09/09/1993
UCCSN Board of Regents' Meeting Minutes
September 9-10, 1993








09-09-1993

Pages 1-86



BOARD OF REGENTS

UNIVERSITY AND COMMUNITY COLLEGE SYSTEM OF NEVADA

September 9-10, 1993



The Board of Regents met on September 9-10, 1993 in the Multi-

Purpose Room, Truckee Meadows Community College in Reno.



Members present: Dr. James Eardley, Chairman

Mrs. Shelley Berkley

Dr. Jill Derby

Dr. James Eardley

Mr. Joseph M. Foley

Mrs. Dorothy S. Gallagher

Mr. Madison Graves, II

Dr. Lonnie Hammargren

Mr. Daniel J. Klaich

Mrs. Nancy Price

Mrs. Carolyn M. Sparks



Members absent: Mrs. June F. Whitley



Others present: Interim Chancellor John A. Richardson

President Anthony Calabro, WNCC

President Joseph Crowley, UNR

President John Gwaltney, TMCC

President Robert Maxson, UNLV

President Paul Meacham, CCSN

President Ronald Remington, NNCC

Mr. Dale Schulke, DRI

Mr. Donald Klasic, General Counsel

Mr. Ron Sparks, Vice Chancellor

Mrs. Karen Steinberg, Acting Vice Chancellor

Ms. Mary Lou Moser, Secretary



Also present were Faculty Senate Chairmen Alan Balboni (CCSN),

Phil Boardman (UNR), Chris Gaub (Unit), Scott Hawkins (NNCC),

Dan Mc Clure (TMCC), Alan Mc Kay (DRI), Mark Melrose (WNCC),

John Swetnam (UNLV), and Student Association Officers.



Chairman Eardley called the meeting to order at 1:15 P.M. Thurs-

day, September 9, 1993, with all Regents present, except Regents

Hammargren and Whitley.



1. Approved Consent Agenda



Approved the Consent Agenda (identified as Ref. A, filed

with the permanent minutes), containing the following:



(1) Approved the minutes of the regular meeting held

June 24-25, 1993 and minutes of the special meeting

held July 15, 1993.



(2) Approved the gifts, grants and contracts, listed in

Ref. C-1, filed with the permanent minutes.



There was additional discussion regarding the gift

list at the end of this item.



(3) Approved an extension of leave of absence without

pay for UNR employee, Steven R. Graybar, through

June 30, 1994.



(4) Approved a second year of leave of absence without

pay for UNLV employee, Raymond Lucchesi, pending

resolution of litigation involving the State Ethics

Commission ruling regarding the architecture build-

ing at UNLV.



(5) Approved the following appointments to the School of

Medicine's Rural Advisory Board:



Ms. Elizabeth C. Nozero, Chairman of the Area

Health Education Center Board of Directors for

Southern Nevada, which represents a four county

area consisting of Clark, Esmeralda, Lincoln

and Nye counties.



Dr. Janet Quillian, Director of the Family Nurse

Practitioner Program at the College of Health

Sciences, UNLV.



(6) Approved the appointment of Mr. George William Allf

to the CCSN Advisory Board.



(7) Approved the appointment of Ms. Florence Frost to the

UNLV Extended Education Advisory Board.



(8) President Gwaltney reported on the appointment of

Anne Louise Pacheco to the position of Acting Execu-

tive Director of Development at TMCC.



(9) Approved the appointment of Dr. Demetrios Kazakos,

a Professor of Electrical Engineering at UNLV, with

tenure, to be effective retroactively to August 24,

1993.



(10) Approved authorization to utilize General Fee Im-

provement Funds at WNCC in the amount of $110,000

for part-time staff in the following areas: night

security, Learning Resource Center, Financial Assist-

ance, Counseling Services, and teaching assistants.



(11) Approved authorization to utilize Capital Improvement

Fees at WNCC in the amount of $150,000 for the fol-

lowing purposes:



Completion of the Family Services $143,500

Center for the following expenses:

change orders, alternate #1 classroom,

architect fees, landscaping, additional

handicapped parking, and relocation of

a water line.



Upgrade the telephone system in the $ 6,500

Business Office, Administrative

Services and other administrative

offices at WNCC.



(12) Approved authorization to utilize Capital Improvement

Fees at TMCC in the amount of $28,000 to remodel the

Washoe County Library - Old Town Mall space.



Originally, TMCC requested $75,000 for the remodel

project. After some project redesign and the formal

construction bid opening, the project, plus a 5%

contingency, will cost $103,000, an increase of

$28,000.



(13) Approved authorization to utilize Capital Improvement

Fees at UNR in the amount of $250,000 to extend fiber

optic capabilities on the UNR Campus.



One link would extend connectivity to Lincoln Hall,

Thompson Student Services, the Graduate School and

the west side of Virginia Street to the Dormitories,

University Inn, Midby-Byron, Artemisia and the Women's

Center. Link number two would run from the School of

Medicine, past the Sports Medicine and the Lombardi

Recreation buildings to Fleischmann Agriculture.

This link would also serve as a critical backup and

alternative route to the lower Campus should the

other link be disrupted. A third link would be estab-

lished from the Laxalt Mineral Engineering building

to the Mines buildings.



Lastly, connectivity would be provided to all remain-

ing no-cabled classrooms to the Campus broadband net-

work and equipment for testing and maintenance of the

Campus infrastructure would be acquired.



(14) Approved a Handbook change, Title 4, Chapter 17, Sec-

tion 10, Student Fees.



The vision plan which was offered to UNR students

through the student health and accident insurance

plan will not be available this academic year.



(15) Approved Handbook changes, Title 4, Chapter 17, Sec-

tion 17, Apartment Rentals, as contained in Ref. C-2,

and Title 4, Chapter 17, Section 18, University Inn,

as contained in Ref. C-3. Reference material is

filed in the Regents' Office.



(16) The Higher Education Act Amendments of 1992 (20 U. S.

C. 1091b) require that students received Title IV

student financial assistance and who are enrolled for

the first time at an institution be given a pro rata

refund if they withdraw during the first 60% of that

first semester. As all six UCCSN instructional insti-

tutions award Title IV aid funds, Handbook additions

are requested as follows:



Note: All reference material is filed in the Regents'

Office.



University of Nevada, Reno



Title 4, Chapter 17, Section 8.3, Refund Policy, as

contained in Ref. C-4a, and Title 4, Chapter 17,

Section 14, Refund of Residence Hall and Food Services

Charges, UNR, as contained in Ref. C-4b.



University of Nevada, Las Vegas



Title 4, Chapter 17, Section 8.2, Refund Policy, as

contained in Ref. C-5a, and Title 4, Chapter 17,

Section 14, Refund of Residence Hall and Food Services

Charges, UNLV, as contained in Ref. C-5b.



Northern Nevada Community College



Title 4, Chapter 17, Section 8.1, Refund Policy, as

contained in Ref. C-6.



Community College of Southern Nevada



Title 4, Chapter 17, Section 8.4, Refund Policy, as

contained in Ref. C-7.



Truckee Meadows Community College



Title 4, Chapter 17, Section 8.5, Refund Policy, as

contained in Ref. C-8.



Western Nevada Community College



Title 4, Chapter 17, Section 8.6, Refund Policy, as

contained in Ref. C-9.



(17) Approved the following UNR self-supporting budgets:



School of Medicine/Family Medicine

UNLV Student Health Services Contract



1991 1992

Budget

Actual Estimate

Resources:

Opening Account Balance $ 0 $ 30,000

Revenue: UNLV Contract 90,870 181,740

Total Source of Funds $ 90,870 $211,740



Expenditures:

Professional Salaries $ 0 $ 93,200

Fringe Benefits 0 16,377

Operating 60,870 102,163

Total Expenditures: $ 60,870 $211,740

Transfers Out: $ 0 $ 0

Ending Balance: $ 30,000 $ 0

Total Use of Funds $ 90,870 $211,740



School of Medicine/Administration

Medical School Annual Campaign Fund



1992-93 1993-94

Projected Budget

Actual Estimate

Resources:

Opening Account Balance $ 33,170 $ 65,599

Revenue: Gifts 34,983 30,000

Total Source of Funds $ 68,153 $ 95,599



Expenditures:

Professional Salaries $ 2,500 $ 0

Classified Salaries 0 71,423

Fringe Benefits 0 20,468

Travel 54 0

Operating 0 3,708

Total Expenditures: $ 2,554 $ 95,599

Transfers Out: $ 0 $ 0

Ending Balance: $ 65,599 $ 0

Total Use of Funds $ 68,153 $ 95,599



Graduate School

Bio-Fine Agreement



1992-93 1993-94

Projected Budget

Actual Estimate

Resources:

Opening Account Balance $ 0 $ 0

Revenue: Gifts 0 33,130

Total Source of Funds $ 0 $ 33,130



Expenditures:

Professional Salaries $ 0 $ 27,000

Fringe Benefits 0 5,130

Operating 0 1,000

Total Expenditures: $ 0 $ 33,130

Transfers Out: $ 0 $ 0

Ending Balance: $ 0 $ 0

Total Use of Funds $ 0 $ 33,130



Continuing Education/Center for Dispute Resolution



1992-93 1993-94

Projected Budget

Actual Estimate

Resources:

Opening Account Balance $278,697 $191,384

Revenue: Gifts 150,000 0

Total Source of Funds $428,697 $191,384



Expenditures:

Professional Salaries $111,227 $ 94,148

Fringe Benefits-Professional 19,548 17,713

Classified Salaries 34,828 52,900

Fringe Benefits-Classified 5,305 12,542

Wages 2,561 2,000

Fringe Benefits 30 24

Travel 7,732 0

Operating 47,984 0

Equipment 8,098 0

Total Expenditures: $237,313 $179,327

Transfers Out: $ 0 $ 0

Ending Balance: $191,384 $ 12,057

Total Use of Funds $428,697 $191,384



Journalism

Minority Recruitment/Retention Program



1992-93 1993-94

Projected Budget

Actual Estimate

Resources:

Opening Account Balance $ 0 $ 0

Revenue: Gifts 0 30,000

Total Source of Funds $ 0 $ 30,000



Expenditures:

Professional Salaries $ 0 $ 25,010

Fringe Benefits-Professional 0 4,752

Total Expenditures: $ 0 $ 29,762

Transfers Out: $ 0 $ 0

Ending Balance: $ 0 $ 238

Total Use of Funds $ 0 $ 30,000



(18) Approved the following interlocal agreements:



A. UCCSN Board of Regents/UNR and the State Depart-

ment of Human Resources/Sierra Development Center

(Interlocal Contract)



Effective Date: Date approved by Board through

June 30, 1994

Amount : $18,720 maximum to UNR

Purpose : UNR's Department of Psychology

to provide one or more doctoral

students to perform full range

of psychological services for

Sierra Developmental Center.



B. UCCSN Board of Regents/UNR and the Nevada Depart-

ment of Taxation (Interlocal Contract)



Effective Date: July 1, 1993 to June 30, 1995

Amount : $116,552 to UNR

Purpose : UNR to provide demographer to

make annual estimates of popula-

tion of State of Nevada.



C. UCCSN Board of Regents/UNR and the State Division

of Health (Interlocal Contract)



Effective Date: Date approved by Board through

September 30, 1993

Amount : $7500 to UNR

Purpose : UNR's Geriatric and Gerontology

Center will provide two training

sessions in September 1993 to

the providers of services in

skilled and intermediate care

facilities.



D. UCCSN Board of Regents/UNR and the State Depart-

men of Commerce/Housing Division (Interlocal

Contract)



Effective Date: Date approved by Board through

June 30, 1994

Amount : $6175 to UNR

Purpose : UNR to conduct semi-annual Washoe

County Housing Conditions Report

to include estimation of prob-

able future housing conditions.



E. UCCSN Board of Regents/UNR and the Washoe County

School District (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $1.15 per mile for each actual

mile logged by said buses.

Purpose : UNR to lease school buses from

Washoe County School District in

connection with educational pro-

grams.



F. UCCSN Board of Regents/UNR and Nevada Office of

the Attorney General (Interlocal Contract)



Effective Date: Date approved by Board through

December 30, 1993

Amount : $6000 to UNR

Purpose : UNR to conduct projects relating

to testimony and trial prepara-

tion in case of Stivers, et al v.

Pierce, et al, to be described

in UNR's task order proposals and

the AG's letters accepting such

task order proposals.



G. UCCSN Board of Regents/UNR and State Department

of Commerce/Housing Division (Interlocal Contract)



Effective Date: Date approved by Board through

January 30, 1994

Amount : $31,236 to UNR

Purpose : UNR to conduct update of Compre-

hensive Housing Affordability

Strategy (CHAS) report and pro-

duction of annual update of the

CHAS.



H. Withdrawn by General Counsel Klasic at the re-

quest of the UNR Campus.



I. UCCSN Board of Regents/School of Medicine and

Nevada Department of Human Resources/Division of

Health (Interlocal Contract)



Effective Date: Amendment extending time from

June 30 through December 31,

1993

Amount : $75,436 to Medical School

Purpose : Medical School to conduct cross-

sectional assessment of mercury

levels in blood and/or urine in

accordance with protocols for

sampling such levels established

by Centers for Disease Control

and Prevention, Agency for Toxic

Substances and Disease Registry.



J. UCCSN Board of Regents/Cooperative Extension and

the State Department of Human Resources (Inter-

local Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $29,645 to Cooperative Extension

Purpose : Hands-on educational program for

48 11-13 year old, economically

disadvantaged adolescents to in-

crease opportunity for school

success and future economic self-

support.



K. UCCSN Board of Regents/Cooperative Extension and

the State Department of Human Resources/Division

of Child and Family Services (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $35,719 to UNR

Purpose : To provide secondary prevention

for abuse and neglect to children

of approximately 25 adolescent

mothers currently or formerly in

State custody.



L. UCCSN Board of Regents/School of Medicine and the

State Health Division (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $6000 to UNR

Purpose : Trudy Larsen, M. D., to provide

medical consultation services to

Health Division as "backup" phy-

sician to Nurse practitioners at

Carson City Health Department.



M. UCCSN Board of Regents/School of Medicine and the

State Department of Human Resources/Health

Division (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $7078 maximum to Medical School

Purpose : Medical School to provide facili-

ties and staff toward screening

and examination and recommend

services for the Craniofacial

Clinic.



N. UCCSN Board of Regents/CCSN, NNCC and TMCC and the

Nevada State Board of Nursing (Interlocal Con-

tract)



Effective Date: July 1, 1993 through June 30,

1998

Amount : $25,000 maximum to UCCSN

Purpose : CCSN, NNCC and TMCC to provide

examination of applicants for

certification as Nursing assist-

ants.



O. UCCSN Board of Regents/WNCC and Carson-Tahoe

Hospital (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1995

Amount : $60,000 to WNCC

Purpose : WNCC to hire an additional Nurse

instructor in implementation of

its Nursing Program.



P. UCCSN Board of Regents/UNR and the Department of

Human Resources/Mental Hygiene and Mental Retarda-

tion Division (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $23,520 maximum to UNR

Purpose : Provide a course of instruction

for mental health technicians,

mental retardation technicians,

and forensic specialists.



Q. UCCSN Board of Regents/TMCC and State Job Training

Office (Interlocal Contract)



Effective Date: July 1, 1993 through June 30,

1994

Amount : $35,000 to TMCC

Purpose : TMCC to provide education and

counseling for displaced home-

makers.



R. UCCSN Board of Regents and TCI Cablevision of

Nevada, Inc. (Easement and Agreement)



Effective Date: Date approved by Board, for

five years from that date.

Amount : Billing will be between TCI

Cable and individuals who live

in Canada Hall.

Purpose : Cable television access for

Canada Hall.



Mrs. Price moved adoption of the Consent Agenda with the

exception of removing those items donated by the UNLV

Foundation for President and Vice Presidents auto allowance

at UNLV, as found on pages 116 and 120 of the gift list.

Dr. Derby seconded.



Mr. Price explained that she did not have a problem with

the amounts given by the UNLV Foundation, but requested

that such gifts be reported to the full Board on the regu-

lar Board of Regents' agenda. She felt that the gifts were

given to individuals not to the positions. She did not

appreciate the way the gifts were presented, in that the

gifts were "buried" in the 137 page gift list. She request-

ed that a procedure be implemented so that such gifts that

are given to individuals are brought before the full Board

of Regents.



Dr. Hammargren entered the meeting.



Mrs. Price requested that these items be removed from the

gift list and presented to the Board at the next meeting

for consideration.



Interim Chancellor Richardson explained the current practice

followed is that when a foundation donates to the institu-

tion, the gift is reported to the Board of Regents for ac-

ceptance, and then distributed accordingly. The System

issues contracts to those individuals who fill the positions

of President and Vice Presidents, and the auto allowances

are included in the contracts in accordance with Board of

Regent policy.



Mrs. Price Stated that the public perception is that the

gift is going directly to the individual, not the position.



Mr. Graves and Mr. Klaich disagreed with Mrs. Price's anal-

ysis of the public perception and agreed that the gift lists

are prepared for Board of Regents' acceptance, and in turn

the Board of Regents authorizes the distribution of the

gifts accordingly. Mrs. Gallagher pointed out that the UNLV

Foundation has donated these gifts with restrictions that

funds be spent for the purpose of auto allowances for the

President and Vice Presidents.



Mrs. Price amended the motion by removing the entries from

the gift list that provide for auto allowances for the UNLV

President and Vice Presidents, and that these entries be

handled in a more direct manner. Dr. Derby withdrew the

second. Dr. Hammargren agreed to second the motion provided

that the amendment be changed to accept the gift list and

in the future separate the above questioned items. Motion

died for lack of a second.



Mr. Klaich moved adoption of the Consent Agenda and approval

of the prepared agenda with the authority to change the

order of items as specified throughout the meeting. Mrs.

Sparks seconded. Motion carried unanimously.



