Monthly Archives: May 2012

Braun: Rutgers leaders agree on a ‘set of principles’ for Rowan merger

By Bob Braun/Star-Ledger Columnist 

The leaders of both governing boards of Rutgers University have agreed on a “set of principles” that opposes any loss of their authority over its Camden or Newark campuses but promises to grant all its branches an increased measure of autonomy.

The document, obtained by The Star-Ledger, rejects the efforts by Gov. Chris Christie and South Jersey political boss George Norcross to force a merger between Rutgers’ Camden campus and Rowan University, a former teacher training institution that, mostly through Norcross’s efforts, had aspirations of becoming what the two political figures call a “major public research university.”

Earlier this month, the university’s trustee board voted 32-4 to reject the Camden takeover by Rowan but that panel is less powerful than the 11-member Board of Governors, six of whose members are appointed by the governor. This joint statement by the executive committees of both boards solidifies opposition to the Norcross/Christie plan and will make a forced merger even more difficult.

More>>

North Jersey legislators say Rutgers and state must pay for UMDNJ merger

By Kelly Heyboer and Jarrett Renshaw/Star-Ledger Staff

TRENTON — If Gov. Chris Christie wants to break up the University of Medicine and Dentistry of New Jersey, both Rutgers University and the state are going to have to come up with some cash, according to a draft list of demands by North Jersey lawmakers.

The 12-page document circulating around Trenton this morning lays out the conditions that must be met before key legislators in Essex County and other parts of North Jersey will support the proposed restructuring of the state’s higher education system.

The demands include relieving UMDNJ of $662 million in debt that lawmakers say is crippling the school and its teaching hospital, University Hospital in Newark.

“Simply refinancing the high interest rate bonds alone is an incomplete solution that does not create adequate financial resources for UMDNJ and UH moving forward, and will only serve to perpetuate inequities in higher education funding for Newark,” the document said.

Rutgers University also needs to compensate UMDNJ if it gets the university’s medical school, cancer institute and public health school in the proposed merger.

“Rutgers may be asked to not only assume associated debt, but also to pay for the valuable assets it is attempting to obtain,” the document said. “Estimated value of these assets rests somewhere between $236 million (net book value) and $548 million (insurance replacement value).”

More>>

Rutgers Restructuring: Behind Closed Doors

Two independent visions for Rutgers-Rowan — both developed in secret — are sure to keep the conflict and controversy going

By Tara Nurin

New Jersey Senate President Stephen Sweeney (D-Gloucester) and Sen. Joseph Vitale (D-Middlesex) are working to introduce legislation next week that would retain Rutgers-Camden within Rutgers University, while establishing a joint governing board to share funds and fiduciary responsibilities between Rutgers-Camden and Rowan University.

Rutgers logo broken

Rutgers Governing Boards may oppose legislation


The bill will be the culmination of a series of closed-door meetings between Sweeney, South Jersey political power broker George Norcross, representatives from Gov. Chris Christie’s administration, and others who met to work out a compromise between the status quo and a full merger of the two South Jersey schools – an idea that was initiated by a Christie-appointed task force in January.

The bill will surely meet with fierce opposition from Rutgers’ faculty, who’ve come out against this type of plan in the past, and the boards of Trustees and Governors, who are expected to release their own joint vision for restructuring the state’s higher education system next week. According to sources with inside knowledge, the executive boards of both organizations met last Thursday to devise a set of so-called principles, for possible reorganization of New Jersey’s colleges, universities, and medical schools.

Although the executive boards are keeping the contents secret for now, sources suspect trustees won’t allow an outside entity like the proposed governing board to make major decisions about Rutgers assets.

“There is no way the Board of Trustees is going to let anybody have control over any component of Rutgers,” insisted one Rutgers source.

“There is a sizable majority of Board of Trustees members who will not go along with a compromise that cedes financial control over Rutgers-Camden or Newark,” agreed another source.

Sources predict the Board of Trustees will be ready to challenge the bill in court if it passes. Earlier this month, the board released a manifesto asserting that Rutgers-Camden must remain fully within Rutgers’ domain and that only the two Rutgers governing boards have legal jurisdiction to approve the relinquishment of any of its campuses.

More>>

Pet Relocation For Community College President Covered In N.J.

By Elise Young and Terrence Dopp

New Jersey’s Essex County College paid $680 to relocate the incoming president’s pet. The state’s Brookdale Community College reimbursed the now-retired president $41,000 for his childrens’ university tuition.
Governing boards at New Jersey’s community colleges agreed to augment presidents’ salaries with those perks in recent years, along with housing allowances, country-club memberships and airfare for spouses to travel to conventions, according to a report yesterday by state Comptroller Matthew Boxer. They also paid for country-club memberships and automobiles.

Governor Chris Christie yesterday called the findings “disturbing” and ordered an investigation. New Jersey’s two- year colleges, which serve all 21 counties, market themselves as an affordable way for 260,000 students to fulfill core requirements and transfer credits to four-year universities.

More>>

Report: Controls needed on pay of N.J. county college presidents

By James Osborne, INQUIRER STAFF WRITER

New Jersey’s two-year public colleges need to rein in their practice of wooing their presidents with high salaries and benefits including unchecked expense accounts, free housing, and country-club memberships, State Comptroller A. Matthew Boxer said in a report released Wednesday.

“There are no state standards or guidelines for college trustees to rely on when setting compensation terms for their president,” Boxer said in a statement. “As a result, there are huge disparities.”

