Minutes, Apr. 18-19, 2006

MINUTES OF THE MEETING OF THE BOARD OF REGENTS OF THE UNIVERSITY SYSTEM OF GEORGIA
HELD AT 270 Washington St., S.W.
Atlanta, Georgia April 18 and 19, 2006
CALL TO ORDER
The Board of Regents of the University System of Georgia met on Tuesday, April 18, and Wednesday, April 19, 2006, in the Board Room, room 7007, 270 Washington St., S.W., seventh floor. The Chair of the Board, Regent J. Timothy Shelnut, called the meeting to order at 1:00 p.m. on Tuesday, April 18. Present on Tuesday, in addition to Chair Shelnut, were Vice Chair Patrick S. Pittard and Regents Hugh A. Carter, Jr., William H. Cleveland,Robert F. Hatcher, Julie Ewing Hunt, Felton Jenkins, W. Mansfield Jennings, Jr., James R. Jolly, Donald M. Leebern, Jr., Elridge W. McMillan, Doreen Stiles Poitevint, Willis J. Potts, Jr., Wanda Yancey Rodwell, Benjamin J. Tarbutton III, Richard L. Tucker, and Allan Vigil.
Chair Shelnut welcomed Regent Potts and extended the Regents' condolences on the loss of his mother.
The Director of Administration and Compliance Policy, Mark Demyanek, gave the Regents and audience a briefing of basic safety information in the event of an emergency.
CHANCELLOR'S REMARKS
Chancellor Davis also welcomed Regent Potts. He noted that the Board had a very full agenda for this meeting. He said that he appreciates the Regents' focus on the key policy issues underlying the staff recommendations on budget allocations, tuition, and fees and noted that more would be said regarding those recommendations shortly. He also noted that with these recommendations, the System is moving in a new direction on allocations to better align allocations to the System's strategic priorities. The tuition recommendation would hopefully respond to parents' needs to have some certainty about tuition as well as the Board's need to get people through their programs and better utilize facilities.
The second area toward which the Chancellor asked the Regents to direct their attention was the focus and tone of the meetings. He said that the staff are working to be responsive to the Regents' comments and needs regarding the meetings and to structure these meetings to focus less on operations and more on key policy issues driving the agenda. The Regents' continued feedback to the staff on how well they are achieving these aims is very important. In closing, the Chancellor turned the meeting back over to Chair Shelnut.
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ATTENDANCE REPORT
The attendance report was read on Tuesday, April 18, 2006, by Secretary Gail S. Weber, who announced that Regent MichaelJ. Coles had asked for and been given permissionto be absent on that day.
APPROVAL OF MINUTES
Motion properly made and duly seconded, the minutes of the Board of Regents meeting held on March 7 and 8, 2006, were unanimously approved as distributed.
At approximately 1:05 p.m., Chair Shelnut adjourned the Regents into their regular Committee meetings.
SALUTE TO THE GENERAL ASSEMBLY
Following the Committee meetings, at approximately 2:05 p.m., Chair Shelnut reconvened the full Board meeting. As Chair of the Board of Regents and on behalf of the entire Board, he offered the Regents' sincere thanks and appreciation to the members of the General Assembly. Their partnership, support, and understandingof the role of public higher educationin the lives of so many people truly strengthen the efforts of the University System of Georgia. He thanked the legislators for their support of the System's budget needs, its capital priorities, and some key legislation approved during the recent session. He thanked the legislature on behalf of everyone in the University System of Georgia.
Chair Shelnut acknowledgedthe significantinvestment of the legislators'personal time in serving the people of Georgia. Serving as a representative or as a senator is a demanding and often difficult job. Legislators are pulled in many different directions by many different people. There are more priorities than resources available to fully meet every need. He said that at times, the Regents have done some of the pulling, but they truly appreciate how the legislators respond and how they remain focused on balancing how to best meet the state's priorities. He said that the Regents appreciate the presence during this two-day meeting of severalmembers of the GeneralAssembly, including Senator Seth Harp, of Midland, who provided leadership for the policy committee as chair of the Senate Higher Education Committee. He also served as vice chair of the Senate Appropriations Subcommittee on Higher Education. Senator Harp was a strong champion on both legislative and budgetary priorities for the System. His policy committee had several full and comprehensive meetings, and he always made it possible for the Regents to express their opinions. Senator Harp has played a key role in the University System's growth and prosperity.
Representative Bill Hembree of Douglasville served as chair of the House Higher Education Committee. Representative Hembree also was a member of our House Appropriations
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Subcommittee. He helped the Board of Regents with every piece of legislation affecting the University System of Georgia, as well as with a number of budget issues. Representative Hembree gave the Regents every opportunity to benefit and participate in committee meetings. Chair Shelnut asked the Regents to join him in saluting these great public servants.
Representative Hembree thanked Chair Shelnut, the Regents, and Chancellor Davis. He said it is an honor to be a Representative, and he has served for 12 legislative sessions. It is truly an honor to be the chair of the House Higher Education Committee, he said, because the State of Georgia has the best university system in the nation. It is easy to deliver the message of the University System of Georgia because the legislatureis truly supportive of the System. The General Assemblyappreciates the work of the Board of Regents, as is demonstrated in the state budget, including 4% salary increases for System employees, $310 million in bonds for facilities, and carry-forward legislation. It is also evidencedby the establishment of the Georgia Higher Education FacilitiesAuthority, which will help build needed facilities for System institutions. On behalf of the General Assembly, he thanked the Regents for their hard work.
COMMITTEE ON FINANCE AND BUSINESS OPERATIONS, "COMMITTEE OF THE WHOLE"
Chair Shelnut next convened the Committee on Finance and Business Operations as a Committee of the Whole and turned the Chairmanship of the meeting over to Regent Jennings, the Chair of the Committee. He noted that within the budget presentation, there would be a walk-on item regarding the fiscal year 2007 salary and wage administration policy and that adding this item to the agenda of the Committee of the Whole would require unanimous consent.
Chair Jennings thanked the Regents for contributing their time and effort in supporting the budget recommendations and working with the legislators during the budget process. He had reviewed all of the allocation process and principles with the Chancellor and senior staff, as well as the tuition and mandatory fee recommendations. At this meeting, the Committee of the Whole would consider the following action items: the fiscal year 2007 budget allocations, tuition, and mandatory student fees. (See pages 25 to 37.) He called upon the Chancellor to begin the budget presentation.
Chancellor Davis said that April is the season for dogwoods in the State of Georgia, but it is also the season for budgets and tuition in the University System of Georgia. In August, the budget process is "planted" with the Board's approval of the System's request to the Governor, and this month, that process comes into full bloom. At this meeting, the staff would recommend that the Board act on a budget that reflects the actions of the Governor and the General Assembly on the Board's initial budget request.
The Chancellor reported that thanks to the support of the General Assembly, the Board of Regents has $120 million extra for fiscal year 2007 as part of a record state appropriation to the University
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System of Georgia. This Board has a very tight list of key responsibilities, and setting policy and using that policy to drive budget decisions rank at the top of that list. So, with the Board's actions at this meeting, the Regents will be using the budget to help implement some directional changes in policy. Chancellor Davis said that he feels very strongly that budgets should in fact be policyimplementing documents. So, he would try to point out in the course of explainingthe budget where the Board's policy focus has translated into budget allocations.
There are three differences in this budget, explained the Chancellor. First of all, the budget is driven by strategies. The strategy is to base budget allocations on Systemwide priorities and compelling needs of the Board of Regents in key policy areas. He said that the point is "to move the needle." That is, the Board must allocate System resources in ways that are the most effective and provide the best opportunity to achieve important policy goals and effect changes that advance those goals. He pointed out a few key ways in which the Board will move the needle by allocating dollars to key areas. The Board will provide funding to increase the numbers of nurses graduating from System institutions to address the statewide shortage of nurses while, at the same time, providing funding to increase the number of nursing instructors. The Board will provide funding to increase graduation and retention rates at institutions where the System can achieve the most significant results. The
Board will also provide funding to increase the efficiency of the System's back-office operations. Chancellor Davis said that he expects to see more emphasis on this area in future budgets.
The second change in the budget is that the System will follow the dollars allocated and track them separately to ensure that funds are being used as the Board intends. That means tracking the dollars to ensure that they produce the appropriate outcomes of priority programs. Strategic allocations are investments, and when the Regents make investments, they expect returns on those investments. In cases where the investments are not producing returns, the Board will remove those dollars and invest them elsewhere.
The third area of change in the fiscal year 2007 budget is tuition. One thing that will not change is this Board's long-standing commitment to ensure access by maintaining affordable tuition, but what will change is the way the Board achieves this. The Board intends to use tuition to provide access, but also to encourage students to move through the System more quickly. These are two key policy goals of this Board. The Regents' new tuition policy will demonstrate a high level of customer service in that students and parents will be able to sit around the kitchen table and plan the financial costs of college with greater confidence and certainty. This new policy will also benefit the state as the System more fully utilizes its assets and provides an improved return on the state's investment. Chancellor Davis said that the staff's focus on tuition is not something new. The staff have been working on tuition policies for over two years. In the summer of 2004, the staff published a Systemwide tuition study listing a number of tuition options, which was circulated throughout the System and the State of Georgia. In December 2004, these options were presented to the Governor. In November 2005, Interim Chancellor Corlis Cummings met with Governor Purdue to discuss a
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multi-year predictable tuition model. The Governor challenged the University System of Georgia to keep tuition affordable while bringing some certainty to the process based upon some materials provided to him that were developed in 2004. In 2005, the University System Office provided to the Governor's Office of Planning and Budget ("OPB") research on what other states are doing in terms of guaranteed tuition. Chancellor Davis said that the proposal on tuition would fulfill his goal of using tuition as a revenue source of last resort. He then called upon the Assistant Vice Chancellor for Fiscal Affairs, Usha Ramachandran, to begin the budget presentation.
Ms. Ramachandran reported that the University System of Georgia received $1.93 billion in state allocations for fiscal year 2007. She noted this is the highest allocation in the history of the System. It represents, an increase of $120 million, or 6.6%, over the fiscal year 2006 budget of $1.81 billion. Formula funds make up the largest part of the base budgets of all System institutions. Included in the $120 million were formula funds of $98.6 million. She noted that the formula funds include a 4% salary increase and a land grant match for Fort Valley State University ("FVSU"). Special funding initiatives include $1 million in funding for Georgia Gwinnett College ("GGC"), $1.5 million for the Georgia Leadership Institute for School Improvement, and $1 million for the Medical College of Georgia ("MCG") and the University of Georgia ("UGA"), including $500,000 for the UGA programs at Griffin and $500,000 for the bio-business incubator at MCG. There are also line items, such as seed capital funding of $5 million for the Advanced Technology Development Center ("ATDC") at the Georgia Institute of Technology ("GIT") and funding for the Georgia Research Alliance ("GRA") and the Georgia Public Library Service ("GPLS"). Ms. Ramachandran noted that when money is appropriated by the Governor and the General Assembly for a specific purpose or entity, it must be allocated to that purpose or entity. So, of the $120 million budget increase, only $31.4 million is "flexible" for the Board to determine who gets how much and for what.
Ms. Ramachandran reiterated the Chancellor's remark that the budget is a policy-implementing document. If money is a means to an ends, she said, the Board can make a difference by investing in strategic Board priorities. That is, the Board can "move the needle." In fiscal year 2007, there are several policy objectives: to provide a quality education to students by allocating funds for faculty and operations to meet enrollment growth; to enhance retention, progression, and graduation ("RPG") rates through targeted investments; to respond to the state's growing shortage of nurses; to increase efficiency and productivity; and to invest in opportunities that increase access and services to students. So, of the $31.4 million, $24 million will be invested in the quality education/enrollment objective, $2.2 million for the RPG initiative, $2.3 million for nursing, $1.5 million to increase efficiencies, $500,000 to enhance access, and $900,000 for other initiatives.
With regard to the first policy objective, quality education, the strategy is to provide to institutions a minimum 60% of funds generated by enrollment increases. At the same time, there are cost differences among the sectors. In other words, research universities usually cost more to operate than four-year institutions. So, the allocation strategy makes adjustments for those differences accordingly. When the $24 million is allocatedto the institutions, it will be directed toward the hiring
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of approximately 250 new faculty to add course sections for student enrollment growth. It will also be directed to support services for students. Both of these will improve the quality of education for students.
The second policy objective is to enhance RPG rates. In order to maximize the return on investment in this regard, the allocation will be focused on five institutions that have the most opportunity and enrollment for improvement: Georgia State University ("GSU"), Georgia Southern University ("GSOU"), Kennesaw State University ("KSU"), University of West Georgia ("UWG"), and Valdosta State University ("VSU"). The allocation will be focused on such strategies as faculty advising, supplemental instruction for courses with high failure and withdrawal rates, and the expansion of freshman learning communities and sophomore connection programs. There must also be a change in the culture of the institutions that places an importance on the success of every student. Finally, consideration will be given to "price signals" to change student behavior.
The third policy objective is to respond to the state's growing shortage of nurses, reiterated Ms. Ramachandran. In this regard, the staff have developed a three-pronged strategy. The first approach is to increase the number of nurses. The second approach is to look at the number of nurse educators. The third approach is to consider alternatestrategies for clinical experiences.To this end, the System will increase the number of students in associate level nursing programs with $1.73 million and in the accelerated bachelor's programs with $1.74 million. Another $887,000 will be focused on nurse educators programs, which includes two programs. The first is MCG's Doctorate of Nursing Practice, and the second is the statewide online doctoral program, which is provided by a consortium of five institutions and is led by GSU. Another $581,000 will be allocated to simulators to provide an alternate way for students to get clinical experience. Up to 25% of a nursing student's clinical experience can be met by using a simulator, or a dummy. Albany State University and Valdosta State University will be getting these simulators to enhance their nursing programs. This investment will enable the System to accommodate and additional 410 new nursing students in fiscal year 2007.
The fourth policy objective is to increase efficiency and productivity. Ms. Ramachandran said that the strategy is this regard is to do things in a way that is secure, reduces costs, and is efficient. In 2006, the Office of Information and Instructional Technology ("OIIT") hosted the student information systems for six System institutions. For 2007, the plan is to expand this by another five institutions. The second strategy is to implement self-service human resources ("HR") applications, which includestwo parts. One part of this is an e-pay function that puts the payroll process entirely online. The other part of this is an e-profile function in which a person's HR information is updated entirely online. Both of these functions eliminate unnecessary HR paperwork and reduce the cost of transactions. The third strategy is to expand the data warehouse, which is simply a repository of data. All 35 institutions would send data to a centralizedrepository. It would make informationmore accessible in a very fast and efficient way. This initiative will expand the functionality of the data warehouse and add facilities information to the date warehouse.
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The fifth and final policy objective is to invest in opportunities that increase access to students. In fall 2006, GeorgiaGwinnett College ("GGC") will open with 250 juniors. This objectivewill provide funds for faculty in various disciplines as well as start-up operations for the new institution. Funds are also dedicated to innovative best practices to maximize efficiencies.
Next, Ms. Ramachandran turned to the capital budget. She reported that the System received a total of $310 in bond funding altogether, $240 million in the fiscal year 1007 budget and $70 million in the fiscal year 2006 amended budget. The $310 million includes $60 million in major repair and renovation ("MRR") funds, $89.3 million for 4 major capital outlay projects, $87.1 million for 10 minors projects, $11.6 million for GPLS projects, $38 million for the nanotechnology project, and $24 million for GRA projects. In closing, Ms. Ramachandran turned the floor over to the Vice Chancellor for Fiscal Affairs, William R. Bowes.
Mr. Bowes first discussed fiscal year 2007 tuition for current and continuing students. He showed a chart depicting the current tuition rates at each of the System sectors. At research universities, the current full-time rate of tuition per semester is $1,819; at regional and state universities, it is $1,219; and at two-year colleges, it is $771. For current and continuing students, the staff were recommending the following tuition increases: 5% for research universities ($1,910), 4% for regional and state universities ($1,268), and 3% for two-year colleges ($794).
Next, Mr. Bowes discussed the tuition strategy for entering freshmen in fiscal year 2007. He said that for new students, the staff were proposing a "guaranteed tuition plan" ("GTP"). That is, entering students would pay a tuition rate that is guaranteed to remain fixed for a specified time period four years at four-year institutions and three years at two-year institutions. For entering in-state freshman in fiscal year 2007, the following fixed tuition rates would be effective: $1,946 at research universities and $1,280 at regional and state universities through 2010 and $802 at two-year colleges through fiscal year 2009. He noted that there are a number of policy objectives associated with this strategy. First, the strategy aims to encourage students to graduate within four years from a four-year institution or within three years at a two-year institution. Moving students through the System faster will improve utilization of capital assets and return on investment. It will also provide parents and students predictability of tuition for three to four years. This policy will apply to all in-state and out-of-state students, though out-of-state rates will be four times the in-state rates. However, this policy will not apply to graduate students or students in online programs. It will also not include mandatory fees or expenses for room and board. Mr. Bowes said there are many details that still need to be fine-tuned in terms of how this policy will apply in special cases, such as students who drop out and want to come back, students who transfer from a two-year to a four-year institution, students at state colleges, etc. The Chancellor is appointing an advisory committee of representatives from all of the institutions who will be working with the Office of Fiscal Affairs to develop some recommendations regarding those special cases, and the staff will return to the Board for approval of those recommendations. Mr. Bowes added that because this tuition policy aims to improve graduation rates, this rate must also apply to students in special programs that are
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necessarily longer than average programs, such as architecture programs.
Mr. Bowes next discussed fiscal year 2007 mandatory student fees, which are based upon cost increases for institutions based upon their assumptions about increases in personal service costs, energy costs, expansion of services, new programs, and facilities fees for privatized projects. He noted that Board policy requires student participation in the institutional fee request process. The staff require documentation from the institutions to prove that they have included students in the process. They also look at balancing institutional requests with the total cost of attendance at each institution. This year, most of the fees were related to facilities fees. There were also a number of technology fees, most of which have not been increased in many years. Mr. Bowes asked whether the Regents had any questions or comments about the proposed agenda items.
Chair Jennings asked whether there were any question on Item 1, Fiscal Year 2007 Budget Allocations.
Regent Rodwell asked a question about tuition rates. She asked whether tuition rates will remain fixed for four years for current students as well.
Mr. Bowes replied that the tuition rates for currents students will continue to increase as a normal tuition rate based upon the budget formula, which generally averages approximately 4% to 5%. Tuition rates will increase for current students until they graduate or terminate their enrollments.
Chancellor Davis added that it will be three to four years before all students are on a fixed tuition rate, assuming adoption and continuation of the fixed tuition rate plan.
Regent Shelnut said that he was excited to see the tuition plan encouraging students to graduate in four years. He asked whether institutions would be modifying their advisement strategies accordingly.
Mr. Bowes responded that the final GTP would include such recommendations. He said there are a number of details yet to be worked out and that the advisory committee will help develop these recommendations.
The Chancellor said that the staff would return to the Board with the GTP and recommendations to address the finer policy details. The advisory committee will also help determine the "price signal" to send in the fifth year in terms of tuition costs for students who do not graduate in four years. He said the only decision at this point is that tuition is guaranteedfor four years, and therefore, the fifth year is going to cost more than the fourth year. How much more is yet to be determinedby the work of the advisory committee, and the staff will return to the Board with such recommendations at a later date. The action at this meeting will approve the GTP in concept so that it can be included in the institutions' catalogs and communicated to parents and students.
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Seeing that there were no further questions or comments, Chair Jennings called for a motion to approve Item 1 of the Committee agenda. Motion properly made, seconded, and unanimously adopted, the Committee approved the fiscal year 2007 budget allocations. (See pages 25 to 32.)
Next, Chair Jennings called for a motion to approve Item 2 of the Committee agenda. Motion properly made, seconded, and unanimously adopted, the Committee approved the fiscal year 2007 tuition. (See pages 32 to 34.)
