The start time for the Aug. 21 meeting, which will be held in the boardroom at AAATA headquarters, is 6:30 p.m. The AAATA facility is not equipped with built-in Community Television Network cameras as the AADL is. It’s not yet clear if AAATA will ask that a mobile CTN crew be dispatched to AAATA headquarters to record the meeting. As a contingency, The Chronicle will likely provide a live audio broadcast from the meeting, which will be recorded and archived by The Chronicle. Updated Aug. 21: CTN is scheduled to record the proceeding of the meeting.

The board previously did not have a meeting scheduled for the month of July. But at the board’s June 20, 2013 meeting, CEO Michael Ford indicated that one might be convened, to handle some routine items as well as next steps related to the addition of Ypsilanti to the AAATA. The board had voted on June 20 to ratify changes to the articles of incorporation of the authority, which added the city of Ypsilanti as a member.

No agenda for the special July 23 meeting has been released.

Barbara Murphy, a trustee of the Ann Arbor District Library, reviews a brochure for AADL’s upcoming “America’s Music” series. The materials were shared at the board’s Feb. 18, 2013 meeting. (Photos by the writer.)

The meeting’s main presentation focused on AADL’s partnerships with the University of Michigan, primarily with the Proyecto Avance: Latino Mentoring Association (PALMA), a UM student group. The program, which meets on Tuesday and Thursday evenings in AADL’s downtown building, includes 100 participants of all ages who work with about 75 tutors to improve their English language communication skills.

Terry Soave, AADL’s manager of outreach and neighborhood services, encouraged board members to drop by the library when the tutoring is in session, saying, “it’s a pretty spectacular thing to see.”

The Feb. 18 meeting also included a report from the board’s new communications committee, chaired by Nancy Kaplan, which recommended adding a second opportunity for public commentary at the end of each monthly meeting. There was no formal vote on this recommendation, but board members indicated agreement. In fact, a second slot for public commentary had already been included on the agenda when it was posted the previous week.

Speaking at the first opportunity for public commentary on Monday, Kathy Griswold – an organizer of the Protect Our Libraries group – urged the board to allow its committee meetings to be open to the public. She noted that committee meetings are open for most other local governing entities – including the Ann Arbor city council, Ann Arbor Public Schools board, the Ann Arbor Downtown Development Authority board, and the Ann Arbor Transportation Authority board. There was no subsequent discussion of this suggestion among board members during the meeting.

Committee Reports

The board has six committees: communications, budget & finance, facilities, policy, director’s evaluation and executive. Two of those – communications and facilities – had been created as special committees at the board’s Jan. 21, 2013 meeting. Board president Prue Rosenthal noted that some of the committees haven’t met since the previous board meeting, so there would not be reports from all committees.

Nancy Kaplan, chair of the communications committee, told the board that the committee – she, Ed Surovell and Margaret Leary – had met. They were recommending that a second public commentary slot be added at the end of each monthly board meeting, in addition to the one at the start of the meeting.

She said it’s a modification that fits with the board’s previous decision to hold three meetings this year at library branches, rather than at the downtown location, to make it easier for the public to attend. [Those branch meetings will be held at: (1) the Traverwood branch at 3333 Traverwood Drive, at the intersection with Huron Parkway (June 17); (2) the Pittsfield branch at 2359 Oak Valley Drive (July 15); and the Malletts Creek branch at 3090 E. Eisenhower Parkway, east of Stone School Road (Sept. 16).]

No formal vote was taken on this recommendation and there was no discussion, although other board members indicated agreement. A second slot for public commentary has already been included on the agenda when it was posted the previous week.

No other committees had met during the past month. Meetings are scheduled in the coming week for the facilities committee (Ed Surovell, Rebecca Head and Margaret Leary) and the budget & finance committee (Nancy Kaplan, Barbara Murphy, Jan Barney Newman).

Rosenthal also noted that Newman is now chair of the director’s evaluation committee.

Public Commentary

During the first slot for public commentary, Kathy Griswold, an organizer of the Protect Our Libraries group, told trustees that for many years the community has taken the library’s services for granted, and that there had been only “minimal interest” in the library board until the recent new downtown library bond. [The board had put a proposal on the Nov. 6, 2012 ballot for a $65 million bond to fund construction of a new downtown library, but it was rejected by about 55% of voters.]

Now the public is interested, Griswold said, and people are requesting that the board be more transparent by holding open committee meetings. She cited four reasons to support holding committee meetings that would comply with the state’s Open Meetings Act. [Although the meetings of the board are required to comply with OMA, there is no requirement that committee meetings – attended by less than a quorum of the board – be open to the public.]

Kathy Griswold of Protect Our Libraries spoke during public commentary.

Most other public entities in the Ann Arbor area hold committee meetings that are in compliance with OMA, Griswold said, including the Ann Arbor city council, the Ann Arbor Downtown Development Authority board, the Washtenaw County board of commissioners, the Ann Arbor Public Schools board, and the Ann Arbor Transportation Authority board. Most public libraries that her group has contacted having open committee meetings, she added, including Grand Rapids and East Lansing. Kalamazoo’s public library is currently researching the possibility of holding open committee meetings, and West Bloomfield does not have committees.

Another reason cited by Griswold is that having open committee meetings ensures compliance with OMA “when there is limited deliberation at the board meeting.” Finally, and most importantly, she said, the AADL is a public entity, “thus the public has the right to transparency.”

At the end of the meeting, Lyn Davidge spoke briefly, thanking the board for adding a second public commentary time so that citizens could address issues at the end of the meeting. “I look forward to more conversation,” she said. [By way of background, Davidge has previously advocated for the board to add a second opportunity for public commentary, most recently at the board's Nov. 19, 2012 meeting.]

Jim Osborn stressed the importance of having public commentary at both the beginning and end of the meeting. Board president Prue Rosenthal clarified that this would be the case – as it had been at that meeting.  Osborn told the board it had been difficult to hear the board’s discussion: “Some of you speak softly.”

UM Partnerships, PALMA

Terry Soave, AADL’s manager of outreach and neighborhood services, gave a presentation describing several partnerships between AADL and various units of the University of Michigan, including the C.S. Mott Children’s Hospital. Highlights of those efforts include:

• Monthly evening storytelling sessions with Laura Pershin Raynor, who goes to Mott and provides family-centric storytelling to patients and their families.
• Distribution of DVDs to the UM health system. Mott acts as the “front door” to distributing AADL DVDs throughout the entire health system, Soave said. To date, about 3,800 DVDs have been distributed through this program.
• Valentine’s Day cards – each year, AADL hosts a card-making program, with the cards distributed throughout Mott as well as to the Veterans Administration Hospital. Last year, over 400 Valentines were delivered.
• Temporary AADL cards are offered at no charge to hospital patients to take advantage of library services throughout their hospital stay.
• A “Read to Me” CD, produced in-house by AADL staff and some outside musicians, is distributed through UM’s Women’s Health Resource Center as well as by Mott. Over 400 CDs have been distributed.

Soave also talked about a partnership with UM’s human resources department. The university initially just directed job applicants to AADL’s computer courses, but over the years AADL has worked with UM to develop courses that better meet the needs of people seeking employment at the university. In turn, she said, UM’s HR staff has been offering quarterly classes at AADL about how to apply for jobs at the university, via UMjobs.org.

Terry Soave, AADL’s manager of outreach and neighborhood services, briefed the board about the library’s partnership with Proyecto Avance Latino Mentoring Association (PALMA), a University of Michigan student group.

The final partnership in Soave’s presentation was with Proyecto Avance: Latino Mentoring Association (PALMA), a UM student group. Soave noted that this is a special partnership for her, because it’s the first one secured after she became manager of outreach.

PALMA operates through the UM Residential College’s Spanish language program, supervised by faculty member Cristhian Espinoza-Pino. Each semester, PALMA enrolls 100 Latino community members as learners, and recruits 75 tutors. This is PALMA’s 10th year as a student organization, and their sixth year at AADL.

Each semester, PALMA offers free bi-lingual, weekly one-on-one English-as-a-Second-Language (ESL) tutoring and mentoring. The program is offered to all ages starting at age 3, although some people also bring their infants, she said.

PALMA has looked at barriers that typically prevent people from accessing this kind of tutoring: Time, cost, and childcare. PALMA addresses these issues by providing consistent, bi-weekly sessions that include the whole family, Soave said. So a family with two working parents, three kids and a grandparent who lives with them can all come to the sessions, and each person is given their own tutor to work with while they’re there. “There’s no other program that equals that,” Soave said. “Not even close.”

Most tutors work with the same person for the entire semester, so there’s a lot of consistency. The nearly 200 people who participate come to the downtown library, pair up and then disperse throughout the building for their session, Soave explained. “So if you’ve never been here on a Tuesday or Thursday evening, I’d encourage you to come check it out – it’s a pretty spectacular thing to see.”

Beth Manuel, a library technician at the Ann Arbor District Library who works closely with PALMA.

Preschool kids are taken to a room where educational activities are provided, with several adults there to supervise.

AADL staff also works with PALMA by meeting with tutors at the start of each semester during an orientation session to describe the library resources that are available to help their tutoring. And staff meets with participants at an orientation offered in Spanish and English, providing library card applications and a tour. “We try to make them feel as welcome as possible right from the very beginning,” Soave said.

She noted that Beth Manuel, the AADL staff member who works most closely with PALMA, was attending the board meeting that evening. Manuel facilitates the orientations and works at the youth desk on Tuesday evenings, “so PALMA participants are able to see a regular, familiar face every week when they come in,” Soave said.

Soave also reported that one session each semester is dedicated to presentations by local community service agencies. The library helps connect PALMA with these groups, looking for services that might be a benefit to participants – for example, Washtenaw Literacy and translation services.

Soave’s presentation concluded with a video of PALMA, created by one of the group’s tutors, Katherine Cook. [.pdf of PALMA video]

UM Partnerships – PALMA: Board Discussion

Prue Rosenthal clarified with Soave that PALMA brings in its own tutoring staff. All tutors are UM students, Soave explained. The tutors come from all different UM departments, not just Spanish language students, she said. Now there’s also a PALMA course for students who want to combine a classroom setting with their tutoring experience.

Nancy Kaplan wanted to know who promotes the program. That’s handled by PALMA, Soave said.

Rosenthal noted that student organizations are often “fluid.” She wondered if the tutors are consistent and committed – so that the library doesn’t face a situation where a tutor doesn’t show up. Soave said that rarely happens. The faculty advisor, Cristhian Espinoza-Pino, is “extremely passionate and dedicated,” she said. The current PALMA board of students works with the incoming board, to ensure continuity. Soave noted that at one point in 2009, 120 Latino community members were part of the program, with 100 tutors. But PALMA organizers decided that the size didn’t work as well, so they pulled back on the number of participants. There’s doesn’t seem to be a shortage of volunteers, she said.

Prue Rosenthal, president of the Ann Arbor District Library board.

Families also participate for many years, Soave said. The video included some comments by a Washtenaw Community College student who first started attending PALMA sessions when he was in elementary school.

Margaret Leary congratulated the work of staff, for their enthusiasm in helping the program continue. Another benefit is offering a consistent place for people to come, Leary said. It’s much easier for the general public to come to the downtown library, right next to the AATA transit center. It would be harder to find a regular, easily accessible place on campus.

Soave noted that although they can’t track this information formally, the AADL staff has seen over time that people who participate in the program are coming back to the library and using it, because of the trust and relationship they’ve built through PALMA. They’re coming on days when they aren’t being tutored, and they’re coming to all library locations, she said.

