Minutes of the

NIU Board of Trustees

FINANCE, FACILITIES AND OPERATIONS

COMMITTEE MEETING

May 25, 2006

The meeting was called to order by Chair Manuel Sanchez at 10:03 a.m. in the Board of Trustees Room, 315 Altgeld Hall.  Recording Secretary Sharon Mimms conducted a roll call of Trustees.  Members present were Trustees Cherilyn Murer, Myron Siegel and Chair Sanchez.  Not present were Trustees Robert Boey and George Moser.  Also present were Committee Liaison Eddie Williams (via teleconference), President John Peters and Board Parliamentarian Kenneth Davidson.  With a quorum present, the meeting proceeded.

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

Welcome to the March 2006 meeting of the Finance, Facilities and Operations Committee, Chair Sanchez said.  Today’s agenda includes items of particular importance to the students as well as to the university community.  Those items include FY08 Budget Guidelines, FY07 Internal Operating Budget Interim Approval and FY07 Tuition Recommendations.  Also coming before the committee for action are requests for the FY07 Materials Management Commodities Purchase and a Designated Depository Account as well as for the temporary easement in the far West Campus road extension as well as the West Campus site improvement and steam tunnel extensions.  For NIU Outreach, we have radiation oncology physician services for NIU’s Institute for Neutron Therapy, and two leases to consider for NIU Outreach Services, an extension on the lease for the School of Art and an agreement for ITS computer equipment maintenance.  The committee will also receive periodic and annual reports including Report of Transactions in Excess of $100,000, report on investments, reports on active capital projects with budgets over $100,000, Fiscal Years 2006 and 2007 Appropriated Budget Update, Student System Replacement Project Update, and a presentation on the status of the Academic and Athletic Performance Center Project.

Chair Sanchez asked for a motion to close the public meeting to conduct an executive session to discuss the following subjects authorized by the Illinois Open Meetings Act:  personnel matters as generally described under §2(c)(1) and (3) of the Open Meetings Act and property matters as generally described under §2(c)(5) and (6) of the Open Meetings Act.  Trustee Murer so moved, seconded by Trustee Siegel.  A roll call vote of the Trustees to recess to Executive Session was unanimous.

Chair Sanchez reconvened the public meeting of the Finance, Facilities and Operations Committee at approximately 10:57 a.m.

Trustee Murer made a motion to approve the agenda.  It was seconded by Trustee Siegel.  The motion was approved.

It was moved by Trustee Siegel and seconded by Trustee Murer to approve the minutes of March 1, 2006.  The motion was approved.

The Chair recognized Paul Stoddard as a representative to the Finance, Facilities and Operations Committee from the University Advisory Committee.

The Chair asked Board Parliamentarian Kenneth Davidson if any members of the public had registered a written request to address the Board in accordance with state law and the Board of Trustees Bylaws.  Mr. Davidson noted that no timely requests for public comment had been received.

Agenda Item 8.a. – Fiscal Year 2008 Budget Guidelines

In Dr. Williams’ absence, Bob Albanese, Associate Vice President of Finance and Facilities Operations, stated that the Budget Guidelines contains the university’s recommendations for salaries, price and program needs for the upcoming fiscal year.  It is prepared annually for the IBHE.  The FY08 Budget Guidelines are consistent with what has been submitted for the past few years.

Chair Sanchez asked for a motion to approve the Fiscal Year 2008 Budget Guidelines.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.b. – Fiscal Year 2007 Internal Operating Budget Interim Approval

Vice President Kathy Buettner first gave a quick summary of where the university stood in the appropriations process for FY07.  The summary before you gives a brief review of the FY07 General Assembly’s final action on each university budget.  Northern’s final distribution was a 1.2 percent increase.  The university received an additional $700,000 for the CHANCE program again this year.  Accordingly, following IBHE procedures, Dr. Williams and his staff have prepared this preliminary internal budget item that reflects the FY07 appropriation and the nonappropriated funds.

So that the university has the authority to expend dollars as of July 1, Dr. Williams said, we need interim authority from the Board.  The budget includes the additional 1.2 percent that we received from the state.  Our state appropriations, our estimated income fund and other revenues are given on page 15 in the Preliminary Fiscal 2007 column.  A full detailed budget will be presented in September for Board approval.

