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being developed and the administration would do its best to try to spare academic programs. He
noted that there will not be any across-the-board cuts. They will be more strategic in nature.

      President Todd also discussed the $41 million nonrecurring cut to postsecondary
education, which is expected to be in the Governor's budget. The University's original
allocation was $22.5 million. Through negotiations, the cut has been reduced to $16.7 million.
It is a nonrecurring cut and the administration is investigating various ways of how to cover the
reduction. He indicated that the University would be in a better position to assess the impact of
the reduction after the Governor's speech and based upon the legislators' reaction to the
Governor's budget. He said that he wanted the Board to know that it is a major concern and the
administration is working on how best to implement the reduction.

      President Todd said that he wanted to talk about page 13 in PR 2 that had been revised.
He said that he is very pleased to announce that the University has a new executive director of
Coldstream Research Campus, Mr. John Parks. He reported that Mr. Parks had been on campus
a couple times. During those visits, Mr. Parks had attended a town meeting with economic
development leaders and Dr. Bill Brundage, Commissioner of the Office for the New Economy,
to talk about new economy.

      President Todd briefly reviewed Mr. Parks' credentials. Mr. Parks is currently the
Director of the Research Park at the University of Illinois Urbana-Champaign campus which is
literally a top 10 university. President Todd said that he knew it was always in the top three in
engineering. There was MIT, Stanford, and the University of Illinois. It is a very
technologically advanced university. Mr. Parks got their park up and running, and today, it has
33 high-tech companies with 650 employees. He also launched their technology incubator called
Enterprise Works with 19 startup companies. Prior to that, Mr. Parks was president and CEO of
a research park at Iowa State where it is home to 41 companies employing over 1,100 people.
Mr. Parks has an M.B.A. from Iowa State. He served on the Iowa Seed Capital Corporation for
eight years and the Ames, Iowa City Council for five years. He has quite a bit of experience in
the government sector, and he was on the Economic Development Commissions in both Ames
and Champaign, Illinois for 15 years. President Todd said that he is extremely pleased to have
someone of Mr. Parks stature come to campus. Mr. Parks will be at the Coldstream Research
Park April 1 St.

      President Todd talked about the strategy toward Coldstream and the development work in
general. He referred to an Entrepreneurship Club that had been started to get the students to
think about startups, to get them exposed to ideas, and to bring back the University's graduates
who have been successful. He said that there has also been a Venture Club for about a year and
a half since the University got Professor Dean Harvey to head the VonAllmen Center for
Entrepreneurship. The Club has a regular attendance of about 75 people a week, consisting of
entrepreneurs, venture capitalists, bankers, and accountants, who meet at the Lafayette Club.

      President Todd reported that a Bluegrass Angel network was announced last month.
These are high net worth individuals who will pay a slight fee to be a member. They receive a
package of information on start-up companies so that they can make a decision whether they
want to put money into the companies. The Bluegrass Angel organization has about 20