A meeting of the Board of Trustees of the Nebraska State College System was held at Holiday Inn, Lincoln, Nebraska on Tuesday, February 12, 2002.

In compliance with the provisions of Neb. Rev. Stat. Section 84-1411, printed notice of this meeting was mailed to each member of the Board of Trustees. In addition, copies of such notice were sent to the Presidents of the State Colleges, Associated Press, and selected Nebraska newspapers. We, each of us, hereby acknowledge due and sufficient service to the above, the foregoing notice of the time and place and object of said meeting, and agree to meet in said meeting at the time and place presented.

Board members present:
Richard Halbert, Falls City
Willa Kosman, Scottsbluff
Steve Lewis, Lexington
Sheryl Lindau, Wayne
Jeff Renner, Bellevue
Larry Teahon, Chadron

Student Board Members present:
Jennifer Chleboun, Wayne State College
Tammie Mundil, Peru State College
Katie Watt, Chadron State College

NSC Staff, present:
Stan Carpenter, Executive Director
Larry Schultz, Associate Executive Director for Academic Affairs & Legal Services
Jean Dale, Associate Executive Director for Administration & Finance
Bruce, Donelson, Facilities Management & Planning Director
Sheri Irwin, Public Relations Director
Lynne Olson, Administrative Assistant
Thomas Krepel, President, Chadron State College
Joyce Hardy, Senior Vice President for Academic Affairs, Chadron State College
Ed Hoffman, Vice President for Administration, Chadron State College
Rex Cogdill, Dean of Students, Chadron State College
Cyd Janssen, Director, Media and Public Relations, Chadron State College
Ben Johnson, President, Peru State College
Jerome Martin, Vice President for Academic Affairs, Peru State College
Linda Jacobsen, Vice President for Administration and Finance, Peru State College
Ted Harshbarger, Vice President for Student Services and Enrollment Management, Peru State College
Kent Propst, Vice President for College Advancement and Institutional Relations, Peru State College
Sheila Stearns, President, Wayne State College
David Fuller, Vice President for Academic Affairs, Wayne State College
Carolyn Murphy, Vice President for Administration and Finance, Wayne State College
Curt Frye, Vice President and Dean of Students, Wayne State College
Judy Johnson, Director of College Relations & Interim Vice President for Development, Executive
Director/Wayne State Foundation, Wayne State College
Mike Hartwell, Director of Physical Plant, Wayne State College
Timothy Anderson, Professor of Business, Chadron State College
Patricia Arneson, Professor of Business, Wayne State College
Bill Beavers, Ameritas Investment Corporation
Scott Keene, Ameritas Investment Corporation
Dan Worth, Bahr Vermeer Haecker Architects
Gary Bowen, Bahr Vermeer Haecker Architects
Dennis Coudriet, Bahr Vermeer Haecker Architects
JoAnne Kissel, Sinclair Hille Architects
Mike Wemhoff, Coordinating Commission for Postsecondary Education
Carna Pfeil, Coordinating Commission for Postsecondary Education

The Academic and Personnel Committee and the Fiscal and Facilities Committee met separately to discuss agenda items. No action was taken. The committee meetings adjourned at 10:30 a.m.

Board Chair Renner called the business meeting to order at 10:30 a.m.

The meeting agenda for February 12, 2002 was approved as presented.

Dan Worth, Gary Bowen and Dennis Coudriet, representative from Bahr Vermeer Haecker Architechts presented the Campus Master Plan for Wayne State College. No action was taken. (Copy on file in the System Office.)

A motion to approve the following preliminary notification of new program list to be submitted to the Coordinating Commission for Postsecondary Education was unanimously passed.

Major in Agribusiness (BA degree)

Professional Studies (MAE degree)

System-wide Advanced Studies (MS degree)

A motion to approve a change in the degree awarded for the Comprehensive Major in Industrial Management from the Bachelor of Arts degree to a Bachelor of Science degree at Chadron State College was unanimously passed.

A motion to approve an existing subject major in Agribusiness for Chadron State College was unanimously passed.

A motion to approve a Physical Sciences Comprehensive Major for Chadron State College was unanimously passed. This major would replace the existing majors in Chemistry and Physics and would also allow for educational opportunities in Geoscience.

A motion to approve the recommendation of the Academic and Personnel Committee for the 2002 Teaching Excellence Award recipient, and submit that recommendation to The Lincoln Foundation for final approval was unanimously passed.

Proposed Policy Revision; Policy 3000 First Round Approval

A motion to amend Policy 3000 to allow prospective students present ACT or SAT scores or other evidence of special merit to demonstrate their ability to successfully perform college-level course work and qualify for admission to a state college was unanimously given first round approval.

Proposed Policy Revision; Policy 3402 First Round Approval

A motion to amend Policy 3402 to extend the benefits of in-state tuition to the legal dependents of individuals working full-time in Nebraska, but living out-of-state was unanimously given first round approval.

