July 12, 2000

The Board of Regents of Washington State University met pursuant to call in Open Meeting at 9:00 a.m., on Wednesday, July 12, 2000, at the Washington Athletic Club in Seattle.

Present: Regent Kenneth Alhadeff, President; Regents Phyllis J. Campbell, Elizabeth Cowles, Robert D. Fukai, Peter J. Goldmark, Joe King, William D. Marler, Matthew Moore, and Rafael Stone; President V. Lane Rawlins, Interim Provost Ron 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, GPSA President Steve Kuehn, ASWSU President Steve Wymer, and Alumni Association President Frank Krook.

Also present were: Executive Budget Director Karl Boehmke, Director of Statewide Affairs Larry Ganders, Director of Facilities Development Jerry Schlatter, and Director of News and Media Relations Hugh Imhof.

1. Opening Remarks. Regent Alhadeff opened the meeting and provided welcoming remarks. He introduced new student Regent Matthew Moore and welcomed Interim Provost Ron Hopkins, Interim Vice President for Extended University Affairs Muriel Oaks, and new Alumni Association President Frank Krook.

President Rawlins provided welcoming remarks, as well, and said that he was enjoying life on the Palouse and was happy to be at WSU. He introduced Interim Provost

Ron Hopkins and Interim Vice Provost for Extended University Affairs Muriel Oaks. President Rawlins also introduced new Athletic Director Jim Sterk and asked him to say a few words.

Mr. Sterk stated that he would officially begin at WSU on July 17, 2000. He also said that he is thankful for the foundation he has to build upon with WSU Athletics and that he is excited about the future of Washington State University. He mentioned several areas of focus: facilities, personnel, political dynamics, and integration of athletics into the University as a whole. He said that the Athletic Department will be “squeaky clean,” which will attract students to WSU.

Interim Vice President for University Advancement Sally Savage introduced new Alumni Association President Frank Krook. Mr. Krook echoed Mr. Sterk’s comments and said that he encounters the passion for WSU as he travels throughout the world.

2. Minutes. It was moved and seconded that the Board of Regents approve the minutes of the meetings of May 5 and June 7, 2000. Carried.

3. Reports from University Groups. The reports from the University Groups are attached as Exhibit A.

GPSA President Steve Kuehn reviewed his report as submitted to the Board. He also added that the Student Government Council met and has begun work on a constitution.

ASWSU President Steve Wymer reviewed his report as submitted to the Board. He also stated that the ALIVE program is in full swing on campus. He mentioned that a recommendation was complete on the Sports Pass issue and that the Student Recreation Center is progressing well. He also mentioned his enthusiasm over the much-needed CUB renovation.

Alumni Association President Frank Krook reviewed his report as submitted to the Board. He added the Alumni Association would like to “friendraise” as well as fundraise and mentioned that they will be holding tailgate events at various football games. He also stated that they are inviting other groups to their events, as it is important for others to know and understand how WSU is integrated into the community.

4. Executive, Planning, and Budget Committee. Regent Alhadeff stated that the EPB Committee met on July 5 and again on July 11. He said the Committee is submitting three items to the Board for its consideration.

a. Fiscal Year 2001 Budget Allocations. President Rawlins presented the Fiscal Year 2001 Budget Allocations attached as Exhibit B. It was moved and seconded that the Board of Regents approve the Fiscal Year 2001 operating budget. Carried.

b. 2001-2003 Operating Budget Request. President Rawlins said that he is pleased to find that the WSU undergraduate curriculum and graduate programs remain some of the strongest in the country. He stated that perception is not always equal to quality, and he realizes that much funding has been tied to enrollment and headcount, which has made it difficult to focus on quality. President Rawlins presented a PowerPoint presentation (attached as Exhibit C) and stated that the operating budget request is ambitious, aggressive, and emphasizes quality. After some discussion, it was moved and seconded that the Board of Regents approve the attached recommendations (Exhibit D) for the 2001-03 Biennial Operating Budget Request and that the Board delegate authority to the President to approve minor changes or adjustments that may need to be made before the submission is finalized for presentation to the Office of Financial Management. Carried

c. 2001-03 Capital Budget Request. President Rawlins provided a presentation and recommendations (Attached as Exhibit E) and said that a sincere effort has been made to coordinate the capital budget request with academic priorities. He pointed out the Shock Physics request and noted that it is a graduate education initiative.

