Draft Minutes

Tuesday, April 5, 2005

11:30am – 4:00pm

On-site, Juneau and by audioconference

1. Call to Order and Roll Call

Members present:

Lisa Sporleder, Chair; President, Statewide Administration Assembly; Chair, System Governance Council

Jeri Cary, Vice President, UAS Staff Council

Rita Fuller, President, UAS Staff Council (by audioconference)

Julie Gillispie, Vice President, Statewide Administration Assembly

Bob Kizer, Vice President, UAA APT Council for Mel Kalkowski, President, UAA APT Council

Maya Salgonek, President-elect, UAF Staff Council

Kimberly Stanford, President, UAA Classified Council

Josh Steadman, President, UAF Staff Council

Others present:

Jenifer Sandonato, Member, UAS Staff Council

Jana Ring, Member, UAS Staff Council, Ketchikan

Pat Ivey, Executive Officer, System Governance

Hans Gunderson, Admin. Coordinator, System Governance

Pete Kelly, Director, State Relations

2. Adopt Agenda

MOTION: moved by Steadman, seconded by Stanford, passed without objection

“The Staff Alliance moves to adopt the agenda for the April 5, 2005 meeting. This action is effective April 5, 2005.”

3. Approve March 8, 2005 Minutes

http://gov.alaska.edu/Staff/minutes/2005/03-08.html

MOTION: moved by Stanford, seconded by Gillispie, passed without objection

“The Staff Alliance moves to approve the minutes of the March 8, 2005 meeting. This action is effective April 5, 2005.”

4 Chair’s report – Lisa Sporleder

Here we are in Juneau. A year ago, our job was easy. All we had to do was say “Thank You for taking care of the university and thank you for doing it early in the session.” That was then. This is now. While “thank you” is still an important message to give to our legislators, and one we need to remember to give whenever we speak with them, a lot of haggling over the budget remains to be done during this year’s legislative session. We are here to show a united front and spread the message about the university, not just as UA staff, but as people from the education community as a whole. The university is only as good as its faculty, staff and students. And we need a strong K-12 system to give us strong students.

There will be a lot of discussion on retirement issues, and the outcome will affect the university greatly next year. If no money comes forth for PERS/TRS increases, the money will be taken from other areas of the university. The increases must be paid, and not receiving the funding to cover it doesn’t rid us of that liability. We need to show that UA as a whole truly is an economic engine for the state of Alaska. They asked us to be accountable for the money they have given us. We have developed methods to do just that. And we will continue.

In an effort to lead the way in accountability for retirement expenses, Jim Johnsen has told me the University plans to have legislation introduced that would allow UA to create its own Tier 4 retirement plan, one that would allow the university to develop and implement a plan over the course of the next year. Pat distributed to all of you the memo Jim gave me last week. The legislature may come up with a plan of its own. They may not. The University plans to keep moving forward regardless.

It remains to be seen how the drama unfolds in the next month. We will need to keep our eyes, ears, and minds open. If we do that job well, when we open our mouths, intelligent thoughts will come out that show we are advocates of a great institution, and one that must stay strong to help keep the State of Alaska strong into the future.

5. Public Comments

There were no public comments.

6. Staff Governance Reports - SW, UAS, UAA, UAF

SW - The Statewide Administration Assembly is getting ready to do its elections, sponsoring the March of Dimes Heart Walk, and selected nominees for outstanding employee awards for 2005 which will be presented at the annual statewide employee luncheon April 25 in Fairbanks and April 26 in Anchorage.

UAS – The UAS Staff Council met and selected the Make Students Count nominees from UAS. The Council now has a budget of $5,000.

UAA - The UAA Assembly had updates on several candidate searches, and Vice Chancellor for Student Affairs Linda Lizzell gave a report on Student Services and has designated one person to be responsible for students from recruitment through graduation. The Chancellor is sponsoring a bureaucracy-busting campaign. There was a sustainability workshop at UAA with presenters from Washington and Texas. The Assembly is working on creating a speakers bureau and working on getting speakers for events. May 11 is staff development day at UAA. The UAA Classified Council hasn’t met since the last Alliance meeting.

UAF - The Council’s promotion of the Make Students Count Award at UAF yielded a good number of UAF candidates. The Staff Council will participate in UAF Day, an annual community event. This year, the event is going to be in North Pole on April 16^th. The Governance Coordinating Committee is working on starting date for the UAF academic calendar. The Committee has, in the past, has approved the calendar. The ITS merger is coming along and the groups were shown a draft organization chart. The final will be shown to the chancellor and the president. The question is, are we moving to one IT system university wide. Sporleder responded that there will be some standardization systemwide. The Council also had a leadership retreat facilitated by the UAF leadership coordinator.

7. Governance Regulation – Admin/BoR Recommendations

http://gov.alaska.edu/staff/2005-03-03.governancereg-admin.pdf

MOTION: passed without objection

“The Staff Alliance moves to accept the changes made by administration and approve the governance regulations as amended in the March 30, 2005 document. This action is effective April 5, 2005.”

