January 26, 2001

The Board of Regents of Washington State University met pursuant to call in Open Meeting at 9:30 a.m., on Friday, January 26, 2001, in the Student Services Building of Washington State University Vancouver.

Present: Regent Kenneth Alhadeff, President; Regents Phyllis Campbell, Richard A. Davis, Robert D. Fukai, Peter J. Goldmark, Matthew Moore, and V. Rafael Stone; President V. Lane Rawlins, Interim Provost Ronald Hopkins, Vice President for Business Affairs Gregory P. Royer, Interim Vice President for Advancement Sally P. Savage, Interim Vice President for Extended University Affairs Muriel Oaks, Senior Assistant Attorney General Antoinette Ursich, Faculty Senate Chair Frances McSweeney, GPSA President Steve Kuehn, ASWSU President Steve Wymer, and Alumni Association First Vice President Ed Little.

Also present were: Executive Budget Director Karl Boehmke, Assistant Vice President for Personnel and Administration Loretta Lamb, Director of Facilities Development Gerald Schlatter, and Executive Assistant for Business Affairs Rob Hoon.

1. Opening Remarks. Regent Kenneth Alhadeff provided opening remarks. He noted that the Vancouver campus is quite impressive, but that the people are even more impressive than the facility itself. On behalf of the Board of Regents, he extended a thank you to Campus Dean Hal Dengerink of WSU Vancouver and his assistant, Ms. Trish Kellogg, for the outstanding job done preparing for the Board of Regents meeting.

President Rawlins provided welcoming remarks as well, and added a thank you to Dr. Dengerink and everyone at WSU Vancouver. He added that the Vancouver campus is extraordinary and should be the “poster child” of WSU campuses.

2. President’s Report. President Rawlins expressed his delight concerning the opening of the Student Recreation Center at Washington State University Pullman and said that it is an amazing facility. He added that much credit goes to the students for their tremendous foresight. President Rawlins also pointed out that the energy management group at WSU Pullman has done a tremendous job dealing with alternatives during the shortage of power. He thanked them for their hard work and tenacity under the direction of Vice President for Business Affairs Greg Royer.

President Rawlins provided a presentation entitled, “WSU: A World Class Research University Valuing Undergraduate Education.” He commented that he felt WSU’s image does not match who it really is as a university. He asked Interim Vice President for Advancement Sally Savage to conclude the presentation and discuss WSU’s image. Ms. Savage agreed with President Rawlins and emphasized that it is time for the University to remind people of its greatest strengths. A copy of the presentation is attached as Exhibit A.

Following the presentation, T-shirts were given to all Regents with the new Washington State University logo imprinted on them.

In regard to the “image initiatives” Regent Stone asked about benchmarks, as well as goals and timing. Ms. Savage reported that this is outlined in the Marketing Plan and stated that an internal communications survey would be conducted through WSU’s School of Communication that would provide important benchmarks. She added that this would be discussed at future Regents’ meetings as well

Regent Davis said he was appreciative of the great efforts on this project and that it should make an important difference in relation to WSU’s image. Regent Fukai mentioned that a renewal phase could be difficult, but that as Regents, they would offer their full support in enforcing this image change.

3. Minutes. It was moved and seconded that the Board of Regents approve the minutes of the meeting of November 17, 2000. Carried.

4. Reports from University Groups. The reports from the University Groups are attached as Exhibit B.

Faculty Senate Chair Fran McSweeney reviewed her report as submitted to the Board. She added that, on behalf of the faculty, she wished to thank the Regents for their efforts in working with the Legislature in support of increasing faculty salaries.

GPSA President Steve Kuehn reviewed his report as submitted to the Board. He also reported that GPSA had met with the Association of Faculty Women to talk about mentoring and other ways to enhance the education of graduate students.

ASWSU President Steve Wymer reviewed his report as submitted to the Board. He added that students were going to be meeting with architects to redesign the Compton Union Building and that there was much excitement over the possibilities. Mr. Wymer said that Clark Brunkow-Mather, ASWSU Legislative Affairs Director, met with the Legislature to discuss exempting taxes from textbook costs. He pointed out that there has been overwhelming support for the bill that has been proposed.

