xt776h4cp19p https://exploreuk.uky.edu/dips/xt776h4cp19p/data/mets.xml Lexington, Kentucky University of Kentucky 1992027 minutes English University of Kentucky Contact the Special Collections Research Center for information regarding rights and use of this collection. Minutes of the University of Kentucky Board of Trustees Minutes of the University of Kentucky Board of Trustees, 1992-02-apr7. text Minutes of the University of Kentucky Board of Trustees, 1992-02-apr7. 1992 2011 true xt776h4cp19p section xt776h4cp19p Minutes of the Meeting of the Board of Trustees of the University of Kentucky, Tuesday, April 7, 1992. The Board of Trustees of the University of Kentucky met at 1:00 p.m. (Lexington time) on Tuesday, April 7, 1992 in the Board Room on the 18th floor of Patterson Office Tower on the Lexington Campus. A. Meeting Opened and Roll Call In the absence of Mr. Foster Ockerman, Mr. William E. Burnett, Vice Chairman, called the meeting to order at 1:00 p.m., and the invocation was pronounced by Professor Raymond F. Betts. The following members of the Board of Trustees answered the call of the roll: Mrs. Kay Shropshire Bell, Professor Raymond F. Betts, Professor Carolyn S. Bratt, Mr. William E. Burnett, Jr., Mr. Scott A. Crosbie, Mrs. Edythe Jones Hayes, Mr. Asa L. Hord, Dr. Robert P. Meriwether, Professor Judith Rhoads, Mr. James L. Rose, Mr. C. Frank Shoop, Mrs. Marian Moore Sims, Chief Justice Robert F. Stephens, Mr. William B. Sturgill, Mr. Daniel C. Ulmer, Jr. Mr. Billy B. Wilcoxson, and Former Governor Wallace G. Wilkinson. Absent from the meeting were Dr. Jack D. Foster, Mr. Foster Ockerman and Judge Henry R. Wilhoit, Jr. The University administration was represented by President Charles T. Wethington, Jr.; Chancellors Peter P. Bosomworth and Ben Carr, Jr.; Vice Presidents Joseph T. Burch, Edward A. Carter, Donald B. Clapp, Linda J. Magid and Eugene R. Williams; Dr. Juanita Fleming, Special Assistant to the President for Academic Affairs; Mr. C. M. Newton, Athletics Director, and Mr. John Darsie, Legal Counsel. Members of the News media were also in attendance. A quorum being present, Mr. Burnett declared the meeting officially open for the conduct of business at 1:04 p.m. B. Minutes Approved On motion made by Mrs. Sims, seconded by Mr. Shoop and passed, the Minutes of the March 3, 1992 meeting of the Board of Trustees were approved as written. C. President's Report to the Trustees (PR 1) In reviewing his "Report to the Trustees, President Wethington said there were many good, positive things to report. He called particular attention to the following items: 1. The University has set another record for private giving. Donations from all sources in the 1991 calendar year were $27,899,319, a 4 1/2 percent increase over 1990's $26.7 million. 2. The Commonwealth Library Campaign has exceeded $14.4 million. By mid-March, more than 66 percent of the faculty, staff and retirees of the University had contributed to the campaign. President Wethington said that he was delighted with the response from the University community to this campaign. - 2 - 3. The College of Medicine was ranked seventh among comprehensive medical schools in the United States in an annual survey released by U.S. News and World Report magazine. 4. The University's debate team was runner-up in the novice debaters national championship in March at Northwestern University. 5. The College of Medicine has received a $2.5 million grant from the Robert Wood Johnson Foundation to institute changes in physician education. This grant will fund efforts to produce physicians who are closely attuned to patient care and capable of managing the ethical and financial decisions created by the rapid advances in medical care technology. 6. The Art Museum has received one of the most remarkable private art collections in the United States, the Proskauer Collection. The collection is a major gift to the University from the estate of the late George and Susan Proskauer. 7. The University will dedicate a new College of Business and Economics building addition and major renovation effort on April 10. This ceremony marks the end of a major project that included construction of a three-story annex and remodeling of the existing structure. 8. Pulitzer Prize-winning historian Arthur M. Schlesinger, Jr. will deliver the 11th Annual Prichard Lecture on April 8 at the Singletary Center Recital Hall. 9. Carolyn S. Bratt, a law professor and member of the Board of Trustees, has been selected for an American Council on Education fellowship. She will spend a year working closely with the University administration. 