2. Introductions



President Gwaltney introduced Mrs. Marsha Lindeken, Assist-

ant to the President.



President Maxson introduced Mr. Matthew Simon, Dean of

Libraries.



3. Chairman's Report



Chairman Eardley reported that the Board of Regents is very

sympathetic toward the institutions due to the reduced budg-

et the Legislators recently approved for UCCSN.



The cost of higher education and books are increasing across

the nation. Chairman Eardley requested teaching faculty to

take a close look at the publications which they are requir-

ing their students to purchase. Mrs. Berkley questioned to

whom she should refer inquiries regarding the cost of books

and Chairman Eardley suggested that she direct the inquirer

to the institutions. President Crowley agreed that the cost

of books is a serious problem nationwide. The book publish-

ers are making a good profit; however, the repurchase value

on the books is declining. Mr. Foley requested that this

issue be placed on the agenda in the future for further

discussion.



The Board of Regents are here for a reason -- the student.

Chairman Eardley stated that he was surprised to learn that

UNR students are dissatisfied with the recently revised

grading policy. The students have indicated that they did

not have a chance to voice their opinions on this issue.



Chairman Eardley pointed out that institutions continue to

advertise and recruit for additional students, and at the

same time the institutions are considering capping educa-

tional programs.



Chairman Eardley discussed the committee structure and stat-

ed that the proposed changes were made in an effort to con-

solidate committees and to allow sufficient time for com-

mittees to meet. An item has been placed on the agenda for

further discussion, and he is hopeful that the members of

the Board of Regents will support his proposed committee

structure.



4. Chancellor's Report



Interim Chancellor Richardson announced that Betty Stout

has donated a gift to DRI for an endowed fellowship in

Hydrology/Hydrogeology, which has been reported under the

Consent Agenda's gift list for DRI. Vice President Dale

Schulke stated that on behalf of President Taranik, DRI

would like to formally thank Mrs. Stout for her generosity.

Mrs. Stout sent her greetings to the members of the Board

of Regents.



In August, UNLV was informed that their Civil, Electrical

and Mechanical Engineering programs were approved for ac-

creditation by the Accreditation Board of Engineering and

Technology (ABET).



Interim Chancellor Richardson announced that University of

Nevada Press has recently been recognized for its publica-

tions. These are very significant national and interna-

tional recognitions. He commended Director Tom Radko and

the University of Nevada Press staff.



1) AAUP Winners - More than 650 entries were received

for the AAUP annual "Book Jacket and Journal Show".

Of the 650+ entries AAUP selected 67 books, 29

jackets and 4 journals for this year's show. Nevada

had 3 winners -- the most in the Press' history.



"Child of the Holy Ghost" and "Wilderness

Tapestry" selected in the typographic book

category.



"Arid Waters" selected in the illustrated book

category.



2) The book "FDR's Moviemaker" has given the Press some

great national exposure which include media spots in

the following:



"The New York Times"

"The Los Angeles Times'

"The Washington Post"

"The International Herald-Tribune"

(and even a newspaper in Venice)



Interim Chancellor Richardson discussed the Eisenhower

Mathematics and Science Education Programs Grant. Awarded

in August, the grant totaling $304,246 for the year ending

September 30, 1994, funds several projects in the science

and mathematic education programs throughout the System.



Interim Chancellor Richardson reported that health care is

a very important issue to all State employees and, of

course, one of national concern. He announced that he has

recently appointed a Chancellor's ad hoc Health Benefits

Committee whose membership represents the "experts" on the

Campuses in this area. The appointments have been unani-

mously agreed to by the Presidents and Faculty Senate

Chairmen. The members are as follows:



Mary Paterson, Chair, UNLV Health Care Administration

Pam Cross, BCN Financial/Benefits Counselor

Donald Hardigree, UNLV Director of Insurance and Risk

Management

Penny Jenkins, UNR Management Assistant, College of

Business

Janet Mac Donald, UCCSN Deputy Treasurer

Judson Mitchell, UNLV Director of Human Resources

David Noonan, UNR Professor of Educational Leadership

Jeanne Wendel, UNR Professor of Economics

Sue Baker, Staff/Secretary, UCCSN Assistant to the

Chancellor



The Committee will be UCCSN's "swat team" on health benefit

issues, and will represent UCCSN at State Committee on

Benefits meetings. The Committee will advise the Chancellor

and the Council of Presidents on its recommendations. In-

terim Chancellor Richardson explained that because health

care is a crisis issue for System employees, he felt con-

fident of the selection of the members of the Committee,

although it does not have equal representation among the

institutions.



Interim Chancellor Richardson reported that the ad hoc

Compensation Study Committee will be holding future meet-

ings, as follows:



Tuesday, September 14 - Video Conference

Wednesday, September 22 - Chancellor's Office, Reno



Interim Chancellor Richardson announced that the WICHE

Conference in Las Vegas is scheduled for September 16-18,

1993 at the Riviera Hotel. WICHE is holding an invita-

tional workshop "Confronting the Tuition Spiral: From

Policy Drift to Action". The conference is co-sponsored

by the College Board and the Western Legislative Confer-

ence. Among those invited from Nevada are State educa-

tional leaders and Legislators.



5. Approved Appointment, State Postsecondary Review Entity,

(SPRE), UCCSN



Mr. Glen Krutz, UCCSN Research Analyst, reported that

Governor Bob Miller has designated the Board of Regents of

the University and Community College System of Nevada as

the appropriate agency to serve as Nevada's postsecondary

review entity, as provided in the Higher Education Act

(HEA) of 1992. The responsibility of this entity is to

assure the integrity of federal student financial aid

funds disbursed pursuant to Title IV of the HEA, and in-

cludes both public and private postsecondary institutions

within the State. Funding is also provided for planning

purposes.



Approved UCCSN to serve as Nevada's postsecondary review

entity.



Interim Chancellor Richardson will proceed working with the

SPRE program. Nevada will join a consortium of 9 other

states set up through NCHEMS. Interim Chancellor Richard-

son stated that if Congress does not appropriate funds to

the states for SPRE, the program will not go forward. UCCSN

will work cooperatively with Nevada's postsecondary public

Colleges.



Mrs. Berkley moved approval of the appointment of UCCSN to

serve as Nevada's postsecondary review entity (SPRE). Mrs.

Sparks seconded. Motion carried.



6. Information Only: State Public Works Board Presentation

Regarding Library Planning, UCCSN



Mr. Tom Stephens, Director of the State Public Works Board

(SPWB), presented information regarding a study of library

planning throughout UCCSN. The 1993 Legislature appropriat-

ed funds for this study to the State Public Works Board.

It was the intent of the Legislature and the Governor that

the majority of this appropriation be dedicated to library

needs at UNLV. In an effort to involve the Board in this

important project, Mr. Stephens presented information re-

garding the study (Project 93-S4c), filed in the Regents'

Office.



Mr. Stephens stated in the August 20, 1993 letter to the

Board of Regents that SPWB is "seeking the concurrence of

the Board of Regents in the general approach for the study.

Such concurrence does not obligate the Board to include any

library projects in its 1995 Capital Improvement Requests,

but if such library projects are included, this study will

provide a basis for justification of those projects."



Mr. Stephens indicated that UCCSN's Council of Academic

Library Deans and Directors has discussed this issue and

concurs in the scope of the work. The SWPB developed a

Request for Proposal and is seeking a library planning

consultant to perform a detailed library facilities plan

for the UCCSN.



Several Regents stated their support for this project and

applauded the SPWB's efforts. Upon questioning, Mr.

Stephens responded that recommendations and a final report

will be submitted to the Board of Regents and the State

Public Works Board for consideration. Mr. Klaich suggested

that the consultants meet with undergraduate and graduate

students, since they are the key users of the libraries.



Mr. Stephens introduced UNLV's Dean of Libraries, Matt

Simon, who is nationally recognized in the library field

and has much expertise. Mr. Simon expressed his apprecia-

tion for Mr. Stephen's efforts on this project, and the

Board of Regents for their support.



Chairman Eardley stated on behalf of the Board of Regents

the presentation was greatly appreciated and the Board also

appreciates the efforts put forth by the State Public Works

Board. He questioned whether the SPWB planned on changing

the Regents' priorities for capital construction in the

future and Mr. Stephens indicated that as Manager, he would

not change the priority list without the consent of the

Board of Regents.



The open meeting recessed at 2:23 P.M. and reconvened at 3:24

P.M. Thursday, September 9, 1993, with all Regents present except

Regents Berkley, Foley, Gallagher, Price, Sparks and Whitley.



7. Information Only: Proposed Continuing Education Building,

UNLV



Senior Vice President/Provost John Unrue reported on a pro-

posed building for Continuing Education at UNLV with fund-

ing to come from private sources. Approximately 14,000

students participate in non-credit continuing education

classes at UNLV.



Should funds be raised, and approval by the Board of Regents

be forthcoming, this project would require Public Works

Board and Interim Finance approval.



Vice President of Academic Affairs John Unrue stated that

this project is in no way an attempt to distort the already

established Capital Improvement Project list.



Regents Berkley, Foley, Price and Sparks entered the meeting.



Dean of Extended Education Paul Aizley informed the Board

that a non-profit senior citizens group, EXCELL - Extended

Education Center for Life-Long Learning - is very interested

in this project and will help raise funds for the 50,000

sq. ft. building which is estimated to cost $10 million.



Upon questioning, it was learned that this project is con-

tained in the UNLV Physical Master Plan.



8. Information Only: Outstanding Student Recognition



At the request of the Board of Regents, each Student Govern-

ment Officer reported on the outstanding student achievement

from the institution. Ref. C is filed in the Regents' Of-

fice.



University of Nevada, Reno



Melodi Rodrigue



Truckee Meadows Community College



Kathleen A. Chapman

Erica Hufford

David Mosley

Sari Saevitz



9. Information Only: Public Comment



Chairman Eardley informed the Board that an item will be

placed on future regular Board of Regent agendas that will

allow public comment prior to action items which the Board

would be considering.



No public comment was made.



10. UCCSN Contracts



Regent Madison Graves requested that the Board of Regents

review the process through which it approves institution

requests to negotiate a purchase price for property. He

stated that in the past the Board of Regents has authorized

the institutions to negotiate up to a certain amount. This

allows the seller to negotiate that amount, and limits the

institution to negotiate for a lower amount.



Interim Chancellor Richardson stated that he has talked

with Mr. Graves and General Counsel Klasic on this subject.

He has suggested two alternatives in negotiating a purchase

price for property:



1) authorize institution to negotiate with seller

without a price, then have institution report to

the Board of Regents; or



2) authorized the Chancellor to approve negotiated

purchase price for property.



General Counsel Klasic stated that there are no statutes

that address this issue; therefore, the Board of Regents

can set its own policy.



Dr. Hammargren moved approval to direct the Chancellor to

develop a policy on contract purchases. Mrs. Sparks second-

ed.



Mr. Klaich suggested that the policy reflect the delegation

of the institution President's authority to negotiate the

land acquisition including the purchase price, subject to

Board of Regents' approval.



Motion carried.



11. Information Only: Outstanding Faculty Recognition



At the request of the Board of Regents, each Faculty Senate

Chairman reported on the outstanding faculty achievement

for the institution. Ref. B is filed in the Regents' Of-

fice.



University of Nevada, Reno



James A. Bernardi



Community College of Southern Nevada



Carolyn J. Collins



Truckee Meadows Community College



Leon Lucchesi



University of Nevada, Las Vegas



Barbara K. Hanford

William J. Robinson



12. Approved UCCSN FY 1994 Operating Budget



At the June 24-25, 1993 meeting the Board of Regents approv-

ed the continuation of UCCSN expenditures at the FY 1993

rate until the Legislature had adjourned. Vice Chancellor

Sparks presented the FY 1994 UCCSN Operating Budget for

final approval. The 1994 UCCSN Operating Budget is filed

in the Regents' Office.



Vice Chancellor Sparks distributed additional information

and explained the graphs which addressed annualized FTE

enrollments, general fund operating appropriations, regis-

tration, fees/cost per credit, Universities non-resident

tuition, State General Fund/tuition & fees percent of total

operating budget, and general fund appropriations percent

distribution between UCCSN and K-12. This information is

filed in the Regents' Office.



Vice Chancellor Sparks stated that UCCSN's State-Supported

Operating Budget totals $254.3 million. This compares to

$260.1 million (before the Governor's budget reductions of

$21.9 million) for the 1992-93 fiscal year and represents

a 2.2% decrease in the authorized funding level.



State appropriations for fiscal year 1993-94 amount to

$194.2 million representing 76.4% of the State-Supported

Operating Budget. This compares to $207.6 million for

fiscal year 1992-93 (before budget reductions) and repre-

sents a 6.4% decrease.



Other revenue sources budgeted in the State-Supported Oper-

ating Budget for fiscal year 1993-94 total $60.1 million,

representing 23.6% of the State-Supported Operating Budget.

This compares to $52.5 million for fiscal year 1992-93 and

represents a 14.3% increase.



Vice Chancellor Sparks stated that student fees for fiscal

year 1993-94 represent approximately 18% of the total rev-

enue. This compares to 16.2% for fiscal year 1992-93 and

represents an 8% increase in student fees budgeted in the

Operating Budget. Included in the 1993-94 Operating Budget

is an increase in the Universities' non-resident tuition

from the fiscal year 1992-93 level of $4050 per year to

$4300 per year effective Fall semester 1993. Registration

fees for UNR students increased $1 per credit to $55.50 per

credit which is the same as charged at UNLV for FY 1992-93.

Graduate registration fees at UNR increased by $3.50 per

credit to $77.50 per credit which is the same as charged at

UNLV for FY 1992-93.



Registration fees for the Community Colleges increased by

$1.40 per credit to $29.40 per credit. 1/2 of the registra-

tion and tuition fee increases (calculated from the pre-

surcharge levels for fiscal 1992-93) are budgeted for stu-

dent financial assistance for improving access to higher

education per Board of Regents' policy.



Vice Chancellor Sparks stated that registration and tuition

fees for the School of Medicine increased by approximately

9% over fiscal year 1992-93.



Vice Chancellor Sparks continued by highlighting the sched-

ules which summarize the fiscal year 1993-94 Operating

Budget along with detailed budgets for each appropriation

area.



A summary of 1993 approved legislative actions that affect

UCCSN's 1993-94 Operating Budget include the following:



Professional merit pool of 2% for eligible positions

and regular step-progression increases for eligible

classified positions. There are no cost-of-living

increases for the 1993-95 biennium.



Partial salary and operating expenses for new facil-

ities which will be operational during the 1993-94

fiscal year.



Mandatory vacancy savings for professional and classi-

fied positions at 1% and 3% respectively in the in-

structional budgets and at 2% and 3% respectively in

the non-instructional budgets.



Ongoing support costs of the Management Information

System, funded by the 1991 Legislature. (Computing

Services Budget)



Continuation of the Genetics Network Program initially

funded by the 1991 Legislature. (School of Medicine

Budget)



Estate tax funding for the EPSCoR program, the Student

Incentive Grant (SIG) program, and one-shot equipment

acquisitions in the UCCSN Special Projects budget. Es-

tate tax funding also for library book acquisitions in

the instructional budgets. (Universities and Colleges)



Re-establishment of the unemployment compensation as-

sessment against payroll at the rate of .22%.



There are no inflationary adjustments over prior year

costs. Operating costs in general for FY 1993-94 ap-

propriated at the lower of FY 1991-92 actual expendi-

tures or FY 1992-93 legislative approved amounts.



All formula funding methods suspended and not funded

for fiscal years 1994 and 1995; includes the instruc-

tion function formula and support services formulas.



Vice Chancellor Sparks highlighted the 1993-95 legislative

approved special appropriations and authorizations. UCCSN

received approval to expend Estate Tax Funds in the amount

of $2,500,000 for FY 94 and $2,500,000 for FY 95. The

1993-95 Capital Improvements that received legislative

approval include a total minor repairs to UCCSN in the

amount of $1,533,009, making a grand total of $10,000,000

in minor repairs and improvements. The total new construc-

tion amount is $38,263,672.



Vice Chancellor Sparks indicated that the 1993-94 Self-

Supporting Budgets, which were approved at the June Board

of Regents' meeting, are included in the 1993-94 UCCSN

Operating Budget.



Chairman Eardley questioned how the institutions handle

additional students over those legislatively budgeted, and

President Meacham stated that other area budgets are shift-

ed around to allow some allocation and faculty workloads

are increased, which will increase the ratios in the long

run. President Calabro stated that additional Chairs are

added to the clasroom to accommodate the students, but at

some point the Campus then runs out of space. President

Meacham stated that many students are being turned away.

Southern Nevada continues to increase its population which

increases the number of students seeking higher education.



Mrs. Price stated that there is more to funding higher

education than the operating budget. She referred to the

62 pages of athletic donations contained in the Consent

Agenda's gift list.



Mrs. Price questioned whether the Community Colleges were

finding it difficult to collect the 40 cents from the $29.40

per credit fee. Vice Chancellor Sparks indicated that the

Board of Regents' policy states than an increase in tuition

and fees can be no more than a 5% increase and that is how

the $1.40 increase was determined for the Community Col-

leges.



Additional discussion is found after item 13.



13. Information Only: TMCC Faculty Presentation



Vice President of Academic Affairs John Scally introduced

the TMCC faculty who presented information on several pro-

grams offered at TMCC. They were as follows:



Charlotte Cox, Assistive Technology

Cathy Catania, Assistive Technology

Larry Tuteur, Assistive Technology

Jonathan Young, Automotive Technican Educational

Cooperative (ATEC)

Matt Williams, ATEC student

John Hunt, ATEC student

Dan Mc Clure, Substance Abuse Program

Mike Lindeman, Substance Abuse former student

Deborah Baker, Radiologic Technology

Will Hickman, Tech Prep

Dick Brand, Basic Law Enforcement Academy

Alan Mentzer, Basic Law Enforcement Academy



The presentations were well received by those in attendance.



