09/03/1976

UCCSN Board of Regents' Meeting Minutes
September 3-4, 1976








09-03-1976

Pages 22-42

BOARD OF REGENTS

UNIVERSITY OF NEVADA SYSTEM

September 3, 1976



The Board of Regents met on the above date in the Teacher Educa-

tion building, University of Nevada, Las Vegas.



Members present: Fred M. Anderson, M. D.

Mr. James L. Buchanan, II

Mr. John A. Buchanan

Mrs. Lilly Fong

Louis E. Lombardi, M. D.

Miss Brenda D. Mason

Mr. John Tom Ross

Miss Helen R. Thompson



Members absent: Mrs. Molly F. Knudtsen



Others present: Chancellor Neil D. Humphrey

President Donald H. Baepler, UNLV

President Charles R. Donnelly, CCD

President Max Milam, UNR

President Lloyd P. Smith, DRI

Mr. Larry Lessly, General Counsel

Mr. Richard Belaustegui, Unit Senate

Dr. Paul Burns, UNLV Senate

Dr. James Richardson, UNR Senate

Mr. Paul Swartz, CCD Senates

Mr. Joseph Warburton, DRI Senate

Mr. Dan Russell, CSUN

Mr. James Stone, ASUN



The meeting was called to order by Chairman Buchanan at 2:00 P.M.



1. Approval of Minutes



The minutes of the meeting of July 23, 1976 were submitted

for approval.



Mrs. Fong moved approval. Motion seconded by Miss Mason,

carried without dissent.



Upon motion by Mrs. Fong, seconded by Mr. Ross, the Supplemental

Action and Information Agendas were accepted.



2. Optional Retirement Plan for Faculty



Chancellor Humphrey recalled that in 1969 the University,

with the full consent and cooperation of the faculty, re-

quested the Legislature to allow faculty the option to join

either the Nevada Public Employees Retirement System (PERS)

or another retirement program selected by the Board of

Regents. This optional program was to be the Teachers

Insurance and Annuity Association of America - College

Retirement and Equities Fund (TIAA-CREF). The Legislature,

after much consideration and extensive lobbying by the

University, Board of Regents, Administration and faculty,

enacted the legislation. It provided that all faculty em-

ployed after July 1, 1969 would choose which system they

wished and that faculty employed before July 1, 1969 would

have until December 9, 1969 to decide whether or not they

wished to discontinue membership in PERS and join TIAA-CREF.

The law provided that if an existing faculty member chose to

join TIAA-CREF, the amount credited to his account with PERS

would be withdrawn and either paid to him or transferred to

TIAA-CREF. By law, the contribution paid by the University

to PERS as a matching amount was not credited to his account

and remained in the PERS fund. This was true then, and now,

for persons withdrawing from PERS when leaving the Univer-

sity or other covered employment. The University had orig-

inally sought to have the University's contribution to PERS

returned but this was one of the compromises which had to be

agreed to in order to secure passage of the legislation.



He continued by recalling that in 1975 the PERS Board gave

consideration to seeking legislation which would do away

with the optional plan for University faculty and provide

that all new faculty would have to go to TIAA-CREF or all

would have to go to PERS. As an inducement to agree to

this, it was proposed that existing faculty (both those

employed before July 1, 1969 and those employed after that

date) would once again be given an opportunity to select a

retirement plan. The University opposed doing away with the

optional plan and the PERS Board dropped the matter.



Chancellor Humphrey then reported that the UNLV Senate has

recently adopted a motion "... to recommend that the Board

of Regents review the procedure which occurred during the

transfer of retirement to TIAA-CREF in 1969; that they de-

termine whether or not the information given those who had

a choice to make was clear in that the State's contribution

would not be transferred with the employee's contribution;

and that the option to remain with or transfer retirement

plans again be made available."



Dr. Humphrey stated that in 1969 each faculty member wishing

to withdraw from PERS to join TIAA-CREF was counseled by a

Division representative. Each faculty member withdrawing

received either a check from PERS or a memorandum of credit

to TIAA-CREF. He pointed out that seven years have now

passed since those individual decisions were made. He also

noted that if this matter is pursued, it is reasonable to

assume that the PERS Board will again seek to discontinue

the option for UNS Faculty. He recommended that no action

be taken at this time and that the various Senates be re-

quested to make recommendations for the October meeting.



Dr. Paul Burns, UNLV Senate Chairman, reviewed the action by

that Senate, noting that the important question which they

are asking the Regents to consider is whether or not it was

made clear to faculty choosing to transfer that the funds

provided by the State would not be transferred to TIAA-CREF.



Mr. Joseph Warburton, DRI Senate Chairman, urged that the

Senates be allowed to look at this and come back to the

October meeting.



