Faculty Document 1748 - University of

University of Wisconsin
Madison
Faculty Document 1748
1 December 2003
Annual Report of PROFS, Inc. July 1, 2002 to June 30, 2003
I.
CHARGE
PROFS, Inc. (The Public Representation Organization of the Faculty Senate – UW-Madison) is a nonprofit organization established by the Faculty Senate in 1976. The function of PROFS is to represent the
UW-Madison faculty’s interests with particular emphasis on compensation, fringe benefits, the university
budget, and important regulatory issues before the state legislature, the governor, other state and federal
governmental agencies, the U.S. Congress, and the public.
II. MEMBERSHIP
Membership in PROFS is voluntary. PROFS is funded by dues with permission for payroll deduction
from UW-Madison faculty members. Dues are calculated at one-tenth of one percent of the yearly salary
and deducted monthly, September through May. Faculty members may also arrange to pay dues
annually.
III. ORGANIZATION
Leadership
The elected members of the University Committee constitute the Board of Directors of PROFS. For the
2002-03 academic year, the following served on the board:
• Philip E. Brown (Geology & Geophysics), Chair
• Murray Clayton (Plant Pathology/Statistics)
• Julie D’Acci (Communication Arts/Women’s Studies)
• Aaron Friedman (Pediatrics)
• Judith W. Leavitt (History of Medicine/Women’s Studies)
• Robert B. Miller (Business/Statistics)
The 2002-03 members of the PROFS Steering Committee consisted of:
• Brent McCown (Horticulture), President of PROFS
• Dan Anderson (Business)
• Richard Burgess (Oncology)
• Ray Evert (Botany), former University Committee member
• Helen Harrison (Horticulture) member, UW-Madison Commission on Faculty Compensation and
Economic Benefits
• Louise Robbins (Library & Information Studies), at-large
• David S. Schwartz (Law), Faculty Senator
• Ronald Schultz (Comparative Biosciences), former University Committee member
• Plus University Committee members:
Philip E. Brown
Aaron Friedman
Judith W. Leavitt
PROFS By-laws
The by-laws of PROFS are on file in the PROFS office, 258 Bascom Hall. They specify that the
University Committee acts as the PROFS Board of Directors, and that the Steering Committee consists of
at least three current members of the University Committee; at least three members with prior experience
on the University Committee or the PROFS, Inc. Steering Committee; one or more At-Large members
selected from the UW-Madison faculty; at least one member from the Faculty Senate; and one member of
the Commission on Faculty Compensation and Economic Benefits. (continued)
-2The Legislative Representative and Lobbyist
Jack O’Meara continued to serve as PROFS’ Legislative Representative. Mr. O’Meara meets regularly
with the Board of Directors and the Steering Committee to update them on legislative proposals affecting
the faculty, to establish the faculty position on legislation, and to decide action. Mr. O’Meara meets with
individual legislators and other officials at appropriate times to discuss PROFS issues and urge support of
the faculty’s position. PROFS also arranges for members of the Steering Committee and other faculty
members to meet with legislators, state officials, regents, and the public, and to testify for or against key
legislation. In establishing faculty positions on issues, PROFS also works closely with the UW-Madison
Commission on Faculty Compensation and Economic Benefits.
Administration
Priscilla Thain continued employment as the administrative secretary and newsletter editor, on a half-time
basis, in the PROFS office located at 258 Bascom Hall. Laura Laurenzi, an outside financial assistant,
continued to maintain the financial records of PROFS and pay the salaries and bills for newsletter and
office supplies. Check signing is done by either the Treasurer or by other members of the board of
directors so designated. The Board of Directors contracts with an accounting firm every two years to
audit and approve the PROFS financial records. Wegner LLP last audited the PROFS financial records
for 2001-2002 and issued a statement of approval on January 31, 2003.
PROFS registers with the State of Wisconsin Ethics Board as an organization engaged in lobbying and, in
accordance with its rules, reports any lobbying contact with state officials. PROFS also reports its
interest in any legislative bill, proposal, or budget item, and if appropriate, a position. PROFS’ interests
in bills and legislative issues are posted on the Ethics Board Web Site at http://ethics.state.wi.us. As
required, PROFS submits a written summary of its lobbying activities and the salaries and expenses spent
on lobbying, every six months to the Ethics Board.
