Almanac, 03/28/80, Vol. 26, No. 28

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Almanac, 03/28/80, Vol. 26, No. 28 Published by the University of Pennsylvania THURSDAY /27 MARCH 1980 The Dictates and Dilemmas of Circular A-21: Accountability Measures Confront Faculty The title rings of government red include library expenses, and utility, mainte- tape and bureaucracy: Office of nance and administrative costs. Management and Budget Circular To recover these costs with a government A-21: Cost Principles for Educa- grant, the University will require faculty and tional Institutions. For research much ofthe professional and support staffto universities like Pennsylvania, OMB file effort reports: statements indicating how A-21 will be a troublesome, but their time is allocated among different absolute fact of life after July I duties. \OMB A-2l is a set of regu- The regulations are part of an increasing lations for universities out- concern by the federal government for '.'. \ lining which direct and research accountability. Very few cases of indirect research costs can fraud have been reported in the use of grant be recovered by the uni- funds; "if we were to calculate that percen- versity through federal tage among colleges and universities, it's grants. Direct costs in- udicrously small," said Louis Girifalco, vice clude salaries of those provost for research. performing the re- Concern over the accountability of search, employee ben- government research funds has not always efits, supplies, travel been this intense. Before 1958, government- expenses and other sponsored grants were not audited, and costs identified checks were sometimes delivered directly to directly with the principal investigator rather than to the the program. institution supporting his work. lndirtect costs In preparation since 1977, the first draft of A-21 was "highly undesirable" said Profes- sor Donald Langenberg, physics, a member of the Council on Governmental Relations Trustees Hike Tuition, Sell WEFA (COGR). Along with the Association of American Universities, the Association of American Medical Colleges and the Ameri- Faced with double-digit inflation, the In recommending these increases to the can Council on Education, COGR helped Trustees Executive Board last week Executive Board, University President negotiate for more manageable and reason- approved a tuition increase to match. Martin Meyerson noted that educational able guidelines. The tuition increase, and approval of the institutions suffer more than any other Both Langenberg and Comptroller Den- sale of Wharton Econometric Forecasting groups in inflationary times, and added that nis Dougherty said that the original guide- Associates (WEFA) to the Ziff Corporation, "the burden grows greater with the years. in lines were unacceptable to the academic were the major actions taken at last "Our aim has been to keep the increases world. tuition as low as we can, and salaries and Among other things, those guidelines Thursday's stated meeting of the Trustees failed to said. include as recoverable items such Executive Board. wages as high as we can," he basic indirect costs tuition and fees at the The sale of WEFA to the Ziff as library expenses, Undergraduate Corpora- out. will increase $730 for the 1980-81 tion, a New York-based Dougherty pointed University magazine publisher, When the Office of academic a 13.85 hike that comes after several months of Management and year, percent negotiations. it out on the street raises tuition and fees from the current A owned the Budget "put for non-profit organization by comment" COGR "with about a $5,270 to $6,000. University. WEFA is widely known for its responded hundred pages of detailed comment," Graduate tuition and fees are slated to national quarterly economic forecasts and Langenberg said. increase 13.62 percent, from $5,545 for the computer models. (continued on page 6) present academic year to $6,300 for 1980-81. The Board's resolution did not disclose the Tuition for professional students in the proposed purchase price because, explained schools of dental medicine, medicine and John Eckman, chairman of the Trustees veterinary medicine will be determined on or committee on Budget and Finance, it is a before April IS, depending on budget "very complicated offer" and a "very requirements now being developed. complex agreement" dependent on many " The University Council last week discussed Part-time tuition and fee rates will be variables. the proposed guidelines on sponsored increased proportionately from those forthe The following are reportedly among the programs, and the University's relationship to the United current academic year. (continued on page 2) Way, page 3. Trustees Executive Board (continued from page 2) progress of the University's Program for the Regarding the University's financial pic- terms of the agreement: retaining the Eighties, for which he is also chairman. The ture. Vice President for Budget and Finance University's right to use the forecasts and University has currently raised $234.5 Jon C. Strauss reported that despite the data from WEFA, maintaining WEFA million of the campaign's $255 million