Mr. I. R. Ashleman, Counsel for the UNLV Chapter of NSP,

distributed a letter to the Board (on file in the Chancel-

lor's Office), in which he requested that he and representa-

tives of NSP be allowed to participate with a subcommittee

of the Board of Regents assigned to discover the extent of

this inequity and draft proposals for a possible legislative

solution.



Chancellor Humphrey again recommended that no action be

taken by the Board except to ask the Division Senates to

review this request by the UNLV Senate and to develop rec-

ommendations for consideration by the Board at the October

meeting. The Board agreed, by consensus, to take no further

action until the October meeting.



3. Report of Gifts and Grants



Acceptance of the gifts and grants as reported by the Di-

vision Presidents was recommended. (Report identified as

Ref. 2 and filed with permanent minutes.)



In addition, President Milam reported that the trustees of

the Houghton Foundation of Reno have offered a gift of

$25,000 to the University of Nevada System "for purpose of

establishing a scholarship endowment for the UNR Medical

School. The income derived is intended to be employed to

provide one or more annual scholarships to students who are

graduates of a Nevada High School. Academic potential is

suggested as a primary basis for award, with financial need

to be determinative should more than one candidate indicate

substantially equal potential."



President Milam and Chancellor Humphrey recommended accept-

ance of this offer by the Houghton Foundation and the con-

ditions as set forth by its trustees.



Miss Thompson moved acceptance of the gifts and grants in

Ref. 2 and of the offer by the Houghton Foundation. Motion

seconded by Miss Mason, carried without dissent.



4. Reports of Investment Advisory Committee



The minutes of the Investment Advisory Committee meeting of

July 23, 1976 were distributed with the agenda (identified

as Ref. 3A and filed with permanent minutes). In addition

the minutes of a special meeting of the Investment Advisory

Committee, held on August 13, 1976 to consider retention of

an investment consultant, were also included with the agenda

(identified as Ref. 3B and filed with permanent minutes).



Chancellor Humphrey recommended that the actions of the

Committee be confirmed, including the allocation of $4,125

from the Board of Regents Special Projects Fund to provide

one-half of the consulting fee (the other half to be gener-

ated by brokerage commissions).



Dr. Lombardi moved approval. Motion seconded by Mr. John

Buchanan, carried without dissent.



5. Approval of Fund Transfers, UNLV



President Baepler requested approval of the following trans-

fers of funds:



From Contingency Reserve, State Appropriated Accounts:



#77-002 $24,981 to Theatre Arts Professional Salary cate-

gory to provide funds for transfer of two classi-

fied positions to professional status.



#77-004 $15,590 to Controller's Office Professional Salary

category to provide funds for transfer of a classi-

fied position to professional status.



#77-005 $18,027 to Special Education to provide for a new

professional position.



#77-007 $12,144 to Library to provide for a new profession-

al position.



#77-013 $10,000 to Audio Visual Professional Salary cate-

gory to provide funds for transfer of a classified

position to professional status.



#77-015 $34,714 to establish an account for an Affirmative

Action Office ($2,500 to Operating, $21,575 to

Professional Salary category, and $10,639 to Clas-

sified Salary category).



From Ending Fund Balance, Estimative Budget Account:



#77-011 $6,633 to Physical Education to establish a full-

time classified position to assist in Women's

Locker Room.



From Contingency Reserve, Statewide Services Account:



#77-018 $7,344 to UNLV Museum to provide funds for transfer

of a classified position to professional status.



Chancellor Humphrey recommended approval.



Miss Mason moved approval. Motion seconded by Mr. John

Buchanan, carried without dissent.



6. Rebel Athletic Foundation



Mr. John Buchanan recalled that the Board had considered

at the July 23, 1976 meeting, and denied, a request by the

Rebel Athletic Foundation for lease of certain University-

owned land on which to construct an apartment house for

rent to student athletes.



Mr. Buchanan stated that he wished to ask for reconsidera-

tion of the previous action and presented the following

statement:



I am bringing before the Board an item which I feel

is worthy of reconsideration. This item deals with

the proposal brought to the Board at the July meet-

ing at which the Rebel Athletic Foundation was re-

questing the leasing of a 5-acre parcel from UNLV.

At the time I cast the negative vote I did not feel

the housing was in the best interest of the University.

To say the least, I felt the entire project was pre-

sented leaving too many "loose ends" resulting in what

I considered would amount to an unsatisfactory project.

However, in the last month the Rebel Athletic Founda-

tion has worked hard to present a clearer concept of

the project and has introduced additional information

which is influential in my move to reconsider.



The crux of the argument against this project at the

last meeting seemingly centered against the Univer-

sity's possibly semi-administering a facility similar

to the one we have at Tonopah Hall, and secondly, that

of selective housing for student athletes. The addi-

tional information supplied to me indicates that the

possibility of administering the facility has now been

considered more closely by the RAF. Their policy pur-

ports to be similar to that of similar housing projects

of this kind. Secondly, selective housing for a par-

ticular University group no longer appears to be a

problem as the RAF is securing 200 units off Campus

on a site close to the University. Thus, there should

be adequate housing for a large variety of students

and faculty.