10. Ashland and Hazard community colleges are now part of the University's interactive video system that allows students to take graduate-level courses in such areas as engineering, mining engineering, education and medicine taught from the University's campus. President Wethington asked that the members review the other items in his report at their leisure. As a part of the "President's Report," President Wethington briefed the Board on the status of the University's budget. He reminded the Board of the state government budget cuts in 1991 and reviewed steps taken by the University for handling its portion of the budget cut. He reported that each chancellor and vice president developed plans for his review for managing these cash problems and several measures had been put into place to assure these plans are carried out. - 3 - President Wethington reported that Governor Brereton Jones had proposed another reduction for 1992-93, noting that the University System's budget would have an $11.5 million reduction. He said that this is an extremely difficult budget cut, particularly on top of the 1991 reduction. It will have a significant negative impact on the University. Cuts of this magnitude can be devastating, but it does give the University an opportunity to re-examine itself. Through a series of slides, he reviewed the budget cut figures and explained the University's problems that would be dealt with in 1992-93. He informed the Board that he had released a statement to the University's employees indicating the objective to implement the second round of cuts in the least damaging manner. He said that top priority would continue to be placed on protecting the instruction, research and service programs, employees' jobs and salaries. He noted that the reduction plan would be developed with the full participation of the chancellors, vice presidents, deans, department chairs, university administrators, faculty and staff. In conclusion, President Wethington said that the purpose of the presentation was to show the Board that the budget cuts are real, they are severe budget cuts, they are recurring, and the budget base of the institution will be significantly lower on July 1, 1992. A part of the plan and strategy during 1992-93 is to do a major review of the Strategic Plan. Administrators, faculty and staff across the institution will be involved in the process. He noted that his staff would be preparing a budget to submit to the Board for consideration and approval at its June meeting. D. Personnel Actions (PR 2) With President Wethington so recommending, on motion made by Mr. Crosbie, seconded by Mr. Shoop and passed, the routine personnel actions in PR 2 were approved. (See PR 2 at the end of the Minutes.) E. University Research Professorships (PR 3A) President Wethington stated he was pleased to recommend that the Board approve the naming of Professors Brian J. Dendle, Department of Spanish and Italian; Don A. Howard, Department of Philosophy; Keh-Fei Liu, Department of Physics and Astronomy; and Steven W. Yates, Department of Chemistry, as University Research Professors for 1992-93. Mr. Ulmer moved approval. The motion was seconded by Professor Betts and carried. Professors Dendle and Liu were in attendance. They were asked to stand and be recognized following which they received a round of applause. (See PR 3A at the end of the Minutes.) F. Honorary Degree Recipients (PR 3B) President Wethington indicated his pleasure in recommending that approval be granted to awarding the honorary degree of Doctcr of Science to Claire Louise Caudill and the Doctor of Letters to Guy M. Davenport, Jr. The motion, which was made by Mr. Sturgill and seconded by Mrs. Sims, was voted on and carried unanimously. (See PR 3B at the end of the Minutes.) - 4 - G. Associate Degree Program in the Community College System - Somerset Community College (PR 4A) On recommendation of President Wethington, Professor Rhoads moved that the Board authorize for submission to the Council on Higher Education a new degree program, Associate Degree in Applied Science, Law Enforcement Technology, for the Somerset Community College. The motion was seconded by Dr. Meriwether and passed. (See PR 4A at the end of the Minutes.) H. Associate Degree Program in the Community College System - Southeast Community College (PR 4B) President Wethington recommended that the Board authorize for submission to the Council on Higher Education a new degree program, Associate Degree in Applied Science, Respiratory Care, for the Southeast Community College. Mr. Crosbie moved approval. His motion, seconded by Dr. Meriwether, passed. (See PR 4B at the end of the Minutes.) I. Naming of University Building (PR 4C) President Wethington recommended that the Board approve the name Henry A. Campbell, Jr. Science Building for the new Prestonsburg