Notes from July 1998 Regents Meeting

Notes from the July 24, 1998, Regents meeting in Tesuque, NM

PRESENT:

Ann Murphy Daily
Bill Gruner
Sid Gutierrez
Randy Horn
Bob Taylor

EMPLOYEE BENEFIT TRUST

The regents were briefed on the state of the Tech Employee Benefit Trust. While revenue for the 1997-98 fiscal year remained flat, expenditures were up about $300,000. Employee forums will be conducted soon to determine if rates should be increased or benefits decreased.

ENROLLMENT

Tech President Dan López reported that the number of students who have paid a deposit (which is the best indicator of who will enroll) is up 11 percent from last year.

EDUCATIONAL OUTREACH

A master's degree program in computer science with an emphasis on software engineering has been set in place for employees of Sandia National Laboratories. Sixteen Sandia employees will attend classes half time and may earn an M.S. in Computer Science. Classes, taught by Tech professors, will be held in Albuquerque. More than 150 Sandia employees applied for the program.

STUDENT FICA/MEDICARE EXEMPTION

The board approved a change in policy to allow students working between semesters to be exempt from paying FICA/Medicare. Students may not work for more than 20 hours per week during the semester but may work up to 40 hours per week between semesters and still qualify for the exemption. The policy change is in response to a change in IRS regulations.

REVENUE BOND ISSUE

The regents approved issuing a $6 million revenue bond to:

Refinance the approximately $3 million in existing bonds (Current interest rates are lower than being paid on these bonds.)
Build the IRIS facility (about $2 million)
Build a new residence hall (about $1 million)

New Mexico Tech has earned a Triple A rating for revenue bonds.

WATER RIGHTS ACQUISITION

The board discussed acquiring additional water rights for the institute. Tech currently owns about 1,400 acre-feet of water rights and can own as many as 4,200. The institute currently is negotiating for the purchase of an additional 600 acre-feet. The regents authorized the development of a sinking fund to cover the purchase of additional water rights when they become available. The board will receive regular reports on the status of the sinking fund.

INDUSTRIAL ADVISORY COMMITTEE REPORT

López announced that the Industrial Advisory Committee has submitted its report, which he called "fairly critical, but constructive."

CAPITAL IMPROVEMENTS

The regents supported a resolution endorsing the 1998 General Obligation Bond. The bond, which will be on the November ballot, includes funding to finish the addition to Jones Hall, begin the remodeling of Weir and Cramer halls, and upgrade infrastructure.

The regents approved the priority list for capital outlay projects to be presented to the 1999 state legislature. The priority list includes:

$2.8 million to finish remodeling Weir and Cramer halls
$4.5 million to construct a Student Services building (An additional $4.5 million would be raised through a revenue bond.)
$3.4 million to upgrade infrastructure
$500,000 to begin planning for a new physical recreation facility
$2.5 million for projects to bring New Mexico Tech into ADA compliance

FINANCIAL MATTERS

The regents ratified two telephone polls: 1) remodeling of South Hall and 2) purchase of a nuclear magnetic resonance spectrometer for the chemistry department.

The board was briefed on the purchase of a laser interferometer for EMRTC. The instrument will be used to measure the movement of glass in windows in response to an explosive blast as a basis for modifying windows. The project is part of the counter-terrorist program at EMRTC.

The regents approved the Langmuir Lab budget for using proceeds from the Langmuir endowment. The funds will be used to support personnel, provide upkeep, and improve facilities.

López announced that Tech's investment portfolio had "performed superbly," with an almost 23 percent rate of return in the last fiscal year.

Vice President Denny Peterson briefed the regents on the preliminary year-end financial report. Peterson stated the institute is in a "strong financial position."

PERSONNEL MATTERS

Dr. Virgil Lueth was granted tenure at the Bureau of Mines and Mineral Resources.
Dr. Laurel Goodwin will be on sabbatical leave from January to December 1999.
Dr. John Wilson has been designated Associate Chair of the Earth and Environmental Science Department. The department requested the appointment to provide continuity in leadership.

COUNCIL OF PRESIDENTS

López will continue as president of the Council of Presidents, which is made up of the presidents of all six New Mexico four-year universities. This year, the council will focus on encouraging collaborative efforts between New Mexico's national labs and the universities and developing accountability measures for the universities. -NMT-

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Last updated: 1998/07/27 21:12:07,