Because of this and the seemingly generous offer of the

Rebel Athletic Foundation, I am proposing that the Board

reconsider this as an action item for the October meet-

ing in Reno. In the meantime, I am requesting that Uni-

versity Counsel look into the proposed housing concept

and advise the Board as to its ramifications. I am also

requesting that the University architect examine the

facility's plans with the contracted architect, while

additional work is done, as to how the facility would

affect the flow of traffic on existing roads and possib-

ly affect present and proposed facilities. The 5-week

period until the next meeting should give not only the

staff a chance to look at this proposal, but should give

the Regents adequate time to ask further questions of

the Rebel Athletic Foundation.



Mr. John Buchanan moved to reconsider the action taken at

the July meeting. Motion seconded by Mr. Ross, carried

without dissent.



Mr. William Morris, President of the Rebel Athletic Founda-

tion, spoke concerning the revamping of the project since

its presentation at the July meeting, the Foundation's plans

to build an additional project on land purchased by the

Foundation and located near the Campus, and the financing

that has now been arranged with FHA. He requested tentative

approval of the site of five acres on Harmon Avenue adjacent

to the Rebel House Apartments, and approval of the concept

in principle, subject to further action by the Board at the

October meeting.



Dr. Lombardi moved approval of the concept in principle,

tentative approval of the proposed site, subject to further

legal and architectural review and subject to further action

by the Board at the October meeting. Motion seconded by Mr.

John Buchanan, carried without dissent.



7. Student Union Bookstore Remodeling, UNLV



President Baepler reported that the UNLV Student Union Board

has proposed to enlarge the existing bookstore by extending

the present facilities to encompass the TV Lounge and cen-

tral space in the existing Union building. The total cost

of the remodeling is anticipated to be not more than $35,000

with additional fixtures for display and sales to be bid

separately.



President Baepler endorsed a request by the Student Union

Board that James Mc Daniel be designated as the architect

for this work, and recommended approval by the Board of the

appointment of Mr. Mc Daniel, authorization of the remodel-

ing of the space as indicated, and authorization of the

acquisition of additional fixtures, subject to final ap-

proval of all costs. Chancellor Humphrey concurred.



Mrs. Fong moved approval. Motion seconded by Miss Mason,

carried without dissent.



8. Request for Interfund Loan, UNLV



President Baepler requested approval of a noninterest bear-

ing loan of $20,000 to Central Stores from the Capital Im-

provement Fee Fund to cover inventory expansion for 1976-77.

The loan is to be repaid from sales made from Central Stores

to other Departments. Chancellor Humphrey recommended

approval.



Dr. Lombardi moved approval. Motion seconded by Miss Mason,

carried without dissent.



9. Revenue Bond Legislation



President Baepler recalled that the 1975 Legislature had

authorized the issuance of $10 million in revenue bonds to

construct facilities on the UNLV Campus for lease to the

U. S. Environmental Protection Agency. Subsequent to the

enactment of that authorizing legislation, it was learned

that a legal opinion as to the tax exempt status of the

issue could not be secured due to recent Internal Revenue

Service rulings on similar issues. The matter was pursued

with IRS without success.



Dr. Baepler further reported that John R. Mc Bride, Acting

Director of EPA's Environment Monitoring and Support Labor-

atory in Las Vegas, has urged the University to proceed with

plans to construct this facility by requesting the 1977

Legislature to authorize the issuance of taxable, rather

than non-taxable, bonds.



President Baepler and Chancellor Humphrey recommended that

such authority be requested from the 1977 Legislature, with

the bonds to be repaid by leasing the facility to EPA for

20 years.



Mrs. Fong moved approval. Motion seconded by Miss Thompson,

carried without dissent.



10. Approval of Fund Transfers, UNR



President Milam requested approval of the following fund

transfers from the Contingency Reserve, State Appropriated

Accounts:



#026 $6,303 to Journalism to be used to employ a part-time

instructor for radio and TV courses.



#028 $700 to Allied Health, Medical Technology, to provide

wages money for work-study students for the labora-

tories.



#032 $2,452 to Foreign Languages and Literature to provide

funds for salary of a professional employee hired at

an amount larger than budgeted.



#042 $3,600 to Managerial Sciences to provide for a salary

of a part-time instructor of Business Law.



#043 $17,792 to Psychology to provide funds for partial

support of two faculty members whose Federal grants

are terminating during the current year.



#045 $17,860 to Medical School, to consolidate all printing

copying budgets for 1976-77. These items were previ-

ously allocated among the Departments. This procedure

is in response to a recommendation by the Medical

School Executive Committee.



