THE PENNSYLVANIA STATE UNIVERSITY

The University Faculty Senate

AGENDA

Tuesday, September 10, 2002, at 1:30 PM in

112 Kern Graduate Building

[In the case of severe weather conditions or other emergencies, please call the Senate Office

at (814) 863-0221 to determine if a Senate meeting has been postponed or canceled. This may be

done after business office hours by calling the Senate Office number and a voice mail message can

be heard concerning the status of any meeting.]

A. MINUTES OF THE PRECEDING MEETING -

Minutes of the April 23, 2002, Meeting in The Senate Record 35:7 [www.psu.edu/ufs/recordx.html]

B. COMMUNICATIONS TO THE SENATE - Senate Curriculum Report (Blue Sheets) of

August 27, 2002

[www.psu.edu/ufs/bluex.html]

Seating Chart for 2002-03

C. REPORT OF SENATE COUNCIL - Meeting of August 27, 2002

D. ANNOUNCEMENTS BY THE CHAIR -

E. COMMENTS BY THE PRESIDENT OF THE UNIVERSITY -

F. FORENSIC BUSINESS –

G. UNFINISHED BUSINESS –

H. LEGISLATIVE REPORTS –

I. ADVISORY/CONSULTATIVE REPORTS -

J. INFORMATIONAL REPORTS –

Admissions, Records, Scheduling and Student Aid

Awards and Scholarships

Faculty Benefits

Performance of the TIAA-CREF Retirement Savings Plan

Joint Committee on Insurance and Benefits

Annual Report – June 2002

Undergraduate Education

University Advising Council

University Planning

Intermodal Transportation Concept

K. NEW LEGISLATIVE BUSINESS -

L. COMMENTS AND RECOMMENDATIONS FOR THE GOOD OF THE UNIVERSITY -

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Note: The next regular meeting of the University Faculty Senate will be held on Tuesday,

October 22, 2002, at 1:30 PM in Room 112 Kern Building.

THE PENNSYLVANIA STATE UNIVERSITY

The University Faculty Senate

101 Kern Graduate Building

University Park, PA 16802

(814) 863-1202 – phone (814) 865-5789 – fax

Date: August 28, 2002

To: John W. Moore, Chair, University Faculty Senate

From: Shelley M. Stoffels, Chair, Senate Committee on Curricular Affairs

The Senate Curriculum Report dated August 27, 2002, has been circulated throughout the University. Objections to any of the items in the report must be submitted to the University Curriculum Coordinator at the Senate Office, 101 Kern Graduate Building, e-mail ID sfw2@psu.edu, on or before September 26, 2002.

The Senate Curriculum Report is available on the web. It can be accessed via the Faculty Senate home page (URL http://www.psu.edu/ufs). An electronic mailing list is used to notify individuals of its publication. Please contact the Curriculum Coordinator at the e-mail ID indicated above if you would like to be added to the notification list.

THE PENNSYLVANIA STATE UNIVERSITY

SEATING ARRANGEMENT FOR UNIVERSITY FACULTY SENATE

112 Kern Graduate Building

AISLE RIGHT SECTION (Facing Stage) AISLE

=======================================================================================

Row A 001 Susan Abmayr 005 Anthony Ambrose

002 Cheryl Achterberg 006 Richard Ammon

003 Phyllis Adams 007 James Anderson

004 Richard Althouse

___________________________________________________________________________________________________

Row B - 008 Mohamad Ansari 013 Connie Baggett

009 Lauren Applegate 014 Anthony Baratta

010 Anthony Atchley 015 Guy Barbato

011 Deborah Atwater 016 David Barnes

012 Kultegin Aydin 017 Paul Barney

___________________________________________________________________________________________________

Row C - 018 Richard Barshinger 024 Leonard Berkowitz

019 Rosann Bazirjian 025 Leonid Berlyand

020 Aida Beaupied 026 Thomas Berner

021 Laura Beck 027 Hemant Bhargava

022 Paul Becker 028 Edward Bittner

023 Thomas Benson

_____________________________________________________________________________________________

Row D - 029 Dawn Blasko 035 Laurie Breakey

030 Ingrid Blood 036 David Breslin

031 John Boehmer 037 Robert Bridges

032 Edward Bollard 038 Dan Brinker

033 Robert Bonneau 039 Douglas Brown

034 Thomas Boothby 040 Stephen Browne

___________________________________________________________________________________________________

Row E - 041 Barton Browning 048 John Cancro

042 Victor Brunsden 049 Michael Cardamone

043 Charles Burchard 050 Richard Carlson

044 Robert Burgess 051 Lynn Carpenter

045 Keith Burkhart 052 Arthur Carter

046 John Cahir 053 Meshawn Carter

047 Clay Calvert

___________________________________________________________________________________________________

Row F - 054 Mark Casteel 062

055 Gary Catchen 063 VISITOR

056 Joseph Cecere 064 SECTION

057 John Challis 065

058 Debora Cheney

059 Michael Chorney

060 Chao-Hsien Chu

061 Roy Clariana

___________________________________________________________________________________________________

Row G - 066 Paul Clark 075

067 Lance Cole 076 VISITOR

068 Milton Cole 077 SECTION

069 Lee Coraor 078

070 Elizabeth Corwin

071 Eric Cowden

072 David Cranage

073 Robert Crane

074 Robert Crum

AISLE RIGHT SECTION (Facing Stage) AISLE

___________________________________________________________________________________________________

Row H - 079 Brian Curran 089

080 Wayne Curtis 090 VISITOR

081 Dwight Davis 091 SECTION

082 Gordon De Jong 092

083 Travis DeCastro

084 Peter Deines

085 Laurence Demers

086 Diane Disney

087 Cheng Dong

088 James Donovan

___________________________________________________________________________________________________

Row I 093 Caroline Eckhardt 104

094 Roger Egolf 105 VISITOR

095 James Elder 106 SECTION

096 Bill Ellis 107

097 Terry Engelder

098 Charles Enis

099 Rodney Erickson

100 Paul Eslinger

101 Jacqueline Esposito

102 Christine Clark-Evans

103 Dorothy Evensen

____________________________________________________________________________________________________

Row J - 108 Peter Everett 120

109 Christopher Falzone 121 VISITOR

110 Fred Fedok 122 SECTION

111 Charles Fisher 123

112 Joanna Floros

113 Ryan Fortese

114 Gary Fosmire

115 William Frank

116 Mary Frecker

117 Joyce Furfaro

118 Andrzej Gapinski

119 Roger Geiger

____________________________________________________________________________________________________

Row K - 124 SENATE PERSONNEL 136

125 SENATE PERSONNEL 137 VISITOR

126 SENATE PERSONNEL 138 SECTION

127 139

128

129

130

131 Gregory Ziegler

132 Stamatis Zervanos

133 Edgar Yoder

134 Billie Willits

135 Nancy Williams

___________________________________________________________________________________________________

Row L - 140

141 VISITOR

142 SECTION

143

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THE PENNSYLVANIA STATE UNIVERSITY