Chair Sanchez asked Vice President Buettner, where NIU stands in relation to the other higher education institutions in this state in view of the percentage of the budget allotted to us.  She stated that the news is mixed on that question.  We are making progress towards that endeavor, she said.  We have a commitment from the IBHE Executive Director once session is over to begin looking at the overall operations system that the IBHE uses to distribute dollars every year.  On the GRF side, we were at the low end.  Illinois State and Northern had a 1.2 percent overall GR increase in their bases.  However, Chicago State and Governors State were at about 6.5 percent because of legislative earmarks that were added in on the operations side, which may or may not be extended the following year.  These are not capital projects; these are operational dollars, and every year there is going to be a fight to try to get them rolled over.  Southern received a 2.5 percent base budget increase, again, because of specific proposals that were requested and approved by the Governor.  Some of the more capital related issues were transferred to the General Revenue lines on the operation and maintenance side at Southern and at Governors State in an effort to address those particular issues.  But the good news is that the Bureau of the Budget was receptive and IBHE was receptive.  President Peters, the Trustees, Ken Zehnder and I worked very hard this year to draw their attention to the issues that Northern is experiencing.  There is a newfound interest in trying to work with us in 2007, 2008 and 2009 as, hopefully, state revenues turn around, which will allow them to put additional dollars into higher education.

I am pleased to hear that, Chair Sanchez said.  And I welcome all of the Trustees continuing to work with our staff and our leadership here to have them realize in Springfield that the time is now to recognize NIU here in the northern part of the state as not a stepchild any more but an institution that should be treated equitably.  I think for too long, we have not been, and we need to have that resonate down in Springfield.

Chair Sanchez asked for a motion to approve the FY07 Internal Operating Budget Interim Approval request.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.c. – Fiscal Year 2007 Tuition Recommendations

A seven percent tuition increase was recommended for continuing students.  The tuition of those students who are a part of the Truth-in-Tuition program, Dr. Williams explained, will not be affected by any of these recommendations.  By 2007, three classes – the freshmen, sophomores and juniors – will be covered through the Truth‑in‑Tuition program.  For the graduate and law schools, a seven percent increase is also recommended.  Under the Truth‑in‑Tuition program, for new students which includes both freshmen and transfers, a 10 percent increase is recommended.

Chair Sanchez asked for a motion to approve the Fiscal Year 2007 Tuition Recommendations.  Trustee Siegel so moved, seconded by Trustee Murer.  The motion was approved.

Agenda Item 8.d. – Fiscal Year 2007 NIU Foundation Professional Services Contract

This is the normal contractual agreement the university has with the Foundation for fundraising services, Dr. Williams said.  This contract reflects a three percent increase over the prior year’s contract.  It covers personnel and other forms of increases that might be associated with Foundation professional services.  Chair Sanchez asked for a motion to approve the Fiscal Year 2007 NIU Foundation Professional Services Contract.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.e. – Fiscal Year 2007 Materials Management Commodities Purchase

At the beginning of each new fiscal year, Dr. Williams said, we have an open order that provides specific materials and commodities for the university through various vendors through our Department of Materials Management.  Chair Sanchez asked for a motion to approve the Fiscal Year 2007 Materials Management Commodities Purchase.  Trustee Siegel so moved, seconded by Trustee Murer.  The motion was approved.

Agenda Item 8.f. – Designated Depository Account

According to Board of Trustees Regulations, Dr. Williams said, from time to time the university must request permission to deposit local funds in a financial institution.  Approval is requested to designate the American National Bank of DeKalb County as one of the depositories for the university.  Chair Sanchez asked for a motion to approve the request for the American National Bank of DeKalb County to be a designated depository for the university.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.g. – Far West Campus Roadway Extension – DeKalb Sanitary District Easement