Rebecca Head noted that the library is often characterized as the “epitome of a democratic institution – and this proves it.”

UM Partnerships: Board Discussion

Ed Surovell asked about the budget for some of the distribution programs that Soave had mentioned. Soave explained that the materials distributed to UM’s health system come from AADL’s collection. Some staff costs are involved, Soave said. They select items they believe would be most useful. But there’s very little cost, she said.

Josie Parker added that the library bore the full cost of developing the “Read to Me” CD, which is distributed to first-time mothers.

Surovell wondered if there was capacity to expand any of these efforts. Parker replied that there are probably endless opportunities to expand outreach. Funding to do that comes from the library’s general operating budget, she said. Surovell asked what the budget was for this program. Soave said her department has a staff budget, but there’s no separate budget for these individual projects.

Sherlonya Turner, AADL manager of youth & adult services and collections, came to the podium and explained that the distribution of materials is very streamlined with other departments, and incorporated into work they already do.

Director’s Report

During the Feb. 18 meeting, AADL director Josie Parker elaborated on several items that were included in her written director’s report. [.pdf of February 2013 director's report]

AADL director Josie Parker.

She noted that Eli Neiburger, AADL’s associate director of IT and product development, is touring Germany as a guest of the U.S. State Department and Zukunftswerkstatt (“Future Workshop”), visiting libraries in several cities. Neiburger is helping organize a U.S.-German library video game tournament, using software developed by AADL staff, with winners of the online competition getting the chance to come to Ann Arbor to compete. Parker noted that this is an outgrowth of a partnership that began in 2005 when she had been invited by the State Department to travel to Europe and talk about AADL’s lending model.

Parker noted that the Ann Arbor/Ypsilanti Reads event on Feb. 7 – featuring Connie Rice, co-director for the Advancement Project – had been a big success. She praised the Washtenaw Community College for hosting the event, along with other AADL partners: the Ypsilanti District Library and University of Michigan. It was a great crowd, she said, “for what are often hard conversations” about race. [The 2013 Ann Arbor/Ypsilanti Reads selection is "The New Jim Crow: Mass Incarceration In The Age Of Colorblindness" by Michelle Alexander.]

Parker also highlighted the fourth annual Preschool Expo, held on Jan. 27 at UM’s Palmer Commons. The library has partnered with UM and other institutions to bring together information about preschool options, so parents can go to one place in a “vendor-type environment” to find what they need, she said. The expo is in its fourth year, though AADL has been providing this kind of information for a lot longer than four years, Parker noted. With national and state attention now focused on the importance of preschool education, Parker said she wanted the board to know that AADL has recognized this for a long time.

Board members also received a brochure that’s part of the national “America’s Music” project, a partnership of the Tribeca Film Institute in collaboration with the American Library Association, Tribeca Flashpoint, and the Society for American Music. The brochure lists events to be held at AADL, including the opening concert on March 13 with Mr. B.

Finally, Parker highlighted a partnership between AADL and the American Association of University Women (AAUW) on a program called “Let’s Read Math.” It began as a remedial math program for young girls with math phobia, she said, but is now offered to any student with math phobia. This year, there were three sessions on Saturdays in late January and early February. The turnout was good, she noted, despite the fact that it took place on Saturday for elementary students talking about math at the library. “Those are all negatives,” Parker said, but these are motivated students – or motivated parents, she joked. On one Saturday, 38 students attended. Other Saturdays drew 50 and 21 students, she said. Parker praised Ryan Case, a teacher who also works at AADL as an information desk clerk, for his efforts on this program.

Financial Report

During the Feb. 18 meeting, Ken Nieman – AADL associate director of finance, HR and operations – updated the board on AADL’s financial statements for January 2013. [.pdf of January 2013 financial report]

By Jan. 31, 2013 the library had received just over 97% of its budgeted tax revenues for the year, or $10.9 million. The library’s unrestricted cash balance was $12.35 million as of Jan. 31, with a fund balance of $8.126 million and an operating surplus of $139,000. Two line items are currently over budget: communications and software. Both are expected to come back in line with budgeted amounts by the end of the fiscal year, Nieman said. The AADL’s current fiscal year runs through June 30, 2013.

Board members had no questions about the financial report.

Present: Rebecca Head, Nancy Kaplan, Margaret Leary, Barbara Murphy, Jan Barney Newman, Prue Rosenthal, Ed Surovell. Also AADL director Josie Parker.

Next meeting: Monday, March 18, 2013 at 7 p.m. in the fourth-floor conference room of the downtown library, 343 S. Fifth Ave. [Check Chronicle event listing to confirm date]

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From left: Prue Rosenthal, the new president of the Ann Arbor District Library board, and board member Barbara Murphy. The seven-member board elected new officers at its Jan. 21, 2013 meeting. (Photos by the writer.)

The board voted unanimously to create two special committees – for facilities and communications. The efforts can be tied to a defeated bond proposal on the Nov. 6 ballot, which the AADL board had hoped would fund a new downtown library.

Both topics were touched on during public commentary, too. Two local architects – Sahba Laal and George Kachadoorian – told the board they’ve prepared a proposal for renovating and perhaps adding to the downtown library building. They hope to present their ideas at a future board meeting. Also during public commentary, Lou Glorie urged the board to consider moving its meeting dates, which typically fall on the same evening as Ann Arbor city council meetings. She also suggested that the meetings be recorded for viewing on Community Television Network (CTN) – an idea that the majority of board members rejected when Nancy Kaplan proposed it nearly two years ago.

In contrast, Kaplan’s most recent proposal – to hold three board meetings this year at library branches, rather than at the downtown location – won unanimous support from the board. The change is intended to make it easier for the public to attend, and to showcase the branches. Those branch meetings will be held at: (1) the Traverwood branch at 3333 Traverwood Drive, at the intersection with Huron Parkway (June 17); (2) the Pittsfield branch at 2359 Oak Valley Drive (July 15); and the Malletts Creek branch at 3090 E. Eisenhower Parkway, east of Stone School Road (Sept. 16).

The Jan. 21 meeting included a swearing-in ceremony – officiated by Libby Hines, chief judge of the 15th District Court – for the four AADL board incumbents who were re-elected on Nov. 6, 2012: Nancy Kaplan, Margaret Leary, Rebecca Head and Prue Rosenthal. The seven-member board also held officer elections. Prue Rosenthal was unanimously elected president. Other officers are Jan Barney Newman (vice president); Nancy Kaplan (treasurer); and Rebecca Head (secretary).

Several members of the Protect Our Libraries group attended the Jan. 21 meeting. Formed in 2012 to oppose the AADL’s bond proposal for a new downtown library, the group subsequently organized as a political action committee (PAC). Kathy Griswold, who launched Protect Our Libraries, was among those present at the board meeting – along with Bob Rorke, who previously served on the Ann Arbor Public Schools board of education with Griswold. Griswold told The Chronicle that the PAC is hiring Rorke to conduct a financial analysis of the AADL.

Swearing In, Officer Elections

The four Ann Arbor District Library board incumbents who were re-elected on Nov. 6, 2012 were sworn in for another four-year term at the board’s Jan. 21 meeting. Libby Hines, chief judge of the 15th District Court in Ann Arbor, administered the oath to Nancy Kaplan, Margaret Leary, Rebecca Head and Prue Rosenthal.

15th District Court chief judge Libby Hines, left, was given a bouquet of flowers by AADL director Josie Parker before administering the oath of office to four incumbent board members elected on Nov. 6, 2012. Seated in the foreground is AADL board member Jan Barney Newman.

Before the ceremony started, AADL director Josie Parker presented Hines with a bouquet of flowers to show appreciation for her work, noting that Hines had received significant recognition over the past year.

That recognition included the American Judges Association’s decision last year to establish the annual Judge Elizabeth Hines Award, to honor judges who have developed innovative strategies to reduce domestic violence. Hines was also the first recipient of that award. She handles a specialized domestic violence docket as well as a street outreach court – a community program that she spearheaded to address issues related to homelessness and the criminal justice system.

Hines said it was a great honor to deliver the oath to people who have been elected to protect such a valuable community resource. She observed that it was fitting for this ceremony to occur on the same day as the presidential inauguration and Martin Luther King Jr. Day.

The four incumbents stood at the front of the boardroom while Hines administered the brief oath of office.

The meeting also included the election of new board officers. Before that took place, Leary – who has served as president for the past two years – gave some remarks. She said she didn’t want to describe the huge accomplishments of AADL, because she didn’t want to take credit for those efforts. Rather, she wanted to thank the people who are responsible for AADL’s success, starting with taxpayers who approved the millage that brings in about $11 million of the library’s $12 million budget each year. She also thanked voters who have elected her to three terms, and individually thanked each of her board colleagues for their work. In her comments to Ed Surovell – the board’s longest-serving member – Leary thanked him for teaching her about the “human political animal.”

Leary thanked the nonprofit Friends of the Ann Arbor District Library and its president, Pat McDonald, as well as the group that had advocated for the Nov. 6 library bond proposal, led by Ellie Serras. Leary’s concluding remarks were directed to AADL staff, thanking several senior staff members individually and noting that Parker and her staff accomplish the library’s mission statement every day. [The AADL vision statement, mission statement and list of values is available on the library's website.]

From left: AADL board members Nancy Kaplan, Margaret Leary, Prue Rosenthal, Rebecca Head are sworn in for new four-year terms. The four incumbents were re-elected on Nov. 6.

Leary received a round of applause from her colleagues and AADL staff, and Parker presented her with a bouquet of red roses. Parker noted that Leary usually gets the last word, but not this time. She said Leary had brought grace in her approach to board leadership, and has a way of speaking to people as though they are the most important person – it was much appreciated, Parker said. On behalf of the board, Rebecca Head also thanked Leary for her service as president.

The board then held officer elections for 2013. Prue Rosenthal, who has served as vice president for two years, was unanimously elected president. Other officers are Jan Barney Newman (vice president); Nancy Kaplan (treasurer); and Rebecca Head (secretary).

There were no competing nominations, and all votes were unanimous.

Board Committees

Several agenda items related to committee work for the AADL board, including resolutions to create two special committees in 2013 – for facilities and communications.

Board Committees: Facilities

The special facilities committee is a continuation of a committee that was originally formed at the board’s April 16, 2012 meeting. At that time, the purpose of the committee was to make a recommendation to the board regarding a possible new or renovated downtown building.

AADL board member Ed Surovell.

At the board’s July 16, 2012 meeting, that committee – consisting of Prue Rosenthal, Nancy Kaplan and Ed Surovell – recommended that the board place a bond proposal on the Nov. 6 ballot to fund a new downtown library. At that same July meeting, the committee’s charge had been amended to include recommending “measures needed to maintain the existing building should a bond to replace the downtown facility fail to pass.”

The $65 million, 30-year bond proposal was rejected by voters, with 41,359 votes (55.17%) against it and support from 33,604 voters (44.83%).

On Jan. 21, Rosenthal gave a very general report on the committee work, saying that it had met and discussed issues concerning the defeat of the bond proposal and how to continue efforts regarding library facilities. The committee’s work in 2013 will focus on all the library buildings and their needs, she said.

Later in the meeting, the board considered a resolution with a new charge for the special facilities committee: “to recommend to the Board steps needed to develop and maintain clean, safe, physical facilities that creatively meet the needs of the community and staff with an emphasis on sustainability, accessibility and flexibility.”