#047 $14,529 to Biology to provide funds for a letter of

appointment for a part-time instructor and for the

appointment of three graduate assistants to staff

laboratories, thus releasing regular staff members to

meet other teaching obligations. Funds are available

from an unfilled professional position.



#049 $6,873 to Accounting and Information Systems to pro-

vide funds for professional appointments made at sal-

aries larger than budgeted, and to provide for letters

of appointment for the Fall and Spring semesters.



Chancellor Humphrey recommended approval.



Mr. Ross moved approval. Motion seconded by Mrs. Fong,

carried without dissent.



11. Addition to Renewable Natural Resources Facility, UNR



President Milam recommended that Ray Hellmann be designated

as the architect for the addition to the Renewable Natural

Resources Facility, that this project be constructed in

cooperation with the State Public Works Board, and the fol-

lowing project scope and budget be approved:



Funding

Fleischmann Foundation $ 600,000

Proceeds from sale of 4.28 acres

of Valley Road Farm 253,800

College of Agriculture funds from

facility accounts 146,200

$1,000,000



Budget (tentative)

Construction $ 826,500

Surveys & Soil Test 2,600

A/E Fees 83,000

Plan Check 3,000

Advertising 200

Contingency 30,000

Inspection 12,000

Testing 1,200

Furnishings 35,000

Sewer Fees 4,000

Miscellaneous 2,500

$1,000,000



Chancellor Humphrey recommended approval.



Mrs. Fong moved approval. Motion seconded by Mr. Ross,

carried without dissent.



12. Procedure for Recruitment of Academic Vice President, UNR



In response to a request by Mrs. Fong, Mr. Harry Wolf, UNR

Affirmative Action Officer, explained the procedure followed

in the recruitment of an Academic Vice President for UNR.

Mr. Wolf explained that the University is required by Fed-

eral regulation to establish hiring quotas and timetables

based on a utilization analysis of its internal work force

by each job category and compare that to the national appli-

cant pool in the same job category. This procedure was fol-

lowed to determine whether or not the University would be

permitted to recruit internally for the position of Academic

Vice President. The analysis showed that in the job cate-

gory (i. e., College and University Administrators) there

are 25% women at UNR as opposed to 19.6% national availabil-

ity. UNR has 8.3% minority persons in the job category

under analysis, whereas there are 2.4% on a national basis.

Consequently, the decision was made to recruit internally

and this decision was endorsed by Wade Madison, Jr., the

Senior Compliance Officer of the Office of Civil Rights,

who has assured the University that the procedures followed

were correct and legal.



Mr. Wolf further explained that the President has the right,

mandated in a memorandum to all Colleges and University

Presidents from Peter Holmes, Director of the Office of

Civil Rights, to establish the position standards and re-

quirments. He stated that in the case of the position of

Academic Vice President, Dr. Milam has concluded that the

individual appointed to this position should have a back-

ground as a College Dean or Program Director, believed it

extremely important that he should have some familiarity

with the University of Nevada, Reno.



In response to several questions, Mr. Wolf confirmed that

the recruitment had been confined to the Reno Campus; how-

ever, when applications had been received from outside the

Reno Campus from other Divisions of the University, the

applications had been reviewed and considered by the com-

mittee.



In response to a question from Chairman Buchanan, Mr. Wolf

stated that he believed the University to have complied with

all Federal and UNS regulations in the recruitment for the

position of Academic Vice President.



President Milam also noted, in response to an inquiry about

the applications from persons in other Divisions of the

System, that it was not the intent to advertise outside of

UNR, and the notice of the position was not sent by UNR it-

self to other Divisions. He commented that he had no ex-

planation for its being published in a UNLV publication.

He also confirmed Mr. Wolf's statement that all applications

were considered.



In response to a question from Chairman Buchanan as to

whether or not the fact that applications had been received

from persons outside of UNR would change the validity of

the internal recruiting procedure, Mr. Wolf stated that

there had been no intention to advertise the position to

other than UNR community.



The Chairman declared the discussion closed and stated that

further discussion concerning candidates would occur in

personnel session.



13. Approval of Fund Transfers, CCD



President Donnelly requested approval of the following fund

transfer:



$15,050 from CCCC Contingency Reserve to Library Operating

to provide funds for film rental and purchase of books.



Chancellor Humphrey recommended approval.



Dr. Lombardi moved approval. Motion seconded by Miss Mason,

carried without dissent.



14. Procedure for Payment of Accrued Annual Leave, DRI



Mr. Mark Dawson, Business Manager, DRI, made the following

request concerning accrued annual leave:



As you know the Desert Research Institute is funded

largely from grants and contracts which to date have

not been paying for accrued annual leave. As of July

1, 1976 the DRI had approximately $220,000 of annual

leave on the books, much of which has been earned from

grants and contracts which have closed.