SEATING ARRANGEMENT FOR UNIVERSITY FACULTY SENATE

112 Kern Graduate Building

AISLE LEFT SECTION (Facing Stage) AISLE

======================================================================================

Row A 007 003

006 002

005 001

004

__________________________________________________________________________________________________

Row B - 018 Madlyn Hanes

017 Daniel Hagen 012 Dennis Gouran

016 Wallace Greene 011 Margaret Goldman

015 David Green 010 Thomas Glumac

014 Timothy Gray 009 David Gilmour

013 Robert Gray 008 Peter Georgopulos

__________________________________________________________________________________________________

Row C - 031 Brandon Hunt

030 Pamela Hufnagel 024 Kane High

029 Alan Horwitz 023 Julia Hewitt

028 Dale Holen 022 John Harwood

027 Jay Holcomb 021 Irene Harvey

026 James Hilton 020 Norman Harris

025 Robert Hill 019 Elizabeth Hanley

__________________________________________________________________________________________________

Row D - 046 Steven Koeber

045 Amir Khalilollahi 038 Christopher Johnstone

044 Kenneth Kephart 037 Ernest Johnson

043 Richard Kennedy 036 Leif Jensen

042 Peter Jurs 035 Deidre Jago

041 Michael Jonson 034 Janis Jacobs

040 Terrell Jones 033 Zachary Irwin

039 Billie Jo Jones 032 Ali Hurson

__________________________________________________________________________________________________

Row E - 062 Wayne Marshall 054 Luen-Chau Li

061 Daniel Marshall 053 Mark Levin

060 Cynthia Massie-Mara 052 Alphonse Leure-duPree

059 Digby Macdonald 051 Daniel Larson

058 Christopher Lynch 050 Pablo Laguna

057 Nancy Love 049 Donald Kunze

056 Kathleen Lodwick 048 John Kramer

055 Amy Locke 047 Ravinder Koul

__________________________________________________________________________________________________

Row F - 078 Rajen Mookerjee 070 Gwenn McCollum

077 Elise Miller-Hooks 069 Ronald McCarty

076 Arthur Miller 068 James May

075 Louis Milakofsky 067 Kevin Maxwell

074 Craig Meyers 066 Anna Mattila

073 Kidane Mengisteab 065 Andrew Masters

072 Annette McGregor 064 John Mason

071 Sallie McCorkle 063 Salvatore Marsico

__________________________________________________________________________________________________

Row G - 095 Gary Petersen 086 Dawn Noga

094 Joy Perrine 085 Victor Nistor

093 Eva Pell 084 John Nichols

092 Katherine Pearson 083 Paul Neiheisel

091 Judy Ozment Payne 082 Jamie Myers

090 Laura Pauley 081 Al Mueller

089 Robert Pangborn 080 Wilson Moses

088 Mary Beth Oliver 079 Karen Morin

087 Robert Novack

AISLE LEFT SECTION (Facing Stage) AISLE

_________________________________________________________________________________________________

Row H - 111 Dawn Rupp 101 Howard Sachs

110 William Rowe 100 Peter Rebane

109 Andrew Romberger 099 Jean Landa Pytel

108 Paula Romano 098 Frank Pugh

107 John Romano 097 Thomas Poole

106 Michael Ritter 096 Martin Pietrucha

105 Robert Ricketts

104 Irwin Richman

103 Winston Richards

102 David Richards

__________________________________________________________________________________________________

Row I 129 Semyon Slobounov 118 Alan Scaroni

128 Timothy Simpson 117 Dennis Scanlon

127 Richard Simons 116 Sandra Savignon

126 Julia Simon 115 Dhushy Sathianathan

125 Patience Simmonds 114 Louise Sandmeyer

124 Dennis Shea 113 Karen Sandler

123 Thomas Seybert 112 David Russell

122 Ladislaus Semali

121 Robert Secor

120 Cara-Lynne Schengrund

119 Stephen Schaeffer

__________________________________________________________________________________________________

Row J - 148 Reiko Tachibana 136 Summer Spangler

147 Bonj Szczygiel 135 Kristin Sommese

146 Mila Su 134 Stephen Smith

145 James Strauss 133 Sandra Smith

144 Valerie Stratton 132 James Smith

143 Shelley Stoffels 131 Edward Smith

142 Dagmar Sternad 130 Carol Smith

141 Kim Steiner

140 Macklin Stanley

139 Stephen Stace

138 John Spychalski

137 Graham Spanier

__________________________________________________________________________________________________

Row K - 167 Kay Wijekumar 154 Tramble Turner

166 Barbara Wiens-Tuers 153 Rodney Troester

165 Eric White 152 Brian Tormey

164 Douglas Werner 151 Paul Tikalsky

163 Susan Welch 150 Joan Thomson

162 Marley Watkins 149 Evelyn Thomchick

161 Robert Walters

160 James Wager

159 Richard Wade

158 Alexandros Vgontzas

157 Keith Verner

156 Thomas Vary

155 John Urenko

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SENATE COMMITTEE ON ADMISSIONS, RECORDS,

SCHEDULING AND STUDENT AID

Awards and Scholarships

(Informational)

This committee is charged with selecting the recipients of those awards and scholarships that come under the jurisdiction of the University Faculty Senate. Awards were made based on the following guidelines:

1. Scholarship and need were the primary criteria.

2. In the selection of recipients, the committee followed the

donor’s specifications as approved by the Board of Trustees.

3. Awards were made beginning with those students who had the

highest cumulative grade point average and most substantial

need.

The following is a summary of the committee’s work. It should be noted that the committee awarded all available funds. A list of the students receiving awards is on file in the Senate Office.