The open meeting recessed at 5:10 P.M. and reconvened at 8:30

A.M. Friday, September 10, 1993 with all Regents present except

Regents Berkley, Foley, Hammergren, Klaich, Sparks and Whitley.



12. Approved UCCSN FY 1994 Operating Budget (continued)



Mrs. Price expressed the need to address budget questions

in a public forum and asked the following questions which

were answered by Vice Chancellor Sparks:



Does the UCCSN FY 1994 Operating Budget reflect only

State funds?



No.



Are there other funds?



Self-Supporting Budgets.



Where are the foundation funds?



Foundation funds are not budgeted funds.



In regard to the Consent Agenda, how are those gifts

from the foundation reported?



If the foundation makes a gift to the institution,

it is deposited with the System Treasury and then

expended.



When are the foundation funds reported?



Annual financial statements include expenditure

of funds and all sources of income.



What is the percentage of amounts expended?



The State Supported Budget is approximately 75% of

the total budgeted funds expended.



Regarding the gift list, how do the funds come in?



All funds are accountable in the institution

records and are received by either check or wire

transfer.



Of the amounts received last year, did the System have

a good year?



Yes, as reflected in the Deloitte & Touche report

under increase in fund balances. However, the

situation is likely to reverse because of the State

budget cuts. UCCSN will receive approximately

$194.2 million this year in State general funds.



Is this a decrease?



No, it's an increase of $8.5 million over the actual

amount of general funds received in FY 1993. There

will be no increase for the second year of this

biennium.



Mr. Klaich entered the meeting.



With the Presidents having unlimited transfer authority

what is the role of the Regents in the allocation of

funds?



The Board of Regents and the System are governed

by the State Budget Act. When funds are appro-

priated to UCCSN they are appropriated to the in-

stitutions, in most cases. Some large appropria-

tions, such as salary adjustments, might be appro-

priated directly to the Board of Regents. The in-

stitutions develop a work program for those funds

-- the Operating Budget -- which is approved by

the Board of Regents. The Operating Budget indi-

cates how the institutions will spend their appro-

priations provided by the Legislature. The System

cannot exceed that legislative approved amount

without going back through the State Budget Office

and/or the Interim Finance Committee to augment

those budgets. The Legislature does not dictate

that the institutions may only spend the appropri-

ation for one specific purpose and appropriations

may not be transferred between budgets.



In terms of an institution, if they have a crisis that

needs to be addressed through transferring of funds,

does the institution notify the Vice Chancellor of

Finance?



Yes.



If the institution needs more money, can we appropriate

it from another source?



There is no other source. However, if the insti-

tution collects more money as a result of increased

student enrollment at its institution, which pro-

duces increased revenue, then through the Budget Act

the institution may augment those budgets through

the State Budget Office and/or Interim Finance Com-

mittee.



So there is no relation between the other 25% and this

budget?



They are totally separate.



If there is a crisis within the institution, they can

transfer funds within their budget but not between budg-

ets. If there is an increase in student enrollment and

the institution is receiving more money, they have to go

through the budget process to receive authority to ex-

pend that money?



That is correct.



Is that based on FTE?



Increased FTE generates increased revenues, or an-

other example would be a different mix of students,

such as more non-resident students than resident

students from what was projected.



This year there was a change in regard to FTE. What

was the discussion on allocating a lump sum rather than

basing it on FTE?



This fiscal year's budget and next year's Operating

Budget is built without recognition of any of the

funding formulas. All funding formulas were sus-

pended by the Governor and Legislature for this

current biennium. The $194 million general fund

appropriation is an appropriation not built with

regard to student/faculty ratios, support service

formulas, or any other formulas. It is a targeted

appropriation that UCCSN was given by the State

Budget Office, subsequently approved by the Legis-

lature, without regard to the formulas.



Did that lump sum get divided between the institutions?

Did the same process of going through the State Budget

Office apply? What is the Board's role in the budget?



When UCCSN built the 1993-95 budget, as UCCSN was

going through the process with the Governor, the

Governor gave UCCSN a target appropriation of $194

million and allowed UCCSN (Presidents and the Board

of Regents) to allocate the funds by the area of

need with regard to our highest priorities, with

the final authority resting with the Board of Re-

gents.



What did the Board do with the allocation of funds?



The Chancellor's Office prepared a plan with the

Council of Presidents as to how the $194 million

would be allocated. The budget was submitted to

the State Budget Office and it was included in the

Executive Budget which was presented to the Legis-

lature. The Legislature approved the budget and

appropriated the funds back to UCCSN.



Did the process change any?



The process changed a great deal from the Executive

Branch side. For the first time the Governor and

the Legislature suspended all funding formulas and

went to a targeted appropriation concept. The con-

cept is that here is all the funding the Legislature

can appropriate to higher education. UCCSN must

inform the Legislature how the appropriation is

going to be expended, without regard to student/

faculty ratios or anything of that nature.



Regents Berkley, Foley and Sparks entered the meeting.



Chairman Eardley suggested that a workshop session be sched-

uled to further discuss the budget process.



Mrs. Price thought that an orientation meeting was going to

be scheduled by Vice Chancellor Sparks to orient the Regents

on the budget process. Vice Chancellor Sparks responded

that the Chancellor has indicated that it would be appropri-

ate to have a workshop for the Board on the budget process

in conjunction with the setting of the budget parameters

for the 1995-97 biennial budget. This normally occurs

around the January or February Board of Regents' meeting.



Mrs. Price stated that she was very interested in knowing

about the other 30% of expenditures. Vice Chancellor Sparks

indicated that it is clearly detailed and reported through

the process. Mrs. Price stated that she was not under-

standing the allocation.



Mr. Klaich moved approval of the 1993-94 UCCSN Operating

Budget. Mr. Foley seconded. Motion carried.



14. Discussion on the Handbook Addition, Guidelines for Use of

Student Fees in Direct Financial Aid



In October of 1992, the Board of Regents approved that

"Beginning Fall 1993, an amount equal to 50% of all tuition

and fees increases dedicated to the State budget will be

earmarked for student financial assistance for improving

access to higher education." It is estimated that funds

for this purpose will amount of $1.76 million in 1993-94

and $3.01 million in 1994-95. Ref. D contains proposed

guidelines forwarded by the UCCSN Student Affairs Council,

which are filed in the Regents' Office.



One revision in the proposed guidelines in Chapter 18, Sec-

tion 16, is as follows:



Part 1 -- General Guidelines, Number G. The Chancellor

recommends that these funds be awarded for need-based

programs only. It is clearly stated in Board policy

that these funds are to be used to improve access.

Nevada ranks last (51st) in the nation for the amount

of State need-based student aid awarded per enrolled

student. Allocating this money to need-based programs

will assure that it is being used to improve access for

Nevadans who otherwise might not pursue a postsecondary

education.



Interim Chancellor Richardson indicated that the financial

aid program is geared to the distribution to students on a

"need-base". Mr. Klaich stated that he was very sympathetic

to those students in need. However, they would like to see

Nevada's institutions become the institution of choice for

resident students. He suggested that the financial aid

funds also be made available to "best students". Mr. Klaich

requested a report be given in the future on the Honor's

Program.



Dr. Derby stated that she was uncomfortable serving on the

Board with Nevada being the 51st state to give to needy

students, and she wanted this issue reviewed and resolved

in a timely fashion.



Interim Chancellor requested that this item be withdrawn

for further review and brought back to the Board for con-

sideration.



15. Approved Personnel Title Change, NNCC



Approved a personnel title change from Dean to Vice Presi-

dent at NNCC which would bring the titles in accord with

other System Community College Officers:



Stan Aiazzi, Vice President for Student Services

Bill Bonaudi, Vice President for Academic Affairs

Carl Diekhans, Vice President for Administrative

Services



Mrs. Gallagher moved approval of the personnel title change

from Dean to Vice President at NNCC. Mr. Foley seconded.

Motion carried.



NNCC Faculty Senate Chairman Scott Hawkins indicated that

NNCC's faculty strongly recommended approval.



16. Approved Emeritus, UNR



Approved emeritus status for Dr. Pete Perriera, Director

of the Jot Travis Student Union, Emeritus, to be effective

September 30, 1993.



Mr. Klaich moved approval to grant emeritus status to Dr.

Pete Perriera, Director of the Jot Travis Student Union

at UNR, effective September 30, 1993. Mrs. Sparks second-

ed. Motion carried.



17. Approved Amendment, UCCSN Code, Name Change



The 1993 Nev. Stats. ch. 195 (SB 314) was signed by the

Governor on June 7, 1993. The statute becomes effective

July 1, 1993. This law was enacted primarily to change the

name of the University of Nevada System to the University

and Community College System of Nevada. Section 6 of the

statute also provides that the System is comprised of such

branches and facilities as the Board of Regents deems appro-

priate. The proposed UCCSN Code amendment, a technical

amendment implementing this provision, is as follows:



1.4.3 Branches and Member Institutions. The branches of

the University of Nevada and the member institutions

of the University and Community College System of

Nevada are: University of Nevada, Reno; University

of Nevada, Las Vegas; Desert Research Institute;

Community College of Southern Nevada; Northern

Nevada Community College; Western Nevada Community

College; and Truckee Meadows Community College.



The proposed amendment was circulated to the Chancellor,

the UCCSN Presidents and the UCCSN Faculty Senate Chairs

for Section 1.3.3(a). No comments were received.



Mrs. Berkley moved approval of the amendment to the UCCSN

Code regarding the name change for the System. Mrs. Galla-

gher seconded. Motion carried.



Mr. Foley left the meeting.



18. Information Only: Amendments, Board of Regents Bylaws,

Committees



Chairman Eardley requested that General Counsel Klasic pre-

pare amendments changing the standing committee provisions

of the Board of Regents Bylaws as contained in Ref. E, filed

in the Regents' Office.



Board of Regents Bylaws amendments require two readings at

successive meetings of the Board before action can be taken.

This is the first reading of these proposed amendments.

Action will be taken at the Board's October 20-21, 1993

meeting.



Chairman Eardley explained that the Academic, Research and

Student Affairs Committee was an effort to combine 3 areas.

Dr. Hammargren, as past Chairmen of the Research Committee,

had recommended that research matters should come under the

academic area. Chairman Eardley had long felt that student

issues had not been getting proper attention through the

committee structure.



Dr. Derby stated that she felt this move would compartmen-

talize student affairs when student concerns arise in almost

every area under consideration in all the committees. Mrs.

Berkley stated she felt research was a part of academics

and should not be so named in the committee title. She

added that she felt there should be a Student Affairs Com-

mittee of the Whole. Mrs. Price felt that committees pri-

oritize Regent concerns; that the restructuring of this com-

mittee was too broad; and that there should be a separate

committee for research. Mrs. Sparks stated that she felt

there should not be a research committee, but that periodic

reports could be given to the Board by the research Vice

Presidents and that student affairs should be a separate

committee.



Mr. Klaich stated he felt there were too many committees

for the Board currently, and that all Regents want to be

involved in major issues. He agreed that research activi-

ties should be reported to the Board on a quarterly, or

other basis, and that student affairs is a function of

the whole Board, as are budget matters.



Mr. Foley returned to the meeting.



Mrs. Gallagher suggested that the Board might consider doing

away with committees since the present structure doesn't

seem to be working and because all members need to be in-

formed. Dr. Derby felt there was a function for committees.



Chairman Eardey reminded the Board members that he had

written each member when he restructured the committees

asking for input and only had heard from 4 members. He

stated that recently committee members have not been

attending and in some instances there has not been a quorum

unless a non-committee member happened to attend. He asked

that the members give him their written opinions prior to

the next meeting.



Interim Chancellor Richardson stated there are two ways to

organize a Board: 1) meet as a committee of the whole and

then create ad hoc committees for specified terms to deal

with special issues, or 2) have an agreement to the com-

mittee structure in which the members participate. He

acknowledged that the Board must resolve this issue, and

keep in mind that the way the Board structures its work is

very important to how the staff work is structured. He

related that he has discussed with the Presidents that the

System has too many committees, and too many committees

which do not function well and which take up a great deal

of time and money. Interim Chancellor Richardson stated

that the System should operate collegially, but there should

be consideration given to restructuring how the Board func-

tions and how the System functions as well. He related that

his office is reviewing systemwide committees and their

missions and assignments.



Mrs. Sparks stated the Board should maintain the Investment

Committee and Audit Committee as standing committees; Aca-

demic Affairs, Student Affairs and Budget should be held

as committees of the whole; and all others should be ad hoc

committees with specific time lines and specific assign-

ments.



Mrs. Berkley disagreed, and felt the Status of Women Com-

mittee should remain a standing committee to ensure certain

activities take place on the Campuses. She stated that

creating the committee makes an important statement for

the Board. She suggested changing the name of the Legis-

lative Liaison Committee to possibly Government Affairs,

and stressed that existing on an ad hoc basis only during

the legislative session would not provide the focus needed

by the System.



Dr. Derby related she had attended a session at AGB which

felt that committees provided a very positive structure

which enabled Board members to become engaged in certain

areas where they might not be able to do so in a formal,

public Board meeting with so many issues to be considered

within a limited time frame. She stated she did not feel

the Board should just be limited to committees concerned

with financial areas.



Mrs. Sparks stated she felt the Board had acknowledged a

need on the Campuses and within the System for Status of

Women issues, and now that the Campuses have strong commit-

tees, the Board should now limit its involvement in this

area for an oversight position, with reports to the Board,

perhaps annually. Dr. Derby stated that at the last com-

mittee meeting, the Campus Chairmen were present and had

supported a strong Board committee.



Mrs. Gallagher stated that she feels the committee structure

is the best way to go because it gives a small group an op-

portunity to develop expertise in a particular area. She

stated that this Board does not do that, but the Board sits

through the committee meeting, has a report, and immediately

votes on the report, then sits through another committee and

repeats the process thereby defeating the committee purpose.

Mrs. Gallagher felt the Board should consider hearing more

information items, or hold workshops, on the positive pro-

grams going on within the System. She argued for allowing

the committees to work outside the Board meetings and bring

their reports to the Board.



Mr. Klaich agreed with the Chancellor's comments, and held

the position that the time of the full Board meeting should

be used to better advantage. He explained that the Status

of Women Committee, while focused on a narrow segment, has

been effective by meeting outside the Board meetings. He

stated that the Board needs to recognize that most of the

work has to be done on the Campuses.



Mrs. Sparks stated that she felt the financial matters

could be handled more easily in small committees, whereas

the obligation of the whole Board is to academics and the

institutions.



President Crowley stated he felt the discussion has been

very good because it has pointed up the strengths and weak-

nesses of the committee structure for this Board. He added

that he felt the plethora of committees has contributed to

the sense of divisiveness on the Board, and has produced at

times a very ample measure of uncertainty as to what the

Board or some of the members of the Board believe is the

proper role of its Administrators and the proper role of

the Board. It has seemed to Administrators that some of

the things the committees have been doing are the reasons

that Presidents are hired. It is part of the ancient debate

of the line that is drawn between policy and administration,

and in recent years that line has been crossed a lot more

than previously was the case. This plethora of committees

has led to quite an abundant increase of the workload on

the Campuses, and the Chancellor's Office. President

Crowley added that a structure should be built for the

Board, including committees deemed appropriate by the Board,

that will not exacerbate this very serious situation, but

will contribute to building a greater harmony within the

System.



Mrs. Price questioned how a Board member would know whether

there was a vacuum in Administration if there weren't com-

mittees to delve into specific areas. President Crowley

stated there is no ready answer; however, the Board should

have an overall sense of how the Presidents are doing; that

the Board either wants them to administer their institutions

or the Board wants to help them to administer those insti-

tutions. The Board can determine how well an Administration

is doing by the information it receives; however, the term

floating around the System now is that the Board is "micro-

managing" the System. It is a question of how much the

Board trusts its Administrators.



Dr. Derby stated she does understand that committees neces-

sarily do create more work for System staff and Campuses,

but so does the Board. She argued for the committee system,

the work that is required, and the involvement of all seg-

ments of the System.



President Maxson agreed with President Crowley's remarks,

and urged the Regents to consider the time factor when

scheduling meetings. If committees are to meet other than

during regular Board meeting days, he urged that appropriate

Vice Presidents or others be authorized to represent the

institution, thus freeing the time of the President. The

President would attend if the Chairman or Chancellor so

indicated.



Mr. Graves felt there should be committees, carefully cho-

sen, to assist in the deliberations of the Board, and fur-

ther felt that some of the committees have made great

strides and brought forth programs, changes, issues which

bring great pride to the System.



President Gwaltney suggested that a new Chancellor would be

instrumental in helping bring the System structure together.

He stated the question for the Board is not as much how it

is structured, rather a question of how the Board centers

the authority of the System with the Chancellor. Authority

can be carved off and given to committees, or authority can

rest with the Chancellor. Committees can be very valuable

to a Board as informational tools.



President Remington agreed with President Crowley and added

that a critical issue is how intrusive the committees be-

come on the Campuses, and whether or not the "grand looping"

occurs as a result of that situation. He suggesed that

each institution has formal channels: a Faculty Senate

Chairman who has the confidence and trust of the faculty;

a Student Government President who has the confidence and

trust of the students; and the President. The Board might

make a charge to the President and let that individual work

with appropriate individuals on the Campus, and then be

judged in terms of progress made in that regard.



Mrs. Berkley stated there have been discussions with Inter-

im Chancellor Richardson concerning the role of the Board

in Presidential evaluations. She indicated the Board in

the past few years has taken the responsibility to fill

what it has perceived as voids in certain areas in which

perhaps they should not have been involved. She suggested

that this may resolve itself when a new Chancellor comes

on board, and felt the Board should not make any determina-

tions until that person is in place.



President Meacham urged the Board to be cognizant of the

time and expense of requiring Campus people to attend all

committee meetings inasmuch as the System is in such a

budget crunch.



President Calabro stated the structure of the Board may not

be as important as having everyone willing to make it work.

