>> NORTH CAROLINA CHANNEL IS MADE POSSIBLE BY FINANCIAL CONTRIBUTIONS BY VIEWERS LIKE YOU WHO SUPPORT THE UNC-TV NETWORK.

♪ ♪ >> I WOULD LIKE TO CALL TODAY'S MEETING TO ORDER.

THANK YOU FOR JOINING IN PERSON AND BY ZOOM CONFERENCE.

WE HAD A FULL MEETING YESTERDAY AND A FULL AGENDA TODAY.

BEFORE OPENING COMMENTS, I WOULD LIKE TO THANK THE SYSTEM OFFICE STAFF AND BOARD FOR ALL OF THE WORK YOU PUT FORWARD FOR MEETINGS.

I KNOW WHAT AN EFFORT IT IS, BUT IT'S IMPORTANT TO NORTH CAROLINA UNIVERSITY AND WE APPRECIATE YOUR EFFORTS.

WE HAVE INCLUDED A REIMBURSEMENT MEMO TO PAY OR REIMBURSE TRAVEL EXPENSES INCURRED FOR MEMBERS OF THE BOARD WHILE ON OFFICIAL TRAVEL FOR THE BOARD OF GOVERNORS.

PLEASE USE THE MEMO AS A GUIDE.

IF YOU HAVE QUESTIONS, MISS MCCULLUM CAN ASSIST YOU.

WE ARE USING THE OPEN MEETINGS ACT THAT ALLOW FOR PUBLIC BODIES TO MEET BY WAY OF TELECONFERENCE.

THE LAW REQUIRES WE TAKE ALL VOTVOTES BY HAND RAISE WHICH WEL DO TODAY.

I'LL ASK ALL BOARD MEMBERS AND STAFF TO IDENTIFY YOURSELF BEFORE DELIBERATIONS INCLUDING MAKING MOTIONS, PROPOSING AMENDMENTS AND RAISING POINTS OF ORDER.

FINALLY, I'LL ASK THE COMMITTEE CHAIRS TO GIVE A REPORT FROM THE PODIUM AND ALL BOARD MEMBERS FOR PARTICIPATING AND DELIBERATIONS.

I'LL CALL ON GOVERNOR HOLMES TO GIVE OUR INVOCATION.

>> THANK YOU, MR. CHAIRMAN.

LET'S PRAY.

HEAVENLY FATHER, WE ARE HUMBLED TO BE BEFORE YOU TODAY REPRESENTING THIS GREAT INSTITUTION.

WE ASK YOU TO GRANT US THE PATIENCE, THE ABILITY TO BE OPENMINDED THE GIFT OF THOUGHTFULNESS AND WISDOM TO FACILITATE THE UNIVERSITY OF THIS GREAT STATE.

WE ASK FOR YOUR GRACE ON STUDENTS, FACULTY, STAFF AS THEY RETURN TO CAMPUS FOR THE SPRING SEMESTER.

WE ASK FOR YOUR BLESSINGS FOR THOSE SUFFERING FROM THE CORONAVIRUS.

ADDITIONALLY, WE ASK FOR YOUR BLESSINGS FOR ALL OF THE FIRST RESPONDERS, TEACHERS AND COUNTLESS OTHERS SERVING DURING THESE TRYING TIMES.

WE ASK FOR ALL OF THESE THINGS IN YOUR SON'S NAME.

>> AMEN.

THANK YOU, GOVERNOR HOLMES.

I'LL CALL ON MISS MCCULLUM FOR ROLL CALL.

[ROLL CALL ] >> YOU HAVE A QUORUM.

>> THANK YOU, MISS MCCULLUM.

STATE ETHIC'S ACT TOOK PLACE JANUARY 1ST ALL BOARD OF GOVERNORS ARE UNDER THIS ACT.

LOOKING AT THE DAY'S MEETING, DOES ANYONE HAVE A CONFLICT OR APPEARANCE OF CONFLICT?

IF SO, LET ME KNOW NOW.

HEARING NONE, I'LL CALL ON PRESIDENT HANS FOR THE PRESIDENT'S REPORT.

>> THANK YOU, MR. CHAIRMAN.

MEMBERS OF THE BOARD, WELCOME TO THE NEW YEAR, WHICH SO FAR LOOKS LIKE THE OLD YEAR, BUT AS I HAVE SAID TO ALL FACULTY AND STAFF OVER THE LAST FEW WEEKS, WE HAVE REASON FOR A HOPEFUL START TO THE SPRING SEMESTER.

WE HAVE BEEN THROUGH DIFFICULT MONTHS AND SEVERAL MORE MAY LIE AHEAD.

I BELIEVE WE'LL END 2021 IN A BETTER PLACE THAN WE ARE STARTING.

THAT WILL HAPPEN IN NO SMALL MEASURE TO THE DEDICATION OF THE PEOPLE WHO WORK IN PUBLIC EDUCATION.

I'LL TAKE EVERY OPPORTUNITY I CAN TO REMIND PEOPLE THAT THE VACCINES AND TREATMENT THAT HOLD SO MUCH PROMISE FOR BRINGING US BACK TO A MORE NORMAL LIFE HAVE THEIR ROOTS CONDUCTED IN RESEARCH SOME IN OUR OWN STATE.

THE RESEARCH HAS BEEN CRUCIAL IN BRINGING THE END OF THE PANDEMIC INTO SITE.

UNC HEALTH HAS VACCINATED MORE THAN 41,000 PEOPLE SO FAR AND WE ARE MOVING QUICKLY NOW TO OPEN COMMUNITY CLINICS AT CAMPUSES ACROSS THE STATE.

WESTERN CALIFORNIA, A & T AND PEMBROKE WILL BE AMONG THE FIRST TO OPEN PUBLIC CLINICS BETWEEN A COLLABORATION BETWEEN THE UNC SYSTEM, MANAGEMENT AND DHHS.

WITH OTHER INSTITUTIONS OFFERING VACCINES IN PARTNERSHIP WITH LOCAL HEALTH SYSTEMS AND IN ACCORDANCE WITH DHHS'S GUIDANCE.

UNC CHAPEL HILL IS OPERATING A SUCCESSFUL CLINIC NEARBY IN PARTNERSHIP WITH UNC HEALTH.

UNC ASHEVILLE IS PARTNERING WITH MAHAK.

THIS EFFORT IS A HEAVY AND COMPLICATED LIFT FOR OUR CAMPUSES, PARTICULARLY COMING AT A TIME THEY WELCOME STUDENTS BACK, BUT IT'S A REMINDER THAT OUR CAMPUSES ARE THERE AS A RESOURCE FOR THE WHOLE STATE.

I WANT TO THANK ALL OF THE PEOPLE IN THE SYSTEM WORKING OVER TIME TO STAND UP THE VACCINATION SITES.

WE ARE DOING EVERYTHING IN OUR POWER TO BRING THIS AWFUL PANDEMIC TO AN END.

AT THE SAME TIME, WE ARE CONTINUING TO BRING OUR CORE PROMISE TO THE STUDENTS AND CITIZENS OF NORTH CAROLINA BY PREPARING THE NEXT GENERATION.

MUCH LIKE THE START OF FALL, THE SPRING SEMESTER WILL SEE CAMPUSES TAKING PRECAUTIONS.

SOME WILL START ONLINE FOR A BRIEF TIME.

SOME WITH A MIX OF ONLINE AND IN-PERSON LEARNING.

ACROSS THE STATE WE ARE APPLYING THE LESS ORONS OF THE FALL, KEEG DISTANCED WEARING MASKS AND ENFORCING PUBLIC HEALTH GUIDELINES.

MOST UNIVERSITIES WERE ABLE TO KEEP INFECTIONS LOW.

IN SOME CASES, SIGNIFICANTLY LOWER THAN THE SURROUNDING REGION.

THROUGHOUT THE FALL SEMESTER, AND REGARDLESS WHETHER THEY WERE ONLINE OR KEPT A MIX OF CLASSES, THE F FACULTY AT OUR SCHOOL KEPT STUDENT ON TRACK.

THIS IS THE TOUGHEST YEAR I HOPE ANY OF US EVER SEE.

WHAT HAPPENS MATTERS A GREAT DEAL TO THE PEOPLE OF OUR STATE AND THE PEOPLE WE SERVE.

TO ALL OF THE STUDENTS KEEPING FOCUSED THROUGH THE CIRCUMSTANCES, THANK YOU.

I KNOW THIS ISN'T THE YEAR THAT YOU WANTED, THAT ANY OF US WANTED, BUT I'M SO PROUD OF WHAT SO MANY OF YOU ARE ACCOMPLISHING.

ONE OF THE MOST IMPORTANT REASONS FOR THE UNIVERSITY TO MAINTAIN VITAL SERVICES THROUGH THIS DIFFICULT YEAR IS EQUITY.

GIVING ALL OF OUR STUDENTS A FAIR SHOT AT SUCCESS.

WE KNOW FROM DECADES OF RESEARCH THAT STUDENTS MOST AT RISK FROM DISRUPTION TO HOUSING, COUNSELING, REGULAR COURSEWORK ARE LOW INCOME MINORITY STUDENTS WHO BENEFIT MOST FROM THE LIFE-CHANGING OPPORTUNITIES OF HIGHER EDUCATION.

OUR MISSION IS TO SERVE THE PEOPLE OF NORTH CAROLINA, ALL OF THE PEOPLE OF NORTH CAROLINA.

THAT MEANS PUTTING QUESTIONS ABOUT EQUITY FRONT AND CENTER IN OUR DECISION MAKING.

IN JUNE, WE LAUNCHED AN EQUITY TASK FORCE WITH A MANDATE TO ADDRESS LONG STANDING DISPARITIES.

I ENCOURAGE EVERYTHING IN THE SYSTEM TO READ IT.

THE WORK OF A BRIGHTER AND MORE INCLUSIVE FUTURE BELONGS TO US ALL.

THE UNIVERSITY OF THE PEOPLE CAN'T MEET ITS MISSION WITHOUT WELCOMING, SUPPORTING AND CELEBRATING EVERYONE.

I SEE MANY ALIGNED WITH THE STRATEGIC PLANS, PUSHED TO IMPROVE ACCESS, REDUCE STUDENT DEBT AND RAISE GRADUATION RATES FOR UNDER SERVED STUDENTS.

AND TO STRENGTHEN HBCUS AND OTHER MINORITY SERVING INSTITUTIONS, AN IMPORTANT GOAL OF THIS BOARD.

THE EFFORTS OF SAFETY, LITERACY, MENTAL HEALTH SERVICES, ELEVATING TALENT WITHIN THE UNC SYSTEM, THEY ALL SUPPORT THE RECOMMENDATIONS.

THE STAKES OF OUR EFFORT GO WELL BEYOND THE UNIVERSITY ITSELF.

WE ARE THE TRAINING GROUND FOR DOCTORS, BUSINESS PEOPLE, CIVIC LEADERS AND ON AND ON AND ALL ACROSS SOCIETY, PEOPLE RECOGNIZE A DISTRIBUTION OF FAIRER INFLUENCE AND OPPORTUNITY.

IF WE ARE TO SUCCEED ANYWHERE, WE HAVE TO SUCCEED HERE.

AS THE TASK FORCE NOTES, WE REMAIN A LONG WAY FROM WHERE WE NEED TO BE NOW.

IT'S TRUE THE FACULTY STUDENTS AND OCCASIONALLY THE LEADERSHIP OF THE UNIVERSITY HAVE TAKEN BRAVE STANDS FOR JUSTICE AND ADVANCED A RIGHTEOUS CAUSE EVEN IN DIFFICULT MOMENTS.

THAT OUGHT TO INSPIRE US NOW.

WE ARE LIVING THROUGH A TIME OF DEEP DISTRUST FROM CHURCHES TO COMPANIES TO COLLEGES.

THERE IS A LOT OF SCEPTICISM ABOUT WHETHER BIG INSTITUTIONS CAN BE ALLIES FOR A BETTER AND FAIRER WORLD.

I PROMISE YOU, THIS ONE CAN BE AND WILL BE.