The Far West Campus Roadway Extension is one of the projects associated with the development of the west campus, Dr. Williams stated.  We are presently building roadways in that area through federal funds, and a major north‑south roadway just west of the convocation center is being completed.  Dr. Williams pointed out a map which showed the west campus road and indicated the specific easement needed by the sanitary district.  Legal counsel has reviewed this easement request and found it to be consistent with university needs.  Chair Sanchez asked for a motion to approve the Far West Campus Roadway Extension-DeKalb Sanitary District Easement.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.h. – West Campus Site Improvement and Steam Tunnel Extensions

To further develop our West Campus, Dr. Williams said, we especially need to improve the utilities and our steam tunnel system.  One of the facilities that will take advantage of these improvements will be the new Academic and Athletic Performance Center.  The item describes the work that would be associated with this project.  Project approval was requested not to exceed $1.6 million.  Existing capital permanent improvement monies and local funds will be utilized to fund this project.  Chair Sanchez asked for a motion to approve the West Campus site improvement and steam tunnel extensions.  Trustee Siegel so moved, seconded by Trustee Murer.  The motion was approved.

Agenda Item 8.i. – Temporary Construction Easement

A temporary construction easement is needed for the development of the Academic and Athletic Performance Center.  Through the generosity of our donors and alumni base, Dr. Williams said, we are receiving funds to finance this project.  The Foundation will serve as developer of the project, and they will be responsible for the construction and so forth.  This item provides a construction easement to the Foundation in order for them to build this much‑needed facility.  And I would like to add that I appreciate the assistance and leadership we have received from Mallory Simpson, president of the NIU Foundation, in making this whole project a success.  Chair Sanchez asked for a motion to approve the temporary construction easement needed for the Academic and Athletic Performance Center.  Trustee Siegel so moved, seconded by Trustee Murer.  The motion was approved.

Agenda Item 8.j. – NIU Outreach – NIU Institute for Neutron Therapy-Radiation Oncology Physician Services

This particular item is basically a pass‑through of a federal grant to extend the services of our radiation oncology physicians associated with the NIU Institute for Neutron Therapy.  Chair Sanchez asked for a motion to approve the contract extension of the NIU Institute for Neutron Therapy Radiation Oncology Physician Services.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.k. – NIU Outreach Services Lease Agreement

This is the renewal of a lease agreement for space that Outreach Services now occupies at 155 North Third Street.  This is a five‑year agreement, Dr. Williams said, and the lease will be supported by funds generated through the Outreach program.  Chair Sanchez asked for a motion to approve the Outreach Services Lease Agreement renewal.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

President Peters stated that this was also NIU’s commitment to maintain a presence on Main Street in DeKalb along with our other important facility there, the Bill Monat Building.  Dr. Peters then recognized former President Monat, who was in attendance.

Agenda Item 8.l. – School of Art Lease Extension

This request is for a five‑year extension of an existing lease agreement for space at 1600 Pleasant Street for our School of Art, Dr. Williams said.  Chair Sanchez asked for a motion to approve the School of Art Lease Extension.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 8.m. – Information Technology Services Computer Equipment Maintenance

This is a request for renewal of an existing service contract with Cisco Systems for maintenance of Information Technology Services computer equipment, Dr. Williams said.  Chair Sanchez asked for a motion to approve the Information Technology Services computer equipment maintenance contract extension.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.

Agenda Item 9.a. – Quarterly Summary Report of Transactions in Excess of $100,000

Agenda Item 9.b. – Periodic Report on Investments

Agenda Item 9.c. – Semi‑Annual Progress Report of Active Capital Projects with a Budget over $100,000

Agenda Item 9.d. – Fiscal Year 2006/2007 Appropriated Budget Update

Agenda Item 9.e. – Student System Replacement Project Update

There were no questions from the Trustees regarding the above items.

Agenda Item 9.f. – Academic and Athletic Performance Center Project Update

Mr. Mark Hopkins, with HKM Architects and Planners, gave a presentation on the plan for the Academic and Athletic Performance Center, which included an update of the design for the north end of the end zone.  Stadium Drive has been partially closed for pedestrians only.  This gives us the opportunity to access and create new parking lots on the east side, a bus turnaround and drop‑off for the facility, Mr. Hopkins said.  And the west side, with access from Stadium Drive North, connects through to the parking lot at the west side of the existing west grandstand.  Pedestrian access will be provided at what is now a gravel service drive.  That will be improved all the way out to Stadium Drive East and connect near the Alumni Center.

