President's Budget Advisory Committee

Minutes September 17, 1999

Members Present

Staff Present

Members Absent

Guests Present

Meeting Agenda

APPROVAL OF THE AGENDA

Bernie Goldstein brought the meeting to order at 8:12AM and asked for a motion to approve the Agenda. A motion was made by Gloria Ogg. A second was obtained by Bill Barnier. The Agenda was approved unanimously. Since this was the first meeting of the academic year, no minutes were presented for approval.

CAMPUS FINANCIAL AFFAIRS

Goldstein asked to speak on the consultation process undertaken over the past few months. Goldstein said during the Provost search process we knew what the budget impact would be and all candidates were told of the challenge. As Goldstein was selected for Provost, he met numerous times over the summer with Andy Merrifield and Steve Orlick to discuss the budget and associated planning parameters. Since then, many changes have taken place. One-third of the staff in the Academic Affairs administration have been reassigned. Goldstein is working with Larry Schlereth to centralize some administrative tasks to take it off the schools hands. Due to input from various parties, adjustments have been made to the budget through last week. Goldstein feels the consultative process was extensive and a good one. Schlereth said he echoed Goldstein's comments. Schlereth added, consultation from the Spring was extensive through the PBAC, VPBAC, and CRC and many broad suggestions were made, however no specifics were identified. Schlereth understood once the Provost had been selected, they would work out the budget details based on the parameters they had been given from the consultation process. Each division was to present a plan for their division to present to the President and PBAC in late July. Work was not complete, though progress was made through August. On September 7th, a plan was presented to the President who expressed his concern that the cuts presented in Academic Affairs would hit the schools too hard. He then gave Schlereth twenty-four hours to develop a plan with Goldstein. This plan was developed and presented to the Academic Senate and Extended Cabinet. Schlereth would like to examine the consultative process because, in his opinion, only one year has he been happy with the process. Schlereth said since most folks have already seen the Campus Financial Affairs document, he will only review the revisions, which have been bolded. Schlereth presented the Campus Financial affairs document. (Please see 9/17/99 Agenda Packet for this document).

Barnier asked if alternate funding had been found for the University Scholars program yet. Jim Meyer said alternate funding had not yet been secured, though some prospects have been identified.

Schlereth indicated that the reserve has been brought to $0, however all divisions have been asked to not bring any items to the reserve. Schlereth added, the library's move to the Schulz Center needs to be added to the "other division based financial requirements" section.

Barnier asked why other campuses are not having the financial problems we are. Schlereth responded that many of the other campuses are dealing with the some of the same issues, however they don't have the consultation process we have, hence aren't aware of the issues. For instance, many campuses are still unaware of the full impact of CMS. Schlereth continued, many campuses have seen growth, and with growth comes more money which pays for some of these issues. Many campuses sweep and centralize year-end money which pays for some of these issues. Finally, our campus has not reached an economy of scale which other campuses have achieved. Barnier asked that one-time money we get from the Chancellor's Office become more steady and stable. He asked Schlereth and Goldstein to ask the President if this could be done. Schlereth said he agrees but is not optimistic about making the one-time money permanent because the money would have to come from other campuses.

Schlereth expressed that he would like all redeployed staff to be successful in their new positions and asked Joaquin Sanchez to develop a plan to do this. Further, an outside facilitator has been contacted to help with the process. Schlereth outlined the next steps on the campus Financial Plan and asked for consultation and advice on how to do this.
Ogg said she believes too much time is spent on consulting, leaving not enough time to react to the eventual plan when it is developed. She feels more time should be allocated to the latter.

Andy Merrifield asked what exactly is a structural deficit. Schlereth responded that a structural deficit is money that was taken from the base in the mid-nineties which was never replaced, rising costs passed to us from the Chancellor's Office, and new costs which arise over the year. Some of the deficit is on-going, some is new.

Schlereth feels an academic plan is needed to develop an appropriate financial plan. Goldstein said that plans are underway to develop a plan and he is facilitating the process.

Schlereth said he assumes the past financial parameters should be used in the future and asked the Committee if this is correct. No objections were raised. Schlereth then added he will endeavor to create a plan to address the problems on page 13 of the Campus Financial Plan. Schlereth explained his role as CFO and explained he does not get into the academic program issues, however if Academic Affairs has a list of needs, such as instructional equipment, it is brought to the CFO which allocates money for the list. He would not determine where on the list the money is spent.

Barnier stated there is still a lot of confusion regarding land acquisition and could something be done to communicate better. Schlereth indicated a letter had already been sent out regarding land acquisition and it was discussed in many committees which had representatives on it from many areas of the University community. He added that only so much could be done to try to communicate issues.

Merrifield suggested the planning parameters be adjusted to reflect the actions already adopted. For instance, the reduction of expenditures in the Provost's office had taken place. Schlereth added that it may be useful to look at the parameters at the October meeting. Further, Schlereth needs some guidance on the priority or essentiality of items on the needs lists.

Schlereth asked the Members to review the meeting schedule.

Goldstein adjourned the meeting at 9:58 a.m.


PBAC minutes 1999-2000
Updated 2007-12-14
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