The only discussion on this item was a comment by Leary, who noted that the committee’s charge is taken directly from the AADL’s strategic plan.

Outcome: The board voted unanimously to form the special facilities committee for 2013. In a separate vote later in the meeting, the board voted to appoint Ed Surovell, Rebecca Head and Margaret Leary to serve on that committee. Leary will serve as chair.

The topic of library facilities was also touched on during public commentary at the start of the Jan. 21 meeting. Sahba Laal introduced himself and George Kachadoorian, saying they were two local architects who have prepared a proposal for renovating and perhaps adding to the downtown library building. They did not show the board any designs during public commentary, but Laal indicated that they hoped the board would consider their proposal at a future meeting.

Board Committees: Communications

The board also considered a resolution to create a special communications committee that is charged with making recommendations about a communications audit and plan.

There was no discussion about this item prior to the board vote. After the meeting, Margaret Leary told The Chronicle that the idea to form the committee evolved following the Nov. 6 election, and is a recognition that the AADL needed to do a better job of communicating its work to the public. The work might require hiring a consultant to help formulate a communications strategy.

Issues related to communications are also part of the board’s long-term strategic plan. The three communications goals identified in that plan are:

1. Learn more about who is using the Library, who is not and why.
2. Communicate the value and return on investment to the community from its district library, and how that return might be increased.
3. Market library services to current patrons and non-users.

Outcome: The board voted unanimously to form the special communications committee for 2013. In a separate vote later in the meeting, the board appointed Nancy Kaplan, Margaret Leary and Ed Surovell to serve on the committee.

Board Committees: Appointments

During the meeting, a handout was distributed that listed proposed assignments in the board’s permanent standing committees:

• Budget and finance: Nancy Kaplan (chair), Barbara Murphy, Jan Barney Newman.
• Policy: Barbara Murphy (chair), Nancy Kaplan, Prue Rosenthal.
• Director’s evaluation: Prue Rosenthal (chair), Margaret Leary, Jan Barney Newman
• Executive: Prue Rosenthal, as board president, plus any two additional officers of the board.

In accordance with the Michigan Open Meetings Act, any meeting that includes a quorum of the board must be held in public, with specific exceptions allowed for certain topics to be covered in closed sessions. For AADL’s seven-member board, four members constitute a quorum. Because AADL’s committees have only three members each, the meetings are not required to be open to the public.

Outcome: In separate votes for each committee, the board voted unanimously to make appointments to its standing committees for 2013.

Outreach Efforts

In addition to creating a special communications committee, the board handled another agenda related to the general topic of community outreach – holding three of its 2013 board meeting in library branches, rather than the main downtown building. The issue of outreach was also addressed during public commentary.

Outreach Efforts: Public Commentary

Lyn Davidge told board members she was disappointed that the December 2012 meeting had been canceled. So many views have been expressed by the electorate regarding the library, she said, and there’s a vast public interest in the library and its downtown building. She felt that the library’s constituents deserve regular monthly updates on AADL finances and policy. It’s also important to hear regularly from the board’s special facilities committee, Davidge said.

Lou Glorie spoke to the AADL during public commentary.

Lou Glorie asked the board to consider holding its meetings on different nights, because in its typical schedule, AADL board meetings fall on the same night as Ann Arbor city council meetings. [AADL meetings are usually on the third Monday of the month, starting at 7 p.m. City council meetings are on the first and third Mondays, also starting at 7 p.m.] Glorie noted that the city council was not in session in observance of the Martin Luther King Jr. Day.  The council’s meeting was held the following day instead. She asked that the library board be more sensitive to these holidays when scheduling its meetings.

Glorie noted that many people who attend the city council meetings would also like to attend AADL board meetings, but they can’t. For the sake of increasing citizen involvement, she said, it would help to hold the meetings on a different day. Glorie also encouraged the board to broadcast its meetings on Community Television Network (CTN), as are many public meetings in the city.

By way of background, CTN is a unit of the city of Ann Arbor, and broadcasts a wide variety of public meetings – including several that are held in the same boardroom as the library board meetings, on the fourth floor of the downtown AADL building. Meetings that are currently recorded by CTN in that room include the Ann Arbor Public Schools board and the Ann Arbor Transportation Authority board. At the AADL’s May 16, 2011 meeting, board member Nancy Kaplan brought forward a resolution to videotape monthly board meetings for broadcast. It was defeated on a 2-4 vote, with support only from Kaplan and Barbara Murphy. Ed Surovell was absent from that meeting. No trustees spoke about their reasons for voting against it, although board members had discussed it with AADL staff at the board’s April 25, 2011 session.

Glorie concluded her remarks by saying that she’s a member of the Protect Our Libraries group, and she looked forward to collaborating with AADL.

Protect Our Libraries formed in 2012 to oppose the AADL’s bond proposal for a new downtown library. The group subsequently organized as a political action committee (PAC). [.pdf of the PAC's statement of organization, filed on Dec. 11, 2012] Kathy Griswold, who launched Protect Our Libraries, also attended the Jan. 21 AADL meeting, along with Bob Rorke, who previously served on the Ann Arbor Public Schools board of education with Griswold. Griswold told The Chronicle that the PAC is hiring Rorke to conduct a financial analysis of the AADL.

Outreach Efforts: Board Meetings

On the Jan. 21 agenda was a resolution to hold three of its 2103 meetings at library branches. Typically, the board’s monthly meetings are held in the downtown library at 343 S. Fifth Ave.

AADL board member Nancy Kaplan.

The resolution was brought forward by Nancy Kaplan, who said she thought it was a good idea and hoped it would draw more attention to AADL meetings. The goal is to make meetings easier to attend, she said, and to highlight AADL’s different branches.

Jan Barney Newman recalled that in the past, some board meetings had been held in branches. AADL director Josie Parker confirmed that this was true, but it did not happen on a regular basis.

This year, the proposal called for meetings to be held at: (1) the Traverwood branch at 3333 Traverwood Drive, at the intersection with Huron Parkway (June 17); (2) the Pittsfield branch at 2359 Oak Valley Drive (July 15); and the Malletts Creek branch at 3090 E. Eisenhower Parkway, east of Stone School Road (Sept. 16).

In a separate item, the board was asked to adopt the 2013 meeting schedule. [.pdf of 2013 meeting schedule]

Outcome: The board unanimously approved its 2013 meeting schedule, as well as a resolution directing that three meetings be held at library branches.

Financial Report

In a standard agenda item, Ken Nieman – AADL associate director of finance, HR and operations – gave a brief financial update to the board. Because the board had canceled its December 2012 meeting, this month’s presentation included reports for the months of November and December. [.pdf of November 2012 financial report] [.pdf of December 2012 financial report]

Nieman highlighted a $40,000 donation made to AADL by the nonprofit Friends of the Ann Arbor District Library, which operates a used bookstore in the lower level of the downtown library building.

By Dec. 31, 2012 the library had received nearly 97% of its budgeted tax revenues for the year, or $10.86 million. The library’s unrestricted cash balance was $13.2 million as of Dec. 31, with a fund balance of $8.07 million. Four line items are currently over budget: communications, materials, software, and a line item for “other operating expenses.” All are expected to come back in line with budgeted amounts by the end of the fiscal year, Nieman said.

Board members had no questions about the financial report.

Director’s Report

AADL director Josie Parker began her report by showing a video annual report for the library’s 2011-12 fiscal year. The six-minute video features clips from programs and speakers hosted by AADL, as well as describing new online services and content that’s available for circulation.

Parker also highlighted several items that were included in her written report: [.pdf of January 2013 director's report]

• As part of its annual program to bring second-grade students to the library, this fall 56 classes with 1,278 students came to the library, and 511 library cards were issued. The Friends of the AADL paid for bus transportation for this program, which is designed to introduce students to the public library.
• The Washtenaw Library for the Blind and Physically Disabled at AADL received commendations from the Regional Librarian for the state’s Bureau of Services for Blind Persons, following a site review. The WLBPD@AADL was also recognized for best practices by the National Library Service in its December 2012 newsletter.
• Cynthia Page-Bogen, a Burns Park Elementary music teacher, and local singer/songwriter Joe Reilly highlighted AADL’s Library Songsters program at the Michigan Music Conference this month. The Library Songsters is described on AADL’s website as a program that “brings folk musicians, storytellers and dancers into our public schools to teach these traditional arts to students.” It’s been spearheaded by Ira Lax of AADL’s outreach and neighborhood services staff.

Human Resources Report

DeAnn Doll, manager of finance/human resources for AADL, gave a brief presentation to the board at the Jan. 21 meeting. She described information that was also provided in a three-page handout. [.pdf of HR handout] The handout included an organizational chart, a chart showing the general compensation structure for AADL jobs, and definitions of AADL “regular” and “casual” employees – categories that are typically referred to in other organizations as full-time and part-time positions, respectively.

As of Dec. 31, 2012, the library employed a staff of 227 people.

Board members had only a few questions for Doll. Leary asked how many employees were represented by a union – Doll didn’t have that information immediately at hand. Leary also wondered how many people worked in the different types of positions. Doll went through the entire org chart, listing out the number of people in each group. The largest categories of employees are “casual” staff – defined as employees who work 16-19 hours per week – in the categories of bookshelvers/processors (55 employees), circulation/branch clerks (26), and information desk clerks (20).

In response to another query, Doll noted that the compensation structure had been completed in 2008 and that it would be updated this year.

Present: Rebecca Head, Nancy Kaplan, Margaret Leary, Barbara Murphy, Jan Barney Newman, Prue Rosenthal, Ed Surovell. Also AADL director Josie Parker.

Next meeting: Monday, Feb. 18, 2013 at 7 p.m. in the fourth-floor conference room of the downtown library, 343 S. Fifth Ave. [Check Chronicle event listing to confirm date]

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The purpose of the special meeting is related to a pending lawsuit against the AATA – for refusing to allow an anti-Israeli advertisement to be placed on the sides of its buses. Based on the timeline set forth in a recent court order, the board’s meeting will likely include a closed session to evaluate the previously rejected advertisement under the terms of a newly revised advertising policy. The board adopted the revised ad policy in late November. By Jan. 4, the day after the special meeting, the AATA must notify the plaintiff in the case, Ann Arbor resident Blaine Coleman, of its decision on the advertisement.

In the Dec. 17, 2012 court order, judge Mark Goldsmith of the U.S. District Court for the Eastern District of Michigan ruled that the Ann Arbor Transportation Authority had to reconsider an advertisement it had previously rejected for placement on the sides of its buses. [.pdf of Dec. 17, 2012 court order] The ad included the text “Boycott ‘Israel’ Boycott Apartheid.”

In the course of the lawsuit, which was filed over a year ago, the court has ruled in favor of Coleman on his request for a preliminary injunction, based on a finding that the original advertising policy had unconstitutional portions. But Goldsmith left the question of appropriate relief to be determined. Since that initial ruling, the AATA board, at its Nov. 29, 2012 meeting, revised its advertising policy. [For detailed coverage, see “AATA Adopts New Advertising Policy.”] So the court’s order on Dec. 17 required the AATA to reconsider the advertisement under its new policy.

Crucially, the new policy omits a “good taste” provision, which the court found to be unconstitutional. The policy also includes a revised provision that previously disallowed ads supporting or opposing political candidates or ballot propositions. The new policy more broadly bans “political or political campaign advertising.”

