xt79s46h1p7k https://exploreuk.uky.edu/dips/xt79s46h1p7k/data/mets.xml Lexington, Kentucky University of Kentucky 20030125 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, 2003-01-feb25. text Minutes of the University of Kentucky Board of Trustees, 2003-01-feb25. 2003 2011 true xt79s46h1p7k section xt79s46h1p7k 








MINUTES



                            Meeting of the Board of Trustees
                                 University of Kentucky
                                       10:00 A.M.
                                   February 25, 2003
                            18th Floor Patterson Office Tower

Minutes
          Amendment August 13, 2002

Accompanying items:

President's Report and Action Items

PR 1      President' s Report to the Trustees
PR 2      Personnel Actions
PR 3      Appointment of Chief of Staff to the President
PR 4      Appointment of Dean of the Carol Martin Gatton College of Business and Economics
PR 5      Changes in the Articles of Incorporation and By-Laws of the University of Kentucky Equine
Research Foundation, Inc.
PR 6     Appointment/Reappointment of Board of Directors University of Kentucky Gluck Equine
Research Foundation, Inc.
PR 7     Honorary Degree Recipients

Academic Affairs Committee Report

AACR 1 Candidates for Degrees - Community College System
AACR 2 Change in Name of an Educational Unit
AACR 3 Change in Name of an Educational Unit
AACR 4 Bachelor of Science in Human Nutrition
AACR 5 Establishment of a Center for Research on Violence Against Women

Finance Committee Report

FCR 1     Acceptance of Interim Financial Report for the University of Kentucky for Six Months Ended
December 31, 2002
FCR 2    Capital Construction Report
FCR 3    Report of Leases
FCR 4    Patent Assignment Report
FCR 5    Establishment of Pin Oak Scholarship Quasi-Endowment Fund
FCR 6    Gifts to Charles H. Nicholson, M.D. Residency Fellowship
FCR 7    Boehringer Ingelheim Pharmaceuticals, Inc. Pledge
FCR 8    Gifts to George A. Digenis Professorship/Chair in Drug Design and Discovery
FCR 9    Robert H. and Anna B. Culton Gift and Pledge
FCR 10   Joseph Wm. Foran Gift
FCR 11   Geoffrey C. Hughes Foundation Gift




 









FCR 12 Sibu P. Saha, M.D. Gift
FCR 13 Anthem Blue Cross and Blue Shield Gift
FCR 14 Michael W. Hart Gift and Pledge
FCR 15 Brian C. Wood Pledge
FCR 16 St. Joseph Healthcare Pledge
FCR 17 Woodall Construction, Inc. Pledge
FCR 18 Authorization to Sell Property in Sharonville, Ohio
FCR 19 A Resolution of the Board of Trustees of the University of Kentucky Authorizing the Issuance
of Approximately $5,120,000 of University of Kentucky Consolidated Educational Buildings Refunding
Revenue Bonds, Series K (Third Series), to be Dated the First Day of the Month in which the Bonds are
Sold




 







      Minutes of the Meeting of the Board of Trustees of the University of Kentucky,
Tuesday, February 25, 2003.

      The Board of Trustees of the University of Kentucky met at 10:00 a.m.
(Lexington time) on Tuesday, February 25, 2003 in the Board Room on the 18th Floor of
Patterson Office Tower.

      A.    Meeting Opened

      Mr. Steven Reed, Chairperson, called the meeting to order at 10:04 a.m., and Dr.
Elissa Plattner gave the invocation.

      B.    Oath of Office

      Paul Van Booven, General Counsel, administered the Oath of Office to the
following new member:

      Davy Jones, elected by the faculty to fulfill the term of Claire Pomeroy, for a term
      ending June 30, 2004.

