Board Members Present: Mike Clumpner, Allen Schraufnagel, Paul Spraggins, Sarah Von Rueden, Rhonda Drachenberg, Gerard Randall, Steve Van Ess, Brian Johnson, Mary Jo Green.

HEAB Staff Present: Sandra Thomas, Meghan Jackson, Amber Moscrip, John Whitt, Jane Hojan-Clark, Mary Lou Kuzdas.

Others Present: Margaret Zitzer - Marquette University; Evan Norris - UW System Admin.; Katherine Davey - UW System Admin.; Crystal Voight - United Council of UW Students; David Dies - WAICU; Merry Larsen - Legislative Fiscal Bureau; Dana Jackson - Education Department, Bad River Band of Chippewas; Deborah Mahaffey - WTCS Board.

Chairman, Mike Clumpner, called the HEAB meeting to order at 9:05 a.m.

Minutes of the July 24, 1998, HEAB meeting were reviewed. A motion to approve the minutes was made by Allen Schraufnagel and seconded by Steve Van Ess. Passed. Minutes approved.

Report of Acting Executive Secretary:
Jane Hojan-Clark reported that Governor Thompson moved State Government temporarily to Marathon County this past August and HEAB staff participated this year. Jane was able to visit six different colleges and universities in the area and to meet with community members to discuss post-secondary education funding. In October, she attended the National Association of State Student Grant and Aid Program (NASSGAP). This conference was helpful to hear the different approaches being taken in other states. The Agency is now getting ready for the High School Guidance Counselors Workshops in conjunction with the Wisconsin Association of Student Financial Aid Administrators (WASFAA) and Department of Public Instruction (DPI). There are a dozen sessions scheduled throughout the state during November. Therefore, staff members will be doing some traveling to be represented at each site. In the systems area, staff continue to work on the Y2K conversion project. John Whitt gave a presentation on the new HEAB Web page. The Board meeting dates are currently listed and eventually, all the Board reports will be available. The Staff monthly memo is also available. The web page will be a work in progress as information can easily be changed and updated. The Board was encouraged to offer feedback or input regarding the web page.

Board Reports:

#99-6 Student Aid Expenditures for 1997-98 - The report was reviewed by Program highlighting statistics by sectors, by schools, by dependent status, etc. with the following notations: the majority of the funds that are being utilized in the Academic Excellence Scholarship program have been relatively consistent over the years, the Independent Student Grant is no longer in existence, the Indian Student Grant maximum is $1100 (decrease from $2200) as shown in the charts. The Minority Retention Grant Program is divided by the Technical and Independent systems,the Minority Teacher Loan hasn’t really changed in the number of participants. Most of the programs have stayed relatively the same in the amount spent. The TIP program has a majority of dependent students.

#99-7 1997-98 Annual Academic Excellence Scholarship Program Report - The trend of the program was discussed to include class sizes, and the financial need component. In 1996-97, there was a cap placed on the scholarship of $2250 to reduce overspending. In prior years, the enrollment of freshmen has gone up with the exception of 1997-98 where the numbers are slightly dropping. The number of alternate students using the program has risen. A question to consider is whether the cap is effecting the decision-making process of the students who are awarded this scholarship. If the top students are not staying in Wisconsin, is the scholarship still serving its purpose? HEAB Staff is watching this closely. Additional clarification and discussion was held.

#99-8 Status of 1998-99 Applicants and Programs - The Wisconsin Tuition Grant is up substantially in comparison to the other programs. Wait-list holds have been implemented for eligible applicants to safeguard overspending. The reconciliation report indicates that the number of 1998-99 Free Application for Federal Student Aid filers is up. The Staff feel fairly comfortable that the Wisconsin Technical College System WHEG and the UW System WHEG are not heading for any overspending. We will have a clear picture once we receive all of the reconciliation reports. Steve Van Ess requested an analysis of the history of the program in terms of annual reductions, summer awarding or other increases to get a handle on what we can do to continue to fine tune the spending. Staff is working on this report. Paul Spraggins provided discussion on the TIP Program in relation to SSIG funding.

#99-9 1998-99 MN-WI Reciprocity Program Revised Administrative Memorandum of Understanding - Students who participated in the MBA programs were impacted. The current memorandum indicates that the students should pay the highest of the MBA rate. These students were charged on a graduate rate rather than an MBA rate in the past. They incurred an increase in tuition of $5,000 for 1998-99. This didn't impact a substantial number of students, but the impact per student is substantial. These students are going to be grandfathered to the old graduate rate rather than the higher of the two MBA rates. This action was approved by Joint Finance.

#99-10 1999-2001 Biennial Budget Submission - A request for a full-time, permanent clerical assistant is being submitted with justification for the position. Changes in statutory language submissions are reflective of Board discussions at prior meetings. A general discussion on GPR funding was held.

#99-11 Wisconsin Indian Grant Program Special Projects Review - Sandy Thomas presented information on the Special Project Review process. About $35,000 was carried over from last year, and this year they are expecting an additional $60,000-$70,000 that has to be spent by June 30th, or must be returned. The American Indian Language and Cultural Education Board responsible for making recommendations for special projects in the past was eliminated last fall. A motion was made by Steve Van Ess and seconded by Paul Spraggins to designate the Wisconsin Tribal Education Director's Association to assume responsibility for evaluating and recommending special projects to HEAB. A roll call vote was passed unanimously.

Other Issues:

Federal Programs Status Report - A report of Federal appropriation levels was provided. Fiscal year 1998-99 SSIG appropriations were passed with the final at $25 million. Fiscal year 1999 runs from October 1998 to September 1999 and will fund the 1999-2000 LEAP program. SSIG will now be called LEAP. Pell Grant has risen from $3,000 to $3,125. SEOG and Work-Study funds have increased. The Perkins Loan Program funding has gone down slightly. The Reauthorization of the Higher Education Act of 1998 was passed reauthorizing federal financial aid programs for the next five-year period. With passage of HEA, there is a change in the formula calculating the income protection allowance. The more income that is protected, the lower the contribution is going to be; therefore, the need is higher for these students. This is an important factor to consider for future State Grant formula development. Steve Van Ess noted changes in the formula in 2000-2001 might reflect the biennial budget request. Based on discussion at the last Board meeting on TIP and serving most in need, Staff will be pulling together some statistics to review.

New Business - None

Next Meeting Dates:

• February 26, 1999
• April 23, 1999

Meeting adjourned at 10:28 a.m.