UC 411:New on the Board of Regents and UC Dean on Pensions


Newest addition to UC Board of Regents

Schwarzenegger has appointed one of his top economic advisors to the University of California’s governing board amidst the budget crisis and a pension controversy. Last Thursday David Crane was chosen to fill the spot of Joanne Kozberg on the board. Crane’s position will not include a salary and must be confirmed by the senate for a term to expire on March 2022.

Crane has had previous experience working for California. Besides working closely with the governor, he was on the board of California high-speed rail authority, as well as on the Commission on Economic Development. With the UC budget in such a rut, the governor believes Crane will be an asset to the UC system. Crane states that his main goals for the UC is to provide students with affordable high quality education.

Read more:http://www.sacbee.com/2010/12/31/3290139/schwarzenegger-appoints-pension.html

UC Dean addresses pension criticism

Christopher Edley, UC Berkeley Law School Dean, responded to the criticism over his efforts, along with 36 other executives, to increase their pensions. Edley believes that the University should uphold their agreement made in 1999 to calculate retirement benefits as a percentage of executive’s entire salaries. This would cost the UC a total 5.5 million dollars a year. UC President Yudof has stated that it is too costly, and the UC Regents are not required to raise the pensions. Edley believes that this is best for the executive’s families and the university’s integrity. He believes that the UC is responsible for keeping its promise.

Read more here:http://articles.sfgate.com/2010-12-31/bay-area/26352617_1_executive-pensions-uc-employees-unfunded-pension-liability

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One response to “UC 411:New on the Board of Regents and UC Dean on Pensions

  1. There really is no Santa Clause Edley! Have you kep every promise made in the last 20 years? When UC Berkeley recently announced its elimination of baseball, men’s, women’s gymnastics, women’s lacrosse teams and its defunding of the national-champion men’s rugby team, the chancellor sighed, “Sorry, but this was necessary!”
    But was it? Yes, the university is in dire financial straits. Yet $3 million was somehow found by Chancellor Robert J Birgeneau to pay the Bain consulting firm to uncover waste, inefficiencies in UC Berkeley (Cal), despite the fact that a prominent East Coast university was accomplishing the same thing without expensive consultants.
    Essentially, the process requires collecting, analyzing information from faculty, staff. Apparently, Cal senior management believe that the faculty, staff of their world-class university lacks the cognitive ability, integrity, energy to identify millions in savings. If consultants are necessary, the reason is clear: the chancellor has lost credibility with the people who provided the information to the consultants. Chancellor Robert J Birgeneau has reigned for eight years, during which time the inefficiencies proliferated to $150 million. Even as Bain’s recommendations are implemented (‘They told me to do it’, Birgeneau), credibility, trust, problems remain.
    Bain is interviewing faculty, staff, senior management and academic senate leaders to identify $150 million in inefficiencies, most of which could have been found internally. One easy-to-identify problem, for example, was wasteful procurement practices such as failing to secure bulk discounts on printers. But Birgeneau apparently has no concept of savings: even in procuring a consulting firm he failed to receive proposals from other firms.

    Students, staff, faculty, California Legislators are the victims of his incompetent decisions. Now that sports teams are feeling the pinch, perhaps the California Alumni, benefactors, donors, will demand to know why Birgeneau is raking in $500,000 a year while abdicating his work responsibilities.

    Let there be light.

    The author, who has 35 years’ consulting experience, has taught at University of California Berkeley, where he was able to observe the culture and the way the senior management operates.

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