Physical Facility Requirements

The recent expansion and relocation of the School of Medicine educational

facilities, the new medical resource libraries and updates to the Clinical Resources Center will reduce many immediate capital expenditures frequently encountered with the establishment of new professional programs and schools. The Clinical Skills Center, Center for Virtual Care and Center for Innovative Technologies are already available to support nursing education programs.

During the first three years of operation, facilities requirements for M.S. and Ph.D. students will be met through existing resources at the Sacramento health sciences

41 district. An architectural drawing of the suite now occupied by the launch team on the fourth floor of the Educational Building is located in Appendix G. Future growth in enrollment beyond the initial three years will include B.S. students and will require new educational space, faculty office space, and clinical training locations. It is anticipated that the first two years of curriculum for the B.S. students will occur on the Davis campus facilities. Thus, physical facilities to accommodate the B.S. program will not be required until the fall of 2013. Research space primarily will be office space but some wet lab space may be required depending on the research requirements of individual faculty and will be co-located in keeping with interdisciplinary space use expectations. No existing faculty or programs will be displaced or disrupted by the launch of the School of Nursing.

Various options for future facilities needs are under discussion, including leased space in the Sacramento health sciences district. A process to evaluate those options is well under way. The Executive Director of Facilities Planning, Design and Construction is working very closely with the AVC and the transition team to develop short and long-term space plans. A detailed space requirement plan has been prepared using the staff and faculty recruitment projections. The long-term space planning is being closely evaluated by the Executive Director of Facilities, the AVC, the health system Chief Financial Officer, and Vice Chancellor of Human Health Sciences. Options being considered include leasing space in a building constructed in collaboration with a partner or building by UC Davis, among others. Regardless of which option is ultimately pursued, the team is moving quickly to develop the vision and design given that the long-term space issue is faced when B.S. students begin their third year (Fall 2013). UC Davis Health System posted a Request for Qualification for a consulting firm to support programming and site planning. Twenty-eight firms responded and interviews will be completed by the end of December 2008.

The total amount of space needed to support the School of Nursing at full student population in AY 2015-16 is currently projected to be approximately 72,000 gross assignable square feet. Funds are included in the projected budget to cover leased occupancy costs, either in temporary or more permanent quarters.

While additional square footage will not be required for the library, there will be additional resources needed for the UC Davis library to accommodate the new school of nursing. Those resources, for appropriate print and electronic resources, high-end work stations and software, are included in the financial projections for the school, based on estimates provided by the university librarian. (See letter, describing support and enumerating resource needs, included here in Appendix F.)

42 D. Advancement Plan

As mentioned above, the health system leadership and the Gordon and Betty Moore Foundation have consistently asked that planning for the school include an adequate provision of resources to build a substantial endowment to sustain the Betty Irene Moore School of Nursing over the long term and has encouraged the leadership of the school to utilize funds from the grant itself for those purposes. This is an unusual approach among foundations; more often the grant recipient is expected to support fundraising with existing resources. This enables the School of Nursing to launch its campaign on unusually solid footing.

UC Davis leadership has developed an aggressive fundraising initiative plan to tap public and private sources of funds to assure success in building the sizeable projected

endowment. The leadership of the school is working closely with the central

development team, with their full support, to insure that efforts are coordinated and that the School of Nursing, UC Davis Health System and the university in general

complement and strengthen one another in their fundraising efforts. Key to this strategy is expansion of fundraising beyond the local, regional or state scale, telling the UC Davis story to new national audiences, with a focus on the many national issues UC Davis is addressing in its research (e.g. regenerative health), technology (e.g. telehealth) and innovative approaches to preparing health professionals (e.g. interdisciplinary nursing education). The Betty Irene Moore School of Nursing thus has in place a comprehensive process, already set in motion, to meet challenging endowment projections.

As an early major step in that direction, the AVC has engaged two prominent fundraising consulting firms. On a national scale, through a competitive proposal process, the School of Nursing leadership selected the firm of Marts and Lundy, Inc. to provide initial studies of feasibility and organizational philanthropic capacity. In parallel, the school’s

leadership selected the regional firm of Lester Consulting Group, Inc. to provide customized campaign support and further develop a culture of philanthropy for the school. A tripartite memorandum of understanding has been executed which clearly delineates the roles and responsibilities of the parties. Both firms have initiated work on behalf of the proposed School of Nursing and work plan/timetable and strategic

outcomes documents have been drafted. This team has also begun work on a full prospectus and case statement, and will assist in the future in developing brochures and related materials, individual proposals, and the like.

