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The administration continues to work very hard on health care. Since becoming
president, the administration has not asked the faculty or staff to pay higher premiums on
their health care. Since 2000-01, when the increase was 15 percent, UK's health care
increases have been minimal compared to national and regional averages. UK's increase
in 2003-04 was only 6.1 percent because of a very proactive health literacy program that
was put in place to try to manage that.

Having space available is very important when trying to attract and retain faculty. The
Biomedical Biological Sciences Research Building (BBSRB) is on schedule. Salary is
also an issue with faculty.

Goal IV      Discover, Share, and Apply Knowledge

The university's goal for 2003 was to increase the federal research expenditures by $100
million. UK is 20 percent above that amount ($120 million). It is anticipated that the
federal research expenditures will increase to $140 million by 2006.

As of fall 2003, UK had already achieved one of its key indicators, increasing its
enrollment of postdoctoral scholar students from 232 to more than 275.

Goal V.      Nurture Diversity of Thought, Culture, Gender, and Ethnicity

The university had a 30 percent increase in African-American students last year.

The administration continues to work closely with the Commission on Diversity and the
Commission on Women. Sharon Turner was hired as Dean of the College of Dentistry,
and Angie Martin was promoted to Vice President for Budget and Planning. A new
position, Vice President for University Initiatives and Associate Provost for Multicultural
Affairs, has been created to be helpful in diversity.

Goal VI      Elevate the Quality of Life for Kentuckians

The Robinson Scholars program has 151 students enrolled at UK, and a new class was
announced recently. A capital campaign has been started to try to raise scholarship
money to keep that program going.

UK will be at the forefront in the battle against lethal disease. UK has received a $1
million federal grant to fight lethal cancers in eastern Kentucky. This federal grant was
secured by Congressman Hal Rogers.

UK has been instrumental in delivering innovative educational projects throughout the
state, such as the Morgan County Technology Center in West Liberty, Kentucky. This is
one of the lowest economic producers in the state. Operated by UK, the center offers
access to the most up-to-date computers and other technology that will help the region