SENATE COMMITTEE ON ADMISSIONS, RECORDS, SCHEDULING AND STUDENT AID
Edward W. Bittner
Stephen Browne
Mark A. Casteel, Chair
Milton W. Cole
Anna Griswold
Geoffrey J. Harford
Steven D. Koeber
Chau-Luen Li
Christopher J. Lynch
Paul Neiheisel
John J. Romano
Thomas A. Seybert
Carol A. Smith, V. Chair
Richard A. Wade
J. James Wager

PLEASE CONTACT THE SENATE OFFICE IF YOU WANT A COPY OF THE CHART

SENATE COMMITTEE ON FACULTY BENEFITS

Performance of the TIAA-CREF Retirement Savings Plan

Executive Summary

(Informational)

The following report compares the performance of the investment funds in the Teacher’s Assurance & Annuity Association and College Retirement Equities Fund (TIAA-CREF) to several key benchmarks during the most recent one and five year periods. Sixty-two percent of the 15,000 benefits-eligible employees participate in this plan. The remaining thirty-eight percent (approximately 700 faculty members) participate in the State Employees’ Retirement System (SERS). Employees must invest an amount equal to 14.3% of their annual salary in one or more of the ten accounts available. Penn State contributes 9.3% of the annual salary and the employee contributes a mandatory 5% to the retirement plan. This informational report lets faculty know that other funds may be performing better now, especially since TIAA-CREF, which lost its tax-exempt status recently due to its decision to offer financial services to the general public, may not be the star it has been for so many years.

Table 1 shows the average annual rate of return for the most recent five years as well as the rate of return for the last twelve months. Last year’s return rate was one of the poorest years for investments in the last twenty-five years. In light of recent changes in the TIAA-CREF program, Penn State faculty and administration may need to consider whether additional retirement investment options should be made available to Penn State employees.

SENATE COMMITTEE ON FACULTY BENEFITS
Keith K. Burkhart
Gary L. Catchen
Michael Dooris
Elizabeth A. Hanley
Deidre E. Jago, Chair
Kathleen L. Lodwick
Cynthia Massie-Mara
Sandra J. Savignon
Cara-Lynne Schengrund
Dennis G. Shea, Vice-Chair
Patience L. Simmonds
Marley W. Watkins
Billie S. Willits

SENATE COMMITTEE ON FACULTY BENEFITS

Performance of the TIAA-CREF Retirement Savings Plan

(Informational)

INTRODUCTION

The faculty and staff compensation package at Penn State consists of annual salary, a health care plan, and retirement savings plan. The Committee reports to the Senate annually on salaries and frequently reports on health care. Retirement savings plans have received less attention from the Senate, to date. This is the first of the Committee’s occasional reports to the Senate on Penn State faculty and staff retirement savings plans.

At present, Penn State contributes 9.3% of salary payments (contract salary plus any supplemental salary payments) to an individual’s retirement savings plan. The faculty member makes a mandatory before-tax contribution of 5% of salary payments to this plan. Therefore, total mandated contributions to a retirement plan are 14.3% of annual salary, at this time. In accordance with state law, on joining the University faculty members must make an irrevocable decision to have these contributions credited to the State Employee’s Retirement System (SERS) or to a plan administered by a private insurance firm, Teacher’s Assurance & Annuity Association and College Retirement Equities Fund (TIAA-CREF). Furthermore, once this commitment is made, an individual’s retirement savings in each plan are locked in until employment at Penn State ends, regardless of changes in potential retirement benefits available from either plan.

SERS is a defined benefit plan, which means that the monetary value of retirement benefits depends on a formula that incorporates,

(a) the number of years contributions are made to the plan, which is equivalent to the length of Penn State employment (also called the enrollment period),

(b) the average of the 3 highest annual incomes received from Penn state during the enrollment period and,

Currently, the retirement credit is 2.5% of the average of 3 highest annual incomes multiplied by the number of years of service in the System for employees with 25 years or more of service. (This was recently increased from 2.0%.) These funds are invested by the state agency administering the SERS. Retirement benefits received by SERS enrollees do not depend on the performance of the SERS investment funds or on any investment decision of the employee. The state underwrites (guarantees) these benefits. Retirees do not share in gains received by the SERS fund, regardless of the performance of these investments in stocks, bonds, and money market instruments. On the other hand, retirees are indemnified against any losses incurred by the SERS fund.[1]

By contrast, TIAA-CREF provides a defined contribution plan. In this plan retirement benefits depend on,

(a) the mandatory contributions made to the plan during the enrollment period, which depends on the employee’s yearly Penn State salary income over the entire employment period,

(b) the employee’s personal decision on allocation of these funds among TIAA-CREF ten investment accounts (enrollees have limited freedom to invest in any combination of these 10 funds) and on,

(c) the gains and losses in these investment accounts resulting market conditions and from decisions of TIAA-CREF investment managers.

At present, a majority of faculty and staff are enrolled in the TIAA-CREF plan. The performance of TIAA-CREF investment accounts is an important determinant of future retirement benefits for these employees. This report focuses on the performance of these investment accounts and compares them to benchmarks.

COMPARATIVE PERFORMANCE OF TIAA-CREF RETIREMENT FUNDS (ACCOUNTS)

Every academic institution that offers the TIAA-CREF retirement plans to its employees has a separate contract with that organization. State regulations are currently restrictive in that Penn State employees who participate in the TIAA-CREF retirement plan must invest their mandatory contributions in one or more of the TIAA-CREF investment accounts, which are similar to mutual funds.

(Penn State employees may elect to make voluntary tax-deferred contributions to one of 5 supplementary annuity plans available through Penn State. TIAA-CREF is one of these providers of supplemental annuities. Contributions to these plans are facilitated by the University through payroll deduction, but no separate funds are contributed by Penn State to these supplemental plans. Employee withholdings are tax deferred to the extent permitted by law. This report does not cover these voluntary plans.)

Table 1 reports recent returns on these investment funds as well as comparable information about them.[2] The 10 fund choices, called accounts, are listed in column [A]. We do not have information about the choices of these TIAA-CREF funds that were made by Penn State employees. However, we do know about the total amount of money managed by TIAA-CREF for all of its participants. These are shown in columns [F] and [G]. Of the ten investment choices available to Penn State employees, 2 are TIAA funds and 8 are CREF funds.

Rates of return on investment accounts vary considerably from year to year. We used the average annual rate of return for the most recent 5 years as a reasonable indicator of long-term returns on these accounts since it would be speculative to rank accounts on the basis of short-term results. This 5-year average is shown in col. [D]. However, we also show the last 12 month’s return, col. [C], because this was one of the poorest years for investments in the last 25 years (and which we hope will prove to be a “worst case” scenario). Comparison of columns [C] and [D] illustrates variation in returns.

Nearly half of the retirement savings managed by TIAA-CREF for all of its participants (Penn State and non-Penn State) are invested in the TIAA TRADITIONAL ANNUITY account. This account pays a moderate rate of return on investments that is fixed annually by the TIAA and is guaranteed for one year; it is the only account that guarantees against loss of principal and is, therefore, the most conservative. This rate has been adjusted downward in recent years. It was 7.0% during the past 12 months (see col. [C] ) and averaged 7.2% over the past 5 years, as shown in col. [D].[3] Fortunately, this fixed rate generally exceeds the rate of inflation, which was 1.2% in 2001.