Then, Chair Jennings called for a motion to approve Item 3 of the Committee agenda. Motion properly made, seconded, and unanimously adopted, the Committee approved the fiscal year 2007 mandatory student fees. (See pages 34 to 36)
Chair Jennings announced that there was a proposed walk-on item to the Committee agenda concerning the fiscal year 2007 salary and wage administration policy. (See Item 6 pages 37 to 38.) He noted that the addition of the walk-on item required unanimous consent to be presented. With motion properly made, seconded, and unanimously adopted, the Committee approved the addition of the walk-on item to the Committee agenda.
Mr. Bowes said that it has been the practice of the Board of Regents for a number of years to approve salary increases on the basis of merit. In the fiscal year 2007 state budget, the University System of Georgia received a 4% salary increase, effective January 1, 2007. The fiscal year 2007 salary and wage administration policy states that those funds will be distributed on the basis of merit. The Board requests that any institution that grants an increase higher than 10% notify the Board in writing.
Chair Jennings asked whether there were any questions or comments regarding this item. Seeing that there were none, he called for a motion. Motion properly made, seconded,and unanimouslyadopted, the Committee approved the fiscal year 2007 salary and wage administration policy.
At approximately 2:50 p.m., Chair Jennings adjourned the meeting of the Committee on Finance and Business Operations as a Committee of the Whole and returned the chairmanship of the meeting to Board Chair Shelnut.
Chair Shelnut reconvened the full Board meeting and asked Regent Jennings to officially report the actions of the Committee of Finance and Business Operations as a Committee of the Whole for the purpose of approving the items in regular session.
Regent Jennings reported that the Committee of Finance and Business Operations as a Committee of the Whole had approved four items: the fiscal year 2007 budget allocations, tuition, mandatory student fees, and salary and wage administration policy. He asked for a motion for Board approval
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of the actions of the Committee.
Motion properly made and seconded,Chair Shelnut asked whether there were any further questions or comments.
Regent Jenkins said he was very much in favor of the motion, but he wanted an opportunity for discussion.
Chair Shelnut stated that this was the time for discussion and invited the Regents to ask questions or make comments.
Regent Jenkins stated that the tuition rate for fall 2006 under the GTP represents a 7% increase over fall 2005. He noted that this percentage was not outlined in the presentation.
Mr. Bowes responded that the proposed tuition rate under the GTP does not actually represent an increase for students under the GTP, since those students are first-time students of the University System of Georgia. Rather, this is an established fixed rate for incoming first-time students.
Regent Jenkins said that mathematically, the GTP tuition rate was established by taking the current tuition rate and multiplying it by 107.
Chancellor Davis noted that this was only the case for the GTP tuition rate at research institutions.
Mr. Bowes agreed.
Regent Jenkins said that the GTP tuition rates translated to an increase over fall 2005 tuition of 5% for four-year institutions and 4% for two-year institutions. GTP tuition rates may also be increased for the next cohort of students who will be incoming in fall 2007.
Chair Shelnut explained that the point of the GTP is to fix tuition for each incoming cohort of students for four years at four-year institutions [and three years at two-year colleges].
Regent Jenkins said he just wanted to clarify that the GTP rate could be adjusted for incoming students in fiscal year 2007. He said that the total dollars produced by the GTP tuition rates would likely be the same as under the current tuition model.
Mr. Bowes said that it is difficult to predict because it is uncertain what the tuition rates would otherwise be. Looking at historical tuition rates, the impact of foregone revenue under the GTP is relatively small.
Chancellor Davis explained that making assumptions of what tuition rate increases might be,
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comparing a 5% average rate increase for the next four years versus moving a freshman cohort at a set rate under the proposed GTP, there would be an approximate 1% decrease for a research university and an approximate 2% decrease for a four-year institution. So, it is likely that the University System of Georgia will collect slightly less tuition revenue under the proposed GTP, but parents and students will have more certainty about tuition costs. The decrease in revenue streams should be manageable, but the Chancellor stressed that these streams are assumed streams and hypothetical assumptions are necessarily problematic.
Regent Potts asked how many currently enrolled first-time freshmen graduate in four years.
The Associate Vice Chancellor for Planning and Policy Analysis, Cathie Mayes Hudson, responded that approximately 25% to 28% of students graduate in four years.
Chancellor Davis added that the Office of Planning and Policy Analysis has been lookingmore at sixyear graduation rates.
Mr. Bowes said that the six-year graduation rate is approximately 47%.
Seeing that there were no further questions or comments,Chair Shelnut calledfor the vote to approve the actions of the Committee on Finance and Business Operations as a Committee of the Whole. With motion properly made and seconded, the Board unanimously approved the fiscal year 2007 budget allocations, tuition, mandatory student fees, and salary and wage administration policy.
Chancellor Davis said that the GTP had been discussed in full with the Governor's Education Advisor, Jennifer Rippner. Last summer, Governor Purdue challenged the University System to establish a predictablemulti-yeartuition model. The Chancellorhad informed the Governor that such a model would be presented for Board approval at this meeting. Therefore, the Governor had invited the Regents to the Capital for a formal announcement and press conference at 3:30 p.m. Chancellor Davis noted that the GTP is a culmination of a multi-year process and that legislators and policymakers alike are very excited about this. He added that this is an evolutionary, rather than revolutionary, change. It is a change in which the University System is making a bargain that is contingent upon continuing legislative support.
Chair Shelnut asked Regent Jolly to convene the meeting of the Committee on Organization and Law meeting after the conclusion of the press conference.
At approximately 3:10 p.m., Chair Shelnut adjourned the Board meeting until 9:00 a.m. on Wednesday, April 19, 2006.
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CALL TO ORDER
The Board of Regents of the University System of Georgia met again on Wednesday, April 19, 2006, in the Board Room, room 7007, 270 Washington St., S.W., seventh floor. The Chair of the Board, Regent J. Timothy Shelnut, called the meeting to order at 9:00 a.m. Present on Wednesday, in addition to Chair Shelnut, were Vice Chair Patrick S. Pittard and Regents Hugh A. Carter, Jr., William H. Cleveland, Robert F. Hatcher, Julie Ewing Hunt, Felton Jenkins, W. Mansfield Jennings, Jr., James R. Jolly, Donald M. Leebern, Jr., Elridge W. McMillan, Doreen Stiles Poitevint, Willis J. Potts, Jr., Benjamin J. Tarbutton III, Richard L. Tucker, and Allan Vigil.
The Director of Administration and Compliance Policy, Mark Demyanek, gave the Regents and audience a briefing of basic safety information in the event of an emergency.
INVOCATION
Chair Shelnut called for a moment of silence in memory of former Senator William Fincher, Jr. of Chatsworth. Senator Fincher served as a public official for 26 years. He chaired the Senate Higher Education Committee and was a member of the Committee on the Formula for Excellence, which created the current funding formula for the University System of Georgia.
The invocation was given on Wednesday, April 19, 2006, by Regent W. Mansfield Jennings, Jr.
ATTENDANCE REPORT
The attendance report was read on Wednesday, April 19, 2006, by Secretary Gail S. Weber, who announced that Regents Michael J. Coles and Wanda Yancey Rodwell had asked for and been given permission to be absent on that day.
TRIBUTE TO RETIRING PRESIDENT AND INTRODUCTION OF NEW PRESIDENTS
Chair Shelnut asked President Betty L. Siegel of Kennesaw State University ("KSU") to join him, the Chancellor, and President Lisa A. Rossbacher of Southern Polytechnic State University ("SPSU") at the podium. He noted that President Siegel would be retiring on June 30, 2006.
Chancellor Davis said that KSU recently threw a "Silver Salute" event to honor outgoing President Siegel. At the time, the Chancellor was disappointed that he could not be present at what he heard was a fitting tribute to her. At this meeting, he was very pleased to convey the thanks of the Board of Regents to President Siegel in person. While the Regents may not have on formal attire and there was no band in the wings or champagne to help toast her accomplishments, their appreciation and affection are no less sincere or enthusiastic, he said. President Siegel's record of accomplishment at KSU is one of which she should be very proud, he continued. She was the first woman president in
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the University System, and she made it part of the accepted order. She has served as a mentor and guide to so many of her peers that he wonderedif the Regents fully understandthe influenceshe had exerted in the arena of women in these leadership roles, though they certainly appreciate her influence. Today, six women are currently presidents of University System institutions, and President Siegel is the undisputed dean. As he noted in remarks for the Silver Salute, her greatest legacy is her leadership in transforming KSU from a small, commuter campus in 1981 to the third largest state university in the System with more than 18,000 students. Along the way, President Siegel oversaw the creation of a beautiful new residential campus that is nationally and internationally recognized for its Coles College of Business; its Center for Leadership, Ethics and Character; and its successful First-Year Experience program for freshmen students.
The Chancellor said that he has come to know President Siegel better over the past several months, and he can now understand what people mean when they use her name and words like "dynamo," "Energizer Bunny," "unstoppable," and some others he would not repeat. She truly had taken the position of president and used it to connect the institution to the community in ways that benefit and enrich both parties. Whether speaking at conferences and events around the world, leading highprofile programs at Oxford University, or providing dynamic leadership for her beloved Cobb County, President Siegel has extended the presence, reach, and prestige of KSU through her uniquely personal touch. Talented, experienced,and blessed with exceptionallyastute judgment(he noted that she did serve on the Chancellor Search Advisory Committee that ultimately selected him), President Siegel has served KSU, the University System, and the citizens of the State of Georgia with outstanding leadership for these past 25 years. He asked the Regents to join him in expressing deep appreciation for PresidentSiegel's leadershipand accomplishments.He gave her a pictureof her with Governor Purdue, Regent Coles, and the Senior Vice Chancellor for Academics and Fiscal Affairs, Daniel S. Papp. He then called upon President Rossbacher to make a presentation to President Siegel.
President Rossbacher said that on behalf of the presidents of the University System of Georgia, she wanted to express their appreciation for all that President Siegel has done for the System. When President Siegel was first appointed, she was the first female president in the System. The evolution of KSU under her leadership has been legendary, both in terms of the institution's size and scope. The System presidents have been inspired by President Siegel's accomplishments as a motivational speaker at engagements that have taken her around the world. Her awards fill not just walls, but literally rooms. So, the presidents did not want to give her another plaque. Instead, they gave her a gift certificate to the Grove Park Inn in the Blue Ridge Mountains of North Carolina. On behalf of the System presidents and the Chancellor, President Rossbacher thanked President Siegel for her leadership, her commitment to education, and most of all, her friendship.
President Siegel said that 25 years ago, she interviewed for the presidency of KSU. She did not hear for months about the position, though she fell in love with the institution. She was at the beach one day in July when Chancellor Vernon Crawford called to offer her the job. She said that she feels blessed to have been the steward of the university. Alex Haley wrote, "Anytime you see a turtle on
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top of a fencepost, you know he had some help." President Siegel said that is illustrative that we do not stand by ourselves and there are those who make it possible for us to get where we are going. She has been fortunate to work with five Chancellors and two Interim Chancellors, but she wished she could serve a bit longer under Chancellor Davis. She said that she keeps a card in her billfold that epitomizes the kind of leadership she to which she aspires, "Risk more than others think is safe. Care more than others think is wise. Dream more than others think is practical. Expect more than others think is possible." In closing, President Siegel thanked the Regents for the honor of serving as President of KSU.
Chancellor Davis stated that the Board provides a great deal of autonomy to the presidents to lead their respective institutions. This makes the selection of an institutional president a critical responsibility. As he has traveled to the campuses and met with presidents, the Chancellorhas been impressed by the overall quality of the leadership at the institutions. At this meeting, he was pleased to introduce two of the System's newest presidents, one who had been on the job just a short time and one who would begin next month.
The Chancellor first introduced the new President of Fort Valley State University ("FVSU"), Dr. Larry Eugene Rivers, who had been on the job since mid-March. Chancellor Davis noted that the board originally was scheduled to hold this meeting on the FVSU campus, but the Regents did not want to make hosting a Board meeting the very first item on the new president's agenda. Instead, the Regents will meet at FVSU in October 2006. The Chancellor said that the Regents are delighted that he accepted their invitation to give up the job he has held since 2002 as Dean of the College of Arts and Sciences at Florida A&M University ("FAMU") in Tallahassee to come to FVSU. President Rivers' association with FAMU dates back to 1977, when he was hired as an assistant professor of history. From 1990 to 2001, he served as director of FAMU's largest graduate degree program, the Master of Applied Social Sciences program. For five years previous to that appointment, President Rivers was chair of FAMU's Department of History, Political Science, Economics, and AfricanAmerican Studies. Before joining the FAMU faculty, President Rivers taught history and political science at the University of Pittsburgh from 1974 to 1977. A graduate of FVSU, President Rivers holds a Master of Arts in American History and Political Science from Villanova University, in Villanova, Pennsylvania; a Doctor of Arts in American History and Curriculum Development from Carnegie Mellon University in Pittsburgh; and a Doctor of Philosophy in African-American and Cultural Studies from Goldsmiths College at the University of London, England.The Chancellorsaid that he and the Regents we look forward to President Rivers' leadership at FVSU. Chancellor Davis also extended his thanks to Regent McMillan, who chaired the Special Regents' Committee for the Fort Valley State University Presidential Search, as well as Regent Jennings and former Regent Connie Cater, who also served on the Committee. The Chancellor also thanked Dr. Julius E. Scipio, Dean of the College of Arts and Sciences at FVSU, for his leadership in chairing the presidential search and advisory committee at the campus level. Finally, he acknowledged the work of the faculty, staff, student, alumni, and foundation members who served on the advisory committee. He then welcomed President Rivers to the University System family.
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President Rivers read the following poem by R. Lee Sharpe:
Isn't it strange how princes and kings, And clowns that caper in sawdust rings, And common people, like you and me, Are builders for eternity?
Each is given a list of rules; A shapeless mass; a bag of tools. And each must fashion, ere life is flown, A stumbling block, or a stepping-stone.
President Rivers said that as a 1973 graduate of FVSU, he is very pleased and honored to serve as the eighth president of the university. He said that as President, he wants to be not a stumbling block, but a stepping-stone in helping to move his alma mater forward. In closing, he thanked the Regents for giving him the opportunity to serve FVSU.
Chancellor Davis then introduced the next new president, who is already a well-known member of the University System family. The Senior Vice Chancellor for Academics and Fiscal Affairs, Daniel S. Papp, will soon take the reins from long-time President Siegel at KSU. Dr. Papp has done an exemplary job as Senior Vice Chancellor for the past five years, and the Regents are excited about the leadershiphe will contributeat KSU. The Chancellorremarked that Dr. Papp has been invaluable in his role as the Senior Vice Chancellor.He has held this post since 2000, but his University System roots go much further back.
Dr. Papp served as Interim President of Southern Polytechnic State University from 1997 to 1998, and as Executive Assistant to the President at the Georgia Institute of Technology ("GIT") from 1994 to 1997. An international affairs expert, Dr. Papp was the founding director of GIT's Sam Nunn School of International Affairs from 1990 to 1993 and Director of GIT's School of Social Sciences from 1980 to 1990. He joined the GIT faculty as an assistant professor of international affairs in 1973. Dr. Papp earned his Doctor of Philosophy in International Affairs from the University of Miami in 1973 and his undergraduate degree in the same discipline from Dartmouth College in 1969. Dr. Papp is married to Susan Papp and has two sons (William and Alex) and two stepsons (Michael and Benjamin). Regent Coles chaired the Special Regents Committee for the Kennesaw Stat University PresidentialSearch, and he was joined on this Committee by Regent Jolly and former Regent Joe Frank Harris. Chancellor Davis recognized Joseph D. Meeks, Dean of the College of the Arts, who chaired the presidential search and advisory committee, along with all members of this advisory committee who worked so ably to identify the candidate pool. In closing, the Chancellor introduced the man who he said needed no introduction to the Board but who deserves its first official welcome as President of KSU.
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Dr. Papp said that he has some very big glasses to fill. At KSU, President Siegel is well beloved and incredibly respected. He said that he cares deeply for the institution and has been a resident of Cobb County for approximately 33 years. He also cares deeply about each of the other 34 institutions in the University System of Georgia. Throughout his career in the System, Dr. Papp has taken some risks, and he will continue to take risks as President of KSU just as President Siegel has done. He said that he hopes his risks will be as successful as the ones she took. Dr. Papp said he will also dream and come to the Board with some of those dreams. He will expect to do great things. KSU has wonderful faculty, staff, and students. Indeed, the purpose of KSU under President Siegel and the purpose under President Papp will be to help make good students great citizens. That is, after all, is what higher education is all about, he said. In closing, Dr. Papp thanked the Regents, the Chancellor, and the KSU community for this incredible opportunity.
Chair Shelnut congratulated Dr. Papp on behalf of the Board of Regents and the University System Office on his appointment and remarked that he knows Dr. Papp will be a great president at KSU. The Chairman said that the Regents expect they will continue to see President Siegel and look forward to it.
PUBLIC THANKS TO INTERIM CHANCELLOR CORLIS CUMMINGS
Chair Shelnut next invited the Senior Vice Chancellor for Support Services, Corlis Cummings, to approach the podium. As she came forward, he remarked that leadership sets the tone for an organization, and when an organization is in transition between leaders, this becomes an even more crucial factor. As this Board conducted its successful search that brought Chancellor Davis to the University System, the Regents were fortunate to have Ms. Cummings serve as Interim Chancellor. The Chairman remarked that, from her first report to the Board until the new Chancellor took up his duties, there is no question that Ms. Cummings performed at an exceptionally high level. Many people had expressed to her their appreciation of her efforts as Interim Chancellor. During that time, she was involved in the Chancellor search, in presidential searches, the fiscal year budget, and a host of other actions and issues. Chair Shelnut said that Ms. Cummings managed all of these duties with her customary high level of knowledge, analysis, and determination. On behalf of the Board of Regents, he publicly and officially thanked Ms. Cummings for her leadership as Interim Chancellor. The previous evening, the Regents had presented to her a plaque, in official recognitionof her service to the Board and the System in this historic role. The plaque was inscribed as follows: "The Board of Regents of the University System of Georgia recognizes and honors the selfless service and leadership of Ms. Corlis Cummings in her role as Interim Chancellor of the University System of Georgia, October 1, 2005, through February 5, 2006. We extend our grateful appreciation for her contributions to public higher education and this Board's mission of `Creating A More Educated Georgia.'" Chair Shelnut noted that the plaque was signed by both Chancellor Davis and himself. In closing, he thanked Ms. Cummings for all that she had accomplished and will still accomplish for public higher education in the State of Georgia.
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Chancellor Davis added his own thanks and appreciation to those expressed by Chair Shelnut. He said that he knows how much the Board reliedon Ms. Cummings as Interim Chancellorand how well she served the Board in that role. The Chancellor stated that Ms. Cummings had done a superb job of welcoming him to a new set of responsibilities, a new culture, and a new state. Her work prior to his appointment has made the transition flow smoothly, and her time, patience, and counsel upon his arrival made it possible for him to slip quickly into the Chancellor's seat. As Chancellor Davis has worked to master history, issues, and policy, and to meet people, Ms. Cummings had proven to be a resourceful and wise guide. He said that he considers her an invaluable part of the University System Office team and he shares Chair Shelnut's hope that Ms. Cummings will continue to share her experience and expertise on behalf of the Board of Regents, the System, and, most importantly, the students. He thanked Ms. Cummings for her outstanding work.
Ms. Cummings thanked the Regents for the opportunity, the experience, and the recognition. She also thanked her husband, Ricky, and her daughters, Corrick and Chandler, who were incredibly supportive. She also thanked the cabinet, the University System Office staff, and presidents. She said that this I the kind of jog that a person cannot do alone. So, she also thanked the Governor and the General Assembly for their support during the transition. It has been a pleasure to work with the new Chancellor and to assist him in acclimating to Georgia and the System. We have a great University System, and it is great because of the people that work so hard, every day, to keep pushing to the next level of excellence. She thanked the Regents, past and present, who were supportive during this transition and who gave her the opportunity to serve.
SPECIAL PRESENTATION, GEORGIA ACADEMY OF MATHEMATICS, ENGINEERING, AND SCIENCE, MIDDLE GEORGIA COLLEGE
Chair Shelnut invited President Richard J. Federinko of Middle Georgia College ("MGC") to tell the Regents about the Georgia Academy of Mathematics, Engineering and Science ("GAMES").
President Federinko said that he was pleased to make this presentation about GAMES, which is a two-year program designed for gifted high school juniors and seniors. They come to MGC to complete both their associate's degrees and high school graduation requirements simultaneously. These students are enrolled full-timeat the institution and participate fully in campus live, including community service, charity activities, residence hall life, and other activities across campus. These students are exposed to a challenging and rigorous academic environment. There are also character and leadership opportunities as these students are invited to participate academically and socially in the institution. Many of these students report that they were bored in high school. They also report that they did not fit in and have a good social experience in high school. At MGC, they find other students like themselves, and they blossom both intellectually and socially.