THANK YOU TO THE MEMBERS OF THIS TASK FORCE, PARTICULARLY GOVERNOR HOLLY AND MANY THOUSANDS OF PEOPLE ACROSS THE SYSTEM WHO GAVE GOOD THOUGHTS AND GOODWILL TO ADVANCE THE WORK, MUCH MORE TO BE DONE.

FINALLY, THE PROGRAM APPROVAL PROCESS.

THIS DOESN'T LIMIT THE ABILITY TO PROPOSE NEW PROGRAMS.

THERE WILL BE MANY HIGHLY RELEVANT ONES.

WE HAVE ALWAYS EVOLVED TO MEET MARKET NEEDS AND PURSUE EMERGING FIELDS OF KNOWLEDGE, BUT IT CREATES A DISCIPLINED PROCESS FOR REVIEWING THE PROPOSALS AND ASKING YOU TO TAKE ACTION.

WE HAVE THE OBLIGATION THAT ALL WE DO IS IN SERVICE TO STUDENTS AND NEVER LET INSTITUTIONAL NEEDS CLOUD OUR COMMITMENT TO THE STUDENT'S PROFESSIONAL AND FINANCIAL WELL BEING.

IT'S WELL AND PROPER TO HEAR THE PUBLIC CASE FOR EVERY NEW PROGRAM YOU CONSIDER.

HOW WILL IT SERVE THE PEOPLE OF NORTH CAROLINA?

HOW WILL IT LEAVE THE STUDENTS AND CITIZENS OF THE STATE BETTER OFF TOMORROW THAN THEY ARE TODAY?

THESE SOUND LIKE STRAIGHTFORWARD QUESTIONS, BUT THEY GET COMPLICATED QUICKLY.

A DEGREE PROGRAM MAY BE A GREAT FIT FOR ONE STUDENT BUT A BAD BET FOR ANOTHER.

A NEW CERTIFICATE MAY MAKE EMINENT SENSE AT ONE UNIVERSITY IN A GIVEN REGION, BUT NOT FOUR.

THAT'S WHY THESE THINGS MERIT CLOSER SCRUTINY.

WE MUST APPLY A PUBLIC INTEREST STANDARD TO ANY PROGRAM THAT SEEKS A PUBLIC UNIVERSITY STANFORD APPROVAL.

I THANK THE MEMBERS OF THE BOARD FOR THEIR SERVICE AND THEIR SUPPORT.

>> THANK YOU, PRESIDENT HANS.

WE APPRECIATE YOUR COMMENTS TODAY AND THEY RING TRUE WITH ALL OF US.

WE'LL NOW CONSIDER THE CONSENT AGENDA ITEMS LISTED AS ITEM FOUR ON THE AGENDA.

ARE THERE ANY ITEMS MEMBERS WOULD LIKE TO REMOVE FOR DISCUSSION?

HEARING NONE, I WOULD ENTERTAIN A MOTION TO APPROVE THE ADMINISTRATION ACTION BY CONSENT?

WE HAVE A MOTION AND PROPERLY SECONDED.

I'LL ASK MISS MCCULLUM TO TAKE THE ROL ROLL AND RECORD THE VOT.

[ROLL-CALL VOTE ] >> THANK YOU, MISS MCCUCULLUM.

I'LL NOW CALL ON GOVERNOR HOLMES FOR THE REPORT OF THE COMMITTEE ON BUDGET FINANCE.

>> MEMBERS OF THE BOARD, DURING A MEETING ON BUDGET AND FINANCE YESTERDAY WE HAD A ROBUST CONVERSATION ON FEE FOR NORTH CAROLINA STATE, AND OTHER MEMBERS OF THE COUNCIL OF STUDENT BODY PRESIDENTS WITHIN THE SYSTEM.

THIS WAS A PRODUCTIVE CONVERSATION.

WE WERE GLAD TO HOST THAT.

SENIOR VICE PRESIDENT GAVE A PREVIEW OF THE 20-21 FEE PROPOSALS CONSIDERED FOR A VOTE IN FEBRUARY.

THE COMMITTEE HAD A GREAT CONVERSATION AND WILL ASK THE FULL BOARD TO APPROVE THE PROPOSALS AND SEND ANY QUESTIONS YOU HAVE TO ME DIRECTLY TO ALLOW THE SYSTEM OFFICE TO TAKE A DEEPER DIVE WITH THE INSTITUTIONS TO PROVIDE ANSWERS TO BE PREPARED IN FEBRUARY.

I'LL MAKE NOTE THAT SHE PUT OUT A GREAT SUMMARY BOOK.

IF ANY BOARD MEMBER WANTS IT, THEY'LL BE MORE THAN HAPPY TO PULL THAT TOGETHER.

IT'S A TON OF INFORMATION.

WITH RESPECT TO QUESTIONS, WELCOME THEM ALL.

SEND THEM AND WHAT WE WANT TO DO IS BE SURE TO GET THEM IN A LOGICAL ORDER AND SCHEDULE THEM WITH THE APPROPRIATE CONVERSATIONS IN AN ORGANIZED MANNER.

MISS HAYGOOD LED A DISCUSSION ON CAMPUS SECURITY FEE.

LAW ENFORCEMENT SALARIES, TRAINING AND COMMITMENT AND APPROVED A MOTION TO INCREASE 30 TO 60 SUBJECT TO A 3% CAP AND DIRECTED STAFF TO INCLUDE THIS TO BE VOTED ON IN FEBRUARY.

WE'LL DISCUSS THE FEE, THE PARAMETERS BY WHICH IT CAN BE USED, ALLOCATIONS AND DISTRIBUTION THAT COMES FROM THE SYSTEM OFFICE IN A COUPLE OF WEEKS.

IT'S AN OFF CYCLE MEETING TO BE SCHEDULED.

WE'LL PUT THAT OUT.

WE WELCOME EVERYONE TO ATTEND.

WELCOME ALL THOUGHTS.

WE HAD A GREAT DISCUSSION AROUND THAT.

NEXT, MISS HAYGOOD REPORTED TO THE COMMITTEE ON THE GENERAL FUND Y UPDATE.

THE CONTROLLER HAS NOT RELEASED THE REPORT.

THE NOVEMBER REPORT WAS NOT PRESENTED IN DECEMBER.

SHE REPORTED THE REVENUES THROUGH NOVEMBER 20TH, 60.7 MILLION OR 3.6% ABOVE 2019 LEVELS AND GROWTH UP OVER E PRIOR LEVELS EXCEEDING APPROPRIATION EXPENDITURES THROUGH NOVEMBER 2020.

MISS HAYGOOD GAVE A BRIEF UPDATE OF THE FEDERAL STIMULUS PROVIDING 287,000,000 FOR INSTITUTIONS NOT INCLUDING THE PREVIOUS CARES ACT OR NEW FUNDING TO HFMI.

INSTITUTIONS RECEIVE APPROXIMATELY $198 MILLION IN INSTITUTION AID AND $90 MILLION FOR EMERGENCY STUDENT FINANCIAL AID.

THE COMMITTEE RECEIVED AN UPDATE ON 21-23 BUDGET PRIORITIES PRESENTED IN NOVEMBER AND REQUESTS OF ENROLLMENT FUNDING FOR INSTITUTIONS 23409 ORIGINALLY AVAILABLE.

ADDITIONAL INFORMATION ON FOUR OTHER PRIORITIES.

THE DETAILS ARE AVAILABLE FOR YOUR REVIEW.

>> THE COMMITTEE APPROVED THE ADMINISTRATIVE AND TRANSACTIONAL ITEMS.

>> Lyn: HAD ONE SELF-LIQUIDATING CAPITAL IMPROVEMENT PROJECT.

THE WALTON DRIVE FIELD AND FACILITIES IN THE AMOUNT OF 9.75 MILLION FUNDED THROUGH DEBT SERVICE FEES UPON APPROVAL BY THE BOARD.

THE PROJECT WILL BE SUBMITTED FOR LEGISLATIVE APPROVAL.

THEY WERE RENEGOTIATING THE BOND PACKAGES AND ALLOWED FOR ROOM WITHIN DEBT SERVICE.

THERE WAS NO NET INCREASE USING THE SAME CAPACITY.

COMMITTEE APPROVED AUTHORIZATION FOR ONE NEW CAPITAL IMPROVEMENT PROJECT FOR DUDLEY HALL, $1 MILLION TO BE.

IT WILL BE LENGTHY IN FEBRUARY, ON TASK FOR THE PRICING, AND APAFFORDABILITY.

WE HAVE WORKED HARD AND JENNIFER AND HER TEAM HAVE DONE YEOMAN'S WORK CREATING AN OPEN TUITION AND FEE PROCESS.

WE HAVE TAKEN AS DEEP A DIVE AS WE HAVE EVER TAKEN.

IF YOU HAVE ANY QUESTIONS OR THOUGHTS, CONCERNS, STUFF YOU WANT TO BRING FORWARD, PLEASE DO SO.

WE WANT TO BE SURE WE VET THIS THOROUGHLY AS IT'S ONE OF THE MOST IMPORTANT DECISIONS WE MAKE.

I'M PROUD OF THE WORK WE HAVE DONE IN THE AREA OF TUITION AS WE REMAIN THE LOWEST IN ALL -- IN THE TOP CORE TILE AND LOWEST IN PEER GROUP, WE STUDY FEES, WE HAVE HAD PRESENTATIONS AND I FEEL WE ARE IN A GOOD SPOT.

IF YOU HAVE CONCERNS ABOUT THIS, BRING THEM UP OVER THE COURSE OF THE NEXT MONTH.

WE'LL BE VOTING IN FEBRUARY.

THANK YOU, MR. CHAIRMAN.

THAT CONCLUDES MY REPORT.

>> THANK GOVERNOR HOLMES.

ANYONE HAVE QUESTIONS?

GOVERNOR POPE?

>> CHAIRMAN HOLMES, ITEM A7 UPDATE FOR INFORMATION PURPOSES ONLY.

ARE WE GOING TO VOTE ON A FINAL BUDGET PRIORITY AT THE FEBRUARY MEETING?

>> I DON'T KNOW WHEN IT'S CALENDARED?

IS IT CALENDARED FOR FEBRUARY, JENNIFER?

I HAVEN'T LOOKED THAT FAR AHEAD.

I CAN'T TELL YOU.

>> WE WERE MOVING FORWARD ON THE PRIORITIES BASE ON YOUR VOTE IN NOVEMBER.

THE INFORMATION WE PROVIDED YESTERDAY IS A REFINEMENT OF THE PRIORITIES.

THERE WAS NOT A SUBSEQUENT VOTE PLANNED.

>> AT ANY TIME WE WANT TO ADDRESS CONCERNS, WE CAN PUT THAT ON THE AGENDA REQUEST.

IF THAT'S WHERE YOU ARE HEADED, WE ARE HAPPY TO DO IT.

>> NORTH CAROLINA CHAPEL HILL SENT OUT A FACULTY UPDATE WHERE THEY IDENTIFIED A STRUCTURAL DEBT OF $100 MILLION PLUS ANOTHER ONE TIME.

I WANT TO COMMEND THE STAFF FOR ADDRESSING THIS HEAD ON AND THEY ARE PROPOSING REDUCTIONS ACROSS 3%, 1.5% AND PERSONNEL OPERATING FUNDS.

I APPRECIATE THE INFORMATION.

WHEN IS THE BOARD OF GOVERNORS FULFILLING RESPONSIBILITY FOR UNIFIED BUDGET TO GET MORE INFORMATION?

>> A COUPLE OF COMMENTS AS YOU MAY RECALL IN THE LAST MEETING, MR. PRUITT UNDERTAKE AN EXERCISE IN THE RECURRING REVENUE AND EXPENSES TO LOOK AT THE CASH FLOW OF EACH UNIVERSITY.

THAT'S DUE IN FEBRUARY, THE SPRING BOARD FOR THE CONVERSATION.

THE DEVELOPMENT OF THE UNIFIED BUDGET IS ONGOING AT THIS POINT.

WE ARE TAKING STEPS TO GET THERE.

THE ANALYSIS I THINK WILL LEAD TO YOUR POINT WILL BE PRESENTED IN FEBRUARY.

RIGHT, JONATHAN?