IV. ISSUES: COMPENSATION AND THE UW BUDGET
The Special Session Budget Repair Bill
In January 2003, the governor introduced a Special Session Budget Repair Bill to cut the UW’s 2002-03
administration budget by 6% ($6.9 million). In February, the Joint Finance Committee increased the cut
to $8.3 million and the Governor signed the bill on February 27, 2003. Jack O’Meara spoke individually
with members of the Joint Finance Committee, reminding them that the UW’s administrative costs are
among the lowest in the Big Ten and that administration is an important function of the academic
program.
The Proposed State Budget for the UW for 2003-05
In February, Governor Doyle introduced his budget for the UW for 2003-05. In an attempt to close a
state budget deficit of at least $3.2 billion, the governor’s plan cut the UW System funding by 7.8% ($250
million over the 2-year period) and recommended eliminating 650 state funded positions. The governor
capped tuition increases at UW-Madison and UW-Milwaukee for in-state undergraduate students at $700
per year and $500 per year for the other 4-year universities. The tuition increases were used to offset
$150 million of the $250 million cut. Although financial aid was increased, the financial aid was funded
by taking three percent from the UW’s auxiliary accounts and was only one time funding, not in the base.
PROFS’ Lobbying and Position on the Budget
PROFS, represented by Jack O’Meara, Philip E. Brown, Richard Burgess, Robert Miller, and Tom
Sharkey met with the governor’s legislative director, Katie Boyce, on March 12. They asked that the
governor work with legislators to:
• Ensure that the cuts go no deeper than those in the governor’s budget.
(continued)
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•
•
•
Allow the UW to manage the cuts with as few restrictions and caps as possible
If no GPR (state funding) can be added back in, the full tuition increases are needed to help the
UW balance the cuts.
Change the one-time financial aid increase to permanent base funding.
During the month of April, PROFS leaders and Jack O’Meara met with individual members of the Joint
Committee on Finance. Several members of that committee were considering a proposal to require the
funding of sabbaticals by gifts and grants only, thereby eliminating state funding of sabbaticals. PROFS
representatives pointed out that:
• Sabbaticals are an important tool in keeping UW-Madison faculty up-to-date in the new high
technology economy. They are an essential part of the faculty renewal process, are self-funded,
and have levels of review. Gifts and grants are not an appropriate source of funding as they are
donated with a specific purpose.
At the request of UW System President Katharine Lyall, PROFS Steering Committee member Richard
Burgess drafted a letter sharing his sabbatical experience, which led to the creation of the Biotechnology
Center. The letter was sent to all legislators, and the committee did not adopt the proposal.
Tom Sharkey presented testimony to the Joint Committee on Finance on behalf of PROFS on April 9 and
he also represented the Madison faculty at the Board of Regents’ listening session in March 31.
Proposed Health Insurance Changes
The governor’s budget included a proposal similar to one offered by the state’s Group Insurance Board: A three-tier system for the health insurance plans and a state pharmacy-purchasing pool. In addition, the
governor called for shifting more of the cost of health care to state employees including the faculty. Starting January 1, 2004, state employees would pay up to 20% of the plans in the least efficient tier. This would replace the current contribution formula for health insurance in which the state paid 105% of
the lowest cost HMO and 90% of the lowest cost Standard Plan. The exact amount that state employees
would pay for the health insurance plans was not specified in the budget; the amounts were to be part of
the pay plans that were to be decided separately.
PROFS monitored the progress of the proposed changes to health insurance, relaying the faculty’s
questions and concerns to officials at the Department of Employee Trust Funds on maintaining benefits in
the HMOs and in the conversion of the Standard Plans to a Preferred Provider Plan. Compensation
The 4.2% pay plan for 2002-03 was split with 2.1% distributed July 1, 2002 and 2.1% distributed January
1, 2003. After the final distribution of the 2.1%, the position of the faculty relative to the university peer
group schools moved from 2.55% below peers in 2002 to 2.50% in 2003.
In February 2003, when the governor introduced his budget for the UW with a deep cut of $250 million,
the UW announced that $150 million of the cuts would be offset by an 18% increase in tuition. It was
obvious that tuition could not be increased further to fund a pay plan, although the faculty and academic
staff pay plans for the previous four years had been funded by tuition. The Board of Regents postponed
their recommendation on a pay plan for 2003-04 from November 2002 to October 2003 when the final
outcome of the budget and tuition levels was clear.
PROFS lobbied continuously on the 2003-04 pay plan pointing out in budget testimony that UWMadison faculty were starting the biennium 2.5% below peers and the peer universities were receiving
pay plans averaging 2.5% for 2003-04. A minimum pay plan could put the UW-Madison faculty in a
catch-up mode in the next biennium.