Following the conventional practice in financial markets, we measured an investment fund’s performance over the most recent 1 and 5 year periods by comparing it with a benchmark investment fund that invests in the same type of assets. For all but one of the CREF investment funds, we used the benchmark listed in the Appendix. [H].[4] In most cases this was the benchmark used by TIAA-CREF itself. In other cases, where appropriate, the Committee used a modified benchmark. The specific benchmarks are explained in the Appendix to this report. Those rates of return that exceeded the benchmark rate of a particular investment fund are bold-faced in columns [C] and [D].

The oldest and most popular CREF account is the CREF STOCK account, which currently holds 38% of all TIAA-CREF participants’ savings. Its average annual 5 year return of 8.3% slightly exceeds that of the benchmark rate 8.0%.[5] However, last year’s rate of return for this fund was far worse than the benchmark. The average world stock market return showed a loss of 8.3% for 2001, in what was a very bad year for the markets. But the CREF Stock Market fund lost nearly 14% (which would hurt a participant with heavy investment in that account and who retired that year). This illustrated that the CREF Stock Fund suffers significant yearly fluctuations. In efficient investment markets risky investments should reward the investor with relatively higher potential returns. The risk vs. reward balance is essential to a sound retirement savings plan. These figures show that the CREF Stock account may be giving the participant high risk exposure, but it provides little extra reward compared with less volatile investments.

Morningstar is a widely used and respectable mutual fund rating service that assigned 1 to 5 stars to any investment fund. The Morningstar rating balances risk and reward. If a mutual fund has low returns relative to high-risk exposure it earns 1 or 2 stars (like hotels, there are no zero star mutual funds). If return is large relative to risk it earns 4 or 5 stars. CREF Stock account earns only 3 stars, which academics can regard as a “C” grade.

The third most popular CREF fund is the CREF Growth Stock account. This is the account that enables participants to benefit the most from economic growth and it should be its most promising investment choice. But it gets a 2 star “D” rating because it has a roller coaster history of returns. (At one point in 2001 its price was down nearly 50% from its high.) It lost a whopping 23% over the past 12 months, while peer funds lost only half as much.

Experiences with the TIAA-CREF stock market accounts demonstrate the need for faculty and staff members who are enrolled in TIAA-CREF to give particular attention to asset allocation and asset management as retirement nears.

However, in general, the performance of TIAA-CREF investment funds was marginally above the benchmarks, although some accounts gave below average investment results compared with their riskiness. In all, seven of the eight TIAA-CREF accounts that could be benchmarked over the past five years had returns that exceeded its benchmark rate of return. However, its largest funds had “C” and “D” grades. Indeed, participants who relied on these funds to steward their retirement savings had some disappointments. Only two accounts had “A” grades. They held relatively small amounts of money and neither gave stellar returns relative to their benchmarks.

CONCLUDING OBSERVATIONS

The data in Table 1 and observations in this Report are not intended to provide guidance for placement of individuals’ retirement savings. The range of issues that would be relevant for investment decision-making is too complex and too specific to individual circumstances to be properly treated here. The Committee considers investment advice to be outside its charge.

TIAA-CREF was an innovative provider of financial services to the academic community for several decades. But it is no longer a superior manager of retirement savings. The organization has changed and this change may be related to its loss of position. A few years ago new management decided to offer financial services to the general public and it now sells mutual funds and other products that are similar to what it offers the academic community. One result is that outside rating agencies are now following its funds’ investment performance. Ratings given by Lipper and by Investors’ Business Daily show some funds in the “C” and “D” category. Furthermore, TIAA-CREF’s decision to enter the non-academic marketplace (offering its financial services to the general public) led to an act of Congress that withdrew its tax-exempt status so that it now must devote a share of its earnings to taxes rather than to servicing clients. We can only hope that its performance will improve as it now has entered the public arena where it must compete with such savvy giants as Vanguard, Fidelity, Prudential, and American Express. The academic community no longer has its exclusive attention.

In accordance with current state law, Penn State employees who do not enroll in SERS, when joining the University, must use TIAA-CREF to manage their retirement savings and they are locked into this organization for the duration of their University tenure. Some participants believe that the huge stream of income that TIAA-CREF receives from Penn State gives that organization a strong incentive to manage funds well. Others believe that this incentive is weakened by the inability of employees to elect another organization (aside from SERS) to manage their mandated contributions to a retirement savings plan. It is possible that state regulators will someday permit mandatory contributions to be made to other retirement savings plan providers; a wider choice is likely to benefit most participants.

FACULTY BENEFITS COMMITTEE AY2001-2002

Michael Bernhard

Keith Burkhart, chair

John Dawson Jacob De Rooy, Chair

Jacob De Rooy

Anne McGregor, vice-chair Patience Simmons

Dennis Shea

Patience Simmonds

Sandra Smith

Mark Strikman

Billie S. Willits

Staff Support: Michael Dooris

APPENDIX: BENCHMARK RATES OF RETURN FOR TIAA-CREF INVESTMENT ACCOUNTS

TIAA-CREF INVESTMENT ACCOUNTS and BENCHMARKS
INVESTMENT ACCOUNT	BENCHMARK USED FOR THIS REPORT (Benchmark selected by TIAA-CREF, unless otherwise noted)
CREF STOCKS	CREF reports that it uses two benchmarks to internally evaluate this investment account: the Morgan Stanley World Stock Index and the Russell 3000 Stock Index. Because CREF invests about 19% of its funds in foreign stocks, the Committee’s benchmark is equal to 19% of the rate of return on the Morgan Index and 81% of the rate of return on the Russell Index.
CREF GLOBAL EQUITIES	Rate of return on Morgan Stanley World Stock Index
CREF GROWTH STOCKS	Rate of return on Russell 3000 Stock Index
CREF EQUITY INDEX	Rate of return on Russell 3000 Stock Index
CREF SOCIAL CHOICE	Because the account currently invests about 40% in bonds, and the remainder in stocks, of socially responsible corporations, the Committee’ benchmark is equal to 40% of the rate of return on the Lehman Brothers Aggregate Bond Index and 60% of the rate of return on the Standard & Poor’s 500 Common Stock Index.
CREF BONDS	Rate of return on the Lehman Brothers Aggregate Bond Index
CREF INFLATION-INDEXED BONDS	(This investment account does not have a designated benchmark index chosen by CREF)
CREF MONEY MARKET	(This investment account does not have a designated benchmark index chosen by CREF); the Committee used the WALL STREET JOURNAL iMoneynet Market Fund Average for Taxable Funds
TIAA REAL ESTATE	(This investment account does not have a designated benchmark index chosen by CREF); the Committee used the WALL STREET JOURNAL Real Estate Sector Fund index
TIAA TRADITIONAL	(This investment account does not have a designated benchmark index chosen by CREF)

Notes:

(a) Sources are College Retirement Equities Fund Annual Reports, The Wall Street Journal, TIAA-CREF Investment Forum.