The court’s order established a timeline: (1) By Dec. 21, 2012, Coleman had to resubmit the ad – either the original version of the ad or a revised version. (2) By Jan. 4, 2013, the AATA reconsiders the ad under the revised advertising policy and notifies Coleman. (3) On Jan. 9, 2013 a status conference with the court will be held to discuss whether additional preliminary injunctive relief is proper and what will happen next.

According to Coleman’s ACLU attorney, Dan Korobkin, the ad that would be re-submitted to the AATA was the original ad.

Ellie Serras, who leads the campaign to support AADL’s bond proposal for a new downtown library, spoke during public commentary to update the board on the campaign. (Photos by the writer.)

That update came from Ellie Serras, who leads the Our New Downtown Library campaign committee. She had briefed the board previously at its Aug. 20 meeting. If approved by voters on Nov. 6, the $65 million, 30-year bond proposal will fund the demolition of the existing library at 343 S. Fifth and the construction of a new building on that same site.

Speaking during public commentary, Serras catalogued the number of yard signs, buttons, postcard mailings, meetings and other efforts of the campaign. She described the campaign as being built on trust and confidence, “not rumor and innuendo,” and said the new library will be an expression of the community’s core values of education and equal access for all. Serras received a round of applause from board members after her remarks.

The other item tangentially related to the bond proposal was the uncharacteristic absence of AADL director Josie Parker from the meeting. Board president Margaret Leary reported that Parker was attending two separate township meetings that night to talk about the bond proposal. For the most part, the AADL district mirrors the Ann Arbor Public Schools district. In addition to the city of Ann Arbor, the district includes parts of the townships of Pittsfield, Scio, Ann Arbor, Lodi, Webster, Salem and Superior.

In addition to the bond proposal, there are four seats on the AADL board that are on the Nov. 6 ballot. Four incumbents – Rebecca Head, Nancy Kaplan, Margaret Leary and Prue Rosenthal – are running for re-election. The fifth candidate is Lyn Davidge, who attended the Oct. 15 meeting but did not speak during public commentary. For Chronicle coverage of a recent League of Women Voters forum on this race, see “Library Board Candidates Compete for 4 Seats.” While the four incumbents support the bond proposal, Davidge does not believe it’s the right project at this time.

During the Oct. 15 meeting, the board also got a brief report on library finances. And Leary notified the board that Parker has been appointed by Gov. Rick Snyder to the Michigan Commission for Blind Persons, an advisory group for state programs and services. The AADL administers the Washtenaw Library for the Blind & Physically Disabled.

Update on Campaign for Bond Proposal

By way of background, there are now four campaign committees related to the AADL bond proposal. The Our New Downtown Library committee was the first to form, and supports the effort to build a new library.

The other three committees oppose the new library project. A group called Protect Our Libraries formed in September with Kathy Griswold, a former member of the Ann Arbor Public Schools board, serving as treasurer. Douglas Jewett formed a committee called Save the Ann Arbor Library. He is opposed to demolishing the existing building, which he views as architecturally significant. The original portion of the building was designed by Alden B. Dow.

A third committee – called “LOL=Love Our Library” – filed earlier this month. Its treasurer is Sheila Rice, who is also a board member for the nonprofit Friends of the Ann Arbor District Library. FAADL supports the bond proposal.

During public commentary at the AADL board’s Oct. 15 meeting, Ellie Serras of the Our New Downtown Library committee described the group’s support as diverse and widespread, with over 100 contributors. [The committee's first financial statement covered the period through July 20, with $7,500 raised – including $5,000 from Serras. The deadline for the next financial statement is Oct. 26.]

Several AADL board members wore buttons supporting the bond proposal for a new downtown library.

Serras pointed to 30 testimonials from community leaders that are posted on the campaign website. She reported that 500 small yard signs have been distributed, and 25 large signs will be put up soon. Over 35,000 postcards have been mailed, and another 10,000 will be sent out in the next two weeks. Three hundred campaign buttons have been given out, and the committee has reordered more.

Members of the campaign have attended 14 events, done two radio interviews, and written opinion pieces for local media. More events are planned, she said, and volunteers are eager to add more to their calendar. Advertising is being placed in the local media, and volunteers are working at the Ann Arbor farmers market to talk to people about the proposal.

This campaign is built on confidence and trust, Serras said, ”not rumor and innuendo.” Data that’s been collected by library staff – described by Serras as “astute” – make arguments for the proposal all the more powerful and persuasive. It’s clear that the downtown library is booming and that it can’t accommodate the community’s needs, she said. She said the new library will be an expression of the community’s core values: education and equal access to everyone. It will be an exciting place, she said, where ideas collide and and innovation explodes.

Serras commended the board for its leadership in putting this initiative forward at this time. She said it was an honor for her to be part of an advocacy group for this great institution.

Update on Campaign for Bond Proposal: Board Response

Board members gave Serras a round of applause after her remarks.

Nancy Kaplan asked how people might contact the committee to get involved. Serras directed people to the campaign’s website, noting that you can post a comment or email her directly. The campaign can arrange for someone to attend a meeting or meet with people individually, she said.

Misc. Communications

Board president Margaret Leary noted that none of the board committees had met since last month’s meeting, so there was nothing to report.

From left: AADL board members Prue Rosenthal, Barbara Murphy (seated), and Jan Barney Newman.

She observed that AADL director Josie Parker was absent, and reported that Parker was meeting with groups in two townships that same evening to talk about the Nov. 6 bond proposal.

Leary also reported that Parker had recently been appointed by Gov. Rick Snyder to the Michigan Commission for Blind Persons, an advisory group for state programs and services. The AADL administers the Washtenaw Library for the Blind & Physically Disabled.

From the press release announcing the appointments: “Under her leadership, the Ann Arbor District Library and Washtenaw Library for the Blind and Physically Disabled have received local and national recognition for adopting new technologies which provide special services to a broader population, including K-12 students.”

Leary said the appointment is an honor for Parker and AADL, reflecting her commitment to high-quality service and AADL’s willingness to take on the WLBPD when Washtenaw County government decided they could no longer administer it due to budget cuts. The county board of commissioners approved eliminating support for the WLBPD in late 2008, estimating it would save the county about $500,000 by transferring services to the AADL.

Finance Report

Ken Nieman – AADL associate director of finance, HR and operations – gave a brief financial update to the board. [.pdf of finance report] He noted that through the end of September, the library has received 77% of its budgeted tax receipts – or $8.646 million. AADL’s fund balance stood at $8.035 million as of Sept. 30.

Four items were over budget, he said, but are expected to come back in line with budgeted amounts by the end of the fiscal year. Those line items are utilities, communications, library programming and grant expenses, and a line item for “other operating expenses.”

Board members had no questions for Nieman about the financial report.

Present: Rebecca Head, Nancy Kaplan, Margaret Leary, Barbara Murphy, Jan Barney Newman, Prue Rosenthal, Ed Surovell.

Next meeting: Monday, Nov. 19, 2012 at 7 p.m. in the fourth-floor conference room of the downtown library, 343 S. Fifth Ave. [Check Chronicle event listing to confirm date]

The Chronicle relies in part on regular voluntary subscriptions to support our coverage of public bodies like the Ann Arbor District Library board. Check out this link for details: Subscribe to The Chronicle. And if you’re already supporting us, please encourage your friends, neighbors and colleagues to help support The Chronicle, too!

Ann Arbor District Library director Josie Parker at the Sept. 24, 2012 meeting of the AADL board. She reported on recent recognition given to the Washtenaw Library for the Blind and Physically Disabled, which is administered by AADL. (Photos by the writer.)

But the bond proposal could be seen as the backdrop for a report by AADL director Josie Parker, who provided an update of the district’s five-year strategic plan, which the board adopted in 2010. Parker distributed a copy of the plan that highlighted achievements from the most recent fiscal year. “Our reach in the community is deep and it’s wide,” she said. “The strategic plan is our evidence.” [.pdf of highlighted strategic plan]

Board president Margaret Leary noted that as the community’s attention is rightly focused on the bond proposal, the goal of renovating or replacing the downtown building is only one item in the strategic plan. There are seven pages of actions that the library is taking, she said.

At last month’s board meeting Ellie Serras, chair of the Our New Downtown Library campaign committee, spoke during public commentary to brief the board on actions of that pro-bond group. And since then, two other efforts – to oppose the proposal – have emerged. A group called Protect Our Libraries was formed earlier this month. Its treasurer is Kathy Griswold, a former member of the Ann Arbor Public Schools board.

And Douglas Jewett, who had attended an August forum for potential AADL board candidates, filed paperwork on Sept. 25 for the Save the Ann Arbor Library ballot question committee. He did not file to run for the board. He previously had secured a sidewalk vendor permit on Aug. 20 for space in front of the downtown library at 343 S. Fifth. He uses the space to lobby against demolition of the current building, citing its architectural significance. The original portion of the building was designed by Alden B. Dow.

At the candidate forum, Jewett had praised the library, calling it the center of Ann Arbor. Four non-partisan board seats on the Nov. 6 ballot will be contested by five candidates: the four incumbents – Prue Rosenthal, Margaret Leary, Nancy Kaplan and Rebecca Head – as well as Lyn Davidge, who attended the Sept. 24 board meeting.

The positions will be elected by voters in Ann Arbor and portions of seven townships that are covered by the library’s district, in Pittsfield, Scio, Ann Arbor, Lodi, Webster, Salem and Superior. Those are the same boundaries served by the Ann Arbor Public Schools, with the exception of Northfield Township. The four-year terms begin Jan. 1, 2013.

Director’s Report

Josie Parker began her director’s report by highlighting a newsletter distributed by the National Library Service. A section titled “Best Practices from the Network: Spreading the Word about NLS” featured tips from Terry Soave, AADL’s manager of outreach and neighborhood services, about getting coverage for the Washtenaw Library for the Blind and Physically Disabled, which is operated by AADL and serves over 400 people. [Celeste Choate, associate director of services, collections and access, had briefed the board in August about a recent satisfaction survey for WLBPD patrons.]

From left: Terry Soave, AADL manager of outreach and neighborhood services, and Celeste Choate, associate director of services, collections and access.

The National Library Service had reached out to AADL to be featured in its newsletter, Parker said, even though the library has only administered the WLBPD for three years. The newsletter listed a dozen items of advice from Soave about how to promote programs or services. The WLBPD had been covered in a June 2012 e-newsletter of the Homewatch Caregivers of Ann Arbor.

The board gave Soave and her staff a round of applause.

Parker also pointed to a handout of the district’s five-year strategic plan – actions that had occurred in the past fiscal year were highlighted in yellow. [.pdf of highlighted strategic plan]

The document shows how active the AADL staff has been in addressing all elements of the strategic plan, Parker said. ”Our reach in the community is deep and it’s wide,” she said. “The strategic plan is our evidence.”

She noted that some things might seem small, but in fact have broader implications. One example was securing the right to make the movie “Grown in Detroit” available for online streaming by AADL cardholders. It shows how AADL is working to bring different kinds of media to the public, in avenues that aren’t traditional, she said. [Eli Neiburger, AADL’s associate director of IT and product development, had described some of these initiatives in more detail during a presentation at the board's Aug. 20, 2012 meeting.]