Mr. Wymer reported that the officers for the Greek Alliance and the Greek Senate have been elected and have held their first meeting, where a document was formulated that should strengthen the Greek system. He also noted that the students are working to bring interesting speakers to campus such as Spike Lee, who has agreed to come to WSU. He said that this particular event is being held in coordination with the University of Idaho.

Mr. Wymer further mentioned that he had received a memorandum written to President Rawlins from Provost Hopkins outlining Provost Hopkins’ recommendations on the Sports Pass issue and said that he concurred with Provost Hopkins. He thanked Provost Hopkins for his efforts in working on the Sports Pass issue. He did, however, state that he felt the undergraduate students on the Pullman campus had not been well served by the administration, the student leaders, and the entire process. He said he felt that this could have been addressed in a more productive manner and hoped that in the future when students overwhelmingly vote on an issue, it would be addressed promptly.

Regent Alhadeff thanked Mr. Wymer for his professionalism and care for the students at Washington State University.

Alumni Association First Vice President Ed Little reviewed his report as submitted to the Board in the absence of President Frank Krook. He added that he would be the new Alumni Association President following Commencement in May.

5. Executive, Planning, and Budget Committee. Regent Alhadeff reported that the Committee met on Thursday and discussed the Governor’s Budget recommendation, WSU’s legislative strategy, tuition principles, S & A Fees Supplemental Allocation, and the Sports Pass issue.

6. Academic and Faculty Affairs Committee. Regent Peter Goldmark reported that the Committee met on Thursday and that the majority of the discussion revolved around integrated ways of recognizing excellence within the faculty, as the faculty is a pivotal point within the institution. He stressed that the faculty should be recognized and rewarded. With this in mind, he reported that a new award has been established for faculty called the Washington State University Eminent Faculty Award. Regent Goldmark added that he was hopeful that similar ideas, such as Regents’ Professorships, would be created.

Regent Goldmark noted that the Committee discussed the parameters of a Regents’ Professorship, as well as enrollment projections for the upcoming year. He added that a report was reviewed from Grants and Contracts and that this report would be received quarterly.

7. Report from the Interim Provost. Interim Provost Ron Hopkins announced that two Student Affairs faculty have been working on an alcohol prevention program called “Project Culture Change – Greek System.” He noted that they were given an award by the U.S. Department of Education for their outstanding work

Provost Hopkins announced that Associate Dean Mike Tate will assume the title of Dean and Director of Cooperative Extension and will report directly to the Provost. He noted that this would help to better recognize WSU’s outreach effort.

8. Granting of Degrees. Provost Hopkins informed the Regents that the candidates for degrees from the Class of October 28, 2000, were in their packets.

He introduced Campus Dean of WSU Vancouver Hal Dengerink. Dr. Dengerink extended his thanks to the Board for meeting in Vancouver and also for meeting with various faculty groups during their visit.

9. Presentation by Campus Dean Hal Dengerink. Dr. Dengerink provided a PowerPoint presentation about WSU Vancouver including enrollment growth, curriculum diversity, programs, and challenges. A copy of the presentation is attached as Exhibit C.

Regent Campbell commented on the great sense of community at WSU Vancouver and asked about possible challenges of working with Portland State University just across the state line. Dr. Dengerink said that there are some tremendous opportunities for continued expansion of their programs. He said that Portland State has some major strengths and that their school of Urban and Public Affairs is one of the best in the country. He said that it did not have the strength in local government that WSU Vancouver is starting to build, so there would be a real opportunity to develop this in Vancouver. He also mentioned that there are some other areas where it might be wise for WSU Vancouver to be developing their own program(s), because the issues are sometimes different and also because it becomes difficult to maintain certain partnership pieces. He added that it should be conducted strategically. Regent Campbell asked if there were any legislative barriers regarding partnerships with Portland State University, and Dr. Dengerink answered that Oregon has not charged out-of-state tuition for part-time students. He said that there are a large number of people who go from Vancouver to Portland for education on a part-time basis. He also said that there are approximately 50,000 people who drive across the river to go to work in Portland, and sometimes they stay there for their education as well. He commented that until the past legislative session, WSU Vancouver could not match that, but now there is a pilot project in place where WSU Vancouver does not charge out-of-state tuition for those coming from Portland to Vancouver, and they can pay in-state tuition here if they are taking eight credits or less. He expressed his desire for this pilot program to be made permanent.