President Federinko explained that GAMES was developed out of the Quality Basic Education
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("QBE") Act of 1986 under Governor Joe Frank Harris. The emphasis of QBE was on improving mathematics and science programs in high schools. In 1996, then President Joe Ben Welch proposed the GAMES program to the Board of Regents based upon a similar program in Texas. In 1997, the program had 28 students. Today, the program has 80 students.
Prospective students are based upon the Duke Talent Identification Program and the College Board PSAT exam and through word-of-mouth and direct mailing programs. In the early stages of the program, it was difficult for GAMES to get students enrolled because high schools did not want to give up their best and brightest students. MGC arranged for the students to count both as high school and collegestudents, and since that time, MGC has developed a much better relationshipwith high school guidance counselors around the state.
The admissions requirements for the GAMES program are different than for the MGC students. GAMES participants must have a 3.5 grade point average ("GPA") and 1100 SAT score, among other requirements. The program administrators also look at the disciplinary records of the students and information gained from potential students and parents. It is critical to have a good fit in a residential program. GAMES students must be mature and responsible because they are living on campus even on weekends.President Federinkonoted that participants are typically 16 and 17 years old. The cost of the GAMES program is approximately $4,000 per year for tuition, fees, and room and board. The students are eligible for Accel program funded by the Georgia Lottery for Education and administered by the Georgia Student Finance Commission. Georgia Power Company also provides scholarships for minority students.
Approximately two-thirds of GAMES students come from north of Macon. Approximately 57% are female, and 36% are minorities. The average SAT score among participants is 1218. Their accomplishments at MGC continue; their retention and graduation rates are very high. President Federinko noted that approximately one-third of GAMES students go on to major in physics/engineering,consistent with the program mission. Top GAMES students matriculate to the Georgia Institute of Technology ("GIT") and the University of Georgia ("UGA"). MGC has a very good relationship with GIT in particular in which students are granted automatic admission to GIT upon completion of their associate's degrees at MGC, contingent upon an essay requirement at GIT. GAMES students have gone on to many other prestigiousinstitutions, includingIvy League schools, the Massachusetts Institute of Technology ("MIT"), and Emory University. These students often go on to graduate and professional education programs. In eight of last nine years, a GAMES student received highest sophomore GPA award at MGC. Many of these students also take advantage of research and study-abroad opportunities.
President Federinko said that the GAMES program aspires to quality over quantity, but he does hope to expand the program to serve more gifted students in Georgia. The current dorm situation has limited GAMES enrollment to 80 students. In October 2005, the Board of Regents authorized a ground lease and rental agreement for the purpose of constructing new student housing. The Board
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has also approved a new GAMES academic support center. President Federinko showed the Regents a picture of the current student dorms as well maps and designs of the projects currently underway. In closing, he said that the GAMES program has tremendous potential to grow and develop. He thanked the Regents for this opportunity to speak and stepped down.
Chair Shelnut thanked President Federinko for this presentation and then called for the Committee reports.
EXECUTIVE AND COMPENSATION COMMITTEE
The Executive and Compensation Committee met on Tuesday, April 18, 2006, at 11:00 a.m. in the room 7019, the Chancellor's Conference Room. Committee members in attendance were Chair J. Timothy Shelnut, Vice Chair Patrick S. Pittard, and Regents William H. Cleveland, Donald M . Leebern, Jr., Elridge W. McMillan, and Richard L. Tucker. Chair Shelnut reported to the Board on Wednesday that the Committee had reviewed one item, which did not require action. That item was as follows:
1. Information Item: Executive Session: Personnel and Compensation Issues
At approximately 11:00 a.m. on Tuesday, April 18, 2006, Chair J. Timothy Shelnut called for an Executive Session for the purpose of discussing personnel and compensation issues. With motion properly made and variously seconded, the Regents who were present voted unanimously to go into Executive Session. Those Regents were as follows: Chair Shelnut, Vice Chair Patrick S. Pittard, and Regents William H. Cleveland, Donald M. Leebern, Elridge W. McMillan, and Richard L. Tucker. Also in attendance were Chancellor Erroll B. Davis, Jr., the Senior Vice Chancellor for Support Services, Corlis Cummings, and the Secretary to the Board, Gail S. Weber. In accordance with H.B. 278, Section 3 (amendingO.C.G.A. 50-14-4), an affidavit regarding this Executive Session is on file with the Chancellor's Office.
At approximately 12:30 p.m., Chair Shelnutreconvened the Committee meeting in its regular session and announced that no actions were taken in the Executive Session.
AUDIT COMMITTEE
The Audit Committee met on Tuesday, April 18, 2006, at approximately 11:20 a.m. in room 7059, the Seventh Floor Training Room. Committee members in attendance were Chair Julie Ewing Hunt and Regents Robert F. Hatcher, Willis J. Potts, Jr., and Wanda Yancey Rodwell. Chair Hunt reported to the full Board on Wednesday that the Committee had reviewed one item, which did not require action. That item was as follows:
1. Information Item: Fiscal Year-End 2005 Financial Audit Ratings
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Annually, the Associate Vice Chancellorfor Internal Audit, Ronald B. Stark, evaluatesaudit findings and reports the overall results of each institution's audit. The process rates each audit completed by the State Department of Audits and Accounts a Code 1 through a Code 5 rating. At this meeting,Mr. Stark presented the institutional audit ratings for the University System of Georgia, explaining that the best rating is a Code 1 and the most serious rating is a Code 5. He reported that Albany State University ("ALSU") and Fort Valley State University ("FVSU") both received a Code 5 rating for fiscal year 2005. The remaining 11 institutional audits received Code 3 ratings or better. Mr. Stark then gave a bit of history on the audit ratings of the two institutions receivinga Code 5 rating, noting that both universities have new leadership.
President Everette J. Freeman of ALSU, who has been in office six months, presented a corrective action plan and explained that he is already making progress in fixing the problems noted in the state audit. He noted that ALSU's vice presidentfor fiscal affairshad resigned and that the institution was conducting a thorough review of all fiscal affairs staff. ALSU's Interim Chief Business Officer, Bruce Spratt, also spoke to audit issues concerning grant reconciliation and internal processes.
President Larry Rivers of FVSU, who had only been in office 35 days at the time of this meeting, discussed how the institution plans to address the problems identified in the state audit. He reported that FVSU has had major personnel changes and that the institution is in the process of training new staff and reconciling a backlog of bank statements. He said that he would be personally involved in resolving the identified audit problems.
COMMITTEE ON INFORMATION AND INSTRUCTIONAL TECHNOLOGY
The Committee on Information and Instructional Technology met on Tuesday, April 18, 2006, at approximately 11:15 a.m. in room 6041, the Sixth Floor Training Room. Committee members in attendance were Chair Hugh A. Carter, Jr., Vice Chair W. MansfieldJennings,Jr., and Regents Felton Jenkins, Doreen Stiles Poitevint, and Allan Vigil. Chair Carter reported to the full Board on Wednesday that the Committee had reviewed two items, neither of which required action. Those items were as follows:
1. Information Item: Discussion of Development of an Information Security Program for the University System Office
At its January 2006 meeting, the Board approved revisions to The Policy Manual, Section 712, Information Security Policy. Included in that revision was the following language, "Therefore, the University System Office and all System institutions shall create and maintain an internal information security technology infrastructure consisting of an information security organization and program that ensures the confidentiality, availability, and integrity of all University System information assets." The Committee actively discussed this section of the revised policy and asked
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that the Vice Chancellor for Information and Instructional Technology and Chief Information Officer, Randall A. Thursby, indicate in a future meeting of the Committee how the Office of Information and Instructional Technology ("OIIT") plans to address University System Office information security infrastructure and program needs.
At this meeting, Mr. Thursby and the Assistant Vice Chancellor for Information Technology, Thomas L. Maier, described the current status of the creation of an information security program, what other university systems are doing, and possible recommendations to be submitted in the future. They reported that the University System Office currently has only two staff members assigned to this function who supply consultative service, including guidelines for policy development. The PeachNet network provides intrusion detection and prevention services as a part of its standard connectivity to the campuses. A review of five other large university systems indicates a specific focus area at the system level usually with a high-level security manager such as a chief information security officer (CISO) whose main role is coordination. Following the lead of other systems, Mr. Thursby outlined a course of action to develop an information security program in which the University System Office hires a CISO and continues to support campus activities. He indicated that this recommendation would be evaluated for action with a progress report to the Committee in early 2007.
2. Information Item: Administrative Committee on Information Technology Annual Update
The Administrative Committee on Information Technology ("ACIT") is composed of information technology leaders from each System institution who are nominated by the respective institution's president. The ACIT is responsible for providing advice to the Chief Information Officer of the University System of Georgia and for enhancinginterinstitutional cooperationand collaboration.The ACIT Chair and Director of IT Services/Chief Information Officer at Georgia Southern University, Lisa Spence, and the ACIT Chair-Elect and Chief Information Officer at North Georgia College & State University, Jay Steed, updated the Committee on the activities of the ACIT. They described a very active year in which the ACIT provided advice to the University System chief information officer on a number of issues and fostered collaboration and cooperation among institutions in areas such as procurement,informationsecurity, disaster recovery, facilitiesplanning,telecommunications, and mentoring. Mr. Steed said that leadership development is an area of increased focus. With the attrition of many information technology managers, there is a critical need to develop the next generation of leaders. The ACIT holds workshops on such topics as project and portfolio management and business case development to address this need. There are 43 individuals from 16 institutions and the Office of Information and Instructional Technology attending in these workshops.
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COMMITTEE ON FINANCE AND BUSINESS OPERATIONS
The Committee on Finance and Business Operations met at approximately 1:15 p.m. on Tuesday, April 18, 2006. Committee members in attendance were Chair W. Mansfield Jennings, Jr., Vice Chair Patrick S. Pittard, and Regents Robert F. Hatcher, Julie Ewing Hunt, Wanda Yancey Rodwell, and Richard L. Tucker. On Wednesday, April 19, 2006, Chair Jennings reported to the Board that the Committee had reviewed two items, Items 4 and 5 of the agenda. Item 4 required action.
The Committee also met as a Committee of the Whole at approximately 2:05 p.m. on Tuesday, April 18, 2006. (See pages 4 to 12.) Committee members in attendance were Chair W. Mansfield Jennings, Jr., Vice Chair Patrick S. Pittard, and Regents Robert F. Hatcher, Julie Ewing Hunt, Wanda Yancey Rodwell, and Richard L. Tucker. Also in attendance were Board Chair J. Timothy Shelnut and Regents Hugh A. Carter, Jr., William H. Cleveland, Felton Jenkins, James R. Jolly, Donald M. Leebern, Jr., Elridge W. McMillan, Doreen Stiles Poitevint, Willis J. Potts, Jr., Benjamin J. Tarbutton III, and Allan Vigil. After the meeting of the Committee on Finance and Business Operations as Committee of the Whole, the full Board convened to approve the four action items presented to the Committee of the Whole, including Item 6, which was a walk-on item.
With motion properly made, seconded, and unanimously adopted, the Board approved and authorized all of the following:
1. Fiscal Year 2007 Budget Allocations (Addressed by Committee of the Whole)
Approved: The Board approved the allocation of state appropriations for fiscal year 2007 among the institutions and operating units of the University System of Georgia.
This item was discussed in full by the Committee on Finance and Business Operations as a Committee of the Whole. (See pages 4 to 12.)
Background: The fiscal year 2007 budget approved by the Governor and General Assembly provides increased funding for the University System of Georgia, including all institutions and organized activities, in the amount of $120.1 million, or 6.6% above last year's appropriation. The budget calls for formula increases in the amount of $53 million, a reflection of the continued strong support state funding partners provide to the University System of Georgia to fulfill its mission of teaching, research, and service.
Other organized activities ("B" budget unit and nonteaching "A" budget activities and the Research Consortium)including, for example,the GeorgiaTech Research Institute, the AgriculturalExperiment Station, the Cooperative Extension Service, the University System Office, and the Georgia Public Library Service, and line item A units received $243.4 million in state appropriations, an increase of $18.9 million, or 8.4%, above current funding levels.
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The fiscal year 2007 approved budget for the University System of Georgia includes the following major components:
$30.8 million is included to provide merit-basedsalary increasesaveragingapproximately 4%. The increases for both faculty and staff will become effective January 1, 2007. Funds to annualize the fiscal year 2006 pay increase in the amount of $16.4 million are also included.
$53 million is provided for formula increases. The formula comprises the major component of new state appropriations approved by the Governor and General Assembly for the University System of Georgia and includes $31.4 million for enrollment-related increases; $6.3 million is for operation and maintenance of new facilities, $3.8 million for new System retirees, $5.5 for electricity rate increases, and $6 million for health insurance premium costs implemented in January 2005.
$1 millionis providedto assist GeorgiaGwinnett College in beginningoperations in fall 2006.
$1.5 million is includedfor Fort ValleyState University to meet the requiredmatch on federal research funds for the 1890 land grant mission.
$1.5 million is included for the Georgia Leadership Institute to provide additional leadership development programs for school principals.
$5 million is provided for a seed capital fund for the bio-sciences industry for the Advanced Technology Development Center.
Capital Funding
The total bond package for capital projects is $240 million for fiscal year 2007 and $70 million for the fiscal year 2006 amended budget.
Major capital projects funded in the fiscal year 2006 amended and fiscal year 2007 budget include:
$9.1 million for the Parks Nursing/Health Science Renovation at Georgia College & State University.
$24.3 million for the Health, Wellness, and Lifelong Learning Center at the University of West Georgia
$18.4 million for the Library/Technology Center at North Georgia College & State University.
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$37.5 million for the Teaching Lab Building at Georgia State University.
Other recommendations include $87.1 million for 20 minor projects, $38 million for the nanotechnology project at the Georgia Institute of Technology, and $11.6 million for 8 Georgia Public Library Service projects.
Allocation Recommendations
The allocation recommendations for fiscal year 2007 call for a portion of the $31.4 million of enrollment-related formula funds to be allocated to institutions to support basic educational needs ($24 million). This allocation recommendation provides a minimum of 60% of formula funds to institutions with a portion used to address cost differences in various sectors. The balance of enrollment-related formula funds is recommended for use in support of the Board's key strategic priorities. These recommendations are described below.
It is further recommended that new funds for maintenance and operations of plant be allocated according to the formula and that funds for new retirees, electricity rate increases, and health insurance premiums be allocated to institutions based upon actual costs or proportional share of estimated costs.
Strategic Allocations
1. Georgia Gwinnett College. ($500,000, plus internal formula transfer)
In accordance with the financial model developed to provide funding to Georgia Gwinnett College ("GGC"), the recommendation is to allocate all of the enrollment formula increase generated by Georgia Perimeter College ("GPC") to GGC ($2 million). GPC would receive its appropriate share of formula funds generated for new facilities, retiree benefits, health insurance premiums, electricity cost increases,and salary increases.This strategy would generate a total dedicated budgetof just over $10.3 million for GGC in fiscal year 2007, including $1 million in separate start-up funds recommended by the Governor and General Assembly. GGC also would be expected to generate about $300,000 to $400,000 in tuition revenues.
2. Productivity/Efficiency Enhancement ($1,568,000)
The Board of Regents' Office of Information and Instructional Technology ("OIIT") provides centralized administrative and academic support to 31 System institutions and two sites (the Skidaway Institute of Oceanography and the University System Office). The research institutions, for the most part, operate independently. Concerning administrative systems, OIIT manages databases for the operation of PeopleSoft human resources and financial software for the 33 sites,
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although each site uses a common application, changes to which are managed centrally by OIIT. Student administrative systems (BANNER) are managed locally with support from OIIT.
The University System of Georgia needs to consider a long-term strategy of further consolidation of support that would 1) provide for centralizeddatabase managementfor all administrativesystems, 2) consolidate separate databases into a single database that would allow for future integration of systems, 3) provide centralized support for systems for reduction in back office costs (i.e., automated time and attendance systems, self-service payroll and financial applications, etc.), and 4) improve access to, and reporting of, Systemwide data to assess the impact of productivity enhancements and identify further opportunities for cost savings.
There were three major recommendations:
i) Provide funds to continue BANNER hosting at five new sites ($700,000)
Hosting of the BANNER student information system ("SIS") was initiated in fiscal year 2006 for six volunteer institutions. In the current deployment of the BANNER SIS, each institution hosts its own technical infrastructure, resulting in 32 hardware implementations, more than 32 database and systems administrationstaff members,and 32 approaches to reports and service delivery.The varied nature of these implementations has resulted in unequal services to students of the University System of Georgia with clear indications of the "haves" and "have-nots" as well as difficulties in aggregating student data.
The hosted technical environment will provide a high level of basic services for students. It will be scalable so that other institutions could be added easily; it will be secure, reliable, and cost-effective; and it will facilitate continued development of an integrated learning environment. The conservative annual savings based upon the report to the Board is approximately $40,000 in operating funds per institution per year. Additionally, there are savings associated with the cost of financing new hardware. The combination of these factors, plus the added security provided to prevent system downtime, makes hosting a cost-effective option.
Expanding the project by five institutions will require an additional $700,000. This will increase the number of hosted institutions from 6 to 11. The proposed allocation would enable OIIT to expand in a continuing move toward full hosting of all institutionsthat receive centralizedsupport. The next step in this process would be to streamline the application across all institutions and create a single database.
ii) Provide funds for the implementation of self-service human resources applications ($68,000 in fiscal year 2007 formula funds and $532,000 from reserve funds)
This proposal is to implement the self-service features, currently licensed by the Board of Regents,
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to allow employees to access and modify as needed personal data in the PeopleSoft HR system. The implementation of this software coupled with the implementation of a time and attendance system planned for this spring and the move toward direct deposit of salaries, wages, and expense reimbursements will enable consideration of payroll consolidation at a future date.
There are several different modules that make up the e-applications (self-service). The first module is e-Pay that gives employees immediate online access to their unified payroll information and intuitive tools for paycheck management. The e-Pay process reduces check printing expenses and allows employees to manage payment preferences, streamlining payroll production. The second module is e-Profile, which enables employees to perform their own employee profile maintenance, while ensuring that data changes comply with security requirements, reducing administrative effort and increasing data integrity. By shifting this work effort to the employees rather than having to go through human resources for many of these functions, these modules should easily pay for themselves in less than two years. The one-time expense is approximately $532,000, and the ongoing expense is $68,000.
iii) Provide funds to further develop the data warehouse (facilities and financial transactiondata) ($800,000 from fiscal year 2007 formula funds and $200,000 from reserve funds)
The project was initiated in fiscal year 2001 to develop a data warehouse to ensure the existence and availability of accurate data about University System of Georgia("USG"). As a result, by having the data readily available System decision makers can easily evaluate policy decisions about System operations. This project also createsa comprehensiveaccountabilityreportingsystem that will allow System decision makers, other state decision makers, and the citizens of Georgia to monitor the effective and efficient delivery of university and college programs by the System. Additionally, it will help the System fulfill obligations to support the Governor's goals under the Commission for a New Georgia with respect to procurement initiatives and asset management. The funding allows for the creation of a transaction-based financial system, asset information, and other important features to meet all of these needs.
Progress has been made in developing the data warehouse over the past few years; however, work has progressed slowly because of other funding and resource priorities. Currently, information from the PeopleSoft Financial functions, PeopleSoft HR functions, and the Academic Data Mart, which collects student, course, and room usage informationfrom the BANNER SIS, are availablein the data warehouse.
The requested funding will allow for the redevelopment of the Financials Data Mart to collect transactional data needed for consolidated purchasing, the design and development of a Financial Aid Data Mart associated with students in order to replace a legacy data collection system, and the design and development of Phase I of a Facilities Data Mart to ensure more information about our real estate and facilities is available aggregately. This will also allow for an improved end-user
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reporting interface to allow for more self-service. About $200,000 will be in one-time costs, and the remaining $800,000 is ongoing.