Proposed Policy Revision; Policy 3403 First Round Approval

A motion to implement Policy 3403 as a three-year pilot program known as the Nebraska State College Opportunity Scholarship to be awarded to eligible non-resident students at the discretion of each college and in accordance with established guidelines was unanimously given first round approval.

A motion to amend Policy 5405 to conform with recent tax law changes relating to contribution limits now permitted under law and the addition of a voluntary secondary retirement plan, a 457(b), as a supplement to the primary 403(b) plan was unanimously given first round approval.

A motion to amend Policy 8035 to permit the use of alcohol on college property at sites designated and hosted by the college president was unanimously given first round approval.

A motion to approve the honorary doctorate degree recommendation submitted by Wayne State College was unanimously adopted.

A motion to approve the following grant applications and awards as submitted by the colleges was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

Chadron Application

Chadron Award

Wayne Application

Wayne Awards

A motion to approve the following contracts submitted by the colleges was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

Peru State College Contract

Wayne State College Contract

A motion to approve the purchase of real property at 1219 Schreiner Drive in Wayne, Nebraska using contingency maintenance funds at Wayne State College was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

A motion to authorize the following reallocation of contingency maintenance funds for purchase of real estate at Wayne State College was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

Resolution 4/8/95 
#2 $ 7,899.00
#6 8,300.00
#11 12,610.71
#12 8,500.00

Resolution 4/4/97
#9 2,540.00
#14 14,850.00

TOTAL $54,699.71

All of the funds above remain in projects that either have been completed or have been deferred.

It is requested that this funding be transferred to a new resolution as follows:

Resolution 2/12/02 #1 Purchase of Real Estate $54,699.71

Revised Program Statement Budget for Neihardt Hall Renovation

A motion to approve the revised program statement budget for the Neihardt Hall renovation at Wayne State College was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

A motion to appoint a committee to select an architect for the Neihardt Hall and Pile Hall Renovation was unanimously adopted.

Steve Lewis, Board member--Fiscal and Facilities Committee Chair
Sheryl Lindau, Board Member
Jean Dale, Associate Executive Director, Administration and Finance, System Office
Bruce Donelson, Director, Facilities Management and Planning, System Office
Carolyn Murphy, Vice President, Administration and Finance, Wayne State College
Mike Hartwell, Director of Physical Plant, Wayne State College
Curt Frye, Vice President and Dean of Students, Wayne State College

A motion to appoint a committee to select an architect for the Maintenance Building Addition was unanimously adopted.

A motion to approve a resolution to submit a program statement, a study, and financing plans for the renovation of Neihardt Hall and fire/life safety improvements to Bowen, Anderson, Berry, and Morey Halls at Wayne State College to the Coordinating Commission for Postsecondary Education was adopted. Voting aye: Halbert, Lewis, Lindau, and Renner. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

A motion to approve the budget request guidelines for the 2003-04 and 2004-05 biennium was unanimously adopted. The plan was to continue with the 5 x 4 plan where $5 million dollars would be added each of the next four years to bring the system closer to comparability with peer institutions.

A motion to establish the Board’s capital construction priority for the 2003-04 and 2004-05 biennium was unanimously adopted.

A motion to approve a resolution authorizing Peru State College and Wayne State College to temporarily use revenue bond surplus funds for architectural services for the Peru Morgan Hall project and the Wayne Neihardt/Bowen Hall project until bond proceeds are available was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

A motion to accept the Wayne State College Campus Master Plan 2002 Update was unanimously adopted as presented by Bahr Vermeer Haecker.

Executive Director Authority to Approve Contract for Renovation/Addition to WSC Energy Plant

A motion to grant the executive director the authority to approve a contract for the renovation/addition to the Wayne State College Energy Plant was unanimously adopted. Voting aye: Halbert, Kosman, Lewis, Lindau, Renner, and Teahon. Voting nay: None. Student Opinion aye: Chleboun, Mundil, and Watt.

Personnel actions not requiring Board approval were reported for information. (Copies are attached to the official minutes.)

Signed affirmations by each President regarding their college’s commitment to offering equal employment and educational opportunities, and prohibiting discrimination based on political or religious opinions or affiliations, race, color, age, sex, national origin, marital status or handicap have been placed on file in the System Office.

Board members reviewed the fall 2001 enrollment reports submitted by the colleges. (Copies are attached to the official minutes.)

Board members reviewed the graduate summary reports submitted by the colleges. (Copies are attached to the official minutes.)

Board members reviewed the fall 2001 instructional load reports submitted by the colleges. (Copies are attached to the official minutes.)

Board members were informed of the system-wide academic calendars set for 2002-03 through 2006-07.

Board members discussed the implications of the Coordinating Commission approval of the Peru State College Criminal Justice Program. Restrictions were placed on offering the program in Lincoln and Omaha.

Board members discussed the implications of the proposed Coordinating Commission Rule 10 changes. The major concerns for the Nebraska State Colleges are the new definitions of a branch campus and education center and the requirement for prior approval for centers within a 45-mile radius of a principal campus of another public institution. The Board requested the Executive Director to arrange for CCPE Executive Director, David Powers, to meet with the Board in the near future.