Regent Phyllis Campbell asked whether the Murrow Hall Addition/Renovation amount included the digitizing of the equipment. It was mentioned that there would likely be federal grants to digitize equipment in radio and television, as that will soon be a requirement of the federal government.

Regent Joe King asked what was new in the budget relative to pre-design. Regent Alhadeff said that some of the priorities set previously have been reanalyzed and moved around, and President Rawlins stated that the Apparel, Merchandising and Interior Design Building was lowered on the priority list, however some design money had been spent. He also said there were many questions in terms of location and timing for this facility. He reported that Heald Hall was moved up as a priority, as it has been deteriorating in recent years. He also noted that Johnson Hall and Holland Library were moved up, and said that WSU needs to provide better facilities suited to our mission.

Regent King asked about the resources at the Pullman campus versus the resources at the branch campuses and what new commitment was being made to the branches. President Rawlins responded that there was not a need to reprioritize the branches, as they were prioritized correctly. He also mentioned that WSU is continuing to explore the mission of the branches, so the University is not ready to proceed with capital projects there.

Director of Facilities Development Jerry Schlatter pointed out that the new projects in the master plan would reveal new priorities for the future. He stated that the master plan would be presented to the Regents in the near future.

It was moved and seconded that the Board of Regents approve the attached recommendations for the 2001-2003 Biennial Capital Budget Request and that the Board delegate authority to the President to approve minor changes or adjustments that may need to be made before the submission is finalized for presentation to the Office of Financial Management. Carried.

5. Report from Interim Vice President for University Advancement. Interim Vice President for University Advancement Sally Savage said that she was excited about the opportunity to work in Advancement and reviewed the units now reporting to University Advancement, including Publications and Printing, Alumni Association, News and Media Relations, University Relations, Marketing and Communications, WSU Foundation/University Development, and WSU West. She mentioned that the Foundation had an excellent year with a total in gifts and private grants of almost $50 million, which is a level that is astounding for a transition year. She reported that this is the second highest year in WSU’s history. She said that of the $50 million, $23,746,000 was in cash or cash equivalents, which is our highest cash or cash equivalent year ever.

Ms. Savage reported that the Foundation Benchmarking Project would allow University Advancement to collect information to see what WSU is doing and what may need to be done. All information will be evaluated based on the goal of $100 million per year in fundraising.

Ms. Savage described the Integrated Marketing Project as a broad-based project, which includes issues concerning the institution’s perception of itself, the external perception, communication about our quality programs, and elements of strategic planning. She reported that “Educational Marketing Group” was hired by WSU and that the Regents would be hearing more about this in upcoming meetings.

6. Academic and Faculty Affairs Committee. Regent King reported that a prime thrust of the AFA Committee would be to clarify what makes WSU a quality institution. He said that they would be talking to the faculty about how they perceive themselves, what ways they feel quality is measured, and how they want to be measured.

Regent King reported that the Committee had reviewed each of the action items before the Regents at today’s meeting.

7. Changes to Faculty Manual on Promotion and Tenure Guidelines. It was moved and seconded that the Board of Regents make the minor changes (attached as Exhibit F) to the promotion and tenure guidelines in the Faculty Manual effective immediately. Carried.

8. Change from Women’s Studies Program to Women’s Studies Department. It was moved and seconded that the Board of Regents change the Women’s Studies Program to the Women’s Studies Department effective immediately. Carried.

9. Extend Bachelor of Arts in Hotel and Restaurant Administration to WSU Vancouver. It was moved and seconded that the Board of Regents extend the Bachelor of Arts in Hotel and Restaurant Administration to WSU Vancouver effective Fall Semester 2000. Carried.