He pointed out the System does have a good flow stream to

follow for efficiency: academics, finances, students.



Chairman Eardley stated he would work closely with Interim

Chancellor Richardson in reviewing this discussion and re-

port back to the Board at the next meeting.



19. Information Only: Amendments, Board of Regents Bylaws,

Chancellor's Position



In accordance with discussions held at previous Board of

Regents' meetings, proposed amendments pertaining to the

Chancellor's job description are contained in Ref. F, filed

in the Regents' Office.



Board of Regents Bylaws amendments require two readings at

successive meetings of the Board before action can be taken.

This is the first reading of these proposed amendments.

Action will be taken at the Board's October 20-21, 1993

meeting.



Mr. Doug Burris, Director of Community College Affairs,

reviewed the proposed bylaw amendments.



Mrs. Price asked that a time-line be added to the evalua-

tion of the Presidents. It was pointed out that a time-

line is included in the procedures contained in the Hand-

book. In a question concerning preparation of the agenda,

Chairman Eardley explained that the Chancellor prepared the

agenda in consultation with the Chairman of the Board, and

the Chairman does approve the final agenda. Mrs. Price

stated that preparing the agenda is a crucial item. In (i)

Mrs. Price questioned the role of the Chancellor for audits

of the System. Interim Chancellor Richardson stated that

providing for internal audits is the management of the in-

ternal audit staff, and for independent auditors, the role

would be to recommend an independent auditing firm.



Mrs. Gallagher stated she has always felt the auditing func-

tion should be accountable to the Board and should serve

at the pleasure of the Board, not the Chancellor, although

they are located in the Chancellor's Office and the Chancel-

lor would manage their work. Chairman Eardley stated there

is a Vice Chancellor who is head of audit; but independent

auditors report to the Board's Audit Committee.



Mrs. Sparks stated that the System Office was only involved

with sending out the RFP which called for external auditors,

and the Audit Committee spent two full days interviewing the

various firms. The RFP was developed by the Audit Committee

and the staff. The Board made the selection of the external

auditor. This procedure had not been the case in previous

selections.



Mr. Graves concurred with Mrs. Gallagher, but stated he

interpreted the bylaw proposal a little differently. He

read the change as the Chancellor being responsible for the

audits of the member institutions in concert with the Board,

and that the Board would be responsible for the audit of

the Chancellor's Office. Mr. Graves also felt the auditors

should report to the Chancellor and the Board.



Mrs. Gallagher stated her main concern was with the appoint-

ment of the outside auditors. Mrs. Sparks stated that the

Chancellor has nothing to do with the selection of the ex-

ternal auditors, and they do report directly to the Board.

The internal auditors, comprised of a Regents' committee

and staff, audit the institutions. The external auditors

audit the internal auditors, which provides a check and

balance.



Mrs. Gallagher asked that the wording of item (i) be changed

to reflect current practices.



Mrs. Price stated that the reporting lines of the organi-

zation chart should be with a dotted line to the CEO and

a solid line to the Board. She suggested that (i) be re-

moved from the position duties.



Mr. Klaich felt a Chancellor could not be responsibile for

the administration of the entire UCCSN, and would in fact

be coordinating the administration of the System. He re-

lated that the word "coordination" within the System ap-

pears to mean "weak", when in actuality it does not.



Mr. Klaich also felt the Chancellor should play a much more

active role in Presidential evaluations (l), but felt it

was still a role of the Board. Dr. Derby agreed, and sug-

gested that item be written to include the Board's role.

She expressed her agreement with the evaluation process

where important constituencies are invited to have input.



Dr. Derby stated she felt other states had far more refer-

ences to the Board and that the authority of the Chancellor

is derived from the Board, and the responsibilities of the

Chancellor derive from the delegation by the Board. She

asked that a clearer statement be made. Suggestions were:

"the Chancellor works closely and effectively with the

Board"; "takes direction from the Board"; "responsibility

of the Chancellor is delegated by the Board"; "governing

authority of the Board".



(k) Other State documents were more specific in their

language in terms of staff: the Chancellor was expected

to select, evaluate and remove staff in the Board's Office

according to certain evaluation procedures; is responsible

for the direction of the staff following the recommendations

of the Board, etc. Dr. Derby wondered whether with not be-

ing more specific about expectations of the position there

would be a correlation of the dysfunction within the Sys-

tem.



Mr. Foley stated that the statement, "The Chancellor may

delegate any of the duties of the Office unless expressly

prohibited by Board policy." should be removed from the

job description inasmuch as the Chancellor must be held

responsible for the System.



Mr. Graves stated he felt the Chancellor was responsible

for the administration of the sytem with the President's

reporting to the Chancellor, and felt the job description

did describe the situation with the Chancellor being

responsible to the Board. With regard to evaluating the

Presidents, Mr. Graves felt that the Chancellor should

have the background to do the evaluations and report and

recommend to the Board.



Mrs. Gallagher stated she felt the agendas should be pre-

pared in collaboration with the Chairman, and, in the case

of committees, with the Chairman of the specific committee.

She added that the position should be structured so that

the Chancellor, the Presidents and the System could "survive

a Board of Regents". (e) She felt that official communi-

cations should be made in concert with the Chairman of the

Board. (f) Remove the word "policies" because that is the

prerogative of the Board. (k) The Secretary of the Board

should report to the Board and be the right hand of the

Chairman. (l) The Board of Regents should have input into

the evaluation of the Presidents, but the Chancellor should

do the general evaluation.



Mrs. Berkley felt the Secretary should report to the Chan-

cellor, with the Chancellor doing the evaluation. She felt

at the present time there was no reporting or evaluation

structure for that position.



Dr. Derby felt (l) should be "appointing and evaluating

authority". She felt the evaluation process is critical

to the System.



Mrs. Sparks and Mr. Foley agreed that the term "coordina-

tion" should be eliminated from the job description.



Interim Chancellor Richardson stated that he had not de-

cided whether to become a candidate for this position and,

in order to minimize his involvement, had deliberately

delegated the responsibility for working with the Board

to the staff. He reminded the Board that the staff had

only reflected what the Board had stated at a prior meet-

ing and only had modified existing bylaws. It needs to be

recognized that there is additional language in the Hand-

book beyond the bylaws which deals with the responsibility

of the Chancellor, the Presidents, the delegation of author-

ity, etc., and that not all is reflected in the bylaws,

nor should it be. He continued that the Board must be sat-

isfied with the job description before a search commences.

He added that the staff would prepare another draft for

consideration based on these remarks.



General Counsel Klasic cautioned that some of the remarks

made are diametrically opposed to each other, which will

be difficult for the staff, and wanted the Board to under-

stand that choices will have to be made by the staff for

the next draft.



Dr. Hammargren entered the meeting.



20. Discussion on Health Care for UCCSN Employees



The UCCSN Faculty Senate Chairs presented a proposal for

action on health care for System employees, Ref. I, filed

in the Regents' Office.



UNLV Faculty Senate Chairman John Swetnam distributed

additional information which is filed in the Regents' Of-

fice. He explained what is being proposed by the State

Committee on Benefits and the effect it will have on State

employees, especially the System employees. The Faculty

Senate Chairs and Classified Council Chairs requested the

Board to request that the State of Nevada Board of Examin-

ers and the Interim Finance Committee consider a $2 million

annual emergency appropriation to the State health care

funds, including both the self-funded plans and health

maintenance organizations.



Interim Chancellor Richardson indicated earlier in the meet-

ing that he has appointed experts within the System to serve

on an ad hoc Committee on Health Benefits.



Mr. Graves stated the Board was very sympathetic with this

problem, but emphasized that health care is a national

problem in the public sector and the private sector.



Vice Chancellor Sparks prepared a statement indicating that

NRS 287.044 restricts the amount of State appropriated funds

for the payment of employee group health insurance premiums

to the "amount specified by law". That amount is currently

set at $213.75 per employee for FY 1994 and $226.50 for FY

1995. In addition, NRS 298.044 states, "if an Officer or

employee chooses to cover his dependents, when this option

is made available by the committee on benefits, he must

pay the difference between the amount of the premium or

contribution for the coverage for himself and his depend-

ents and the amount paid by the State." Therefore, the

emergency allocation that has been suggested may not be

used to pay for group insurance premiums for dependent

coverage.



Mr. Graves stated he did not feel comfortable approaching

the Interim Finance Committee because of the information

provided by Vice Chancellor Sparks.



Mrs. Berkley disagreed and felt the Board should approach

the Interim Finance Committee for the allocation of $2

million per year for two years for the State's health plan.

She stated that this issue is a legislative issue, and felt

the Legislative Liaison Committee should be addressing this

specific issue.



Mrs. Gallagher stated that many health care issues will be

addressed nationwide and there may be a great shift from

health care as it is known now to a limited and greatly

changed health care system.



Mr. Klaich agreed with Mr. Graves' comments. The Board of

Regents does support its employees: however, by making such

a request it is producing illusion for the employees' be-

cause it cannot be attained.



Dr. Hammargren stated that he requested this item be placed

on the supplemental agenda and supports the request by

Faculty Senate Chairs and Classified Council Chairs. He

requested that he be informed when the ad hoc Committee on

Health Benefits would be meeting. Mr. Graves suggested

that the ad hoc Committee on Health Benefits forward its

recommendations to the Board for consideration.



Ms. Candace Kant, NFA President, informed the Board that

employees have been surveyed and NFA endorses the request

posed by the Faculty Senate and Classified Council Chairs.



Interim Chancellor Richardson suggested that the Board look

at this crisis issue in terms of other System priorities.

If the Board were given $4 million, would they allocate

this money for employee health insurance? He felt that

the request is illegal and in vain. The proper request

is to ask the Governor to call for a special session of

the Legislature to address this issue and have the Legis-

lature vote on the issue. He did not want the System to

appear foolish if they were to approach the Interim Finance

Committee in this manner.



Dr. Derby stated she agreed with all that was being stated;

however, she leaned more towards sending a message to the

employees. She does care about the employees, but indicat-

ed that this was not her highest priority. It is a very

difficult issue.



Mr. Graves moved approval, in lieu of the facts presented,

to direct the ad hoc Committee on Health Benefits to submit

recommendations to the Board and defer this issue until the

October Board of Regents' meeting for action. Mrs. Gal-

lagher seconded.



UNR Faculty Senate Chairman Phil Boardman stated that this

issue is more pressing than indicated. He suggested that

the Board of Regents unanimously approach the Governor with

a proposal on this issue. It was his understanding that

the ad hoc Committee on Health Benefits will be addressing

a long-range strategy for the System, and will not be able

to solve the immediate problem within the next three weeks.



Dr. Hammargren moved approval to ask the Governor to evalu-

ate this issue and suggest to the Governor that he request

the Interim Finance Committee to consider the Faculty Senate

and Classified Council Chairs' recommendations, and request

the Governor to respond back to the Board of Regents. Mo-

tion failed due to lack of a second.



President Gwaltney supported the concept to challenge the

various bodies and suggested that they be invited to join

UCCSN in finding a solution to this problem.



Mr. Graves withdrew the original motion. Mrs. Gallagher

withdrew the second.



After a discussion on what was to be included in the resolu-

tion, it was suggested that a strong letter be forwarded to

the Governor along with the resolution.



Mr. Klaich moved approval of the Board of Regents to author-

ize the Chairman of the Board and the Chancellor to draft

and forward a letter to the Governor and appropriate legis-

lative leadership a resolution expressing our deep concern

regarding the underfunding of health care in the State and

the serious negative impact on the health and security of

UCCSN employees. The Board of Regents urges them to do

everything in their power to find both long and short term

solutions to this crisis including the infusion of funds

from Interim Finance Committee to the State insurance fund

if possible. Mrs. Gallagher seconded. Motion carried.



President Gwaltney introduced Mrs. Marsha Lindeken, Assistant to

the President.



The open meeting recessed at 11:55 P.M. and reconved at 1:00

P.M. Thursday, September 10, 1993, with all Regents present

except Regents Foley, Hammargren and Whitley.



21. Information: Qualifications, Position of Chancellor



In accordance with discussions held at previous Board of

Regents' meetings, Ref. G, filed in the Regents' Office,

contained a proposed set of qualifications for the position

of Chancellor. A proposed position announcement was also

included.



Mr. Doug Burris, Director of Community College Affairs, re-

viewed the proposed 17 qualifications, and indicated that

there are 3 items under educational credentials. Staff

preference is for item 15, although the choice has been

left to the Board. He explained that this document is for

internal use, although occasionally a candidate will re-

quest a detailed job description of qualifications. It is

also a very important document for use during review of

applications and in the interview process.



Dr. Derby asked that something similar to "demonstrated

ability to work with the governing Board in an effective

way" be added. (3)



Discussion ensued on the educational credentials. Staff

recommendation of item 15 was explained as 1) allowing a

larger applicant pool; 2) the Presidents had earlier re-

lated that a Ph. D. was not necessary, that the competence,

experience and respect was much more important; and, 3)

few institutions today list "earned doctorate" in their

advertisements. It was explained that a "terminal degree"

means the highest degree available in the person's disci-

pline; i. e., Master of Fine Arts, J. D. in law, etc. It

was pointed out that under affirmative action, if the posi-

tion announcement is limiting in the area of a degree, and

during the search someone without the earned degree becomes

available, then that person could not be considered.



22. Approved Handbook Change, Regents' Professor



The current policy for Regents' Professor calls for the

costs to be borne by the Board of Regents. The following

Handbook change, Title 4, Chapter 3, Section 12, Presiden-

tial Transition, is requested:



6. To the extent practicable, and where not inconsistent

with the individual's assigned teaching duties at the

institution, the costs and salary and fringe benefits

of Regents' Professorships shall be borne by the UCCSN

institutions. The costs and salary and fringe benefits

for the Chancellor's Regents' Professor shall be borne

by the Board of Regents.



After reviewing the potential fiscal liability for this

policy, the Chancellor's Office and the Presidents recom-

mend that the costs for the Presidents' Regents Professor

should be borne by the Campuses and that the costs of the

Chancellor's Regents' Professor should be borne by the

Board of Regents. Vice Chancellor Sparks reported that

currently the potential fiscal liability for the Board of

Regents would be excess of $1 million for Chancellor and

the Presidents.



Mr. Klaich suggested that the entire policy be disbanded.

However, Chairman Eardley reminded the Board that this

policy was recommended by a committee, Chaired by President

Crowley, and the Board of Regents approved the policy.

President Crowley stated that the committee reviewed the

leave policy and the job separation policy for Presidents.

The committee originally viewed this policy as the insti-

tution's responsibility. The current policy contends with

the President's leave at separation and a salary step down

if the President should return to the classroom, which ten-

ure does not address.



Mrs. Price indicated that while in attendance at the Associ-

ation of Governing Board's meeting, she heard that this type

of policy gives job security to the President and Chancellor

and the policy should be discontinued.



President Crowley stated he was offended by Mrs. Price's

remarks. It usually is not a bad circumstance to have a

former President on the Campus, and that at times it is

much more difficult to have a Dean step down without tenure.

This is a very important policy for the Board of Regents to

maintain.



Mrs. Gallagher moved approval of the Handbook change re-

garding Regents' Professor. Mr. Graves seconded. Motion

carried.



23. Approved Lease, Sam Boyd Silver Bowl, UNLV



Approved a 5-year lease between Las Vegas Major League

Sports, Inc. (a member of the Canadian Football League)

and the Sam Boyd Silver Bowl at UNLV.



The season will begin in June 1994 and run through November.

The lease would be a 5-year agreement with a 5-year option.

The Canadian Football League is expanding into this country

with expectations of 9 teams in the United States by 1996.

One of these 9 teams is to be located in Las Vegas and has

the potential to net nearly $1 million per year.



The owner, Nick Mileti, has a very strong background in

major league sports having owned the Cleveland Indians

and the Clevelend Cavaliers. His financial involvement

is already guaranteed at $6 million dollars which will

help ensure viability of the franchise for at least the

next 3 years.



This lease arrangement will provide UNLV the potential which

this major tenant will offer to continue its goal of main-

taining self-sustaining facilities.



President Maxson introduced Mr. Pat Christenson, Director

of Thomas Mack Center and Sam Boyd Silver Bowl.



Mrs. Price stated that she had a problem voting on this

matter without seeing the lease agreement. General Counsel

Klasic furnished her the lease agreement.



Regents Gallagher and Price left the meeting.



The item is continued after item 24.



24. Approved the Construction of a Building, UNLV



Granted permission to build a satellite food service build-

ing, approximately 1200 sq. ft., with a construction cost of

$140,000 on the UNLV Campus. The funds will be provided by

the Moyer Student Union reserves, such as student fees,

bookstore revenue, and food service revenue.



This building will also require approval by the Interim

Finance Committee and the State Public Works Board.



This facility, requested by students and faculty, will pro-

vide a fast food area across Campus from the Student Union.



Mrs. Sparks moved approval of the construction of a satel-

lite food service building on the UNLV Campus. Mrs. Berkley

seconded. Motion carried.



ASTM President Don Isler introduced David Mosley, ASTM Vice Pres-

ident, and Kathleen Chapman, outstanding student.



Regents Gallagher and Price returned to the meeting.



23. Approved Lease, Sam Boyd Silver Bowl, UNLV (continued)



Mr. Klaich moved approval of the 5-year lease between Las

Vegas Major League Sports, Inc. and UNLV. Mrs. Sparks

seconded.



Mr. Klaich stated that as a Regent, he is not obligated to

read lease agreements and will resist the movement of mem-

bers of the Board having to review every lease agreement.



Mr. Graves and Mrs. Price directed the Chancellor to ensure

that Board members receive lease and contract agreements

prior to consideration at a Board meeting.



Upon questioning, Mr. Christenson clarified that a $50,000

up-front deposit would be made by Las Vegas Major League

Sports, Inc. and that regular payment would be made after

each game to the University.



