Repository: UIHistories Project: Board of Trustees Minutes - 1984 [PAGE 105]

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96

BOARD OF TRUSTEES

[November 18

T h e University Planning Council has reviewed the special tuition and fee assessment and the waiver of application fee and has recommended approval. T h e executive vice president concurs. I recommend approval.

On motion of Dr. Donoghue, this recommendation was approved. Adoption of University Guidelines 1982 (Fiscal Procedures for University and University-Related Organizations)

(9) I n May 1977, the Board of Trustees adopted guidelines and definitions for the interpretation and application of State statutes relating to financial management of the University's revenue generating enterprises, activities, and services. T h e same guidelines were adopted by all senior public higher education systems in the State of Illinois. As a result of hearings before the Legislative Audit Commission Subcommittee on Higher Education Fiscal Accountability and discussions with representatives of the Office of the Auditor General and representatives of all the systems of public higher education over the past several years, a revised set of guidelines entitled "University Guidelines 1982" has been developed. A copy of the new guidelines has been filed with the secretary of the board for record. "University Guidelines 1982" contains adjustments to definitions and formulae in t h e former guidelines relating to indirect cost reimbursement funds, tuition, charges and fees, auxiliary enterprises, activities, reserves and excess funds, revenue bonds, and investment income. Substantive changes were based upon operating experience under the former guidelines and represent clarification and improvements of the earlier document. In addition, the document outlines the relationships to be followed between universities and university-related organizations (foundations, athletic associations, alumni associations and corporate outgrowths). Any such organization may elect either to have only Section V I apply to it as a "universityrelated organization" or to come under Section V I I as an "independent organization." T h e document in its present form has been clarified during the course of public hearings before the Legislative Audit Commission Subcommittee. For example, it is understood that non-instructional facilities reserves may be established for both revenue bond entities and for non-indentured entities, and that the award of an architect or engineer contract satisfies the construction contract requirement related to such reserves. T h e executive vice president recommends the adoption of the "University Guidelines 1982" presented herewith, the rescission of the May 1977 action of the board adopting the earlier guidelines, and the implementation of the 1982 guidelines not later than June 30, 1983. I concur, and recommend the adoption of the following resolution: Whereas, the four senior public higher education systems in Illinois have developed a set of guidelines and definitions codifying fiscal practices in the handling of locally held funds, prescribing interrelationships between the universities and certain related organizations, and providing certain reporting procedures, all as contained in a document entitled "University Guidelines 1982" as presented to this meeting and filed with the secretary of the Board of Trustees; Now, Therefore, be it Resolved versity of Illinois that: by the Board of Trustees of the Uni-

1. "University Guidelines 1982" are adopted as the operating policy of the University of Illinois with respect to the matters contained therein and shall be implemented not later than June 30, 1983;