The primary entrance to the facility is on the north side by a sidewalk that connects these two parking lots.  A very large turf area is reserved north of the building for future phases of the structure.  There are service and loading facilities on the west side of the structure that lead into the equipment and training facility where trucks can load for game day.  Also, there are entrances to the building on the inside corners that allow athletes and staff direct access to the field as well as other exits and entrances at various points in the building that get student athletes out to the various fields and areas that surround the site.  There is an eight foot fence between this new building and the existing grandstands on either side to provide continuing security for the field.  Gates allow tailgaters and emergency vehicles access to the site.  Finally, groves of trees will be planted to soften the transition between the existing grandstands and the new building.  The new building has a series of components.  There are one‑story wings on the east and west.  The lobby and a tiered classroom on the north side are all expressed outside the building.

Our plan is to extend the north end of the field into the semicircular form and edge it in a red artificial turf.  Four curved planters would transition to paved areas.  There are lower plazas for gatherings of various types.  The red keystone shapes shown on the plan are artificial turf paths that access between the planter areas.  There are 12 brick planters that help form the semicircular north end of the stadium, one for each flag of the teams in the conference.  An elevated perspective gave a view of the skybox.  There are piers that support outdoor terraces for gatherings, receptions and other events.  From those terraces, steps lead down into multipurpose plaza areas behind the planters that can be used for various functions.  At the center of the building is the player tunnel, and on game day, the team would come charging out firing around either side of a two times life‑sized huskie statue on a plinth.  All of this is happening on the center line of the field and the center line of the building.

It is all about the image of NIU and all of the events that occur in this building.  So we are very concerned about the appearance of the building at night because it will be framed at the end of the lit field.  Uplighting will be used to accentuate the flags and the piers and the Huskie statue.  From the main entrance and through the lobby will be a panoramic view of the field behind.  Past the lobby, there is an area of display cases on either side.

Because academics is the primary focus of the building, the academic suite is the first suite you will come to.  There are two classrooms with a movable partition between them so they can be used with various furnishing configurations.  They are state of the art with AV and lighting and sound capabilities.  The area also includes a computer classroom and various tutoring classrooms.  Staff offices and meeting rooms are laid out on a concourse which has large glass walls for openness and visual control between the staff and study areas.

Directly adjacent to the west one‑story wing, past the central lobby, is the sports locker room with its associated coaches’ locker rooms and shower facilities, training tables and training pools, a whirlpool, an x‑ray room, medical office and staff offices to support this 17‑sport room.  The largest area on the first floor is the strength and conditioning center.  At the southern end, a window wall looks out on the stadium and a 40‑yard sprint track.

At the top of the stairs on the second floor, is a two and a half story glassed‑in area that overlooks the stadium.

In answer to questions from a Trustee, Mr. Hopkins stated that the academic rooms in the facility are smart classrooms.  In addition, there is a second layer of AV capability for video review in each of the coach’s offices and meeting rooms.  In regard to lockers for other sports, at the intersection of the two‑corridor, three‑corridor system there are main locker rooms just for people from those other sports that come to use the training, strengthening, conditioning or academic areas in the building.  Women’s sports as well as men’s sports are accommodated.

One of the beauties of this project, President Peters said, is it solves more than one problem.  It opens up current space utilized by the football team in the stadium for other sports so that we will finally have more room for things like baseball and wrestling.  It is really a good plan because all 469 student athletes have access and will be availing themselves of the academic space and the classrooms, so that the facility meets both their academic and various athletic needs.

The next meeting of the Finance, Facilities and Operations Committee is scheduled for Thursday, September 7, at 10:00 a.m. in the Board of Trustees Room, Altgeld Hall 315.

There being no Other Matters, Chair Sanchez asked for a motion to adjourn.  Trustee Murer so moved, seconded by Trustee Siegel.  The motion was approved.  The meeting was adjourned at approximately 11:39 a.m.

Respectfully submitted,

Sharon M. Mimms

Recording Secretary