>> FOLLOW UP QUESTION?

THE BASE BUDGET DEFINED BY STATUTE, MY UNDERSTANDING, HAS BEEN SUBMITTED TO THE STATE BUDGET AND MANAGEMENT.

WHEN IS THE BOARD OF GOVERNORS GOING TO BE PRESENTED THE FACE BUDGET TO REVIEW IT AND FULFILL OUR STATUTORY DUTIES AND RESULT A UNIFIED SINGLE CAUSE.

THE GENERAL ASSEMBLY IS TAKING IT UP.

WHEN WILL WE SEE IT AND ACT ON IT?

>> WE WON'T SEE IT BEFORE TUITION AND FEES.

IT'S SET FOR FEBRUARY.

JENNIFER, I ASSUME IT'S MARCH TO APRIL OR MAY?

>> IN THE DOCUMENT WE REVIEWED YESTERDAY INCLUDED THE BASE BUDGET NUMBER.

THAT NUMBER WOULD BE THE NUMBER THAT WOULD REFLECT THE BASE BUDGET GIVEN THE FACT THAT CAMPUSES HAVE COMPLETE MANAGEMENT FLEXIBILITY TO UTILIZE THEIR BASE BUDGET.

THIS BOARD HAS NOT TYPICALLY GOTTEN INTO THE DETAILS OF SPECIFIC LINE ITEMS WITHIN THE BUDGET.

>> SPEAKING ON THE ISSUE AS IN THE SITUATION, IT QUOTES A STATUTE THAT THE BOARD OF GOVERNORS IS TO DEVELOP, PREPARE AND GENERAL ASSEMBLY A SINGLE UNIFIED BUDGET FOR THE UNIVERSITY OF NORTH CAROLINA SYSTEM.

I HAVE NOT SEEN THAT IN THE SIX MONTHS I HAVE BEEN ON THE BOARD.

I WAS IN THE GENERAL ASSEMBLY IN 1989, THEN SENATOR DAUGHTRY ON THE SENATE SIDE.

WE ENACTED THE 1989 SESSION LAW CHAPTER 936 HOUSE BILL 235 PRIMARY SPONSOR, REPRESENTING GEORGE MILLER FROM DURHAM.

THIS IS THE START OF FLEXIBILITY TO THE CAMPUSES.

IT SAYS TO GIVE FLEXIBILITY TO THE CAMPUS LEVEL TO ACHIEVE BUDGET SAVINGS AND INCREASE EFFICIENCY OPERATIONS.

IT GOES ON TO REQUIRE THE CONSTITUENT INSTITUTION CONTINUE THE DATA BY DIRECTOR OF THE BUDGET.

THIS GIVES MANAGEMENT FLEXIBILITY.

IT DOESN'T RELIEVE THE BOARD OF GOVERNORS TO PREPARE A SINGLE UNIFIED BUDGET.

WE HAVEN'T DONE THAT.

I REALIZE WHAT THE UNC SYSTEM, PRESIDENT HANS INHERITED WHEN THEY CAME ABOARD, THAT WHAT CHAIRMAN HOLMES HAS BEEN DOING WITH PAST PRACTICES.

WE HAVE NOT FULFILLED OUR DUTY TO PREPARE IN A UNIFIED SINGLE BUDGET AND IT'S GETTING LATE IN YEARS.

I REQUEST WE STEP THAT UP TO DO THAT.

>> TAKE YOUR POINT.

APPRECIATE YOUR THOUGHTS AS ALWAYS.

WE'LL LOOK AT THAT PROCESS AFTER THE MEETING.

WE'LL FIRST FINISH THE TUITION AND FEES, THE BASE PLACE FOR ANY BUDGET TO BEGIN THE NEXT STEPS.

AS A CPA AND FORMER CFO, WE STARTED AT THE TOP TO DRIVE THE BOTTOM.

I'LL TAKE YOUR POINT AND ADD IT TO OUR LIST.

I THINK THE STEPS TO OPERATE DEFICITS IS A BIG STEP WE HAVE NOT UNDERTAKEN.

I TAKE YOUR POINT.

WE'LL DISCUSS THAT AFTER THE MEETING TO COME UP WITH A PROCESS THAT IS MEANINGFUL AND SSUBSTANTIVE.

I DON'T THINK THE BOARD WANTS TO GET TO THE INDIVIDUAL LINE ITEMS OF CAMPUS.

WE'LL TALK ABOUT THAT AS A BODY.

TAKE YOUR POINT.

WE'LL SEE WHERE WE CAN GO WITH A BUDGET REVIEW.

FAIR ENOUGH?

GO AHEAD, MARTY.

>> I WAS GOING TO SAY, I GREET WITH ART.

I THINK THERE IS A NEED FOR A DEEP DIVE.

I DID THIS IN 2014.

>> PUT OUT A GREAT BOOK.

>> PUT OUT A BOOK TO GO TO THE STATE AUDITOR TO GET THE NUMBERS AND COMPILE IT INTO ONE SPREADSHEET.

A SPREADSHEET OR NICER WOULD BE A DRILL DOWN SPREADSHEET LINKED TO THE CAMPUS BUDGET.

THE BUDGETS ALREADY EXIST.

IF WE -- IT'S NOT CREATING NEW WORK.

IT'S FORMATTING.

I HAD TWO INTERNS DO IT IN 2014, PART TIME IN TWO AND A HALF WEEKS.

I THINK WE CAN DO IT TOO.

ONCE WE HAVE IT, IT REQUIRES A DEEP DIVE AND REVIEW.

THAT'S PROBABLY MORE THAN OUR TYPICAL HOUR OR TWO FOR A MEETING.

THAT MIGHT BE A RETREAT OR SPECIAL SESSION TO DIG INTO IT.

>> WE HAVE BEEN WORKING HARD.

ONE THING I'M TRYING TO BE CONSCIOUS OF, WE ARE UNDERTAKING INITIATIVES THAT HAVE NOT BEEN TAKEN.

WE ARE TRYING TO FINISH THINGS IN INCREMENTAL STEPS.

IF THE BOARD WANTS TO TAKE A LOOK AT A DEEPER LEVEL AT THE BUDGET, CERTAINLY, WE'LL DO IT.

I RECALL THE GREAT BOOK.

IT WAS FANTASTIC.

WE'LL GET TOGETHER AFTER THE MEETING AND TALK ABOUT A PROCESS WHERE WE CAN TAKE A LOOK AT THE BUDGET.

I THINK YOU HAD ANOTHER COMMENT, ART?

>> RESPECTFULLY, WE HAVE NOT GOTTEN THE TOP LINE UNIFIED BUDGET.

THE BASE BUDGET FINE BY STATUTE SUBMITTED , DIDN'T GO THROUGH TE BOARD OF GOVERNORS.

THE STATUTES REQUIRE THE BUDGET THROUGH THE GENERAL ASSEMBLY.

WE HAVE NOT DONE ANYTHING.

>> I HAVE ACKNOWLEDGED YOUR POINT.

WE'LL PUT IT IN QUEUE AND WORK TO SEE THE PROCESS WE CAN GO THROUGH TO SATISFY THE WILL OF THE BOARD.

NO ISSUE.

GO AHEAD, STEVE.

>> I'M TRYING TO THINK HOW WE HAVE DONE THIS IN THE PAST.

I BELIEVE THE PRESIDENT, CHAIR OF THE BUDGET COMMITTEE PUT TOGETHER A PROPOSAL AND SUBMITTED IT TO THE BOARD AND WE VOTED ON IT THAT WAY.

IF I'M REMEMBERING CORRECTLY?

>> I'M TRYING TO REMEMBER.

I HAVE BEEN ON AND OFF THE BUDGET COMMITTEE FOR FIVE YEARS.

I DON'T REMEMBER SITTING DOWN.

I DON'T REMEMBER.

WE'LL LOOK AT WHAT WE HAVE DONE IN TIME'S PAST AND IF WE IMMEDNEED TOCOME UP WITH A PROCT BEFORE THE BOARD, I'M SURE WE CAN COME UP WITH A PROCESS.

I DON'T RECALL EVER -- I COULD BE WRONG, SOMEONE HELP ME -- GOING THROUGH TO VOTE ON THE BASE BUDGET.

WE MAY HAVE AND I DON'T REMEMBER IT.

ANYONE THAT WANTS TO CHIME IN, HELP.

JONATHAN, YOU WERE HERE WHEN WE WERE DOING A LOT OF THAT.

>> I'M BL BRAND NEW, BUT I HAVE LOOKED BACK AT THE MATERIALS THAT HAVE COME TO THE BOARD.

IN PREVIOUS MATERIALS INCLUDING THE BASE BUDGET IN TOTAL ON THE DOCUMENT CONSISTENT WITH WHAT YOU SAW IN THE DOCUMENTS THIS TIME AROUND.

I BELIEVE MR. POPE IS LOOKING FOR SOMETHING MORE DETAILED THAN THE BASE BUDGET IN TOTAL.

>> BE CLEAR, IF WE WANT TO ELEVATE THAT, I HAVE NO ISSUE.

WE'LL WORK ON IT AFTER THE MEETING IF THAT'S THE WILL OF THE BOARD.

HAPPY TO DO IT.

WE JUST VN HAVEN'T, TO JENNIFERS POINT, DONE THAT IN TIME'S PAST.

>> I THINK IT WOULD BE USEFUL TO HAVE A SESSION WHERE WE LEARN WHAT'S IN THE BUDGET.

>> FIRST OF ALL, WE WANT TO SATISFY STATUTORY OBLIGATIONS.

IF WE HAVEN'T BEEN DOING IT, WE'LL FIND A WAY, I ASSURE YOU.

I ASKED MR. PRUITT TO PUT TOGETHER A BUDGET TO MY KNOWLEDGE NEVER DONE.

WE'LL DISCUSS WHAT I BELIEVE WILL GIVE MORE TRANSPARENCY TO THE BUDGET AND FINALLY, TO THE UNIVERSITY.

OUR CAMPUS IS STRETCHED THIN RIGHT NOW.

I'M NOT GOING TO ASK THEM TO DO THINGS TO STOP THE CAMPUS FROM BEING ABLE TO OPEN OR SAFELY GIVE INSTRUCTION.

THAT SAID, I HEAR YOU LOUD AND CLEAR, GOVERNOR POPE.

I WOULD WELCOME HAVING A DISCUSSION ABOUT THIS AND COMING UP WITH A PROCESS MORE OF US UNDERSTAND AND ASSURE WE ARE AT OUR STATUTORY BEST.

WHEN I CAME ONBOARD AND MANY OF US CAME ON THE BOARD, GETTING A BUDGETARY PROCESS IS SOMETHING WE HAVE FOCUSED ON, INTERVIEWED WITH PRESIDENTIAL CANDIDATES AND PRESIDENT HANS, DISCUSSED AND IMPLEMENTED THROUGH MR. PRUITT.

WE ARE MAKING PROGRESS.

I'M SURE OUR CAMPUS WOULD AGREE WITH THAT AS WELL.

>> A FEW YEARS AGO WE DID WORK ON THE IDEA TO GATHER THE DATA IN A FORMAT.

>> I DON'T THINK WE WENT ANYWHERE WITH IT.

>> IT DOESN'T GO ANYWHERE, BUT THE COMMENT WAS THE DATA WASN'T LINING UP.

I >> MY UNDERSTANDING IS THAT THE WORK DONE IS TO PROVIDE A CONSOLIDATED LOOK AT THE CAMPUS FINANCIAL STATEMENTS BASED ON ACTUAL EXPENDITURES.

WE PRODUCE THAT ON AN ANNUAL BASIS.

THAT'S CALENDARED TO COME TO THE BOARD MANY MAY.

THAT'S THE MONTH IT CAME LAST YEAR.

THAT REFLECTS ACTUALS, NOT THE BUDGET.

>> I THINK WHERE WE WERE GOING WAS TO HAVE ACTUALS AND PRIVATE BUSINESSES WOULD LOOK AT ACTUALS AND COMPARE THEM TO THE BUDGET.

>> A COUPLE OF POINTS, IF I MIGHT, MR. CHAIRMAN?