3. Nursing Program Initiative ($2,349,316)

To address the lack of nursing teaching faculty, the lack of adequate clinical sites for nurse training, and limited student spaces in existing nursing programs, a multi-prongedeffort initiative is proposed using Intellectual Capital Partnership Program (ICAPP) funds, state formula appropriations, and contingency reserve funds. In additionto the allocation of $2.3 million as strategic consideration,this initiative also calls for the use of $1.2 million in ICAPP funds, $655,012 from formula funds allocated directly to institutions, and one-time allocations from reserve funds, bringing the total allocation funds to $4.9 million. These funds will be used to fund nurse educator programs at the Medical College of Georgia and a statewide doctoral program in nursing as collaboration among five partner institutions, expand or establish seven Associate of Science in Nursing programs, four acceleratedBachelor of Science in Nursingprograms, and simulation labs at ValdostaState University and Albany State University.

4. Retention, Progression, and Graduation Initiative ($2,200,000)

Nationally, University System of Georgiainstitutions rank very low on six-year graduationrates and retention rates. Improving retention and graduation rates is a key strategic priority of the Board of Regents. Although many institutions within the System need improvement in these areas, it is proposed that the initiative focus its efforts and funding on those institutions that, due to the numbers of students enrolled, can have the most impact on improving retention and graduation rates across the University System. The recommendation is to provide a total of $2.2 million in funding to Georgia Southern University, Kennesaw State University, Valdosta State University, the University of West Georgia, and Georgia State University to assist and supplement programs currently underway at each institution to address this issue. The recommended funds will be used to support expansion of faculty advising,supplemental instruction programs, peer mentor programs, targeted intervention programs, and other strategies designed to improve retention and graduation rates. In exchange for this support, each institution will be required to provide annual reports identifying performance on intermediate metrics that offer evidence that the program strategies are achieving success.

The recommendations by institution are as follows:

Georgia State University Georgia Southern University Kennesaw State University University of West Georgia Valdosta State University

$ 750,000 $ 350,000 $ 400,000 $ 350,000 $ 350,000

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Alternative Media Access Center ($600,000)
The Alternative Media Access Center ("AMAC") is an accessible Web-based and on-site training service for students with print-related disabilities. AMAC offers University System of Georgia students with print-related disabilities independent access to course materials in postsecondary environments. The allocation would bring AMAC under the auspices of the Alternative Learning Technologies ("ALT") office with the Board of Regents. This would ensure a Systemwideresponse to needs and eliminate costly duplication.
Research Equipment and Start-Up Funds ($600,000)
With the loss of lottery revenue support of the former Educational Technology and Construction Trust Fund ("ETACT"), the research universities lost a significant source of funds to provide for research equipment particularly associated with the hiring of major research faculty with the capability of bringing in federal grants. Funds provided under this allocation offer a modest amount of resource to Georgia Institute of Technology, the University of Georgia, and Georgia State University to meet this need.
Additionally, it is proposed that $100,000 be provided to the Medical College of Georgia to initiate the Doctoral Program in Physical Therapy, which will be offered at Armstrong Atlantic State University and North Georgia College & State University. The funds provided will allow for conversion of faculty positions at these institutions to 12-month appointments and aid in hiring a new faculty member.
2. Fiscal Year 2007 Tuition (Addressed by Committee of the Whole)
Approved: The Board approved the tuition policy change outlined below and the tuition rates for fiscal year 2007 to become effective in the fall semester 2007.
This item was discussed in full by the Committee on Finance and Business Operations as a Committee of the Whole. (See pages 4 to 12.)
Background: The University System of Georgia has historically offered low tuition to its students relative to the experience of other state systems and institutions. In fiscal year 2006, the average tuition at the University System of Georgia's researchuniversities rankedthirty-ninth nationallyand tenth among the 16 Southern Regional Education Board ("SREB") states. During the same period, the average tuition for the System's four-year institutions ranked forty-first nationally and fourteenth within the region. For two-year colleges, the rankings are forty-first nationally and thirteenth in the region.
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Despite the low tuition, the System has achieved a level of excellence that makes it one of the finest higher educationsystems in the country. This has been accomplishedthrough the combined effective leadership of the System's institutional presidents and the strong financial support provided by the Governor and General Assembly. Georgia is one of few states that avoided having to make major reductions in funding to its public higher education institutions during the recent recession, owing to the continued strong support of state elected officials for the funding formula adopted in the mid1980s. From fiscal years 2002 through 2006, funding for the University System of Georgia experienced a slight funding reduction while most state systems underwent a significant decline in state support, which resulted in increases in tuition rates.
Today, the rising cost of higher education is a critical concern for students, parents, and state policy makers who understand the importance of obtaining a college education in an increasingly competitive global economy. The recommended tuition policy recognizes that the University System's ability to remain very affordable while achieving excellence is something to be valued and maintained. The purpose of the proposed tuition strategy is to provide a degree of predictability to undergraduate students regarding tuition costs and to encourage more rapid progress toward graduation. It is also to ensure that tuition costs remain affordable for all students while maintaining quality in the University System of Georgia.
Proposed Policy:
The proposed tuition strategy provides a "guaranteed tuition rate" for entering students, full- and part-time, resident and nonresident. The initial tuition rate, or guaranteed tuition rate, for these students will be established at a level slightly higher than the "normal" tuition rate. The normal tuition rate is defined as the minimum tuition rate necessary to meet 25% of formula increases, including a 25% share of any salary increases approved by the Governor and General Assembly.
The normal tuition rate and the guaranteed tuition rate will be differentiated by institutional sector. For example, current projections of formula and salary increases suggest that an overall rate increase of 4.6% would be required for the normal tuition rate in fiscal year 2007. This average increase will be achieved by establishing a 5% rate increase for System research institutions, as well as Georgia College & State University and Southern Polytechnic State University; a 4% rate increase for all other four-year colleges and universities; and a 3% rate increase for the System's two-year colleges.
The guaranteed tuition rates will represent increases in current tuition rates of 7% for research universities,5% for four-year collegesand universities,and 4% for two-year colleges. The guaranteed tuition rates will be in effect for students entering in fall 2006 for a period of four years. After four years (or two years, depending upon the institution), students will be required to pay the prevailing normal tuition rate and have their rate increased annually according to changes in the normal tuition rate until graduation or separation from their institution. Currently enrolled students will continue to pay the normal tuition rate. As previously stated, this average will be differentiated by sector.
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This policy will not apply to graduate and professional program tuition, nor will it apply to tuition for online programs. Additionally, the policy will be extended beyond four years for students enrolled in programs that require longer than four years to complete as well as cooperative education programs, where students spend certain semesters of their academic studies in work experiences.
Graduate and Professional Program Tuition
Board policy authorizes institutions to request approval for separate tuition rate adjustments for select nationally competitive graduate and professional programs. The purpose of the policy is to provide additional funds for program enhancements to enable programs to remain competitive with peer programs in colleges and universities across the country. This year, increases or new tuition rates are recommended for nine professional programs. The programs are listed below.
Georgia Institute of Technology
Flexible Master of Business Administration ("M.B.A")
Georgia State University
Professional M.B.A. School of Law
Medical College of Georgia
School of Medicine
University of Georgia
School of Law Master of Public Administration M.B.A. Executive M.B.A Master of Accountancy
3. Fiscal Year 2007 Mandatory Student Fees (Addressed by Committee of the Whole)
Approved: The Board approved increases and/or adjustments in mandatory student fees for various institutions of the University System of Georgia.
This item was discussed in full by the Committee on Finance and Business Operations as a
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Committee of the Whole. (See pages 4 to 12.)
Background: The recommendationscontained herein reflecta rigorousreview of fee increase requests that evaluates, among other things, the current financial position of the programs and activities supported by fees. In addition, all requests were accompanied by documentation provided by each institution concerning the committee review process required by Board of Regents policy. That policy requires each fee and the budget it supports to be reviewed by a committee comprised of a minimum 50% of students.
A total of 81 requests were submitted for mandatory fee increases. The recommendations support 53 of these requests at the requested amounts and 25 at levels below the requested amounts. Three fee increase requests are not recommended.
The overall System average increase in mandatory fees based upon these recommendations is 9.8%. This is higher than in previous years. Most of the increase can be attributed to increases in technology fees, which have been held constant at most institutions for five to six years and to new privatized capital projects for which financing is dependent upon the charging of facilities fees to students. Technology or facilities fees account for more than one quarter of the total recommended fee increases.
Technology Fees Fifteen institutions requested increases in technology fees. Through previous agreement with the Georgia Student Finance Commission, HOPE Scholarship Program ("HOPE") eligibility for technology fees was capped at $75 per semester for research institutions and $38 per semester for two-year colleges and four-year state colleges and universities. Institutions were limited to establishing technology fees at rates that did not exceed the HOPE eligibility cap. The caps had been in place from 1999, the inception of the technology fee program until a year ago, when new HOPE legislation effectively capped scholarship eligibility for all mandatory fees in the System at levels existing on January 1, 2004. As a result, beginning last year, the Board approved these increases because technology fees support costs increase over time, and increases are recommended this year as well.
Facilities Fees
Facilities fees are fees charged by institutions to pay debt service and operating costs on projects financed through third parties. Because they are dependent upon an identified revenue stream for funding, these projects are generally nonacademic facilities. That is, residence halls, student centers, parking decks, and recreational centers, projects which are traditionally funded by separate fees.
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There are several such projects for which fee increases or new fees are recommended. They include the Student Center and Multimedia Center at Valdosta State University (a $20 per semester increase), a parking facility at Columbus State University (a new $39 per semester fee), a parking deck at North Georgia College & State University (an increase of $40 per semester in the existing transportation fee), a student center at Gainesville College (a new $30 per semester fee), a student support fee at Georgia Perimeter College that will support ten projects located at the institution's different campuses ($10 per credit hour, capped at $120 per semester), and a parking facility at Georgia Gwinnett College ($100 per semester for full-time students and $50 per semester for parttime students taking six credit hours or less). Note that this fee will be charged to non-Georgia Gwinnett College students currently taking courses at the Gwinnett location.
Athletic Fees
Three institutions requested significant increases in their athletic fees: Georgia State University (a $40 per semester increase), Georgia Southwestern State University (a $19 per semester increase), and Kennesaw State University (a $15 per semester increase). In each of these cases, the need for the increase is predicated upon a recent change to a new National Collegiate Athletic Association ("NCAA") division or from a non-NCAA conference to an NCAA conference where the costs increase due to price of membership, the addition of sports programs, the addition of compliance officers where necessary, and increases in scholarships. All three fee increase requests are recommended.
4. Amended Fiscal Year 2006 Budget
Approved: The Board approved the amended budget for fiscal year 2006 of the University System of Georgia.
Background:
The fiscal year 2006 amended budget includesa net total of $6.2 million in fundingfor the University System of Georgia. The supplemental allocations include the following:
Funding for premiums for workers' compensation to be paid by all institutions of the University System of Georgia in the amount of $1.73 million.
Adjustment of $677,118 for Georgia Southern University to offset retirement of debt service for a payback project.
Allocation of $500,000 for the Coverdell Eminent Scholar at Georgia College & State University.
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Allocation of $410,000 to North Georgia College & State University for loss of tuition from deployed students.
Allocation of $900,000 for equipment for the Traditional Industries Program.
Adjustment of $300,000 for maintenance and operations for the Agricultural Experiment Station, $220,000 for the Georgia Public Library Service, and $552,811 for Georgia Tech Research Institute.
The total allocations are $4.71 million for the A budget and $1.49 million for the B budget.
5. Information Item: Second Quarter Revenue and Expenditure Report, Fiscal Year 2006
The Vice Chancellor for Fiscal Affairs, William R. Bowes, presented to the Committee the first quarter financial report for the University System of Georgia for the period ending December 31, 2005, which is on file with the Office of Fiscal Affairs. The report includes tables that compare actual and budgeted revenues and expenditures through December 31, 2005, for educational and general funds, auxiliary enterprise funds, and student activity funds.
6. Fiscal Year 2007 Salary and Wage Administration Policy (Addressed by Committee of the Whole)
Approved: The Board approved the fiscal year 2007 salary and wage administration policy for the University System of Georgia.
Walk-on: This item was added by unanimous consent as a walk-on item to the agenda of the Committee on Finance and Business Operations as a Committee of the Whole. (See pages 4 to 12.)
Background: The Board of Regents allocated to each institution funds to provide for a 4% salary increase for all employees. These funds must be provided to System employees for salary increases on the basis of merit. It is expected that individual merit salary increases will be reasonably distributed among employees in amounts ranging from 0% to 10%. Salary increases may exceed 10% for employees exhibiting exceptionally meritorious performance. Institutions must notify the Chancellor in writing of any merit increases they approved at levels exceeding 10%.
COMMITTEE ON REAL ESTATE AND FACILITIES
The Committee on Real Estate and Facilities met on Tuesday, April 18, 2006, at approximately 1:10 p.m. in the Board Room. Committee members in attendance were Chair Allan Vigil, Vice Chair Hugh A. Carter, Jr., and Regents Felton Jenkins, Donald M. Leebern, Jr., and Elridge W. McMillan.
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Chair Vigil reported to the Board on Wednesday that the Committee had reviewed 15 items, 11 of which required action. Item 8 was withdrawn in Committee; Item 9 was withdrawn prior to the Committee meeting; and item 15 was a walk-on item. With motion properly made, seconded, and unanimously adopted, the Board approved and authorized the following:
1. Naming of the "Herb Hayes House," Atlanta, Georgia Institute of Technology
Approved: The Board approved the naming of Building "F" of the Fourth Street Apartments, at the Georgia Institute of Technology ("GIT") the "Herb Hayes House," in recognition of the generosity of H. Craig Hayes.
Understandings: Building "F" of the Fourth Street Apartments on the GIT campus provides sleeping rooms for 24 students who participate in the International Living + Learning program. The accommodations are available to house special programs, groups, or organizations through coordination with the GIT Department of Housing. The facility also provides space for a living area, kitchen, restroom facilities, dining and activity space, and outdoor patio space.
As an Atlanta native, H. Craig Hayes came to GIT from Druid Hills High School in fall 1961. Mr. Hayes graduated from GIT in 1965 with a degree in Industrial Management. After graduation, Mr. Hayes worked as a contract administrator for the Georgia Tech Research Institute, while awaiting active duty in the Army. Following Army service, he returned to Atlanta, where he met his wife, Mary, in 1968 and became a prominent Atlanta businessman working with a well known Fortune 500 company for over 30 years. Mr. Hayes has also enjoyed serving and giving to the Atlanta community during several terms as an administrative board member of the Peachtree Road United Methodist Church, a member of the Buckhead 50 Club, a former officer of the Ridgedale Park Civic Association, and a Georgia Tech Alumni Association trustee.
In fall 2005, Mr. Hayes contributed approximately 100 acres of real estate in Morgan County, valued at $840,000, to the Georgia Tech Foundation, Inc. Of the gift, $100,000 was designated for life membership in the Alexander-Tharpe Fund for the unrestricted support of intercollegiate athletics and an additional $100,000 was designated for the Class of 1965 Scholarship Fund. The remaining portion of the gift was designated for an unrestricted endowment, the income from which will help to meet GIT's most pressing needs.
Mr. Hayes' father always wanted to graduate from GIT, but due to the Great Depression, he had to leave college and obtain a job, keeping him from fulfilling his dream of a GIT degree. Mr. Hayes' gift to GIT fulfills his dream of having his father's name permanently associated with the campus. In celebrationof Mr. Hayes fortieth reunionand in memory of his father, Herbert B. Hayes, Building "F" of the Fourth Street Apartments will be named in his father's memory.
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2. Naming of the "Gene Bishop Fieldhouse at Paulson Stadium," Statesboro, Georgia Southern University
Approved: The Board of Regents approved the naming of the new fieldhouse, commonly known as the Athletic Support Building, currently under construction at Georgia Southern University ("GSOU"), the "Gene Bishop Fieldhouse at Paulson Stadium" to honor Dr. Eugene M. Bishop.
Understandings: Dr. Bishop has been a long-time friend and supporter of GSOU. Over the last ten years, Dr. Bishop has contributed in excess of $750,000 to the Georgia Southern University Foundation Inc. and Southern Boosters, Inc. His gifts have supported the College of Business Administration, the Student Disability Resource Center, and various athletic programs, including a full football scholarship. In addition to contributing financially, Dr. Bishop has volunteered his time and leadership to GSOU, serving on the Business Advisory Council and as Chair of the Board of Directors of Southern Boosters, Inc.
Although Dr. Bishop never attended GSOU as a student, he received an honorary doctorate at the May 2000 commencement, and both his son and daughter are GSOU alumni. In 1997, Dr. Bishop was presented GSOU's "Friend of the University" award.
As part of his commitment to GSOU's Campaign for National Distinction, Dr. Bishop has made an irrevocable pledge of $2,500,000 toward construction of the new fieldhouse at Paulson Stadium to be named in his honor.
3. Demolition of Connell Hall, Barnesville, Gordon College
Approved: The Board declared Connell Hall, located on the campus of Gordon College ("GOC"), Barnesville, Georgia, to be no longer advantageously useful to GOC or any units of the University System of Georgia and authorize demolition and removal of this building.
The Board requested that the Governor to issue an Executive Order authorizing the demolition and removal of this building from the campus of GOC.
Understandings: Connell Hall is an approximately 25,350-square-footthree-story brick building that was originally constructed in 1961 as a dormitory. The building was occupied as a male residence facility until June 2005, when it was taken out of service, and it has remained vacant since.
The site is to become a green space park area in accordance with the campus master plan, until such time as the Student Center may be expanded to meet enrollment growth of campus.
A Georgia Environmental Policy Act evaluation and environmentalsite assessment report have been completed and indicate no adverse environmental conditions associated with this demolition.
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4. Acquisition of Real Property, 1016 West Gordon Street, Valdosta, Valdosta State University

Approved: The Board authorized the purchase of approximately 2.559 acres of real property located at 1016 West Gordon Street, Valdosta, from Richard Rowe for $265,000 for the use and benefit of Valdosta State University ("VSU").

The legal details involved with this purchase of real property will be handled by the Office of the Attorney General.

Understandings: Acquisition of this real property is consistent with the VSU master plan.

This real property is improved with three steel-frame, metal-siding buildings in generally good condition totaling 12,850 square feet.

If acquired, the buildings would be used for support services, including central warehouse space, printing services, and campus mail, which are currently located in the academic core of the campus. Future potential uses of the land include expansion of the warehouse function at this location and relocation of the greenhouse.

An environmental site assessment has been conducted and indicates no significant adverse environmental issues.