I request a new procedure be approved for the DRI for

paying for annual leave as follows. As annual leave

is earned during a month, it would be charged as a

fringe benefit to the account or accounts to which the

salary has been charged and deposited to an Annual Leave

Reserve Account. Then, as annual leave is taken, it

would be charged to the Annual Leave Reserve Account.

If approved, this procedure will have to apply to all

employees regardless of the source of salary funding

as required by the Federal government to prevent dis-

crimination against outside grants and contracts.



If approved, this would require a major programming

effort on the part of the Computing Center. Since

it would also take some time to get budgeted into

grants and contracts, I propose it become effective

July 1, 1977.



If approved, it is requested that the DRI be allowed

to fund the unfunded leave from Indirect Cost Recovery

over a period of 5 years. At the end of each fiscal

year we would perform a detailed audit of accrued an-

nual leave and the Annual Leave Reserve Account to

determine what adjustments, if any, would be needed.

I further request authorization to invest the balance

of the Annual Leave Reserve Account and deposit the

interest back into the account. The interest income

generated plus the leave foreited by personnel not

taking their leave would help pay for increased annual

leave expenses caused by salary increases.



President Smith recommended approval. Chancellor Humphrey

concurred, noting however that this will require legislation

as it affects appropriated accounts.



Miss Thompson moved approval. Motion seconded by Mrs. Fong,

carried without dissent.



15. Proposed Bylaws for United Students, UNS



Proposed Bylaws for the University of Nevada Student Govern-

ments Council were submitted with the agenda (identified as

Ref. 13 and filed with permanent minutes). The Officers

recommended approval by the Board.



Dr. Lombardi moved approval. Motion seconded by Mrs. Fong.



In response to a question concerning the membership, Jim

Stone, USUNS President, stated that it was intended that the

WNCC-North and WNCC-South would each be regarded as a Campus

for this purpose.



Motion carried without dissent.



16. Public Employees Retirement System



Chancellor Humphrey reported that on August 26, 1976, the

Public Employees Retirement Board decided that as of July 1,

1976 University of Nevada System faculty on academic year

contracts would received only ten months service credit for

the year and not one year service credit previously receiv-

ed. This action was based on that Board's interpretation

of NRS 286.495(3) which states that service on or after

July 1, 1975 shall be credited on the basis of days, months

or years actually worked.



Dr. Humphrey noted that this matter first came to the Uni-

versity's attention when the PERS Board, by a 4 to 3 vote,

decided to reduce by 20% the pensions of UNR faculty retir-

ing July 1, 1976. The PERS Board has asked the Attorney

General for additional advice and plans to go to court to

seek a ruling.



Dr. Humphrey suggested that it was unlikely that the Legis-

lature intended to penalize UNS faculty and to assign them

less service credit for an academic year of teaching than

is assigned public school faculty, noting that public school

teachers are excluded from NRS 286.495 and their service

credit is computed under the provisions of NRS 286.501, and

is calculated on a ratio of one and one-third days for each

day worked (the 4/3's Rule).



Dr. Humphrey requested authorization to seek legislation

which would make it explicit that University faculty on

academic year contracts would be treated similarly to public

school teachers for the calculation of service credit. He

further suggested that the legislation would be applied

retroactively to insure that both past and present faculty

employed on academic year contracts prior to 1976-77, and

who plan to retire under PERS, will have their service

credit computed on an annual basis as they and the Univer-

sity had expected.



Mr. Ross moved approval. Motion seconded by Miss Thompson,

carried without dissent.



17. Student Fees, 1977-79



Chancellor Humphrey requested that this proposal to revise

the refund policy be withdrawn for additional review at the

Campus level and be resubmitted to a subsequent meeting.



18. Board of Regents Special Projects Fund



Chancellor Humphrey noted that NRS 451.350 to 451.470, the

Anatomical Dissection Law, provides that the University of

Nevada System shall have the power to establish a committee

on anatomical dissection, and provides that its members be

appointed by the Nevada State Medical Association, Nevada

State Dental Association, Nevada State Society of Patholo-

gists, Nevada Funeral Service Association, State Health

Office and the Presidents of UNR and UNLV. He reported that

the committee has been appointed and is ready to proceed.

The committee meetings will be held in Reno and only one

member will be on travel status. Chancellor Humphrey re-

quested an allocation of $500 from the Board of Regents

Special Projects Fund to establish a travel fund for this

committee.



Dr. Lombardi moved approval. Motion seconded by Mr. John

Buchanan, carried without dissent.



19. Long-Term Income Protection Policy



Chancellor Humphrey recalled that in 1969 the Board, upon

the recommendation of the Faculty Welfare Committee of the

UNR Faculty Senate, adopted a long-term disability income

plan bid by the American Fidelity Assurance Company. This

plan was made available to all faculty and staff on an op-

tional basis through payroll deductions.



