Repository: UIHistories Project: Board of Trustees Minutes - 1974 Version B [PAGE 160]

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152

BOARD OF TRUSTEES

[January 17

On July 21, 1971, the Board of Trustees authorized the execution of a Memorandum of Understanding with each of the cooperating institutions taking part in the PLATO IV Demonstration Program, describing the principal features of the cooperative effort and delineating the responsibilities to be assumed by the respective institutions. The Board action included a statement of five broad conditions for the cooperative programs. As a consequence of certain changes in projected communications costs and pursuant to clarification of the licensing arrangements with cooperative programs covered by the NSF cost-sharing contract, it is desirable at this time to modify Item 3 and to add Item 6 to the list of conditions. These changes are listed and explained below. (The changes are underscored.) Item 3. The institution in question will supply the required physical facilities for installation, testing, and operation of the student consoles and will seek funds to cover the communications costs. However, the Memorandum of Understanding may specify a maximum annual expenditure for communications by the cooperating institution. Under conditions in which this maximum annual expenditure is less than the total communications cost. CERL will assume the responsibility for seeking the necessary additional grant funds. Explanatory note. When appropriate, a maximum limit on the annual financial commitment to the support of communications should be specified for_ individual participating institutions in order to carry out the program without unduly burdening the cooperating institution. In the case of certain cooperative programs currently under negotiation, the annual unit cost of communications substantially exceeds the initial cost estimates on which the budgetary commitments were based. Reasons for the increased costs are that (a) the initial PLATO IV installations will involve fewer consoles than origina]ly planned and hence a different rate structure applies, and (b) the commercial tariff structure, even for large-scale installations, may be expected to increase as a result of recent rate modifications. For example, the cost of communications using standard telephone service to the installation at Chicago will be approximately $100 per month per console. Hence for the sixty consoles scheduled for installation at the Chicago City Colleges as part of the PLATO Demonstration Program, the annual cost of communications would be approximately $72,000, or about twice the $35,000 budgeted by the Chicago City Colleges. On the other hand, the differential cost for Parkland Community College would be less than $10,000. Item 6. Copyrights to Lesson MaterialsAll copyrightable materials developed under the Demonstration Program. whether or not copyrighted, shall be the property of the University of Illinois. If lesson materials are developed by or in collaboration with cooperating institutions, the net proceeds (after payment of costs) to the University resulting from licensing agreements for the commercial distribution of such copyrighted materials will be shared on an equity basis between the University and the cooperating institution; i.e.. in proportion to investments in personnel. equipment, and/or other expenses incurred by the respective institutions in the development of such lesson materials] ~~ ~~ Explanatory note. The above arrangement for sharing net proceeds from licensing agreements covering copyrighted lesson materials results from a unique and highly significant feature of the PLATO IV system that permits authors at any location and at any student console to write lesson materials. As a result, a significant portion of the lesson materials developed during the Demonstration Program will be written by or in collaboration with staff members of cooperating institutions. The Chancellor at the Urbana-Champaign campus recommends that, subject to the availability of funds, authorization be granted for_ the execution of a Memorandum of Understanding containing the above additional provisions with each of the cooperating institutions.