Here’s a sampling of strategic-plan actions that were accomplished during the past fiscal year:

• Added all branches to the possible pickup locations for Art Prints.
• Developed and launched Science to Go kit collection in late 2011.
• Launched telescope collection for beginning users and hobbyists.
• Hosted a meeting of area ESL [English as a second language] service providers and educators in order to exchange information and promote AADL resources.
• Launched oldnews.aadl.org with over 100,000 local newspaper articles in October 2011.
• Developed a new sensory play event for children with autism.
• Developed an extremely popular event on funding for non-profits that was repeated several times due to demand.
• Provided a panel discussion on the homelessness issue in Washtenaw County in conjunction with the Washtenaw Housing Alliance. AADL also videotaped the event and as of June 27 (a little over 5 months after the event took place) the video has been viewed over 1,000 times.
• Placed withdrawn AADL materials with homeless students via AAPS Homeless Liaison.
• Partnered with C.S. Mott Children’s Hospital to provide storytelling at regularly scheduled events for patients and their families.
• Added collecting samples of each track into music cataloging workflow for inclusion in the catalog.
• Secured a grant from American Library Association and National Endowment for the Humanities to act as a focus group for book selection for the NEH Muslim Journeys Project.
• Conducted a WLBPD Patron Satisfaction Survey. (37% of WLBPD patrons responded.)
• Host a local listserv for Library Biz Connect, a group comprised of small business and entrepreneur-related support service-providers and libraries that shares information about their respective programs and resources; and, also partners on programming.

Margaret Leary, the board’s president, highlighted a couple of initiatives that she said reflect AADL’s work with the Ann Arbor Public Schools: (1) partnering with Mack School to teach fifth graders how to capture and record family stories, using traditional and modern techniques, including podcasting; and (2) partnering with AAPS, C.S. Mott Children’s Hospital and the VA Hospital to develop and deliver Valentine’s cards made by local kids to hospital patients.

Leary noted that the community’s attention is focused on the bond proposal, which is important. But that’s just a single goal under one of six strategic initiatives. There are seven pages of other activities that the library is pursuing too, she said.

Finance & Facilities Reports

As he does each month, Ken Nieman – AADL associate director of finance, HR and operations – gave a brief financial update to the board. [.pdf of finance report]

AADL board member Jan Barney Newman.

He noted a sharp increase in AADL’s unrestricted cash balance – from $8.132 million in July to $13.295 million by the end of August. This reflects the receipt of proceeds from the July tax bills. As of Aug. 30, the AADL had received 64% of its budgeted tax revenues for the fiscal year, which runs through June 30, 2013.

Five items were over budget, but are expected to come back in line with budgeted amounts by the end of the fiscal year, Nieman said. Those line items include employment costs, utilities, communications, and library programming and grant expenses.

In all, Nieman concluded, August was business as usual.

Later in the meeting, board member Barbara Murphy gave an update from the board’s budget and finance committee. She noted that a financial audit is currently underway, and will be presented to the board in November.

Prue Rosenthal reported from the special facilities committee, on which she, Ed Surovell and Nancy Kaplan serve. Speaking in very general terms, she said the committee had met and discussed the state of the downtown building, what can be done about it and how to move forward.

Present: Rebecca Head, Nancy Kaplan, Margaret Leary, Barbara Murphy, Jan Barney Newman, Prue Rosenthal, Ed Surovell. Also AADL director Josie Parker.

Next meeting: Monday, Oct. 15, 2012 at 7 p.m. in the fourth-floor conference room of the downtown library, 343 S. Fifth Ave. [Check Chronicle event listing to confirm date]

The Chronicle relies in part on regular voluntary subscriptions to support our coverage of public bodies like the Ann Arbor District Library board. Check out this link for details: Subscribe to The Chronicle. And if you’re already supporting us, please encourage your friends, neighbors and colleagues to help support The Chronicle, too!

Auditors David Helisek and Pam Hill of Plante Moran. (Photos by the writer.)

Still, the board transacted two pieces of business. The first was to approve the report of its auditor, Plante Moran. The overall opinion was “unqualified,” which is the highest rating that can be given. Still, the audit revealed some issues that need to be addressed, one of which was dealt with as part of the audit – the recording of revenue from the tax levy in the year it’s received. That actually increased the amount of AATA net assets by $7 million, but is an accounting change, not an actual change. The auditors found one case of a contract that should have been subjected to Davis-Bacon compliance requirements but was not.

Another issue identified by the auditor involves the AATA’s practice of investing in fuel futures as a hedge against the volatility of diesel prices – the advice was to review the practice with legal counsel. Plante Moran also flagged an issue involving the shelf-life of federal grants – but the AATA and auditors see that issue differently.

The second business item was approval of revisions to the AATA management personnel handbook – it was part of a periodic review and revision. Among myriad other changes, the amended document adds “sexual orientation” to the list of protected classes.

FY 2011 Audit

The board received a presentation on its audit for the previous fiscal year, which ended Sept. 30, 2011.

FY 2011 Audit: Background

The AATA board has typically accepted the audit in March for the past fiscal year, ending the previous fall. The AATA’s auditor is Plante Moran PLLC, which the AATA board selected for a one-year contract at its Sept. 15, 2011 meeting.

A policy adopted by the AATA board on June 16, 2011 limits contracting with any one auditing firm to a total of eight years. That meant the auditing firm that the AATA had previously used, Rehmann, was not eligible to provide auditing services when the AATA awarded the contract last year.

[.pdf of final audited statements AATA FY 2011] [.pdf of Statement on Auditing Standards 114]

FY 2011 Audit: Presentation

The presentation on the audit was given by David Helisek and Pam Hill of Plante Moran. Helisek described how the two had met with the AATA board’s performance monitoring and external relations (PMER) committee and had covered the audit report in more depth than the highlights they’d be providing at the full board meeting.

Board chair Jesse Bernstein peruses the audit report as a presentation is given by the auditors.

Helisek explained that the AATA had received an “unqualified opinion,” which is the highest level that can be given about an organization’s financial statements. The unqualified opinion means that the statements provided by the AATA fairly represent the financial position of the authority. It’s the opinion that the AATA should strive for, he said.

That being said, Helisek added, Plante Moran did propose something that the AATA then did, which is to record a prior period adjustment, related to the recognition of the property tax levy that goes out July 1 of every year. Plante Moran’s interpretation of the relevant standards, which the AATA’s financial staff also agreed with, Helisek said, was that the July revenue should be recorded as revenue upon levy. Historically, he said, only 1/4 of the levy was reported in the audit year, he said, with the remaining 3/4 deferred until the next fiscal year. As a result, he said, there was a restatement of beginning net assets equal to roughly $7 million. That’s an accounting change only, not a change in cash or available resources, Helisek explained.

The Sept. 30, 2009 and Sept 2010 the net assets were restated, because the audit report is done on a comparative basis. [.pdf of balance sheet before restatement] [.pdf of revenue expenses before restatement]

Hill continued the presentation by saying that the overall financial health of the AATA is sound.

Based on the report, the operating revenue increased by about 17% over the previous year ($5,381,000 compared to $4,605,000 in the previous fiscal year) primarily due to fare increases in May 2009 and May 2010. That stacked up against an increase in operating expenses of around 3% ($29,532,000 compared to $28,673,000 in the previous fiscal year). Non-operating revenue remained flat compared to the prior year – remaining at around $20 million. Non-operating revenue is the amount the AATA receives as proceeds from the local Ann Arbor millage, as well as from the state of Michigan and the federal government.

What’s important, Hill said, is the working capital of the AATA – current assets minus current liabilities. Working capital, she explained, is the amount of resources the AATA has available to spend on operations. That amount has decreased about $200,000 from last year. [$18,702,079 – $1,939,425 gives the AATA $16,762,654 in working assets for FY 2011. That compares with $20,033,532 – $3,078,381 = $16,955,151 in working assets for the prior year.]

The reason that the amount of working capital is a better measure than the AATA’s income statement is that the income statement also includes a long-term view, so the income statement will factor in depreciation of fixed assets, for example. So it makes sense to look at working capital, because that’s the amount the AATA actually has available to spend, Hill said. She reiterated that overall, the amount of working capital had decreased by $200,000, which is what the AATA had budgeted and planned for.

AATA has a healthy level of non-restricted net assets, Hill said, and that amount totals a little over $15 million. When you take the $7 million out – due to the restatement of the income statement, which Helisek had described earlier – the AATA is still left with a little over $8 million in unrestricted net assets. The $7 million from the restatement will need to be spent in the next nine months of the fiscal year, Hill explained. Hill said that the AATA shows good oversight over the spending process, and has taken advantage of grant money for capital items. She noted that the majority of capital items acquired by the AATA are purchased with federal money.

In the federal grant award audit, Hill alerted the board to one item that she characterized as a “minor finding.” It involved compliance with the Davis-Bacon Act. Davis-Bacon requires that prevailing wages be paid for public works projects, and part of compliance is to document the payrolls. The way the compliance requirements were interpreted for one of AATA’s contracts was to not require Davis-Bacon compliance, because all the different projects completed under the contract were under $200,000, which is the amount that triggers Davis-Bacon requirements. However, compliance rules on the federal side say that all contracts over $200,000 trigger the requirement – even if the contract covers multiple smaller projects, Hill explained. So the AATA did not request or receive certified payrolls for that contract.

Audit: Board Discussion

Board chair Jesse Bernstein said that AATA staff had done a superb job. He said he wished AATA controller Phil Webb were present. [Some AATA staff who ordinarily attend board meetings did not attend, due to the inclement weather – including Webb.] Bernstein said it was just a marvelous audit.

David Nacht had a question about the recognition of the $7 million of revenue. Should the AATA think about that in terms of its budgetary impact for the current year? he asked. Helisek told Nacht that the impact on the budget is negligible. Under the restatement, nothing has changed from a cash-in/cash-out perspective, he said.

Nacht noted that the AATA has a policy about dipping into net assets, and explained that the AATA is currently in an investment phase to fund some pilot programs. [The AATA's policy is to maintain three-month's worth of operating expenses as a reserve. The AATA's FY 2012 budget calls for tapping the reserve for around $1 million, which would leave the AATA with about a three-month reserve by the end of FY 2012, on Sept. 30, 2012. The pilot programs to which Nacht was alluding include increased service on the Route #4 connection between Ann Arbor and Ypsilanti, as well as service to Detroit Metro Airport.]

Nacht was worried about the impact of the restatement on the policy and the AATA’s planned investments in increased service. Has anyone thought about any of this? he wondered.

Responding to Nacht, Charles Griffith noted that the restatement actually results in the AATA showing more, not less, net assets. So he felt that the AATA would not even be close to the minimum threshold.

Commenting on Griffith’s remarks, Hill noted that the $7 million really is slated to be used in the coming nine months. That’s not actually available as a reserve, she cautioned. Nacht wanted to make sure that the AATA financial staff thinks about any possible implications.

Nacht asked Helisek and Hill if they had any concerns about internal controls. No, replied Helisek. But he added that the audit they’d conducted is not an internal control audit. They had tested the control process and nothing came to their attention as indicating a weakness in the system.

Griffith added that during the PMER committee meeting another issue had also been discussed, involving fuel futures that the AATA purchases as a hedge against diesel fuel price volatility. Griffith characterized it as an unusual and perhaps innovative practice, and said that it has saved money over the last five years. The auditors had indicated a concern that the practice might not be compliant. It should be double-checked and reviewed by legal counsel. Nacht wanted to note that while the idea of purchasing fuel futures was AATA controller Phil Webb’s idea, the board had approved it. Nacht ventured that it would require a specialized legal opinion as to whether the purchase of fuel futures by the AATA comports with state law.