Three independent appraisals of the real property are as follows:

Appraiser William McMath, MAI, Albany R. Bryan Almand, MAI, Valdosta G. Alan Sutton, MAI, Valdosta

Appraised Value $285,000 $265,000 $257,000

Average $269,000

There are no known easements, reversions, or restrictions on the real property.

Funding for the purchase is from institutional funds.

5. Acquisition of Real Property,836 Hudson Road, Marietta, Southern Polytechnic State University

Approved: The Board authorized the purchase of approximately 4.998 acres of real property located at 836 Hudson Road, Marietta, from Marietta Lodge No. 1657, Benevolent and Protective Order of Elks of United States of America, Inc. for $950,000 for the use and benefit of Southern Polytechnic State University ("SPSU"').
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The legal details involved with this purchase of real property will be handled by the Office of the Attorney General.

Understandings: Acquisition of this real property is consistent with the SPSU master plan.

This real property is improved with a one-story masonry building totaling 10,300 square feet and a metal storage building, both in generally fair condition. In addition, a pool exists on the property, which is in poor condition and would be filled in if the acquisition is approved.

If acquired, the main building would be used immediately for additional studio space for the SPSU Architecture program. Future use of the real property would be incorporated into the campus master plan for potential building sites.

An environmental site assessment has been conducted and indicates no significant adverse environmental issues.

Three independent appraisals of the real property are as follows:

Appraiser Hall Rigdon, MAI, Marietta Richard O. Martin, MAI, Marietta Clifford D. Crider, Kennesaw

Appraised Value $1,000,000 $1,130,000 $ 930,000

Average $1,020,000

There are no known easements, reversions, or restrictions on the real property.

Funding for the purchase is from a Southern Polytechnic State University Foundation, Inc. gift and SPSU funds.

6. Conveyance of Real Property, Georgia Department of Transportation, Oakwood, Gainesville State College

Approved: The Board declared approximately 5.846 acres of real property adjacent to the campus of Gainesville State College ("GSC"), Oakwood, Georgia, no longer advantageously useful to GSC ("GSC") or other units of the University System of Georgia but only to the extent and for the purpose of allowing the conveyance of this property to the Georgia Department of Transportation (the "DOT") for use as a roadway.

The Board conveyed title to approximately 5.846 acres of real property adjacent to the campus of GSC, Oakwood, Georgia, to the DOT for use as a roadway, subject to a reversion of this property if it should cease to be used as a road.

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The Board declared approximately 0.454 acre of real property adjacent to the campus of GSC, Oakwood, Georgia, no longer advantageouslyuseful to GSC or other units of the University System of Georgia but only to the extent and for the purpose of granting a permanent easement across this property to the DOT for construction and maintenance of slopes.
The Board granted a permanent easement to approximately 0.454 acre of real property adjacent to the campus of GSC, Oakwood, Georgia, subject to termination if this property is no longer required by the DOT to maintain slopes.
The Board granted a right-of-entry to the DOT for two tracts of real property totaling approximately 5.0 acres for construction of roads with the right-of-entry terminating on completion of construction.
Understandings: The DOT desires to relocate the exit ramp from I-985. As a part of this work, Landrum Education Drive will be relocated and enhanced in accordance with the GSC master plan. The marquee sign for GSC will need to be relocated, a sound wall adjacentto the campus performing arts building installed, and a fence along the exit ramp roadway installed. This additional work will be performed by the DOT or compensation provided to the Board of Regents as a cost to cure to perform this work.
All work performed by the DOT associated with the road improvements will be at no cost to the Board of Regents.
Consideration for the conveyance and permanent easement is $1,518,250, plus additional potential compensation for the cost to cure.
7. Nonexclusive Easement, Cityswitch, LLC, Alumni Drive, Athens, University of Georgia
Approved: The Board declared an approximately 1.348-acretract of real property on Alumni Drive on the campus of the University of Georgia ("UGA") to be no longer advantageouslyusefulto UGA or other units of the University System of Georgia but only to the extent and for the purpose of granting a nonexclusive easement to Cityswitch, LLC (the "LLC") for ingress and egress access.
The Board authorized the execution of a nonexclusive easement with the LLC for the abovereferenced tract of land.
The terms of this nonexclusive easement are subject to review and legal approval of the Office of the Attorney General.
Understandings: The LLC requested this nonexclusive easement to provide ingress and egress access
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to the location of a cell tower located on Central of Georgia Railroad property.
Consideration for this nonexclusive easement is avoidance of the alternative routing of a gravel access road along 1,000 feet on railroad property adjacent to the intramural fields of UGA.
8. Subrental Agreement, 125 Westridge Industrial Boulevard, McDonough, Georgia State University
Tabled: This item was tabled by the Committee.
9. Rental Agreement, Two Live Oak, 3445 Peachtree Road, Atlanta, Georgia State University
Withdrawn: This item was withdrawn prior to the Committee meeting.
10. Authorization of Project Budget Modification, Nanotechnology Research Center, Project J-77, Georgia Institute of Technology
Approved: The Board modifiedthe November2003 authorization of Project J-77, "Nanotechnology Research Center," Georgia Institute of Technology ("GIT"), to increase the total project budget from $80.0 million to $85.0 million.
Understandings: The Nanotechnology Research Center ("NRC"), formerly known as the Advanced Clean Room Building, was presented to the Board by President Clough in June 2002 and added to the University System of Georgia capital project priority list. The total project cost was estimated at $80 million with the source of funding to include $35 million in private funds and $45 million in state funds. The Board indicated at the time that the project was unique and represented a potential economic value for the State of Georgia. The Governor supported moving the project forward immediately, and initial funding was provided by the state in fiscal year 2005 and fiscal year 2006 totaling $7.0 million. Project design is complete, and preliminary utility construction currently is underway. Demolition of existing buildings on the site will commence in April 2006, with the building construction expected to begin early summer 2006.
The project cost estimate recently provided by the project construction manager exceeded the available budget, in part due to recent construction cost increases as a result of the Gulf Coast hurricanes and general construction material cost increases. In addition, the original NRC project budget has not been adjusted for inflation. Therefore, GIT was required to reduce project costs and add additional funding resources.
Through a value engineering process, GIT eliminated project scope that did not critically impact the original program and functionality of the building to reduce the overall cost estimate. GIT has also
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committed an additional $5.0 million in private donor funds toward the project. The revised project total budget is $85.0 million. The state-funded amount remains at $45.0 million, and GIT commitment has increased from $35.0 million to $40.0 million.

11. Authorization of Project and Appointment of Architect, Learning Center, Griffin Campus, University of Georgia

Approved: The Board authorized project "Learning Center" at the University of Georgia ("UGA") Griffin Campus with a total project budget of approximately $10,000,000 to be funded from a Spalding County Special Purpose Local Option Sales Tax ("SPLOST")

The Board appointed the first-named architectural firm listed below for the identified project and authorized the execution of a contract with the identified firm. Should it not be possible to execute a contract with the top-ranked firm, staff will then attempt to execute a contract with the other listed firms in rank order.

Understandings: Spalding County desires to fund a learning center on the Griffin Campus of UGA to provide space for the university's teaching program. Spalding County passed a referendum on November 8, 2005, for the SPLOST to finance this development. The taxes will be collected by Spalding County for this project beginning in April 2006.

A conceptual approval for this project was granted by the Board at its October 2005 meeting.

The Board of Regents will contract and oversee the design and construction of the facility on behalf of Spalding County which will own the building for a period of three years while SPLOST funds are collected. The facility will be gifted to the Board of Regents upon completion of the SPLOST.

The project will consist of an approximately 40,000-square-foot classroom building containing classrooms, dry labs, offices, and student common areas. Construction will include adequate parking adjacent to the building and required access roads.

Further action by the Board will be requested to approve the terms of the ground lease, rental agreement, operating agreements, and other agreements necessary for development and operation of the facility.

Following public advertisement,a qualifications-basedselection process for an architecturalfirm was held in accordance with Board of Regents procedures. The following recommendation is made:

Total Project Cost Construction Cost (Stated Cost Limitation) A/E Fee

$10,000,000 $ 7,700,000 $ 500,000

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Number of A/E firms that applied for this commission: 28
Recommended A/E design firms in rank order:
1. Manley Spangler Smith Architects, Griffin 2. Chapman Griffin Lanier Sussenbach, Architects, Inc., Atlanta 3. Gardner Spencer Smith Tench & Hensley, Atlanta
12. Authorization of Project and Appointment of Architect, Tate Student Center Expansion and Parking Deck Project, Athens, University of Georgia
Approved: The Board authorized project "Tate Student Center Expansion and Parking Deck," University of Georgia ("UGA"), with a total project budget of approximately $41,000,000 to be funded by privatized financingthrough the UGA Real Estate Foundation,Inc. ("UGAREF"),student fees, and parking revenues.
The Board appointed the first-named architectural firm listed below for the identified project and authorize the execution of a contract with the identified firm. Should it not be possible to execute a contract with the top-ranked firm, staff will then attempt to execute a contract with the other listed firms in rank order.
Understandings: A student fee of $25 per semester was approved for this project by the Board at its April 2005 meeting.
Until the primary financing with UGAREF is finalized, UGA has committed to provide student fee revenue to support the architectural portion of the project budget.
The Tate Student Center was opened in 1983 and contains 100,000 square feet of floor space. This project will consist of a 100,000-square-foot addition ($23 million,), renovations to the existing building ($16 million), and a new 550-space parking deck ($2 million). This project will allow for a student center large enough to facilitate the enrollment growth at UGA, which is now at approximately 33,000 students.
Further action by the Board will be requested to approve the terms of the ground lease, rental agreement, operating agreements, and other agreements necessary for development and operation of the facility.
Following public advertisement,a qualifications-basedselection process for an architecturalfirm was held in accordance with Board of Regents procedures. The following recommendation is made:
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Total Project Cost Construction Cost (Stated Cost Limitation) A/E Fee

$41,000,000 $31,800,000 $ 2,518,000

Number of A/E firms that applied for this commission: 18 Recommended A/E design firms in rank order:

1. Cooper Carry, Inc., Atlanta 2. Jova/Daniels/Busby, Inc., Atlanta 3. Lyman Davidson Dooley, Inc., Marietta

13. InformationItem: CampusHousing Project,Public-PrivateVenture, Fort Valley, Fort Valley State University

President Larry Eugene Rivers discussed the proposed student housing at Fort Valley State University ("FVSU"). He stated that the plan calls for new student housing to replace the existing student housing on campus. In November 2005, Interim President William Harris presented the FVSU master plan to the Committee. The plan called for the creation of living and learning communities, and two new housing sectors were identified for potential development. The plan also proposed the demolition of the existing student housing on campus. A new residential quadrangle was proposed on the site of the George N. Woodward Gymnasium. In May 2004, the FVSU comprehensive housing plan was presented to the Committee. The plan demonstrated that improved housing will better support the university's mission, vision, and objectives. An increasing number of students attend the university from greaterdistance, and approximately 50% of the students come from Metro Atlanta.

President Rivers stated that the current condition of student housing on campus is inadequate. The findings and conclusion of the consultant reports clearly illustrate this problem. He stated that these inadequacies are a fundamental reason for FVSU's decliningenrollment. Upon arrival to our campus, one quickly notes the deteriorated condition of each of the six residence halls and the condition our students are compelled to live. No doubt, for perspective students and their families, this detracts from the attractiveness of the campus. The housing development plan calls for the implementation of the first two phases of the master plan. The housing is to be developed in accordance with the market study.

FVSU has adopted a residency requirement for all students who have 58 credit hours or less. These students must live in the new housing once it is completed in fall 2007. Also, president scholars and athletes will be required to live on campus. The new housing will consist of five 4-story buildings constructed around a new quadrangle. It will provide a total of 941 student housing beds in apartment and suite-style units. Each apartment and suite will provideindividual rooms for students. The project will also provide an amenities building.