(b) To make the benchmarks comparable to the investment account returns, the Committee reduced the published benchmark rates of return by the size of the TIAA-CREF administrative costs.

JOINT COMMITTEE ON INSURANCE AND BENEFITS

Annual Report – June 2002

(Informational)

Our previous annual report covered the time period from November, 2000 through August, 2001. Since that time, the Joint Committee on Insurance and Benefits has met on October 22, 2001, December 10, 2001 and May 14, 2002.

This report is a summary of the issues reviewed and discussed and the actions recommended by the Committee in the following areas:

· Health Care Rates

· Health Plan Issues and Changes

· Benefits Changes Online

· Student Immunizations

· “Life Events” Website

· SERS Changes

· Military Leave Benefits

· Occupational Medicine Program

Health Care Rates

During the October meeting, the committee reviewed the proposed health care rates for 2002, including the percentage of increase in costs from the previous year. It was noted that the cost of the Plan A indemnity plan remained approximately the same as in 2001, which was quite unusual. However, there were substantial rate increases in several of the other health plans. The committee concluded that rising pharmacy costs, along with new medical technology and treatment methods, were some of the most significant factors that accounted for the sharp rise in health care rates.

It was agreed by the committee that the Office of Human Resources should continue to monitor and request more data regarding health care trends as the year 2002 progressed in order to be prepared for any possible increase in costs.

Health Plan Issues and Changes

Each year there is a certain amount of shifting among some of the health care providers and those physicians, hospitals and other facilities who participate within their networks. In addition, counties in Pennsylvania that are eligible to participate in certain health plans may vary from year to year.

For example, as of January 1, 2002 the Aetna U.S. Healthcare Golden Medicare HMO was no longer available to retirees who reside in Lehigh and Montgomery Counties. However, those retirees were provided another medical plan choice--the University Medicare Supplement plan.

In addition, in April 2002 several health care facilities withdrew from the Health Net HMO network in southeastern Pennsylvania. As a result, the participants in the Health Net HMO were given the opportunity to switch to an Aetna U.S. Healthcare plan, if they wished.

On another subject, the committee was informed that the Office of Human Resources has established a goal for the 2002-2003 fiscal year to develop a strategic plan with HealthAmerica, as well as all of the other health plan administrators who are contracted with Penn State, to monitor health care costs and review plan designs.

With regard to the University’s dental coverage, the committee agreed that it was advisable to be open to continually consider other dental plan options in case there were more affordable plans with equally good, or better, coverage.

Since July 1, 1997, when The Milton S. Hershey Medical Center Pharmacy was no longer directly a unit within Penn State, faculty and staff of the University were no longer able to receive their maintenance drugs under the Maintenance Prescription Drug Plan through that pharmacy. As a result, those employees began requesting to receive their prescriptions from the University Health Services Pharmacy at University Park. Consequently, because of the increased volume of prescription requests, the turn around time for filling prescriptions had not been satisfactory for some time at the University Health Services Pharmacy. However, the committee was pleased to learn that the dispensing of maintenance prescription drugs at the University Health Services Pharmacy recently had shown a marked improvement. This was partially due to the efforts of a new pharmacist, along with the addition of a new drug-dispensing machine.

At the present time the Psychology Clinic located at University Park is not included as a facility that participates in the Employee Assistant Program (EAP) program. The Joint Committee discussed the possibility of adding the clinic as another option to the EAP network. The committee agreed that it was worth researching the matter to determine if the Psychology Clinic would be interested in participating and whether they were equipped to handle the numbers and types of cases that may be presented. Furthermore, the committee was very specific in recommending that the clinic should be viewed by the EAP participants as a facility that was available “in addition to” all the other EAP providers with no obvious, or implied, pressure to use the clinic.

Benefits Changes Online

For the first time, as of November 1, 2001, employees were able to request changes to their medical, dental and/or vision coverage online, via the web, rather than by paper copy. A future goal of the Office of Human Resources is to provide a means so that employees can enroll in, or make changes online, to any of the five tax-deferred annuity plans that are available through Penn State.

Student Immunizations

Due to the possibility of students contacting infectious meningitis, the committee reviewed the results of a survey with the other Big Ten universities regarding their requirements for student immunizations. There were varied responses. Some schools required the immunizations, and some did not. Several HMO health plan administrators also were contacted. From the health plan administrators who responded, most of the health plans did not cover the immunization at that time. However, a few plans covered the immunization if it was a “high risk” situation. The committee agreed that it was difficult to decide whether this item should be included under Penn State health plans because it would create a considerably higher cost relative to the low number who may be at risk. Until a clearer decision can be reached, faculty and staff are encouraged to use the flexible spending account opportunity.

“Life Events” Website

During their employment with Penn State, faculty and staff members encounter a variety of personal and professional milestones that may cause them to seek additional information regarding their employee benefits, the University’s policies and programs and/or other offerings. When the suggestion of allowing the Office of Human Resources to create a “Life Events” website was presented, the committee was very supportive of the idea. The website would offer assistance and direction regarding needs that may arise, such as providing benefits options at the time of employment, advising employees of any actions that may be required as the result of marriage, divorce, arrival of children, absences from the University, disability and retirement. The site is currently in test and is expected to be available in the Fall, 2002.

SERS Update

On July 1, 2001, the State legislators passed Act 2001-9 that permitted employees who were enrolled in the State Employees’ Retirement System (SERS) to retire using a multiplier of 2.50%, instead of 2.00%. When this option to elect Class AA service became available to SERS participants, they were required to make an election no later than December 31, 2001.

During their December meeting, the committee was informed that as of that date there were 703 employees who were enrolled in SERS but who had not elected Class AA service. For those employees who elected the Class AA service, their monthly contribution towards their SERS retirement plan increased from 5.00% to 6.25% on January 1, 2002

Military Leave Benefits

From time to time the Office of Human Resources reviews its policies regarding military leave. The committee was informed that Penn State had issued a “Supplementary Bulletin” which provided a $500 stipend, per month, for reservists who were called to active duty as a result of September 11, 2001 events. This “Supplementary Bulletin” was modeled after that of the Commonwealth of Pennsylvania and intended for those who planned to return to employment after active duty. In addition if desired, reservists and/or their families could remain under a Penn State benefits plan at the regular rate. Policy HR-19 continues to provide that those reservists who were on active duty would be eligible for educational privileges and could continue to make retirement contributions if they were enrolled in TIAA-CREF. SERS members could buy back up to five years of active military service upon return to work.

