Minutes of June 15, 1998 Meeting


	The meeting convened at 2:05 p.m. in room 817 Cathedral of
Learning.

	UPBC members present were: Mary Ann Barber, Richard Colwell,
Thomas Detre, Ingrid Glasco, Van Beck Hall, Brian Hart, Gordon MacLeod,
James Maher, Arthur Ramicone, Alec Stewart, Bruce Williams, and Philip
Wion.  Also present were: Jeffrey Liebmann, Jeffrey Masnick, and Carol
Neuner.
	UPBC members not present were: Toni Carbo, James Cassing, Jerome
Cochran, Joel Cornfeld, Josephine Olson, Richard Pratt, Margaret Rechter,
Ellen Beam Rudy, Peter Shane, Michael Stuckart, Alyson Wallach, and Susan
Whitney.

Approval of the Minutes and Report of the Chair

	The minutes of the May 21, 1998 UPBC meeting were approved.  Maher
reported that the Chancellor sent a FY 1999 budget recommendation to the
Budget Committee of the Board of Trustees that was very similar to that
forwarded by the UPBC.

Planning and Budgeting in the Health Sciences

	Masnick summarized recent organizational changes in the Health
Sciences, including the incorporation of the former UPMC-Division under
the Senior Vice Chancellor for the Health Sciences and the elimination of
the Senior Vice Chancellor for Health Administration position.  He added
that the new Senior Vice Chancellor for the Health Sciences would be
assuming the position in November 1998.  Masnick explained that the
long-range plans for each of the Health Sciences units have been updated
and reviewed by the Senior Vice Chancellor Planning and Budgeting
Committee.  Major new programs to be pursued include the M.D./Ph.D.
program, a doctoral program in Immunology, and an M.S. in Nursing.  He
also summarized recent rankings of the University in research funding.
	Detre added to the discussion of research funding rankings,
explaining that with the addition of Magee Womens' and Childrens Hospital
next year, the University may be ranked in the top ten.  He emphasized the
importance of the new role the Senior Vice Chancellor for the Health
Sciences will play, pointing out factors such as input into faculty
recruitments and the exploration of all potential collaborative
opportunities.  In response to questions on funding support and health
insurance, Detre asserted that the concept of managed care is defunct.  He
explained that managed care systems managed costs, not care.  As a result,
such systems were able to show reduced costs in early years by reducing
the quality of care and shifting costs to families.

Matters Arising

	Hart explained that the Staff Association Council is discussing a
recommendation to the Chancellor that the 3% salary increase be
distributed as 2% cost of living and 1% for merit, with no market or
equity adjustments.  He explained that the rationale was that the current
performance appraisal system was incapable of providing adequate criteria
upon which to base merit increases, citing that merit increases for staff
are nonexistent in some areas of the University.

	The meeting adjourned at 2:55 p.m.