FLAGSTAFF - In other action Thursday, the Arizona Board of Regents:

• Approved the 1997 fiscal year state operating expenditure authority and all funds budget for the state university system. The expenditure authority combines legislature appropriated general funds and tuition, fees and other board-approved monies. Of the $814.08 million spent to operate the state's public universities, the University of Arizona's portion is divided among the various campuses and the Arizona Health Science Center, which receives $54.1 million. The main campus receives $291.67 million, Sier ra Vista $1.41 million and Arizona International Campus $2.18 million for a total of $349.36 million.

• Approved the all funds budgets for the state's universities. The University of Arizona's budget of nearly $349.4 million, plus $297.9 million in local unrestricted funds (or the portion of tuition and fees retained by the university), and $394 million in gifts, grants and contracts total, projected revenues of more than $1.04 billion. Projected expenditures for the UA total $837.5 million. The UA included in its requested budget $1.2 million for property purchases without naming a specific property. Howe ver, the UA is required to obtain board approval before it can purchase any properties with its acquisition budget. The university also requested a $14.4 million increase over its spring proposed budget to fund, among other things, salary adjustments and the Arizona Health Sciences Center telemedicine network.

  Also noted in the report were negative budget balances for the following accounts: Extended University (KUAT Videoconferencing, -$124,200), Optical Sciences (-$271,800), Printing and Publishing (-$196,200), and University Research Instrumentation (-$87,20 0).

• Approved John Schwarz, UA political science professor, as the Arizona Faculties Council representative on the board. The position rotates among the state's universities, with each representative serving a one-year term.

• Unanimously approved a three-year contract extension for Jim Livengood, UA athletic director. The contract was changed to coincide with the fiscal rather than calendar year. The contract includes a bonus clause awarding Livengood an additional one-twelft h of his salary if any of the men's baseball, basketball or football teams reach the postseason.

  Citing what she called poor graduation rates for students of those sports, Regent Judy Gignac suggested the board should include a similar bonus based on a specific graduation rate of players. Regent Eddie Basha went further, saying the board should work that provision into the contracts of all athletic directors and coaches. The board asked the Council of University Presidents to report back to them about the issue.

• Named Jim Click and the Flinn Foundation of Phoenix as the first recipients of the Regents Award for outstanding service to higher education. Click, president of the Click Automotive Team and chairman of the board of Arizona Bank, established a scholarsh ip program in 1995. The program provides up to $12,000 to the children of employees of either the car dealerships or bank. During its first year, the program provided $88,900 to 38 students attending Arizona colleges, universities or vocational schools. T he Flinn Foundation, established by Dr. and Mrs. Robert S. Flinn, has provided more than $27 million in scholarships to Arizona schools over the last 21 years. The foundation also supports nonprofit health care organizations and arts programs. The recipie nts will receive their awards at a luncheon in September.