Employee Forum Provost/Vice Chancellor Meeting

January 8, 2009

Attendees:  Mary Campbell, Odessa Davis, Brenda Denzler, Marshall Dietz, Carolyn Elfland, Tommy Griffin, James Holman, Brenda Malone, Dick Mann, Aluoch Ooro, Jackie Overton, Ron Strauss

              Chair Tommy Griffin opened the meeting.  Attendees discussed cost overruns on buildings and ways to avoid them.  Carolyn Elfland said that much of the cost savings are found in the design of the building in the first place.  She said that building designers historically “cheap out” on the HVAC systems in new buildings.  The University always has the option not to accept a building if it is not constructed to specifications.  She said that many new contractors have not done work for the State but are available due to the poor economy.  Brenda Denzler commented that the Hooker building was particularly deficient.  Elfland noted that Price Waterhouse had received positive compliments for their work.  Mary Campbell said that her office had occupied the Chapman building recently with generally positive results.

              Brenda Malone noted that the administration was meeting a deadline to submit plans to  deal with 3, 5, or 7% cuts.  Ron Strauss commented that the University was expecting substantial cuts.  He noted that the University becomes more critical to the State in hard times. 

              The question arose as to whether the University would undergo furloughs.  Malone said that there is no statutory prohibition against furloughs.  General Administration had cautioned that all campus universities were in this struggle together.  Staff, faculty and students are facing difficulties all at once.  Strauss said that the University was not yet at the point where it was close to implementing furloughs, and he said that North Carolina was not among the worst states affected by the economy.  He noted that the University of Florida is facing 18-22% budget cuts.  California is also facing big changes.  North Carolina benefits from a diversified economy that grows more slowly but also does not drop as quickly as other states. 

              Ron Strauss said that the deans would meet to discuss the laws that govern layoff situations.  Brenda Denzler asked for the qualitative documents surrounding the layoff process, saying that she had not yet received a response to her previous queries.  Strauss said that the administration could not yet go into specific cuts but that he would provide the information he could.  Carolyn Elfland said that Raleigh would use these responses to figure out where the pain would be the greatest and so where the cuts would not take place.  Strauss also said that the North Carolina must fix its Health Plan.  He said that tuition increases were also a possibility, although the University did not want to place too much pressure on its students.  Elfland said that the Obama stimulus package was a big wild card.  Dick Mann said that much depends on the amount of tax revenue collected April 15.  Strauss noted that some private universities had seen their endowments drop around 30% in value.  Marshall Dietz said that states must begin to see providing health care for their citizens as a positive that cannot be outsourced to private corporations. 

              Brenda Denzler asked what would be the timetable for health care plan changes.  Carolyn Elfland said that the Legislature would try to finish the changes in time for the fall open enrollment.  Brenda Malone expected an adjustment to premium coverage. Dick Mann expected adjustments to copayments and deductibles.

                                                  Respectfully submitted, Matt Banks, Recording Secretary