Forthe record, notification of the meeting was made to the media as required bythe Freedom of Information Act.
The meeting was called to order at 10:30 a.m. by ChairmanFloyd.
Mr. Michael Brown was then asked to proceed with the introductions ofguests.
Chairman Floyd recognized Dr. Jim Hudgins of the State Board forTechnical and Comprehensive Education (SBTCE) who introduced Cathy Novinger,SBTCE Chair, Jim Myers and Oscar Prioleau SBTCE members; and Art Brown andCarolyn Price of the Commissioners’ Association.
2. Approval of Minutes
A motion was made (Ravenel),seconded (Byerly) and carried to approve the minutes assubmitted.
Chairman’s Report-Chairman Dalton Floyd
Chairman Floyd announced that Dr.Mitchell Zais would be inaugurated as President of Newberry College on Friday,September 7 and Dr. Tom Hallman would be installed as the University of SouthCarolina Aiken’s third chancellor on Monday, September 10.
All Commissioners were invited toattend the University of South Carolina’s Bicentennial Celebration, UniversityDay on Tuesday, September 11.
The FIPSE Conference on PerformanceFunding will be held at Hilton Head Island September 20-23, with presentersfrom 13 states and Canada participating in the program.
Brochures will be mailed out theweek of September 10 for the Higher Education Summit, being held atCoastal Carolina University on October 12.Governor Hodges has confirmed that he will deliver the keynoteaddress.Facilitators for the Summitwill be provided by the National Governors Association and the RandCorporation.A reception for participantswill be hosted by the Baruch Foundation at Hobcaw Barony on the evening ofOctober 11.The Commission meeting willbe held at Coastal Carolina on October 11 and the Higher Education Summiton Friday, October 12.Dr. Lightsey wasrecognized and outlined the plans for the tour, program and reception.
The Carolina Conference on Quality,designed to heighten the awareness and use of quality principles (the MalcolmBaldridge Quiality criteria) in the continuous improvement of higher educationinstitutions and state agencies, will be held September 29 - October 2 at theMyrtle Beach Martinique Resort Hotel, sponsored jointly by Coastal CarolinaUniversity and Datatel, Inc.
3. Committee Reports
3.01Report of theExecutive Committee-Chairman DaltonFloyd
A. The Executive Committee had a retreat and discussion onAugust 3 and the following issues were addressed:
1.It was feltthat we should do a better job on our public relations and we are
making efforts to improve that inpress releases prior to meetings, public contactand various leadership meetings with editorial boardsand publishing highlights ofeach meeting.
2.I t was also suggested that we go to a fullCHE meeting every second month,beginning January 2002.TheExecutive Committee would meet as requiredbetween those times.There would also be mini-retreats in the fall for the standingcommittees, another ExecutiveCommittee retreat in January 2002 and a full CHEretreat in the fall of 2002.There was no objection.
3.On the legislative agenda, the budget request and the capitalfacilities are to becovered in the finance report.On the question of funding parity, there was adiscussion and it was decided that it should bedeferred for one year due to thebudget constraints.
There was discussion about proposingamendments to the Palmetto FellowshipScholarship Program to remedy the devaluationcaused by increased value of theLIFE scholarship.Also, thereare licensing issues being dealt with by AcademicAffairs.
4.On Technology/Distance Learning, the finance committee wasasked to developguidelines toencourage cooperative technology purchases by the colleges anduniversities.We have also been advised that SREB now hasa program concerningcooperativepurchasing by universities, both public and private, in which thecommission will participate.
5.On performance funding, full implementation is proceeding and it wasfelt that weshould avoid any further revisions in 2002 in order to create stabilityin the system.
6.The Strategic Planhas been distributed and is to be discussed today in the reportfrom the Committeeon Planning, Assessment & Performance Funding.
7. The Campus Safety Forum is the end of February.The Executive Committeediscussed having CHE develop an annual Commendation of ExcellenceAward tobe presented to the two-yearand four-year institutions determined to have the bestmodel for campus safety.
It was alsorecommended that CHE should approve licenses for High-Tech Institute (Orlando,FL and Nashville, TN); Central Michigan Univesity, Mount Pleasant, MI; andGardner-Webb University, Boiling Springs, NC; and, based on further legalbriefing and discussion, should determine what additional action, if any, is warranted.
3.02 Report of theCommittee on Academic Affairs and Licensing
-Ms. Dianne Chinnes
A. Considerationof Report on Postsecondary Institution Licensing, including 2 Licensing
1.Initial Licenses to Recruit inSouth Carolina:
High-Tech Institute, Orlando, Florida
Specialized Associate Degrees in Medical Assistant, X-Ray Technician,
Surgical Technologist, and Computer Networking & InformationTechnology
High-Tech Institute, Nashville, TN
A.O.S. Degrees in Medical Assistant, Surgical Technologist, and
Computer Networking & InformationTechnology; A.S. Degree in X-Ray
2. Initial License:Central Michigan University, Mount Pleasant, MI, at Beaufort Memorial Hospital,Beaufort, SC
M.S., Administration with a Concentrationin Health Services
Ms. Chinnes pointed out that this report was a continuation of licensingrequests from the July 12 meeting, at which time the Commission requested thatstaff provide additional information.Today, Emory Smith, Assistant Attorney General, reviewed his letter (ATT II) with regard to the questions posed by the Commission at the lastmeeting. Mr. Smith stated that this was just his personal legal opinion andadvice and not a formal or even advisory opinion of the Office of the AttorneyGeneral.The question was whether ornot the Commission may adopt criteria for licensing nonpublic institutionswhich would take into account the need for such programs or duplication ofexisting efforts at other institutions and whether or not a moratorium may beimposed on granting licenses while these matters are reviewed.It was Mr. Smith’s opinion that a saferlegal course of action may be to obtain legislative authorization for thesemeasures before proceeding with them.