Mrs. Sparks agreed with Mr. Klaich and added that staff is

hired to review thse documents prior to the Board's ap-

proval. She stated that copies could be made available

upon request by a Regent, but it is not the Board's obli-

gation to micro-manage and tell staff how to perform their

duties.



Interim Chancellor Richardson cautioned the Board members

by stating that he signs 5-15 contracts per day each day

of the week on behalf of the Board of Regents. This par-

ticular item was placed on the agenda because he felt the

Board of Regents should be made aware of the proposal. He

stated that if the Board is uncomfortable with its staff's

recommendation, then they should hire other staff.



Mrs. Price agreed with Mrs. Sparks; however, if a lease

agreement or contract comes before the Board of Regents,

she felt that the members should review the documentation

prior to approval. Dr. Derby felt that it was not wrong

for members of the Board to receive more information.



Interim Chancellor Richardson stated his frustration in

that the Board of Regents and the Chancellor and staff

needs to know the ground rules in which to work.



There was further discussion on whether Regents should

review all contracts and it was determined that if an

item appears on the agenda concerning contracts or leases

Board members should call staff if they wish to review

documentation.



Motion carried. Mrs. Price abstained.



25. Approved Lease, CCSN



Approved CCSN to enter into a 5-year lease, with an option

for renewal, with the Bureau of Land Management, for 80

acres located in Laughlin, for the purpose of developing

a Community College.



Mount Diablo Meridian

T. 32 S. R. 66E, Sec. 15; N1/2 NW1/4



The rental fee per annum is $20. This lease falls under

the Recreation and Public Purposes Act of June 14, 1926 as

amended. $25,920 off-site mitigation fee is to be paid to

BLC by CCSN before surface disturbance of site to be de-

posited into the Desert Tortoise Habitat Conservation Fund

administered by Clark County.



Mr. Graves moved approval of the 5-year lease between the

Bureau of Land Management and CCSN for the purpose of de-

veloping a Community College in Laughlin. Mrs. Gallagher

seconded.



President Meacham stated that this project is included in

the Physical Master Plan for CCSN. CCSN is currently leas-

ing space in Laughlin from the local school district and

this property site is the last possible land that CCSN can

obtain from BLM.



Mrs. Price requested an agenda item to address the extended

Campus policy. Chairman Eardley stated that it was previ-

ously requested that the "Tadlock Report" be sent to each

member of the Board for its review. Interim Chancellor

Richardson indicated that this issue is still under review

by the Council of Presidents.



Motion carried.



26. Approved Handbook Change, Retirement Benefits for Resident

Physicians, UNR



Approved Handbook changes, Title 4, Chapter 7, Section 4,

Benefits - Resident Physicians, as contained in Ref. H,

filed in the Regents' Office.



The School of Medicine would like to enhance the benefits

package for its resident physicians by allowing them to

participate in a retirement plan through either TIAA/CREF

or VALIC.



Interim Chancellor Richardson recommended approval, except

for Section 4.3, which provides for payment of dependents

health insurance. This item would require further study

in light of current UCCSN health care benefit problems and

discussions.



President Crowley indicated that it would be difficult to

hire resident physicians without this benefit.



Mrs. Gallagher moved approval of the Handbook change re-

garding retirement benefits for resident physicians at

UNR with the exception of Section 4.3 which is to be re-

viewed and brought back to the Board in October. Dr. Derby

seconded. Motion carried.



27. Report and Recommendations of the Academic, Research and

Student Affairs Committee



A report and recommendations of the Academic Research

and Student Affairs Committee meeting, held September 9,

1993, were made by Regent Dorothy Gallagher, Chairman.



(1) Approved Handbook changes, Title 4, Chapter 14, Sec-

tion 9, Guidelines for Educational Telecommunications,

as contained in Ref. ARS-1a, with the exception of

item 7 (a), (b), and (c). The reference material is

filed in the Regents' Office.



Interim Chancellor Richardson informed the Committee

that item 7 of the proposed Handbook changes has be-

come a controversial issue and requested that the

Chancellor's staff conduct further review during the

academic year and report back to the Committee on the

impact of Campus program level for educational tele-

communications. A lengthy discussed ensued.



With regard to item 8 of the proposed Handbook changes,

Chairman Gallagher emphatically stated that she did

not support the division line throughout the State of

Nevada between the north and south for the 2 Univer-

sities. She felt that with cooperative agreements be-

tween UNR and UNLV, the two Universities would be able

to serve the entire State. She requested that the

item be reviewed and deleted from the proposed lan-

guage.



Interim Chancellor Richardson explained that the pro-

posed Handbook change allows for cooperative agreements

between all the institutions in the introductory para-

graph, which reads "...prior consultation and agreement

must be obtained for a Campus to offer a course out-

side of its service area". He further explained that

the geographical service area demarcation permits the

institutions to offer courses without consulting with

the other institutions. Interim Chancellor Richardson

informed the Committee that the Handbook policy has

been updated by a Systemwide Committee to reflect the

use of the UCCSN Interactive Video Network for in-

structional purposes and the Academic Affairs Council

has agreed with this policy.



Interim Chancellor Richardson indicated that there is

not a Board of Regents' policy that addresses continu-

ing education throughout the State, and felt that this

proposed policy could be utilized in developing a

policy. Chairman Gallagher requested that continuing

education policy be addressed at a later date.



Mrs. Sparks questioned at what level the consultation

and agreement would be reached and President Maxson

explained the Dean of Continuing Education would con-

sult with the Vice President of Academic Affairs and

if an agreement could not be reached at that level,

then it would be brought before the President. He

stressed that every effort would be made to reach an

agreement at the Dean and Vice President level.



President Crowley agreed with President Maxson and

stated that cooperative agreements have been made

between institutions in the past and have never

reached the President's level for resolution. Pres-

ident Maxson added that a UNR course has never been

turned down by UNLV and vice versa.



Upon questioning, Interim Chancellor Richardson ex-

plained that the System Administration Office should

not be involved in the consultation and agreement

between institutions. The institutions conduct sur-

veys of clientele in different disciplines and base

their services on the income brought forth by the

clientele. Interim Chancellor Richardson stated that

the proposed recommendations related to the operation

and support of the Network recommend that the insti-

tutions submit reports to the System Administration

Office which will provide a summary report to the Board

of Regents. He stated that the institutions will iden-

tify the shortfalls and would be reflected in the budg-

et process that is developed at the institution level.



The Community College Presidents were questioned

whether they were in agreement with item 8, and they

all responded that they supported the demarcation of

the service areas and the language that provides con-

sultation and agreement.



In addition, the Committee recommended approval and

that the item be forwarded to the Board of Regents

for consideration to accept the recommendations re-

lated to the operation and support of the Network,

as contained in Ref. ARS-1b, with Option B to include

the language "By the December 1993 Board of Regents'

meeting, the institution offering courses shall report

on the charge structure and request approval of fees

to be charged for Spring 1994 and the Academic Year

1994-95". The reference material is filed in the

Regents' Office.



The recommendations have been developed to address

scheduling of facilities and funding alternatives.



Interim Chancellor Richardson explained the proposed

recommendations and pointed out that this proposal

is not a policy for the Board of Regents' Handbook,

but issues that have been developed to address sched-

uling of facilities, faculty development, UCCSN sum-

mary report, accreditation, and funding alternatives.



In discussing the schedule, Mrs. Price questioned the

use by State government/commercial. Interim Chancellor

Richardson explained that commercial use is scheduled

for those businesses that have specific certification

requirements and time would be sold to those businesses

for teaching the courses. A short-term contract may

be issued for such practices.



Dr. Derby questioned why the Community Colleges were

not addressed under "Faculty Development", and Interim

Chancellor Richardson explained that UNR is developing

expertise in instructing users of equipment throughout

the System. It is expected that the Community Colleges

will develop expertise in this area and will offer

faculty development in the future.



Interim Chancellor Richardson explained that the oper-

ation of the Interactive Video Network may become part

of the State-supported UCCSN base budget; however, in

the interim he requested the Committee to choose one

of the options presented in the reference material.

He strongly recommended Option B which states that

students enrolling in a distance education course pay

the same credit hour fees as established for on-campus

courses, plus a variable delivery charge, depending

upon the cost of the program. The variable delivery

charge is based on the supply and demand for the course

and the institutions will have to balance the charges.



NNCC Dean of Instruction Bill Bonaudi stated that NNCC

has made a very rough estimate that it will cost $200

per course, and that WNCC has indicated that it would

probably cost their institution approxiately $200-300

per course due to rental space. UNR Vice President

Bob Hoover stated that the delivery cost should in-

clude $11-12 per hour for a technician to work the

equipment. President Maxson stated that he was op-

posed to Option A which would tax all students for a

few users. He felt that the fee would be less expen-

sive in time from savings on instructors traveling to

the rural areas. The cost should decrease as the use

increases.



Mrs. Price did not feel that students should be charged

because the student does not have personal contact with

the instructor. It is not the problem of the student

that the equipment costs money to operate and maintain.

She requested actual amounts be presented prior to the

vote by the Board.



Chairman Gallagher stated that it was her impression

that this would be an actual savings to students and

that they are amenable to a fee.



President Crowley stated that it would be difficult to

impose these additional costs on the institutions. He

indicated that there are not many telecommunications

courses because the Departments cannot incur the costs.



Dr. Derby agreed that it is difficult to vote on this

issue without any indication of what the delivery costs

are going to be for the students. Chairman Gallagher

agreed, but encouraged the Committee to allow the in-

stitutions to forge ahead until actual figures are

presented.



WNCC Vice President Lorrie Peterson stated that Nevada

does not have a track record because this is a very

new technology. She explained how WNCC arrived at the

$200-300 per course figure. She did not feel that the

rural students should be the only ones subject to an

increase in fee, but that the costs be absorbed by the

entire student body.



Mrs. Berkley stated that her constituents would be

those subject to absorb the costs for rural students

and she was not prepared to make that decision at

this time.



Interim Chancellor Richardson suggested to the Com-

mittee that it accept his recommendation to include

Option B and that student fees be addressed in more

detail by the Council of Presidents and the Academic

Affairs Council.



Upon questioning, Interim Chancellor Richardson ex-

plained that if a telecommunications course is a new

program for the institution, then it will come before

the Committee for consideration; otherwise, if it is

a current course it will not come before the Committee.



Dr. Eardley questioned whether the Capital Improvement

Fee is assessed for off-campus courses, and UNLV Dean

of Continuing Education Paul Aizley responded that per

credit fees are the same as on-campus courses; however,

the distribution of the fee for off-campus courses

remains with continuing education as a self-funded

program. Chairman Gallagher suggested that the Capital

Improvement Fee collected from students could be ap-

plied to expanding the telecommunications equipment.



Vice Chancellor Ron Sparks informed the Committee that

Presidents have the authority to approve up to $50 for

special course fees, above $50 must come before the

Board of Regents for approval.



Mr. Graves suggested that language be included to limit

the amount charged the student for the delivery fee.

This is a very important program that needs to be

implemented immediately.



Mr. Klaich stated that the receiving and delivery in-

stitutions must agree on the fees prior to the delivery

of the course.



President Calabro suggested that the fee be treated as

a special course fee and if the fee is determined to

be over $50 then it will come before the Board of

Regents for consideration.



Discussion continued on the reporting of fees since

this Fall is the very first semester for offering

telecommunication courses throughout the System.



Mrs. Gallagher moved to adopt the Handbook changes

regarding Guidelines for Education Telecommunications,

with the exception of item 7, and the recommendations

related to the operation and support of the Network

with Option B to include the language "By the December

1993 Board of Regents' meeting, the institution offer-

ing courses shall report on the charge structure and

request approval of fees to be charged for Spring 1994

and the Academic Year 1994-95." Mrs. Sparks seconded.

Motion carried. Mrs. Price voted no.



(2) Approved a name change for the Geriatric and Gerontol-

ogy Center to the Graham and Jean Sanford Center for

Aging at UNR, to commemorate a gift by Jean Sanford.

Ref. ARS-2 is filed in the Regents' Office.



The Interdisciplinary Center, which currently is sup-

ported through State funds, grants and gifts, will

expand activities as a result of the Sanford Gerontol-

ogy Endowment. This will include additional personnel,

research "seed" money, scholarships, and a speakers'

series. No additional State funds are requested.



Mrs. Price commended the program; however, she was con-

cerned with the process in which the gift was given

to the University. President Crowley explained that

the bequest from the Sanford family was bestowed to

the UNR Foundation, which in turn gifted the funds to

the University for this restricted purpose. Upon fur-

ther questioning, President Crowley explained that

there is no assessment in handling the funds, such as

there would be when handling indirect costs from fed-

eral agencies.



Mrs. Gallagher moved approval of the name change to

the Graham and Jean Sanford Center for Aging at UNR.

Mr. Klaich seconded. Motion carried.



(3) Approved a change in the title for the position of Vice

Chancellor for Academic Affairs to Vice Chancellor for

Academic and Student Affairs.



At present there is no focal point within the Chan-

cellor's Office for reviewing matters directly affect-

ing student life, for conducting research on issues

which directly bear on students, and for coordinating

the Office's activities with Campus Vice Presidents

for Student Affairs, the Student Affairs Council, and

student government representatives. Somewhat by de-

fault, responsibility for dealing with student-related

issues at the System level has gravitated toward aca-

demic affairs staff in the Chancellor's office. How-

ever, there has not been a clear designation by either

the Board of Regents or the Chancellor that academic

affairs staff are expected to assume such a responsi-

bility.



Board staff and the Vice Presidents for Student Affairs

are of the view that the Board of Regents will need to

devote greater attention to student-related issues in

the future given the changing nature of American high-

er education and the clientele it serves. For example,

such issues as student financial aid, compliance with

the American Disabilities Act, programs for minority

students, the changing nature of the composition of

the student body, and enrollment management are all

likely to play a more significant role in the insti-

tutions' fulfillment of their educational mission.



The proposed title change has been thoroughly discussed

with the members of the Student Affairs Council and it

is endorsed by the members of that body.



There is no additional cost associated with the pro-

posed change.



Mrs. Sparks questioned whether "Research" should be

included in the title for the Vice Chancellor. Chair-

man Gallagher stated that the 3 Councils (Academic

Affairs Council, Student Affairs Council, and Research

Affairs Council) will now report to this Committee.

Interim Chancellor Richardson added that the 3 Councils

do inter-relate and report through the Vice Chancellor

and to one Board of Regents' Committee. Research is

an academic matter and is encompassed within the title

change.



Mrs. Gallagher moved approval of the title change to

Vice Chancellor for Academic and Student Affairs.

Mr. Klaich seconded. Motion carried.



(4) New Business - Chairman Gallagher stated that she has

met with the Academic Affairs Council, the Research

Affairs Council, and the Student Affairs Council and

has requested that each Council discuss its parameters

with the Committee at a future meeting. Each Council

will address issues of concern at each Committee

meeting.



Mrs. Gallagher left the meeting.



28. Report and Recommendations of the Audit Committee



A report and recommendations of the Audit Committee meetings

held August 16 and September 2, 1993 were made by Regent

Nancy Price, Chairman.



August 16, 1993



(1) Chairman Price requested an orientation session for

the Audit Committee members. The theme of the ori-

entation was "Where money and responsibility come

from". Chairman Price indicated that this meeting

will be video taped and later edited and made avail-

able for any new member to the Audit Committee to

review. Chairman Price read the following excerpt

from the Board of Regents' Bylaws, Title 1, Article

IV, Section 3:



The Audit Committee shall:



a) review and evaluate internal audit reports;



b) recommend to the Board independent certified

public accountants to audit the financial

books and records of the University and

Community College System of Nevada and re-

view and evaluate the reports of such in-

dependent certified public accountants;



c) formulate and make recommendations to the

Board for policies necessary for the enforce-

ment of sound accounting and auditing prac-

tices; and,



d) make such recommendations to the Board as it

deems necessary for the correction of defi-

ciencies in management practices discovered

by audit reports.



Chairman Price stated that the success of the Audit

Committee depends strongly on the internal auditing

staff, which is understaffed at this time.



Chairman Price invited the following persons to make

presentations:



Barbara Hardman, Howard Consulting Group, who offered

information regarding Information Systems Auditing;

internal and external auditors' responsibilities; dif-

ferences between an operational audit, a technology

audit, and a financial audit; code of ethics for in-

ternal auditors; and Institute of Internal Auditors.



Mike Lloyd, Deloitte & Touche, who introduced Dennis

Gauger. Mr. Gauger is the engagement partner with

the University and has served the University during

the last 4 years. Mr. Gauger stated that the external

auditors meet with the Audit Committee several times

throughout the year. The internal auditors coordi-

nate the external auditors which keeps the hours and

costs down for UCCSN. He stated that auditors con-

tribute to the management of the System. External

auditors see that fairness of statements is maintained

and that the System satisfies the Compliance Act of

1984 (financial assistant program).



Mr. Lloyd stated that his role at Deloitte & Touche is

to oversee the entire audit and reporting process.

The Audit Committee relies on the internal and exter-

nal auditors regarding changes of control, compliance

and adequacy. Committee members do not need to know

the details, but must understand the conclusions and

recommendations made by the auditors. The Audit Com-

mittee should understand the issues and what affects

the financial statements. The Audit Committee has an

oversight function and must be able to ask the right

questions to discharge the duties. The Audit Commit-

tee must understand decision making process between

personnel management and the Board of Regents. The

Committee should not be a part of management's deci-

sion making process, because it intrudes into manag-

ing of the institutions. The Committee should devote

time to educating the members of the Committee. By

working closely with the internal and external audi-

tors, the Audit Committee will be able to enhance

accountability throughout the System.



Mrs. Whitley stated that the external auditors have

been reluctant in reporting on control mechanisms.

Mr. Gauger stated that the management letters sub-

mitted to the Committee contain recommendations to

this effect. However, the role of the external

auditors is to evaluate the controls of financial

statements and compliance with the federal finan-

cial assistance program.