THE EXERCISE MENTIONED IS THE FINANCE DATA MARK.

WE WERE STRUGGLING TO GET GOOD FINANCIAL DATA ACROSS THE CAMPUS.

THAT PROJECT IS ENDING ITS COMPLETION.

WE HAVE MORE FINANCE DATA.

THAT BEING SAID, IT'S LARGELY ACTUALS.

THOSE ARE ACCOUNTING DOCUMENTS NOT MANAGEMENT BUDGET DOCUMENTS.

THAT'S A KEY DISTINCTION.

WHAT WE ARE TRYING TO DO NOW THROUGH THE INITIATIVE THE CHAIRMAN MENTIONED WITH THE HELP OF CAMPUS, CEOS, BUDGET OFFICERS AND CONTROLLERS IS TO DEVELOP A STANDARD TEMPLATE MINIMUM REQUIREMENT FOR EXPENDITURES PLANNED AND BUDGETED FOR THE FUTURE -- THE NEXT YEAR.

IT REQUIRES RESEARCH, AUXILLARIES AND ALL OF THE OTHER PORTIONS OF THE FINANCIAL ACTIVITY ON THE CAMPUS.

WE'LL REPORT MORE IN THE FUTURE.

IT WILL ADDRESS THE CONCERNS RAISED.

>> ONE LAST FOLLOW UP WOULD BE, I KNOW WE HAD AN ISSUE IN CHARLOTTE WHERE A BUDGET WAS SUBMITTED AND A LINE ITEM FOR OFFICE SUPPLIES WAS WIPED OUT LATER, KIND OF A CATCH.

OBVIOUSLY, THE SCHOOLS ARE SUBMITTING INDIVIDUAL BASE BUDBUDGETS IF THAT OCCURRED.

I DON'T THINK IT'S CREATING NEW WORK.

IT'S GATHERING THE DATA SUBMITTED OUT THERE.

>> WE'LL FIGURE OUT THE PROCESS AND REPORT BACK IN FEBRUARY.

HEAR YOU.

WE'LL GO TO WORK ON -- AGAIN, IF THAT'S THE WILL OF THE BOARD, THAT'S WHAT WE'LL DO.

WE'LL TAKE A PEEK AT IT.

THERE WILL BE MORE TO FOLLOW.

ANYTHING ELSE?

NOW, MR. CHAIRMAN, THAT CONCLUDES MY REPORT.

>> I WILL SAY I BELIEVE THE CAMPUSES ARE SETTING UP BUDGETS TO THE SYSTEM OFFICE FROM NOVEMBER, IF I'M CORRECT.

I'M SURE MR. PRUITT AND MISS HAYGOOD CAN TELL US.

THAT.

MR. PRUITT SAYS THAT'S THE CASE.

DO YOU HAVE A COMMENT?

I'M SUPPOSED TO IDENTIFY YOU.

IDENTIFY YOURSELF WHEN YOU SPEAK.

>> NOTHING FURTHER.

I WANTED TO MAKE THE POINT THAT THE PRIMARY FOCUS OF GOVERNANCE OVER SIGHT HAS BEEN ON THE STATE'S GENERAL FUND.

THERE IS A LOT OF ACTIVITY WITH REGARD TO CAMPUS, BASE BUDGETS, EXPENDITURES.

THERE HAS NOT BEEN AS MUCH MUSCLE AROUND THE OTHER AUXILLARY ENTERPRISES.

AS WE KNOW THROUGH THE PANDEMIC, WE NEED TO PAY ATTENTION TO.

WE NEED TO BRING THE SOURCES TOGETHER AND ON AN ANNUAL BASIS HAVE A PROCESS BY WHICH THE TRUSTEES APPROVES THE CAMPUS BROUGHT FOR THE BOARD OF GOVERNORS.

WE COULD SPEND ALL DAY ON THIS.

WOULD LOVE TO.

I LOOK FORWARD TO FUTURE CONVERSATIONS.

I WANT TO ASSURE YOU, THERE IS GOOD WORK ONGOING.

>> THANK YOU, MR. PRUITT.

THAT IS WHERE WE STARTED WITH THIS.

LIKE YOU, GOVERNOR POPE, I WOULD LIKE TO SEE MORE INFORMATION.

I WOULD LIKE TO UNDERSTAND, AS MR. PRUITT PUT IT, THE PANDEMIC EXPOSED ISSUES WE HAVE TO KEEP AN EYE ON.

ANYMORE COMMENTS OR QUESTIONS ABOUT THAT BEFORE WE MOVE ON?

GOOD CONVERSATION.

HEARING NONE, I WOULD LIKE TO CALL ON MRS. NELSON FOR ED PLANNING AND POLICIES.

>> THANK YOU, MR. CHAIRMAN.

AT OUR MEETING YESTERDAY WE APPROVED TWO ESTABLISHMENT THE DISCONTINUATION OF ONE PROGRAM, A LIMITED LICENSE APPROVED THROUGH THE CONSENT AGENDA TODAY.

DR. VAN NORTH UPDATED CAMPUS PLANS, THE MONITORING OF ENROLLMENT AND COURSE DELIVERY ACROSS 17 INSTITUTIONS.

SHE PROVIDED A REVIEW OF THE ACADEMIC APPROVAL PROCESS.

A PAUSE WAS PLACED ON THE SUBMISSION OF PROGRAM ESTABLISHMENTS DURING THE PANDEMIC.

FOLLOWING A ROBUST PROGRAM VIEW, PROGRAM SUBMISSIONS ARE AGAIN BEING ACCEPTED UNDER NEWLY INSTITUTED GUIDELINES.

WE HAVE RECEIVED AN UPDATE TO TRAIN 2600 FACULTY MEMBERS TO DESIGN AND DELIVER ONLINE COURSES.

WE REVIEWED THE REPORT OF THE NORTH CAROLINA TEACHING FELLOWS PROGRAM.

THANK YOU, MR. CHAIRMAN.

THAT CONCLUDES OUR REPORT.

AT THIS TIME, I WOULD LIKE TO RECOGNIZE DR. TIM IVES CHAIR OF THE FACULTY ASSEMBLY.

>> THANK YOU, GOVERNOR NELSON.

WE HAVE DR. IVES WITH US.

HE IS WALKING TO THE PODIUM.

>> > WE DO THIS IN CLASS EVERYDAY.

THANK YOU, GOVERNOR NELSON.

GOOD MORNING, EVERYONE.

HAPPY NEW YEAR.

THANK YOU FOR ALLOWING ME TO DROP BY ON THE WAY TO CAMPUS TO SHARE A FEW WORDS WITH YOU.

TODAY, I'M THANKFUL FOR A NUMBER OF THINGS.

THANK YOU TO ALL OF THE FACULTY GETTING INVOLVED IN A NUMBER OF ACTIVITIES IN THE UNC SYSTEM.

FROM THE RACIAL EQUITY, WE HAVE SCORES THAT FILLED OUT THE SURVEY OR WERE AT THE TOWN HALL MEMBERS TO COMMON CORE FACULTY SIGNING UP TO STANDARDIZE THE PROCESS.

ON TO THE ONLINE COURSES INITIATIVE, DEOC AS WE CALL IT.

YOU HEARD GOVERNOR NELSON TALKING ABOUT 2600 FACULTY ALREADY GONE THROUGH THE COURSE AND AT THE SAME TIME, THERE IS PROBABLY AN EQUALLY LARGE NUMBER OF FACULTY THAT NEED AND WANT TO TAKE THAT.

FIRST OF ALL, PRESIDENT HANS, THANK YOU FOR CONTINUING YOUR SUPPORT FOR THE DEOC.

AS HE MENTIONED AT THE FACULTY ASSEMBLY MEETING, THANK YOU FOR ADVOCATING TO GO TO THE NEXT GENERATION WHERE WE HAVE DISCIPLINE SPECIFIC SESSIONS WHERE WE CAN BRING TOGETHER FACULTY ACROSS THE NETWORK.

PLEASE, TO ALL OF YOU, THANK YOU FOR KEEPING THIS GAME CHANGING, INDEPENDENT OF THE PANDEMIC, GAME-CHANGING PROGRAM GOING.

I WANT TO THANK DR. NORMA HOUSTON, OUR CHIEF OF STAFF AND CAMILE BARKLEY, ASSOCIATE VICE PRESIDENT FOR STRATEGIC COMMUNICATIONS FOR GETTING US THIS LOGO.

WE ARE A PART OF THE UNC SYSTEM, NOT SOME DIVERGENT GROUP BUT GRANTING US IS IMPORTANT.

WE'LL BE USING THIS IN ALL OF OUR COMMUNICATIONS.

IT MAY SEEM TRIVIAL TO SOME, BUT THIS IS IMPORTANT TO US.

WE ARE PART OF THE FAMILY OF HIGHER EDUCATION.

YESTERDAY, WE HEARD ABOUT -- I'M NOT A BUSINESS PERSON.

I'M A CLINICIAN.

I HEARD ABOUT SOMETHING THAT BUSINESS PEOPLE TALK ABOUT ALL THE TIME, RETURN ON INVESTMENT.

WE HEARD ABOUT IT YESTERDAY WITH THE DEOC.

$35 PER FACULTY MEMBER.

YOU CAN'T FILL UP YOUR GAS TANK NOW DAYS FOR THAT KIND OF MONEY.

THIS IS ONE OF OUR BEST INVESTMENTS.

I WANT TO TALK ABOUT TWO OTHERS I THOUGHT WOULD ALSO APPLY TODAY THAT HAVE BEEN EQUALLY GREAT RETURN ON INVESTMENT -- THAT'S LEADERSHIP.

FACULTY AT EVERY CAMPUS IN THE UNC SYSTEM PREPARE OUR STUDENTS AND LEARNERS FOR A WORLD YET TO EXIST.

WE ARE GETTING THEM READY.

WE ALSO TEACH LEADERSHIP.

TELL ME A CAMPUS THAT DOESN'T TEACH LEADERSHIP.

I WANTED TO SHOW SOME LEADERS.

THREE OF OUR COLLEAGUES, ELLEN PEARSON, DR. BEN POWELL, AND DR.

I'M BETTING YOU HAVE SEEN THESE FOLKS AROUND THE MEETINGS.

THEY HAVE BEEN PART OF THE FACULTY FELLOWS THE LAST SEVERAL YEARS.

THEY BRING A WEALTH OF OPPORTUNITY FOR FUTURE LEADERSHIP AND ARE SHARING IDEAS AND LEARNING FROM THE SYSTEM OFFICE.

THERE IS ONLY ONE PROBLEM WITH THE PICTURE.

I ONLY SEE THREE PEOPLE.

I BESEECH YOU TO CONSIDER, AND THIS MAY BE AN EDUCATIONAL POLICY DISCUSSION, I WOULD LIKE TO SEE IN ANOTHER YEAR OR TWO SIX FACULTY.

EVENTUALLY EVERY CAMPUS SHOULD HAVE WITH THAT.

WHILE THE BOARD OF GOVERNORS ARE INVESTED IN CHANCELLOR SEARCHES OR BOARD OF TRUSTEE APPOINTMENTS, IT'S IMPORTANT TO LOOK AT THOSE WHO ARE GOING TO BE THE NEXT ASSOCIATE LIST, DEANS, DEPARTMENT CHAIRS, DIRECTORS OF PROGRAMS.

LEADERSHIP STARTS HERE.

I IMPLORE YOU TO BE INVOLVED WITH THAT AS WELL.

PRESIDENT HANS USES A BASEBALL TERM.

HE WANTS TO BUILD THE BENCH STRENGTH.

THERE'S THE BENCH.

THESE FOLKS ARE DOING FABULOUS WORK.

I WANT TO THANK THEM FOR THE HARD WORK.

THERE ARE INITIATIVES ON EVERY CAMPUS FOR LEADERSHIP.

THERE IS ALSO ASSOCIATE FELLOWS.

THESE ARE THE FOLKS THAT HAVE BEEN TAKING IDEAS THAT OUR FELLOWS HAVE DONE AND PUTTING THEM TO WORK.

THEY ARE MAKING SURE THE 2600 FACULTY ARE GETTING THE TYPE OF TRAINING THAT THEY REALLY NEED.

