Postel opened his presentation discussing the long-awaited forensic audit which, at that time, had not yet been released. He has since released a new statement, .��

The audit, he said, was expensive and comprehensive, but “we knew it’s what we had to do to move forward.”

“A lot has changed so we won’t have to worry about recurrences. We have done a lot of preparatory work to prevent this from happening again, that is the good news,” he said. “We will continue to be transparent on what did occur and how we are making sure these do not recur.”

In addition, this week (Thursday), Postel anticipates the board will approve the 2017-18 budget. There is one change to this work and that is an immediate 3-month hiring freeze. The decision on this was abrupt because we fell short of enrollment projections and attrition expectations.

“We projected a 400-student increase for retention and enrollment and it looks like we’ll be closer to 200,” Postel said, adding that we are losing second- and third-year students.

He also received a new letter from SACS noting that the site visit in September will be expanded. SACS wants to fully understand the nature of the relationship between the UofL and UofL Foundation, which is “no surprise,” according to Postel.

“They have a lack of understanding of $67 million in transactions that happened without the board’s approval. That’s the bad news. The good news is that large portions of this have been paid back and we have documents in place to prevent this from happening again,” Postel said. “But they want to see that.”

Another issue brought up in the SACS letter that “concerns Postel the most” is the university’s ability to demonstrate financial stability.

“This is the biggest reason institutions get in trouble with SACS,” he said, noting that UofL had an operating loss of $21 million in 2014-15 and of $46 million in 2015-16.

“SACS made it clear their intent is to study other revenue (in addition to unrestricted cash). But the foundation is tapped out and revenue next year is a fraction of what it was,” he explained. “To continue to take operating losses is not an option for us. There are times we have to do things to protect the university and the best way to deal with this is to hit the brakes and clamp down on hires and show we’re being overly conservative.”

Postel said shared governance will remain a priority through continued budget work.

Postel also said the NCAA ruling about the basketball program is expected this week.

“We have been honest. We have apologized. We have tried not to make excuses,” he said. “We’ll see if they accept our self-imposed penalty or if they add to it.”

Finally, UofL Hospital is transitioning from KentuckyOne Health to UMC, with a July 1 completion date. Postel said the hospital is busy and the nursing shortage is getting better and “people are in very good spirits about this (transition).”

Postel closed by talking about his recent trip to Washington, DC, where he was able to meet with all of Kentucky’s elected officials.

“They showed me uniform support and it was encouraging to establish dialogue with them,” he said. “They all wanted to talk about the sustainability of the university and are interested in the research and other work we’re doing.”

Interim provost Dale Billingsley also spoke to the Faculty Senate. He said there are exceptions to the hiring freeze: the ombudsman role, as it is required in the Redbook; and the Speed and Nursing dean searches. He stated that the Budget Advisory Committee will review additional requests for exceptions.

He also talked briefly about the QEP program that was developed as part of the re-accreditation process to help second-year students find their major.

“The intention is to address that group of students across the board through a range of student services and to keep them in an area where they both have the capacity for and interest in,” he said.  This program is designed to assist these students and address retention issues.

A report was provided by Dr. Bob Staat, interim ombudsman. UofL hopes to have someone permanently hired in that role by July. During his stint, Staat reported 185 interactions – 60 percent faculty; 40 percent staff. The only two units without an interaction with his office were SPHIS and law. Staat’s full report is .��

Cedric Powell, law professor and Faculty Grievance Officer, also provided a report, outlining the dispute resolution process. He noted that from September 16 through June 7, there were 12 faculty grievances, including three “type 1” disputes and one “type 2” dispute. His full report is also .��

Enid Trucios-Haynes provided the Chair’s Report, including the announcement that the Faculty Senate Executive Committee will focus on addressing the issues before the Board of Trustees’ new ad hoc committee on tenure and nepotism. She also introduced a proposed statement of the Faculty Senate, unanimously adopted, to reiterate the importance of shared governance in light of this new committee. It reads:

“The Faculty Senate of the University of Louisville asserts that it is critically important to have broad faculty input, consultation, and advice on all matters related to tenure and promotion. Faculty primacy in this area is long recognized as vital to protect academic freedom.

“On May 18, 2017, the Board of Trustees created an Ad Hoc Committee on Tenure and Nepotism Policy to review current tenure policies and practices. The principles of shared governance require a process for wide faculty involvement, recognizing the summer workload for faculty on ten-month contracts who engage in research, scholarship and related work during June and July, often away from campus. Additional faculty groups should include tenured, tenure-track, term and part-time faculty, representing a wide range of programs from basic sciences to fine arts, as well as the AAUP chapter at UofL. We propose that the Faculty Senate Executive Committee, comprised of elected representatives from nearly all of these groups, provide this essential consultation.”

Trucios-Haynes said the chair of the Board of Trustees has assured her there will be an opportunity for all constituencies’ input for next steps.

Staat also provided an update on the Council of Postsecondary ����ֱ��, as he serves as part of the tuition work group. He gave a PowerPoint presentation on the cost of tuition, which has remained relatively unchanged throughout the years even as state support has decreased. Kentucky is one of only seven states that has decreased its state support for higher education.

