Minutes of May 9, 2002 Meeting



	The meeting convened at 2:00 p.m. in room 817 Cathedral of 
Learning.

	UPBC members present were:  Tammeka Beattie, Clifford Brubaker, 
Frank Cassell, Jerome Cochran, Richard Colwell, N. John Cooper, Christine 
Dollaghan, Gerald Holder, Arthur Levine, James Maher, Barbara Mowery, 
Richard Pratt, Arthur Ramicone, Christopher Riegel, Debora Rougeux, 
Michael Stuckart, Kevin Washo, Philip Wion, and Stephen Wisniewski.  Also 
present were: Jeffrey Liebmann and Robert Pack.
	UPBC members not present were: Mary Ann Barber, James Cassing, 
Attilio Favorini, Christopher Happ, Evelyn Talbott, and Thomas Wolf.

Approval of the Minutes and Report of the Chair

	The minutes of the March 14 and April 22 meetings were approved.  
Provost Maher distributed an analysis of faculty salaries by academic 
discipline compared with those at public Association of American 
Universities (AAU) institutions.  He expressed concern about those units 
facing heavy competition for salaries and the inability of existing market 
funds to address their needs.

Discussion of FY 2003 Planning and Budgeting Parameters

	Holder reported that the Parameters Subcommittee is concerned 
about a number of issues that will affect budgets beyond FY 2003, 
including: limits to tuition increases; maintaining the quality of 
education; the renegotiation of the University's health insurance 
contract; and the need to maintain competitive faculty salaries.  Holder 
then presented the Committee's recommendations for budget parameters for 
FY 2003, including:

-- a 2.0% reduction in Educational and General budget in response to 
the projected 5.0% decrease in the Commonwealth appropriation;
-- a 3.0% compensation increase (1.0% cost of living, 1.0% unit 
merit/market/equity, and 1.0% Senior Vice Chancellor merit/market/equity), 
as well as an additional $1.6 million for faculty and staff salary market 
funds;
-- $3.7 million for new academic initiatives;
-- a 12% tuition rate increase (and a matching 12% increase in 
financial aid); and
-- an additional $500,000 for library acquisitions.

	Wion asked for clarification as to why the two pools of 
compensation funds, which together equate to a 3.5% increase, were being 
presented separately.  Cochran responded that the $1.6 million derives 
from the proposed 2.0% cut in Educational and General budgets, and that 
the former will not be available without implementation of the latter.  He 
also stated that the $1.6 million will only be available to academic 
units.  Cooper added that the 3.0% increase applies to most faculty and 
staff, while the $1.6 million does not, since it targets market-related 
increases.
	Wion moved to approve the FY 2003 parameters, combining the entire 
$3.7 million that were in academic initiatives and the separate, 
centrally-held salary pool of $1.6 million into a new $5.3 million 
academic initiatives total (some or all of which could be used for 
compensation) and leave it to the Chancellor to decide how to distribute 
these funds among the major areas of the University.  The 3.0% salary pool 
would be delegated 1.5% for cost of living/maintenance of real salary, 
1.0% for merit/market/equity at the school level, and 0.5% for 
centrally-held market/equity to be distributed as needed among units.  
Cooper seconded.  The motion was approved unanimously.

	The meeting adjourned at 2:45 p.m.