Community College Science Building. He noted that Dr. Campbell served as President of Prestonsburg Community College for 27 years and was committed to making Prestonsburg Community College an excellent institution of higher education in the eastern Kentucky area. The motion, which was made by Mr. Shoop and seconded by Mrs. Sims, carried. (See PR 4C at the end of the Minutes.) J. Appointments/Reappointments to University of Kentucky Equine Research Foundation (PR 5A) With President Wethington so recommending, Mr. Shoop moved that the Board approve the appointments of Mr. Duncan Alexander and Mr. John Williams and the reappointments of Mrs. Margaret Brady Glass and Sheikh Maktoum Bin Rashid Al Maktoum as members to the Board of Directors of the University of Kentucky Equine Research Foundation for four-year terms. The motion, seconded by Mr. Wilcoxson, passed. (See PR 5A at the end of the Minutes.) K. Change in Degree and Major Title (PR 5B) and Change in Degree in Major Title (PR 5C) President Wethington asked that PR 5B and PR 5C be considered together. He recommended that the Board approve the following changes in degrees and titles in the College of Human Environmental Sciences: Designs and Textiles from B.A. in Housing and Interior Design, major Housing and Design, to B.A. in Interior Design, major Interior Design, and Design and Textiles from Master of Arts in Textiles to Master of Science in Merchandising, Apparel and Textiles. - 5 - On motion made by Mrs. Sims and seconded by Mr. Wilcoxson, the changes in degrees and major titles passed. (See PR 5B and 5C at the end of the Minutes.) L. Acceptance of Interim Financial Report for the University of Kentucky for the Eight Months Ended February 29, 1992 (FCR 1) Mr. Burnett, Vice Chairman of the Finance Committee, recommended that the Board accept the University of Kentucky consolidated financial report for the eight months ended February 29, 1992. Dr. Meriwether moved approval of FCR 1. The motion, seconded by Mrs. Hayes, carried. (See FCR 1 at the end of the Minutes.) M. Appointment of External Auditor (FOR 2) Mr. Burnett recommended that the Board engage the firm of Coopers & Lybrand, Certified Public Accountants, to perform the annual independent audits of the University of Kentucky and Affiliated Corporations for the fiscal years ending June 30, 1992-95, for an initial fee, including expenses, of not more that $94,400. Mrs. Hayes moved approval. Her motion was seconded by Mr. Wilcoxson and passed. (See FCR 2 at the end of the Minutes.) N. Designation of Banks (FCR 3) With the concurrence of the Finance Committee, Mr. Burnett recommended and Mr. Shoop moved that the Board designate CommerceNational Bank, Lexington, Kentucky, as a depository bank and First National Bank of Ashland, Ashland, Ohio as a disbursement bank for the University of Kentucky and its affiliated corporations. The motion, seconded by Mrs. Sims, carried. (See FCR 3 at the end of the Minutes.) 0. 1991-92 Budget Revisions (FCR 4) On motion made by Mr. Rose, seconded by Mr. Hord and carried, the routine revisions in the 1991-92 budget were authorized and approved. (See FCR 4 at the end of the Minutes.) P. Patent Assignment (FCR 5) On motion made by Mr. Wilcoxson, seconded by Mr. Sturgill and passed, the Board authorized the President to execute an assignment on behalf of the Board of Trustees to the University of Kentucky Research Foundation of the following Letters of Patent of the United States and the invention represented thereby: John M. Stencel and Francis J. Derbyshire, Serial No. (to be assigned), filed February 28, 1992. (See FCR 5 at the end of the Minutes.) Q. Establishment of a Quasi-Endowment for the Mining Engineering Foundation Professorship (FQR 6) Mr. Burnett entertained a motion .by Mr. Rose that the Board approve the establishment of a quasi-endowment fund for the Mining Engineering Foundation Professorship in the College of Engineering, Department of Mining Engineering, at a sum of no less than $100,000 - 6 - which shall be funded from income generated through the University of Kentucky Mining Engineering Foundation and its Mining Engineering Foundation Development Fund. The motion, seconded by Mr. Sturgill, carried. (See FCR 6 at the end of the Minutes.) R. Robinson Forest Income Policy (FCR 7) On the recommendation of the Finance Committee, Mr. Burnett recommended that the policy statement, areas of emphasis, and expenditure plan contained in FCR 7 be adopted to guide the University administration in the use of funds received from the leasing of coal reserves and logging of timber in the outlying tracts of Robinson Forest. Dr. Meriwether moved approval of the recommendation. The motion, seconded by Mr. Sturgill, carried. (See