Dr. Barton reported that the staff met with Mr. Jimmy Aycock and Mr.Larry Sorrell of the Office of Material Management for an opinion regarding thequestion raised at the last meeting with regard to the procurement code, i.e.,whether or not any prohibition exists to public institutions allowing privateinstitutions to use their facilities.The letter received in reply is part of Attachment II.Their opinion was that academic courses andprograms per se are not covered by the procurement code.They were to send letter so stating.
Ms. Chinnes stated that staff also met with the Office of GeneralServices on the question about leases from the last meeting.The understanding now is that if totalcontrol of the space is retained by the institution, it doesn’t have a leaseaspect.
Based on existing information and discussions by the Executive Committee,licensing requests from the last meeting that were deferred were brought backfor consideration.One of those, fromGardner-Web, has been withdrawn.Onbehalf of the Committee on Academic Affairs, a motion (Chinnes) was made, seconded (Byerly) and carried to approve the initial requests from CentralMichigan University and High Tech Institute.Both requests were thoroughly reviewed and discussed at the lastmeeting.
The Committee on Academic Affairs requested input from the fullCommission as to what additional action, if any, it would like to take withrespect to making changes to current statutes or regulations.
Dr. Barton recommended that staff complete the study it has alreadybegun, which is a 50-state review of what other states do in this area andsecondly that the Chair of the Committee on Academic Affairs appoint a taskforce that would have representatives from both Academic Affairs and Finance tostudy this issue and take a detailed look at it and bring back recommendationsfor what changes need to be made, either in legislation or policy.
Ms. Harvin suggested that all standing committees are affected by thisissue and Ms. Chinnes suggested that Ms. Harvin represent the Finance Committeeand that she and Dr. Harry Lightsey of the Committee on Academic Affairs serveas co-chairs.A member of each of thestanding committees will be appointed to serve on the task force which willmeet and send recommendations back to the Committee on Academic Affairs.The staff shall continue their work on thestudy in progress.This was stated asthe motion (Chinnes).It was seconded (Ms. Harvin) and carried.
3.03 Report of the Committee on Access, Equity
& StudentServices-Ms. Sue Cole
Presentationof the Mercury Award, Special Public Relations Programs
The Wordsmith, Inc.
Ms. Cole announced thepresentation of the Mercury Award, which was presented to the Commission and tothe GEAR UP Program by Mary Eady of The Wordsmith, Inc.The award recognizes the quality of theSouth Carolina GEAR UP Program.
3.04Committee on Finance and Facilities-Mr. Daniel Ravenel
Ms. Byerly began by thanking all financeofficers of the institutions for allowing her toparticipate in their retreat.Many of the issues on the agenda today were discussed.
She alsobrought to the Commission the idea (coming from the finance officers) of havingsome of the college presidents, some of the finance officers, and perhaps theExecutiveCommittee or other members of the Commission, confer on the totalpicture of theneeds of the statehigher education institutions; and the idea of approaching key business leadersthroughout the State to approach members of the General Assembly, reinforcinghow vital higher education is to economic development in our State.Hopefully this will be discussed with theCommission Executive committee.
A. Consideration ofPlan 2003 – The Funding Plan for FY 2003 for Colleges and Universities (ATT III)
A $150 million increase was presented to the General Assembly last yearand that same amount is being requested this year, consisting of threecomponents: 1) $90 million for performance funding, 2) $30 million fortechnology infrastructure, and 3) $30 million to fund the Research InvestmentFund. On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Ravenel) and carried to adopt Plan 2003.
B. Consideration ofBelow-the Line Items
Projects presented are not covered by the MRR.Requests are received from the institutions; they are reviewedand analyzed by staff as to whether or not they reach eligibility requirementsand guidelines.Attachment IV is a revised summary of the items for review.Recommendations are presented and voted on individually.
Staff Recommended, and since Committee approval, Committee now recommends that:
1. No additionalrequests from the institutions be considered since budget requests frominstitutions include research, technology, and deferred maintenance funding;and since the Commission’s budget includes funding on behalf of theinstitutions for these items.(Items 4,5, 11, 12, 18, 19, 20, 21 and 23)*
On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Chinnes) and carried to approverecommendations as stated.
2. The eight itemsapproved from last year be approved.(Items 1, 3, 7, 13, 25, 26, 27, and 28)*
On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Harvin) and carried to approverecommendations as stated.