Gary Crews, Legislative Counsel Bureau, discussed

management's responsibility and indicated that man-

agement's key role is "accountability". Due to the

lack of funding throughout the State of Nevada, ac-

countability is becoming more and more important.

Upon questioning, Mr. Crews rendered an opinion by

stating that the ultimate authority is the policy

setting board, which in this case is the Board of

Regents. He stated that the Audit Committee serves

as a buffer between the auditing staff and the Board

of Regents.



Mike Lloyd also serves on the UNLV Foundation and

reported on the Foundation's function.



Don Hataway, State Budget Office, reported that the

State Budget Division has performed a pre-audit on

the two Business Centers from 1986 to 1992 and has

submitted a report to the Chancellor's Office. The

Budget Division has requested that its recommenda-

tion be addressed. He stated that he was extremely

confident with the Chancellor's Office staff and

remains in contact with them several times a year.



Vice Chancellor Sparks indicated that once the recom-

mendations from the pre-audit have been addressed, it

will be reported to the Audit Committee.



Upon questioning, Vice Chancellor Sparks indicated

that there are 5 State-paid UCCSN auditors. Vice

Chancellor Sparks stated that the Chancellor's Office

feels that it is extremely important to maintain

credibility with the State Budget Office and that the

controls are in place and the budget is maintained.



Darrel Daines, State Controller's Office, discussed

the State's bonding capacity and the various kinds of

bonds.



Mary Sanada, State Controller's Office, discussed the

sources of revenue from the Legislature, student fees,

and bonds issued.



Jenny Frayer, UNR Foundation, stated that the founda-

tions are audited by external auditors and a report is

submitted to the members of the corporation on an an-

nual basis.



Ms. Frayer introduced Ms. Laurie Mc Nulty, UNR Founda-

tion Controller, who reported on the auditing process

in which the foundations comply on an annual basis.



Frank Daykin, Legislative Counsel (retired), reviewed

the Nevada Constitution, Section 4, Article II, with

regard to the Board of Regents. He stated that the

Board's power and duty are authorized by the Consti-

tution; however, the Legislature has power to pre-

scribe additional duties and allocate funds. He dis-

cussed the Morrill Act and its constitutionality.



Ron Sparks, University & Community College System of

Nevada, briefly highlighted the budget process. He

has been directed to give a budget orientation to the

full Board at a later date.



John Love, University & Community College System of

Nevada, introduced Mr. Mark Nash, Internal Auditor,

and informed the Committee of the additional UCCSN

Internal Audit staff.



Chairman Price thanked everyone in attendance and

stated that the Audit Committee meetings are open to

the public and invited anyone to attend. She thanked

WNCC President Anthony Calabro for the use of the

video conference equipment at the WNCC Campus and

thanked Dave Dales, Tim Hunt and Don Zitter for their

help in coordinating the meeting through video con-

ference equipment.



September 2, 1993



Chairman Price informed the Committee that Regent Daniel

Klaich has requested to be removed from the Audit Committee

and that the Chairman of the Board, James Eardley, will con-

firm this request and reappoint a member to the Committee.



(1) Information Only: Pre-Audit Planning Conference -

Acting Director of Internal Audit John Love introduced

representatives from Deloitte & Touche, Bill Hartman,

Dennis Gauger, and Laura Humberger, who discussed the

pre-audit planning conference for the June 30, 1993

financial statements.



Mr. Gauger indicated that representatives have met

with the controllers of the various institutions to

discuss the audit fieldwork schedule and the time-

table of issuance of the required reports from the

external auditors. They are all in agreement with

the Financial Statement Audit Timetable, which is

filed in the Regents' Office. Ms. Humberger explain-

ed the timetable and that the Consolidated Financial

Statements and Independent Auditors Report will be

completed by November 1, 1993, and the Individual

Institutions Financial Statements and Independent

Auditors Report will be completed by December 1, 1993.



Chairman Price requested Mr. Gauger to review the

scope of the external audit. He explained that the

first responsibility is to conduct an audit of the

financial statements in accordance with the Generally

Accepted Audit Procedures. Management letters will

be compiled for the consolidated audit and the indi-

vidual audits, and will include recommendations on

their findings.



The second responsibility is to conduct a Compliance

Audit for the federal financial assistant programs.

The external auditors will render an opinion in ac-

cordance and make recommendations for improper con-

trols.



In addition, Mr. Gauger reported that the external

auditors will conduct two additional audits, 1) au-

dits on bonds from the revenue from student fees; and

2) NCAA audit report. Upon questioning, he indicat-

ed that the audits encompass all funds which the UCCSN

receives, including federal and State funds, and re-

minded the Committee that foundation audits are sepa-

rate. Acting Internal Audit Director Love indicated

that the scope and fees for the NCAA audit are still

being negotiated with Deloitte & Touche.



Mr. Gauger stated that Congress has re-instituted the

Higher Education Act of 1965 with new auditing re-

quirements for aid to athletes. It requires more

information on athletic programs. The HEA does not

specifically state when the audit process should

begin nor the full scope of the audit and Mr. Gauger

is requesting clarification.



Chairman Price emphasized the importance of the Board

of Regents' agreement to follow NCAA rules and regu-

lations.



Chairman Price indicated that the Audit Committee

must make it clear on what it expects from the audits

and that the rules and regulations of NCAA should be

adhered to at all times.



Mr. Gauger stated that he interpreted the HEA to

include booster and foundation activities which are

consistent with the NCAA recommendations. The audit

report will be submitted to the Department of Educa-

tion and then made available to the public.



Acting Internal Audit Director Love requested the

Committee to consider a 1-year extension of Deloitte

& Touche contract as per agreement at the August 26,

1992 Board of Regents Audit Committee meeting. Chair-

man Price stated that since the item was noticed as

an "Information" item, action could not be taken at

this time. However, she will request approval by

the full Board at its September 9-10, 1993 meeting.



Clarification on Prior Discussions -



A. Acting Internal Audit Director John Love stated

that during a prior Audit Committee meeting a

question was raised regarding the Chairman of

Departments receiving additional compensation.

Senior Vice President John Unrue, UNLV, explained

that UNLV has "Distinguished Chair" positions,

which allow exceptional senior faculty to occupy

and receive a salary enhancement. The salary

enhancements are gifted to the various Colleges

by donors who specifically designated their gift

to the "Distinguished Chair" position, then a

person is assigned to fill the position.



It was explained that "Department Chairpersons"

are placed on "B" contracts and at some institu-

tions the Chairperson's teaching workload is re-

duced and/or an increase in compensation is is-

sued for the extra responsibility. In the past,

UNLV issued two separate contracts, one for the

employment of the person and another contract for

the salary enhancement. Currently, only one con-

tract is issued with two separate account numbers.



Dr. Eardley suggested that Vice Chancellor Sparks

and the various Campuses discuss the issuance of

contracts with Chairman Price. Chairman Price

stated that the ad hoc Compensation Study Commit-

tee will address this issue.



B. Acting Internal Audit Director John Love stated

that during a prior Audit Committee meeting a

question was raised regarding the insurance for

volunteer workers, part-time workers, and intern

students. Executive Assistant to the Vice Presi-

dent for Finance Mike Sauer, UNLV, explained that

students are not covered by workman's compensa-

tion; however, volunteers are covered by SIIS.

The UNLV Hotel Administration College requests

that employers of student interns provide insur-

ance. Nursing students must have their own lia-

bility insurance. Chairman Price requested ad-

ditional information be included in the contracts

and to have the employers assure the University

that the student interns are covered by insurance.



(2) Acting Director of Internal Audit John Love presented

the audit of the WNCC Community Services, July 1, 1992

through March 31, 1993. The report is filed in the

Regents' Office.



Chairman Price introduced Dr. Dale Rogers, Director of the

Center for Logistics Management at UNR. She invited Dr.

Rogers to partake in the discussions regarding inventory and

how it can be improved throughout the System.



(3) Acting Director of Internal Audit John Love presented

the audit of the UNLV Academic Advancement, September

30, 1991 through August 31, 1992. The report is filed

in the Regents' Office.



Mrs. Sparks moved approval of the audit report and

recommendations of the UNLV Academic Advancement. Dr.

Eardley seconded.



Chairman Price questioned whether each individual en-

tity has its own procedures manual, and it was stated

that each institution has its own procedures manual or

are in the process of developing one, and that the

individual entities may, at their own choosing, devel-

op a specific procedures manual.



(4) Acting Director of Internal Audit John Love presented

the audit of the UNLV Department of Public Safety,

January 1 through December 31, 1992. The report is

filed in the Regents' Office.



(5) Information Only: Follow-Up Audit Report and Recom-

mendations, Scholarships, NNCC - Acting Director of

Internal Audit John Love presented the follow-up

audit of NNCC Scholarship, July 1, 1991 through June

30, 1992. The report is filed in the Regents' Office.



Mr. Love indicated that the Board of Regents' policy

states "The Foundations are precluded from making

direct expenditures on behalf of any UCCSN institu-

tion or its employees", and felt that NNCC Scholarship

office was in violation of the policy. The Scholar-

ship office stated that they believed the current

procedure is proper, and asked for a legal opinion

from UCCSN General Counsel. General Counsel Klasic

issued a written opinion that a scholarship paid by

the NNCC Foundation was not a direct payment for the

benefit of the NNCC, and did not violate the Board

of Regents' policy.



Chairman Price stated that she would be speaking with

General Counsel Klasic on this matter for further

clarification prior to the athletic audits.



(6) Information Only: Follow-Up Audit Report and Recom-

mendations, Community Education, NNCC - Acting Direc-

tor of Internal Audit John Love presented the follow-

up audit of the NNCC Community Education, July 1, 1991

through June 30, 1992. The report is filed in the

Regents' Office.



(7) Information Only: Follow-Up Audit Report and Recom-

mendations, Campus Recreation, UNLV - Acting Director

of Internal Audit John Love presented the follow-up

audit of UNLV Campus Recreation, July 1, 1991 through

June 30, 1992. The report is filed in the Regents'

Office.



Mr. Jeffrey Wells, Assistant Director of Student

Activities at UNLV, stated that the Campus Recreation

program has extensive inventory. When he assumed the

position the inventory was scattered throughout the

Campus. He has since then attempted to reconcile each

piece of equipment. Upon questioning, he replied that

the procedures manual should be completed by the end

of the academic year.



(8) Information Only: Follow-Up Audit Report and Recom-

mendations, Associated Students of the University of

Nevada, Reno, School of Medicine, UNR - Acting Di-

rector of Internal Audit John Love presented the

follow-up audit of UNR Associated Students of the

University of Nevada, School of Medicine, July 1, 1991

through June 30, 1992. The report is filed in the

Regents' Office.



(9) Information Only: Follow-Up Audit Report and Recom-

mendations, School Refusal Clinic, UNLV - Acting

Director of Internal Audit John Love presented the

follow-up audit of UNLV School Refusal Clinic, July

1, 1991 through December 31, 1992. The report is

filed in the Regents' Office.



Clarification on Prior Discussions -



C. Chairman Price requested clarification of the

difference between Thomas and Mack Center and

Lawlor Events Center temporary employees.



Mr. Mike Sauer, Executive Assistant to Vice Presi-

dent of Finance and Administration at UNLV, stated

that temporary employees are placed on an employ-

ment contract for the duration of the event.



Mr. Tom Judy, Assistant Vice President and Con-

troller at UNR, stated that temporary employees

are classified as casual labor and serve a limited

number of hours without a specific time frame.



(10) Information Only: Round-Table Discussion on Controls

of Equipment Inventory System-Wide - Acting Director

of Internal Audit John Love led the discussion on

controls of equipment inventory both for Business

Center North and South.



Mr. Love informed the Committee that in accordance

with NRS 396.436, the Board of Regents shall cause

perpetual inventory records and controls to be main-

tained. On July 22 he met with purchasing personnal

and controllers to discuss equipment inventory. He

highlighted the inventory controls for Business Center

North (BCN) and Business Center South (BCS), as fol-

lows:



Business Center North



1) Reviewed annually by the Office of Naval Research.

The audit revealed that their system meets all

federal accountability requirements. Report says

that BCN needs additional staff.



2) Staff in the Controller's office will review

property accountability and custodianship on an

announced basis for randomly selected Departments.



Equipment inventory is on computer records. CUFS

July 1992 on and PC based software package prior

to that time. The equipment inventory is updated

whenver a new purchase is made and whenever BCN

disposes of a piece of equipment. Reports are

generated when updating is done.



3) BCN relies primarily on annual Departments' self-

audits. In these audits, Department is required

to confirm or certify via an authorized depart-

mental signature that they have each inventoried

piece of equipment in their possession.



4) BCN conducts on-site, wall-to-wall audits when

required. When staffing and other duties permit,

randon site visit audits are conducted using

sampling techniques to verify accuracy.



Business Center South



1) Records are maintained by the Inventory (Fixed

Assets) Section. Responsibility for departmental

custodial records lies with the Department Chair-

man. Each Department must report to the Inventory

Section on a continuing basis, all requipment ac-

quired, moved, modified, loaned, traded, disposed

of, or the destruction thereof; all equipment

stolen will be reported to Campus police.



2) An annual departmental listing of inventories

equipment will be furnished to all cognizant

Departments at the end of the fiscal year. This

report will include only those items of equipment

and furniture on hand according to the records of

the Inventory Section. Each Department or unit

will notify the Inventory Section of any differ-

ences between the computer listing and their

departmental records. Over 1% shortage will be

scheduled for on-site visits.



3) At the completion of the Campus-wide inventory, a

final shortage list for each College or Department

will be compiled and copies sent to President, the

College and Department concerned.



Mr. Love made the following recommendations:



1) Notification of inventory differences will be

accomplished by the departmental Chairman certi-

fying the accuracy of the corrected departmental

inventory and forwarding the certified copy to

the Fixed Asset Section.



2) Community Colleges need Central Receiving.



3) A Board of Regents' policy be developed to address

inventory controls.



Dr. Dale Rogers, Director of Logistics Management at

UNR, commended BCS for their recent inventory report

reflecting that $150,000 on the shortage list out of

a $60 million inventory over the past 3 years. He

cautioned the Committee in that a "cure" may be worse

than the disease. The Committee should be careful on

what they may change.



Chairman Price stated that she wished to simplify the

paperwork and to insure that the current system is in

proper order. The public perception needs to be clear

and concise. She felt it was important to develop a

simple and efficient Board of Regents' policy to re-

flect accountability in regard to inventory control.



Dr. Eardley stated that the Community Colleges service

several different sites and it may be difficult for

the institutions to create a central receiving area.

He felt it would be costly and delays the inventory

from reaching the Departments. The BCN Central Re-

ceiving services UNR, the System Administration Office

and the UCCSN Computing Center.



Dr. Bill Bonaudi, NNCC Dean of Instruction, stated

that NNCC has sites in Ely and Winnemucca. The expen-

sive equipment is received at the Elko Campus and then

delivered to the appropriate site, and the smaller

inventory is directly received by the site.



Mr. Tom Judy, UNR Assistant Vice President and Con-

troller, informed the Committee that CUFS is in its

first year. Equipment is entered into the CUFS upon

ordering, not when it is received. A problem lies

in tagging the equipment upon receipt.



Mrs. Sparks suggested that the appropriate staff de-

velop recommendations for discussion by the Audit

Committee and if approved, brought before the full

Board for consideration. Chairman Price directed Mr.

Love to coordinate with the institutions and develop

recommendations. She invited Dr. Rogers to make any

recommendations he feels necessary.



Chairman Price thanked Mr. Rogers for attending the meeting

and lending discussion to the inventory control issue.



Mr. Price moved approval of the report and recommendation

of the Audit Committee. Mrs. Sparks seconded. Motion

carried.



Dr. Hammargren returned to the meeting.



29. Report and Recommendations of the Legislative Liaison

Committee



A report and recommendations of the Legislative Liaison Com-

mittee meetings, held April 23 and September 9, 1993, were

made by Regent Shelley Berkley, Chairman.



April 23, 1993



(1) Update Report on Legislative Activity - Vice Chancellor

Sparks reported that the Senate had passed the bill

containing the Governor's request to cut the K-12 budg-

et by $18 million this year, and would be heard in the

Assembly probably on Monday the next week. This ac-

tion, if passed, would help the System for this current

year and for its request on minor repairs, but probably

would hurt UCCSN in that it would no longer be first

in line for any new revenues the State might acquire.

A strong rumor has it that a promise has been made to

K-12 that the $18 million would be restored with any

new monies obtained.



The Governor's reorganization plan probably will be

coming from the Legislature, but in a different form,

with an approximate cost of $2 million per year. This,

too, would require new State revenue funds.



Vice Chancellor Sparks urged that the System should be

lobbying harder to be first in line for any new State

revenues that might materialize.



Vice Chancellor Sparks stated that the Governor's plan

for prison early release and the closing of several

honor camps does not appear to be in favor in the

Legislature, and if that comes to pass and the State

has to open the new Lovelock prison, the cost will be

high. This, too, would require new revenue.



In commenting on the possibility of new State revenues,

Vice Chancellor Sparks stated that the Legislative

Counsel Bureau projections have been right on target,

and there has been no significant discussion for new

funds.



The Governor has also recommended closing the Beatty

low-level nuclear dump site, but that, too, is meet-

ing some resistance. If it is kept open, it will

produce significant dollars.



It has been rumored that any funds obtained through

legislative regulating telemarketing will be targeted

for K-12.



President Crowley questioned whether the System should

put energy into the question of enrollment growth and

the protection of the funding formulas and try to

develop promises for being first in line for new funds.

President Maxson suggested that the System would re-

activate its contacts with the editorial boards, that

the initial response had been very positive in news

releases. Vice Chancellor Sparks reminded the Board

that it would require $36 million to restore the Base

Budget; $15 million to restore just the instruction

part of the Base Budget. He also reminded the Board

that the law would have to be changed if "triggers"

were going to be used.