Dr. Humphrey reported that in April, 1976 the insurer advis-

ed the University that the trends indicated increased cost

escalation on the plan, and the need for the University to

maintain the 50% participation rate. A meeting was held

with the company to discuss modifications to the plan. Sub-

sequently, the Personnel Officers and the Division Senates

were requested to comment on the proposed contract changes.

Based on additional information that other carriers were

perhaps interested in underwriting this plan, the long-term

income protection plan was rebid with a closing date of

August 23. Chancellor Humphrey requested that the recom-

mendation of the UNS System Personnel Officers be presented

by Dr. Al Stoess.



Dr. Stoess reported that only one bid was received and was

rejected as it was received after the deadline. Represent-

atives of insurance companies who had previously indicated

an interest in the plan stated that their companies had

declined to bid because of the high loss experience and low

employee participation.



Dr. Stoess reported further that the Personnel Officers

recommend that the present plan be continued with American

Fidelity Assurance Company, with the following contract

changes in lieu of a rate increase:



1) Inclusion of a provision eliminating coverage for con-

ditions receiving treatment prior to the effective date

of the coverage.



2) Benefit payments to begin after 180 days of disability

instead of 90 days, currently provided in the contract.



3) Elimination of the pension supplement benefit.



4) Reduction of the minimum monthly indemnity from $100

to $50.



Chancellor Humphrey recommended approval of the recommenda-

tions of the System Personnel Officers and noted that he is

not aware of any faculty objections.



Mr. John Buchanan moved approval. Motion seconded by Mrs.

Fong, carried without dissent.



20. UNR Food Service



President Milam noted that the food service at the Stead

Campus and catering service to the National College of the

State Judiciary have been operated by General University

Extension for several years. However, with the reorganiza-

tion of that unit into Extended Programs and Continuing

Education, they have asked to be relieved of the food serv-

ice function. Accordingly, Professional Food Management

(PFM), which provides a contract food service to the Reno

Campus, was asked if they would extend their contract to

provide lunch at Stead and to meet all catering requirements

of the University. PFM has agreed to this extension of

their contract, with the understanding that the 11% rebate

on the first $50,000 of the above sales would not be

required.



President Milam recommended that the University extend PFM's

contract for the food service at Stead and for catering

services effective October 1, 1976. He stated that every

effort would be made to relocate the four employees affected

with other Departments of the University or with other gov-

ernment agencies. Chancellor Humphrey concurred.



Dr. Lombardi moved approval. Motion seconded by Mrs. Fong,

carried without dissent.



21. Approval of Fund Transfers, UNS



Chancellor Humphrey requested approval of the following fund

transfers within the Computing Center:



#76-08 $1,005 from the Contingency Reserve to Academic Uses

to support acquisition of software.



#76-09 $7,896 from the Contingency Reserve to Academic

Research to provide wages for student assistants.



#76-06 $1,000 from the Ending Fund Balance of the System

Software Estimative Budget to bring account to 76-77

Work Program level.



Mrs. Fong moved approval. Motion seconded by Dr. Lombardi,

carried without dissent.



22. Request for Interfund Loan, UNR



President Milam requested approval of an interfund loan of

$26,440 from the Parking Permit Account to Central Services

to be used for the purchase of a Bond Copy Printer and

Sorter. Funds will be repaid monthly within a three-year

period from Central Service Sales Account. Chancellor

Humphrey recommended approval.



Dr. Lombardi moved approval. Motion seconded by Dr.

Anderson, carried without dissent.



23. Proposed Mining Lease Agreement



President Milam recalled that in 1971 Dr. Peter J. Kapo and

Mrs. Alice Mae Clymer gave 628 acres in the Valmy Mining

District, Humboldt County, to UNR, without restrictions as

to its use or disposition. He reported that Vice President

Pine has negotiated with Mr. Donald J. Decker for a lease/

purchase of the 628 acres for an annual payment of $628 plus

5% of any mineral production. The lease would be for a ten-

year period, renewable upon approval by the Board. Should

payments and royalties reach a total of $125,600, the land

would be deeded to Mr. Decker. A copy of the proposed lease

agreement was included with the agenda (identified as Ref.

23 and filed with permanent minutes).



Chancellor Humphrey recommended that the propery be adver-

tised for lease/purchase and that if no superior bid is

received this negotiated lease/purchase agreement with Mr.

Decker be considered as approved by the Board, subject to

concurrence by the Governor.



Mr. Ross moved approval of the Chancellor's recommendation

that the sale or lease of the property be advertised, but

requested that the results be brought back to the Board for

approval. Motion seconded by Dr. Lombardi, carried without

dissent.