FCR 7 at the end of the Minutes.) S. Report on Investment Manager Selection Mr. Wilcoxson, Chairman of the Investment Committee, reported that the Committee had engaged in a comprehensive review of objectives, policies and management of endowment investments during the past year. He said that the policy formulation phase of the investment planning review was completed last December with the assistance of a consultant, Cambridge Associates, and University staff. As a result of the review, the Investment Committee adopted policies intended to achieve the primary objective of preserving the purchasing power of endowment assets and related revenue stream over time (that is, to preserve the real, or inflation-adjusted value of assets so as to evenly allocate support between future and current beneficiaries of the endowment). Mr. Wilcoxson said that in order to support the primary objective of preserving endowment value over time, the Committee decided upon the following changes: - to consolidate endowment assets into a single investment pool with equities (common stocks) the dominant asset class, - establish a long-term asset allocation range of 60-70% equities and 30-40% fixed income securities (to be reviewed quarterly by the Investment Committee), - establish a spending policy of 5% of average market value (previous 36 months), and - employ multiple investment managers to gain specialization and diversification of investment philosophies. He said that these changes will focus on long-term growth of assets and maintenance of endowment value. He reported that the University requested proposals from a large list of prospective investment managers and 26 firms responded by submitting proposals. The proposals were screened using evaluation - 7 - criteria established by the Committee and nine firms were selected as finalists. The finalists were invited to make presentations to the Committee, which took place on March 24 and 25. The following firms were selected to serve the University as investment managers for a three-year period beginning July 1, 1992: National Asset Management -Fixed Income Manager Hilliard and Lyons -Equity Growth Manager National Asset Management -Equity Value Manager Mr. Wilcoxson concluded his remarks by saying that the hiring of investment managers will complete the Investment Planning review. The objectives and policies adopted by the Investment Committee are intended to protect the real value of the endowment and maintain the purchasing power of the annual income distributions. T. Wallace G. Wilkinson's Comments Governor Wilkinson presented a document outlining issues and recommendations that, in his opinion, need to be addressed by the Board. He welcomed any suggestions in terms of items for discussion and items related to issues that might be added to the document. He said that he hoped the Board would begin a comprehensive look at the need for reform in higher education. He reviewed the issues that he felt the Board needs to deal with: rising costs, high drop out rates, the need to better account for the use of both the human and financial resources and the lack of emphasis on the importance of teaching. He said that the Board has the responsibility for determining whether or nct the institution is prepared to meet the challenges of the future. The Board can ignore the issues, set them aside and hope that they will go away, or begin to find ways that the University can meet the immediate challenges. Governor Wilkinson said that, in his opinion, the Board would never see in the immediate future another time like the biennium of 1990 where higher education was afforded an additional $220 million and the community colleges were funded on somewhat a parity level with the four-year institutions in the state. He asked the members of the Board to read and comment on his document and deem whether or not the issues are worthy of consideration, debate, and further study. If the Board thinks the issues are worthy, he asked that they be put on the agenda for the May meeting for consideration, and further debate. Mr. Burnett thanked Governor Wilkinson for his comments. He said that he agreed wholeheartedly with the Governor in that the problems cannot be ignored. The Board must address the problems. He pointed out that it is important for the Board to understand that a lot of the things in Governor Wilkinson's document are already underway in the University. He then recognized President Wethington for his comments on Governor Wilkinson's recommendations. U. President Wethington's Comments President Wethington said that it is entirely appropriate that the matter be referred to the administration for review of the plans already in place and any plans