      C.    Roll Call

      The following members of the Board of Trustees answered the call of the roll:
Mr. Paul W. Chellgren, Ms. Marianne Smith Edge, Dr. Davy Jones, Professor Michael
Kennedy, Ms. Pamela R. May, Dr. Elissa Plattner, Mr. Steven S. Reed (Chairperson), Mr.
C. Frank Shoop, Ms. Marian Moore Sims, Ms. Myra Leigh Tobin, Ms. JoEtta Y.
Wickliffe, Mr. Billy B. Wilcoxson, Mr. Russ Williams, Ms. Elaine A. Wilson, and Ms.
Barbara S. Young. Absent from the meeting were Dr. Robert P. Meriwether, Mr. Billy
Joe Miles, Ms. Alice Stevens Sparks, and Dr. W. Grady Stumbo. The University
administration was represented by President Lee T. Todd, Jr., Provost Michael Nietzel,
Acting Senior Vice President Jack C. Blanton, Senior Vice President and Chancellor of
the Medical Center James W. Holsinger, Jr., Vice President for Research Wendy
Baldwin, and General Counsel Paul C. Van Booven.

      Members of the various news media were also in attendance. A quorum being
present, the Chairperson declared the meeting officially open for the conduct of business
at 10:08 a.m.

      D.    Introduction of New Student Government Association President

      President Todd introduced the new Student Government Association President,
Mary Katherine Thompson. He explained that Ms. Thompson is not a member of the
Board of Trustees at this time and that a special election would be held for the student
Trustee. He thanked Ms. Thompson for making an adjustment in her schedule so that she
could attend the Board meeting. Ms. Thompson received a round of applause.




 




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      E.    Consent Agenda

      Mr. Reed asked if anyone wished to have any of the items under the consent
agenda removed. He entertained a motion for approval of the following consent items on
the agenda:
             Approval of Minutes - December 10, 2002
             Amendment August 13, 2002 Minutes
             PR 2 - Personnel Actions
             AACR 1 - Candidates for Degrees - Community College System

      Mr. Shoop moved approval. His motion, seconded by Ms. Smith Edge, carried
without dissent. (See PR 2 and AACR 1 at the end of the Minutes.)

      F.    President's Report to the Board of Trustees (PR 1)

      Before beginning with the items in PR 1, President Todd mentioned the recent
articles in the newspapers about tuition. He explained that the administration would not
know the University's tuition situation until they know what the University's budget
situation is. He reminded the Board of the previous 5.5% increase that had been
announced and approved by the Board. As the State Senate works through their situation,
it may be necessary for the Board of Trustees to have a special meeting to announce what
the University of Kentucky's real tuition increase will be pending the Senate budget.

      President Todd reported that the "Bucks for Brains" program made it into the
State House budget with full support of $120 million. It is also getting good support in
the State Senate. He noted that they are adding some flexible language about the
possibility of using some of that money for research facilities if the University chooses to
do so. The University would still have to match the money. That language has been
written but still has not been approved by the State Senate or the State House.

      President Todd reported that he had a tremendously exciting meeting with some
of the honor students of Kentucky in Northern Kentucky as well as some students from
other states. These are students that are showing an interest in coming to the University,
and they attend these meetings with their parents, which is extremely helpful. He said
that he had met with the Registrar, Don Witt, and Mr. Witt had informed him that there
were 402 attendees last year versus 664 this year. That is great news because these are
the kinds of students that the University wants to attract.

      One mantra that he has been stating in Frankfort lately with respect to the
challenge that House Bill 1 brought about is that they want the University to educate
80,000 more students by the year 2020. Now, they are not funding the University to do
that. The University has not had a funding increase for student population since 1998.
This only covers 37% of the cost of each student that comes to the University of
Kentucky and pays full tuition. State appropriations have to cover the other 63%. So, in
a way the University loses by volume. The staff is still proceeding vigorously with
recruitment because it is finding an outstanding class of students out there.




