s, the development was largely driven by university scientists. As the scale has gotten larger, it has been harder to keep that up, but that is a development we would like to try to rectify. The universities have a certain environment that nurtures a different sort of creativity than what is nurtured at the laboratories. So there is a real opportunity here to form a partnership that serves everyone's interests. We were very happy to have President Peters at Fermilab visiting us on January 17 at which time we signed a Memorandum of Understanding between NIU and Fermilab. It outlined some specific areas of collaboration, which Professor Blazey has described. I just want to say, Dr. Holmes said, we are ready to start work today.

Ms. Buettner stated that NIU has committed $500,000 of its own funds to expedite the project and hire the seven physicists, and we are asking approval because of long lead times in the bidding process for the equipment.

The relationship and the bond between this university and our Representative, Dennis Hastert, is complete and strong, President Peters said, and I thank him. We are very pleased that our bond with Fermilab is very strong and will grow. Also, let me say that I am very proud of the Department of Physics, our Ph.D. program and these two researchers, in particular, who have had to put up with some of our politicking ways and explain the science. But I am very proud to be associated with you and the whole program, which is one of our many shining and outstanding programs.

Before we vote, Chair Sanchez said, I would add two things. One, unless the copper disc or extruder can somehow work into my golf clubs, I do not think I have any questions to ask about them because it is way above my head. Secondly, I want to personally compliment Dr. Blazey. As recently as a few weeks ago in Springfield he was asking a very cogent question of me and that is how to get other Hispanics interested in physics. These are the kinds of interfaces that I do not think the public is very aware of or familiar with, he said, but I think it shows the kind of sensitivity and interest of the wonderful faculty NIU is blessed with. President Peters added that this would not happen without the fine work of our Government Relations staff, in particular, Kathy Buettner.

Chair Sanchez asked for a motion to approve the Physics Department research project equipment request. Trustee Siegel so moved, seconded by Trustee Skoien. The motion was approved.

Agenda Item 7.h. – Division of Continuing Education Workshops
NIU works in conjunction with the Illinois Department of Children and Family Services to train IDCFS professional staff and contract personnel in new policies and procedures resulting from court decisions and legislative enactments. This is a passthrough item, Dr. Williams said, and the workshops are funded through external funds. Chair Sanchez asked for a motion to approve the Division of Continuing Education workshops. Trustee Vella so moved, seconded by Trustee Siegel. The motion was approved.

Agenda Item 7.i. – Document Services Copier and Controller System Contract Renewal
Dr. Williams stated that Document Services provides leased copying equipment located in the libraries and other public access areas of the university that operate with control mechanisms. The university requests approval of expenditure authority for an open order for FY02 with Gordon Flesch Co. of Geneva, Illinois. Chair Sanchez asked for a motion to approve the Document Services copier and controller system contract renewal. Trustee Siegel so moved, seconded by Trustee Vella. The motion was approved.

Agenda Item. 7.j. - International Programs Division Contract Renewals
Northern Illinois University’s International Programs Division is given an annual authorization for expenditures for foreign study programs. All expenditures are made from payments received from the approximately 800 students expected to enroll in these programs. This is also a passthrough brought to the Board annually, Dr. Williams said. Chair Sanchez asked for a motion to approve the International Programs Division contract renewals. Trustee Boey so moved, seconded by Trustee Siegel. The motion was approved.

Agenda Item 7.k. – Academic Computing Services Annual Upgrade of Computer Laboratories
This item requests approval of the Academic Computing Services upgrade of our computer laboratories, Dr. Williams said. These have worked out to be very successful on the campus. Students have enjoyed having the convenience and the opportunity to use these laboratories. Chair Sanchez asked for a motion to approve the Academic Computing Services annual upgrade of computer laboratories. Trustee Vella so moved, seconded by Trustee Boey. The motion was approved.