for revising those plans. He noted that a good bit of the recommendations in Governor Wilkinson's document are addressed in the University's Strategic Plan which the Board approved in 1989 and again in 1991 - 8 - with revisions. He said that the administration is already pursuing the goals in the Plan, and the Board has looked to the administration to define and implement the plans. President Wethington said that he hoped Governor Wilkinson would continue to support these planning efforts to set the direction for the University. President Wethington reported that increased emphasis on teaching and the total undergraduate experience are high priorities in the Strategic Plan. The faculty have supported these efforts to provide increased emphasis and rewards for teaching and are supporting the efforts to become an even more student-centered institution. He emphasized, however, that by statute the University of Kentucky is the principal graduate and research university in the Commonwealth. The current Plan addresses the need to continue to enhance the graduate, professional and research programs. It also addresses the statewide service role of the University. Kentuckians expect the University of Kentucky to serve the entire state. He said that the Board had approved the University's plans to support the implementation of the Kentucky Education Reform Act and to support economic public service and rural health initiatives which respond to the needs of the Commonwealth and which are critical elements in the University's Plan. He noted that the administration has already begun to make progress toward its goals. President Wethington said that he could think of no valid reason for the Board to change the process or schedule for addressing the goals in the Strategic Plan. The schedule already calls for a major effort to review and revise, where necessary, that Plan during the 1992-93 academic year. He said that suggestions by Governor Wilkinson or any other Board member would be carefully considered as the Plan is reviewed during 1992-93. He said that he would be pleased to make a report in May to the Board on the progress in implementing the Strategic Plan and would comment on how Governor Wilkinson's issues fit into the Strategic Plan for the University. Mr. Burnett thanked President Wethington for his comments and said that the Board would look forward to his report in May. V. Meeting Adjourned There being no further business to come before the Board, the meeting adjourned at 1:52 p.m. Respectfully submitted, Edythe Jones Hayes Secretary Board of Trustees (PR's 2, 3A, 3B, 4A, 4B, 4C, 5A, 5B, and 5C; and FCR's 1, 2, 3, 4, 5, 6, and 7 which follow are official parts of the Minutes of the meeting.) /7787 Office of the President April 7, 1992 PRZ Members, Board of Trustees: PERSONNEL ACTIONS Recommendation: that approval be given to the attached appointments, actions and/or other staff changes which require Board action; and that the report relative to appointments and/or changes already approved by the administration be accepted. Background: The attached recommended appointments and/or other staff changes require approval by the Board of Trustees in accordance with Part VIII-B of the Governing Regulations of the University. These recommendations are transmitted to the Board by the appropriate chancellor through the President and have the President's concurrence. Under the Governing Regulations, the authority to make certain appointments and/or other staff changes is delegated to the President or other administrators who are required to report their actions to the Board. These items of report follow the recommendations requiring Board approval. Action taken: Approved Disapproved Other Date: April 7, 1992 0197 -1- CENTRAL ADMINISTRATION I. BOARD ACTION A. ACADEMIC APPOINTMENTS Graduate School Bruce, Eugene N., Professor (with tenure), Center for Biomedical Engineering, effective 8/16/91. St. Clair, Daret, Assistant Professor (without tenure), Graduate Center for Toxicology, 12/1/91 through 11/30/94. B. ADMINISTRATIVE APPOINTMENT University Computing Services Tannenbaum, Robert S., appointed Director of Academic Computing Services, effective 8/21/91. C. JOINT REAPPOINTMENT University Libraries Linneman, Mark A., reappointment to Librarian II (without tenure), Law Library, and Associate Professor, College of Law, effective 7/1/92 through 6/30/93. D. RETIREMENTS Employee Benefits and Risk Management Cottle, Mexie M., Disabled Staff, Employee Benefits and Risk Management, after 13.5 years of service, under AR II-1.6-1 Section III.B, effective 7/31/92. Cottrell, Robert, Disabled Staff, Employee Benefits and Risk Management, after 26.5 years of service, under AR II-1.6-1 Section