 




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      President Todd informed the Board of the upcoming Merit Weekends on campus.
He reported that there are currently 100 additional reservations over this time last year for
these weekend events. He invited the Board members to attend the Merit Weekends and
interact with the students and parents.

      President Todd then called attention to the following items in PR 1:

      1.           The University of Kentucky received official word of its
                    reaffirmation of accreditation by the Southern Association of
                    Colleges and Schools Commission on Colleges in December.
                    President Todd thanked John Piecoro and the teams that helped
                    with the process. He also thanked Alice Sparks in particular for
                    representing the Board.

       2.            The University of Kentucky ranks among top 15 for new National
                    Merit Scholars. The University moved up from the 21s position to
                    15th in the country among public universities. That again shows
                    the University's recruiting efforts.

       3.            Scientist Magazine ranks UK among the top 10 for postdoctoral
                     scholars. The University is getting some publicity on that, as well
                     as several others, and this is important to the University.

      4.            College of Health Sciences opens $33.5 million building.
                    President Todd recommended that the Board tour the beautiful
                    facility if they had not already done so. It is probably the top
                    health sciences facility in the country.

       5.           UK partners with LG&E Energy on $8 million coal-ash recycling
                    project. This item illustrates some of the impact and partnerships
                    of the University. UK will use $4 million in funds from the U.S.
                    Department of Energy to develop the facility and try to remove the
                    amount of by-products from the coal burning that goes into
                    landfills and converts those to cement projects. These are the kind
                    of things that UK needs to be doing to help the State of Kentucky.

       6.           A reception was held for Senate Majority Leader Dan Kelly who
                    received the National Reading Recovery Award. The
                    Collaborative Center for Literacy Development is on campus, and
                    that was a very significant recognition for his support of adult
                    literacy.

       7.           Markey Cancer Center study finds reduced risk from many ovarian
                    cysts. This study is Dr. John R. van Nagell's project that does a lot
                    of good for the State of Kentucky.




 




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       8.           UK Women's Choir performed at Carnegie Hall in New York.
                    President Todd noted that Trustee Tobin attended the performance
                    and asked her for comments. Ms. Tobin said the Choir was
                    excellent and very well received. She said the University has
                    every reason to be proud.

      9.           UK opened the new state-of-the-art Bernard M. Johnson Student
                    Recreation Center. President Todd noted that this facility is a
                    major improvement. He said that the students stepped up and
                    agreed to pass a fee some time ago, and the building is now
                    completed. He suggested that the Board members tour the new
                    facility and see the various activities taking place.

      President Todd encouraged the Board to peruse the other outstanding information
about the faculty and staff achievements in PR 1.

      President Todd referred back to page 3 of PR 2 on the consent agenda and said
that he would like to recognize some people in the audience. Professor Mark Summers
from the College of Arts and Sciences has been appointed to the Thomas D. Clark
Professorship in American History to be effective March 1, 2003. He asked Professor
Summers to stand and be recognized, following which he received a round of applause.
President Todd expressed congratulations to Professor Summers and recognized Mrs.
Summers who was also in the audience.

      President Todd recognized Dr. Thomas Clark for whom the professorship is
named and his wife, Loretta, and they received a round of applause. He asked Dr. Clark
to make some remarks about this recognition for Professor Summers.

      Dr. Clark said that he had a formal 75 years of connection with the University.
This professorship stabilizes a very solid program in history in a department that has
earned its pay every day that he has known it since 1928. He said that he is happy that
this endowed chair will go marching on, not only in the area of research and writing, but
most important of all, in the accomplishments, actions and its leadership in the classroom.
He said that he appreciates what the Board has done, and he also appreciates what the
donors have done to make this professorship possible. He said that this is one of his
happiest moments. Dr. Clark received another round of applause.

