MEMBERS PRESENT:

Bernie Goldstein	Chair, Provost & Chief Academic Officer
Remy Heng	Student Representative
Garrett Palmer	Student Representative
Cindy Chong	Student Representative
Armand Sanchez	Student Representative
Sue Foley	Staff Representative
Rick Luttmann	Faculty Representative
Sam Brannen	Faculty Representative

MEMBERS ABSENT:

David Wight

Student Representative

STAFF PRESENT:

Larry Furukawa-Schlereth	Committee Staff, Chief Financial Officer
Katie Pierce	Committee Staff, Academic Affairs Budget Officer

GUESTS PRESENT:

Jason Spencer	Representative of Student Union Board
Nate Johnson	Chief, University Police
(For Agenda Items IV & V)

MEETING AGENDA

I. Approval of Agenda

II. Approval of Minutes of December 6, 2001

III. Athletics Budget Review-Larry Furukawa-Schlereth

IV. User Fee Proposal -Fingerprinting

V. Penalty Fee Proposals-Fraudulent Parking Decal and Vehicle Towing

VI. Extended Education Fees for Spring 2002

VII. Adjourn

MATERIALS DISTRIBUTED

Precirculated:

1. Agenda for 02/14/02
2. Minutes of 12/06/01
3. Fee Advisory Committee Contact List
4. Fee Advisory Committee Meeting Schedule-Spring 2002
5. Fee Proposals-Police and Parking
6. Extended Education Fees for Spring 2002

Bernie Goldstein convened the meeting at 5:20pm, pizza and beverages were served. As the meeting opened Remy Heng informed Chair Goldstein that David Wight has resigned from the committee because his spring class schedule conflicted with FAC meeting times. Heng and Travis Tabares, Associated Students Vice President of University Affairs, are recruiting a new member.

I. APPROVAL OF THE AGENDA - Agenda was modified to include discussion of permanent IRA Funds as suggested by Rich Luttmann. It was Moved, Seconded and Passed to adopt the agenda as modified.

The agenda packet included a schedule of Spring 2002. A typographical error was noticed. The first meeting in May is May 2, not 12th as shown. A corrected list will be distributed at the next meeting. While the Committee reviewed the Spring 2002 meeting schedule, it was decided to cancel the next meeting (February 21, 2002).

II.APPROVALS OF MINUTES OF December 6, 2001- It was Moved, Seconded and Passed to approve minutes as presented.

III. Athletics Budget Review- Larry Furukawa-Schlereth, in response to the Committee's request at the last meeting, met with Bill Fusco and M. Bles to review the Athletics program budget. He reported to the FAC as follows:

Four components were discussed;
1. General Fund
2. IRA Program Allocation-primarily coaches salaries
3. Revenue-ticket sales
4. Fundraising

Assuming no departures of permanent staff and a typical level of expenditures, Athletics will close the year with a deficit of approximately $58,000. The deficit results from the expense of Fall '01 post-season play, anticipated cost of Spring'02 post-season competition as well as an unforeseen was an increase in required contributions to PERS, employee retirement system (est. $28,000). Furukawa-Schlereth does not believe it is realistic for Athletics to cover the anticipated deficit either through expenditure reduction or increased revenues.

He reported that if IRA does not fund the post-season travel the Vice President of Student Affairs most likely would have to request funding from the University Reserve which would be funded then by all other divisions.

The IRA reserves were projected to be just over $36,000. Spring enrollments will determine actual available amount and that will not be known until Spring census.

Cindy Chong stated, and Furukawa-Schlereth confirmed, that funding could be made available up to a ceiling amount on the condition that teams are invited to post-season play.

The committee Moved, Seconded and Passed (one opposed) to provided $28,000 to cover unexpected PERS expense and based on Spring enrollments determine how much more could be made available to support post-season play. The Committee generally agreed that it would be unwise to reduce reserves further until revenue from Spring enrollment is determined.

Furukawa-Schlereth will provide a report on IRA finances after Spring census.