10. Extend the Asynchronous Registered Nurse Bachelor of Science in Nursing to Spokane and area, Vancouver, Tri-Cities and area, Yakima, Grays Harbor, Walla Walla, Clarkston, Wenatchee, Omak, Chelan, Moses Lake, Pullman, Port Townsend, and North Idaho. It was moved and seconded that the Board of Regents extend the Asynchronous Registered Nurse Bachelor of Science in Nursing to Spokane and area, Vancouver, Tri-Cities and area, Yakima, Grays Harbor, Walla Walla, Clarkston, Wenatchee, Omak, Chelan, Moses Lake, Pullman, Port Townsend, and North Idaho. Carried.

11. Extend Bachelor of Arts in Education for Collaborative Teacher Education Program and Bilingual/ESL Teacher Education Program to Centralia College, Lower Columbia College and Clark College. It was moved and seconded that the Board of Regents extend the Bachelor of Arts in Education for Collaborative Teacher Education Program and Bilingual/ESL Teacher Education Program to Centralia College, Lower Columbia College and Clark College. Carried.

12. Extend Bachelor of Arts in Education to Northwest Indian College (NWIC). It was moved and seconded that the Board of Regents extend the Bachelor of Arts in Education to Northwest Indian College (NWIC). Carried.

13. Extend Bachelor of Science in Manufacturing Engineering to the Boeing Company. Interim Provost Hopkins noted that the Boeing Company provides the money for its employees to take the courses, and they also provide for the costs of the space and other operating costs.

It was moved and seconded that the Board of Regents extend the Bachelor of Science in Manufacturing Engineering to the Boeing Company. Carried.

14. Extend Bachelor of Arts in Education to Washington State University at Tri-Cities. It was moved and seconded that the Board of Regents extend the Bachelor of Arts in Education to Washington State University at Tri-Cities. Carried.

15. Establish a Master of Science in Agriculture Degree. It was moved and seconded that the Board of Regents establish a Master of Science in Agriculture Degree. Carried.

16. Establish a Masters in Teaching Program at WSU Pullman. It was moved and seconded that the Board of Regents establish a Masters in Teaching Program at WSU Pullman. Carried.

17. Report from Interim Provost. Interim Provost Ron Hopkins said that he is proud to be back at WSU, and he feels it will be a rewarding experience. He reported that he has been familiarizing himself with the operating budget that was established by the previous Interim Provost, Rom Markin. He also mentioned that he was planning to visit the various branches in an effort to become involved with them more fully.

18. Report from Interim Vice President for Extended University Affairs. Interim Vice President for Extended University Affairs Muriel Oaks said that she is pleased to take on the responsibilities that come with her new role. She reported that enrollment is good in Extended University Services (EUS). She said that EUS has grown an average of 22 percent each year since 1992, and that the official projections are for a 33 percent increase for the upcoming year. With regard to Cooperative Extension, Dr. Oaks reported that other universities are coming to Washington to see the programs developed throughout the state. She also mentioned that WSU now has three new learning centers.

19. Student Affairs Committee. Regent Bill Marler reported on the College Hill Initiative, which stresses a sense of community among students. He said there are great possibilities in working with the community. With regard to the Health and Wellness Fee, he stated that they wanted to ensure that the Health and Wellness Program continues to be a quality program. The Board asked for the executive summary of the accreditation report that recently gave WSU high marks. After giving a brief update on the Student Recreation Center, Mr. Marler mentioned that a final recommendation would be forthcoming on the Sports Pass Issue.

Regent Marler commended President Rawlins, Ron Hopkins, and Rom Markin on their efforts toward solving the alcohol abuse problem on campus. He said that there would be a report issued in mid-August discussing ways to gain an understanding about this social problem so that the environment at WSU can be more academically focused and better for all students.

At 10:40 a.m., the Board adjourned for a short break and reconvened at 10:55 a.m.

20. Business Affairs Committee. Regent Rafael Stone reported that the Business Affairs Committee met on July 5. He stated that they discussed the status of Capital Projects (Student Recreation Center, Bohler Gymnasium Renovation, East Campus Infrastructure, Road Improvement and Site Development) and added that they also discussed guidelines regarding the lowest responsible bidder. He mentioned that they will bring this back to the Board at a later date. He also stated that they discussed the Compton Union Building, the CougarCard Program, the Horizon Air Agreement and the Exclusive Beverage Partnership Agreement.