AGAIN, I WOULD LIKE TO SEE THE WORD "ASSOCIATE" DISAPPEAR FROM THAT PICTURE IN ANOTHER YEAR OR TWO.

WE CAN MAKE THIS HAPPEN.

I THINK THAT'S ONE OF THE GREATEST GROWTH POTENTIALS WE HAVE.

WE'LL CONTINUE TO ADVOCATE FOR IT.

LASTLY, I WANTED TO NOTE ANOTHER RETURN ON INVESTMENT, STUDENT INVESTMENT.

I PUT THREE PICTURES HERE.

ONE UNIVERSITY OF NORTH CAROLINA AT CHARLOTTE.

EVERY CAMPUS HAS A SIMILAR ONE.

I WANTED TO NOTE OUR DR. FRY TAG WORKING WITH THE VETERAN'S GROUP IN THE SYSTEM OFFICE.

EVERY CAMPUS HAS THEM.

I HOPE THAT CONTINUES TO GROW.

PRESIDENT SPELLINGS PUT ON A SYMPOSIUM 2017.

IT MAY BE TIME TO CONSIDER THIS FOR THE FUTURE TO BRING TOGETHER THE BEST MINDS AS TO OUR POTENTIAL FOR STUDENT VETERANS.

THOUGH HIS FACE IS CUT IN HALF, I WANTED TO TAKE A POINT OF PERSONAL PRIVILEGE TO INTRODUCE YOU TO DR. JONATHAN HALE, A COLLEAGUE OF MINE, A PRIMARY CARE PRACTITIONERS AT THE DURHAM V.A., NORTH CAROLINA.

HE IS PRACTICING, A PRECEPTOR, DOING GREAT WORK.

BEFORE THAT, HE WAS JOHN HALE, RESEARCH ASSISTANT OF MINE AS WELL AS A STUDENT WHO DID WORK ON HEALTHCARE COSTS.

WE ARE TALKING ABOUT BUDGETS EARLIER.

HIS WORK WAS PRESENTED TO CONGRESS.

BEFORE THAT, HE WAS CAPTAIN JONATHAN HALE SERVING NINE YEARS IN THE UNITED STATES ARMY.

HE WAS A FIELD OFFICER THAT SERVED IN NUMEROUS OUT POSTS.

KOSOVO THE LAST BEFORE RETURNING.

THERE ARE THOUSANDS OF FUTURE DR. HALES OUT THERE.

WE NEED TO CONTINUE TO CAPTURE THOSE FOLKS AND THEIR POTENTIAL.

LEADERSHIP IS IN THEIR DNA AS WELL.

THEY BRING IT TO THE TABLE.

I HOPE WE CONTINUE TO GROW THIS PROCESS AS WELL.

AN ABSOLUTELY GREAT INVESTMENT.

AS YOU SEE, LEADERSHIP DOES MATTER.

YOU KNOW THIS ALREADY.

WE HOPE TO CONTINUE TO GROW THIS ALONG THE WAY.

GOVERNOR NELSON, I'LL TURN THIS BACK TO YOU.

TIME FOR ME TO GET TO CLINIC.

SPEAKING CLINICALLY, I HOPE EVERYONE HAS GOTTEN THEIR FLU SHOTS ALREADY.

IF YOU HAVEN'T, AS PRESIDENT HANS INDICATED, THERE IS A COVID-19 FACILITY ABOUT 200 YARDS TO THE NORTH OF US HERE.

I HOPE EVERYONE GETS THAT VACCINE.

ANOTHER GAME CHANGER.

WITH THAT, THANK YOU.

>> THANK YOU, DR. IVES.

WE APPRECIATE YOUR THOUGHTFUL SUGGESTIONS.

GOVERNOR NELSON, DOES THAT WRAP UP YOUR REPORT?

>> IT DOES.

THANK YOU.

>> I WOULD LIKE TO CALL ON GOVERNOR POWERS FOR A REPORT ON COMMITTEE UNIVERSITY GOVERNANCE.

>> THANK YOU, MR. CHAIRMAN.

GOOD MORNING.

COMMITTEE ON UNIVERSITY GOVERN ENHAD AN INFORMATIVE MEETING YESTERDAY.

THERE ARE TWO ACTION ITEMS THIS MORNING.

THE BOARD IS RESPONSIBLE FOR THE CREATION OF INSURANCE TRUST FORD AND TRUST COUNSEL THAT ADMINISTERS THE FUND.

THERE IS NOW A V VACANCY.

PRESIDENT HANS RECOMMENDS THAT ANDREW TRIP, SENIOR VICE PRESIDENT AND GENERAL COUNSEL BE APPOINTED TO FILL THE VACANCY.

MR. CHAIRMAN, ON BEHALF OF THE UNIVERSITY OF GOVERNANCE, I MOVE THE BOARD ACCEPT THE RECOMMENDATION TO THE LIABILITY TRUST COUNCIL.

>> MEMBERS OF THE BOARD, YOU HAVE HEARD THE MOTION.

IS THERE DISCUSSION OR DEBATE?

HEARING NONE, I'LL ASK MISS MCCULLUM TO CALL THE ROLL.

[ROLL-CALL VOTE ] >> MOTION CARRIES.

>> THANK YOU, GOVERNOR.

>> AS A FOLLOW UP, I WANT TO WELCOME THE NEW SENIOR VICE PRESIDENT GENERAL COUNSEL.

I HAVE KNOWN HIM SEVERAL YEARS.

WELCOME ABOARD.

THE SECOND ITEM FOR THE DAY, BOARD OF TRUSTEES HAS A PARTIAL TERM VACANCY JANUARY 1, 2021 ENDING JUNE 30TH, 2021.

MARGARET P. BENJAMIN IS RECOMMENDED TO FILL THE VACANCY.

MR. CHAIRMAN, I MOVE THAT WE ACCEPT THE RECOMMENDATION TO APPOINT MISS MARGARET BENJAMIN TO THE GREENSBORO BOARD OF TRUSTEES.

>> YOU HAVE HEARD THE MOTION.

IS THERE ANY DISCUSSION OR DEBATE?

HEARING NONE, I'LL ASK MISS MCCULLUM TO CALL THE ROLL.

[ROLL-CALL VOTE ] >> MOTION CARRIES.

>> THANK YOU.

>> MR. CHAIRMAN, IN OCTOBER THE COMMITTEE ON UNIVERSITY GOVERNANCE PROPOSED AMENDMENTS TO SECTION 2000.5 PENDING LITIGATION.

AMONG THE AMENDMENTS MADE INCLUDING THE INSERTION OF LANGUAGE SET FORTH SEPARATELY SECTION 300.1.3 ATTORNEYS EMPLOYED BY THE UNIVERSITY BE LICENSED TO PRACTICE LAW IN THE STATE OF NORTH CAROLINA.

WITH THE APPROVAL BY THE FULL BOARD IN NOVEMBER OF THE PROPOSED AMENDMENTS, INCLUDING THE LANGUAGE TRANSFERRED FROM SECTION 300.1.3, THE STANDARD LANGUAGE IS UNNECESSARY AND DUPLICATIVE.

THEY VOTED TO REPEAL 300.1.3 AND WILL COME BEFORE THE FULL BOARD NEXT MEETING.

AS YOU KNOW, EVERY TWO YEARS, ONE HALF OF THE GOVERNORS ELECTED BOARD OF TRUSTEE POSITIONS REQUIRE NEW ELECTION OR REELECTION.

WE IDENTIFY, REVIEW AND MAKE RECOMMENDATIONS OF CANDIDATES TO THE FULL BOARD OF GOVERNORS FOR ELECTIONS OR REELECTIONS.

THE GOVERNOR COMMITTEE MEMBERS HAVE BEEN WORKING WITH THE BOARD OF TRUSTEE CHAIRS TO IDENTIFY RECOMMENDATIONS.

WE'LL BRING THE FULL LIST BEFORE THE COMMITTEE AND FULL BOARD OF GOVERNORS AT THE APRIL MEETING.

AS A FULL UP, IF I COULD, MR. CHAIRMAN, WE HAVE BEEN GOING THROUGH THE PROCESS OF WORKING WITH OUR INSTITUTIONS, ALL OF THEM.

OUR MAIN INSTITUTIONS HAVE BEEN MIGHTILY PRAISED FOR THE EFFORTS THEY HAVE DONE TO KEEP OPERATING, KEEP THINGS GOING DURING THE LAST YEAR AND WHAT WE FACED WITH THE P PANDEMIC, JUSTY SO.

I'M PROUD OF ALL OF OUR UNIVERSITIES AND WORK THEY HAVE DONE AND WHERE THEY ARE.

SOMETIMES WE GET LOST IN THOSE THAT DON'T GET AS MUCH INK ARE DOING.

I WANT TO MAKE SURE WE RECOGNIZE THAT.

SCHOOL, SCIENCE, MATH IS ONBOARD AT THE MORGANTON CAMPUS.

THEY ARE HAVING A TRUSTEE MEETING.

THE NEXT ONE OR THE ONE AFTER IS AT THE MORGANTON CAMPUS.

IT'S NICE THAT THEY ARE KEEPING THEIR EYES ON THAT.

THEY HAVE DONE A GREAT JOB MOVING THAT PROJECT FORWARD.

LINDSEY BARIUMEN AT UNC-TV IS MOVING TO BRING PROFESSIONALISM TO THE BOARD, MOVING THE PROJECT FORWARD DURING DIFFICULT TIMES.

ONE THAT BROUGHT JOY TO ME PERSONALLY, SCHOOL OF THE ARTS BROUGHT THEIR NUTCRACKER PRODUCTION INTO THE HOMES OF NORTH CAROLINIANS ALL ACROSS THE STATE, AND I DON'T KNOW WHO SAW IT, IT WAS A GREAT EVENING, WELL SPENT.

IF YOU DIDN'T SEE IT, IT WAS FANTASTIC.

I APPLAUD THEM OF KEEPING THE SPIRIT ALIVE.

MOST IMPORTANTLY, DR. BERKS UNC HEALTHCARE DESERVES EVERY ACCOLADE WE CAN GIVE THEM.

I SERVE AS THEIR LIAISON.

I TALK TO ANDY WILLIS OFTEN AND KEEP UP WITH WHAT THEY HAVE GONE THROUGH, AND DR. BERKS, I THINK I CAN SPEAK ON BEHALF OF THE BOARD IN GIVING YOU OUR UTMOST THANKS AND GRATITUDE THAT YOU AND ALL OF YOUR STAFF AND FACULTY AT THE MEDICAL SCHOOL AND EMPLOYEES OF THE HEALTHCARE SYSTEM HAVE DONE.

THANK YOU VERY MUCH.

I HAD TO ADD THAT IN THERE, MR. CHAIRMAN.

THAT CONCLUDES MY REPORT.

>> ANY QUESTIONS FOR GOVERNOR POWERS?

I THINK THE COMMENTS ARE APPROPRIATE.

I APPRECIATE THE LEADERSHIP ON THE CAMPUS AND I'M GLAD YOU SHINE THE LIGHT ON SOMETHING WE DON'T HEAR MUCH.

THIS IS ONE OF THE THINGS WE DO THROUGHOUT THE YEAR.

I KNOW MEMBERS OF GOVERNANCE HAVE BEEN WORKING ON THAT MOVING FORWARD.

I WANT TO THANK THEM IN ADVANCE FOR THEIR HELP.

IT'S GOING TO BE A -- IT'S ALWAYS A BIG PROCESS.

THANK YOU VERY MUCH, GOVERNOR POWERS.

I'LL CALL ON GOVERNOR BYERS FOR A REPORT ON THE COMMITTEE OF PUBLIC AFFAIRS.

>> THANK YOU, MR. CHAIRMAN.

I KNOW I DON'T MATCH TODAY, I HAVE BEEN ON THE ROAD FOR MY COLORS.

I LOOK LIKE A FAT VERSION OF DAVID POWERS.

IT WAS THAT OR WHERE DIRTY CLOTHES.

I WOULD ADD WHAT MY DEAR FRIEND SAID ABOUT THE NORTH CAROLINA SCHOOL OF ARTS.

