Minutes of February 6, 1997 Meeting


	The meeting convened at 2:35 p.m. in room 817 Cathedral of
Learning.

	UPBC members present were: Mary Ann Barber, Toni Carbo, James
Cassing, Jerome Cochran, Richard Colwell, James DeAngelis, Thomas Detre,
Brian Hart, James Maher, Josephine Olson, Richard Pratt, Arthur Ramicone,
Ellen Beam Rudy, Peter Shane, Alec Stewart, Brian Ulery, Susan Whitney,
and Philip Wion.  Also present were: Justin DalMolin, Ann Dykstra, Jeffrey
Liebmann, Jeffrey Masnick, William Madden, and Robert Pack.
	UPBC members not present were: Ingrid Glasco, Keith McDuffie,
Linda Messineo, Margaret Rechter, Jeffrey Romoff, Michael Stuckart, and
Bruce Williams.

Approval of Minutes

	The minutes of the January 23, 1997 UPBC meeting were approved.

Update on Governor's Proposed FY 1998 Commonwealth Budget

	Dykstra reported that the Governor's proposed Commonwealth budget
for FY 1998 includes a 2% increase in general appropriations for public
institutions of higher education, including the University.  She added
that a 7% increase in funding for the Pennsylvania Higher Education
Assistance Agency (PHEAA) is also recommended.  Dykstra explained that the
Governor's budget would reduce Commonwealth funding of state-aided
institutions of higher education by 20% in FY 1998.  The 20% cut was not
recommended for the University of Pennsylvania, which is seeking to target
its Commonwealth support to its Veterinary school, the only one of its
kind in Pennsylvania.
	In discussing the emphases in the Governor's budget, Dykstra
explained that job training is a heavy focus and that continued support
for the Link-to-Learn initiative is included in the proposed budget.  The
latter represented the only increase in funding to public higher education
recommended by the Governor for FY 1997.  She cited recommended 2%
increases in line item funding for the School of Medicine, Western
Psychiatric Institute and Clinic, Services for Teens at Risk, the Dental
Clinic, the Center for Public Health Practice, Rural Education Outreach,
and the recruitment and retention of disadvantaged students.  Funding for
the Cleft Palate-Craniofacial Center and the University of Pittsburgh
Cancer Institute was recommended to remain at FY 1997 levels.  The
Governor did not recommend continued line item funding for the Pittsburgh
Supercomputing Center and the Pennsylvania Ethnic Heritage Center.

Update on the Revenue and Cost Attribution Methodology and Study

	Wion distributed sample pages of the draft FY 1996 Revenue and
Cost Attribution Methodology and Study, which should be completed by late
February.  He explained the proposed changes in the report, including
reporting revenues from the Commonwealth appropriation as a subvention
offsetting unit deficits, rather than using a formula to attribute the
funds to units.  Shane expressed concerns about the methodology, including
the importance of benchmarking revenue production with other schools,
analyzing differences among schools of restricted versus unrestricted
funds, and the method of allocating graduate credit production.  Maher
cited the need to understand the nature of University centers, which house
much of the research of the University, particularly for the Faculty of
Arts and Sciences.

	The meeting adjourned at 3:38 p.m.