University of Minnesota, Morris
Campus Resources and Planning Committee

October 3, 2003

Members Present:    Bryan Herrmann, Arne Kildegaard, Lowell Rasmussen, Joe Halvarson, Ken Hodgson, Maddy Maxeiner,
                                    Andy Lopez, Kevin Ely, LeAnn Dean, Carol McCannon, Ferolyn Angell, Mike Sullivan, Tammy Faux, Mark Fohl

Guests:                       Jim Mootz, Sandy Olson-Loy, Sam Schuman

(In these minutes:  Update on budget, Update on Campaign Minnesota, and Update on Enrollment)

Lopez welcomed Mark Fohl to the committee.  The next CRPC meeting will be Friday, October 24 in the Behmler Conference Room.  The agenda will include:  Retention Report, Faculty Salaries, and other items.

Minutes of September 12, 2003 and September 19, 2003 approved on a motion by Herrmann, second by Hodgson.

Update on Budget

Schuman reported that we should know in a week or two how we'll end up with the budget.  We know what our tuition will be but we're not sure how much money we've saved yet. He added that the budget situation is pretty much what we were afraid it would be.  There are a couple of things that could pull it down; for example, our enrollment is down from 1910 last year to 1861 at this time.  Gary Strei does have about $150,000 in tuition reserves but that will not be enough.  The Twin Cities seems to have withdrawn more for the University fee than we thought they should have and Schuman has pointed out that discrepancy.   In addition, the IRS tax has also increased.  It is clear to Schuman that the Budget Task Force will need to reconvene to recommend the additional $750,000 in cuts for 2004-05.  Obviously, this is not good news, but it is not unexpected.  He would like CRPC to appoint three members to serve on the Budget Task Force.   He would echo what President Bruininks said at the State of the University address last week:  our message clearly needs to get to the political powers that be, you cannot cut the University by 15% and expect that money to be found elsewhere or cut additional programs.  Schuman added that what we need to do is two-fold:  to do the best we can to maintain our institutional goal under those circumstances and persuade our legislative leaders that public funding has to be better.  Schuman was reluctant to say explicitly what the charge would be to the Budget Task Force at this time as he's only seen a preliminary draft of the compact.   Lopez asked how many people have already lost their jobs.  Schuman said four positions were eliminated in Plant Services by non-replacements and early retirements; we no longer have a Relocation Coordinator; at the end of this year the Director of Residential Life position will no longer exist; at the end of this year funding for the wrestling coach position and operating expense will cease; two faculty positions have been eliminated at the end of this year; and, at the end of next year, we will no longer have a director of Academic Advising.  Hodgson asked there would be any savings from the wrestling coach position when we hire a swimming coach.  Schuman said hopefully the savings will be around $55,000.  Schuman added that the university is moving forward with the conversion of its fiscal management system and he guesses our Enterprise tax will also increase.  Lopez asked what current searches were underway.  Schuman said the Vice Chancellor for Enrollment, the Associate Development Officer (not funded out of UMM funds) and the Assistant Director of Residential Life to be filled in January.

Update on Campaign Minnesota

Maxeiner reported on the campaign as outlined below.

Campaign Minnesota Facts

All University of Minnesota campaign: A Defining Moment 7/01/1996 ­ 6/30/03 --
Public Kick Off, 10/99

UM Goal:          $1.3 billion
UMM Goal:      $6 million

UM Final Total:          $1.66 billion <127%>
UMM Final Total:      $9.6 million <160%>
* includes >$1 million from private agencies and foundations brought in by UMM Grants office during same time period, which counted toward Campaign goal

UMM Campaign Statistics

4,597 donors
    92 donors at $10,000 or above
    23 donors at $100,000 or above

Scholarships:                             $3.6 million
Academic Program support:  $2.5 million
Faculty and Staff support:       $1.4 million
Capital:                                       $986,630
Strategic Initiatives:                  $512,000
Research, Outreach:                 $486,274

Endowment gifts:                     $5,951,960
Expendable gifts:                      $3,641,416

New Bequests:                          $2,926,189
Gifts, pledges:                           $6,667,187

Campaign Impact

UMM endowment funds increased 314% ($3,749,479 7/30/03, UMF)
Average yearly giving to UMM increased by 400% (from $246,151 to $1,224,812)
Presidents Club members doubled.
Scholarship funds, dollars for scholarships and awards, tripled.

UMM Gift Highlights

Created a Rural Students Scholarship Fund, launched with gifts, pledges, and testamentary commitments of over $1.3 million (includes deferred gifts)

Funded UMM's first endowed professorship, the UMM Distinguished Visiting Professorship in the Liberal Arts, with $1 million contributed through gifts and matching funds from the Permanent University Fund endowment.

In partnership with our community and the legislature, built a $5 million Regional  Fitness Center which is supported in part by continued yearly giving to the RFC "Partnership" Fund.  Private dollars contributed $700,000 of this $5 million project.

Received LaFave House, a social center for meetings and activities.

What's Next?    Priorities for continuing our fundraising success

1. Major gifts momentum:  Focus on special projects
        Big Idea
       Capital plans
2. Major gifts momentum:  Focus on planned giving
        Tax law changes
        Allied professionals
3. Stewardship of top n=92 UMM Campaign MN major gifts donors
4. New major gift prospects: Annual giving; Prospect research; Ideological affinity

Angell wondered if there was anyway some of the money could be used to help us with the budget problem.  Maxeiner said most of the money is designated for specific uses, very little is for discretionary use.  Hodgson wondered if there was some way we could adopt an area like Fergus Falls or Alexandria because extremely wealthy people are moving into our area and we should draw them closer to us.  Schuman said we have been making an effort to do that by developing a good relationship with Fergus Falls Community College and Alexandria Technical College.   As more and more families are moving to area lakes, we need to make it clear we're the college in their back yard.  Schuman added that one thing that could benefit us 50 years from now is if recent graduates start giving, even in tiny amounts. so they get in the habit of giving.

Update on Enrollment

Mootz reported that our current enrollment for fall semester is1861.  Last year at this time we had 1910 students so we're down 49 students.  He added that enrollment is everyone's business and his office will continue to do what they can.   He can't answer what happened on why we're down  but he would rather go forward then try to figure out what went wrong.  He has promised Schuman they will work hard and he wishes this committee could have watched the Admissions office work because they have really gone the extra mile.   What can you do to help?  Mootz said they really need support in rolling out the red carpet for our visitors.  The target for next year is 490 to 495 students, his personal target is 500.  We also need to become more transfer friendly.  He added the quality of our students remains very good with an average ACT of 26; HSR in the 78-79 percentile.  We did not open the floodgates just to bring bodies in to meet any number goals.   McCannon said we spent a lot of years chasing transfers away and it will take time to get that back again.

Other items

Lopez asked the committee to think about representatives to the Budget Task Force.  He also asked the committee to look at the U of MN website.  His concern is that coordinate campuses are listed under "other."