Mr. Graves stated he felt it was most important to

have a commitment that the percentage of the State

budget for UCCSN would be restored to the 20%. Pres-

ident Meacham stated he was reluctant to have commit-

ments for a future Legislature, but President Maxson

stated he felt it would at least give the System a

bargaining position for the next session.



Chairman Berkley asked that the Chancellor's Office

prepare a letter to be sent to the editorial boards

to garner press support. She suggested a meeting be

set with the Governor so that the Chairman and Presi-

dents could again request a commitment for first pri-

ority on new funding. Further, she felt that there

should be a concerned "assault" on the Legislature

and asked that Presidents and Regents be present every

day.



President Crowley suggested that the Campus legislative

networks be activated. Chairman Berkley asked that the

Chancellor draft a concise, brief letter that could be

used by these groups. President Crowley agreed to meet

with the leadership of the Legislature this next week,

prior to any meeting being set. President Gwaltney

suggested that the System provide a study, to be done

before the next session, on how the System will be a

part of the solution to the State's economic develop-

ment thrust.



Vice Chancellor Sparks stated that a workshop meeting

between Senate Finance and Assembly Ways and Means will

be held next Tuesday on closing of the UCCSN Budgets.

The Governor had not recommended any funding for the

payment of unemployment compensation for the System,

which amounts to $375,000. He stated he felt the

Assembly would approve this amount, but was not certain

the Senate would do so.



(2) Overview of Legislative Bills Pertaining to UCCSN -

General Counsel Klasic reviewed a number of bills pend-

ing in the Legislature.



SB 370 - Administrative Procedures Act. The practical

problem with the bill is that the Board would have to

go through long bureaucratic procedures before it could

make a change to the Board of Regents' Handbook, which

contains UCCSN policies and procedures. He reminded

the Board that there are changes made at every Board

meeting, but this bill would bring the System to a

halt. The legal problem with the bill is the consti-

tutional autonomy for the Board. Under the bill all

regulations would have to be approved by the Legisla-

tive Commission. General Counsel Klasic and Regent

Eardley will testify at the hearing.



A number of open record bills will be heard on Monday.

General Counsel Klasic will testify at the hearing.



AB 257 deals with the amount of insurance to be paid

for retirement benefits, and is one UCCSN had request-

ed.



AB 343 would require all agencies be required to show

cause for termination of an employee after one year.

This would prohibit the 5- and 7- year probationary

provisions for tenure within the System. General

Counsel Klasic stated there is no objection for the

one year provision provided UCCSN could have the bill

amended to protect the tenure probationary provision.

General Counsel Klasic, President Crowley and others

will testify.



The privatization bill has not been scheduled for

hearings, but Thomas and Mack Center and Lawlor Events

Center personnel, as well as DRI personnel, will testi-

fy.



Senator Nevin's bill on the System Foundations concerns

whether the foundation should be subject to the Open

Meeting Law. Genral Counsel Klasic stated he felt it

would not be conducive to the foundations; however,

the foundations could comply with the open records

provisions. After discussion it was agreed that the

issue should be addressed that the foundations would

have open records.



Chairman Berkley suggested the following schedule for

Regents to be at the Legislature: Monday - Maddy

Graves; Tuesday - Shelley Berkley; Wednesday - Nancy

Price; Thursday - Jim Eardley.



President Meacham requested that SB 86 be amended to

include Community Colleges.



Concerning the Open Records Law, General Counsel Klasic

stated that all State and local agencies had testified

on their opposition to open personnel records to the

public.



Dr. James Richarson stated he had testified that addi-

tional funds would be necessary for the first year of

the biennium for the State contribution for health

care for employees. AB 19 is a bill on how health

care contributions are being worked on. Dr. Richard-

son stated his appreciation of the assignment of Mrs.

Janet Mac Donald, Deputy Treasurer, to assist in this

area. He and Ms. Mac Donald have met with Mrs. Judy

Matteucci and staff to discuss a bill draft, and he

felt they were very receptive to the suggestions made.



September 9, 1993



(1) Final Report - Chairman Berkley requested a final re-

port on key legislation passed during the 1993 Nevada

legislative session, Ref. LL-1 is filed in the Re-

gents' Office.



General Counsel Klasic reported on these measures af-

fecting UCCSN:



AB 402 - student athletes

SB 48 - bill drafts

SB 322 - foundations

SB 314 - name change of UCCSN

SB 447 - surveillance

AB 257 - retirement program

Nevada's Open Meeting Law



In discussing SB 322, Mr. Graves felt that the System

could not operate under the conditions stated, and

suggested the System consider challenging this legis-

lation.



General Counsel Klasic did point out that the legis-

lation does require members of the corporation (founda-

tions) to hold open meetings, and the Board of Regents

who serve as the members of the corporation have al-

ready been practicing this mandate. However, the leg-

islation does not mention that members of the Board

of Trustees should hold open meetings. General Counsel

Klasic also informed the Committee that the UNLV Foun-

dation did not have a problem releasing information to

the media, except for maintaining privacy for its

donors.



Chairman Berkley directed General Counsel Klasic to

review recent legislation with regard to implications

of constitutional authority. Mrs. Gallagher stated

that the Legislators may amend the bill if System

representatives discuss the issues with them. How-

ever, the System must be completely prepared to defend

its cause.



Upon questioning, General Counsel Klasic clarified that

a quorum of a public body is determined by that public

body.



Dr. Jill Derby discussed ACR 23 which urges the State

Board of Education, the Board of Regents, and the

Board of Trustees of each school district in Nevada

to take actions to end gender bias in the educational

system. She reported that UCCSN already has been ad-

dressing this issue and will continue to do so. (A

copy of the legislation is filed in the Regents' Of-

fice.)



Vice Chancellor Ron Sparks reported on budgetary leg-

islation affecting UCCSN:



SB 389 - health insurance

AB 20 - per diem

FY '94 Operating Budget



Vice Chancellor Sparks stated while health insurance

premiums and per diem rates increased, funds were not

appropriated to finance increased costs for 1994-95.



Mrs. Price requested General Counsel Klasic to address

the Nevada Revised Statute that deals with members of

the Board of Regents not being paid a salary.



In regard to membership on the State Committee on

Benefits, it was explained that the Governor appointed

former Chancellor Mark Dawson to represent the System,

although System representation is not required by law.



Chairman Berkley summarized the effectiveness of the

System's representation during the 1993 Nevada legis-

lative session. The initial presentation was excel-

lent and well received. She was very pleased with the

"Student Day" and was hopeful that other System organ-

izations would sponsor an informational day for the

Legislators. The computer-based program needs much

more improvement. However, a letter campaign to 1200

constituents was a great success. The editorial boards

were well covered throughout the State by the System.

She commended all those persons who represented the

System during the session, especially Bob Dickens, UNR,

Buster Neel, UNLV, and Jim Richardson, UNR.



(During the regular session of the Board of Regents'

meeting, Chairman Berkley recognized Pamela Galloway,

Glen Krutz, and Ron Sparks for their efforts during

the legislative session.)



For the future, Chairman Berkley stated that she would

like to see the System more organized. On August 19,

she met with several representatives and discussed how

the System could improve its approach to the legisla-

tive session. One suggestion was to improve relations

with the Governor and the Executive Branch. She will

request that the Board of Regents direct Interim Chan-

cellor Richardson to develop a government relations

plan, and to include public support in the campaign

for higher education. Another suggestion was to uti-

lize the System's own experts in developing a legis-

lative program. Chairman Berkley suggested that the

System consider developing its own Political Action

Committee (PAC).



Mrs. Berkley moved approval of the report and recommenda-

tions of the Legislative Liaison Committee. Mr. Klaich

seconded. Motion carried.



Mrs. Gallagher returned to the meeting.



30. Report and Recommendations of the Status of Women Committee



A report and recommendations of the Status of Women Commitee

meeting, held August 30, 1993, were made by Regent Jill

Derby, Chairman.



(1) Review of Pending Issues and Plans for the Future -

Chairman Derby distrbuted an Assembly Concurrent Reso-

lution No. 23, passed by the 1993 Legislature, which

deals with ending gender biases at all levels of edu-

cation and urges the State Board of Education, State

Department of Education, and the Board of Regents to

focus on this area. Dr. Derby announced that a number

of System people are members of a Statewide Round Table

dealing with this very issue and that she had related

to that group the work UCCSN is doing.



Chairman Derby stated she has had comments question-

ing the mission of the Committee and whether there

was an ongoing role for the Committee. She stated

she felt this Committee has made a difference on the

Campuses and that there has been progressive change

taking place.



The Campus committee Chairs expressed their desire for

the Regents' Committee to remain active and supportive

of the work of the Campus committees. The Chairs re-

lated that strong support from the Regents has been

vital to the success of the Campus efforts.



Dr. Laura Hammond, UNLV, was introduced as a new Com-

mittee member replacing Dr. Isabelle Emerson. Dr.

Hammond related that UNLV's committee is addressing

policy issues in the area of consensual relationships

on Campus. Dr. Crowley related UNR has such a policy

and that violations of the policy are ethical viola-

tions.



A long discussion ensued on the future role of the

Committee. Some of the Committee's accomplishments

include:



Establishing a common assessment vehicle which the

Campuses can use for future data.



Providing a high-level forum for the issues.



Providing a budget for the dissemination of in-

formation across the Campuses and providing net-

working opportunities.



Suggestions for the future role of the Committee and

for future activities included:



Sponsor an annual forum. Campus forums also

needed.



Continue Campus committee emphasis. There is a

need for more faculty awareness. Should identify

and celebrate Campus successes.



Prepare a video which would be required in all

classes and Freshman orientation.



All syllabi could contain a statement on sexual

harassment; where, how to report.



Require statement of faculty division goals for

consideration for merit pay and ratings.



Change name of Committee to include gender equity

rather than just women.



Work with public schools to achieve gender equity,

since higher education inherits these students.



Ensure that teacher education deals with diversity.



Send letter of support to State Round Table.



Encourage faculty to work gender equity issues into

classes. (It has been found students will not at-

tend forums.)



Provide peer counseling for students.



Prepare a statement on values for the adoption by

the Board of Regents.



Don't limit the focus to just women; don't exclude

anyone.



Develop a "Victim's Bill of Rights".



A draft of recommendations will be forwarded for re-

view by the Committee prior to its October meeting.

Campuses are to report student survey results to

Tamela Gorden by October 7, and will report to the

Committee at the October 20-21 meeting.



A draft of further UCCSN Code changes was presented

from TMCC. These changes were tailored for the TMCC

Campus; therefore, review by all Campuses is necessary

prior to discussion at the October meeting.



UNR has just completed a study of its Affirmative Ac-

tion Office and has reorganized for a more effective

outreach. They determined that affirmative action is

the job of everyone on the Campus, and have provided a

network of sexual harassment advisors made up of facul-

ty, staff and peer counselors for students. Also, they

have established an ombudsman office and a dispute res-

olution officers network. Copies of the summary of the

report were distributed.



It was determined that study and reorganization of the

affirmative action offices should be left to the dis-

cretion of the Campuses. This is a Campus administra-

tive issue, and affirmative action reports are made to

the Board annually.



Dr. Derby moved approval of the report and recommendations

of the Status of Women Committee. Mrs. Berkley seconded.

Motion carried.



31. Report and Recommendations of the Ad Hoc Committee on Ethnic

Minority Affairs



A report and recommendations of the ad hoc Committee on

Ethnic Minority Affairs meeting held August 18 and 25, 1993

were made by Regent James Eardley.



August 18, 1993



Chairman Whitley stated that the purpose of the meeting was

to review Campus committee reports which had been reported

to the Board of Regents at its June 1993 meeting.



Dr. Michael Coray, Chairman of the Campus committee Chairs,

gave an overview of the work of the Campus committees. He

related that the decision had been made to survey ethnic

minority students, academic faculty and professional staff

on each Campus, and to hold a series of hearings for both

groups on the Campuses. The hearings on the University

Campuses were not well attended. However, the surveys have

been more productive. The student survey results have been

compiled and given to the Campuses for review.



At UNR, Dr. Coray reported that there has been a Diversity

Committee in operation for over two years and it had com-

pleted a comprehensive study. It has been found there is

an increasing access across the Campus to the ethnic minor-

ity groups. Efforts have also been made in hiring prac-

tices. Their data are based on the 6-year tenure group.

Future reports will show the retention of faculty.



Acting Vice Chancellor Steinberg explained that the Commit-

tee had begun with broad goals, then realized they must

concentrate on one goal at a time to enable implementation

and action.



Mr. L. D. Lovett, TMCC, related that statistically there

has been a great deal of change in hiring. They did learn

through their hearings that most of the minorities are

hired through federal programs and a program is needed to

upgrade their skills in order to be eligible as other jobs

become available. The student surveys revealed students

would like more role models on the staff.



Ms. Julie King, WNCC, reported their committee would be

reviewing the student surveys.



NNCC found a very enthusiastic and ambitious student commit-

tee last year. They began a series of fund-raising efforts

which culmininated in a multi-cultural day on the Campus,

which was well attended by Campus and community people.

They have stated that financial aid is their greatest need.



A discussion of hiring incentives was held. It was suggest-

ed the Board of Regents might have a pool for minority hires

and might set a target to reach for each year. It was noted

that there are minorities available for hire, and there

needs to be incentives available because of the high demand

for these people.



Dr. Paslov reported on an updated tracking system for high

school dropouts, which has resulted in the dropout rate

decreasing. It has also pointed out that early interven-

tion is essential.



Ms. Kizer stated that she felt more individual attention is

needed during recruitment of the minorities, especially the

Native American students. She suggested that community

people might be called upon to help with this recruitment.

Also, she suggested that the Upward Bound program, so suc-

cessful in Washoe County, needs to be extended to other

bordering counties.



Mr. Feemster explained the Sierra Pacific Power Company's

Internship Program wherein they provide Summer employment

for minority young people in higher education in order to

assist the retention problem. His goal is to take that

program to 20 other major employers in the area. He also

stressed that the current method of outreach needs to be

changed and suggested the Campuses might consider contract-

ing with a "headhunter" to find instructors. If no em-

ployees are found that match requirements, no fee is paid

to the headhunter.



Other suggestions that were made:



Review job descriptions for appropriateness.

Provide a reward system for minority faculty.

More community involvement with curriculum and faculty.

Provide a "hands-on" program for students with busi-

nesses.

Provide in-depth mathematics instruction for elementary

teachers.

Program to change attitudes.

Involve community minority groups.

Recruit from high school minority faculties for Com-

munity College part-time instruction.



"Grow Your Own" programs were discussed at length. Dr.

Paslov related that Clark and Washoe counties have begun

such a program with funds from a federal grant. Acting

Vice Chancellor Steinberg stated that the Committee might

consider stipends for students beginning at Community Col-

lege level, the baccalaureate, and the master programs

with a stipulation the student return to the Community

College to teach, thus providing more minority role models

for students, as well as fulfilling diversity shortages.



Another possibility is reaching prison population through

telecommunication classes for upper division classes.

Presently, the Community Colleges have strong 2-year pro-

grams at the prisons. Also, it was pointed out that there

is a need for special support groups for parolees.



Acting Vice Chancellor Steinberg stated there will be a

similar meeting on August 25 in Las Vegas for the southern

members of the Task Force to review reports with the south-

ern Campuses. There will be a meeting of the full Task

Force scheduled sometime in September or October to begin

drafting recommendations.



August 25, 1993



Acting Vice Chancellor Karen Steinberg reviewed for the Task

Force members the activities to date of the Regents' and

Campus committees. The Campus preliminary reports were

presented to the Board of Regents in June. It is anticipat-

ed that a report with recommendations would be presented by

the Task Force to the Board at its October 20-21, 1993 meet-

ing, in order to coincide with the System's budget cycle.



Mr. Rodriguez stated that he was aware of the report pre-

sented to the Board in 1985 and felt very little had been

done to change the statistical results since that time.

He stressed that hiring practices must be changed, and that

they can be changed successfully, as has been done by the

Clark County School District. Ms. Davis questioned whether

there was a commitment on the part of the Regents for af-

firmative action. Ms. Steinberg assured her the commitment

was there and explained that because there are 7 different

institutions with different findings, that it was important

to proceed to pinpoint pockets of success which could be

replicated at other institutions.



The Campus reports, which previously had been sent to the

Task Force members, were highlighted by the Campus repre-

sentatives.



Dr. Steve Mizell, DRI, related his committee had looked at

documents from 1987 through the present to prepare a data

base, and had one-on-one visits with their ethnic minority

professional and staff members. Of 105 research employees,

6% are ethnic minority. There are 18 Administrators, with

6% ethnic minorities, and there are 17 other professionals

employed with 17% ethnic minorities. They found that the

ethnic minority professionals all were in the upper salary

ranges of research faculty, and the academic faculty were

evenly divided in the ranges.



Two principal comments came from the interviews: 1) there

was no intimation of problems in the work place, the ethnic

minorities found they were very well accepted and respected;

and, 2) there was concern with reducing the criteria for

quality of research faculty. They felt more stress should

be placed on recruiting faculty where ethnic minorities are

found. They all felt the quality of the research faculty

must be the first concern for the Institute. This group

recognized that the pool for recruitment is small in the

areas of science and engineering and expressed interest in

finding plans which would steer younsters into these fields.



Dr. Pat Butler, CCSN, identified a number of activities

their Campus has stressed, such as emphasizing a retention

program, beginning clubs and associations where ethnic

minority students can become involved. A Director of Stu-

dent Retention has been hired, an African American who has

been working with faculty, and who has just recently been

assigned to head the Student Transfer Center. CCSN held

faculty hearings and surveys last year, and will hold stu-

dent hearings this year. The preliminary study of the re-

sults of the student surveys have revealed that work needs

to be done to change the atmosphere in some of the classes

and with some of the counselors, and has stressed the need

for early intervention with students.