      President Todd thanked Dr. Clark for all the things he has done for the University
during the time he served the University and also since his retirement. He also thanked
him for the way he has served the State of Kentucky. He said Dr. Clark has kept
everyone's conscience focused on the things that they need to do in the state. He wished
Dr. Clark good luck in continuing to try to prod everyone's conscience to continue to
move education forward because he thinks the foot has slipped a bit this session in
Frankfort. President Todd said that he knows Dr. Clark's thoughts on that subject, and he
appreciates every time Dr. Clark speaks on the subject matter. Again, he thanked Dr. and




 




                                      - 5 -


Mrs. Clark and David Hamilton of the History Department and congratulated Professor
Summers.

      President Todd called attention to another item in PR 2 on the consent agenda.
Terry Allen, who has been the Assistant Vice President of Affirmative Action, has been
promoted to Associate Vice President for Employment Equity. He noted that Nancy Ray,
former Associate Vice President for Employment Equity, took early retirement.

      President Todd also called attention to Susan Krauss who has moved from
Assistant Controller in the Office of Controller and Treasurer to Director of Investment
and Endowment Services. He said that Ms. Krauss was at the Investment Committee
meeting on Monday and did a fine job.

      G.    Appointment of Chief of Staff to the President (PR 3)

      President Todd said that he was pleased to recommend that the Board of Trustees
approve the appointment of Dr. Phyllis P. Nash as Chief of Staff for the President
effective February 25, 2003. President Todd said that he certainly needed this position.
He called attention to the background section and indicated that her duties will probably
grow. He said that he is extremely pleased with the reaction to her selection. He
recommended that Dr. Nash be appointed Chief of Staff to the President. Mr. Reed
entertained a motion. Ms. Wilson so moved. Mr. Williams seconded the motion.

      Dr. Jones said that he has known Dr. Nash for the last decade that she has been at
the University, and he thinks the University will be extraordinarily well served and
blessed to have her in the position.

      Mr. Reed asked for any questions or discussion. The motion then carried without
dissent. Dr. Nash was asked to stand and be recognized, following which she received a
round of applause. (See PR 3 at the end of the Minutes.)

      H.    Appointment of Dean of the Carol Martin Gatton College of Business and
Economics (PR 4)

      President Todd recommended that the Board of Trustees approve the appointment
of Dr. Devanthan Sudharshan as Dean of the Carol Martin Gatton College of Business
and Economics effective July 1, 2003. He noted that Dr. Sudharshan's credentials were
in the background information. He said that Dr. Sudharshan had gone through the
selection process, and he was extremely pleased to make the recommendation. Ms.
Smith Edge moved approval of PR 4. The motion, seconded by Mr. Chellgren, carried
without dissent. (See PR 4 at the end of the Minutes.) President Todd asked Provost
Nietzel to introduce the new dean.

      Provost Nietzel thanked President Todd and said that he appreciated the
opportunity to address two matters for the Board. One is to briefly acknowledge publicly
the gratitude that he has and the institution has to Richard Furst for his service as Dean of




 




6 -



the Gatton College for the past 22 years. Dean Furst is the senior member of the dean
corps with respect to length of service. Under his leadership, the Gatton College made
terrific strides and has strengthened both its undergraduate and graduate programs and its
facilities. Dick has done a wonderful job in terms of the endowment of the school, and
his leadership will be missed on behalf of the Gatton College. He said that he wished
Dean Furst could be there, but he is traveling to Naples, Florida to meet some alumni.
Dean Furst's resignation will be effective June 30th. He will return to the faculty in the
Gatton College at that time.

       Provost Nietzel said the second matter is the opportunity to introduce to the Board
Dr. Devanthan Sudharshan who will be the new dean of the Gatton College on July 1St.
He said that he is particularly pleased that Dr. Sudharshan could be at the meeting. His
wife, Nalini, accompanied him to Lexington, but is not at the meeting. Provost Nietzel
briefly reviewed Dr. Sudharshan's credentials. He said that Dr. Sudharshan received his
undergraduate degree from the Indian Institute of Technology in 1974. He trained as an
engineer. He received his Ph.D. in business administration from the University of
Pittsburgh in 1982, after which he joined the faculty at the University of Illinois and has
been on the ranks of the faculty at the University of Illinois ever since that time. He was
most recently the Associate Dean for Planning in their College of Business and
Economics and has been active as the coordinator of the marketing area. He is the person
who really reinvigorated/redirected and greatly improved a range of business
administration programs at the University of Illinois.