Board members discussed the proposed change of permitting employees to voluntarily purchase additional life insurance.

Jerry Martin, Vice President for Academic Affairs at Peru State College, stated the final report from the Higher Learning Commission would be distributed as soon as it was received. He reported the Higher Learning Commission was recommending 10-year re-accreditation with a focus visit scheduled for 2004 to review the relationship between off-campus programs and on-campus programs and student learning assessment on campus.

Fiscal and Facilities

Grant Applications and Awards

The following grant applications and awards were presented to the Board for information.

Physical plant status reports from each state college not requiring Board approval were reported for information. (Copies are attached to the official minutes.)

The following capital construction progress reports not requiring Board approval were reported for information. (Copies are attached to the official minutes.)

Contingency maintenance progress reports from each state college not requiring Board approval were reported for information. (Copies are attached to the official minutes.)

Operating Expenditure Reports

Operating expenditure reports for the period ending December 31, 2001, were provided for review. (Copies are attached to the official minutes.)

Financial reports for the period ending December 31, 2001, were provided for review. (Copies are attached to the official minutes.)

LB 309 Progress Reports

LB 309 progress reports from each state college not requiring Board approval were reported for information. (Copies are attached to the official minutes.)

Revenue Bond Expenditure Reports

Revenue bond expenditure reports for the period ending December 31, 2001, were provided for review. (Copies are attached to the official minutes.)

The colleges provided Fall 2001 occupancy and income reports. (Copies are attached to the official minutes.)

Preliminary information indicates a possible increase in health insurance premiums of 13%. Additional information will be provided to the Board as it becomes available.

The Department of Administrative Services has contracted to install new financial accounting, purchasing, inventory, budget, and personnel system software for the State. The time frame is very tight. The financial system is scheduled to "go live" June 30, 2002.

Potential Tuition Increases

Tuition recommendations will be made after the Nebraska Unicameral takes action on the state’s budget shortfall.

MISCELLANEOUS INFORMATION ITEMS

Executive Director Carpenter reminded everyone that the Economic Forecasting Board would be meeting February 22. The governor will make his recommendations after that on the next round of budget cuts and the NSC will then respond accordingly. The potential budget shortfall is in the $150-$200 million range. All of this will have a serious impact on tuition discussions.

Carpenter reported he had testified before the Appropriations Committee regarding the 14% health insurance rate increase for FY 03.

Executive Director Carpenter discussed four bills before the Legislature that deal with need based student financial aid. One proposed bill is to establish SAP as a public fund only and create a separate fund for career colleges. PEAP (private sector funds) would remain the same. LB 1226 would establish a new structure for distributing need based student financial aid. Another proposed bill would be to keep SAP as a public fund and put the profit/career institutions in with the PEAP funds. For the infusion of any new dollars in the future a formula would drive the dollar amount put into the funds. As of the time of this report, the formula would be 72% public and 28% private. Another proposed bill would put a matching component into the mix, and another proposed bill would eliminate PEAP.

Presidents’ Reports

Wayne State President Sheila Stearns invited the Board members to a strategic planning session for Wayne State College to be held March 18-19, 2002 at the St. Benedict’s Center, Schuyler, Nebraska. She announced Wayne State College had received the 2001 Educators of Distinction Gold Medal Achievement Award from Saludos Hispanos/Saludos.com for its commitment to higher education success for the Hispanic community.

Peru State President Ben Johnson announced the Hoyt Science Building dedication was being planned for April 8-9 and the Library/Old Gym project has started.

Chadron State President Tom Krepel announced that Senator Ben Nelson visited Chadron State and the grand opening for the Mari Sandoz Center was scheduled for September 8-9, 2002. He further noted the costs involved with printing and mailing of required 1098T forms put another strain on budgets. President Krepel distributed brochures announcing the 30^th Annual High Plains Band and Chorus Festival to be held February 5, 2002.

Student Trustees’ Reports

Student Trustee Chleboun reported on the Martin Luther King Day activities at Wayne State.

Student Trustee Mundil reported that 4 or 5 student trustee applications had been received from Peru State College students.

Student Trustee Watt reported the Chadron State College Memorial Hall grand re-opening was a success. She distributed an article from the Omaha World Herald regarding a Chadron State College graduate who is a "profiler" with the Nebraska State Patrol.

EXECUTIVE SESSION

Board members convened in Executive Session to discuss the honorary doctorate recommendation submitted by Wayne State College. No action was taken.

Strategic Planning

The Strategic Planning Task Force discussed the Nebraska State Colleges draft mission statement, draft vision statement, draft statement of core values and a draft of the key priorities and strategies developed at the three previous meetings. The Task Force members were asked to share their ideas with Stan Carpenter or Sheri Irwin for compilation for the next meeting.

Next Meeting

The next regularly scheduled meeting of the NSC Board of Trustees will be held at Peru State College, Peru, Nebraska on April 8-9, 2002.