Mr. John Lujan, UNLV, reported that they were not success-

ful with the hearings held on the Campus; however, the

faculty and student surveys should be helpful. He related

that President Maxson has been supportive of the efforts

and had authorized a $10,000 budget for the committee.



The following items were offered as suggestions for consid-

eration of recommendations:



Change in hiring practices.

A scholarship pool for ethnic minority students.

Seeking assistance from the Foundations.

Establish a goal for diversity within the faculty.

Establish general policy goals.

Review of curriculum - i. e. - Requirement for Western

Tradition courses does not help ethnic minorities.

There is a need for enthusiastic ethnic minorities to

hold responsible positions, not these with negative

attitudes.

Develop a "grow your own" program within the System.

Review recruitment practices.



Acting Vice Chancellor Steinberg urged the Task Force mem-

bers to draft recommendations and send them to her to be

compiled and circulated to all members prior to the next

meeting, which will be held via video conference sometime

prior to the Regents' October meeting.



Dr. Eardley moved approval of the report and recommendations

of the ad hoc Committee on Ethnic Minority Affairs. Mr.

Klaich seconded. Motion carried.



32. Report and Recommendations of the Ad Hoc Foundation Liaison

Committees



A report and recommendations of the ad hoc Foundation Liai-

son Committee meetings, held April 23 and September 9, 1993,

were made by Regent Lonnie Hammargren, Chairman.



April 23, 1993



(1) Discussion of Committee Mandate - Chancellor Dawson

presented a list for discussion consisting of 9 items

which might be included in a Committee mandate:



Liaison between the Board of Regents and the

Foundations - attend foundation meetings and re-

port back to the Board;



Develop reporting format for uniformity in report-

ing to the Board of Regents;



Develop a statement of mutual responsibilities and

obligations;



Review proposed contract(s) between foundations and

institutions;



Statement of purpose - what does the Board of Re-

gents expect the foundations to do?;



Fund raising or spending priorities given to the

foundations by the Board of Regents;



Compensation coming from the foundations to insti-

tution employees;



Reports given to Regents pertaining to foundation

expenditures - making sure that the reports given

to the Board balance;



Report of Ethics Commission decision on UNR Founda-

tion.



Chancellor Dawson related he has sent a list of Foun-

dations to each Campus requesting the President to re-

view, complete the list and return it to him. That

information will be forwarded to the Committee.



Chairman Hammargren reported on a meeting he and Mrs.

Sparks attended at the AGB Conference concerning how

institutions and foundations work together. Mrs.

Sparks added that the presenters stressed that they

had found communications between the two was the main

problem, and they further stressed that fund raising

should be for an institution and not for specific de-

partments. Most foundations have chosen to be private,

but there is an intermingling of employees between the

institutions and the foundations.



A general discussion was held on the following:



Whether special legal expertise was needed to re-

view contracts which might be proposed by the

foundations.



The National Council for Resource Development has

a number of publications on Community College

foundations which would be available.



Because the foundations, especially at the Uni-

versities, are under scrutiny, the Board need to

establish basic policies.



Most of the UCCSN foundations do not have the

resources to pay employees.



Should a System Development office be considered

where all funds would be deposited and dispersed

to the various institutions, thus reducing admin-

istrative costs. It was pointed out that with the

current controversies, there are people who have

made large institution donations, but are now re-

luctant to do so, but would make those donations

under another system of management.



The discussion then turned toward the items presented

for consideration of a charge to the Committee:



1. Liaison between Board and Foundations - Chairman

Hammargren suggested there be a liaison section

set for each foundation meeting. Mrs. Gallagher

stated that many Regents have attended foundation

meetings since they were first begun. It was

suggested the Chairman of the Board could be the

liaison and attend all meetings and report back

to the Board. A concern expressed was that it

would only add another layer between the foundation

and the institutions. Mrs. Berkley stated she

had promised the Legislature that there would be

a more formal agreement between the Board and the

foundations. It was also suggested that the Chair-

man and Vice Chairman of the Board make assign-

ments of Regents to act as liaisons.



2. Uniform Reporting Format - Chancellor Dawson re-

ported that when CCSN had last reported, the format

used seemed to be appreciated by the Board. This

has been distributed to the institutions and foun-

dations. The standard operating date is July 1

through June 30.



The reports are presented to the Board at different

times, however. The Chancellor will report back

to the Committee on the reporting format.



3. Statement of Mutual Responsibilities and Obliga-

& tions and Review of Contracts - Mrs. Edna Brigham

4. stated that the role of the foundations and their

relationships with the Board need to be reviewed.

She explained that the majority of gifts intended

for the Universities or Community Colleges are now

given through the foundations. This means that the

Board's ability to add discretionary funds to its

Special Projects account has diminished graphical-

ly, as has the account itself.



Mr. Les Sully, attorney for the UNLV Foundation,

stated that UNLV has proposed a contract which

lists the services the Foundation will provide

and clarifies that all funds designated for special

areas go to the Board of Regents. General Counsel

Klasic reminded the Committee that when the foun-

dations were begun, only the UNR Foundation stated

obligations with the Board. He added that the

Board could adopt a policy statement which des-

cribes such obligations, or that the Board could

enter into separate contracts.



Mr. Graves remarked that the foundations raise

funds, then turns them over to the Board. The UNLV

contract proposes the Foundation will manage its

own funds; however, he stated that the System has

done very well in managing the funds. Mrs. Brigham

explained that prior to the foundations, donations

went to the Board and were invested. 20% of the

interest went to the Board for their Special Proj-

ects Fund and 80% was returned to the institution.

Now, the funds go to the foundations, and nothing

is coming to the Board which depletes their Special

Projects Fund. Ms. Mac Donald further explained

that the endowment funds are separated from the

operating funds. The only discretionary funds the

Board has are the 20% from operating fund invest-

ments. Now, the foundations invest the cash flow

for their operating and discretionary needs. The

foundations reimburse the respective institutions

on a cost reimbursement basis resulting in nega-

tive operating cash balances for the Board to

invest.



Mr. Sully stated that the proposed contract states

that the Foundation will invest the funds which

will be accumulated for one year, then 5% will go

to the Foundation for operating dollars. Chair-

man Hammargren stated that he learned Texas A & M

takes 5% of every gift for operating purposes.

Mrs. Price stated that this is precisely the reason

the Board has abdicated its responsibility when the

Foundation does this sort of thing and questioned

what would happen if the Foundation does not agree

with the Board's priorities?



President Maxson stated that the UNLV Foundation

has a President's Circle in which each member do-

nates $5000 per year and these funds then are for

the operation of the Foundation. He explained that

Mr. Sully was saying the new contract reads that 5%

of the interest will go to the Foundation for oper-

ating and added that the UNLV Deans have agreed to

this arrangement. He related that the University

submits its priorities to the Foundation. He then

stressed that the President needs flexibility in

raising funds so that the institution is able to

take advantage of opportunities as they arise.

He added that the Board always has the final say

in whether a gift is accepted. He reminded the

Committee that he informs the Board by either tele-

phone or letter when a large gift is about to be

received.



President Crowley stated that if the Board has a

priority, the foundation is obligated to meet it,

but the management of the funds poses serious

questions for both the Board and the foundations.

He suggested a meeting with the finance officers

of the foundations, Mrs. Brigham, Ms. Mac Donald

and Vice Chancellor Sparks to prepare a report on

the pros and cons of management of funds. He felt,

and the Committee agreed, that the report should

include statements of mutual responsibilities and

obligations, purpose - what the Board expects of

the foundations, fund raising or spending priori-

ties and reporting of expenditures. It was also

agreed that the Chancellor's Office would coordi-

nate the meeting.



Ethics Commission Report on UNR Foundation - President

Crowley stated the report has been sent to all Regents.

He added that UNR is pleased with the opinions of the

Commission.



Public Comment -



A. Regents: Mrs. Berkley stated the question of whether

the foundations are public or private must be addressed,

as well as which records are public. Mr. Sully stated

that UNLV Foundation has identified these in their

proposed contract. Mrs. Berkley replied that the Board

must determine what is best for all foundations, not

just the UNLV Foundation.



B. Public: Ms. Doris Grosman stated that Mrs. Berkley had

spoken for her, but that she was only concerned with

the UNLV Foundation. Mr. Sully explained that every

single record of the UNLV Foundation has been and is

open for inspection by any Regent. Ms. Grosman ques-

tioned that if that were so, then why had there been so

much concern. (Note: Mr. Sully and Ms. Grosman con-

tinued talking, but they were not speaking into micro-

phones, and the conversation was not picked up.)



September 9, 1993



(1) Mr. William T. Hutton's letter regarding recommended

future action of the Board of Regents in regard to

institutional foundations in light of the passage of

SB 322 (Ref. FL-la) is enclosed as Ref. FL-1b. Mr.

Hutton stated that "I believe that the Regents' in-

terests will best be served by promulgation of a set

of guidelines, intended to facilitate compliance with

the provisions of the new statute, and to deal as well

with other aspects of UCCSN's relationships with its

support organizations." The staff concurs with Mr.

Hutton's assessment.



Based on earlier discussions with the Board, the staff

believes the Board wishes to accomplish the following

objectives in the revision of existing and develop-

ment of new foundation guidelines:



Maintenance and enhancement of the institution

through private support;



Standardize reporting from the UCCSN foundations

to enhance fiscal control and public and Board of

Regents understanding of the foundations' contri-

butions to the member institutions.



Establish requisite system for the implementation

of the policies and procedures as approved by the

Board of Regents including assurances for carrying

out the donors' intent and statutory and other

legal requirements.



Staff is further of the view that the above objectives

can best be accomplished through the development of

Board approved guidelines that apply to all founda-

tions. Any elaboration beyond such guidelines deemed

necessary because of the special nature of the rela-

tionship between an institution and its related foun-

dation(s) should be dealt with through means of memo-

randum of agreement between the institution, its foun-

dation(s), and the Board of Regents.



Interim Chancellor Richardson, Assistant Treasurer

Mac Donald, and Director of Endowment Brigham recom-

mended that staff be directed to work with institution

and foundation representatives to develop a draft set

of guidelines governing the relationship between the

institutions, the foundations and the Board of Regents

for review and consideration by the Regents' ad hoc

Foundation Liaison Committee. It is further recommend-

ed that staff work with the separate institutions and

their related foundation(s) to develop memoranda of

agreement for review and consideration by the Regents'

ad hoc Foundation Liaison Committee if such memoranda

are considered necessary.



Interim Chancellor Richardson offered the following

alternatives:



Alternative #1: The Committee could decide to do

nothing, thereby leaving present guidelines and ar-

rangements in place. Staff does not believe such a

course of action is desirable given the nature and

extent of questions which have been raised regarding

the relationship between the Board, the institutions,

and the foundations by Regents and by others.



Alternative #2: The Committee could decide to work

directly with the institutions and the foundations to

draft new guidelines. Staff believe the Committee's

members' time utilized more effectively if staff were

directed to carry out the preliminary work and bring

forward recommendations for the Committee's consider-

ation.



Chairman Hammargren, Mrs. Sparks and Mrs. Brigham

recommended acceptance of alternative #2; however,

Interim Chancellor Richardson strongly urged the Com-

mittee to allow staff to work with institution and

foundation representatives to develop a draft set of

guidelines governing the relationship between the

institutions, the foundations, and the Board of Regents

for review and consideration by the Regents' ad hoc

Foundation Liaison Committee, and that staff work with

the separate institutions and their related founda-

tion(s) to develop memoranda of agreement for review

and consideration by the Regents' ad hoc Foundation

Liaison Committee if such memoranda are considered

necessary.



It was approved to direct staff to work with insti-

tution and foundation representatives to develop a

draft set of guidelines governing the relationship

between the institutions, the foundations and the

Board of Regents; and to direct staff to work with

the separate institutions and their related founda-

tion(s) to develop memoranda of agreement for review

and consideration by the Committee.



Mr. Graves and Mr. Klaich directed the staff to comply

with the American Institute of Certified Public Ac-

counts' (AICPA) recent compliance of standards as found

in the publications, "Statement of Financial Accounting

Standards #116 Accounting for Contributions Received

and Contributions Made."



Mr. Graves cautioned the staff that discussion has been

previously held by the Chancellor's Committee on Pri-

vate Partnerships regarding gifts of appreciated prop-

erty. Mr. Hutton addresses this issue in his letter

on page 3 under item (4). Mr. Graves pointed out that

the last sentence in that paragraph is a very delicate

issue. It reads, "(The requirements of a 'qualified

appraisal' and the threat of overvaluation penalties

under federal law still serve to check tax-inspired

avarice, and the foundation need play no part in the

appraisal process.)"



Mr. Les Scully, UNLV Foundation Attorney, informed the

Committee that the UNLV Foundation has a Gift Accept-

ance Committee, and he will inform them to work with

staff to develop appropriate guidelines. Mr. Sully

also stated that the UNLV Foundation has a Real Estate

Committee which addresses how the book value is placed

on gifted property.



Mrs. Mac Donald stated that sale of personal property

within two years of the gift must be reported to the

Internal Revenue Service (IRS). Chairman Hammargren

requested a two-page summary of all reporting practices

including AICPA, National Association of College and

University Business Officers (NACUBO) and IRS.



Upon questioning, Mr. Sully stated that gifts are

booked for what the gift is worth and the Foundation

reports to IRS the sales price when the gift is sold.

A disclaimer is submitted that states that consulta-

tion has taken place with financial advisors and

attorneys.



Mrs. Gallagher stated that the foundations have been

made to feel uncomfortable, and suggested that the

Committee move forward on developing guidelines and

to inform the foundations that they are an important

source for the institutions which they represent. The

guidelines should not be restrictive, but more of a

protection for foundations and the Board of Regents.



Mrs. Sparks agreed with Mrs. Gallagher and emphasized

the importance of the foundations. The Board of Re-

gents should not discourage and prevent hesitation

of giving to the institutions through the foundations.



A discussion was held on the use of the University

logos. Mr. Sully felt that if the foundations are

instructed to abide by the Board of Regents' guide-

lines, then the foundations should be able to use the

logos. Mrs. Mac Donald stated that the use of the

University's name has value. She assumes the Board

of Regents wants to know how and when the name is used.



Mrs. Berkley commented that the past year has been very

unsettling for the Board of Regents and foundations.

The two are now entering into a new phase, in that the

Regents care enough to ask the appropriate questions

and are making an effort to save and enhance the foun-

dations. She stated that criticism does not neces-

sarily mean that you are an enemy.



Chairman Hammargren stated that he was pleased with

the healing process that is now taking place and looks

forward to working toward productivity of the founda-

tions.



(2) New Business



A. Board of Regents - Mr. Graves questioned how the

Committee felt about SB 322. Mrs. Berkley stated

that General Counsel Klasic will address the leg-

islation during the Board's Legislative Liaison

Committee meeting.



B. Public - Mr. Lee Scully, UNLV Foundation Attorney,

requested clarification and discussion on SB 322

which becomes effective October 1, 1993.



Dr. Hammargren moved approval of the report and recommenda-

tions of the ad hoc Foundation Liaison Committee. Mr.

Graves seconded. Motion carried.



The open meeting recessed at 2:30 P.M. and reconvened at 3:17

P.M. Friday, September 10, 1993, with all Regents present except

Regents Foley and Whitley.



33. Establishment of a Board of Regents Committee on Athletics



Regent Lonnie Hammargren requested the establishment of

a Committee on Athletics. Ref. J is filed in the Regents'

Office.



Dr. Hammargren moved approval to establish a Regents' Com-

mittee on Athletics. Mrs. Price seconded.



Mr. Graves suggested that rather than establishing another

Regents' committee, a symposium or workshop be conducted

to address athletic issues. Since President Crowley serves

as President of the NCAA, it may be prudent to request him

to speak to the athletic issues.



President Crowley informed the Board that the standard

procedure for members of NCAA is to establish a Faculty

Advisory Committee that deals with athletics. UNR's Facul-

ly Advisory Committee advises the President on athletic is-

sues. He suggested having the institutions regularly make

a report to the Board of Regents on significant issues, such

as gender equity, financial limitations, academic require-

ments, etc.



Mrs. Price felt that a Regents' committee should be estab-

lished. It would give credence to this issue at the insti-

tutional level. Athletics is a nationwide issue and should

be addressed.



Dr. Derby stated that she did not feel comfortable conduct-

ing a one-time workshop on such an important issue. Mrs.

Berkley suggested placing an athletic item on the Board of

Regents' agenda every other meeting in order to develop a

dialogue and become better informed.



Interim Chancellor Richardson reminded the Board of its

discussion earlier in the day regarding the committee

structure and cautioned them in creating a new committee.

Some of the athletic issues could be addressed under al-

ready established committees; i. e., general equity by

Status of Women Committee, financial limitations by Budget

and Finance Committee, and academic requirements by Aca-

demic, Research and Student Affairs Committee.



Dr. Hammargren withdrew the motion.



Dr. Hammargren stated that the Board needs basic informa-

tion on athletics which could be acquired through quarterly

reports, and agreed with Interim Chancellor Richardson that

certain issues could be heard by the appropriate committee.



Mrs. Price withdrew the second to the motion.



President Crowley stated that the Faculty Advisory Commit-

tee at UNR is a very positive entity that addresses all is-

sues in athletics. He did not wish the Regents to reflect

an empowerment concern towards the Faculty Advisory Commit-

tee.



34. New Business



Mr. Klaich requested a job description for the Director

of Community College Affairs.



Mr. Klaich stated he had received a letter from the Interim

Chancellor regarding cost savings in the Chancellor's Of-

fice. Mr. Klaich requested that the Public Information

office not circulate the tabloid "Casino News" in the clip-

ping packets. Regents Graves, Eardley, Sparks and Gallagher

agreed. However, Interim Chancellor Richardson stated that

it is being circulated because it is reporting on the Re-

gents or higher education issues.



The meeting adjourned at 3:22 P.M.



Mary Lou Moser

Secretary of the Board

09-09-1993