In the end - they did the right thing. The UW student senate has amended and approved Resolution R-12-26 : A Resolution Calling a Memorial for UW Alumni awarded the Medal of Honor. Great news!
BE IT RESOLVED BY THE ASSOCIATED STUDENTS OF THE UNIVERSITY OF WASHINGTON:
There are five UW alumni who have been awarded the Congressional Medal of Honor, and who are to be named upon the memorial:
Now the fund raising must begin. I'll post any news here whenever I have new info. If anyone is aware of specific fund-raising for this memorial, let me know in comments.
When this story first became public, a "Pappy" Boyington memorial fund was created to provide scholarships for students who are Marine Corps veterans or children of Marine Corps veterans. If you are interested in donating to that good cause, you can contact the UW Foundation here.
Congratulations to the student senators, they are continuing the mission.