Agenda Item 7.l. – Chicago Exhibition Center Lease
This is a renewal of the Chicago art exhibition center property that NIU has leased for several years, Dr. Williams said. The current lease expires on July 31, 2001, and the university has negotiated to renew that lease for five years effective August 1. It provides NIU presence in Chicago in one of the key art districts. This might be one of the best-kept secrets, Chair Sanchez commented, because, until I saw this, I was not aware that we had that facility. President Peters remarked that the university has had a presence at this location for three or four years, but that NIU has had a presence in Chicago for 15 years. In the last three years, he said, we have had about 6,000 formal visits and about 6,000 student visits to the Chicago exhibition center. The Art faculty exhibit, and Art students exhibit. And you are correct, the President said, it is one of NIU's best-kept secrets, and we are going to do something about that. The Chair recognized Dr. Harold Kafer, Dean of the College of Visual and Performing Arts. Chair Sanchez asked for a motion to approve the Chicago Exhibition Center lease. Trustee Siegel so moved, seconded by Trustee Vella. The motion was approved.

Agenda Item 7.m. – North Forty Utility Tunnel Capital Project Approval
This request is to extend a tunnel that now exists just west of our Engineering facility, Dr. Williams said. By extending this tunnel, we are providing steam capability, not only for Barsema Hall, but also to service future development in the north forty. The university will fund this through existing capital funds. Chair Sanchez asked for a motion to approve the north forty utility tunnel capital project. Trustee Boey so moved, seconded by Trustee Siegel. The motion was approved.

Agenda Item 7.n – Stadium Turf Replacement Project
The resurfacing or replacement of the turf at our Huskie Stadium is in the university budget and is set at $1.1 million. I want to thank Mr. Albanese and our Athletic Director, Ms. Cary Groth, for their efforts in trying to cover the country to look at all possible options, Dr. Williams said. We feel that we have an alternative that will be significantly less than the budgeted $1.1 million. We provide funding for this through our replacement reserves so that the dollars are annually deposited into the reserve to build up a fund necessary to cover the replacement costs when it is time to replace the turf. I am pleased to say to this Committee that the dollars necessary for this project are already in our reserves. We, therefore, ask your approval of the new turf. Mr. Albanese said that the new turf is going to make a big improvement in playability, reducing injuries. Also, a six degree crown will be removed, which should also reduce injuries and make it a state-of-the-art playing surface that is going to be used for a more than just football events. Chair Sanchez asked for a motion to approve the stadium turf replacement project. Trustee Boey so moved, seconded by Trustee Vella. The motion was approved.

Agenda Item. 7.o. – Authorization to Investigate Debt Refinancing
Everyone is aware that interest rates have been falling, Dr. Williams said. Whenever that climate occurs, it is prudent for an institution of our size, with the type of debt financing that we have outstanding, to take the time to review and evaluate, to see if there is an opportunity to refinance and save some dollars. This authorization allows the university to hire the necessary expertise to advise us on this matter. He said that the matter will be brought back to the Committee and to the Board for any action deemed appropriate after review. 

Chair Sanchez commented that today, assuming, as I think most of the financial community does, that there may well be additional decreases in the interest rate, many public structures, cities, countries, etc., are refinancing to take advantage of this lower interest rate. So, I think the implementation of this investigation makes a lot of sense. Chair Sanchez asked for a motion to approve the authorization to investigate debt refinancing. Trustee Skoien so moved, seconded by Trustee Siegel. The motion was approved.
 

Chair Sanchez announced that the formal opening of the Zeke Giorgi Legal Clinic, located at 319 West State Street in Rockford, would be held on Friday, March 9, at 3 p.m. For those of you that are interested, he said, we look forward to seeing you there.

The Chair also invited everyone to attend the presentation of the Michael J. O'Malley Award for Promoting Access to Higher Education to Mayor George Pradel of Naperville, who was in the audience, at the Legislation, Audit and External Affairs Committee at 12:45 p.m. The award was created and named for the late Mayor of Hoffman Estates to honor his lifelong dedication to bringing higher education to the citizens of his community. You are all invited to attend the presentation to show our support and gratitude to Mayor Pradel, he said.

Chair Sanchez then asked for a motion to adjourn. Trustee Siegel so moved, seconded by Trustee Boey. The meeting was adjourned at 11:45 a.m.

Respectfully submitted,

Sharon M. Mimms
Recording Secretary