       Provost Nietzel reported that there was a very vigorous national search. The
search committee interviewed a number of candidates and brought three candidates to
campus for lengthy interviews with the faculty and the staff of the Gatton College, as
well as administrators at the University. He said that he has seldom seen such a level of
consensus with respect to the invitation that was made to Dr. Sudharshan to be the new
Dean of the Gatton College. It was really gratifying to see how well he performed here
and how extraordinarily well everyone received him. He said he took great pleasure in
presenting Dr. Sudharshan. He asked Dr. Sudharshan to make a few comments to the
Board.

       Dr. Sudharshan said he was honored, humbled, and delighted to be at the meeting.
The Gatton College has had terrific leadership from Richard Furst, and it is going to be
hard to follow him. The Gatton College has built a strong foundation for scholarship,
teaching, and service based on its strengths of its administrative leadership, faculty, staff
and students. With the support of the excellent University leadership, he said he was
enthusiastically looking forward to pursuing the mission of the college through a renewed
commitment to discovery based learning and contributing to developing the future
captains of industry for the state of Kentucky, the United States and the world at large.
He said that he would do his best, with the support from the University leadership
including this august body, to carry out and fulfill the trust that is being placed in him. He
thanked the Board, and the Board gave him a round of applause.




 




7



      President Todd added that the Naples, Florida event that Dean Furst will be
attending that evening should have 300 alumni in attendance. He said that Dean Furst
and Terry Mobley were already down there as forward scouts to work the fertile ground.

      I.    Changes in the Articles of Incorporation and By-laws of the University of
Kentucky Equine Research Foundation, Inc. (PR 5)

      President Todd said that PR 5 is a change in the Articles of Incorporation and By-
laws of the University of Kentucky Equine Research Foundation. He recommended that
the Board approve the attached amendment to Article I of the Articles of Incorporation
and Article I of the By-laws of the Equine Research Foundation. He explained that it
basically inserts the name Gluck to make it clear. Most people refer to the Gluck Center,
but it is not officially in the name. Ms. Sims moved approval of PR 5. Mr. Chellgren
seconded the motion, and it carried without dissent. (See PR 5 at the end of the Minutes.)

      J.    Appointment/Reappointment of Board of Directors University of
Kentucky Gluck Equine Research Foundation. Inc. (PR 6)

      President Todd recommended that the Board approve the appointment of Debbie
Oxley, Bill Casner, and Stacey Bearse, and the reappointment of Ina Brown Bond, Lucy
Young Boutin, Reiley McDonald and Don Robinson to the Board of Directors of the
University of Kentucky Gluck Equine Research Foundation for four-year terms that will
end December 14, 2006 and that Margaret Brady Glass and James "Ted" Bassett be
appointed honorary members of that Board. Mr. Wilcoxson so moved. The motion,
seconded by Mr. Shoop, carried without dissent. (See PR 6 at the end of the Minutes.)

      K.    Honorary Degree Recipients (PR 7)

      President Todd said that it is always exciting to announce the honorary degree
recipients. He explained that there is a committee that meets throughout the year and
looks at various nominees. A condition of receiving an honorary degree is that the
recipient attends Commencement. This stipulation has been cleared with these nominees,
and they are able to attend the graduation ceremony. He recommended that approval be
granted to award the honorary degree of Doctor of Science to Mary Sue Coleman, who
was an active professor at the University of Kentucky for a number of years and is now
the president of the University of Michigan; the Doctor of Laws to William Farish III,
who is the ambassador to England; and the Doctor of Letters to Michael Lee Mullins,
who is the executive director of the Hindman Settlement School in Hindman, Kentucky.
Ms. Smith Edge moved approval of PR 7. Mr. Chellgren seconded the motion, and it
carried without dissent. (See PR 7 at the end of the Minutes.)