(continued)
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V. OTHER LEGISLATIVE ISSUES: POSITIONS AND ACTIONS
Restrictions on Sabbatical Funding – AB377
The proposal to restrict sabbatical funding was also introduced as stand-alone legislation (AB377). A
public hearing on AB377 was held on October 7, 2003. PROFS coordinated its testimony with the Office
of the Chancellor. Professor Tom Sharkey, a PROFS Steering Committee member, testified as did
Professor John Sharpless (History).
Federal Funding of Research
PROFS continued its emphasis on lobbying for federal funding of research including stem cell research
(as well as its opposition to state restrictions on state stem cell research.) In April 2003, PROFS sent Jack
O’Meara to Washington D.C. to visit all of the Wisconsin delegation offices and the state of Wisconsin-
Washington D.C. offices to discuss funding issues in various federal bills.
Current funding for federal research appears solid, but proposed tax cuts could cut into federal funding of
agencies such as the National Institutes of Health, National Science Foundation, and others that fund
research at UW-Madison. In addition, legislatively- designated funding to individual universities is
occurring more often and becoming an issue. State Restrictions on Stem Cell Research
Three bills were introduced related to stem cell research at the university:
• AB 104/SB 45: Bans human and therapeutic cloning
• AB 246: Bans human cloning
PROFS opposed SB 45/AB 104 at a May 20 hearing of the Senate judiciary Committee. PROFS opposes
a ban on stem cell research and therapeutic cloning, but takes no position on human cloning. Wisconsin Retirement Service (WRS) Issues PROFS supports the bill AB 77 that would allow Wisconsin Retirement Service (WRS) credit for military
service served at any time (before and after 1974). The 2003-05 budget signed into law in July included
two items that would enhance retirement (in an effort to reduce the number of state employees):
• The value of accumulated unused sick leave credits for conversion to retiree health insurance will be
newly based on the employee’s highest hourly pay rate instead of the final hourly rate just prior to
retirement.
• Any state employee who has attained 20 years of creditable service and terminates state employment
will retain his/her sick leave credits for future conservation under the program even though the
individual did not qualify for an immediate annuity.
The Joint Retirement Committee held a public hearing on May 21 on the above items that had been
included in the budget bill. They approved the items as good public policy. In addition they considered
the following item and although they gave it preliminary approval, they decided it should be a separate
bill:
• Elimination of the 30-day waiting period for rehiring annuitants.
PROFS has long supported the elimination of the 30-day waiting period for rehired annuitants.
Other Issues
The budget, compensation, cloning research, health insurance, and sabbaticals were the dominating issues
in the first half of 2003. Other bills introduced that would affect the faculty were:
• AB 3 would eliminate 20% of vacant positions. An amendment applies the elimination only to
90-day vacant positions, sunsets the bill in 2005, and allows an appeal to Joint Finance.
• AB 208 revises the Board of Regents by adding a second student, non-traditional and requires
that the Regents represent all of the voctech districts. An amendment eliminates the requirement
that the Regents represent the voctech districts.
(continued)
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VI.
OTHER ACTIVITIES
PROFS sent out email messages to the faculty as the budget and budget deficit progressed, printed
newsletters in November 2002 and April 16, 2003, legislative directories to all members and new faculty,
and maintained a web site at www.profs.wisc.edu. PROFS distributes its testimony and formal statements
to reporters and also met with a reporter from USA Today on the effect of the budget on the UW-Madison
which resulted in a front-page article and extensive publicity for faculty. PROFS has formal statements
on sabbaticals, the importance of the UW to the state, and on compensation, which are available on
request.
VII.
PLANS FOR THE FUTURE
Among other issues that may arise, PROFS will continue to be attentive to the following areas:
• Competitive compensation for the faculty
• Protection of the sick leave conversion to health insurance program
• Academic freedom
• Protection of the sabbatical program
• Budget support during a possible budget adjustment bill
• Health insurance: rising costs, extension to domestic partners; access to physicians of choice
• Protection of the research environment at UW-Madison in funding and regulatory issues
• Continuation of federal funding of research
• Legislation granting collective bargaining rights to UW faculty and staff
• Other proposals to micromanage the university
Membership
In 2002-03, 37 faculty joined PROFS. Because of retirements, our membership remained at
approximately 900 faculty. Faculty are encouraged to join PROFS to increase our membership so the
voice of the UW-Madison faculty continues to be strong on the many issues PROFS has identified above.
UW-Madison Fac Doc 1748 - 1 December 2003