IV. User Fee Proposal-Fingerprinting- Nate Johnson, Chief of University Police, introduced a proposal for a new fee for fingerprinting. On-campus finger print services are increasingly requested. The police department would like to respond to these requests and are prepared to do so because they recently received a new fingerprinting machine. Fingerprints are required for teaching credentials as well as Department of Justice positions. Providing services on campus would be a convenience to students, employees and potentially the off-campus community. Fifteen dollars is the customary fee among other agencies that provide this service. When fingerprints are required as a condition of employment on campus there would be no fee.

Since this is a user fee it does not require formal recommendation from the FAC. The fee of $15 was endorsed with no one speaking against it.

V. Penalty Fee Proposals

Towing Fee - Public safety plans to exercise the legal right to tow vehicles that have 5 or more parking tickets over 21 days past due as well as abandoned vehicles, which have become an increasing problem in campus lots. Chief Johnson desired consultation with the committee regarding plans to charge a $75 towing fee when vehicles are towed from campus. Johnson justified the fee citing real administrative expenses associated with towing. Owners of a towed car would be required to pay the towing fee as well as any outstanding parking tickets before reclaiming their vehicle. An alternative, which also has associated expenses, is "booting" the car. That however does not solve the abandonment or "long-term" infractions. Sam Brannen wondered, is it truly just a fee or is it a policy change and/or a punitive fine. Armand Sanchez questioned whether the fee would really reduce parking offenses.

Although views were not unanimous, there was a majority endorsement of the fee.

Fraudulent Decals - Until now fraudulent decal situations have been handled through student disciplinary action. Last year, Johnson consulted with representatives of student government about the increasing use of counterfeit parking decals and he now recommends a fine equivalent to the highest parking fee currently imposed ($275). Although displaying a counterfeit permit is a criminal act Johnson has determined that the District Attorney has no interest in prosecuting such infractions.

Brannen wondered if $275 would be a sufficient deterrent.

Infractions occur in all parking areas including general, reserved and residence hall lots.

The committee endorsed the institution of this fine but suggested that a rate higher than $275 be considered.

VI. Extended Education Fees for Spring 2002 - The Spring Extended Education fees were presented to the committee for information. There were no changes from the Fall semester and the list of fees was received with out questions.

VII. Discussion of IRA Fees Designated as Permanent - Luttmann introduced the subject, stating that, although it is often said that some IRA programs have permanent funding, he wonders how that came to be and what controlling legal authority allows that allocation.

Furukawa-Schlereth presented a historic context. Before Fee Advisory Committee was established by Executive Order of the Chancellor there was an IRA Board which made fairly standard allocations of the small IRA fees. In 1995 students approved a referendum to substantially increase fees. The programs named in the referendum: Athletics, Library hours, Children's School and CPA. When the IRA board next met they were guided by the spirit of the referendum and decided to allocate most of the new money to the programs named on the ballot and throughout the campaign. Over time the long-term recipients of IRA funds have become institutionalized and rely heavily or entirely on IRA funds. Several years ago Furukawa-Schlereth suggested making permanent based budget for programs but the IRA Board did not agree.

Luttmann questioned again whether the commitment to provide permanent funding to four programs is legal or ethical?

Discussion led to funding for extended hours for the library. Is extended hours eligible under the Education Code. Furukawa-Schlereth said that administration struggled with strict definitions of IRA eligible program during the 1995 referendum campaign. The administrators deferred to students' wishes to assess themselves a fee to provide that library service.

Sanchez suggested tabling further discussion until the debate on IRA proposals.

Luttmann asked Katie Pierce about the minutes of July 1,1996. He had reviewed minutes from previous meetings and noted that the minutes of Aug. 13, 1996 refer to the July meeting for which minutes were not available. Pierce promised to look into it and report at the next meeting.

Chair Goldstein adjourned the meeting at 7:00pm

Minutes respectfully submitted by
Katie Pierce, Academic Affairs Budget Officer