Planning is also underway for the implementation of a fully-staffed advancement office that will include development professionals and support staff; in parallel, the School of Nursing leadership is building a professional communications and marketing team, an important part of whose efforts will be support of advancement activities. The Assistant Dean for Health Sciences Advancement for the UC Davis Health System has been

assigned to assemble the advancement team, and is currently in the process of recruiting development professionals. The combined projected operating budget for both the office of advancement and overall communications, marketing and outreach, including

materials, is $700,000 for AY 2008-09, rising to $1.25 million for AY 2009-10, and then gradually increasing each year to more than $2.4 million annually for ongoing

43 team and the communications/marketing team are funded by the launch grant from the Gordon and Betty Moore Foundation to establish a solid basis for future support. Concurrently, a full-time director of research and training grants will be appointed to ensure that the faculty is supported in the startup of research and graduate education programs. This individual will also provide liaison services on behalf of the School of Nursing to the institution’s Sponsored Programs and Institutional Review Board (IRB) offices. Two grant writers and pre-award and post-award administrative support for faculty are also built into expense projections.

Long-range projections for annual fundraising goals will be tested and validated by the fundraising consultants by June 2009. State funds and campus funds will not be required to support the unique aspects of this school.

E. Contingency Planning

As acknowledged throughout this proposal, the Betty Irene Moore School of Nursing is envisioned as transforming health care through nursing education and research. There are ambitious goals and high expectations outlined above. It is worth considering, however, major contingencies and alternative courses of action should national or global economic, market or political forces make it impossible to achieve major goals or meet those high expectations. Several major contingencies are considered here, with possible alternative courses of action that could be pursued in the event those contingencies arise. It is possible that the School of Nursing will not be able to secure adequate permanent space for all the programs planned to launch over the next three years. If that occurs, it may prove necessary to secure and occupy temporary space. The facilities team has identified contingency plans for this eventuality.

This proposal sets high expectations for fundraising, aiming to build an income stream of $9 to $10 million dollars annually over the coming 10 to 15 years. If the school falls short of the annual targets for external revenue sources and fundraising, two major adjustments can be made. The size of the programs can be reduced, admitting smaller cohorts in the respective programs. Given the emphasis on quality, not quantity, a reduction in the size of programs is far preferable to compromising the Margin of Excellence or reducing the commitment to a Culture of Transformation.

A related contingency which should be considered is the potential for a reduction in state support. Again, the response of the School of Nursing would be to limit program size and retain the emphasis on quality. In addition, stepped up efforts to attract federal and private support for research and innovations in education would be implemented to replace, at least in part, diminished state support.

The national shortage of nurse faculty and strategies for attracting high caliber talent are discussed above, but it is possible that these measures may still prove inadequate to attract quality faculty in the numbers proposed. In addition to adjustments to the numbers of students, the school of nursing can make creative use of the pool of available faculty in a number of ways. There are opportunities, for example, to utilize consulting faculty and visiting faculty, on sabbatical or underutilized elsewhere, to augment regular

44 school of nursing faculty. Also, the graduate group structure will enable the school of nursing to tap into faculty resources from other schools and departments, with

appropriate financial support to those academic units. Again, the focus must stay steady on the quality of the school’s programs.

IV. SUMMARY

This proposal is the first step in obtaining approvals to launch the Betty Irene Moore School of Nursing. The preceding pages describe the overall structure and products of the proposed School of Nursing. In-depth program development will require faculty engagement and leadership. Approval of this proposal will enable the team to name the school in honor of the donor and to move forward with faculty recruitment. With founding faculty engaged, the transition team will prepare all appropriate proposals to seek approval for specific programs (i.e., the Ph.D., M.S. and B.S. programs) and courses. Team members eagerly anticipate using the opportunity to serve the people of California through the education of outstanding nursing professionals, advanced research in health and illness care, the development of outstanding pedagogy and curricula, and boundary-crossing work with peer schools and UC colleagues.