It was understood that additional information concerning

the land and its potential use and estimated value would be

brought back to the Board at the same time as the bid re-

sults are submitted.



24. Authority to Purchase Property



President Milam reported that Mr. Ross Barker has offered to

sell his home at 1137 Evans Avenue to the University. This

property is on the west side of Evans Avenue, within the

area previously designated as a priority for purchase as it

becomes available. The property was appraised by the Uni-

versity July, 1975 and that appraisal is being updated.



President Milam and Chancellor Humphrey requested permission

to purchase the property at an amount not to exceed its

appraised value.



Miss Thompson moved approval. Motion seconded by Dr.

Lombardi, carried without dissent.



25. Medical Malpractice Insurance



Miss Stephanie Siri, Director of Internal Audit, reported

that the UNS has had total liability insurance coverage

from Pacific Insurance Company for the past three years

ending August 14, 1976 at a cost of $13,042 for this past

year. Beginning in February, 1976 Internal Audit began

gathering information in anticipation of having to renew

the UNS comprehensive liability policy. On August 1, 1976

the University was notified by Pacific Insurance that they

would not renew the medical malpractice coverage. By

August 14, 1976 basic general liability insurance was se-

cured for one year at a premium cost of $28,052, and blanket

liability insurance for students and faculty in the nursing,

medical technology, radiologic technology, dental hygiene,

and physical therapy programs at a premium cost of $15,867;

however, the University was unable to find a market for the

UNR and UNLV Health Services and the UNR Medical School. At

that time, the Nevada Medical Liability Insurance Associa-

tion indicated its willingness to consider writing the need-

ed medical malpractice insurance, but at its meeting on

August 26, 1976 rejected the University's application for

coverage. Subsequently, the University's agent of record,

Mr. Larry Kees, representing Nevada Independent Insurance

Agents, contacted 17 companies in an attempt to buy medical

malpractice insurance, with the following results:



Not Interested



1) Fireman's Fund

2) Hartford Insurance Company

3) Nevada Medical Liability Association

4) Pacific Insurance Company

5) Maginnis & Associates

6) Travelers Insurance Company

7) St. Paul Fire & Marine

8) Argonaut Insurance Company

9) Professional Buyers Guild, Inc.



Still Considering Coverage



10) Derek Ware Insurance Brokers

11) Ambassador Insurance Company

12) Cambridge General Agency

13) Glacier General Assurance Company

14) Farmers Insurance Group (Truck Insurance Exchange)



Not Considering Coverage



15) M. J. Hall & Company

16) Aetna Insurance Company



Not an Insurance Market



17) American College Health Association



Miss Siri reported that the University currently has a bind-

er on the UNR and UNLV Health Services which expires Septem-

ber 3, 1976; however, the UNR Medical School is not insured

for medical malpractice at this time.



Chancellor Humphrey stated that the University will continue

to pursue its search for medical malpractice coverage for

the UNR and UNLV Health Services and the UNR Medical School;

however, he noted, it is quite possible that it will not

find such coverage. In that event, he requested authority

from the Board to implement a self-insurance program for

primary coverage up to $500,000, at which point excess lia-

bility coverage of $5 million is believed to be available.

Dr. Humphrey suggested that the only alternative is to re-

duce the risk by closing the UNR and UNLV Health Services,

either immediately by refunding the health service fee to

students, or at the end of the Fall, 1976 semester. He

pointed out that the only alternative for the UNR Medical

School is self-insurance.



Chancellor Humphrey recommended that immediate funding for

such a self-insurance program be provided by paying into an

insurance fund from the following sources:



Board of Regents Special Projects Fund $ 50,000

UNR Insurance Account Surplus 100,000



Additional contributions would be made to the fund as monies

are avilable to bring the self-insurance fund to the needed

balance of $500,000. An amount will be determined for pay-

ment by UNLV Health Service; however, it is a minor part of

the risk. The fund would be invested separately and inter-

est generated would remain in the fund. Dr. Humphrey added

that the self insurance fund would respond to the extent of

legal obligation which is determined to exist, considering

the $25,000 limitation which may be applicable as a result

of the State having waived the defense of sovereign immuni-

ty up to that account.



Mrs. Fong moved approval of the Chancellor's recommendation

with the stipulation that the allocation from the Board of

Regents Special Projects Fund would be considered a loan to

be repaid after the self-insurance fund reaches the required

$500,000. Motion seconded by Mr. Ross, carried without

dissent.



26. Distribution of Dimmick Bequest



President Milam recalled that the University had received

$399,493 from the estate of Maud F. Dimmick "...to be used

and devoted by the Board of Regents of said institution, on

the Reno Campus, to such purposes as may be determined in

the sole discretion of said Board of Regents, provided, how-

ever, that if practical and consistent with the needs of the

University, it is my desire that the residue of my estate be

used by said Board of Regents for the following purposes:



"1. 3/4 thereof for the purpose of erecting and equipping,

aiding in erecting and equipping, a student infirmary.