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President Rivers concluded his presentation by stating that housing is a key component to the mission of FVSU. There is a demonstrated and validated housing need, as evidence in the comprehensive housing plan, master plan, and market analysis. FVSU intends to move forward in meeting the housing needs by requesting at the May 16, 2006, Board of Regents meeting approval of the ground lease and rental agreement for the new housing.
14. Information Item: Proposal to Locate the National Bio and Agro-Defense Facility in Athens, University of Georgia
The Vice Chancellor for Facilities, Linda M. Daniels, introduced The Georgia Consortium for Health and Agro-Security's proposal to locate the National Bio and Agro-defense Facility in Athens, Georgia. She stated that in March 2006, Governor Perdue announced formation of a consortium to respond to the federal request for proposals. Georgia is one of several states in the running for this 500,000-square-foot Federal Research Facility for the Department of Homeland Security. This economic development initiative, if successful, would be an extraordinary complement to the strong life science and agriculture research base here in Georgia. The proposal would involve the investment of between 60 and 85 acres under consideration in two locations on the University of Georgia ("UGA") campus. The primary site is off College Station Road adjacent to several existing federal facilities. The secondary site is on South Milledge Avenue near Whitehall Road on the southern end of campus.
Ms. Daniels stressed that the State of Georgia is in the very early stages of being considered for this facility and is only one of more than a dozen states with proposals under consideration.The "short listing" phase of this process, when the federal government narrows the number of locations being considered down to three or four, may happen as early as next fall.
In closing, Ms. Daniels recognizedUGA's Vice Presidentfor Researchand Associate Provost, David C. Lee, who spearheaded this proposal for UGA. She also recognized the Director of University Architects, Daniel ("Danny") Sniff, who has worked to integrate this proposal in accordance with UGA's campus master plan.
15. Ground Lease and Rental Agreement for Women's Athletic Field House, Armstrong Atlantic State University
Approved: The Board declared approximately 0.14 acre of real property on the campus of Armstrong Atlantic State University ("AASU") no longer advantageouslyuseful to AASU or other units of the University System of Georgia but only to the extent and for the purpose of allowing this real property to be leased to AASU Women's Field House, LLC, (the "LLC") for the purpose of constructing and owning a women's athletic field house containing two locker rooms, a team bathroom and shower, two public restrooms, a concessionarea, a laundry room, a first aid room, and
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storage rooms.
The Board authorized the execution of a ground lease, including necessary access, use, and construction easementsand encroachments,between the Board of Regents, Lessor, and LLC, Lessee, for the above-referenced approximately 0.14 acre of real property on the campus of AASU for a period not to exceed 16 years (not to exceed 15 years from completion of construction preceded by an additional construction period of not more than 1 year) for the purpose of constructing and owning a women's athletic field house.
The Board authorized the execution of the rental agreement between the LLC, Landlord, and the Board of Regents, Tenant, for a women's athletic field house for the period commencing on the first day of the first month after the LLC obtains a certificateof occupancy for the women's athletic field house and ending one year later at a rent rate not to exceed $80,000 per year with options to renew on a year-to-year basis for up to 15 consecutive one-year periods with rent increasing no more than 3% for each option period exercised.
Authorization to execute the rental agreement was delegated to the Vice Chancellor for Facilities.
The terms of these agreements are subject to review and legal approval of the Office of the Attorney General.
Walk-on: This item was added by unanimous consent as a walk-on item to the agenda.
Understandings: The women's athletic field house will be used by AASU to meet the needs of the AASU women's softball and soccer athletic teams.
The LLC will finance this transaction initially with a bank loan to facilitate completion of construction in time for the 2006-2007 athletic seasons for softball and soccer. The LLC intends to refinance this transaction in conjunction with other public-private ventures transactions within the next year. Further action by the Board will be requested to approve the refinancing and the other public-private ventures.
COMMITTEE ON ACADEMIC AFFAIRS
The Committee on Academic Affairs met on Tuesday, April 18, 2006, at approximately 1:10 p.m. in the Board Room. Committee members in attendance were Chair William H. Cleveland, Vice Chair Doreen Stiles Poitevint, and Regents James R. Jolly, Willis J. Potts, Jr., and Benjamin J. Tarbutton. Chair Cleveland reported to the Board that the Committee had reviewed 15 items, 14 of which required action. Included in Item 10, 261 regular faculty appointments, 384 tenure appointments, and 654 promotions were reviewed and recommended for approval. With motion properly made, seconded, and unanimously adopted, the Board approved and authorized the following:
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1. Establishment of the Doctor of Psychology in Clinical Psychology, Georgia Southern University
Approved: The Board approved the request of President Bruce Grube that Georgia Southern University ("GSOU") be authorized to establish a Doctor of Psychology in Clinical Psychology, effective April 19, 2006.
Abstract: Consistent with advancing its mission and strategic goals, GSOU proposes to offer a Doctor of Psychology in Clinical Psychology degree. GSOU aims to train clinicalpsychologists who will specialize in serving the rural populations of Georgia. The Doctor of Psychology is an applied doctoral degree that will prepare graduates to practice as clinical psychologists.
Need: According to a 2004 article published in the American Journal of Public Health entitled "Rural Healthy People 2010 Evolving InteractivePractice,"mental health and related disordersrank fourth in terms of rural health concerns. As stated by the United States Public Health Service, nationally, 76% of the designated 594 mental health professional shortage areas are rural, and Georgia ranks eighth out of the top 15 states needing mental health practitioners in rural and urban areas. Of Georgia's psychologists, 33% were employed in academe in 2002. Only 33% were employed in healthcare settings, including outpatient facilities, private hospitals, nursing facilities,residential care facilities, family service organizations, and government and local agencies.
The Health Resources and Services Administration reported 1,110 practicing psychologists in Georgia in 2000, translatinginto a practitioner-to-populationratio of 13.5 psychologists per 100,000 people. Currently, 55 doctor of clinical psychology programs in clinical psychology and 3 programs in combined professional-scientific psychology are accredited nationally. Of these, only one is housed in Georgia, the Georgia School of Professional Psychology at Argosy University.
The Georgia Secretary of State's professional licensing board reports that 83 counties have no licensed psychologists, and of these, 90% are rural. Of 1,729 psychologists licensed to practice in Georgia, only 159 professionals practice in rural counties. This need is especially acute in the southeast coastal region.
Objectives: Students who successfully complete the program will be able to 1) assess and diagnose mental disorders and learning disabilities in children and adults; 2) devise an effective treatment plan for mental disorders in children and adults; 3) practice psychotherapy with children and adults and in the context of groups; 4) engage in professional consultation with general health and other mental health professionals; and 5) supervise master's level clinicians.
Curriculum: The curriculum follows the Guidelines and Principles for Accreditation of Programs in Professional Psychology as stipulated by the American Psychological Association. The program
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covers the breadth of scientific psychology (history of thought and development, research methods, and application); the scientific, methodological, and theoretical foundations of clinical practice; diagnosing or definingproblems through psychologicalassessment and measurement and formulating intervention strategies; diversity and multicultural issues; practicum; dissertation; and internship. The Jiann-Ping Hsu College of Public Health provides additional interdisciplinary and collaborative opportunities for students accepted to the clinical psychology program. The 105- to 111-semesterhour program includes a comprehensiveexamination,dissertation, qualifyingexamination, and a oneyear, full-timepredoctoralinternship at a site accredited by the AmericanPsychologicalAssociation.
Projected Enrollment: The institution anticipates enrollments of 8, 8, and 8 students during the first three years of the program.
Funding: The program has been developed with new courses. President Grube indicates that anticipated costs will be met primarily through reallocations, and existing facilities will be sufficient to launch the program.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews.
2. Establishment of a Bachelor of Science in Early Childhood Education, Gainesville State College
Approved: The Board approved the request of President Martha T. Nesbitt that Gainesville State College ("GSC") be authorized to establish a Bachelor of Science in Early Childhood Education, effective April 19, 2006.
Abstract: GSC's Bachelor of Science in Early Childhood Education builds upon the success of the associate level core with a concentration in Early Childhood Education. It is the decision of North Georgia College & State University ("NGCSU") to discontinue its teacher certification program on the GVC campus in order to refocus its resources to address other education needs. As such, the teacher education program at GSC is similar to and will replace that of NGCSU's program. The program will be cohort based and offered in the evening to make it accessible to potential students. GSC has over 500 students working toward an associate-level degree, and potential numbers of transfer students exist. NGCSU will serve as a sponsoring/mentoring institution in the development of GSC's program per a signed memorandum of understanding. Over a two- to three-year period, NGCSU will help GSC's Division of Social Sciences & Education achieve full accreditation/certification for its program. Until that time, students completing the program would receive a degree from GSC and certification through NGCSU.
Need: The degree program will continue to meet the needs of Northeast Georgia in the preparation
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of elementary school teachers. Based on a July 2005 estimate by the U.S. Census Bureau, Georgia was one of five states with the largest numericalpopulation growth. Further, the South recordedboth the largest numerical population increase (1.5 million) and the fastest rate of growth (1.4 %) among regions between 2004 and 2005.
Objectives: The degree program in Early Childhood Education will meet the need for well-educated P-5 teachers. It will contribute to the "double the numbers, double the diversity" initiative of the University System due to GSC's geographical location and ability to provide educational opportunities to its primary service area. The program seeks to prepare teachers who can deliver knowledge and skills in an effective manner and assume leadership in the classroom and professional community.
Curriculum: The 122-semester-hour program meets the standards required by the Georgia Professional Standards Commission and the National Council for Accreditation of Teacher Education. A waiver to degree credit hour length is required for this program. Major course requirements include, but are not limited to, Child Development, Classroom Management, Diagnosis and Remediation of Reading Difficulties, and Materials and Methods for Early Childhood. The Bachelor of Science in Early Childhood Education will be based on the GSC campus and will initially be offered at night using a cohort model with a maximum enrollment of 30 students.
Projected Enrollment: The institution anticipates enrollments of 30, 60, and 90 students during the first three years of the program.
Funding: The program has been developed with new courses. President Nesbitt indicates that anticipated costs will be met primarily through reallocations, and existing facilities will be sufficient to launch the program. GSC has identified the need to add approximately $7,000 in library holdings over the next two years for which it has designated operational funds. NGCSU, through a memorandum of understanding, is seeking a total of $87,000 from GSC for consulting and travel to offset costs incurred during the transition period in helping GSC establish its own program.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews.
3. Establishment of a Bachelor of Science with a Major in Biology (with Opportunities for Teacher Certification), Macon State College
Approved: The Board approved the request of President David A. Bell that Macon State College ("MSC") be authorized to establish a Bachelor of Science with a major in Biology, effective April 19, 2006.
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Abstract: MSC intends to meet an identified baccalaureate need in Central Georgia by offering a Bachelor of Science with a major in Biology. The degree specifically targets students who are planning 1) to attend professional and graduate schools in health and biological science fields, 2) to teach scienceeducation in secondary schools, and 3) to seek employment in the high-techworkplace.
Need: Georgia labor statistics indicate a continuing annual demand in the Central Georgia area for personnel in the health fields. The data project an increase of over 6% in health field employment by the year 2012. Teacher preparation at MSC will meet both a regional and state need for new teachers. MSC is workingwith the Central Georgiaschool systems in the design of the new program. According to the 2001 Georgia Teaching Force Executive Summary, 20% of middle grade mathematics and science teachers do not have a concentration in the subjects they teach. While the projected need for science teachers in Georgia high schools is over 2,000 in year 2006 and over 3,000 in year 2011, there was a 15% reduction in science teacher graduates between the years 1998 and 2001.
Objectives: The program is designed to meet the following goals: 1) to develop curriculartracks that are responsive to current and anticipated occupational requisites, 2) to produce graduates who have general knowledge of the biological sciences and who are competent in applying this information in the workplace,3) to provide pre-preparation for graduatesinterested in careers in professionalhealth fields, 4) to prepare graduates for careers in biology secondary education, and 5) to prepare graduates for employment requiring a foundation in the biological sciences.
Curriculum: The program is divided into two tracks, the biology track and the biology teacher education track. The academic program in biology with the addition of the secondary teacher education track will produce graduates who are qualified science teachers with deep content knowledge and understanding of the pedagogy in their field. The program requires 120 semester hours for those students choosing the biology track and requires a waiver to degree credit hour length of 129 semester hours for those students opting to pursue the biology teacher education track.
Projected Enrollment: The institution anticipates an initial enrollment of 35 students with enrollments of 25, 32, and 38 students during the second, third, and fourth years of the program, respectively.
Funding: The program has been developed with new courses. President Bell indicates that anticipated costs will be met primarily through reallocations, and existing facilities will be sufficient to launch the program.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews.
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4. Establishment of a Bachelor of Science with a Major in Mathematics (with Opportunities for Teacher Certification), Macon State College
Approved: The Board approved the request of President David A. Bell that Macon State College ("MSC") be authorized to establish a Bachelor of Science with a major in Mathematics, effective April 19, 2006.
Abstract: MSC intends to meet an identified baccalaureate need in Central Georgia by offering a baccalaureate program in Mathematics. The degree specifically targets students who are planning 1) to attend professional and graduate schools in mathematics-related fields, 2) to teach mathematics education in secondary schools, and 3) to obtain employment requiring a foundation in mathematics.
Need: The Bachelor of Science with a major in Mathematics is designed to meet both growing occupational demands and changing educational requirements within two areas: 1) industries requiring a foundation in analytical training and 2) mathematics education. Employment opportunities for students include positions as statisticians, operations research analysts, cost estimators, and sales managers. The No Child Left Behind Act requires every classroom to be staffed by a highly qualified teacher. Achieving proficiency in reading and mathematics for all students by year 2014 is one of the goals of this legislation. The report, "A Commitment to America's Future: Responding to the Crisis in Mathematics and Science Education" (2005) indicates that 260,000 to 290,000 new high school mathematics and science teachers will be needed by year 2008. The National Council of Teachers of Mathematics reports that 30% of teachers in the United States lack math knowledge. In addition, high school students are often taught mathematics by a teacher who lacks a major in mathematics, mathematics education, or a related field.
Objectives: The program is designed to meet the following goals: 1) to develop curriculartracks that are responsive to current and anticipated occupational requisites, 2) to prepare graduates for careers in mathematics secondary education, and 3) to prepare graduates for employment requiring a foundation in mathematics.
Curriculum: The program is divided into two tracks, the applied mathematics track and the mathematics teacher education track. The Bachelor of Science in Mathematics degree is comprised of 120 semester hours for the applied mathematicstrack and 129 semesterhours for the mathematics education track. A waiver to degree credit hour length will be required for the mathematics education track. Upper-level curriculum courses include, but are not limited to, Differential Equations, Probability and Statistics, Linear Algebra, and Mathematical Models.
Projected Enrollment: The institution anticipates an initial enrollment of 20, 50, and 65 students during the first three years of the program.
Funding: The program has been developed with new courses. President Bell indicates that
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anticipated costs will be met primarily through reallocations, and existing facilities will be sufficient to launch the program.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews.
5. Establishment of a Master of Arts in Teaching, Augusta State University
Approved: The Board approved the request of President William A. Bloodworth, Jr. that Augusta State University ("AUSU") be authorized to establish a Master of Arts in Teaching, effective April 19, 2006.
Abstract: AUSU requested approval to establish a Master of Arts in Teaching. The Master of Arts in Teaching degree will complement the existing Master of Education degree programs because it will offer opportunities for students with baccalaureate degrees in disciplines outside of education to complete initial teacher certification requirements. Based upon local surveys, AUSU found that many professionals in the area have undergraduate and/or graduate degrees from accredited institutions but are not presently certified by the State of Georgia to teach. Several professionals have contacted AUSU seeking alternative certification programs that would recognize their previously earned degrees. The degree will accomplish a certification goal while working within the guidelines of the Georgia Professional Standards Commission ("PSC"), the certificate-granting agency.
Need: The degree follows the Board of Regents initiative to double the number of certified teachers that graduate from public institutions that prepare educators by the year 2010. According to the PSC, 12,507 teachers were hired in Georgia's public schools in fiscal year 2003 while only 3,020 of those teachers were new graduates of the University System. PSC data indicate that 46% of the new hires in Georgia come from out of state, and the remainder represent provisionally hired teachers, returning teachers, and delayed-entry teachers.
Objectives: Graduates of the program will have in-depth knowledge of the subject matter that they plan to teach, as described in professional, state, and institutional standards. Students will demonstrate this knowledge through inquiry, critical analysis, and synthesis of the subject. Students will reflect a thorough understanding of pedagogical content knowledge, allowing them to have an indepth understanding of the subject matter that they plan to teach and allowing them to provide multiple explanations and instructional strategies so that all students learn. Graduates of the program will be able to present the content to students in challenging, clear, and compelling ways and to integrate technology appropriately.
Curriculum: Certification will be recommended only for those areas for which AUSU is accredited
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and has approved program status by the PSC. The following programs will be viable for the Master of Arts in Teaching degree: Early Childhood Education, Middle Grades Education, Secondary Education (mathematics, English, history, political science, biology, physics, and chemistry), and P-12 programs (health and physical education, foreign languages, and music education).
Projected Enrollment: The institution anticipates enrollments of 20, 40, and 40 students during the first three years of the program.
Funding: The program has been developed with new and existingcourses. President Bloodworth has provided reverification that funding for the program is availableat the institution. Qualified faculties are in place with full accreditation from the National Council for the Accreditation of Teacher Education for teacher education programs at the initial and advanced levels.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews.
6. Establishment on a Three-Year Pilot Basis of an External Executive Master of Business Administration in Buckhead, Georgia State University
Approved: The Board approved the request of President Carl V. Patton that Georgia State University ("GSU") be authorized to establish an Executive Master of Business Administration ("M.B.A.") degree in Buckhead, effective April 19, 2006.
Abstract: GSU requested approval to offer an Executive M.B.A. in Buckhead. The program will be offered in leased classroom space in Buckhead and will utilize existing university resources for administrative and student services. GSU states that this is not a distance-learning program, and classroom instruction will be utilized in all courses. Students will be required to meet existing admission standards to be admitted into the program.
Facilities requirements for this program were withdrawn. (See Item 9 of the agenda of the Committee on Real Estate and Facilities, page 43.)
Assessment: At the end of the third year of implementation, the University System Office will work with GSU to assess viability of the program.
7. Establishment on a Three-Year Pilot Basis of an External Professional Master of Business Administration in Henry County, Georgia State University
Approved: The Board approved the request of President Carl V. Patton that Georgia State University ("GSU") be authorized to establish a Professional Master of Business Administration
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("M.B.A.") in Henry County, effective April 19, 2006.
Abstract: GSU requested approval to offer a Professional M.B.A. in Henry County. According to GSU, the program format is an extension of its part-time (flexible) M.B.A. program and will be offered in leased classroom space in Henry County. GSU will utilize existing university resources for administrative and student services. GSU states that this is not a distance education program. Rather, classroom instruction will be utilized for all courses in the program. Qualified students will be admitted via normal admissions processes.
Facilities requirements for this program were tabled. (See Item 8 of the agenda of the Committee on Real Estate and Facilities, page 43.)
Assessment: At the end of the third year of implementation, the University System Office will work with GSU to assess viability of the program.
8. Establishment of the Online Delivery of the Existing Master of Science in Nursing, Albany State University
Approved: The Board approved the request of President Everette J. Freeman that Albany State University ("ALSU") be authorized to offer its existing Master of Science in Nursing via online, distance education methods, effective April 19, 2006.
Abstract: ALSU specifically sought to offer via online delivery its family nurse practitioner track under the Master of Sciencein Nursing. The institution tested the market and deliveredsome courses online as a pilot to gauge student demand. As a result of the pilot, ALSU seeks permission to offer the degree online. The existing program has positively impacted access to healthcare in rural Southwest Georgia.An externaloffering of the program would result in an expandedpool of master's prepared nurses and further meet healthcare needs in the region. The educational preparation of family nurse practitioners who reside in geographically isolated areas is an important factor in improving access to high-quality healthcare.
Need: The demonstrated need for an online family nurse practitioner program led to a successful federal grant-funded project in 2001. Over a three-year period, the project coordinated the conversion of ALSU's classroom format to one utilizing distance education modalities in addition to the implementation and evaluation of the project. To promote faculty success during the transition to distance education, intensive faculty training and professional development were provided as well as a substantial investment in equipment. Limited on-campus workshops and clinical practice settings in the students' home communities were developed to enhance the learning experience and to prepare ALSU to deliver culturally competent care to rural medically underserved clients.
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An online nursing program with an emphasis on the family nurse practitioner track is projected to be successful based upon the following factors: 1) a need exists for the program in the Southwest Georgia region; 2) 36 of the 38 Southwest Georgia counties are federally designated as medically underserved areas with a physician supply rate lower than average levels; 3) demand for graduates of the program is high with all 2005 graduates being offered one or more positions in-field upon graduation; 4) the institution has acquired the technical support to facilitate implementation of the program; and 5) the distance education aspects of the program appeal to potential applicants residing in geographically isolated areas. Potential applicants are likely to have work and other responsibilitiesthat would inflict hardship if commutingto a classroom-basedprogram were the only option provided.
At its January 2006 meeting, the Board awarded the ALSU Family Nurse Practitioner program the Regents' Teaching Excellence Award for Academic Programs. Program graduates have demonstrated a 94% ten-year average pass rate on national certification examinations.
Curriculum and Delivery: Admission requirements for the online program will be the same as those of the on-campus program. The 44-semester-hour program will require that students complete 750 clinical hours with an approved preceptor within the community. Online instruction will be facilitated through several distance education technologies and platforms. The intent of this program delivery is merely to alter the medium for communication, not the pedagogical content or message. Several planned learning activities will require classroom participation and interaction periodically during program matriculation. Selected workshops and teaching projects will require on-campus commitments.
Projected Enrollment: The institution anticipates enrollments of 30, 40, and 50 students during the first three years of the program.
Funding: The program has been developed with existing courses. President Freeman has provided reverification that funding for the program is available at the institution. Grants will provide further support for program establishment and maintenance. It is projected that increased enrollments will offset expenses associated with the addition of two full-time faculty and a part-time technical support staff position.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmaticschedule of comprehensiveprogram reviews. In addition, ALSU will conduct retrospective comparative studies to evaluate the program's effectiveness.
9. Establishment of the Online Delivery of the Existing Master of Education with a Major in Special Education, Valdosta State University
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Approved: The Board approved the request of President Ronald M. Zaccari that Valdosta State University ("VSU") be authorized to offer its existing Master of Education with a major in Special Education as an external degree via online distance education methods, effective April 19, 2006.
Abstract: Recent federal and state changes guiding the preparation of highly qualified educators and the special education teacher shortage faced by Georgia have resulted in a large proportion of school districts seeking additional coursework for teachers serving under nonrenewable contracts, as well as a need for a continued focus on the preparation of teachers. The Board of Regents recognized these teacher preparation needs and identified a "double the numbers, double the diversity" implementation plan. VSU's online master's program is consistent with this initiative.
Need: Provisionallycertified teachersare challengedwith managing students, implementing effective instructional strategies, and meeting the needs of students with special needs that they serve. These professionals recognize the need for educator preparation and certification but, due to work constraints, are unable to attend classes in a traditional classroom format. The program is designed to support these teachers and their students by making the relevant coursework accessible.
Curriculum and Delivery: The online program will include options for a concentration in deaf education, a special education general curriculum (interrelated), and special education independent curriculum. The program will be submitted to the National Council for the Accreditation of Teacher Education and the Council for Exceptional Children for accreditation and approval. Candidates admitted to this program will be expected to meet the same assessment requirements as those students matriculating through the on-campus, master's level initial preparation programs.
The 36-semester-hourprogram is designed for individualsworking or with at least 20 hours per week access to classrooms. Each course will result in multiple examples of the candidate's ability to have an impact on student learning. Videotapes will be used as evidence for some of the candidate teaching competencies. Various technologies have been pilot tested to determine immediacy of feedback and sufficiency of impacting teaching behaviors.
Projected Enrollment: The institution anticipates enrollments of 15, 20, and 25 students during the first three years of the program.
Funding: The program has been developed with new and existing courses. President Zaccari has provided reverification that funding for the program is available at the institution.
Assessment: The Office of Academics and Fiscal Affairs will work with the institution to measure the success and continued effectiveness of the program. The program will be reviewed in concert with the institution's programmatic schedule of comprehensive program reviews. In addition, VSU has an assessment of student learning outcomes plan that includes specific assessments throughout the sequence of courses.
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10. Administrative and Academic Appointments and Personnel Actions, Various System Institutions
Approved: The administrative and academic appointments, as well as tenure and promotion recommendations,were reviewed by the Chair of the Committee on Academic Affairs and approved by the Board. The full list of approved appointments is on file with the Office of Faculty Affairs in the Office of Academics and Fiscal Affairs.
11. Establishment of the Wyatt and Margaret Anderson Professorship in the Arts, University of Georgia
Approved: The Board approved the request of President Michael F. Adams that the University of Georgia ("UGA") be authorized to establish the Wyatt and Margaret Anderson Professorship in the Arts, effective April 19, 2006.
Abstract: UGA requested approval to establish the Wyatt and Margaret Anderson Professorship in the Arts in the Franklin College of Arts and Sciences (the "Franklin College"). The Wyatt and Margaret Anderson Professorship in the Arts is funded by a lead gift made by Wyatt and Margaret Anderson. Additional gifts have been made by friends of Wyatt and Margaret Anderson and supporters of the arts. As of January 31, 2006, the endowment balance had reached $293,996 and thus meets the funding requirements for the establishment of a professorship.
Wyatt Anderson served as Dean of the FranklinCollege of Arts and Sciencesfor 12 years. Both Mr. and Mrs. Anderson are strong supporters of the arts in the Franklin College and hope this professorship will further strengthen the programs in art, music, dance, and drama. The individual named to this professorship will be a full professor who has an outstanding national reputation in the arts.
12. Establishment of the Ann and Jay Davis Professorship in Jewish Studies, University of Georgia
Approved: The Board approved the request of President Michael F. Adams that the University of Georgia ("UGA") be authorized to establish the Ann and Jay Davis Professorship in Jewish Studies, effective April 19, 2006.
Abstract: UGA requested approval to establish the Ann and Jay Davis Professorship in Jewish Studies in the Department of Religion of the Franklin College of Arts and Sciences. The Ann and Jay Davis Professorship in Jewish Studies is funded by a donation from Jay M. Davis to create the professorship. As of February 1, 2006, the endowment balance had reached $349,115 and thus meets the funding requirements for the establishment of a professorship.
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The individual named to this professorship will be a senior full professor with a national reputation in Jewish studies and a history of excellence in both teaching and research in Judaica.
13. Establishment of the Georgia Research Alliance Lars G. Ljungdahl Distinguished Investigator, University of Georgia
Approved: The Board approved the request of President Michael F. Adams that the University of Georgia ("UGA") be authorized to establish the Georgia Research Alliance Lars G. Ljungdahl Distinguished Investigator special faculty position, effective April 19, 2006.
Abstract: UGA requested approval to establish the Georgia Research Alliance Lars G. Ljungdahl Distinguished Investigator special faculty position in the Franklin College of Arts and Sciences (the "Franklin College"). The endowed professorship is funded by a lead gift made by Dr. Ljungdahl, matched by the Georgia Research Alliance ("GRA"), and combined with funds from the Franklin College and the President's Venture Fund. As of February 1, 2006, the endowment balance had reached $276,691 and meets the funding level for establishment of a professorship.
Dr. Lars Ljungdahl is a highly respected scholar who has dedicated his life to research and teaching. He has been instrumental in building the GRA bioscience programs and for recruiting eminent scholars to member universities. The Georgia Research Alliance Lars G. Ljungdahl Distinguished Investigator position was created and named in partnership with the GRA to cultivate outstanding young investigatorswho are excellent candidates for other states and universitiessearchingfor worldclass scientific talent.
The individual named to this special faculty position will have an outstanding university and state reputation in the biological sciences and have an emerging reputation as a nationally acclaimed scientist in research. The holder of this professorship will be an associate or full professor in the Franklin College. The appointment to this professorship will be rotated every five years.
14. Establishment of The Goizueta Foundation Chair in Latino Teacher Education, University of Georgia
Approved: The Board approved the request of President Michael F. Adams that the University of Georgia ("UGA") be authorized to establish The Goizueta Foundation Chair in Latino Teacher Education, effective April 19, 2006.
Abstract: UGA requested approval to establish The Goizueta Foundation Chair in Latino Teacher Education in the College of Education. The Goizueta Foundation Chair in Latino Teacher Education is partially funded through a $1,000,000 endowment from The Goizueta Foundation. The Goizueta Foundation provided this funding as part of a larger gift of $3.5 million received in May 2002. As
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of January 31, 2006, the endowment fund balance had reached $1,491,731.