IF YOU HAVE NOT BEEN THERE OR TAKEN ADVANTAGE OF WHAT IS GOING ON THERE, SHAME ON YOU.

IT IS AN UNBELIEVABLE AND ONE OF MY FAVORITE PLACE IN THE STATE TO VISIT BEFORE MY REPORT AND I'LL GO QUICKLY, MR. CHAIRMAN, I WAS HAPPY TO SEE THE PER DIEM DIDN'T CHANGE.

I WAS AFRAID IF IT WAS OVER 25-CENTS $15 A DAY I WOULD BE KNOCKED UP TO A HIGHER TAX BRACKET.

THAT WAS UGLY.

I APOLOGIZE.

SOMEONE LAUGH ABOUT THAT.

YOU HAVE TO WORK WITH ME TODAY.

MR. CHAIRMAN, THANK YOU.

FELLOW BOARD OF GOVERNORS COMMITTEE ON AFFAIRS MET YESTERDAY IN THE JOINT MEETING WITH BUDGET AND FINANCE IN OCTOBER RECEIVING UPDATES FROM ADVANCEMENT, STATE AND FEDERAL RELATION STAFF.

WE FIRST HEARD FROM OUR FRIEND TIMOTHY MINER, WHO PROVIDED THE ANNUAL REPORT ON DONOR AND ALUMNI ENGAGEMENT ACTIVITY WITHIN THE UNC SYSTEM.

THE REPORT EMPHASIZED FOR THE THIRD CONSECUTIVE YEAR, OUR UNIVERSITY RAISED OVER A BILLION DOLLARS IN COMMITMENT, THERE IS MORE WORK REMAINING FROM THE MAJORITY OF OUR INSTITUTIONS.

MR.

MINER SHARED ON AN UPDATE OF THE SYSTEM WIDE DATA MODERNIZATION AND SHARED SERVICES PROJECT TO CONTINUE FUNDRAISING FOR THE 17TH INSTITUTIONS.

AGAIN, I THANK YOU.

SINCE OUR LAST MEETING, AHS NL KNOLL, DIRECTOR OF STATE GOVERNMENT INSTITUTIONS HAS BEEN WORKING ON THE 20-21 POLICY AGENDA.

LAST NOVEMBER, YOU WILL REMEMBER WE APPROVED MANY POLICY ITEMS FOR THE 20-21 LEGISLATIVE PROPOSAL PACKET.

YESTERDAY WE DISCUSSED AENED APPROVED AN ADDITIONAL ISSUE FOR THE HR SECTION OF THE 2021 LEGISLATIVE PROPOSE PACKET.

WE APPROVED A REQUEST FOR THE ELIMINATION OF EIGHT REPORTING REQUIREMENTS TO THE GENERAL SEAM ASSEMBLY.

WE HAVE WORKED WITH STAFF TO IDENTIFY REPORTS AS THEY INVOLVE A SIGNIFICANT AMOUNT OF TIME, EFFORT AND HUMAN RESOURCES.

AS HARD AS IT IS TO BELIEVE, THE NORTH CAROLINA GENERAL ASSEMBLY CONVENED LAST WEEK AND WEDNESDAY TO START THE 2021-22 BY ENYUM.

THIS YEAR WILL BE A LONG SESSION.

OUR STATE RELATION STAFF WILL BE OFF TO THE RACES AND SPEND A GREAT DEAL OF TIME WORKING IN RALEIGH.

NEXT, ELIZABETH MOORE, VICE PRESIDENT FOR FEDERAL RELATIONS UPDATED THIS COMMITTEE ON THE MASSIVE PANDEMIC RELIEF AND WRAPPED UP GOVERNMENT SPENDING BILL CONGRESS PASSED PRIOR TO THE HOLIDAY BREAK AND WHAT IT MEANS IN TERMS OF FUNDING AND POLICY FOR THE UNC SYSTEM INSTITUTION.

SHE DISCUSSED ITEMS INCLUDED IN THE FEDERAL VETERAN'S HEALTHCARE AND VETERAN'S BILL SIGNED INTO LAW LAST MONTH.

FINALLY, SHE PRESENTED THE UNC SYSTEM PRIORITIES FOR THE 117TH CONGRESS WHICH INCLUDE CRITICAL FEDERAL FUNDING -- RESEARCH FUNDING, LEGI LEDGE LEGISLATIONO EXPAND ACCESS, AFFORDABILITY AND STUDENT SUCCESS AND THE ONGOING NEED FOR THE SYSTEM INSTITUTIONS DURING COVID-19 PANDEMIC.

THESE PRIORITIES COME BEFORE THE FULL BOARD FOR A VOTE IN NOVEMBER.

FEBRUARY, MR. CHAIRMAN.

THANK YOU, CHAIR RAMSEY.

THIS C CONCLUDES MY REMARKS.

>> THANK YOU, GOVERNOR BYER.

I CALL ON GOVERNOR HOLTEN FOR AUDIT RISK MANAGEMENT AND COMPLIANCE.

>> THANK YOU, CHAIR RAMSEY.

THE COMMITTEE ON AUDIT RISK MANAGEMENT AND COMPLIANCE MET YESTERDAY AFTERNOON.

WE REVIEWED NUMEROUS PRESENTATIONS, MOSTLY AROUND ENTERPRISE RISK MANAGEMENT TOPICS.

FIRST, JONATHAN PRUITT JOINED THE COMMITTEE TO ESTABLISH THE RISK REVIEW BOARD.

THE BOARD HAS RESPONSIBILITY FOR GUIDANCE REGARDING RISK TOLERANCE AND TREATMENT.

THIS BOARD WILL MEET PERIODICALLY AND RECEIVE UPDATES OVER THE COURSE OF THEE YEAR.

NEXT, THE COMMITTEE RECEIVED CORRECTIVE ACTIONS TAKEN IN RESPONSE TO AN INFORMATION SYSTEM AUDIT CONDUCTED BY THE OFFICE OF THE STATE AUDITORS.

I'M PLEASED TO REPORT THAT THE SYSTEM OFFICE HAS TAKEN ACTION TO ADDRESS THE AUDITOR RECOMMENDATION.

FOLLOWING THIS UPDATE, THE SYSTEM'S CHIEF AUDIT OFFICER JOIN BONNIE PROVIDED HER UPDATE ON THE ACTIVITIES AT THE SYSTEM OFFICE.

NEXT, AS YOU KNOW, ONE OF OUR OVER SIGHT RESPONSIBILITIES IN THE COMMITTEE IS TO MAKE REPORTS AND RECOMMENDATIONS TO THE BOARD OF GOVERNORS RELATED TO SYSTEM WIDE RISK MANAGEMENT COMPLIANCE PROCESSES.

CAMPUS SAFETY AND SECURITY IS A KEY RISK AREA AND WAS THE TOPIC OF ONE OF THE PRESENTATIONS YESTERDAY.

SPECIFICALLY, WE REVIEWED THE RISKS AROUND RECRUITING AND RETAINING LAW ENFORCEMENT OFFICERS AT OUR SYSTEM INSTITUTION CAMPUS POLICE OFFICES.

INSIDE THE CRITICAL TOPIC WAS PROVIDED BY FRED SELLERS AND MATT BRODY.

WE COVERED THE NATIONAL LANDSCAPE OF LAW ENFORCEMENT AND HOW IT IMPACTS THE ABILITY OF UNC POLICE DEPARTMENT TO RECRUIT AND RECEIVE TALENT.

WE RECEIVED COMPENSATION AS ONE FACTOR CONTRIBUTING TO THIS RISK.

AFTER A GOOD DISCUSSION, WE CONCLUDED AT OUR FEBRUARY MEETING, WE INTEND TO DISCUSS A MENU OF APPROACHES TO ADDRESS THE RISK INCLUDING COMPENSATION AND OTHER MEASURES.

FINALLY, LYNN SANDERS PROVIDED AN UPDATE ON UNC POLICY OF INSURANCE COVERAGE.

ALL CAMPUSES HAVE THE REQUIRED LEVEL OF COVERAGE AS OF JANUARY 1, 2021.

IN ADDITION, THE POLICY ALLOWS CAMPUSES TO INCLUDE MINIMUM COVERAGE STANDARDS.

LYNN OUTLINED THE REQUEST TO REVIEW AN EXCEPTION TO THE POLICY.

THE GOAL IS TO HAVE A WELL DOCUMENTED PROCESS THAT INCLUDES THE APPROPRIATE LEVELS OF REVIEW, APPROVAL AND REPORTING TO THE RISK REVIEW BOARD AND TO THE CAR MAC.

THE COMMITTEE VOTED TO APPROVE THE OUTLINE PROCESS.

THANK YOU, MR. CHAIRMAN.

THIS CONCLUDES MY REMARKS.

>> THANK YOU, GOVERNOR HOLTON.

ANY QUESTIONS OR COMMENTS FOR GOVERNOR HOLTON?

>> I WANT TO THANK BUDGET AND FINANCE AND CAR MAC FOR WORKING ON AND EXPLORING HOW WE CAN RETAIN OUR OFFICERS AND HOW TO KEEP THE BEST AND BRIGHTEST ON THE CAMPUSES.

JUST LIKE FACULTY, THEY ARE CRITICAL TO ENSURING SAFE PLACES FOR FACULTY STAFF AND STUDENTS.

THIS IS IMPORTANT WORK GOING ON.

I'M APPRECIATIVE OF IT.

I WANT TO THANK GOVERNOR HOLMES AND GOVERNOR HOLTON ON THE ISSUES.

DURING THE HURRICANE SOMETHING WAS EXPOSED THAT OUR BOARD HEARD ABOUT, UNDER TOOK AND NOW THE GAP HAS BEEN FILLED.

I'M GRATEFUL.

THAT HAS BEEN AN ONGOING PROCESS FOR A NUMBER OF YEARS.

THANK YOU BOTH.

I WOULD LIKE TO CALL ON GOVERNOR COWARD NOW FOR A REPORT ON STRATEGIC INITIATIVES.

>> THANK YOU, CHAIRMAN RAMSEY.

YESTERDAY THE COMMITTEE ON STRATEGIC INITIATIVES HAD A WIDE RANGING DISCUSSION ABOUT THE STATE OF HIGHER EDUCATION.

WE WERE JOINED BY YATES BRYANT, AN EDUCATION ADVISORY FIRM AND INVESTMENT BANK.

HE PROVIDED US WITH KEY TRENDS IN THREE AREAS, TEACHING AND LEARNING, CREDENTIALING AND NEW BUSINESS MODELS.

THIS IS THE START OF A LONGER DISCUSSION WE'LL HOST OVER THE NEXT FEW MONTHS.

THE PRESENTATION HIGHLIGHTED HOW THE CHANGING ECONOMICS WILL SHAPE THE MARKET FOR CLINCHES AND UNIVERSITIES.

STATES ARE PROJECTING A SLOWDOWN IN THE NUMBER OF HIGH SCHOOL GRADUATES INCREASING COMPETITION FOR STUDENTS AND ADVANTAGE UNIVERSITIES EQUIPPED TO SERVE ADULT LEARNERS.

IN THE NEAR TERM, COVID-19 DECLINES MAY ACCELERATE THE DEMOGRAPHIC TRENDS.

AT THE SAME TIME, THE PANDEMIC HAS LED FACULTY AND STAFF TO BE MORE BULLISH ON, ONLINE LEARNING, SETTING THE STAGE FOR EXPANSION OF ONLINE PROGRAMS.

GATES ARGUED WE ARE SEEING A SHIFT FROM A MARKET CHARACTERIZED BY LARGE ONLINE UNIVERSITIES WITH A NATIONAL REACH LIKE ARIZONA STATE AND SOUTHERN NEW HAMPSHIRE TO A LOCALIZED MARKET WHERE PUBLIC UNIVERSITIES DEVELOP ONLINE PROGRAMS ALIGNED WITH LOCAL EMPLOYER NEEDS.

AS THE MARKET CONTINUES TO MATURE, WE ARE LIKELY TO SEE A BROADER RANGE OF PRICE POINTS FOR ONLINE PROGRAMS.

