Present: Jody Caldwell, Thomas Kean, Edye Lawler, James McGregor,
Michael McKitish,
Thomas Magnell, Michael Manfredi, Karen Prentiss, Catherine Messmer,
Stephen Moore, Alan
Rosan, Tasha Whitton, D.J. Wright
Call to order: 4:28 PM
Call to adopt agenda:
The agenda was adopted.
Approval of previous minutes:
With minor revision, the minutes of December 2, 1999 were approved.
Chair’s report:
Thomas Magnell reported that the Student Government Association, Graduate
Student
Association, and the College of Liberal Arts Faculty have approved
the proposed new
Constitution. The Theological Student Association, Theological
School Faculty, University
Staff/Administration, and the Library Faculty still need to vote.
The University Senate has been invited to the Middle States retreat.
The Middle States process
will have significant impact on the future, and the retreat is an important
part of it. Tom urged
senators to attend.
The University Senate meeting on May 4 will be in the Wendel Room of
Mead Hall.
Janet Wong is congratulated on her success on Jeopardy.
President’s report:
President Kean said that there will be a meeting of the Board of Trustees
on 2/18, at which there
will be discussion of the salary policy currently in the budget, as
well of as the construction
programs, some of which will be more expensive than anticipated.
The Science Building
expansion has some life-safety issues that mean that the project cannot
be accomplished in the
planned multiple stages, but must be done in a single process .
Trustees will be discussing how
the project costs can be managed. Completion of the building
projects will finish the academic
building needs of the University.
The capital campaign is still doing well, although the funding remains
uneven. Some donors
specify gifts for items that are a lower priority, while some higher-priority
projects continue
unfunded.
The music portion of the Arts building will come immediately after
the campaign is completed,
unless a specific sponsor can be found. Ground breaking for the
Arts building will occur after
reception of a bequest that is currently being settled.
University Budget Report:
Mike McKitish reported on the process of developing the Year 2001 University
Budget. The
University has been using the same process to develop the budget for
several years, recruiting
University representatives to participate on two committees, the Revenue
and Resources
Committee and the Expenditures and Allocations Committee. The
Revenue Committee examines
unrestricted revenue and closely predicts what realizable revenue is
likely to be. The Expenditure
Committee allocates the revenue available, based on reviews of program
expenses from the Deans
and Vice Presidents. Program expenses are analyzed against functional
expenses, such as salaries
and facilities. The recommendations of the two committees are
then sent to the Board of
Trustees.
The Finance Committee of the Board of Trustees has not yet approved
the budget, and needs to
do that before the Trustees vote in February.
On the revenue side, Mike reported that revenue analysis is based on
the following tuition and
enrollment assumptions:
| CLA | Graduate School | Theological School | |
| Tuition increase | 4.5% | 3.5% | 3.0% |
| Board increase | 1.5% | 1.5% | 1.5% |
| Room increase | 4.5% | 4.5% | 4.5% |
| New enrollments | 390 | 55 | 55 |
The Resource and Revenue Committee also assumed an increase in state
funding (currently
$850,000.00) and financial aid, but does not expect gift growth, since
the capital campaign is now
yielding primarily restricted funds.
Endowment interest growth should be around 8%. Spending rate
should be around 4.8%.
Mike McKitish commented that complexity of the University has some
significant impact on the
flexibility of the endowment’s impact.
Tuition revenue is 61.4% of revenue, which is high, and makes us too
dependent on enrollment.
Endowment spending is 10.5% of Drew’s revenue, reflecting the current
strength of the market.
Housing, Board and Bookstore is 15.6%.
On the expenditures side, Mike reported that, as in previous years,
requests above the base
needed to be justified and linked to strategic plan.
The Expenditures and Allocations Committee recommended the following
major additional
spending:
• Salary pool increase:
$1,519,000.00
• Drug and Alcohol Counselor:
$29,000.00
• Renovation of Welch Residence
Hall (which will include sprinkler systems)
• Caspersen School of Graduate
Studies (funding increased instructional needs for extended
MLitt/DLitt program): $14,000.00
Members of the Senate raised questions on a variety of topics, ranging
from the discount rate to
faculty and staff compensation. Tasha Whitton pointed out that
all constituencies need to educate
themselves about the process and be persistent in presenting their
needs. Deferred maintenance is
a particular area of concern.
The full text of the Committees’ reports is on Janus/users/supwood.
A town meeting is scheduled
for 2/16/00, 7:00, Hall of Science.
President Kean observed that Drew’s level of community participation
in the budget process is
unique, and depends largely on Mike McKitish’s work.
Old Business:
None
New Business:
None
Meeting adjourned at 5:50.