Occupational Medicine Program

The committee agreed that Occupational Health Services are needed at Penn State. The task force, created to review Occupational Health Services and Worker’s Compensation, was the result of a need for a closer relationship between Occupational Medicine and Worker’s Compensation in order to share more data and look at the broader point of view. It was the consensus of the committee that Penn State should have a facility for occupational medicine. It was suggested that perhaps Penn State could out source with the College of Medicine at Hershey to provide services at University Park. If not, then the two programs needed to be more closely aligned.

JOINT COMMITTEE ON INSURANCE AND BENEFITS
Kenneth S. Babe
Bill Ellis
George W. Franz, Chair
Nancy J. Hensel
Michael G. Klein
Joan M. Lakoski
Patricia J. Long
Leonard J. Berkowitz
Patience Simmonds
Billie S. Willits

SENATE COMMITTEE ON UNDERGRADUATE EDUCATION

University Advising Council

(Informational)

In Spring 1999, Senate legislation (Policy 32-00) established the University Advising Council (UAC). The first report of the activities of the UAC to the Senate was given in March of 2000. This informational report is an update on the UAC activities.

While other universities have bodies similar to the University Advising Council, this one is unique in its Senate origins and in its inclusive membership of faculty advisers, staff advisers, advising administrators, administrators with a vested interest in advising and students. The council is chaired by the Vice-Provost and Dean for Undergraduate Education and consists of two faculty who are members of the Senate Committee on Undergraduate Education, two students, two academic advisers, and two administrators appointed by the chair of the Council. Faculty on the Council last year were Jill Findeis of Agricultural Sciences, Jean Pytel of Engineering, Richard Robinett of Science, Dennis Scanlon of Agricultural Sciences, Thomas Seybert of Engineering, and Carol Smith of Health and Human Development.

When possible, the UAC initiatives are posted on its web site at www.psu.edu/dus/uac. Such initiatives have included an exemplary practices in academic advising site, a University-wide advising contact (via e-mail addresses) matrix by college and campus, and examples of advising assessment instruments. The UAC invites suggestions for additional initiatives from the faculty.

Initiatives since the last report have been:

The development of guidelines for advising web sites. These are posted on the UAC site.

Recommendations to the Administrative Committee on Undergraduate Education (ACUE) on suggested procedures and adjustments to provide more openings in heavily-subscribed courses that first year students either need or want to take.

Initiatives for the coming year include:

An examination of the impact of the recommendations from the UAC to ACUE on course availability.

The development of a best practices catalog for advising advanced standing students.

The examination and potential recommendation of web based-advising tools.

The integration of the advising of students taking courses via the World Campus into established Senate policies and procedures.

Issues related to the advising of nondegree regular students.

The development of a best-practice catalog for the advising of change-of-assignment students.

SENATE COMMITTEE ON UNDERGRADUATE EDUCATION
Cheryl L. Achterberg
Richard I. Ammon
Laura M. Beck
Thomas E. Boothby
John J. Cahir
John P. Cancro
Paul F. Clark
Terry Engelder
Cheryl Gallagher
Peter D. Georgopulos
Robert S. Hill
Richard R. Kennedy
John H. Kramer
Amy E. Locke
Nancy S. Love
Laura L. Pauley, Chair
Robert D. Ricketts, V-Chair
David W. Russell
Dhushy Sathianathan
Dennis C. Scanlon
Julia B. Simon
James A. Strauss
D. Joshua Troxell
Eric R. White

SENATE COMMITTEE ON UNIVERSITY PLANNING

Intermodal Transportation Concept

(Informational)

The Senate Committee on University Planning is sponsoring a report on the current planning for transportation in and around the University Park Campus. The plan will impact the way most of us commute to and from campus as well as how we move about the campus. Dubbed the Intermodal Transportation Concept, the plan was developed to address the need to provide adequate access to campus, create a pedestrian friendly environment and to provide a wide range of alternatives to accessing the UP Campus. It is the result of the long-term planning process for the University Park Campus.

In this report, Gordon Turow and Bill Anderson will describe the plan as it is today and how it integrates transportation by various means or modes, hence the name intermodal. They discuss the integration of private automobile commuting with improved bus service, the use of bicycles, and the reduction of automobile traffic in critical highly traveled pedestrian corridors. Because of the impact that the plan will have on the University community and the region at large, the Committee on University Planning has asked Gordon Turow and Bill Anderson to present the plan to the Senate for information and discussion. Since the plan is a dynamic one, this discussion will provide the faculty with an opportunity to comment for the good of the University on the proposal.

In accordance with the University Park Campus Master Plan, the Intermodal Transportation Concept has been developed to:

(1) prioritize pedestrian safety

(2) reduce congestion and improve vehicular circulation in the core

(3) maximize the efficiency and effectiveness of the transit system

(4) enhance accommodations for bicyclists and pedestrians

(5) provide a low cost parking alternative on the campus periphery.

The Intermodal Transportation Concept proposes a comprehensive strategy to integrate vehicular circulation, transit use, bicycling, and walking into an efficient transportation network that is synchronized with improvements to parking. The result will be a safer, more pedestrian-friendly, and environmentally sustainable campus.

SENATE COMMITTEE ON UNIVERSITY PLANNING
P. Richard Althouse
William Anderson, Jr.
Anthony J.Baratta, Chair
John P. Boehmer
Dan T. Brinker
Eric B. Cowden
Gordon F. De Jong
Peter B. Everett
William M. Frank
Roger L. Geiger
Daniel R. Hagen
Christopher L. Johnstone
Rodney Kirsch
Karen H. Morin
Robert N. Pangborn
Paula J. Romano
William A. Rowe, Vice-Chair
Louise E. Sandmeyer
Gary C. Schultz
Richard J. Simons, Jr.
Timothy W. Simpson
Edward C. Smith
Gregory R. Ziegler

THE PENNSYLVANIA STATE UNIVERSITY

The University Faculty Senate

MINUTES OF SENATE COUNCIL

Tuesday, August 27, 2002 1:30 PM 102 Kern Graduate Building

MEMBERS PRESENT
C. D. Baggett
C. J. Bise
M. Blumberg
R. L. Burgess
W. T. DeCastro
C. D. Eckhardt
R. A. Erickson
J. R. Esposito
D. H. Evensen
D. S. Gouran
E. A. Hanley
P. C. Jurs
S. A. Marsico
R. L. McCarty
L. Milakofsky
J. W. Moore
J. S. Nichols
J. L. Pytel
P. P. Rebane
A. W. Scaroni
J. C. Spychalski
S. W. Stace
B. B. Tormey

V. R. Price
S. C. Youtz

ACCOUNTED FOR
W. R. Curtis
A. E. Leure-duPree
W. A. Richards
G. B. Spanier

GUESTS
A. Baratta
J. Cahir
M. Casteel
G. Franz
T. Jones
L. Pauley
J. Romano
L. Semali
R. Secor
D. Shea

Chair John Moore called the meeting to order at 1:40 PM on Tuesday, August 27, 2002, in Room 102 Kern Graduate Building. It was moved and seconded (Jurs/Scaroni) that the minutes of the April 9, 2002 Senate Council meeting be approved as distributed.