From the Plante Moran report on the fuel futures issue:

Based on our review of the Authority’s investment policy, it does not appear that this investment complies with the Authority’s policy. Plante Moran, PLLC discussed the investment with the Authority’s management. Based on a review of Public Act 20 of 1943, it does not appear that this investment is in compliance with state law. However, we encourage the Authority to consult with their legal counsel regarding this matter and, based on the opinion received regarding the legality of this investment, either adjust the Authority’s investment policy or appropriately adjust the types of investments in which the Authority is investing.

Another issue identified by Plante Moran involves the time period during which federal grants can be spent:

… we noted instances where dated grants (grants that have exceeded the period of availability) are still being drawn down by the Authority and reimbursed by the Federal Transit Administration (FTA). … Although the FTA has not enforced this compliance requirement in the past, under grants that are funded with the American Recovery and Reinvestment Act (ARRA) monies, enforcement will be more stringent. Additionally, we understand that as this is being enforced under ARRA, it is anticipated that enforcement for all federal grant programs will also be more rigorous in future years. Given the significance of federal awards to the Authority, we encourage the Authority to review its processes and procedures for ensuring that grants are being spent within the period of availability going forward to ensure that awarded amounts are not forfeited.

However, AATA manager of service development Chris White’s view of the federal grant periods differs from Plante Moran’s. Commenting on Plante Moran’s assessment of the federal grant deadlines, White wrote to AATA controller Phil Webb:

I believe that they [Plante Moran] are mistaken about the period of availability for federal grants. First, ARRA grants are different. We do have to complete MI-96-0024 by the end of FY 2012. However, for all other programs, the period of availability (3 or 4 years) refers to how long after the fiscal year of appropriation funds have to be obligated (i.e. in an approved grant contract), not when they have to be expended. …

This is not a matter of FTA enforcement. The grant agreement does not include any expiration date, and grants are frequently approved just before the period of availability expires. We submit a project schedule for each line item that frequently goes beyond the period of availability

However, FTA does have the ability to require grant funds to be expended within a reasonable period, and can set deadlines and unilaterally close out grants if they are inactive. FTA has been moving to be more diligent about taking action in this area.

Outcome: The board unanimously approved acceptance of the FY 2011 audit.

Management Personnel Handbook

The board was asked to approve changes to its management personnel handbook. Among myriad other changes, the amended document adds “sexual orientation” to the list of protected classes.

During the board discussion, David Nacht wanted to know if the AATA’s legal counsel had reviewed it. CEO Michael Ford confirmed that legal counsel had done a review. Charles Griffith indicated that the performance monitoring and external relations committee had also reviewed the changes and unanimously supported them.

Outcome: The board unanimously approved the changes to the management personnel handbook.

Communications, Committees, CEO, Commentary

At its March 15 meeting, the board entertained various communications, including its usual reports from the performance monitoring and external relations committee, the planning and development committee, as well as from CEO Michael Ford.

The reports were abbreviated due to the short time available to complete the meeting. The meeting was roughly an hour late in starting, because of a tornado warning during which all occupants of the Ann Arbor District Library’s downtown building – where AATA meetings are held – retreated to the basement in accordance with the library’s policy.

No one spoke during either of the two periods on the agenda available for public commentary.

Comm/Comm: Four-Party Agreement, Transit Master Plan

By way of brief background for some of the commentary made at the meeting, the AATA has developed a transit master plan that would include an expansion of service geographically as well as in its current service area. The AATA would like to implement the master plan by transitioning to a new countywide governance structure.

View from the top floor of the Ann Arbor District Library after the March 15 tornado warning was lifted. It was around 7:30 p.m. before the meeting began. The scheduled meeting time is 6:30 p.m. The tornado bypassed Ann Arbor, but touched down in the Dexter area and caused considerable damage.

That transition would entail incorporating a new transit authority under Act 196 of 1986. To that end, an unincorporated Act 196 board (U196), with representatives from around the county, has been meeting monthly since the fall of 2011. The initial step toward the new governance and funding structure would be for four parties – AATA, the city of Ann Arbor, the city of Ypsilanti and Washtenaw County – to sign an agreement establishing how that transition could take place.

During his report to the board, CEO Michael Ford reviewed the status of the four-party agreement that would establish a framework for the possible transition of the AATA to a new governance structure.

The Ann Arbor city council has ratified the agreement. Ford indicated that the AATA is now working on the timing of bringing the agreement to the Ypsilanti city council and the Washtenaw County board of commissioners for their consideration. [The item was not on the agenda published online for the Ypsilanti city council meeting of March 20. There's some sentiment on the Ypsilanti council that a delay until after the May 8 election would be in order, when Ypsilanti voters will be deciding on a question of a citywide income tax and a separate question of a millage to support bond payments on the Water Street property.]

Board chair Jesse Bernstein described it as an exciting month moving forward with the transit master plan (TMP). Gov. Rick Snyder, he said, had some surprises and some ideas about how to fund and structure transit. The financial task force, which has been helping advise the AATA, just did a fantastic job looking at services the AATA needs to provide in the next five years in order to achieve the vision in the TMP, Bernstein said.

The group had looked at the costs and separated the federal and state-funded projects from those that are locally funded, Bernstein explained. The task force had suggested as an example that the roughly $30 million in additional revenue the plan would require over the next five years could be covered by a 0.5 countywide tax. Because of uncertainty about what might happen with respect to possible state legislation, the task force is inclined to wait to make a specific funding recommendation until it’s clearer what impact, if any, that legislation might have on the local scene.

David Nacht indicated that as a new member to the U196 board, he felt like it would be beneficial for Bernstein or some other member of the U196 board to inform the full AATA board about what’s going on.

By way of background, Nacht is replacing Rich Robben as a representative from the AATA board to the U196 board. Robben resigned from the AATA board and has been replaced by Sue Gott. Gott was not able to attend the March 15 meeting, her first since having her nomination to the board confirmed by the city council on March 5, 2012. Bernstein, in his remarks leading off the meeting, welcomed her to the board, describing her as the University of Michigan’s university planner, and a third-generation resident of the city of Ann Arbor.

Bernstein responded to Nacht’s request for a U196 update to be given by saying the U196 board has been meeting monthly. He said he’s thoroughly impressed by support the AATA is getting from around the county. He characterized the participation on the U196 board as including representatives from 95% of Washtenaw County’s population who are attending the meetings.

The AATA is also still in touch with those units of government who’ve declined to participate, Bernstein said. The U196 board meetings have focused on two things: (1) education about how the transit system works and what the policy issues are; and (2) how to move forward and implement a countywide vision. The U196 board was pleased to get the report from the financial task force, Bernstein reported. The next meeting of the U196 board will be April 2, he said.

In connection with the work of the U196 board, Bernstein said there was a great deal of emphasis on the district advisory committees. Representatives from the districts in different parts of the county will chair meetings, which will be ongoing. Bernstein stressed that the public input process has not reached the end of the line – it’s just the beginning.

During his comments, Roger Kerson called the level of participation achieved on the U196 board remarkable, given the complexity of that process. It’s a compliment and a testament to the hard work that’s been done, he said.

Comm/Comm: Ridership

Charles Griffith noted that there had been another increase in ridership in February 2012, compared to last year – a raw total increase of 14% for the fixed-route service. Even factoring out the extra day in February this year and the nice weather, Griffith said, AATA manager of service development Chris White had calculated that it was around a 7.5% increase in ridership.

The Canton and Chelsea express services have been increasing as well, up 67% compared to last year. That means that operating expenses have declined on a per passenger basis, which decreases the amount of funding the service requires from the Ann Arbor millage, Griffith said.

Not discussed at the meeting were ridership figures for the increased Ypsilanti-Ann Arbor service provided by Route #4. The frequency of service was increased on the route starting in February 2012.

Compared to a corresponding four-week period in February 2011, ridership on Route #4 was 26% greater. Chris White, AATA manager of service development, is still cautious about drawing conclusions from the initial data, writing in an email to The Chronicle, “It is very positive, but please note that the service has not been in place long enough to judge the results.”

The on‐time performance of Route #4 increased from 74% in 2011 to 95% in 2012. System‐wide on-time performance increased from 85% to 91%.

The initial report on Route #4 ridership, one week after more frequent service was offered, showed an increase of 8% compared to the previous week and compared to a systemwide ridership decrease of 0.6%. The AATA board authorized the increased service on Route #4 at its Nov. 17, 2011 meeting.

Comm/Comm: Airport Service

During his report to the board, CEO Michael Ford told board members that the launching of the AATA’s airport service would take place 18 days from then. He was happy to say that, he said, and indicated there’d be a press conference on Friday, March 30 at 11 a.m. to kick things off.

Present: Charles Griffith, David Nacht, Jesse Bernstein, Eli Cooper, Roger Kerson

Absent: Anya Dale, Sue Gott

Next regular meeting: Thursday, April 19, 2012 at 6:30 p.m. at the Ann Arbor District Library, 343 S. Fifth Ave., Ann Arbor. [confirm date]

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Genevieve Urbain awaits her turn to speak during public commentary at the March 15, 2012 UM board of regents meeting. She was one of three people who spoke on the topic of Willis Ward, urging regents to find a way to honor the African-American athlete who played football for UM in the 1930s. (Photos by the writer.)

With minimal discussion, regents dispatched a variety of action items during the meeting, including several related to health education, facilities and athletics. They authorized a $50 million new building for the School of Nursing, as well as $20.5 million in renovations at the Taubman Health Care Center. In athletics-related items, regents approved renaming the Crisler Arena to Crisler Center, reflecting the broader uses there, as it has expanded in recent years. The board also authorized a $2 million increase in the budget for renovations at Yost Ice Arena, bringing that project to $16 million.

Ron Zernicke, dean of the School of Kinesiology, gave the meeting’s only presentation. He described the school’s facilities and academic programs, and the pressures of its increasing student enrollments. For undergraduates, kinesiology is the fourth largest school at UM’s Ann Arbor campus, with 877 students.

As part of her opening remarks, UM president Mary Sue Coleman reported that Fred White – a retired university auditor –has been hired as project manager to implement recommendations from an internal audit. The audit relates to an incident last year involving child pornography allegedly viewed on a UM health system computer. White will also serve as a liaison for an external review ordered by the board at its February meeting.

Several reports were received during the meeting as items of information, including the regular report on internal audits, and a summary of ongoing construction activities. Tim Slottow, UM’s chief financial officer, noted that the Fuller Road Station has been removed from the construction project list. He told regents that the university and city of Ann Arbor couldn’t agree on a memorandum of understanding on the joint project, but that he thinks it’s still a good aspiration. [See Chronicle coverage: "UM, Ann Arbor Halt Fuller Road Project"]

As it did at last month’s meeting, public commentary focused on better access to a childcare subsidy available to parents who are UM students – an issue being negotiated by the Graduate Employees’ Organization (GEO) – and equity for students who are charged out-of-state tuition because they are undocumented immigrants. Students urged regents to support both issues.

The meeting ended with three speakers – including eight-year-old Genevieve Urbain – asking regents to honor Willis Ward, an athlete at UM during the 1930s who faced discrimination because of his race. Regent Martin Taylor, who said Ward had been a friend and fraternity brother, got consensus from regents to seek recommendations on how Ward might be appropriately recognized.

Regents Meeting: Change of Venue

Most regents’ meetings are held in the first-floor boardroom of the Fleming administration building, located at 503 Thompson St. in the university’s central campus, across from West Quad. The room can be a cramped space, especially when turnout from the public is high. The board table takes up the center of the room, with seating for the audience and media located to the sides.