The only other report provided at the June 7 meeting was by the executive committee and it is .��

The next meeting is July 5 at 3 p.m. in the Chao Auditorium of the Ekstrom Library.

To get a working fund to address strategic initiatives and develop the ground for revenue enhancements, administrators took a 3-percent across the board from the general fund. General funds are constituted from the state appropriation and tuition and fees revenue.

Billingsley admitted one of the big challenges is trying to figure out all of the entangled budgets outside of the general fund, including ULP, clinics, etc., and how they affect our plan. The HSC budget, he added, represents about two-thirds of the entire university budget.

“All of that is information we have to get a grip on moving forward,” he said.

Most of the programmatic growth will be in graduate and undergraduate as opposed to professional schools, most of which are maxed out. Billingsley mentioned that the Speed School of Engineering will get additional support, since it attracts the highest profile students. A senator from the College of ����ֱ�� challenged this approach, cautioning that the CEHD, for example, will have to cut programming to make this work.

“No good deed goes unpunished. (CEHD) is very well managed. This is one of the griefs about this business right now. We are trying to prevent mass layoffs,” Billingsley said. “It’s not pleasant and it’s not pretty, but that’s the way we’re going to do it.”

He added that there are some risks involved with this approach; namely ensuring our enrollment goals and retaining the students we already have.

“The first step is to increase the size of our applicant pool,” Billingsley said, noting that Jim Begany, vice provost for Strategic Enrollment and Student Success, is tasked with doing just that. Begany has deployed recruiters in three regions specifically – Chicago, Nashville and Cincinnati.

“(Retention) is the most efficient way to do this. If they stay long enough, they’ll get a degree and we’ll be better off in performance measurement,” he said.

One senator noted that the university has been through budget cuts before, but this one feels different.

“This one feels like it will affect people this time,” she said.

“When you start talking about figures like $48 million – those numbers are just too large. It’s almost as if we have bad news fatigue. But the fabric of this university and our commitment to our values and our students can, I believe, sustain us through what’s ahead,” Billingsley said.

He said the next steps, besides a strong focus on enrollment management, include a budget development committee and a re-articulated mission and goal statement to help us coordinate our goals with our available funding.

“We can’t have 100 goals and only be able to fund 11,” Billingsley said. “We have to come up with how we can put all of these priorities on a list. We can’t wait until the president search is over to do this.”

Billingsley also reported on decanal searches (there are three searches – Brandeis School of Law, Speed School and School of Nursing) and the SACS accreditation process, which will continue with an on-campus visit in September.

Jeanell Hughes, associate vice president of HR, provided a report, noting that her department continues to focus on customer service initiatives, including through campus tours and extended hours. Later this month, a survey will go out to all employees about “HR Effectiveness.”

Hughes also said that HR is working on identifying some cost savings and efficiency improvements. The department is also looking at professional development ideas that can be done with limited resources.

Lee Smith, interim COO, gave the final report of the meeting, providing an update on the transition to a new, cloud-based email system, Office 365. Students and ULP are already on this system. Smith said the transition for faculty and staff will be gradual. More information is .��

UofL was recently the victim of a phishing attack, though it affected fewer than 10 people. Smith said we are making a procedural change in regards to phishing attacks.

“If we see that you’ve clicked on a phishing link, we will require you to immediately change your password,” he said.

Smith’s department has an RFP out for banking services. PNC is the university’s primary banker now.

Finally, UofL is looking at its purchasing processes to see if there are better contracts we can get in place to improve pricing.

Standing committee reports

The Credentials and Nominations committee did not meet, but the application deadline is this month, and officer applications are due May 8.

The Policy, Economics and Development committee discussed the university’s RIF policy, as well as budget items. Senator Gary Southard, said many suggestions have already been incorporated into the budget conversation. The professional development initiatives brought up a few meetings ago have been tabled for now due to budget issues.

The Staff Grievance committee reported no grievances. The committee’s goal is to increase awareness about the process, including through an FAQ page. The ombudsman office has received about two to three calls a week, but these calls have not progressed to a grievance, which indicates this process is working as it should.

The SHARE committee did not meet, but acknowledged the School of Dentistry for donating money raised from its Dress Down Day to the SHARE fund.

The Staff Morale and Community Outreach committee is looking for better ways to communicate staff news and is issuing a survey asking for input on this initiative. The committee has contemplated changing its name to focus more on communications and staff relations.

Treasurer’s report

The general balance this month is $6,722.55. The SHARE account grew by nearly $400 last month and is now $13,803.47. The technology budget sits at $1,674.

Staff Senate has not been notified to cut any funds due to the budget cuts affecting campus.

Will Armstrong’s chair’s report is .��

Sabrina Haug provided the Strategic Plan and Bylaws report, listing new members and soliciting senators’ ideas on what should be included in a new mission statement for the body.

Vickie Tencer provided the Presidential Qualities report, stating that a survey has been sent asking senators to list five qualities (not qualifications) they desire for UofL’s new president. The committee is also asking for broader distribution of the survey to senators’ constituencies.

Finally, the �����Ի�  reports are both available online.

The next Staff Senate meeting is May 8 at 2:30 p.m. in Chao Auditorium at Ekstrom Library.