The state’s 19 community and county colleges, which aim to provide an affordable education to almost 260,000 students annually, offer compensation packages free of constraints placed on other government agencies and often without regard to factors such as the administrator’s experience or the school’s size, according to Boxer’s analysis.

The report took colleges across the state to task. Investigators found presidents whose colleges provided retirement fund contributions more than 14 times what was required by the state and who received perks such as an $11,000 country club membership and the use of a school-owned luxury SUV. Covered expenses included a $460 steak house dinner for three in Montreal and annual credit card bills of up to $45,000.

More>>

Essex County lawmakers to present demands regarding N.J.’s higher education overhaul

By Jarrett Renshaw/Statehouse Bureau

TRENTON — A group of Essex County lawmakers plans to present a laundry list of demands to Senate President Stephen Sweeney Thursday that must be satisfied before they support a controversial overhaul of the state’s higher education system, the Star Ledger has learned.

The long and potentially expensive list — which includes granting Rutgers-Newark unprecedented autonomy and pumping millions of state taxpayer dollars into Newark’s University Hospital and medical school — was laid out in a conference call headed by Assembly Speaker Sheila Oliver (D-Essex) and Newark Mayor Cory Booker, according to sources familiar with the plan.

The sources requested anonymity because they were not authorized to speak for the delegation.

The last-minute demands add another layer of complexity to a political drama already beset with uncertainty and a deadline of July 1 imposed by Gov. Chris Christie, who is intent on rearranging the structure of several hospitals, universities and medical institutions in the state.

Oliver told the lawmakers she will insist that if the University of Medicine and Dentistry of New Jersey in Newark is going to lose revenue-generating assets, it must receive new financial support and not be left to wither and die.

Under the current proposal, Rutgers University would absorb UMDNJ’s Robert Wood Johnson Medical School, public health school and cancer institute in New Brunswick-Piscataway. Most of the remaining pieces of UMDNJ would be renamed New Jersey Health Sciences University, while University Hospital would remain tethered to UMDNJ but come under control of a public-private partnership.

Oliver told the group today that UMDNJ is saddled with debt that must be lightened if the institution is to remain financially viable, the sources said, adding that Rutgers must absorb some of the debt service along with taxpayers through annual appropriations.

Moreover, she said part of UMDNJ’s debt must be refinanced through the budget or as part of a capital plan for broader higher education that is under consideration, and that the state must increase its subsidies to University Hospital, the sources said.

More>>

Rein in pay and perks for N.J. county college presidents, state comptroller says

By Kelly Heyboer/ The Star-Ledger

TRENTON — The state comptroller released a report today calling on the state’s county colleges to rein in rising pay and perks for their presidents.

 Essex County College President Edythe Abdullah

Tony Kurdzuk/The Star-Ledger. Essex County College President Edythe Abdullah, whose spending was called into question by State Comptroller Matthew Boxer.

Using data from 2010, the comptroller’s investigation found presidential compensation varied widely at the state’s 19 two-year public colleges. But many presidents earned more than $300,000 a year and had lucrative perk packages that included housing allowances and retirement contributions.

Some presidents also racked up tens of thousands of dollars on expense accounts paid by their schools. The money was used to pay for country club memberships, expensive dinners, cell phone bills, hotel stays, gift baskets and more.

The comptroller recommended creating standards for how much county college presidents should be paid.

More>>

Hearing focuses on hospital

By Leslie Brody, Staff Writer. The Record.

More than a dozen union representatives, Newark residents and other advocates on Tuesday stressed the importance of bolstering University Hospital, concerned that services for the poor might be hurt by a reorganization plan for the state’s medical school system.

Denise Rodgers, interim president of the University of Medicine and Dentistry of New Jersey, argued for more state funding for University Hospital — UMDNJ’s debt-ridden teaching hospital and the state’s largest charity-care provider — because the school “can no longer afford to subsidize it.”

The hospital needs more support, she said, especially as the federal health care law takes effect and increases competition among health care providers.

More>>

Legislator: Compromise on NJ university mergers won’t be ready by June 1

By James Osborne, Inquirer Staff Writer.

Negotiations over a proposed overhaul of New Jersey’s public universities are unlikely to be completed in time to introduce compromise legislation by Friday, as he had hoped, State Senate President Stephen Sweeney said Tuesday.

“It could be next week, but not much longer than that. It has to be very soon because the clock is ticking,” the Gloucester County Democrat said, referring to Gov. Christie’s desire to have a plan in place by July 1. “Whatever we do we have to have to time vet it. It can’t be rushed through.”

The comments came as skepticism grows among many in Trenton about the likelihood of gaining consensus in a little over a month’s time. Assemblyman Louis Greenwald (D., Camden) last week called the odds of striking a deal by July 1 about the same as being struck by lightning.

More>>

New plan for Rutgers-Camden, Rowan is recipe for disaster

By Adam Scales and Andrew Shankman

Four months ago, a closed and secretive process resulted in the shocking announcement that Rutgers-Camden was to be merged into Rowan University. When this plan was revealed to consist largely of magical thinking, many overwhelmingly rejected it. The people of this state, particularly in South Jersey, have made it clear Rutgers must remain in Camden.

Unfortunately, the proponents of the merger have not listened. Burned once by their poorly conceived secret plan (“Plan A”) to merge Rutgers and Rowan, they have returned with a poorly conceived secret plan (“Plan B”) to merge the schools. The people who brought you the short-lived “new Rowan” now want to create a board to oversee both universities. This is their idea of compromise.

Their joint board is a recipe for disaster because, under “Plan B,” it would have all the authority it needed to act as if Rutgers-Camden and Rowan had been merged.

More>>

Powered by Union Labor