Regent Libby Maynard, left, talks with Sally Churchill, UM's vice president and secretary. Churchill's responsibilities include being the administration's liaison to the regents.

In the past, off-site meetings have typically been limited to UM’s Flint and Dearborn campuses. But in the last few years, more meetings have been held in other cities as well as other locations on the Ann Arbor campus. Regents met in Grand Rapids in April of 2010, and in downtown Detroit’s Westin Book Cadillac hotel in March of 2011, for example – both meetings focused on partnerships in those cities.

This year, the regents’ January meeting was held on the sixth floor of the Ross School of Business building, and included a presentation by the school’s dean, Alison Davis-Blake.

At the start of the March 15 meeting – held in the wood-paneled Pendleton Room of the Michigan Union – UM vice president and secretary Sally Churchill told regents that the changes in venue are a work in progress. She noted that regents have been meeting in the Fleming building for about 50 years, and while the university has expanded during that time, the meeting space has remained the same. She said she was glad to see there was space at the Pendleton Room to hold all the people who attended. [The room was packed primarily with students, many of them wearing yellow "Maize Out" T-shirts. Staff brought in more chairs before the meeting started, to accommodate the crowd.]

Churchill concluded by saying the regents may see some changes in the coming months, in terms of meeting venues and format.

According to the Michigan Union website, the Pendleton Room has capacity for 300 people standing or 200 in an “auditorium” set-up. For the March 15 meeting, a U-shaped table configuration was set up for regents and UM executive officers in an area that was cordoned off with stanchions to separate them from the audience and media.

The meetings are not videotaped. Audio recordings are made and available upon request, but are not posted online.

President’s Opening Remarks

UM president Mary Sue Coleman began her remarks by noting that the earlier in the month university had been awarded a 2012 Senator Paul Simon Award for Comprehensive Internationalization. UM’s commitment to global engagement is long-term and unwavering, she said, observing that the university first began admitting international students in 1847. Coleman also pointed to UM’s 2010 accreditation process, which focused on global engagement. The Simon Award will be formally presented in November at a ceremony in Washington D.C., and Coleman thanked all of the faculty, staff and students who make global engagement a priority.

Coleman also mentioned the 2012 Times Higher Education World Reputation Rankings, which ranked UM 12th among public and private institutions.

Turning to other news, Coleman praised Dow Chemical Co. for a $10 million gift to support the study of pressing sustainability challenges – complementing the university’s existing sustainability initiative. Andrew Liveris, Dow’s chairman and CEO, had announced the news at Monday’s Detroit Economic Club lunch, which was packed, Coleman said. The funds, to be awarded over six years, will support the Dow Sustainability Fellows Program, which will include graduate fellowships and a lecture series focused on sharing sustainability research and best practices. Coleman thanked Dow for this “historic” gift, and for advancing the next generation of sustainability scholars and leaders.

Mary Sue Coleman at the March 15, 2012 regents meeting.

Coleman also gave a brief update on the university’s response to an incident last year involving child pornography allegedly viewed on a UM health system computer. She said that she and the regents wanted the community to know that the university was making “excellent progress” in following up on the internal audit and board’s directive.

By way of background, at the board’s Feb. 16, 2012 meeting, regents voted to start an external investigation into the six-month lag between the time the incident was initially reported in May of 2011, and action taken by university officials to investigate. A former medical resident, Stephen Jenson, was arrested in mid-December. The university administration had issued its own report on an internal audit in early February, with recommendations to improve security and communications. [.pdf of UM report] But regents felt more needed to be done, and asked Coleman to work with board chair Denise Ilitch to make recommendations for outside consultants who could be hired to carry out an additional investigation.

At the March 15 meeting, Coleman reported that Fred White, a retired senior auditor at the university, has been hired as project manager to implement the recommendations from the internal audit and to act as a liaison for the external review.

Coleman also noted that she had testified earlier this month at the state House Higher Education Appropriations Subcommittee, in support of more state funding. She said she urged legislators to set a goal of returning the state to the top 10 nationwide in terms of state funding for higher education. She said she knew it would be a long-term goal, but that setting a goal is the first step toward achievement.

Coleman highlighted the six honorary degrees that regents would be asked to authorize later in the meeting, to be awarded at UM’s spring 2012 commencement on Saturday, April 28 at Michigan Stadium. In alphabetical order, the degrees will be awarded to: Jose Antonio Abreu, a Venezuelan pianist and music educator; Sanjay Gupta, a neurosurgeon and CNN’s chief medical correspondent; investment banker J. Ira Harris, president of JI Harris & Associates; journalist and author Susan Orlean; Richard Sarns, biomedical entrepreneur and inventor; and author and illustrator Chris Van Allsburg. Four of the recipients – Gupta, Harris, Orlean and Van Allsburg – graduated from UM. Gupta will be giving the commencement address.

Coleman concluded her remarks by wishing good luck to the men’s and women’s basketball teams in the NCAA tournament, as well as to the men’s ice hockey team in the Central Collegiate Hockey Association tournament. [UM men's basketball team was subsequently defeated by Ohio  University in the first round on March 16, while the UM men's hockey team beat Bowling Green State University on Friday to advance to the finals on Saturday night against Western Michigan, a game UM lost by a 3-2 score. The women's basketball team will play their first round on Sunday, March 18.]

New School of Nursing Building

On the March 15 agenda was a $50 million project to build a new facility for the University of Michigan School of Nursing. The school is currently located at 400 N. Ingalls, in a former hospital built in 1913. The new location will be nearby at the north end of Ingalls, near the Kingsley intersection. [.pdf of map showing location of the new nursing school building]

Tim Slottow, UM’s chief financial officer, told regents that this project has been in the works for many, many years. Provost Phil Hanlon noted that the school is a leader in curriculum development, especially in the area of simulations. That requires a different kind of building than the current one, he said, which is used for offices, classrooms and research space. The proposed 75,000-square-foot building will include instructional space, a clinical learning center, and simulated patient suites.

The new building is intended to accommodate an additional 40 new faculty and staff members over the next five to ten years, according to a staff memo. The memo states that 125 parking spaces will be lost because of the construction, but that UM will be increasing the amount of parking in the nearby medical center campus, and will be using transit services to bring faculty, staff and students in from remote parking lots.

The architectural firm RDG Planning and Design will be handling the project’s design.

The nursing school’s dean, Kathleen Potempa, attended the March 15 meeting but did not formally address the board.

Outcome: Regents unanimously approved the new building project for the School of Nursing.

Taubman Health Care Center Renovations

Two items involving a total of $20.5 million in renovations at the A. Alfred Taubman Health Care Center were on the agenda for approval at the March 15 meeting.

Regents were asked to authorize a $13 million project on the first and second floors of the center, which were vacated after the recent opening of clinics in the C. S. Mott Children’s and Von Voigtlander Women’s Hospitals. The 35,000-square-feet of space will be used for a multidisciplinary transplant clinic, an outpatient non-cancer infusion center, and a same-day pre-op clinic. In addition, clinical services will be expanded for neurology, neurosurgery, otolaryngology, and radiology. The outpatient pharmacy also will be relocated and expanded into a shared retail space with MedEQUIP.

The architectural firm of Harley Ellis Devereaux has been hired to design the project, which is expected to be complete by the spring of 2013. The center is a four-story building located at 1500 East Medical Center Drive, on UM’s medical complex.

Regents were also asked to authorize $7.5 million in renovations of the center’s third floor, which houses outpatient clinics and administrative areas for the Internal Medicine department. The project will renovate 27,500-square-feet of clinical space for gastroenterology, pulmonary, renal, infectious diseases, rheumatology, medical genetics and general medicine.

Tim Slottow, UM’s chief financial officer, noted that both renovation projects were included in the university’s capital plan.

Outcome: In separate votes, regents authorized renovations to the Taubman Health Care Center. 

Athletic Facilities

Two action items were on the agenda that directly related to UM athletics: Renaming of the Crisler Arena, and a change in the budget for renovations at Yost Ice Arena.

Athletic Facilities: Crisler Renaming

Reflecting an upgrade to facilities, regents were asked to authorize changing the name of Crisler Arena to Crisler Center. UM’s chief financial officer, Tim Slottow, noted that the arena has become more of an all-purpose facility since it was built in 1967. It now includes the adjacent William Davidson player development center with practice courts for men’s and women’s basketball teams, locker rooms and offices, a club area, retail shops and other specialized spaces. The player development center had been renamed in honor of Davidson at the regents’ Feb. 16, 2012 meeting, following a $7.5 million donation from the William Davidson Foundation to the UM athletics department.

Outcome: Regents unanimously approved renaming Crisler Arena to Crisler Center.

Athletic Facilities: Yost Renovations

Regents were also asked to authorize a $2 million increase in the budget for renovations at Yost Ice Arena, with the additional funds to cover more detailed historic window replacements and higher-than-expected costs for steel and new bleachers. Yost is located at 1116 S. State St., in the university’s south/athletic campus.

The project’s original $14 million budget had been approved by regents at their June 2011 meeting, with a schematic design authorized in October 2011. In January 2012, regents authorized issuing bids and awarding construction contracts within the $14 million budget. At that time Slottow had indicated this request for an increased budget was in the offing, dependent on securing more donations for the project. Since then, the project received a donation of $400,000 from Don Graham. Athletic department reserves will cover the remaining increase, Slottow said.

The project includes replacing seating on the east, south and west sides of the rink, improving accessibility and emergency exits, converting the west side media balcony into a series of loge boxes, adding a new level five on the west side for media, and constructing new corner and stair platforms for additional seating. The project will be paid for out of athletic department revenues and donations, and has been designed by Rossetti Architects Inc. of Southfield, Mich. Renovation are expected to be finished by the fall of 2012.

Outcome: The increased budget for Yost Ice Arena renovations was unanimously approved.

Environmental Engineering Degree

Creation of a new undergraduate degree in environmental engineering was on the March 15 agenda. The bachelor of science degree, to be offered by the College of Engineering, would be available starting in the fall of 2012.

According to a staff memo, undergraduates who previously studied environmental engineering “were advised to earn a degree in civil engineering, given the structure of the job market for environmental engineers. However, the field has matured considerably and the employment options and employer criteria are more diverse today. The proposed degree will provide students interested in environmental engineering the opportunity to focus their coursework more deeply in the necessary natural sciences, such as chemistry and biology.”

Provost Phil Hanlon began describing the degree, but was interrupted by regent Kathy White, who participated in the meeting via speaker phone. She said it sounded like a great idea, and she moved the item for a vote.

Outcome: Regents unanimously approved the creation of a new undergraduate environmental engineering degree.

Conflict of Interest Items

Regents were asked to authorize 10 items that required disclosure under the state’s Conflict of Interest statute. The law requires that regents vote on potential conflict-of-interest disclosures related to university staff, faculty or students.

The items often involve technology licensing agreements, research agreements or leases. This month, companies involved are Avicenna Medical Systems Inc., Peacock Holdings, 3D Biomatrix LLC, Atterocor Inc., Brio Device LLC, Evigia Systems Inc., HistoSonics LLC, Michigan Aerospace Corp., Mozaic Solutions LLC, and Situmbra Inc.

Outcome: Without comment, regents approved the 10 conflict-of-interest disclosures in one vote.