Vice President for Business Affairs Greg Royer asked Director of Facilities Development Jerry Schlatter to give an update on the White Hall Renovation project. Mr. Schlatter provided a brief report and noted that this project is an example of what can be done with the General Contractor/Construction Manager process. He stated that this type of process should give WSU the ability to save other buildings instead of demolishing them.

21. General Contractor/Construction Manager (GC/CM) Contracts under Previous Delegation of Authority (over $500,000). 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, by the Board of Regents at the meeting of September 4, 1998, he has approved the negotiated Maximum Allowable Construction Cost (MACC), and has entered into a GC/CM contract with Baugh Construction Oregon, Inc., for the White Hall Renovation, in the amount of $8,945,863.

22. Contracts under Previous Delegation of Authority (under $500,000). 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, he had entered into the following contracts:

Schindler Elevator Corp., Spokane, for the Fine Arts Elevator Modernization in the final amount of $400,891, to be paid from 1999-01 Minor Capital Renewal (MCR).

Schindler Elevator Corp., Spokane, for the Gannon-Goldsworthy Elevator Modernization in the final amount of $387,154, to be paid from 1999-01 Housing Department funds.

. Stoneridge Development Corp., Spokane, for the Smith Gym Pedestrian Overpass Replacement in the final amount of $307,618, to be paid from 1997-99 and 1999-01 Minor Capital Renewal (MCR).

Pacific Pipe and Mechanical, Inc., Lewiston, ID, for the Chilled Water Plant Cooling Tower Modifications in the final amount of $164,023, to be paid from 1999-01 Minor Capital Renewal (MCR).

PBI Construction, Inc., Spokane, for the Wegner Hall Remodel of Suite 105 in the final amount of $134,944, to be paid from 1997-99 and 1999-01 Minor Capital Improvement (MCI).

PBI Construction, Inc., Spokane, for the Avery Hall Room 101 Modifications in the final amount of $85,808, to be paid from 1997-99 and 1999-01 Minor Capital Improvement (MCI).

23. Completion of Contracts (over $2,500). Vice President for Business Affairs Greg Royer reported that based upon the authority delegated at the meeting of June 24, 1994, he had approved satisfactory completion of the following contracts:

PBI Construction, Inc., for the Martin Stadium East End Zone Bleacher Replacement in the final amount of $804,105.

Cascade Fire Protection Co., for the Bustad Hall Life Safety Enhancements in the final amount of $315,014.

Palouse Empire, Inc., for the Webster Physical Sciences Building Life Safety Enhancements, Gas Storage Cabinets in the final amount of $182,030.

Southwest Recreational Industries, Inc., for the Mooberry Track Resurfacing in the final amount of $162,799.

RM Mechanical, Inc., for the Nuclear Reactor Cooling Tower Replacement in the final amount of $133,044.

RAM Piping Industries, Inc., for the Tri-Cities Irrigation Pump Station Modification in the final amount of $93,739.

Inland Coatings, Inc., for the Information Technology South Plaza Roof Repair in the final amount of $83,496.

Duracon, Inc., for the Bustad Hall Room Remodel and Electron Microscope Darkroom in the final amount of $71,561.

Steven D. Welch dba Avid Construction for the Equipment Storage Building 365F in the final amount of $47,695.

PBI Construction, Inc., for the Veterinary Teaching Hospital West Entrance Stairway in the final amount of $32,700.

24. McCroskey Hall Renovation. Director of Facilities Development Jerry Schlatter provided brief remarks about this project stating that this is a building being renovated to preserve its historic character.

It was moved and seconded that the Board of Regents approve schematic design documents and grant authorization to proceed with design development and construction documents for the McCroskey Hall Renovation project. Carried.

25. Delegation of Authority to Award Contract for the Renovation, Purchase, and Installation of Two Boilers for the Energy Plant Boiler Room. It was moved and seconded that the Board of Regents delegate authority to the President or his designee, the Vice President for Business Affairs, to award a contract for the renovation, purchase, and installation of two boilers for the Energy Plant Boiler Room within the funds allocated in the listed budgets. Carried.