8. Employee Relations

8.1 Benefits Update

Mike Humphrey reported open enrollment is coming in April and to be on the lookout for that. All the people who have opted out will need to refill out the opt out form, which is available online. Steadman asked if it was clear on the form that employees who opt out were informed on the form that they need to reapply for the opt out provision each year? Humphrey said he will change the form to include clear language on the form.

The numbers of claims went up significantly.

The out-of-pocket maximum for the deluxe plan pharmacy plan has gone up from $100 to $500.

All of the Unions have voted to join the UA Choice plan. This will have some moderating effects with the now larger pool.

Lisa asked about the health savings accounts. Humphrey said the Feds have finally worked out the language on the health savings account. This is something the university can now look into.

8.2 PERS-TRS Deficit

NEW: March 30, 2005

Memo from Jim Johnsen regarding retirement

http://gov.alaska.edu/staff/2005-03-28.JJmemo-retirement.pdf

Retirement boards urge caution
http://www.news-miner.com/Stories/0,1413,113~7244~2789379,00.html

Retirement week

http://www.news-miner.com/Stories/0,1413,113~7252~2787573,00.html

Kelly touts PERS/TRS debt solutions

http://www.news-miner.com/Stories/0,1413,113~7244~2787579,00.html

HISTORICAL:

Bills

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=hb191

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=HB177

http://www.legis.state.ak.us/PDF/24/Bills/HB0177A.PDF

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=HB170

http://www.legis.state.ak.us/PDF/24/Bills/HB0170A.PDF

FAQS from Division of Retirement and Benefits

http://www.state.ak.us/local/akpages/ADMIN/drb/tierproject/tierprojectfaqs.shtml

PERS/TRS Investment Assumptions - Mercer

http://www.state.ak.us/local/akpages/ADMIN/drb/tierproject/question_responses_housestateaffairs.pdf

The shift in retirement plans is more towards a defined contribution plan. One proposal is to establish a 4^th tier of PERS and 3^rd of TRS, which will only will only affect new employees. Once locked in the program, an employee will not be affected by new tiers. Representative Mike Kelly has three pieces of legislation. One is to change to a defined contribution plan, one is to increase the employee contribution, and one which will reorganize the TRS and PERS boards. The University wants to stay competitive in hiring and retention through legislation that would allow the university to offer employees an optional retirement plan, more like a 401K. The bill has not been yet submitted. Sporleder asked if that goes into effect will new employees be able to choose. Humphrey responded that those details have not been worked out.

8.3 Verification of Student Status for Health Care Coverage for University

Employee Dependents

http://gov.alaska.edu/staff/2005-02-08.dependent-verification.html

The form is now out on the web but he is still working on verification forms.

8.5 Other issues

The Wellness project a work-in-progress between Blue Cross and Summex. The university is asking for Summex to back the process if the numbers projection is not met.

9. Advocacy

9.1 Make Students Count Awards update

http://gov.alaska.edu/staff/

Packets are on their way in to Pat Ivey who collects them for President Hamilton.

It was recommended that the name of the award be changed from the Make Students Count award to Staff Make Students Count Award. This is because there was at least one submission for a faculty member.

MOTION: passed without objection.

“The Staff Alliance moves to recommend to President Hamilton that the name of the Make Students Count award be changed to the Staff Make Students Count award. This action, if approved by President Hamilton, would take effect in 2006.”

9.2 Operating and Capital Budget Overview

BREAKING NEWS MARCH 30

http://gov.alaska.edu/2005-03-30.UAOpBud-Cut.html

Draft CS for HB 67

http://www.legfin.state.ak.us/

REGENTS REQUEST

http://www.alaska.edu/swbudget/budget_planning/index.xml

Bills and OMB info

http://www.gov.state.ak.us/omb/06_OMB/budget/index.htm

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=HB66

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=HB67

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=HB68

http://www.legis.state.ak.us/basis/get_bill.asp?session=24&bill=SB46

Joe Beedle gave a comprehensive rundown on the status of the operating and capital budget.

10. Common Start Date; Effects on Staff

http://gov.alaska.edu/faculty/2005-02-04.sac-trans.html

Maya Salganek indicated that the change in start date places a considerable burden on staff at UAF and contracts would have to be adjusted. UAA staff are mostly 12-month employees so this would burden them less. The Staff Alliance requested that Craig Dorman come to the next meeting of the Staff Alliance and explain the move.

11. Agenda items for next meeting, Tuesday, May 10, 2005

Agenda items may include, but may not be limited to

- Department of Labor Audit – Jim Johnsen

- Common Start Date – Craig Dorman

- Mediation Project – Mike Hostina

- Staff/supervisor training recommendations

- UA Health Plan numbers – Mike Humphrey

12. Other items of interest

The staff person in the UAA governance office has not been replaced and there is some concern about the future of the UAA governance office.

13. Comments

There were no additional comments.

14. Adjourn

The meeting was adjourned at approximately 4:00pm.