University of California Office of the President Background Summary of Nursing Education in California

October 2008

The Shortage: California ranks 50th _{in the nation in the number of registered nurses per capita (with 589 versus the}

United States average of 825 employed RNs per 100,000). Experts forecast a shortfall in California of 116,000 FTE registered nurses by 2020. Causes of the nursing shortage include rapid population growth (especially of those over age 65); an aging nursing workforce (California nurses are 5 years older than the national average and a large proportion are over age 50); increasing mean age of nursing faculty nearing retirement; limited nursing school enrollment capacity and insufficient funding for education. Several private programs in California have closed citing concerns about educational costs. A recent national study documented five consecutive years of growth in the number of applicants to US nursing schools. California has mirrored these trends. Notwithstanding recent successes by the Governor’s Nurse Education Initiative to increase educational opportunities for students, the available programs are still insufficient to meet state workforce needs. In its most recent Annual Report, the state’s Board of Registered Nursing (BRN) determined that 55.4% (n=15,797) of qualified applications to California nursing schools in the 2006-2007 academic year were not accepted for admission due to lack of capacity.

California’s Nursing Education System: The BRN lists 130 public and private pre-licensure nursing education

programs in California: 82 programs offer the associate (ADN) degree; 32 offer the bachelor’s (BS/BSN) degree; and 16 offer entry-level master’s degrees. Five additional programs offer a nursing PhD.

California Public Nursing Schools – Estimated Number of 2007 Graduates per Program System, Number of

Nursing Programs*, and Total Number

of Campuses ADN (Associate Degree in Nursing) BS or BSN ADN to BSN (and RN to BSN) Master’s (MSN, Master’s Entry) PhD (Doctor of Philosophy) Estimated Totals CCC – 73/110 4901 0 0 0 0 4901 CSU – 19/23 0 1599 193 482 0 2274 UC – 3/10 0 0 14 253 56 323 Estimated Totals 4901 1599 207 735 56 7498

* Note: CCC = California Community Colleges; CSU = California State University system; UC = the University of California system.

This Table contains estimated numbers of graduates in 06-07. New and expanded UC programs at Irvine, LA, and SF that began in fall 2006 will produce additional graduates in upcoming years; also new programs recently began at the CSU San Marcos and CSU Channel Islands campuses, with some other possible increases within the CCC system.

UC Nursing Programs: UC operates two Schools of Nursing (UCLA and UCSF) that offer graduate nursing

education programs, which play a central role in preparing advance practice nurses and future faculty. Faculty shortages in nursing exist statewide and are a major barrier to increasing enrollments at CCC and CSU campuses. In addition, UCLA and UCI began new undergraduate (bachelor’s degree) programs in fall 2006. 2008 statistics were as follows:

UCLA UCSF UCI UC Total

Total Students (All Years) 533 644^ 122 1299^ Estimated Annual Graduates 196 220 New program 416

Approximate Faculty FTE** 47 88 8 143

Degrees Programs Offered RN/BS/MSN, BS, MSN, PhD MS, PhD BS* As Indicated ^ includes 84 students enrolled in the UCSF Master’s Entry Program in Nursing; *planning for MS, PhD, DNP programs ** data from 2/08; four of the listed UCI FTEs were under recruitment for a planned 7/08 appointment date

Until Fall 2006, UC had not offered an undergraduate nursing program for more than ten years. Since the

suspension of undergraduate enrollments at the UCLA School of Nursing in 1995, UC did not offer an undergraduate nursing program (except for the small ADN/BS/MSN program at UCLA -- available only to students who already have an ADN). Beginning in 2006, UCLA reopened its undergraduate program, and UCI launched a new undergraduate

nursing program. These will provide much needed educational opportunities for students and will help rebuild the pool for graduate nursing education.

New Initiative: In July 2007, the Gordon and Betty Moore Foundation pledged $100 million in founding support to

launch the Betty Irene Moore School of Nursing at UC Davis. The landmark Moore Foundation gift to UCD is the largest philanthropic gift in the nation in support of nursing education. Pending necessary approvals and adequate state resources, UC Davis anticipates admitting its first cohort of masters and doctoral students in fall 2010. When full enrollment is reached in all degree programs (graduate and baccalaureate), the school is projected to serve 456 students.