3. Item 23*, theonly new item recommended by staff be approved.
On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Ravenel) and carried to approverecommendations as stated.
4. For allrecurring and non-recurring items requesting an increase, the amount equivalentto the Higher Education Price Index (HEPI) be approved.(Items 2, 6, 8, 9, 10, 14, 15, 16, 17, and24)*
On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Harvin) and carried to approverecommendations as stated.
*Please refer to ATT IV where all items arelisted by correspondingnumber
C. Consideration ofExceptional Capital Projects
Attachment V lists theCapital Projects requests.In 1998 apolicy was adopted to allow for requests of priority projects from institutionswhen there was no bond bill.There are137 projects totaling approximately $819.4 million.Staff recommendations were discussed among the finance officersand the Committee on Finance and Facilities. “In light of the significantamounts remaining to be funded, staff/Committee proposes that no new projectsbe submitted or considered for 2002-2003 ECP.We understand that these projects have not been adjusted forinflationary increases that have occurred since the initial approval.… If institutional priorities have changed,an institution may remove a project from the list, or substitute a new projectin lieu of an existing approved project on the list.…”On behalf of theCommittee on Finance and Facilities, a motion (Byerly) was made, seconded (Cole) and carried to accept the recommendation as fully statedin Attachment V.
D. Consideration ofCHE Budget Requests for 2002-2003
First priority is the Statewide Higher Education Statewide Library.The budget request is for a total of$117,194,100.Dr. Barton mentioned thatall of these are from previous years that have been funded or ones that wererequested last year, with the exception of the funding for two FTEs forimplementation of the lottery program.That was also requested last year but not funded.It’s essentially last year’s budget resubmitted.On behalf of the Committee, a motion (Byerly) was made, seconded (Ravenel) and carried to approve thebudget request (ATT VI).
E. Consideration ofInterim Capital Projects
On behalf of the Committee on Finance and Facilities, a motion (Byerly) was made, seconded (Olsen) and carried to approve theInterim Capital Projects as presented in Attachment VII.
F.InformationItem:Status of InstitutionalLife-Safety Plans
This item requires no action on the part of the Commissionand is for informationonly. The full report on the Life-Safety Plans are Attachment VIII.
3.05Report of Committee onPlanning, Assessment
and Performance Funding- Gen. Tom Olsen
A. Consideration ofstaff recommendations for Indicator 2D, Compensation of Faculty,
standards applicable in Performance Year 2001-02 to Impact FY 2003-04(Year 6)
This recommendation to finalize standards for 2D after further study ofdata used in developing recommendations initially reviewed by the Committee inJuly, as outlined in AttachmentIX.On behalf of the Committee on Planning, Assessment &Performance Funding, a motion (Olsen) was made, seconded (Harvin), and carried to approve the recommendation as fullystated in Attachment IX.
B. Consideration ofstaff recommendations for implementing indicators 6A/B, 7A,
and 9A as defined for MUSC
Gen. Olsen explained that indicator 6A/B is designed to assess theentrance requirements for entering graduate students; indicator 7A is designedto assess the completion rate of graduate students in all programs except PhD;and indicator 9A is designed to assess MUSC’s grant expenditures as related toimproving the health of pre-kindergarten- up to grade 12-age children.On behalf of the Committee on Planning,Assessment and Performance Funding, a motion was made, seconded, and carried to approve the recommendation as fullystated in Attachment IX.
C. InformationItem:Briefing on the draft StrategicPlan for Higher Education in South
Dr. Smith was asked to explain the draftdocument of the Strategic Plan for Higher Education in South Carolina includedin the supporting documents.He statedthat this was still a draft document, which had been in progress since lastspring.There is a Planning AdvisoryCouncil with representation from the different sectors, from the Budget andControl Board, and also from the State Department of Education, that has beenworking on this draft.The intentionwas to update the Strategic Plan for Higher Education in South Carolina and todo it in a way that reflects the overall broad agenda that encompasses theaspirations of the different institutions and the different sectors, bothpublic and private.The intention is tomove this forward while additional input is solicited and to have it be placedon the table as one of the items that would be up for discussion at the BoardChairman’s retreat in October at Coastal Carolina University.Any changes or adjustments would then comeback to the Planning and Assessment Committee before being forwarded to thefull Commission.The full draftdocument is Attachment X.
4.Report of the Executive Director Rayburn Barton
¨ Dr. Bartonannounced that a reception for Dr. Smith would be immediately following thismeeting and everyone was invited.
¨ With regard tothe Miles to Go: South Carolina project with the Southern EducationFoundation.They have had a change inleadership and this has set the timeline back.We have received a working draft of the report on South Carolina.Our task force will begin meeting again thismonth to review that report and will have, at the December meeting, the finalproduct of this work with the Southern Education Foundation.
Presentation:There was a presentation on the College NetElectronic Applications by Robert Barkley, Director of Admissions, ClemsonUniversity and Don Burkhard, Director of Admissions, College of Charleston.
Dr. Barton explained that thisprocess allowed a student in this state to apply simultaneously to 12institutions.
Adjournment:There being no further business, the meeting wasadjourned at 11:45 a.m.
Betsy R. Gunter