10. Report from Interim Vice President for Extended University Affairs. Interim Vice President for Extended University Affairs Muriel Oaks highlighted several changes in personnel. She noted Mike Tate’s position as the new Dean and Director of Cooperative Extension and said that this would be very positive for Extended University Affairs. She mentioned that they are exploring connections between Extended University Services and the Center for Teaching and Learning regarding technology that will benefit the institution as we move forward.

Dr. Oaks noted that the Extended Degree Program (EDP) is now called the Distance Degree Program (DDP). She said that, in addition to learning center partnerships, we also have community college partnerships. She stated that in terms of enrollment this has paid off. She also reviewed a handout regarding the Environmental Information Cooperative.

11. Student Affairs Committee. Regent Alhadeff reported that the Committee had met Thursday with a group of WSU Vancouver students. He said they came from varied backgrounds and that it was fascinating to visit with them. He commented on their sincere enthusiasm about WSU Vancouver. He noted that there were some very unique people speaking from their “heads and their hearts” about the impact WSU Vancouver has had on their lives.

Regent Alhadeff reported that they discussed the Sports Pass, the alcohol initiatives and the fact that two WSU faculty members received one of six awards given in the nation regarding alcohol abuse on campus. He said they also discussed the Student Recreation Center and how the physical structure, the architecture, and the lighting are substantial and meaningful. He commented that this facility will help to further academic excellence at WSU, and he expressed his appreciation to Steve Wymer for his work, energy, and drive in helping to get this built.

12. Business Affairs Committee. Regent Dick Davis reported that the Business Affairs Committee meeting began with a presentation by the chair of the Regents/Foundation Investment Committee Dick Albrecht regarding concerns about the share of returns that have been received in the last couple of years. He said that the Investment Committee would be working on policies and procedures in the future and that they were working to improve communications between the Board of Regents and members of the Investment Committee.

Regent Davis also said that Senior Assistant Attorney General Antoinette Ursich and Assistant Vice President for Personnel and Administration Lori Lamb gave an update on risk management issues and said that this report would be given on an annual basis.

Regent Davis said that the Committee also discussed the energy issue. Regent Davis provided an example of the high cost of energy and noted that this was not going to change in the near future. He said that the important thing was the initiative to get the boilers up to speed and working with the Ecology Department to allow WSU to burn coal. He pointed out that this has saved up to $1 million in recent months, and said that they will continue to work on a wide variety of strategies to address this issue.

Regent Davis read a resolution commending the efforts of Facilities Operations under the leadership of the Director Ev Davis, Energy Manager Terry Ryan, and Connie Nolan and his staff at the Energy Plant. This resolution is attached as Exhibit D.

13. Major Capital Contracts under Previous Delegation of Authority. Vice President for Business Affairs Greg Royer reported that based upon the authority delegated to the President or his designee, the Vice President for Business Affairs, at the meeting of March 31, 2000, he had entered into the following contract:

Western States Construction, LLC, Spokane, WA, for the renovation of the Child Care Center/Infant Care – Development Lab, Phase II in the final amount of $1,926,040, to be paid from 1999-2001 WSU Building Account.

14. Minor Capital Contracts under Previous Delegation of Authority. Vice President for Business Affairs Greg Royer reported that based upon the authority delegated to the President or his designee, the Vice President for Business Affairs, at the meeting of January 24, 1986, the following contracts have been approved:

General Industries, Inc., Spokane, WA, for the Observatory Hill Transfer Pump Station Upgrade in the final amount of $130,095.72 to be paid from 1999-2001 Minor Capital Renewal Funds (MCR).

