In spring 2000 the notion of an online college for distance education emerged as a possibility from the Governor’s Commission on Excellence and was embraced by UT President Wade Gilley as a means of improving UT’s reputation and state education statistics, as well as making higher education more available in Tennessee. Sammie Lynn Puett, then vice president of public service, headed the feasibility study for President Gilley, looking especially at the University of Maryland’s University College as a possible model. She indicated in April that the program was to offer a bachelor’s degree in general studies with a concentration in certain areas such as business and communications and that a master’s degree with different concentrations was also to be offered. Gilley and Puett indicated that they would make a definite proposal to the board of trustees and have a five-year implementation strategy by October. Puett indicated that the first courses were scheduled to be offered in 2001, with a few years being required for full implementation of all programs.
New College was to be a separately accredited unit, like the Martin and Chattanooga campuses. At its April meeting, the Faculty Senate questioned the advisability of having a separately accredited institution, since there were already online degrees offered at UT. An article in the local newspaper was the first notice the Faculty Senate had had of the proposal, and they asked that plans be shared with the senate and that the project not proceed without senate approval.
On August 29, 2000, Governor Don Sundquist and President J. Wade Gilley announced the formation of New College, with Sammie Lynn Puett to serve as chancellor. The announcement indicated that the program would not function as a separately accredited institution but would extend existing programs of UT and the board of regents primarily to adult, working Tennesseans. Gilley proposed, as part of the announcement, his desire to have UT and the board of regents work to develop an entirely new general studies degree for adults, perhaps named Tennessee Bachelor of Arts. He also announced that the program had won a $1.3 million federal contract to assist Tennessee in developing the necessary technology. A 20-member advisory council, chaired by Allen Edwards, president of Pellissippi State Community College, and composed of UT faculty, private consultants, and executives from board of regents’ schools across the state was also announced. When Chancellor Puett announced her retirement in November 2000, President Gilley indicated that Katie High, vice president and chief of staff, would chair a committee of faculty from all campuses to make recommendations on administrative issues associated with New College.