BISMARCK -- A North Dakota Board of Higher Education committee approved giving presidents at the 11 institutions the board oversees each a 3 percent pay increase.
At a meeting Monday, Budget and Finance Committee Chairman Don Morton acknowledged controversy surrounding annual evaluations for presidents. Former Chancellor Hamid Shirvani harshly reviewed several university presidents in 2013 before his contract was bought out by the board and the reviews redone more favorably.
"As a board and a university system, I think we do have to take a hard look at evaluating people, especially presidents," he said.
University of North Dakota President Robert Kelley, who recently announced his intent to retire in January 2016, was also recently criticized in an anonymous faculty survey for not being transparent.
Outgoing Interim Chancellor Larry Skogen said he recommended 3 percent across the board because higher increases had been shot down by the full board in the past.
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"The board can decide what the board wants to do because you guys are in charge," he said.
If the full SBHE approves the increases that would go into effect for fiscal year 2016, Kelley would have made $371,596 annually and North Dakota State University President Dean Bresciani would make $354,568.
Even though the western side of the state has seen a large spike in the cost of living since the oil boom, Williston State College President Raymond Nadolny also received a 3 percent increase, making his salary $188,798. Last year, he was the only president to receive a 5 percent pay increase while the rest of the system's presidents received 3 percent increases.
Presidential salaries are set using data from the College and University Professional Association for Human Resources, or CUPA-HR, and the SBHE aims to keep them within 80 to 120 percent of that median.
The committee also approved increasing all system eligible employee salaries by 3 percent.
In another matter, the North Dakota University System Office's Budget has a structural deficit of between $250,000 and $300,000 for now, Skogen said, following the last legislative session.
A $1 million fund is available to the office and incoming Chancellor Mark Hagerott to close the deficit. Other options include accessing about $950,000 worth of carryover funds from the 2013-2015 biennium, staff and operating reductions or retooling payments to organizations that improve access to higher education to save $250,000.