Duracon, Inc., Pullman, WA, for the Chemical Storage Building Modifications to the Office Area in the final amount of $88,973.62 to be paid from 1999-2001 Minor Capital Safety Funds (MCS).

Hubco Excavation, Inc., Gresham, OR, for the Vancouver Campus Surface Drainage Improvement in the final amount of $57,785.10 to be paid from 1999-2001 Minor Capital Improvement Funds (MCI).

Weatherguard, Inc., Longview, WA, for the WSU Mt. Vernon Research & Extension Unit Reroof of the Administration Building in the final amount of $54,820.28 to be paid from 1999-2001 Indirect Cost Recovery Funds (ICR).

15. Completed Minor Capital Projects. Vice President for Business Affairs Greg Royer reported that based upon the authority delegated to the President or his designee, the Vice President for Business Affairs, at the meeting of June 24, 1994, he had approved satisfactory completion of the following contracts:

C & R Plumbing & Heating for the French Administration Building Chilled Water Modifications in the final amount of $148,066.

Duracon, Inc., for the French Administration Building Remodel of Suites 324 & 328 in the final amount of $110,224.

Poe Asphalt Paving, Inc., for the Repair, Reconstruction, and Resurfacing of Parking Lots and Roadways in the final amount of $73,060.

16. 2001-2002 Housing and Dining Rates. Vice President for Business Affairs Greg Royer reviewed the increases in the 2001-02 Housing and Dining Rates per the following: Residence Halls – 4.5 percent; Residence Dining Account – 4.5 percent; University Family Apartments – 3.0 percent; University Single Student Apartments – 3.0 percent.

17. Bohler Gymnasium Renovation – Budget Increase. Vice President for Business Affairs Greg Royer stated that Bohler Gym is a complicated facility, as it was built in 1928. He also said that renovating it has been a challenging project. After giving a brief analysis of the budget increase, he pointed out that it was a multi-use facility for activities such at athletics, intramurals, and other student events. Regent Goldmark asked where the resources for this renovation were to come from, and Mr. Royer responded that there was savings on the Todd Hall project, the Thompson Hall project, and on the infrastructure and road improvements. Mr. Royer added that most of the recent projects have “come in” under budget and that these were the resources used.

It was moved and seconded that the Board of Regents approve a project budget increase for the Bohler Gymnasium Renovation in the amount of $1,423,532 to accommodate final construction costs for a total budget of $20,663,332. Carried.

18. Student Recreation Center – Budget Increase. Vice President for Business Affairs Greg Royer mentioned that it was known for several months that this budget increase was forthcoming. He said that this budget had originally been cut, and proceeded to review the additional costs. He stated that the source of funds was from excess bond proceeds and that the money would be spent on equipment.

It was moved and seconded that the Board of Regents approve a project budget increase in the amount of $3,223,840 to accommodate final construction costs for a total budget of $39,538,840. This includes the $750,000 S & A Facilities Fees approved by Regents action at the November 17, 2000, meeting to supplement the existing furnishings and equipment budget. Additionally, $2,473,840 will come from the excess bond proceeds. Carried.

Regent Alhadeff pointed out that these are complex issues that have been brought through many stages of evaluation within Business Affairs and then through a full assessment of the Regents’ Business Affairs Committee. He emphasized that when a motion is brought to the table, it is done so only after substantive review.

19. Small Works Roster – WAC Addition. Executive Assistant for Business Affairs Rob Hoon reported that this roster would award contracts for construction, building, renovation, remodeling, alteration, repair, or improvement of real property in lieu of other procedures for such work with a estimated cost of $200,000 or less. He said that this would reduce the timeline for processing contracts for qualifying work by streamlining administrative procedures associated with bidding and awarding contracts.