Public Commentary

Ten people spoke during public commentary at the end of the March 15 meeting, covering four general topics: Expansion of the university’s child care subsidy being negotiated by the Graduate Employees’ Organization (GEO); minority enrollment and tuition equality for undocumented students; TEDxUofM; and honoring Willis Ward.

Public Commentary: Child Care Subsidiary

Four students spoke in support of an expanded child care subsidy, some of them with their children in tow. By way of background, childcare subsidies are available for eligible students in the following amounts: $2,250 for one child; $3,300 for two children; and $4,350 for three or more children. The subsidy will increase annually based on the annual average tuition increase at UM childcare centers. [.pdf of application for UM childcare subsidy]

Katherine Brion, a member of the Graduate Employees' Organization (GEO), spoke during public commentary in support of improvements to UM's childcare subsidy.

Katherine Brion, a graduate student and GEO member, told regents that she has three children ages 6, 3 and 1 – her youngest, whom she held while speaking, turned 1 that day. Brion said she was lucky, because her family can afford full-time childcare. To illustrate the need for childcare, she described a typical day of juggling her studies, work and family responsibilities.

The GEO has several concerns about the proposed changes to the childcare subsidy, Brion said, including the fact that the amount of the subsidy is too low and it doesn’t make allowances for unemployed spouses and other situations that affect eligibility. The university’s goal is to retain a diversity of students, she said. She urged regents and the administration to support a more inclusive policy for all students.

Daniel Birchok also spoke while holding his young daughter – he said she thanked them for the cookies and fruit. [A table with food and beverages was set up in the room.] He expressed concerns about the outcome of committee meetings between the GEO and administration regarding the childcare subsidy. In the GEO’s last contract, he noted, members agreed to a lower wage increase in exchange for setting aside $150,000 to address childcare needs. [The contract, ratified last spring, included a 2.5% wage increase instead of an originally proposed 3% increase for the 2011-12 academic year.]

Without the subsidy, Birchok said he’d have to cut his child’s daycare schedule in half, and would have to try to work on his studies while taking care of her. He’s concerned about his student colleagues who aren’t eligible – if their spouses work less than 20 hours per week, for example, or if their spouses’ visas prohibit achieving the subsidy’s work requirements. There’s also no provision for unemployed spouses who are looking for work, and in this difficult labor market, he said, that’s an issue.

Birchok noted that at a March 7 meeting of the childcare subsidy committee, a UM administrator had indicated that she doesn’t favor making any changes. He expressed dismay at her legalistic, bureaucratic response. The GEO made concessions in order to make changes, he said, and the university shouldn’t feel that it’s fulfilling its obligation simply by holding committee meetings on the issue. He advocated for increasing the subsidy and making it possible for more students to study at UM.

Samantha Montgomery introduced herself as president of the GEO. She noted that Gov. Rick Snyder had recently signed legislation that prohibits graduate student research assistants (GSRAs) from unionizing. [Snyder signed the bill on March 13, hours before the Michigan Employment Relations Commission (MERC) had been scheduled to meet to discuss the issue. An effort had been underway at UM to organize GSRAs, led by the GEO. For background, see Chronicle coverage: "GSRA Bill: UM Regents Debate Opposition"] Montgomery said that despite this attack on their collective bargaining rights, the GEO remains committed to improving the lives and working conditions of all employees.

Montgomery noted that the most recent GEO contract had focused on issues of parents, trying to improve the lives of students with children. The GEO had agreed to deal with outstanding issues – those that weren’t resolved in the contract – by forming a committee with representatives from both the GEO and the administration. Unfortunately, the committee hasn’t made much progress, she said, and the administration’s latest offer was disappointing. She asked the regents to support the GEO’s “reasonable counteroffer.” That counteroffer includes setting up a secondary subsidy based on the number of hours that a student’s spouse is unavailable for childcare. As an example, $2,000 would be the maximum proposed subsidy for a spouse who’s unavailable between 16-19 hours.

Patrick O’Mahen, a graduate student and member of the Central Student Government, said he wasn’t there to merely offer an opinion, but to offer concrete help. The CSG had recently passed Resolution 1742 “unanimously and enthusiastically,” he said. It allocates $35,000 in CSG revenue to help fund a childcare subsidy pilot program for the coming academic year. O’Mahen outlined several stipulations to the funding, including that the funds be used for direct grants to needy parents, and be used for all students, not just GEO members. He urged regents to support improvements in the childcare subsidy, and to make UM more family-friendly.

Public Commentary: Child Care Subsidiary – Regent Response

Regent Julia Darlow clarified with O’Mahen that he was making this request on behalf of the student government. She noted that it was not appropriate to interfere with collective bargaining talks. But since O’Mahen was representing a request that was separate from the GEO proposal, Darlow asked provost Phil Hanlon to provide regents with more information on the topic. Hanlon indicated that he would do that.

Public Commentary: Coalition for Tuition Equality, eRACism

Luz Meza spoke as a representative of the Coalition for Tuition Equality, but said she also fully supported the GEO and their efforts. As she began speaking, dozens of students stood in support of her remarks, many of them holding signs indicating their affiliation with various student organizations. [This action had also occurred at the Feb. 16, 2012 regents meeting for the same topic.]

Meza noted that last month, regents had heard from Daniel Alejandro Morales on the issue of tuition equality, and she was there to talk about the same thing. She thanked regents Julia Darlow and Kathy White for reaching out to the coalition.

Meza described her own high school experience in Detroit, and said she doesn’t see the diversity of her high school – where about 44% of students are black and 31% are Latinos – reflected at UM. She said she was able to afford college because she could get in-state tuition. She worked hard to get here, she said. She has friends who also worked hard but who can’t attend because of their immigration status. They would be forced to pay out-of-state tuition, and couldn’t afford it. She urged regents to support the campaign for tuition equality, so that she could return to Detroit, look people in the eye and tell them that UM is doing something to make a change.

Laura Washington spoke on behalf of a student-led campaign called eRACism. Racism still exists, she said. UM needs to create not just a more diverse campus, but also a more welcoming one. It’s a common misperception that we live in a post-racist society, she said, but in fact racism isn’t an historical issue. It’s still constantly shaping students’ experiences. Washington then read several statements from students who described their encounters with racism on campus.

Washington urged regents to support  the 1970 Black Action Movement goal of achieving 10% black student enrollment. Currently the percentage of black students at UM is 4.77%, and should be increased to 10% by 2016, she said. Secondly, eRACism is demanding that a course on inter-group relations be mandatory for all incoming freshman by 2014, to improve race relations and cultural sensitivity. Washington said that eRACism also supports the goals of the Coalition for Tuition Equality. She noted that everyone has a common goal of diversity and equal educational opportunities. “It is time we actually live up to that commitment,” she concluded.

Public Commentary: Coalition for Tuition Equality, eRACism – Regent Response

Regent Julia Darlow asked provost Phil Hanlon to give a full report on tuition equality in the context of undocumented students, saying she’s concerned about the issue. Regent Libby Maynard asked for information about how many current UM students are in that category and are paying out-of-state tuition.

Public Commentary: TEDxUM

Benjamin Mason, an undergraduate engineering student, is the executive director of 2012 TEDxUofM and was on hand to promote the March 29 event to be held at the Power Center, 121 Fletcher St. in Ann Arbor. TED stands for technology, entertainment and design, and the 18-minute lectures at its conferences – known as TED Talks – are focused on what organizers call “ideas worth spreading.” TEDx events are independently organized, with guidance from the original TED. It’s an invitation-only event – both speakers and the audience must apply to attend.

The first TEDxUofM was held two years ago, Mason noted, and drew about 300 people. Last year, the event’s theme was “Encouraging Crazy Ideas” – inspired by an August 2010 Forbes column written by UM president Mary Sue Coleman – and more than 1,800 people attended, with tens of thousands more watching online, he said. It was the largest TEDx event in North America, Mason said, and at the time it was the only one that was completely organized by students. [Talks from the previous TEDxUofM can be viewed here.]

This year’s theme is “Inform Transform,” Mason said, focusing on informing students and transforming their perceptions. He encouraged regents to participate.

Public Commentary: Willis Ward

Three people spoke about Willis Ward, an African-American who played football for UM in the early 1930s. [For background on Ward, see John U. Bacon's Chronicle column: "When Ward, Ford Played Ball for UM"]

Buddy Moorehouse introduced himself as a 1982 UM graduate and a co-writer of the recent documentary ”Black and Blue: The Story of Gerald Ford, Willis Ward, and the 1934 Michigan-Georgia Tech Football Game.” [Link to documentary's trailer on YouTube] Moorehouse said he’d been a sports editor at the Michigan Daily, UM’s student newspaper, and thought he’d known everything about Michigan football. But until recently, he hadn’t known about Willis Ward. He described Ward’s experience on the team, including Ward’s friendship with teammate Jerry Ford and a controversial incident when UM’s head coach at the time, Fielding Yost, benched Ward in a game against Georgia Tech because of his race.

Regent Martin Taylor said he'd been a personal friend of Willis Ward, and supported finding a way to honor the former UM athlete.

Despite all that, Ward loved UM, Moorehouse said. Yet Ward hasn’t been honored because his story has been lost to time. This year would have been his 100th birthday, and it would be a good time for the university to figure out a way to recognize Ward, Moorehouse said. There is only one permanent memorial to a black athlete on UM’s campus – a plaque honoring Jesse Owens, mounted on a wall near the outdoor track. Owens set four world records at UM’s track in 1935, but there’s no memorial for Ward, who beat Owens twice.

Brian Kruger, a co-writer and co-producer of the documentary, picked up the commentary. He told regents that the documentary has been screened all over the country, including at Detroit public schools. His goal is to screen the film at every school in Michigan. Kruger also said he hoped the documentary could be viewed by UM students – it might be a tool to start discussions related to issues that had been raised earlier during public commentary, he said.

The last speaker was Genevieve Urbain, who told regents she was eight years old and a second grader from Brighton. She had watched the documentary about Ward and Ford. Urbain listed off several things that were named for others from that era, like the UM Ford School of Public Policy and Yost Ice Arena. She noted that Ward had beaten Jesse Owens – “an Ohio State drop-out” – yet Ward didn’t have anything named after him. She thought a building, street or monument should be named to honor him.

Urbain said her mother graduated from UM, and that she’d like to attend as well – she’d be in the UM freshman class of 2022. “Go Blue!” Urbain concluded, “and remember Willis Ward.”

Public Commentary: Willis Ward – Regents Respond

A DVD of the documentary was distributed to regents. Martin Tayler said Ward had been a personal friend and a fraternity brother, a golfer and a “great all-around athlete.” Ward had been proudest of beating Jesse Owens, Taylor said, and it does seem like something could be done to honor him.

Andy Richner agreed. Kathy White said she’d already watched the DVD and she encouraged others to watch it too. She also supported finding innovative ways to make the story meaningful for students at the university, as well as for schoolchildren in the state and nation.

Taylor asked whether there was consensus among board members to direct Sally Churchill – UM’s vice president and secretary, who serves as the administration’s liaison to the regents – to take action. He proposed that Churchill talk with athletic director Dave Brandon to come up with recommendations about how to appropriately honor Ward. Other regents concurred.

Present: Mary Sue Coleman (ex officio), Julia Darlow, Larry Deitch, Denise Ilitch, Olivia (Libby) Maynard, Andrea Fischer Newman, Andy Richner, Martin Taylor, Kathy White (via speaker phone).

Next board meeting: Thursday, April 19, 2012 at 3 p.m. at the Fleming administration building on UM’s central campus. [confirm date]

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