"2. 1/4 thereof to a fund for investment and the income

thereof for a scholarship or scholarships for industri-

ous, ambitious, conscientious and worthy, deserving

students.



"As is indicated above, it is my intention in making this

gift to the University of Nevada, to leave to the good judg-

ment of the Board of Regents, all questions regarding the

administration and application of said gift since it is my

belief that their decisions will be most beneficial and pro-

ductive to the University."



President Milam noted that in conformity the Board has found

that as was "practical and consistent with the needs of the

University", 1/4 of the bequest was used to establish the

"Maud F. Dimmick Scholarship Fund". That endowment fund

currently has a book value of $99,495.11 and there was

$4,668.21 of income available this Fall for scholarship

distribution. There is $347,606.77 (original bequest less

amount put in endowment, plus interim earnings) currently

available.



Dr. Milam requested that $147,606.77 of this total be used

for the Student Health Services relocation and $200,000 be

dedicated to the construction of Phase III of the Anderson

Health Sciences building. He recalled that in July, 1975

the School of Medical Sciences received a Federal grant of

$700,000 for construction, subject to providing $300,000

in matching funds. The faculty and Administration of the

School of Medical Sciences have worked diligently to secure

this amount; however, to date only $100,000 has been secured

and the deadline is approaching. Chancellor Humphrey

recommended approval.



Dr. Lombardi moved approval. Motion seconded by Dr.

Anderson, carried without dissent.



27. Collective Bargaining



Chancellor Humphrey recalled that earlier this year the

National Society of Professors petitioned for a representa-

tional election at UNLV for collective bargaining purposes.

In conformity with the regulations of the Board of Regents,

that petition was rejected. NSP appealed to the Board and

the Chancellor's decision was upheld. Dr. Humphrey noted

that one argument of NSP was that UNLV and UNR should not be

in the same bargaining unit. For these two Divisions to be

in separate units would require amendment of the Board's

regulations. Therefore, Chancellor Humphrey suggested that

the Board once again review the question of whether or not

UNR and UNLV should be in separate bargaining units. In

preparation for this consideration by the Board, Chancellor

Humphrey requested that the UNLV and UNR Senates, and any

other Senates interested, address themselves to this problem

and report their recommendations in time for inclusion on

the November Board of Regents agenda.



28. New Business



(1) Miss Mason stated that she would like to see a new

report from all of the University's affirmative action

officers, with the report to include:



a. How future promotions will be handled;



b. Recruiting procedures;



c. What changes have occurred;



d. Number of women; and tenure ratio between men and

women; and salary ratio between men and women.



It was agreed that this would come back to the November

meeting.



(2) Miss Mason also requested a report concerning what

classes are offered after 5:00 P.M. on each of the

Campuses, what kind of improvement in these offerings

is planned, and an answer to the question of whether

a student can get a degree by attending only evening

classes. It was noted that President Milam had pro-

vided such a report in July.



President Baepler responded by stating that UNLV does

not plan to add bachelor's degree programs to its

evening offerings.



(3) Mr. Ross asked for a report on the status of the Mac

Millan bequest. Chancellor Humphrey reported that a

hearing was scheduled in Reno District Court but was

postponed because of a conflict with the judge's vaca-

tion. The hearing will be rescheduled. Mr. Ross asked

that he be informed of the date when the rescheduling

has been done.



(4) Mr. James Buchanan commented concerning a Federal pub-

lic works bill which would provide Nevada with $10

million. He asked that the University look into this

to see if there are any of its projects which would

qualify. Chancellor Humphrey reported that Mr. Harry

Wood is already looking into the matter.



(5) Mrs. Fong asked Dr. Baepler to provide her with infor-

mation concerning the amount of University funds used

in the voter assistance program presently being con-

ducted. Dr. Baepler stated that no University funds

were involved.



(6) Mr. James Buchanan stated that he had received infor-

mation that the Review-Journal building in Las Vegas

is for sale and asked if some determination could be

made concerning the University's interest in purchas-

ing. Dr. Donnelly agreed to look into it.



The Action Agenda was completed and the Information Agenda sub-

mitted. The Information Agenda is on file in the Chancellor's

Office and contained the following items:



(1) Report of Purchases in Excess of $8,000

(2) Report of Disciplinary Cases, CCD

(3) Report of Foreign Travel

(4) Report of Fund Transfers

(5) Board of Regents Special Projects Account Balance

(6) Abstracts of MSM Press Releases

(7) Progress of University Projects

(8) Status Report, University of Nevada Projects

(9) Additional Report of Fund Transfers



The meeting adjourned at 4:40 P.M.



Mrs. Bonnie M. Smotony

Secretary of the Board

09-03-1976