It was moved and seconded that the Board of Regents approve an addition to the Washington Administrative Code to establish Small Works Roster Procedures for Washington State University and delegate authority to the President or his designee, the Vice President for Business Affairs, to implement these procedures. Carried.

20. WSU Tri Cities – Library Renovation. Vice President for Business Affairs Greg Royer explained that this project would renovate the library area in the West Building of the WSU Tri Cities campus. He said that the remodel would provide an ASWSU Student Center, three classrooms with the ability to seat 45 students each, and sixteen faculty offices and a conference room.

It was moved and seconded that the Board of Regents approve the WSU Tri Cities Library Renovation and delegate authority to the President or his designee, the Vice President for Business Affairs, to award and sign a contract for this construction project within the funds allocated. Carried.

21. Student Recreation Center Parking System Review – WAC Change. Senior Assistant Attorney General Antoinette Ursich stated that the Board of Regents previously delegated authority to set and approve miscellaneous rates and charges associated with the Student Recreation Center, and this includes parking fees. She noted that this change in the Washington Administrative Code makes the University’s rules consistent with that delegation.

It was moved and seconded that the Board of Regents approve a change to the Washington Administrative Code that will enable the WSU President or his designee to set parking fees at the Student Recreation Center. Carried.

22. D Street Properties – Gift and Purchase. Executive Assistant for Business Affairs Rob Hoon reported that two long-time WSU faculty have offered the University a house and property located adjacent to campus at Colorado and ‘D’ Streets, provided the University purchases their primary residence with three lots located across the street. He said that, subject to mutually agreeable terms in the Purchase and Sale Agreement, the University would purchase the 920 ‘D’ Street home and lots, and accept the 915 ‘D’ Street rental as gifted property. He noted that the only stipulation associated with the gift is that the properties be used or sold as single-family residences.

It was moved and seconded that the Board of Regents, subject to acceptable terms, delegate to the Vice President of Business Affairs the authority to negotiate, approve, and execute all documents necessary to accept a gift of one residential property and the purchase of another property and improvements. Carried.

23. Housing and Dining – Revenue Refunding Bonds. Executive Assistant for Business Affairs Rob Hoon stated that since interest rates have fallen, issuing refunding revenue bonds in the current market would provide substantial savings to the Housing and Dining system.

It was moved and seconded that the Board of Regents approve the proposed Bond authorizing the issuance of Housing and Dining revenue refunding bonds, and delegate authority to the Vice President for Business Affairs to: (1) determine whether a negotiated or competitive sale of bonds would be most beneficial; (2) take all steps necessary for the issuance of refunding bonds; (3) accept final principal maturities and amounts, final interest rates and yields; and (4) perform any other steps necessary to complete the refunding. The Vice President for Business Affairs’ actions are limited to a maximum interest rate of 6 percent, and minimum net present value of savings of 4 percent of the refunding bond par. Carried.

24. WSU Vancouver Master Plan. Campus Dean Hal Dengerink introduced Mr. Paddy Tillet from Zimmer Gunsel Frasca who gave a presentation on the WSU Vancouver Master Plan. A copy of this presentation is attached as Exhibit E.

25. Executive Session. At 12:05 p.m., the Regents convened in Executive Session with legal counsel to discuss a litigation issue. The Executive Session lasted ten minutes.

At 12:15 p.m., the Regents reconvened in Open Session.

26. Request for Defense of University Employee. It was moved and seconded that the Board of Regents, as outlined in the attached Resolution [Exhibit F] approve the request for defense by University official and employee Yogendra M. Gupta, Director of the Washington State University Institute for Shock Physics, in the case brought against him by Guzin Armagan-Ditto and Enrique Arturo Ditto in Whitman County Superior Court. Carried.

27. Regent’s Distinguished Alumnus Award. It was moved and seconded that the Board of Regents designate Jack Gorski, Professor Emeritus of Biochemistry at the University of Wisconsin-Madison, as the thirtieth recipient of the Regents’ Distinguished Alumnus Award. Carried.

At 12:20 p.m., the Regents’ Meeting adjourned.