WE DISCUSSED NEW TRENDS BEYOND COLLEGE DEGREES.

WE CONCLUDED THE DISCUSSION WITH A LIST OF QUESTIONS TO CONSIDER AS WE CHART A STRATEGY FOR THE COMING DECADES.

WHO DO WE ASPIRE TO SERVE?

SHOULD WE MAKE AN EFFORT TO REACH MORE WORKING ADULTS?

HOW DO WE ASPIRE TO STUDENTS ONLINE, INPERSON OR A MIX OF BOTH AND WHAT POLICY CHANGES ARE NECESSARY TO ACHIEVE THOSE OPERATIONS?

GATES LEFT US WITH IDEAS TO EXAMINE IN FUTURE DISCUSSIONS INCLUDING THE OPPORTUNITY TO LEVERAGE THE SYSTEM PLATFORM TO HELP UNIVERSITIES EXPAND ONLINE PROGRAM, TO TARGET HEALTHCARE AS A POTENTIAL AREA FOR PROGRAM DEVELOPMENT AND TO PARTNER WITH EMPLOYERS TO DEVELOPMENT AND FUND NEW PROGRAMS ALIGNED WITH OUR SPECIFIC NEEDS.

I LOOK FORWARD TO DIGGING INTO THE QUESTIONS AND IDEAS IN OUR NEXT MEETING.

MR. CHAIRMAN, THAT CONCLUDES MY REPORT.

>> THANK YOU, GOVERNOR COWARD.

DOES ANYONE HAVE QUESTIONS FOR GOVERNOR COWARD?

THE PRESIDENT AND I WERE IN THE PRESENTATION YESTERDAY.

ITS' EYE OPENING.

IF YOU WERE NOT IN IT, I SUGGEST BEING PART OF IT GOING FORWARD.

THE WAY WE DELIVER EDUCATION IS VASTLY CHANGED GOING FORWARD.

GOVERNOR HOLMESES, A COMMENT?

>> A BRIEF ONE.

>> ON THE MICROPHONE, GOVERNOR HOLMES, IF YOU DON'T MIND?

>> IT WAS A GREAT PRESENTATION.

VERY EYE OPENING.

I HOPE THE BOARD WILL PAY PARTICULAR ATTENTION TO ONLINE PLATFORMS.

WE HAVE A NUMBER OF STRATEGIES TO ROUTE THE INSTITUTION THAT MAY APPROACH DEVELOPMENT OF CURRICULUM IN AN ONLINE FORMAT IN A DESPERATE MANNER.

I THINK ONE OF THE POWERS OF THE SYSTEM IS ITS ABILITY TO LEVERAGE EN MASSE OPPORTUNITIES.

I DON'T KNOW THAT IN THIS PARTICULAR AREA WE ARE GOING THE BEST JOB OF IT.

I KNOW THERE ARE A NUMBER OF AVENUES EXPLORED, DIFFERENT REVENUE AVENUES, COST SHARING.

I HOPE WE'LL LOOK AT THAT MORE SO AFTER LISTENING TO THE REPORT YESTERDAY.

>> I COULDN'T AGREE MORE, GOVERNOR HOMELESS.

MOAMS.

HOLMES.

I KNOW MR. KELLY IS WORKING ON THAT.

WE NEED TO EXPLORE AS MUCH AS WE CAN.

I NEED TO GO OFF SCRIPT AND ASK MR. BYERS TO COME BACK UP.

WE MANAGED TO MISS A MOTION DURING THE REPORT AND WE NEED TO VOTE ON.

>> YOU WERE ASKING FOR COMIC RELIEF.

I'M VERY HAPPY TO DO IT.

I THOUGHT WE WOULD DO IT IN FEBRUARY.

THAT'S MY THOUGHT.

I CHANGED MY DATES.

WE NEED TO APPROVE, MR. CHAIRMAN, THE HR FLEXIBILITY SECTIONS OF THE 2021 LEGISLATIVE PROPOSAL PACKET AS WELL AS THE LIMIT OF THE ELIMINATION OF THE NUMEROUS REPORTS WE MENTIONED IN YOUR PACKET.

>> ON BEHALF OF THE COMMITTEE OF PUBLIC AFFAIRS, I ASSUME YOU ARE MOVING TO ACCEPT THE TWO UPDATES IN THE BOARD MATERIALS?

>> APPROVED BY THE COMMITTEE.

>> YOU HAVE HEARD THE MOTION.

IS THERE DISCUSSION OR DEBATE?

GOVERNOR POPE?

>> THE ELIMINATION OFL REPORT O?

>> YES.

>> REPORTS THAT ARE DUPLICATED.

I THINK THERE IS A COPY -- I KNOW THERE IS A COPY IN THE BOARD EFFECTS COPY.

MEREDITH, DO YOU HAVE A COPY YOU CAN SHARE WITH GOVERNOR POPE?

>> YES, SIR.

IT'S ON PAGE NINE OF THE PUBLIC AFFAIRS MATERIALS.

IT'S THE ELIMINATION OF THE FOLLOWING REPORTS, REPORT ON DEBT OR CONTRACTS FOR GOLF COURSES AND TRANSIENT ACCOMMODATION FACILITIES, STATUS OF CAPITAL PROJECT QUARTERLY REPORT, BY ANNUAL REPORT, PROGRESS REPORT ON FIRE SPRINKLERS, JOINT CONFERENCE COMMITTEE REPORT ON THE CONTINUATION EXPANSION AND CAPITAL BUDGETS, ON PRESIDENT STRATEGIC INITIATIVE RESERVE AND UNC ENROLLMENT GROWTH AS WELL AS THE BOND DEFAULT REPORT, REPORT TO THE SECRETARY OF ADMINISTRATION FOR ANY CONSTRUCTION MANAGER AT RISK, DESIGN, OR PUBLIC PARTNERSHIP CONTRACTS AWARDED.

>> THESE ARE DUPLICATIVE REPORTS THAT IS CLEARLY AVAILABLE ELSEWHERE?

>> YES, THAT IS DUPLICATION.

>> ANYMORE QUESTIONS OR DISCUSSION, DEBATE REGARDING THIS?

GOVERNOR KOTIS?

>> JUST A QUICK QUESTION TO UNDERSTAND.

IN THE AUTHORITY FOR THE UNIVERSITY TO COVER CONTRIBUTIONS TO STATE HEALTH PLAN MONTHLY PREMIUMS, WHY DO WE HAVE TO ASK FOR AUTHORITY TO DO THAT?

WE DIDN'T HAVE THE AUTHORITY BEFORE?

>> GOVERNOR KOTIS, YOU HAVE ME.

>> SAME HERE, MARTY.

I DIDN'T KNOW THE ANSWER FOR THAT.

>> IF MR. GOODSON IS AROUND, HE MIGHT BE ABLE TO HELP US.

WE CERTAINLY WANT YOU TO FEEL COMFORTABLE WITH EACH OF THE ELIMINATIONS.

>> MR. CHAIRMAN, I CAN ADDRESS THAT IF IT'S YOUR WISH?

>> YES, SIR, MR. BRODY.

THAT WOULD BE GREAT.

>> WE HAVE DUE TO COVID-19 1700 EMPLOYEES FURLOUGHED.

1500 OF THEM ARE PARTIAL FURLOUGHS WHICH MEANS SCHEDULED REDUCTIONS.

200 ARE FULLY FURLOUGHED, NOT RECEIVING A, THEY DO HAVE THE HEALTHCARE AND INSURANCE CONTINUED UNDER THE STATE HEALTH PLAN.

HOWEVER, THEY ARE RESPONSIBLE TO PAY THE EMPLOYEE PORTION OF THE PREMIUMS.

MANY OF THOSE INDIVIDUALS, SINCE THEY ARE NOT RECEIVING PAY, WE HAVE NO ABILITY TO TAKE THE DEDUCTIONS.

SOME CAN WORK OUT PAYMENT PLANS.

OTHERS DO NOT HAVE THE ABILITY TO DO THAT AND ARE INCURRING A DEBT TO THE UNIVERSITY AND ULTIMATELY TO THE STATE.

WE ARE SEEKING AUTHORITY FROM THE GENERAL ASSEMBLY FROM THE UNIVERSITY TO EXCUSE THE DEBT ONLY FOR THE EMPLOYEES, AND IT'S ABOUT 200 WHO ARE PRESENTLY FURLOUGHED, BUT STILL CONTINUING HEALTH INSURANCE.

OBVIOUSLY, THE UNIVERSITY DIDN'T DESIRE TO DISCONTINUE HEALTH INSURANCE FOR INDIVIDUALS IN THE MIDDLE OF THE PANDEMIC.

THAT'S THE BASIS OF THE LEGISLATIVE REQUEST.

>> TROUBLE TO THAT, WHAT IS THE APPROXIMATE COST AND WILL IT BE FUNDED FROM THE FEDERAL COVID-19 FUNDING?

>> WE DID -- I DON'T HAVE A PRECISE COST ESTIMATE.

IT'S NOT A LARGE AMOUNT IN GENERAL TERMS.

I'LL GO AHEAD -- WE DID COST ESTIMATING ON THAT.

I'LL PULL THAT TOGETHER TO MAKE SURE IT GETS TO THE COMMITTEE CHAIR.

IT'S NOT A LARGE COST.

WE EXPLORED THE POTENTIAL OF CARES FUNDING.

AT THIS POINT IN TIME, THERE WAS NOT ELIGIBILITY TO REIMBURSE THAT.

WE'LL CONTINUE TO EXPLORE THAT.

THE KEY TO CARES FUNDING OR NON-STATE FUNDS FOR THE UNIVERSITY, THE ABILITY TO EXCUSE THAT DEBT IS WHAT THE LEGISLATIVE AUTHORITY WE ARE SEEKING.

NORMALLY, IT'S PAID BY THE EMPLOYEE.

MAYBE WE SHOULD SEE FEDERAL AUTHORITY OR ALLOWANCE FOR CARES FUNDS TO BE USED ON OUR LEGISLATIVE PRIORITIES?

>> WE HAVE HAD DISCUSSIONS WITH OUR FEDERAL AFFAIRS REPRESENTATIVE ON THAT.

OBVIOUSLY, GETTING PRECISE FEDERAL AUTHORITY IS FAR MORE DIFFICULT SCENARIO.

WE'LL CONTINUE TO EXPLORE THAT.

>> THANK YOU, MR. BRODY.

I'M GLAD YOU ARE ON THE LINE.

I'LL CALL ON GOVERNOR DAUGHTRY FOR A FOLLOW UP.

>> I RECALL THE CONVERSATION.

I WAS IN THE MEETING YESTERDAY.

THE PEOPLE TRYING TO KEEP THEIR HEALTH INSURANCE ARE THE LOWEST PAID.

THEY ARE FURLOUGHED, AND EVERY EFFORT WAS MADE TO GET THE MONEY TO THE FEDERAL GOVERNMENT, CARES, AND IT WAS NOT POSSIBLE.

WE PAID FOR THE MONEY OUT OF THE NON-REVENUE PRIVATE SOURCE BECAUSE THAT WAS THE ONLY PLACE WE COULD FIND IT LIEUTENANT IT'.

IT'S NOT A LOT OF MONEY, LIKE 200 PEOPLE, 30 OR $40,000.

I CAN'T REMEMBER WHAT THEY TOLD US, BUT IT WAS THE ONLY ALTERNATIVE WE HAD AT THE TIME.

>> THANK YOU, GOVERNOR DAUGHTRY.

I APPRECIATE THE COMMENTS.

ARE THERE ADDITIONAL COMMENTS AND QUESTIONS ABOUT THE REPORTS AND THE FLEXIBILITY?

AGAIN, THANK YOU, MR. BRODY, FOR BEING ON THE LINE.

HEARING NONE, I'LL ASK MISS MCCULLUM TO CALL THE ROLE AND RECORD THE VOTE.

[ROLL-CALL VOTE ] >> MOTION CARRIES.

>> MOTION CARRIES, GOVERNOR BYERS.

>> THAT CONCLUDES MY SECOND EDITION.

IF YOU HAVE TIME, I HAVE NEW MATERIAL.

IF NOT, I'LL GO BACK TO MY SEAT.