goal, "unpleasant surprise this fall of sharp operations and headquarters close to the Miller said. increases in energy costs" he expects the University campus, retaining current WEFA "I'm optimistic at this point [about university to operate with a balanced budget personnel. repaying several loans made or reaching the goal]." Miller said, "given what for the current fiscal year. guaranteed by the University. we have in the works." The balanced budget will be achieved with Economics Professor Lawrence R. Klein In other fund-raising efforts, Miller re- some "slowdown on plans to repay the founded WEFA more than 15 years ago with ported that the annual giving campaign is deficit in new residences," but this "does not 20 major corporations as purchasers of 2,700 donors ahead of last year, and that a slow down our resolve to repay in the WEFA's forecasting service. Since then, the special telephone and mail solicitation future," he said. firm has expanded with hundreds of program had received about $3.4 million so Strauss added that his office is currently members across the country and models of far this year. "We hope to hit $5 million on working on plans for fiscal year 1980-81. many parts of the economy. that aspect [offund-raisingefforts]," he said. In other action, the Executive Board: Trustee Chairman Paul Miller, Jr. "Most of these people would not have given *approved the sale of UNI-COLL the reported to the Executive Board on the without that particular solicitation." computing service located in the University City Science Center, to the RAC Corpora- tion. " agreed to the University's membership 'Almanac' Editor Named in the Greater Philadelphia Organization for Acting Clinical Trials. The corporation is being formed to improve the efficiency of testing new pharmaceuticals through coordination The ALMANAC Board is Cornell Sun; Advisory pleased Daily and where she helped of medical resources in Other Post, Philadelphia. to announce that, as of this issue, it has found The Ithaca a weekly stu- initial members include the Greater Phila- designated Ms. C. Anne Vitullo as Acting dent community newspaper. Thomas Jefferson ALMANAC. delphia Partnership, Editor of Ms. Vitullo, in fact, has In 1978 she was awarded an M.A. degree Medical been for the last three issues in at Univer- University. Temple University, responsible magazine journalism Syracuse College of Pennsylvania. Hahnemann Medi- since the former editor Mr. Cable Neuhaus She is a member of the of sity. Society cal College and Hospital, and the Philadel- announced his Professional Journalists! Delta Chi. resignation. Sigma phia College of Osteopathic Medicine. Ms. Vitullo edited the The Board would also like to announce Syracuse University the as Alumni News (1978-79); and served as that it has undertaken a formal search for a *designated following people Assistant Editor in the new editor. and University nominees to the Presbyterian- Syracuse University permanent Applications of Medical Center Publications Office (1977). She earned a B.S. nominations are welcome. University Pennsylvania Board of Trustees: James G. Calhoun, with honors from Cornell University Robert Lewis Shavon degree Richard L. Duffiend, Clifford E. Frishmuth, (1977). where she was a reporter for the Chairman, ALMANAC' Advisory Board Charles Kenkelen, Harry G. Kuch, Paul M. Pius. Laird H. Simons, Jr.. Geoffrey Stengel, Robert G. Ward, Richard G. Dunlop. Maximilian Martin. Lilliam S. Brunner and Thomas W. Langfitt. oliday Policy *appointed Arthur M. Bueche, Edward Almanac G. Jefferson and Allen S. Russell to the Board of Overseers of the School of Volume 26. Number 28 Provost Vartan Gregorian wishes to Engineering, each for a three-year term effective The news magazine of the University of remind faculty and students that April I and immediately. Bueche is vice presi- Pennsylvania, published weekly in Philadelphia 2 (Tuesday and Wednesday) are the first two dent for research and development at the throughout the academic year, monthly during of Passover and 4 is Good Research and Center of the June, July, and August. days April Friday. Development No examinations shall be given or assigned General Electric Company in Schenectady, Acting Editor C. ANNE VITULLO work made due on these N.Y. Jefferson is of E.l. duPont in Editorial Assistant SALLY SORENSEN days. president Work-Study Assistant VIOLETTE PHILLIPS Monday. April 7and Tuesday. April 8, are Wilmington, Del. Russell is vice president Designers CAROL ROESCH LOMBARDI. the last two of Passover which some for research at Alcoa Research Labs, ROBIN RYAN days Photographer DIANNE FELTOON students may also plan to observe. Accord- Aluminum Company of America. Contributors RON FRANCIS. ing to the religious holidays policy " voted to change the name of the STEPHEN FRIED, MAX LEBOW (ALMANAC. February 20, 1979). those stu- department of chemical and biochemical ALMANAC Advisory Board: Robert Lewis Shayon. dents who wish to observe these two days engineering to the department of chemical chairman; Herbert CaIlen, Fred Karush, Paul should have contacted their instructors at engineering.
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