ANNOUNCEMENTS AND REMARKS

Dr. Moore announced that a remembrance of the September 11 events would be held on September 11 at the Eisenhower Auditorium. The doors will open at 11:30 AM and the ceremony will begin at noon. Similar commemorations will be held at other university locations. Faculty, staff and students are encouraged to attend.

New Senator orientation is scheduled for September 10, 2002, 7:00 PM, 102 Kern Graduate Building. The Officers’ and Chairs’ meeting will immediately follow the orientation.

On September 13 at 3:00 PM, President Spanier will present his annual State of the University address. His comments will focus on Penn State as a student-centered university. The convocation will be televised at all Penn State locations.

Chair Moore acknowledged immediate past chair John Nichols for his leadership in the 2001-02 year and introduced the Senate Officers for 2002-03. Letters are being sent to the deans and department heads of the 2001-02 and 2002-03 Senate committee chairs and vice-chairs, and Faculty Advisory Committee to the President members acknowledging their service and contributions to the Senate and the University community.

Dr. Moore commented on the following areas that the Senate will focus on this year:

· Improved communication with all University faculty via College listservs.

· Recertification of General Education courses. The deadline for submission of recertification proposals is November 1, 2002.

· Initiate review of the Intercultural and International Competence requirement and First-Year Seminar.

· Work with committees to improve, streamline and make Senate informational reports more meaningful.

· Implement new attendance legislation and share attendance data with Senate.

Chair Moore reminded Senate Council members that they have the responsibility to determine if a report is adequately prepared and documented.

The Senate Officers and Executive Secretary will visit the Hazleton Campus on September 17 and the Pennsylvania College of Technology on September 18. All other campus visits are posted on the Senate website www.psu.edu/ufs/

The Faculty Advisory Committee met on August 22 and discussed the following topics: General Education recertification; Calendar implementation; Vice Provost for Undergraduate Education search; University Office of International Programs; Royalties Courses - AD-17; Possibility of the appointment of a privacy officer/other privacy initiatives at Penn State; College recognition of Senate service; Emeritus rank for retired associate professors; Attendance at Senate meetings, and faculty mobility. The next meeting of FAC is scheduled for October 8, 2002. Any items for discussion at FAC may be submitted to a Senate Officer or one of the three elected members: Wayne Curtis, Elizabeth Hanley, or Peter Rebane.

Provost Erickson commended the Senate Officers for their leadership in addressing important University issues and acknowledged Susan Youtz on completing her first year as Executive Secretary. Dr. Erickson acknowledged the seamless work of the Senate Office during this transition year. The Provost noted that he was looking forward to reading the final report from the Self-Study committee and encouraged the committee to address the increasing size of the Senate.

Dr. Erickson commented on the University’s budget situation and noted that the final budget cut was 3.5%, with some funding to Agricultural Research and Cooperative Extension restored. There will be approximately 90 positions eliminated in Agricultural Research and Extension over the next two years, mostly by attrition and not filling a vacated position. There were 19 employees at the county-level and University Park laid-off this summer. There is the expectation in central administration that the budget situation may be even tighter next year; however, the University continues to make its case for an increased appropriation.

Provost Erickson observed that the overall room, board, and tuition increase was 10.6%. He observed that the tuition hike was especially difficult and painful for the Board of Trustees, “their anguish at the July meeting was apparent.” At the October 22, Senate meeting, Dr. Erickson will present this year’s budget and a preliminary budget scenario for next year. A cost-savings task force continues to meet and identify strategies for fiscal savings.

REPORT OF THE GRADUATE COUNCIL

Dr. Caroline Eckhardt, the liaison to the Graduate Council, reported on the May 8, 2002 Graduate council meeting. The summary is attached.

AGENDA ITEMS FOR SEPTEMBER 10, 2002

Legislative Reports

None

Advisory and Consultative

None

Informational Reports

Admissions, Records, Scheduling, and Student Aid – “Awards and Scholarships.” This annual report was placed on the agenda on a Jurs/Tormey motion. Mark Casteel will standing for questions.

Faculty Benefits – “Performance of the TIAA-CREF Retirement Savings Plan.” This report was placed on the agenda on a McCarty/Scaroni motion. A request was made to clarify the meaning of TIAA-CREF as a “taxed entity.” Deidre Jago, Dennis Shea, and Keith Burkhart will stand for questions.

Joint Committee on Insurance and Benefits -- “Annual Report - 2002.” Following a question about retirement benefits, the report was placed on the agenda on a Jurs/Scaroni motion. George Franz will stand for questions.

Undergraduate Education – “University Advising Council.” This report was placed on the agenda on a Tormey/Jurs motion. Eric White will stand for questions.

University Planning. – “Intermodal Transportation Concept.” This report was placed on the agenda on a Jurs/Tormey motion. Questions were asked about the purpose, clarity, focus and length of time needed for the report. A request was made to revise the first paragraph to more accurately reflect the purpose of the report. There will be a 15-minute power point presentation.

APPROVAL OF THE AGENDA FOR SEPTEMBER 10, 2002

The agenda was approved on a Jurs/Tormey motion.

ACTION ITEMS

Appointment of a Subcommittee on External Matters

Dr. Moore asked Council to approve the membership of the Senate Council Subcommittee on External Matters. John Nichols will chair this subcommittee as Immediate Past Chair and Connie Baggett, Travis DeCastro, Peter Jurs, Alphonse Leure-duPree and Brian Tormey will make up the membership along with Richard DiEugenio as a member-at-large. Council approved this subcommittee membership on a Scaroni/Landa Pytel motion.

Chair Moore asked Council to approve the membership of the Senate Council Subcommittee on Unit Constitutions. Melvin Blumberg will chair the subcommittee by virtue of his position as Senate Secretary and the membership will be the Executive Secretary, Salvatore Marsico (representing the campus colleges), Dennis Gouran (representing University Park). There is a provision for an ad hoc member from the voting unit submitting the constitution under consideration.

NEW BUSINESS

There was no new business.

ADJOURNMENT

Senate Chair Moore thanked Council for their attendance and participation, and accepted a motion to adjourn the meeting at 2:50 PM.