Within the UC system, plans for growth (including Davis) are expected to more than double UC nursing enrollments – from 811 enrolled students at baseline in 2005 to a total of roughly 1900 students. These plans, once

all programs and all years/classes of students are enrolled, will increase the number of UC graduates from approximately 300 to over 600 graduates annually. UC had hoped to continue with plans in 2008-09 to increase nursing enrollments given the importance to state workforce needs. In the 2008-09 Regents’ Budget, UC requested funding for 204 new nursing slots as Phase Three of a multi-year expansion plan. UC, however, received “level” funding (i.e., no new state funds for nursing enrollment growth) in the final 2008-09 California Budget. As a result, UC can not expand this coming year as anticipated. Given uncertainties with upcoming California budgets, future plans for UC nursing enrollment growth are in jeopardy. State funding is essential to launch new programs, maintain quality and student affordability. UC, nevertheless, remains committed to fully implementing nursing enrollment plans when feasible.

Summary of changes by campus

UCLA • re-establishment of an undergraduate bachelor’s degree program in nursing • growth and expansion of a masters entry program

UCI • establishment of a new nursing science program with students matriculating initially in an undergraduate bachelor’s degree program in nursing

• seeking approval from the UC Regents for status as a School of Nursing (likely in 2009) • planning for new master’s and doctoral degree programs (pending necessary approvals and

adequate resources, first students expected to enroll Fall 2009)

UCSF • growth and expansion of masters degree programs

• expanded opportunities for clinical specialty and advanced practice students to complete an Education minor

UCD • recipient of a major foundation gift to launch the Betty Irene Moore School of Nursing • appointment of a new Associate Vice Chancellor for Nursing to lead campus efforts • seeking approval from the UC Regents for status as a School of Nursing (Spring 2009) • planning for new master’s and doctoral degree programs (pending necessary approvals and

adequate resources, inaugural class expected in 2010), followed within two years by an undergraduate bachelor’s degree program

Details about the nursing shortage and background on some of UC’s plans are summarized in UC’s report, “Health Sciences Education: Workforce Needs and Enrollment Planning” available at www.ucop.edu/healthaffairs. (Note: this report does not include or reflect UCI’s nursing program and plans, or UC Davis’ plans.) Enrollment plans and further background information are included in a January 2007 report, “A Compelling Case for Growth: Final Report,

Advisory Council on Future Growth in the Health Professions” available at this same website. Questions about the report or the University’s proposed enrollment plan may be directed to Dr. Cathryn Nation, Associate Vice President, Health Sciences, at 510/987-9705.

UC Davis School of Nursing Projected Operating Budget Plan

2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 Steady State

REVENUE FUNDING

Beginning Balance $0 $9,643,710 $12,898,170 $2,837,850 $679,881 $167,965 $159,164 $724,128 $618,768 $431,291 $342,060 $363,800 $564,638 $0 State Funds--Marginal Cost (MCOI) $0 $0 $0 $485,200 $1,840,000 $3,601,800 $5,579,600 $6,671,000 $7,860,800 $8,296,000 $8,720,800 $9,145,600 $9,616,000 $12,261,600 State Funds--Ed Fee $0 $0 $0 $138,800 $532,400 $1,099,800 $1,730,600 $2,136,000 $2,573,800 $2,714,400 $2,845,600 $2,982,400 $3,119,200 $3,983,200

State Funds--USAP $0 $0 $0 $64,300 $270,000 $425,300 $595,400 $625,100 $656,400 $689,200 $723,700 $759,900 $797,900 $1,018,300

GBMF Grant $9,907,610 $10,251,868 $0 $8,000,000 $11,400,000 $12,300,000 $13,000,000 $10,200,000 $7,000,000 $5,700,000 $5,500,000 $4,500,000 $2,540,522 $0 Student Fees (Professional) $0 $0 $0 $105,500 $451,500 $724,700 $1,033,900 $1,106,300 $1,183,800 $1,266,600 $1,355,300 $1,450,100 $1,551,700 $2,176,300 Fundraising Income $0 $139,150 $413,750 $636,250 $758,750 $894,750 $2,384,750 $3,497,250 $3,932,250 $4,289,750 $4,469,750 $5,672,250 $7,197,250 $10,332,750 Other Income (Gift Fee and STIP) $502,000 $506,000 $510,000 $200,000 $282,000 $307,000 $379,000 $355,000 $293,000 $271,000 $267,000 $284,000 $290,000 $300,000