>> YOU'RE EXCUSED, BOARD COMEDIAN.

I'LL NOW CALL ON GOVERNOR HOLLEY FOR A REPORT ON HIS SCORKICALLY MINORITY-SERVING INSTITUTIONS.

>> THANK YOU.

ON WEDNESDAY AVENUE, THE COMMITTEE ON MINORITY SERVING INSTITUTIONS MET TO REVIEW THE WORK OF THE COMMITTEE AT THE UNC SYSTEM OFFICE OVER THE PAST MONTHS.

WE RECEIVED INFORMATION ON TWO ONGOING PROJECTS.

ONE, WE HEARD FROM DR. JEFF WARREN, THE POLICY COLLABORATORY PARTNERING WITH HMSI ON THE COVID-19 PROJECTS.

DR. WARREN ANNOUNCED THAT AS OF YESTERDAY, THE SIX FREEZERS HAVE BEEN DELIVERED TO THE HMS SIZE AND THE REST WILL BE SHIPPED OVER THE COURSE OF THE NEXT FEW MONTHS.

TWO, THE HMI -- HMSI COVID-19 LEADS REPORTED ON THE PROGRESS AND CONTINUING TO SERVE UNDERSERVED COMMUNITIES IN RURAL COUNTIES.

LYNN DUFFY FOR TALENT DEVELOPMENT PROVIDED A TIMELINE OF THE THREE INTERACTIVE EXPEDIENTIAL EMERSION MODELS FOR THE LEADERSHIP PROGRAM.

THE PROGRAM KICKED OFF VIRTUALLY JUNE 2020.

THE FIRST MODULE WAS DELIVERED TO UNC CHAPEL HILL IN SEPTEMBER AND OCTOBER 2020.

THE SECOND MODULE WILL BE DELIVERED TO NORTH CAROLINA A & T END OF JANUARY WHILE THE LAST MODEL WILL BE DELIVERED TO UNC CHARLOTTE, APRIL 2021.

MR. CHAIRMAN, THIS CONCLUDES MY REMARKS.

>> THANK YOU, GOVERNOR HOLLEY.

WE APPRECIATE YOUR WORK ON THAT COMMITTEE.

I ENJOYED BEING PART OF IT YESTERDAY.

IT WAS VERY ENLIGHTENING.

>> GOOD MORNING, I WANT TO WISH YOU ALL A HAPPY NEW YEARS.

I HOPE YOU HAVE ALL GOTTEN REST OVER THE HOLIDAYS.

I'M EXCITED TO GET BACK TO WORK.

WE BEGIN ANOTHER YEAR OF SERVICE.

I'M EXCITED TO GET THE STAFF AND CHANCELLORS BACK IN THE ROOM WITH US.

I BELIEVE WE ARE MORE EFFECTIVE ALL TOGETHER.

I ENJOY SEEING THE CHANCELLORS IN THE BULLPEN OVER THERE.

WE HAVE HAD A PACKED COUPLE OF DAYS AT THE OFFICE.

CAMPUS SAFETY CONTINUES TO BE A TOP PRIORITY REOPENING FOR SPRING CLASSES.

UNC STAFFERS HAVE WORKED AROUND THE CLOCK TO STOCK OUR UNIVERSITIES WITH RAPID TESTS FOR COVID-19 SCREENING.

THEY HAVE STAYED IN CONTACT WITH THE NORTH CAROLINA DEPARTMENT OF HEALTH AND HUMAN SERVICES, REMAINED UP-TO-DATE ON THE LATEST COVID-19 GUIDANCE AND COORDINATED EFFORTS FOR VACCINATION CLINICS AT INSTITUTIONS.

OUR CAMPUSES ARE DOING THEIR PART TO ENSURE PRACTICAL SOLUTIONS IN THE FACE OF THE PANDEMIC.

WITH PRESIDENT HANS GUIDANCE, EVERY CHANCELLOR IS OPENING CLASSES IN A FORMAT TAILORED FOR THE NEEDS OF STUDENTS, FACULTY SURROUNDING THEM.

THE DECISIONS ARE BEING MADE ACCORDING TO LOCAL CONDITIONS AND HOSPITAL CAPACITY AROUND THE STATE.

I HAVE FULL CONFIDENCE IN THE THOUGHTFUL APPROACH.

EVERY ONE OF OUR CHANCELLORS IS FACING CHALLENGES AND MAKING DECISIONS TO CARE FOR OUR CONSTITUENTS.

I THANK YOU FOR YOUR SUPPORT AND ASK YOU TO CONTINUE EXTENDING GRACE AS WE DEAL WITH THE COMPLICATED SITUATION IN THE COMING WEEKS.

OUR STAFF NEEDS THAT NOW.

THEY ARE PUTTING IN UNBELIEVABLE HOURS.

IF THEY ARE NOT GETTING BACK QUICKLY WITH YOU AS YOU LIKE, TRY TO TAKE A DEEP BREATH.

I WANT TO THANK THE STUDENTS, FACULTY AND STAFF FOR A WILLINGNESS TO BE FLEXIBLE AS CLASSES BEGIN.

I WOULD LIKE TO THANK CHIEF OF STAFF NORMA HOUSTON FOR TIRELESS EFFORT.

YOUR HARD WORK DOESN'T GO UNNOTICED.

WE ALL APPRECIATE IT.

BY WORKING TOGETHER, WE'LL CONTINUE TO PROVIDE A SAFE LEARNING ENVIRONMENT BRINGING WORLD CLASS AFFORDABLE EDUCATION FOR STUDENTS FROM EVERY WALK OF LIFE.

A NUMBER OF OTHER ISSUES CAME BEFORE THE BOARD.

THE RACIAL EQUITY TASK FORCE SUBMITTED THEIR FINAL REPORT.

I WANT TO THANK GOVERNOR HOLLEY AND ALL OF THE MEMBERS OF THE TASK FORCE FOR THE EFFORTS ADDRESSING THE ISSUES.

WE APPRECIATE YOUR DILIGENCE AS WE CONTINUE TO WORK PROVIDING HIGH-QUALITY SUCCESSFUL EDUCATION FOR ALL NORTH CAROLINIANS.

AFFORD ABILITY REMAINS ANOTHER IMPORTANT ISSUE FOR THE BOARD.

YESTERDAY WE DISCUSSED FEE PROPOSALS FOR THE 2021-22 ACADEMIC YEAR.

MANY OF US AT THE TABLE SHARE CONCERNS ABOUT RISING COLLEGE COSTS, ESPECIALLY GIVEN THE ECONOMIC IMPACT OF COVID-19 ON FAMILIES IN NORTH CAROLINA.

IT'S A DIFFICULT YEAR FOR CAMPUSES, DEALING NOT ONLY WITH HEALTH CRISIS BUT SECURITY ISSUES.

THIS IS AN ONGOING DIALOGUE.

THE BOARD IS COMMITTED TO GATHERING EVERYONE'S THOUGHTS.

I HOPE EVERYONE CONTINUES TO HAVE DISCUSSIONS ABOUT THIS IN THE OFFLINE MEETING.

IF YOU CAN'T BE HERE IN PERSON, PLEASE TRY TO ATTEND BY WAY OF ZOOM.

YESTERDAY WE HEARD ABOUT THE PRACTICAL EFFECTS STUDENTS HAVE ON ACTIVITIES.

I FOUND THE DISCUSSION HELPFUL.

I APPRECIATED THE QUESTIONS AND DISCUSSION RAISED THROUGHOUT.

I HOPE WE HAVE MORE OF THESE CONVERSATIONS GOING INTO NEXT MONTH'S BOARD MEETING.

I THINK GOVERNOR GREEN DID A GREAT JOB BRINGING ABOARD STUDENTS.

I WILL TELL YOU, I SHARED WITH GOVERNOR GREEN YESTERDAY, IT'S THE FIRST TIME IN MY LIFE I HEARD STUDENTS SAY THEY WANTED TO PAY A FEE.

I APPRECIATE THAT, GOVERNOR GREEN.

ON THE SUBJECT OF FISCAL RESPONSIBILITY, I WANT TO COMMEND OUR CHANCELLORS, BOARD MEMBERS AND STAFF FOR WORKING WITH PRESIDENT HANS FOR THE SESSION.

AS I HAVE SAID MANY TIMES, OUR STATE IS FACING FINANCIAL UNCERTAINTY.

WE HAVE MADE TOUGH CHOICES AND THE MEMBERS OF THE GENERAL ASSEMBLY HAVE TOUGH CHOICES TO MAKE.

WE HAVE PROPOSED A BUDGET TO SET LIMITATIONS BY MEETING THE NEEDS OF OUR CONSTITUENTS.

I LOOK FORWARD TO CONTINUE STRONG COMMUNICATION AND COLLABORATION WITH THE STATE LEGISLATURE THROUGHOUT THE PROCESS.

FINALLY, I WOULD LIKE TO RECOGNIZE THE WORK OF THE INITIATIVES COMMITTEE.

AS WE LOOK TO THE FUTURE OF PUBLIC EDUCATION, WE MUST BE DILIGENT THROUGH UNCERTAIN TIMES.

COVID-19 HAS SPED UP THE PROCESS.

WE ARE NOW FACING NEW DEMOGRAPHICS, WORKFORCE DEMANDS AND ADVANCES IN TECHNOLOGY.

I WANT TO THANK CHAIR COWARD AND I WOULD LIKE TO THANK ANDREW KELLY FOR COORDINATING THE EFFORTS.

TOGETHER, WE'LL HELP OUR UNIVERSITY FOR DECADES TO COME.

THANK YOU.

I WILL NOW ENTERTAIN A MOTION FOR CLOSED SESSION.

>> >> THE PURPOSES STATED IN THE MEETING MATERIALS PUBLICLY MADE AVAILABLE OOSM MEMBERS OF THE BOARD YOU HAVE HEARD THE MOTION.

DO WE HAVE A SECOND?

>> I'LL ASK MISS MCCULLUM TO RECORD THE VOTE.

[ROLL-CALL VOTE ] >> MOTION CARRIES.

>> THANK YOU.

MOTION CARRIES.

WE'LL MOVE INTO CLOSED SESSION.

>> WE ARE BACK IN OPEN SESSION TO CONCLUDE THE BUSINESS FOR TODAY.

I WANT TO CALL ON GOVERNOR BLUE.

>> THANK YOU, MR. CHAIRMAN.

THIS REPORT DISCUSSES ITEMS DISCUSSED YESTERDAY.

DR. KIMBERLY VAN NORTH PROVIDED THE REPORT TO BE BROUGHT TO THE COMMITTEE DURING THE APRIL MEETING.

MATT BRODY WITH VARIOUS HUMAN RESOURCE TOPICS.

DEVELOPMENT OF A NEW UNIVERSITY POLICY IN PLANNING UNDER WAY TO UPDATE VARIOUS NONFACULTY SALARY RANGES TOWARD THE SUMMER OF 2021.

MR. BRODY NOTED WORK IS UNDER WAY TO DEVELOP A NEW CLASSIFICATION AND COMPENSATION SYSTEM FOR THE UNIVERSITY'S CAMPUS POLICE OFFICERS.

THE COMMITTEE REVIEWED AN INFORMATIONAL REPORT ON RECENT SALARY INCREASE REQUEST ACTIVITY.

THE REPORT REFLECTS A SUBSTANTIAL DECREASE IN SALARY ACTIVITY COMPARED TO THE EQUIVALENT PERIOD LAST POLICY YEAR IN HUMAN RESOURCE ACTIONS DUE TO COVID-19.

THE COMMITTEE ALSO REVIEWED ROUTINE REPORTS AVAILABLE IN YOUR BOARD EFFECT.

THANK YOU, MR. CHAIRMAN.

THIS CONCLUDES MY REMARKS.

>> THANK YOU, GOVERNOR BLUE.

IN QUESTIONS OR COMMENTS?

WE MISSED YOU.

WE HOPE YOU FEEL BETTER.

>> THANK YOU.

>> YES, MA'AM.

WITHOUT OBJECTION, THAT CONCLUDES OUR BUSINESS FOR TODAY.

WE STAND ADJOURNED.