Meeting Minutes
Budget and Finance University Policy Committee
Meeting Minutes: January 26, 2004
Members Present:
William Laird
Tassos Malliaris
Brian Welsch
Cindy Gonya
David Schweickart
John Frendreis
Larry Fortuna
Marge Beane
Tim McGuriman
Wayne Magdziarz
Tom Kelly
Bill Laird reported that the P & L project is in progress and will
be reviewed by this committee at a future meeting.
Tim McGuriman advised that the changes to contract policy were
presently on hold. Contracts currently require a VP signature followed by
finance and legal review. The goal is to equip the Purchasing manager with
a standard general contract to alleviate legal review. Certain vendors with
have been asked to use a purchase order in lieu of a contract while policy
change is pending.
Fringe Benefits
Bill reported the FY '05
benefit rate is expected to be 29.5% of the salary budget. The goal is to
eventually lower the rate to 26%.
Tuition Benefit
Tom Kelly presented a revised tuition benefit policy, as drafted by the Benefits UPC,
and reviewed by the Faculty and Staff UPCs.
The addition of a waiting period is a core element of the tuition
benefit being changed.
A flat fee structure, rather than an hourly charge is being
considered for full and part time students. Larry Fortuna suggested
employees pay a round figure percentage of tuition for spouses and children
(i.e. 85%) as it would be easier to calculate than a processing fee.
Programs excluded from the tuition benefit will be at the Provost's
discretion.
Pete suggested allowing the MSW, Ph.D. and Thesis supervision
programs under the benefit with a retention requirement, i.e. employees
would be required to maintain employment with LUC for 2 years after
completion of a masters degree and 3 years after completion of a Ph.D.
Class limits will be 2 classes per semester or 1 per quarter.
Policy needs to specify how tuition benefit calculated and applied
after FAFSA and Financial Aid calculated. Larry will calculate a financial
aid benefit package for the current and proposed tuition benefit to include
as examples once the policy is published.
Tom will include Larry's financial aid scenarios and send out a
redlined version to this committee.
Retirement Update
Tom Kelly reported that the Board of Trustees passed resolutions at
the December 2003 meeting to freeze the LUERP benefit and change to a
defined contribution plan.
The change in plans will require a distributable event where
employees will have the option to rollover the employer contributed portion
or opt for a taxed payout. Employee contributions will automatically
rollover. Employees with five or more years in the LUERP plan are 100%
vested
HR is planning a four piece communication plan.
Future Committee Meetings
Three meetings spaced three weeks apart will be scheduled.