III.B, effective 3/31/92. Farmer, William O., Disabled Staff, Employee Benefits and Risk Management, after 22.5 years of service, under AR II-1.6-1 Section III.B, effective 3/31/92. -2- Lovin, James A., Disabled Staff, Employee Benefits and Risk Management, after 25.0 years of service, under AR II-1.6-1 Section III.B, effective 6/30/92. Pavia, Rose A., Disabled Staff, Employee Benefits and Risk Management, after 19.75 years of service, under AR II-1.6-1 Section III.B, effective 5/31/92. Travis, Howard, Disabled Staff, Employee Benefits and Risk Management, after 28.5 years of service, under AR II-1.6-1 Section III.B, effective 3/31/92. Office of the President Royster, Wimberly C., Professor/Special Assistant to the President, after 36 consecutive years of service, under AR II-1.6-1 Section III.B, effective 6/30/92. II. ADMINISTRATIVE ACTION A. REAPPOINTMENTS Graduate Center for Biomedical Engineering Brown, David R., Assistant Research Professor, Center for Biomedical Engineering, 1/1/92 through 6/30/92. University Libraries Bowling, Lewis P., reappointment to Librarian III (without tenure), Music Library, effective 7/1/92 through 6/30/93. Brown, Judith M., reappointment to Librarian III (without tenure), Circulation Department, effective 7/1/92 through 6/30/93. Burch, Susan G., reappointment to Librarian III (without tenure), Law Library, effective 7/1/92 through 6/30/93. Hecker, Thomas E., reappointment to Librarian III (without tenure), Reference Department, effective 7/1/92 through 6/30/93. Hodge, Daniel H., reappointment to Librarian III (without tenure), Architecture Library, effective 7/1/92 through 6/30/93. -3- Hogg, Gordon E., reappointment to Librarian III (without tenure), Cataloging Department, effective 7/1/92 through 6/30/93. Jenkins, Vincel K., reappointment to Librarian III (without tenure), Cataloging Department, effective 7/1/92 through 6/30/93. Jones, Reinette F., reappointment to Librarian III (without tenure), Communications Reading Room, effective 7/1/92 through 6/30/93. Razeeq, Michael A., reappointment to Librarian III (without tenure), Engineering Library, effective 7/1/92 through 6/30/93. Savage, Stephen M., reapppointment to Librarian III (without tenure), Periodicals/Newspapers/Microtexts Department, effective 7/1/92 through 6/30/93. Vaughn, Sarah C., reappointment to Librarian III (without tenure), Extension, effective 7/1/92 through 6/30/93. Byars, Susan A., reappointment to Librarian IV (without tenure), Equine Center Library, effective 7/1/92 through 6/30/93. Ford, Harriet L., reappointment to Librarian IV (without tenure), Social Work Reading Room, effective 7/1/92 through 6/30/93. Hatfield, Deborah S., reapppointment to Librarian IV (without tenure), LexMark Technical Library, effective 7/1/92 through 6/30/93. House, Thomas M., reappointment to Librarian IV (without tenure), Special Collections Department, effective 7/1/92 through 6/30/93. Moseley, Julia C., reappointment to Librarian IV (without tenure), Mathematical Sciences Library, effective 7/1/92 through 6/30/93. B. PROMOTIONS WITHOUT TENURE TJniversity Libraries Buckland, Gillian M., from Librarian IV to Librarian III, King Library, Reference Department, 7/1/92 through 6/30/93. -4- Cantagallo, Carla A., from Librarian IV to Librarian III, King Library, Reference Department, 7/1/92 through 6/30/93. Johnson, Margaret D., from Librarian IV to Librarian III, Chemistry/Physics Library, 7/1/92 through 6/30/93. Molinaro, Mary H., from Librarian IV to Librarian III, Computing Labs, 7/1/92 through 6/30/93. Whayne, Laura L., from Librarian IV to Librarian III, Kentucky Transportation Center, 7/1/92 through 6/30/93. Wilson, Patricia S., from Librarian IV to Librarian III, Agriculture Library, 7/1/92 through 6/30/93. 7287 -5- REVISED COMMUNITY COLLEGE SYSTEM I. BOARD ACTION A. ADMINISTRATIVE APPOINTMENTS Hazard Community College Reed, Ronald S., Assistant Professor in the Community College System, Chairman, Division of Humanities, Social Sciences & Related Technologies, 7/1/92 through 6/30/95. B. RETIREMENTS Ashland Community College Conley, Opal S., Professor in the Community College System (with tenure), following 33 consecutive years of service, (under AR II-1.6-1 Section III.C.3), effective 5/31/92. Goodale, Jane M., Associate Professor in the Community College System (with tenure), following 5 consecutive years of service, (under AR II-1.6-1 Section III.C.3), effective 6/30/92. C. EARLY RETIREMENTS Jefferson Community College Moore, James T., CC Academic/Placement Officer, following 22 consecutive years of service, (under AR II-1.6-1 Section III.A.2), effective 6/30/92. D. POST-RETIREMENT APPOINTMENT Owensboro Community College Lacefield, Arch S., CC Evening and Weekend Coordinator,