TOTAL REVENUE $10,409,610 $20,540,728 $13,821,920 $12,467,900 $16,214,531 $19,521,315 $24,862,414 $25,314,778 $24,118,818 $23,658,241 $24,224,210 $25,158,050 $25,677,210 $30,072,150

OPERATING EXPENSES

BASE LINE OPERATING EXPENSES

Faculty Salaries and Benefits $0 $969,400 $1,977,600 $2,461,500 $3,732,000 $5,585,200 $7,826,700 $9,153,900 $9,311,500 $9,467,100 $9,845,800 $10,239,600 $10,649,200 $12,956,400 Faculty Salaries--Cost Sharing w/Grants $0 $0 $0 $0 -$738,500 -$1,119,600 -$1,675,600 -$2,348,000 -$2,746,200 -$2,793,500 -$2,840,100 -$2,953,700 -$3,071,900 -$3,886,900 Staff Salaries and Benefits $112,100 $1,411,400 $2,559,400 $3,417,500 $3,638,700 $4,031,800 $4,317,300 $4,548,300 $4,703,600 $4,864,400 $5,030,700 $5,202,900 $5,371,700 $6,258,600 Operating Equipment and Expenses $649,800 $200,000 $331,600 $916,200 $924,500 $933,000 $691,600 $450,500 $459,500 $468,700 $478,000 $487,600 $497,300 $549,100 Facilities and Equipment Expenses $4,000 $400,000 $408,000 $416,200 $2,660,000 $2,724,000 $2,778,500 $2,834,000 $2,890,700 $2,948,500 $3,007,500 $3,067,700 $3,129,000 $3,454,700 Library Costs (Non-Salary) $0 $0 $142,800 $145,700 $148,600 $151,500 $154,600 $157,700 $160,800 $164,000 $167,300 $170,700 $174,100 $192,200 TOTAL BASE LINE OPERATING EXP/ (1) $765,900 $2,980,800 $5,419,400 $7,357,100 $10,365,300 $12,305,900 $14,093,100 $14,796,400 $14,779,900 $15,119,200 $15,689,200 $16,214,800 $16,749,400 $19,524,100 STUDENT SUPPORT/(2) $0 $0 $0 $480,000 $1,489,200 $2,223,600 $4,100,400 $4,467,600 $4,834,800 $5,056,344 $5,157,471 $5,260,620 $5,365,833 $5,924,313 LAUNCH EXPENSES (Fundraising, Evaluation, Curriculum development)/(3) $0 $2,788,925 $3,151,337 $1,689,453 $1,989,761 $2,122,675 $2,140,989 $2,054,093 $2,187,682 $2,197,271 $2,344,639 $2,422,128 $2,502,236 $2,895,347 FACULTY INVESTMENT/(4) $0 $1,872,833 $2,413,333 $2,261,466 $2,202,305 $2,709,976 $3,803,797 $3,377,917 $1,885,145 $943,365 $669,100 $695,864 $723,698 $880,490 TOTAL EXPENSES $765,900 $7,642,558 $10,984,070 $11,788,019 $16,046,566 $19,362,151 $24,138,286 $24,696,010 $23,687,527 $23,316,180 $23,860,410 $24,593,412 $25,341,168 $29,224,250 Ending Balance $9,643,710 $12,898,170 $2,837,850 $679,881 $167,965 $159,164 $724,128 $618,768 $431,291 $342,060 $363,800 $564,638 $336,043 $847,900

1. "Base Line Expenses" includes core operating expenses for faculty (market-based salaries), staff, instructional support, occupancy expenses 2. "Student support" provides for stipends & tuition/fee remission for graduate students to attract exceptional scholars

3. "Launch" includes development staff, marketing/communication staff, evaluation, and start up expenses to support an innovative curriculum. These are expenses not customarily supported by state funds

4. "Faculty Investment" includes recruitment and start-up packages, launch team expenses and a Dean's Discretionary Fund designed to advance nursing science. These expenses are not customarily supported by state funds. 5. Significant increase in expenses when BSN program launches (AY 11/12)

6. In steady-state, (depicted as FY 24-25) fundraising and external revenue streams will cover approximately 30% of anticipated annual expenditures. Anticipate use of GMBF grant for 10 years to close gap until full endowment goal is achieved.