      L.    Change in Name of an Educational Unit (AACR 2)

      In the absence of Alice Sparks, Chairperson of the Academic Affairs Committee,
Ms. Young reported that there were five items on the Committee's agenda. She noted
that the first item (AACR 1) was on the consent agenda. The second item basically is a




 




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name change that will better reflect the mission of the educational unit. The Committee
recommended that the Board of Trustees approve the change in the name of the
Department of Family Practice to the Department of Family and Community Medicine in
the College of Medicine. She explained that this is just a clarification more than anything
else. The faculty, the President, the Provost, the Senate Committee and all the powers
that be have approved the recommendation. She moved approval of the name change.
Ms. Wilson seconded the motion, and it carried without dissent. (See AACR 2 at the end
of the Minutes.)

      M.    Change in Name of an Educational Unit (AACR 3)

      Ms. Young reported that the third item is another name change. The
recommendation is to change the name of the Department of Military Science to the
Department of Military Science and Leadership in the College of Arts and Sciences.
Again, this better reflects the Department's mission. It is almost a recruiting tool. There
is a lot of interest in the leadership aspect of the Department. The Academic Affairs
Committee approved this change in name as did the Arts and Sciences Faculty Council,
the Provost, the President and all the powers to be. She said that the Committee
recommends the change and moved approval of AACR 3. Ms. Smith Edge seconded the
motion, and it carried without dissent. (See AACR 3 at the end of the Minutes.)

      N.    Bachelor of Science in Human Nutrition (AACR 4)

      Ms. Young said that AACR 4 asks the Board to approve the change in the name
of the Bachelor of Science in Human Nutrition with a major in Food Science to a
Bachelor of Science in Human Nutrition with a major in Human Nutrition. Basically, it
is to request to separate the Bachelor of Science in Human Nutrition from the Bachelor of
Science in Food Science. She asked Ms. Smith Edge if she would like to explain it
better. Ms. Smith Edge said the College would only be offering a Bachelor of Science in
Human Nutrition with a major in Human Nutrition. Basically, it will reflect what is
actually in place. Ms. Young noted that the proposal has the approval of the
Undergraduate Council, the Senate Council, the University Senate, the Provost, the
President and the Academic Affairs Committee. She moved approval of AACR 4.
Professor Kennedy seconded the motion, and it carried without dissent. (See AACR 4 at
the end of the Minutes.)

      0.    Establishment of the Center for Research on Violence Against Women
(AACR 5)

      Ms. Young said that AACR 5 recommends that the Board approve the
establishment of the Center for Research on Violence Against Women. She noted that
the Board had talked about this Center in the past, and everyone is pretty familiar with it.
She said it was important to know that the operating funding is supported by the recurring
general funds beginning in the fiscal year of 2004. Carol Jordan is the Acting Director
for the Center. She said that Dr. Baldwin would have a presentation about the Center at
the next Board meeting so the Board may find out more about the Center. The Center is




 




9 -



supported by the Vice President for Research and has been recommended by the
University Senate. She said that the Academic Affairs Committee approved the
recommendation, and she moved that AACR 5 be approved. Ms. May seconded the
motion, and it carried without dissent. (See AACR 5 at the end of the Minutes.)