Respectfully submitted,

Susan C. Youtz

Executive Secretary

THE PENNSYLVANIA STATE UNIVERSITY

The University Faculty Senate

101 Kern Graduate Building

University Park, PA 16802

(814) 863-0221 – phone (814) 863-6012 – fax

Date: August 27, 2002

To: Senate Council Members

From: Caroline D. Eckhardt, Senate Liaison to the Graduate Council

The Graduate Council met on Wednesday, May 8, 2002, at 3:30 PM in Room 102 Kern Graduate Building, with Chair Eva Pell. This summary concentrates on items that may be of particular interest to Senators. Complete minutes are available from Mary Hosband in the Graduate School (meh1@psu.edu).

REPORTS OF STANDING COMMITTEES

Committee on Committees and Procedures

Carla Mulford (Liberal Arts) and Peter Schiffer (Science) are continuing members of the Committee and will begin the second year of their two-year terms. New members elected for 2002-03 are M. Christopher Brown, Dolores Fidishun, Richard Ready, Mary Ann Stankiewicz, and Katie Streicher.

Committee on Academic Standards

Dean Pell had asked the Committee to look at the Graduate Bulletin Appendices in light of existing policies including academic integrity, research administration polices and conflict resolution. A number of editorial changes were proposed to Appendix II (Resolution of Problems) and some minor editorial changes were proposed for Appendix III and Appendix IV. In addition, the Committee has developed a summary of inconsistencies in other University policies that they will share with the appropriate units.

Dr. Thompson provided an overview of the changes to Appendix II, Procedures for Resolution of Problems. The revised appendix now includes an introductory paragraph clarifying the issues that would be addressed under these procedures. In addition, a statement was added in Section B in the event no academic misconduct was determined to have occurred to ensure that faculty and students reputations are restored. He also noted that the college dean’s decision is final in cases involving situations outside of the classroom. It was also noted that Appendix D may be used by either faculty or students when problems arise.

Dr. Pell noted that, in the case of faculty, the college dean’s decision would not necessarily be final, as faculty may take concerns to the Faculty Rights and Responsibilities Committee for further consideration. An editorial change was recommended as follows: The decision by the College Dean shall be final, but does not preclude existing independent avenues of appeal (e.g., Faculty Rights and Responsibilities). The revised document was approved unanimously.

Dr. Harold Shill provided an overview of changes to Appendix III, Procedures for Termination of the Degree Program of a Graduate Student for Unsatisfactory Scholarship. A number of minor editorial changes were made throughout the document. These included examples of what constitutes unsatisfactory scholarship; “department head, program chair, and program committee” has now been replaced throughout by “program chair;” the Dean of the Graduate School now has three weeks to respond to an appeal rather than two weeks; and reference has now been added regarding cases of discrimination to direct students to the Affirmative Action Office. It was noted that the “program chair” would be the person in each graduate program who oversees graduate program matters. The revised document was approved unanimously.

Dr. Suk-young Lee provided an overview of changes to Appendix IV, Procedures for Termination of Assistantships due to Inadequate Performance. The only change in the procedures for terminating a graduate assistantship is the addition of a statement regarding notifying graduate students of the consequences with regard to health care and other benefits when an assistantship is terminated. The revision to Appendix IV was approved unanimously.

Committee on Programs and Courses

Dr. Pell recognized Dr. Michael Adewumi, representing the Committee on Programs and Courses.

Dr. Adewumi presented the following program proposals for Council approval:

a. Program Change: Option in Watershed Stewardship in Ecology

b. Program Change: Option in Watershed Stewardship in Environmental Pollution

Control

c. Program Change: Option in Watershed Stewardship in Agricultural, Environmental and

Regional Economics

d. New Option: Option in Applied Linguistics in the Graduate Program in French

e. New Program: Master of Architecture degree program in Architecture with Options in

Architectural Theory and Design, Community and Urban Design, and Digital Design

f. Program Drop: Master of Science in Architecture

g. New Minor: Graduate Minor in Bioinformatics at Penn State Great Valley

h. Program Change: Change in Requirements for the M.Ed. in Youth and Family Education (addition of thesis option)

i. Program Change: Change in Requirements for the M.A. degree program in Art History

j. Program Name Change: Graduate Program in Speech Communication name changed to Communication Arts and Sciences

k. Program Drop: Drop of the M.Eng. degree program in Mineral Engineering Management

There being no discussion, the question was called on the motion to approve the proposed programs. The motion was approved unanimously.

COMMENTS AND RECOMMENDATIONS FOR THE GOOD OF THE GRADUATE COMMUNITY

Dr. Pell thanked the Graduate Council faculty members whose terms expire this summer, including the graduate student representatives. Dr. Pell also extended a special thank you for their efforts on behalf of the Graduate School to Dr. Richard Yahner, Associate Dean, who will be leaving the Graduate School this summer; and Dr. M. Joan Schumacher, Director of the Fellowships and Awards Office, who will be retiring at the end of June.

Graduate Council adjourned at 4:22 p.m.

THE PENNSYLVANIA STATE UNIVERSITY

The University Faculty Senate

Inter-office Correspondence

101 Kern Graduate Building

814-863-0221

Date: August 28, 2002

From: Susan C. Youtz, Executive Secretary

To: All Senators and Committee Members

Please note the scheduled time and location of your committee. If you are unable to attend, notify the Senate Office prior to Senate Day -- if possible.

MONDAY, SEPTEMBER 9, 2002 7:00 PM

New Senators’ Workshop (Immediately [New Location]

followed by Officers' and Chairs' Meeting 102 Kern Building

8:00 PM

Commonwealth Caucus CANCELLED

TUESDAY, SEPTEMBER 10, 2002 7:30 AM

Intercollegiate Athletics 233 HUB/Robeson Cultural Center

8:00 AM

Faculty Affairs 129A HUB/Robeson Cultural Center

Outreach Activities 502 Keller Building

Student Life 107 HUB/Robeson Cultural Center

8:30 AM

Admissions, Records, Scheduling and

Student Aid 203 Shields Building

Computing and Information Systems 201 Kern Building

Curricular Affairs 102 Kern Building

Committees and Rules 19 HUB/Robeson Center

Intra-University Relations 325 HUB/Robeson Cultural Center

Research 106 HUB/Robeson Cultural Center

Undergraduate Education 330 HUB/Robeson Cultural Center

University Planning 322 HUB/Robeson Cultural Center

9:00 AM

Faculty Benefits 114 Kern Building

Libraries 510A Paterno Library

1:30 PM

University Faculty Senate 112 Kern Building

There will be a Commonwealth Caucus meeting at 11:00 AM on TUESDAY,

SEPTEMBER 10, 2002, in the Alumni Lounge of the NLI. At approximately

12:00 Noon, a buffet luncheon will be served.