26. Delegation of Authority to Award Contract with Sprint for Long Distance Services. Vice President for Business Affairs Greg Royer provided background on this contract, and Regent Alhadeff asked if this would be a seamless switch and also asked what period of time the contract would cover. Mr. Royer stated that the switch would be seamless and that the contract would be in effect for three years.

It was moved and seconded that the Board of Regents delegate authority to the President or his designee, the Vice President for Business Affairs, to award and sign a contract with Sprint for Long Distance services. Carried.

27. Annual Greater WSU Fund Allocation. It was moved and seconded that the Board of Regents allocate $100,000 (modified) to the Greater WSU Fund for the 2000-2001 fiscal year and delegate authority to the President of the University to expend said sum, plus any earned interest, for the purpose for which this fund was originally intended, as established by the Resolution adopted February 16, 1968, which created the fund. Carried.

28. Report by Vice President for Business Affairs. Vice President for Business Affairs Greg Royer reported that the College Hill project would involve housing and the environment. He said that they would be working with the community, owners, and the Foundation to create a better environment for faculty and staff. He mentioned that his area was reorganizing due to the recent addition of Human Resources. He reported that he has met with all of the staff in his area, and that the organizational structure is the same as the other four-year institutions in the State of Washington.

Mr. Royer said that WSU is working closely with the city to merge fire departments. He said that the city would have a fire chief assigned to Pullman and the deputy fire chief would be assigned to the campus. He stated that this would create more efficiency and a better fire department for the entire community. He also said that they would use the fire department as an example for what they want to pursue with the police department.

Regent Alhadeff stated that the running of the buildings on campus is a tremendous responsibility, and commended Mr. Royer for doing a good job in this area.

29. Recognition of Rom Markin. President Rawlins read a resolution commending Dr. Rom Markin for serving as Interim Provost. A copy of this resolution is attached as Exhibit G. It was moved and seconded that the Board of Regents approve the attached resolution. Carried.

30. President’s Report. President Rawlins said that a strategic planning process would begin this fall. He stated that one of the areas that should be seriously evaluated is the area of information technology. He introduced Dr. Joe Valacich, Smith Presidential Chair in the College of Business and Economics at WSU, who gave a presentation on the importance of Management Information Systems (MIS) to WSU’s future (attached as Exhibit H). Dr. Valacich said that there has been a 500% growth in MIS majors at WSU in the last four years and that those who graduate are some of the highest paid graduates from the University. He also mentioned that the Internet would change education as we know it, and WSU must be on the cutting edge of Virtual Education.

Regent Stone asked if there were any critical timelines with regard to MIS at WSU. Dr. Valacich said that the only difficulty is in personnel, in that it is challenging to get the senior people who can instruct at the college level.

Regent Phyllis Campbell asked what competitive advantage our program would have over other distance learning institutions such as University of Phoenix. Dr. Valacich responded that WSU’s major advantage has to do with our high-quality faculty. He also said that we would build content and pedagogy, which can be easily marketed. He also mentioned that our long-term commitment and brand image is greater than other distance learning institutions.

Regent Stone asked if there is money budgeted for an expansion of this program. Dr. Valacich responded that it is still in the concept stage, so a budget has not yet been established. Dr. Valacich said that one of his goals is to retain his assistant professors here at WSU, and he feels he can do this by building a good work environment.

President Rawlins mentioned that WSU is seeking money from the state for Information Technology curriculum to ensure that WSU will be a leader in this area. He also said that this is transformational because IT is changing education. He stated that we have an opportunity to be not just a participant, but also a leader.

President Rawlins provided closing remarks. He said that traditions are as important as the future, and that the special character of WSU and the involvement of the students have moved him. He also said that we need to safeguard what we have at WSU, and he thanked the Board for the opportunity to lead WSU.

Regent Alhadeff said that WSU was embarking on an exciting journey for the future of WSU.

At noon, the Regents’ Meeting adjourned.