According to the fund agreement, The Goizueta Foundation Chair in Latino Teacher Education will be filled after a national search process. Candidates for the chair must be eligible for the rank of associate professor or full professor. The holder of the chair will have experience in education and/or community organizations and knowledge of successful programs for Latino education. This individual will also have an extensive record of research in the area of Latino teacher education and will be a scholar with a demonstrated capacity to integrate research across disciplines, disseminate research findings, and secure extramural funding. This chair will be associated with the UGA Center for Latino Achievement and Success in Education and will provide leadership to meet the educational needs of Latino students throughout the State of Georgia.

15. Information Item: Service Agreements

Pursuant to authority granted by the Board at its meeting on February 7 and 8, 1984, the presidents of the listed institutions have executed service agreements with the indicated agencies for the purposes and periods designated, with the institutions to receive payment as indicated:

Georgia State University
Georgia Department of Human Resources Provide additional training to improve skills and knowledge of case managers, supervisors, and consultants
Georgia Research Alliance Study structure-based design of novel inhibitors for asthma
Governor's Office of Highway Safety Enhance interagency cooperation between law enforcement in the state and other states and the police force of Israel in areas of counter-terrorism, drug interdiction, and community policing
Office of the Governor Assess the threat posed to Georgians by identify theft, and develop appropriate response
Georgia Department of Human Resources Provide interdisciplinary services to improve the health and wellbeing of families in which grandparents are raising grandchildren in a parent-absent households
Georgia Department of Human Resources Test enrollment procedures, baseline data collection forms, and delivery of an intervention for unwed parent couples near the time of child's birth
Georgia Department of Human Resources

1/1/06 6/30/06 7/1/05 6/30/06
5/1/05 4/30/06
9/15/05 6/1/06
10/1/05 6/30/06
10/1/05 3/31/06
10/1/05

$367,000 $25,000 $1,375 $45,500 $120,000
$17,500 $756,757

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Serve as fiscal agent and assist the accountability agents by providing analytical analysis of consent decree

9/30/06

University of Georgia
Georgia Commodity Commission for Cotton Modify previously developed weed management systems in an effort to control tropical spiderwort more effectively and economically and to continue to generate information on the spread of this weed in South Georgia cotton
Georgia Commodity Commission for Cotton Develop practical treatment thresholds for sucking bugs and develop efficient detection methods and their damage to cotton; investigate spatial and temporal dynamics of bugs within the farmscapes to determine whether there are predictable patterns of crop and noncrop utilization
Georgia Department of Agriculture Provide educational programs to increase producer and veterinary practitioner's knowledge of Johne's disease and increase the number of producers participating in the program
Georgia Department of Natural Resources Link students and researchers and provide traditional and actionbased learning experiences in the knowledge and understanding of the importance of oysters as indicator species for healthy habitats
Georgia Department of Natural Resources Rehabilitate historic building for adaptive reuse; develop, design, and reproduce interpretive materials and wall displays that illustrate historical and cultural significance of building, and install in restored building and expand the educational opportunities available to the general public and organized educational groups
Georgia Department of Natural Resources Enhance vital coastal and regional water quality studies, investigate land use alternatives that improve coastal water and environmental quality, and introduce ecologically sound smartgrowth initiatives
Georgia Department of Natural Resources Strengthen and improve the Adopt-A-Wetland program by developing protocols for quantitative data collection of water quality parameters and macroinvertebrate monitoring specifically for coastal wetlands
Georgia Department of Natural Resources

1/1/06 12/31/06
1/1/05 12/31/06
7/11/05 3/31/06
11/4/05 9/30/06
11/1/05 9/30/06
11/4/05 9/30/06
11/4/05 9/30/06 11/4/05

58

$15,000 $29,564 $54,414 $7,813 $40,356 $67,591 $71,751 $47,231

Determine whether invasive mollusk, crustacean, polychaete, and fish species have been or are becoming established within the port of Brunswick, and determine whether the Savannah port has established invasive fish species
Georgia Department of Natural Resources Create a spatial data infrastructure, extent, and distribution of residential docks and piers; assess potential relationship of brown marsh to residential docks and to other spatially documented phenomena; and use the analysis in two outreach programs targeted at Georgia educators and citizen groups
Georgia Forestry Commission Aid in sponsoring education program events for private forest landowners in Georgia for forest land enhancement
Georgia Commodity Commission for Soybeans Provide extension education materials and meetings, on-farm visits, the 2006 Georgia Soybean Production guide, and maintenance of Web page
Georgia Department of Agriculture Define roles of the department and the University of Georgia College of Agriculture and Environmental Sciences in meeting goals and objectives of grant under direction of Georgia Agroterrorism Committee
Georgia Department of Agriculture Conduct research on Phytophtora ramorum to learn more about the methods and modes of spread, potential host species, and methods of infections in various species of plants
Georgia Department of Natural Resources Continue to study the relationship between Cherokee darter distribution and land cover in the Etowah River and expand knowledge of the current range of Cherokee darters by sampling selected tributaries; study trends in the Etowah River mainstream's water quality and determine potential sources of aquatic pollutants
Georgia Department of Natural Resources Assess ecological conservation improvements in the Conasauga River System of Georgia and Tennessee
Georgia Humanities Council Hold international conference on creative literary output by Native Americans and literary criticism about the output
Georgia Humanities Council

9/20/06
11/1/05 9/30/06
6/1/05 6/30/07 1/1/06 12/31/06
1/1/06 9/15/06
4/1/05 3/31/06
2/1/06 1/31/07
2/1/06 1/31/07 1/2/06 5/15/06 1/1/06

59

$98,940 $11,444 $35,000 $714,750 $58,026
$27,260
$22,260 $8,000 $7,945

Hold seminar at Roosevelt's Warm Springs home for 30 Georgia social studies teachers; emphasize value of using a primary space to gain knowledge and insight about how Roosevelt affected and was affected by his experiences in Warm Springs
Georgia Southern University Georgia Professional Standards Commission Prepare more people to teach/help teachers Georgia Department of Human Resources Train professional and paraprofessional early interventionists Georgia Department of Natural Resources Conduct survey of Red Drum Recreational Fisheries

10/31/06
5/1/04 5/31/07 10/1/05 9/30/06 1/1/06 8/1/06

$8,400 $11,807 $32,066

TOTAL AMOUNT APRIL TOTAL AMOUNT FY 2006 TO DATE TOTAL AMOUNT FY 2005 TO APRIL TOTAL AMOUNT FY 2005

$ 2,702,750 $ 32,303,674 $ 24,158,573
$ 24,771,582

COMMITTEE ON ORGANIZATION AND LAW

The Committee on Organization and Law met on Tuesday, April 18, 2006, at approximately 4:25 p.m. in room 7019, the Chancellor's Conference Room. Committee members in attendance were Chair James R. Jolly, Vice Chair Felton Jenkins, and Regents Robert F. Hatcher, Elridge W. McMillan, and Benjamin J. Tarbutton III. Regent Willis J. Potts, Jr. was also in attendance. Chair Jolly reported to the Board on Wednesday that the Committee had reviewed two items, one of which required action. Item 2 included ten applications for review. Of these, eight were denied, one was continued at the appellant's request, and one was granted. In accordance with H.B. 278, Section 3 (amending O.C.G.A. 50-14-4), an affidavit regarding this Executive Session is on file with the Chancellor's Office. With motion properly made, seconded, and unanimously adopted, the Board approved and authorized the following:

1. Information Item: Promotion and Tenure Processes in the University System of Georgia

The Assistant Vice Chancellor for Academic Affairs and Associate Director for Higher EducationPRISM Director, Dorothy Zinsmeister, is the Academic Affairs representative to the Committee on Organization and Law. At this meeting, she discussed promotion and tenure processes in the University System of Georgia. She explained that under Board policy, tenure decisions reside at the institutional level. Each institution establishes criteria and procedures through faculty governance. There is typically a five-year probationary period with tenure-track faculty considered for tenure
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in the sixth year. There are three types of requiredreview for tenure-trackfaculty: pre-tenure review (progress report), tenure review (linked to annual review), and post-tenure review. There are also different levels of review (e.g., departmental faculty committee, department chair, dean, college committee, vice presidential, and presidential). The same criteria but different perspectives and responsibilities may sometimes result in different recommendations at the various levels. A tenuretrack faculty member typically prepares a dossier for review in the fall of his/her sixth year. The tenure-review process is usually completed by February or March of that academic year, and faculty are notified in spring of their tenure approval or denial.
Dr. Zinsmeister reported that, unlike tenure, promotion does not require a review and can be initiated by the faculty member. This process is often, but not necessarily, considered in conjunction with tenure. The levels of review and the timeline are typically the same as for tenure.
2. Applications for Review
At approximately 4:35 p.m. on Tuesday, April 18 2006, Chair James R. Jolly called for an Executive Session for the purpose of discussing personnel matters and academic records of students. With motion properly made and variously seconded, the Committee members who were present voted unanimously to go into Executive Session. Those Regents were as follows: Chair James R. Jolly, Vice Chair Felton Jenkins, and Regents Robert F. Hatcher, Elridge W. McMillan, and Benjamin J. Tarbutton III. Also in attendance were Regent Willis J. Potts, Jr.; the Senior Vice Chancellor for Support Services, Corlis P. Cummings; the Associate Vice Chancellor for Legal Affairs, Elizabeth E. Neely; and the Assistant Vice Chancellor for Legal Affairs (Prevention), J. Burns Newsome. In accordance with H.B. 278, Section 3 (amending O.C.G.A. 50-14-4), an affidavit regarding this Executive Session is on file with the Chancellor's Office.
At approximately 6:10 p.m., Chair Jolly reconvenedthe Committeemeeting in its regularsession and announced that the following actions were taken in Executive Session:
a. In the matter Marcelle Elaine Hughes at Georgia State University, concerning denial of promotion, the application for review was denied.
b. In the matter of file no. 1828 at Georgia State University, concerning dismissal from the Byrdine F. Lewis School of Nursing program, the application for review was denied.
c. In the matter of Dr. Emelita D. Breyer at Georgia State University, concerning denial of promotion and tenure, the application for review was denied.
d. In the matter of Dr. Lawrence P. Riso at Georgia State University, concerning denial of promotion and tenure, the application for review was denied.
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e. In the matter of Kenneth Clark at Fort Valley State University, concerning his demotion, the application for review was denied.
f. In the matter of Dr. Richard House at Augusta State University, concerning denial of promotion and tenure, the application for review was denied.
g. In the matter of file no. 1822 at the Georgia State University, concerning suspension, the application for review was denied.
h. In the matter of Mary Kaye Ramsey at Georgia State University, concerning denial of promotion and tenure, the application for review was denied.
i. In the matter of Albert DeSimone Jr. at the University of Georgia, concerning reclassification of his position, the application for review was continued at appellant's request.
j. In the matter of file no. 1829 at the Georgia Institute of Technology, concerning alleged sexual misconduct, the application for review was granted.
CHANCELLOR'S REPORT TO THE BOARD
At approximately 10:00 a.m., Chair Shelnut called for a brief recess. At 10:10 a.m., the Chairman reconvened the Board for Chancellor Davis's report to the Board, which was as follows:
Thank you, Mr. Chairman. The past ten weeks have been productive for the University System. In terms of this Board, we are attempting to change the way these meetings are conducted in order to meet your needs and to focus our attention on policy issues. We have welcomed new Regents who are already providing new perspectives and energy to the Board. For the System, I see some continuing, yet significant changes. The way in which we finance our facilities is evolving to become more efficient. Getting them approved remains a challenge, however.
We have enjoyed a very successful legislative session, securing over $120 million in new funds. With your actions yesterday, we have charted a new course in tuition, focusing on more predictability for parents and better asset utilization for the System. And we are using our budget and allocation process to implement Board policy in a more focused manner.
And speaking of focus, over-arching all of this activity is a new focus a focus on our customers, and related to this, a focus on accountability. I am pleased with the direction in which we are moving. I am gratified by the responsiveness and flexibility I see in this Board, our presidents, and staff to the opportunities present to strengthen this System.
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In my report today, I primarily want to cover the following items that are the focus of this recent activity: the legislative session, the budget, and tuition. I will cover some other items as well, but these will be my main focus.
Let me turn to the legislative session. I'll make a few points about the appropriations later in my report. We had success with specific legislation that I want to highlight. Four bills, which we supported, were adopted by the General Assembly; all benefit the University System. All were passed overwhelmingly, which is a tribute to the confidence that the General Assembly has in the Board of Regents. Two bills, while important, reflect some needed "housekeeping."House Bill ("HB") 1305 is a technical amendmentthat will make the existing seed capital fund more competitive, and Senate Bill ("SB") 506 allows eligible Georgia Gwinnett College ("GGC") students to receive HOPE funds for mandatory fees. As you know, the law had frozen fees at the level set on January 1, 2005, before GGC was created.
The two other bills will have a much broader impact on the System and on policy. HB 1294 extends our ability to carry forward funds in specified areas of our operations from one fiscal year to the next for another two years. This puts our operations in a more business-oriented posture. We will need to pursue making this a permanent feature. In terms of policy, HB 1294 will strengthen our intentions to focus on our back-office operations and to make them more efficient. We can take savings to the bottom line to reallocate versus seeing the funds lapse. And finally, SB 562 will have a major policy impact, as it gives us a new and important third option in financing facilities needs. Before, we had two options: general obligation ("G.O.") bonds and local bonds for revenue-producing facilities. The new Georgia Higher Education Facilities Authority ("GHEFA") will assist the System and the Department of Technical and Adult Education ("DTAE") with financing for revenuegenerating projects, such as dormitories, recreation centers, and parking decks. This marks the first time the Board of Regents will have the ability to combine projects around the System into a single bond package. This will reduce costs to bring these projects forward.
Let me take a moment to acknowledge our legislative allies and supporters of these bills: Representatives Amos Amerson,Bill Hembree,Donna Sheldon, and Bob Smith in the House and Senators Don Balfour, Ronnie Chance, Seth Harp, and Daniel J. Weber in the Senate. We appreciate all of the hard work these elected members conducted on our behalf. If you have not done so, I would ask that all Regents thank their local legislators. And I want to take a moment to thank the Senior Vice Chancellor for External Activities and Facilities, Thomas E. Daniel, and his legislativeteam for their hard work during the session. We had a small staff lunch last week to thank Tom, and at that time, I noted how much I appreciated his leadership and the manner in which he involved me in the process, allowing me to not only learn, but participate, albeit with careful safeguards! But I did note that I didn't appreciate
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the eight pounds I gained over the past two months attending legislativereceptions and eating at what seemed to be every barbeque bistro in the area. I noted that while I've taken a bullet for the team before, I don't appreciate taking the fat! Seriously, after watching Tom in action, I'm ready to pass on my mantle as "the hardest working guy in show business." Thank you, Tom, for your dedicated efforts. The results this year in terms of our appropriations reflect your leadership.
Let me turn to the budget. As I noted in my introduction yesterday to the budget and tuition strategy presentation, we are very appreciative of the support of the Governor and General Assembly. Our state appropriation of $1.93 billion is the largest in the University System's history. It is a 6.6% increase over fiscal year 2006. That is an additional $120 million. The University System moved from 11% to 11.5% of the state budget. During the 2006 session, the System received $310 million in bonds for facilities. This represents 27.5% of bonds issued for all of state government. Looking past the numbers, your actions on the fiscal year 2007 budget represent a commitment to make allocations based on System-wide priorities and the compelling needs of this board in key policy areas. Specifically, strategic allocations for fiscal year 2007 reflect three key priority areas:
$4.9 million to address nursing shortages in the state with programs to add an additional 410 nursing graduates to our existing production.
$2.2 million to improve retention, progression, and graduation rates for the System with a more focused approach. We are targeting five institutions with programs in faculty advising, freshmen learningcommunities,sophomore connectionplans, and supplemental instruction for courses with high failure and withdrawal rates (Kennesaw State University, Georgia Southern University, Georgia State University, University of West Georgia, and Valdosta State University).
$1.5 million to enhance productivity and efficiency through technology in our student information and human resource systems and our data warehouse.
Allocations to an institution in these areas are designed to "move the needle," which means that investments are aimed at those areas that present the greatest opportunity for making a difference. With these allocations, we are making an important shift in how we look at our budget. We are sending a signal that in the future, our allocationswill be driven by our policy objectives. Our highest priorities should receive our first dollars and not the last. And our allocations will be tracked, evaluated, and assessed for effective and timely implementation. Accountability becomes a key responsibility of each institution, as it is for this Board at the System level. It is critical that our policy drive our budget decisions.
Of course, the most striking example of our focus on using the budget to implement policy
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is our new direction on tuition. Our guaranteed tuition strategy provides value for the dollars the state appropriates to the System. If students earn degrees more quickly, we become more efficient in our throughput. We free up resources to accommodate more students and thus more fully utilize our facilities. In summary, we are fully utilizing our assets and providing a better return on the state's investment. And on the student side of the ledger, the guaranteed tuition is a tremendous benefit. Parents and students can plot out the tuitionrelated financial costs of college certain of a fixed price for four years. And by moving students to a higher tuition beginning in year five, we send an important price signal to students and parents that we hope will drive behavior.
As I stated at the outset of this report, one of the overarching themes of recent activity is accountability. As we work to make the System more effective and efficient and more responsive to its customers it is imperative that accountability underpin all of our policy actions. Accountability will be in place at every level of this organization.And to ensure this becomes an even more integral part of our culture, it is important to set the leadership example. That's why I've instituted our monthly tracking letter to the Chairman. This letter outlines ongoing issues and expectations from this Board for which I have direct responsibility and accountability. Looking at the March tracking letter, there were five items for follow-up:
Board meeting schedule: I have outlined for the Executive and Compensation Committee some alternatives to our current format. Our work will be further refined for the May meeting.
Our legislative relationships: Now that the session is over, I have committed to presenting at the June meeting some alternative approaches for your discussion and reflection.
University System of Georgia Foundation, Inc. (the "Foundation"): At this meeting, we will hear a briefing on the Foundation from its Executive Director, Jan Kettlewell.
The role and responsibilities of a Regent: The Associate Vice Chancellor for Internal Audit, Ronald B. Stark, has been tasked with this responsibility. He is working to identify a process that will help each of you in your role as a Regent.
The process for selection of architectural firms: Regent Jenkins raised this question, and a response has been given to him.
On one outstanding item from February, you will hear today a presentation by the Associate Vice Chancellor for Media and Publications, Arlethia Perry-Johnson, on the constituent survey. This survey will provide us with the necessary data to inform our decisions around
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our communications plans and efforts. Again, this will provide information to help shape policy as well as accountability measures around this effort. And, though it may not appear so, even the new Board meeting feedbackform is a means to gain information that in turn will provide some accountability measures.
Let me close this report with note of several areas of recognition to our institutions. The Georgia Department of Natural Resources ("DNR") presented four of its five State Stewardship Awards, including the Governor's Award for Excellence in Historic Preservation, to the University System of Georgia. The top award, the Governor's Award for Excellence in Historic Preservation, went to Dr. Dorothy Leland, President of Georgia College & State University ("GCSU"). Also recognized for their leadership in historic preservation were Dr. Harry Keim, Vice President for Business and Finance at GCSU; Dr. Michael L. Hanes, President of Georgia Southwestern State University; and Scott Messer, preservation planner in the Office of University Architects at the University of Georgia.
The Georgia Merit System recognized nine University System of Georgia institutions and units with awards for employee participation in the state's annual State Charitable Contributions Program. Cited for top performance in the program were Armstrong Atlantic State University, Atlanta Metropolitan College, East Georgia College, Georgia College & State University, Georgia Highlands College, Georgia Institute of Technology, Georgia State University, Skidaway Institute of Oceanography, and the University of Georgia. University System employees contributed $1.2 million to designated charities during the 2005-2006 state agencies'campaign. Please join me in expressingour congratulationsto these individuals and institutions. These are powerful examples of good stewardship.
To date, I have visited 16 of our 35 institutions. The pace will pick up now that the legislative session is over. As I learn more of this state and the University System, I am energized by the opportunities that are present to strengthen our efforts toward "creating a more educated Georgia." The vitality and staying power of the System in a state with a history of strong support for public higher education will make our work that much more powerful on the System's impact on Georgians. We are sending the right messages to our customers we will be focused, we will be responsive, we will use state funds wisely to drive our key priorities, and we will be accountableat every level of the organization. Thank you.
UNIVERSITY SYSTEM OF GEORGIA FOUNDATION, INC. REVIEW AND UPDATE
Chair Shelnut next called upon Dr. Jan Kettlewell, Executive Director of the University System of Georgia Foundation, Inc. (the "Foundation") to update the Board on the financial standing and activities of the Foundation.
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Dr. Kettlewell greeted the Regents and explained that she was giving this update in response to requests from members of the Board of Regents. She noted that the Foundation was formed in 1995 as a nonprofit corporation and that Regent Leebern was the first chair of the Foundation board. The Foundation is classifiedas a supporting organization (public charity) and therefore as a 501(c)3 with the Internal Revenue Service.
The Foundation has three purposes. First, it provides support for Systemwide activitiesthat further the priorities of the Board of Regents. Individuals from the University System Office seek grants to advance these priorities. The Foundation serves as the administrative home for these grants when received from private foundations or corporations. She noted that federal grants received by University System Office staff for Board priorities are not administered through the Foundation. Management of federal grants is outsourced to the Georgia Institute of Technology ("GIT"). Secondly, the Foundation sponsors an annual fund raiser, called the Regents' Awards for Excellence in Education. Third, the Foundation provides limited support for the Office of the Chancellor for such things as moving expenses and entertainment.
The Foundation is governed by an elected board of trustees, which according to its bylaws must consist of at least three sitting Regents and the Regents can constitute no more than one-third of the membership. The board of trustees approves an annual budget, which governs expenditure of unrestricted funds. Also according to the Foundation bylaws, the Chancellor is an ex-officio member of the board of trustees. Currently, Regent Shelnut serves as chair of the Foundation board. The other sitting Regentsare Regents Leebern, Carter,and Tucker. The Foundation has no full-timestaff. Four employees of the University System Office manage the Foundation on a part-time basis. The portion of each staff member's salary that is paid by the Foundation is determined by the amount of time each staff member devotes to work for the Foundation. The current range is from 7% to 15%.
Dr. Kettlewell presented a financial summary from the recent independent audit for the last two years reflecting the year end totals for fiscal years 2005 and 2004. The Board of Regents will receive a fiscal year 2006 annual report for the Foundation in August 2006, after the close of the current fiscal year. To date the Foundation has not been able to establish a corpus. At the next Foundation board meeting, the agenda will include consideration of creating a corpus through creation of a restricted account. This would be accomplished through moving a portion of funds from unrestricted to restricted.
Dr. Kettlewell reiterated that the Foundation serves as the administrative home for grants awarded to members of the University System Office staff to advance priorities of the Board of Regents. To date, grantshave been receivedin the following two program areas: P-16 initiativesand study abroad scholarships. P-16 has brought in grants for about $19.5 million, and the Office of International Education has brought in grants for about $600,000.
With regard to the Foundation's annual fund raiser, the Regents Awards for Excellence in Education,
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Dr. Kettlewell stated that the Board of Regents and the entire University System of Georgia owe a debt of gratitude to Board Chair Shelnut. He envisioned this event as a time of celebration and fund raising where all University System of Georgia institutions came together. He has provided outstanding leadership for two consecutive years for this event. This event has had tremendous corporate involvement. Under Chair Shelnut's leadership, the Foundation awards "president's choice" scholarships to each institution, recognizes outstanding faculty and alumni, and honors one of the Board's most distinguished Regents, Elridge W. McMillan, through a Lifetime Achievement Award in his name. Regent McMillan was the first recipient of this award. The second was former Representative Louise McBee. During the first awards event, the net income was about $350,000. Net income for the second year was just over $600,000. Dr. Kettlewell noted that the primary goal for this event is scholarships for students.
Finally, Dr. Kettlewell thanked the System institutions. She reiterated that the Foundation does not have a full-time staff. The Foundation is able to host the Regents' Awards for Excellence in Education because both years, System institutions stepped up and helped coordinate it. In the first year, GIT took the lead and Georgia State University ("GSU") assisted. Last year, GSU took the lead, and the University of Georgia ("UGS") and Kennesaw State University ("KSU") assisted. Next year, UGA will take the lead in planning this event. In closing, she asked whether the Regents had any questions.
Regent Hatcher asked when this year's awards dinner would be held.
Dr. Kettlewell responded that the date had not yet been set, but that the planning committee was presently looking at dates and would have that information very soon.
Regent Hatcher asked whether the grant funds for P-16 initiatives are pass-through funds.
Dr. Kettlewell said that her full-time position in the University System Office is the Associate Vice Chancellor for Academic Affairs and Co-Facilitor for the Georgia P-16 Initiative. The P-16 grants are grants she has brought in for various initiatives she administers for System institutions.
Chair Shelnut thanked Dr. Kettlewell for this update and thanked all of the System staff who help plan the annual fund-raising celebration.
REPORTS FROM THE BOARD'S TASK FORCES
Chair Shelnut next called upon the Associate Vice Chancellor for Media and Publications, Arlethia Perry-Johnson, to update the board on the communications task force. Following her presentation, the Associate Vice Chancellor for Planning and Policy Analysis, Cathie Mayes Hudson, would provide and update on the retention, progression, and graduation ("RPG") initiative.
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Ms. Perry-Johnson thanked the Regents for this opportunity to update them on the communications task force, which is chaired by Vice Chair Pittard. A major recommendation of the task force is to engage in a comprehensive survey of various System constituents. This recommendation was introduced at the January 2006 Board meeting as the anchor of the proposed communications plan. However, the task force put this survey on hold until the new Chancellorhad arrived and contributed to the process. Chancellor Davis has given the survey his strong endorsement and has asked the task force to move ahead. The survey results will help shape the draft communications plan. Copies of the survey instruments were included in the Regents' notebooks.
The primary goal in conducting the survey is to secure a baseline benchmarkregarding current public perceptions of the Board of Regents and the University System of Georgia. In addition to helping shape the communications strategy, the survey should also help provide output expectations from some key stakeholders. For example, it should provide insight into the perceptions and expectations of legislators and business and community leaders. The survey will also serve as an anchor of evaluation and measurement efforts, which will help continuously improve communicationstrategies and customer service going forward. The benchmark data will help in future assessments of the impact of communicationsactivities. It will help identify what can be improved and what moves the barometer of communications efforts.
Ms. Perry-Johnson noted that the communicationssurvey is being conducted by the Director of the Survey Research Center at the University of Georgia ("UGA"), James J. Bason. He will report to the Board at the end of the survey process. By utilizing resources through UGA, the System significantly reduced costs. So, the charge to conduct the survey is only $20,000. The survey will target four key audiences: legislators, campus communities (faculty, staff, and students), business and community leaders, and the general public. These groups will be surveyed through a combination of telephone, mail, and Internet-based surveys. Legislators will be asked to complete an Internetbased survey that has been endorsed by the leadership of the General Assembly, Representative Bill Hembree and Senator Seth Harp. System faculty, staff, and students will also participate in an Internet-based survey. A telephone and mail survey will be conducted for business and community leaders. The general public will be polled via a random telephone survey. These surveys will provide very important information about public awareness, perceptions, and satisfaction with the System and the Board of Regents.
The survey would be launched one week after this Board meeting and run through the beginning of July. Dr. Bason will provide a draft report for staff review in late July, and Ms. Perry-Johnson will provide a comprehensive report to the Board in fall 2006. She asked the Regents to review the survey instruments they had received and let her know if they had any suggestions. In closing, she asked whether the Regents had any question.
Seeing that there were no questions or comments, Chair Shelnut asked Ms. Perry-Johnson what is the System's total economic impact on the State of Georgia.
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Ms. Perry-Johnson responded that it is $23 billion.
Next, Dr. Hudson discussed the RPG initiative. She noted that at the beginning of the initiative, the State of Georgia ranked nineteenth in the nation in retention rates and forty-second in the nation in graduation rates. The RPG initiative's ultimate goal is to reach the nation graduation rate by 2010. In 2006, System retention rates were consistent with 2005. The ranking of graduation rates moved from forty-second to thirty-ninth in part due to changes in graduate rates of other states. Georgia remained below the national average, so there is still much work to be done by 2010. Meanwhile, the national average is a moving target. In fall 2005, the Board of Regents asked institutions to set target retention and graduationrates as part of their plans for improvingRPG rates. The University System Office staff are now reviewing those targets and institutional plans to determine how much each institution's RPG rates need to improve for the University System of Georgia as a whole to meet the Board's goals. The staff's focus over the last two months has been on where changes are most needed and wear System dollars can have the greatest impact. Chancellor Davis asked the staff to determine how to best "move the needle" to reach this goal. In other words, where can the System get the best returns on its investment?
At this meeting, Dr. Hudson shifted the focus from the graduation rate of the System to the graduation rate of the institutions. She noted that the institutions have varying profiles with various characteristics that affect graduation rates, such as academic preparation, faculty engagement, and whether an institution is commuter or not. Dr. Hudson showed the Regents a graph depicting the sixyear graduation rates of all System institutions that offer bachelor's degrees. She noted that the Systemwide graduation rate for these institutions is approximately 48%. She noted that the graduation rates at GIT and UGA are very high and that those institutions also have large enrollments. The staff have been working to determine the best and most fair method for evaluating the targets and goals at each institution. As a start, they compared each institution to the rate for the comparable Carnegie institutions as a whole in the nation. Although this is a rough comparison, institutions in each Carnegie level have much in common. Research universities have defined peer institutions, but regional and state universities do not have defined peers. The staff also looked at the number of first-time freshman as a beginning cohort at each institution.
Based upon the analyses, the staff determined that the largest institutions in the System can impact the Systemwide graduation rates more than the smaller institutions. However, the high graduation rates at GIT and UGA may not change that much. Therefore, RPG funding was provided to the following institutions: Georgia Southern University ("GSOU"), Georgia State University ("GSU"), Kennesaw State University ("KSU"), University of West Georgia ("UWG"), and Valdosta State University ("VSU"). The staff believe that this strategy will provide the best return on investment.
Dr. Hudson stated that over the next few weeks, staff will be working with the institutions to set new graduation rate targets. The institutions that received RPG funding will have more aggressive
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goals. The staff will also identify a fair way to set institutional graduation rate targets. As part of that process, the staff will identify comparator institutions for each of the regional and state universities across the System. In closing, she asked whether there were any questions or comments.
Chancellor Davis stated that the System could improve RPG quickly and easily by raising admissions standards. However, the System has to balance the issue of access as well. Therefore, the staff are working to achieve the desired graduation rate outcomes while preserving the access that is appropriate for the System. He noted that the institutions with the highest RPG rates are the institutions with the highest entrance standards, but the Regents do not want to solve the problem by requiring every institution to have the same admissions requirements as GIT or UGA. Part of the challenge may be the sheer number of open access institutions in the University System of Georgia. So, it is important to ensure that peer comparisons are appropriate and reasonable. He noted that many other states do not have open access institutions. Still, it is the goal of the System to retain and graduate the students it enrolls.
Regent Jenkins noted that $2.2 million is being granted to five institutions to try to "move the needle" of graduation rates. He asked how that money will be spent by the institutions.
Dr. Hudson replied that many institutions will improve advisement and faculty engagement. Others will expand their freshman experience programs.
Dr. Papp added that some institutions will implement sophomore experience programs and expand learning communities to the sophomore year as well.
Chancellor Davis said there are many interesting graduation rate correlations in factors like whether students reside on campus or commute,whether faculty are part-timeor full-time. So, there are many complex moving variables in the equation. So, it is important to apply resources strategicallyin ways that will be most effective.
Regent Jenkins commented that he agreed with the concept of targeting specific institutions, but he felt that it would be beneficial to include a few of the historically black colleges, particularly Savannah State University and Albany State University.
Seeing that there were no further questions, Chair Shelnut thanked Dr. Hudson for her presentation.
UNFINISHED BUSINESS
Chair Shelnut called upon the Secretary to the Board, Gail S. Weber, to make five honorary degree recommendations to the Board.
Secretary Weber announced that President Carlton E. Brown at Savannah State University had
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nominated Tom Joyner, Sr.; President Michael F. Adams at the University of Georgia had nominated Jane Seddon Willson; President Beheruz N. Sethna at the University of West Georgia had nominated Dr. Andrew C. von Eschenbach; and President Everette J. Freeman at Albany State University had nominated Patti LaBelle and former Regent Connie Cater for honorary degrees. Secretary Weber noted that one of the Albany State University honorary degrees would be granted this year and one would be granted next year. On behalf of Presidents Brown, Adams, Sethna, and Freeman, Secretary Weber submitted these nominations for the Board's approval. With motion properly made, seconded, and unanimously adopted, the Board approved the five honorary degrees.
Chair Shelnutreported to the Board that there was a new advisory committeeproposal. The addition to the Board's responsibilities of the Georgia Public Library System ("GPLS") has created a wonderful partnership. The State Librarian, J. Lamar Veatch, Jr., is deeply involved in this aspect of the Board's work. The time has come to create the Regents' Public Library Advisory Committee to sit alongside the Board's many other advisory committees. The Chair of the Board of Regents will appoint one or more Regents to serve as liaison to this advisory committee. Chair Shelnut noted that in each Regent's folder was a full description of the responsibilities of this advisory committee. He proposed that the submission of this new advisory committee sit on the table until the May 2006 minutes. He asked that the Regents let him know if they have any questions or comments. Otherwise, the Regents Public Library Advisory Committee will begin its work on the behalf of the University System of Georgia after the May 2006 meeting.
Chair Shelnut asked Regents Leebern, McMillan, and Tucker to serve as the Nominating Committee for the positions of Chair and Vice Chair of the Board of Regents for fiscal year 2007. He asked that they announced their recommendations at the May 2006 meeting of the Board of Regents with the election to be held at the June 2006 meeting, at which time the floor would be open to any further nominations.
NEW BUSINESS
There was no unfinished business at this meeting.
PETITIONS AND COMMUNICATIONS
Secretary Gail S. Weber announced that the next Board meeting would take place on Tuesday, May 16, and Wednesday, May 17, 2006, in the Board Room in Atlanta, Georgia.
She noted that Regent and Mrs. Coles would host dinner for the Regents on Tuesday, May 16, 2006.
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EXECUTIVE SESSION
At approximately 11:15 a.m. on Wednesday, April19, 2006, Chair J. Timothy Shelnut called for an Executive Session for the purpose of discussing personnel and compensation issues. With motion properly made and variously seconded, the Regents who were present voted unanimously to go into Executive Session. Those Regents were as follows: Chair Shelnut, Vice Chair Patrick S. Pittard, and Regents Hugh A. Carter, Jr., William H. Cleveland, Robert F. Hatcher, Julie Ewing Hunt, Felton Jenkins, W. Mansfield Jennings, Jr., James R. Jolly, Donald M. Leebern, Jr., Elridge W. McMillan, Doreen Stiles Poitevint, Willis J. Potts, Jr., Benjamin J. Tarbutton III, Richard L. Tucker, and Allan Vigil. In accordance with H.B. 278, Section 3 (amending O.C.G.A. 50-14-4), an affidavit regarding this Executive Session is on file with the Chancellor's Office.
Chancellor Erroll B. Davis, Jr. and the Secretary to the Board, Gail S. Weber, were present for part of the Executive Session. In Executive Session, the Board unanimously accepted the Chancellor's recommendations that Ms. Weber be reappointed as Secretary to the Board and that the Vice Chancellor for Fiscal Affairs, William R. Bowes, be reappointed as Treasurer to the Board for fiscal year 2006 per Board of Regents Bylaws IV.8 and IV.9. No action was taken in Executive Session with regard to the reappointment of presidents. The Chancellor and Ms. Weber were asked to leave the room while the Regents began evaluation of the Chancellor as policy dictates.
At approximately 11:55 a.m., Chair Shelnut reconvened the Board meeting in its regular session and announced in Executive Session, the Secretary and Treasurer to the Board had been reappointed. With motion properly made, variously seconded, and unanimously adopted, these reappointments were reaffirmed in open session.
Chair Shelnut asked for a motion to approve a revised deferred compensation package for President Carl V. Patton of Georgia State University. With motion properly made, seconded, and unanimously adopted, the package was approved.
Chair Shelnut also asked for a motion to approve a revised compensation package by the University System of Georgia Foundation, Inc. for Chancellor Erroll B. Davis, Jr. With motion properly made, seconded, and unanimously adopted, the package was approved.
Also in Executive Session, the Board had discussed the reappointment of University System presidents, as listed on the following page. Chair Shelnut called for a motion to approve these reappointments at the Chancellor's recommendation. With motion properly made, variously seconded, and unanimously adopted, the Board approved the presidential reappointments.
The approved presidential reappointments were as follows: Michael F. Adams, University of Georgia; David A. Bell, Macon State College; John Black, East Georgia College; William A. Bloodworth, Jr., Augusta State University; Carlton E. Brown, Savannah State University; Frank D.
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Brown, Columbus State University; James A. Burran, Dalton State College; G. Wayne Clough, Georgia Institute of Technology; Richard J. Federinko, Middle Georgia College; Everette J. Freeman, Jr., Albany State University; Bruce Grube, Georgia Southern University; Michael L. Hanes, Georgia Southwestern State University; Thomas K. Harden, Clayton State University; Thomas Z. Jones, Armstrong Atlantic State University; Daniel J. Kaufman, Georgia Gwinnett College; Dorothy Leland, Georgia College & State University; Dorothy L. Lord, Coastal Georgia Community College; Martha T. Nesbitt, Gainesville State College; Carl V. Patton, Georgia State University; John Randolph Pierce, Georgia Highlands College; David L. Potter, North Georgia College & State University; Daniel W. Rahn, Medical College of Georgia; Lawrence E. Rivers, Fort Valley State University; Lisa A. Rossbacher, Southern Polytechnic State University; Beheruz N. Sethna, University of West Georgia; Peter J. Sireno, Darton College; Harold E. Wade, Atlanta Metropolitan College; Lawrence V. Weill, Gordon College; Thomas A. Wilkerson, Bainbridge College; and Ronald M. Zaccari, Valdosta State University. James G. Sanders was also reappointed as Director of the Skidaway Institute of Oceanography.
ADJOURNMENT
There being no further business to come before the Board, the meeting was adjourned at approximately 12:05 p.m. on April 19, 2006.

s/ J. Timothy Shelnut Chair, Board of Regents University System of Georgia

s/ Gail S. Weber Secretary, Board of Regents University System of Georgia

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