      P.    Acceptance of Interim Financial Report for the University of Kentucky for
Six Months Ended December 31, 2002 (FCR 1)

      Mr. Chellgren, Chairperson of the Finance Committee, reported that the
Committee met that morning; however, they were a little short on attendance. Therefore,
he asked the Board to formally adopt the 19 resolutions. The first item is FCR 1. This is
the normal quarterly update of the year-to-date financials. These go through December
31 St. He reported that the University had realized income of $717 million representing
53% of the 2002-03 estimate of $1,350,054,000. The expenditures total 49% of the
approved budget. There is nothing that needs to be brought to the full Board's attention.
He moved the adoption of FCR 1. Ms. Wilson seconded the motion, and it carried
without dissent. (See FCR 1 at the end of the Minutes.)

      Q.    Capital Construction Report (FCR 2)

      Mr. Chellgren said that FCR 2 is a normal report on quarterly capital construction
activity. He reported that it was a relatively quiet time in the University's capital
construction program. There were six change orders and three new projects. The
Committee went over these in detail with a report from the Administration, and there is
nothing that needs to be brought before the Board's attention. It is all pretty much in the
normal course of the execution and implementation of a $200 plus million annual capital
budget. He moved the acceptance of FCR 2. Ms. Wilson seconded the motion, and it
carried without dissent. (See FCR 2 at the end of the Minutes.)

      Mr. Chellgren mentioned that the administration gave the Finance Committee
some details on the magnitude of the damage that the University Physical Plant suffered
during the recent ice storm. Apparently, there could be some 500 trees out of some 2500
on the University campus that could be lost. There were various electrical circuits,
overtime, and contract labor expenditures. There could be a potential expense of
something in the range of $1.6 million, and there could be a claim to get some of that
back. The University was lucky compared to the magnitude of the damage to the region
affected by that ice storm.

      R.    Report of Leases (FCR 3)

      Mr. Chellgren said that FCR 3 is the normal report of leases. He explained that
this is not approving the leases but is just a report of leases. These leases were less than
$30,000 in annual expenditure. It was pointed out during the Finance Committee that
these leases range from Grayson, Kentucky to Henderson, Kentucky to Princeton
Kentucky, Lexington and Hyden. This shows the magnitude of the outreach of the
University and how its service mission is so effective and so important to so many of the




 




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counties in the state. He moved the acceptance of FCR 3. Ms. Sims seconded the
motion, and it carried without dissent. (See FCR 3 at the end of the Minutes.)

      S.    Patent Assignment Report (FCR 4)

      Mr. Chellgren said that FCR 4 is a quarterly patent assignment report. He noted
that the patent assignments this past quarter were relatively light. There were only three
patents as described in FCR 4. The Vice President for Research, Dr. Wendy Baldwin,
described these to the Committee. He moved the acceptance of FCR 4. Ms. Smith Edge
seconded the motion, and it carried without dissent. (See FCR 4 at the end of the
Minutes.)

      T.    Establishment of Pin Oak Scholarship Quasi-Endowment Fund (FCR 5)

      Mr. Chellgren said that FCR 5 is arguably a bit of a windfall. This was the house
and 35 acres of land formerly known as part of the Pin Oak Farm in the greater Lexington
area. The property was given to the University years ago. As part of the University's
effort to look at under utilized assets and turn them into cash, the decision was made
under the President's leadership to conduct an auction for the house and 35 acres of land.
The auction has taken place, and $2,108,650 has been raised. He noted that the
transaction has actually closed.

      Mr. Chellgren said that the fund will create a Quasi-Endowment within the
University and be used to generate approximately $100,000 a year in additional
scholarships for students. He said that this is a nice example of turning a non-liquid asset
into a cash asset that will, of course, benefit generations of students to come. He moved
that the Board accept the provisions of FCR 5 to establish the Pin Oak Scholarship Quasi-
Endowment Fund. Mr. Wilcoxson seconded the motion, and it carried without dissent.
(See FCR 5 at the end of the Minutes.)

      U.    Gifts and Pledges (FCR 6 through 17)

      Mr. Chellgren said that he would consider FCR 6 through 17, inclusively, and
then deal with one resolution to accept them in total. He said that these items are
consistent with the pattern the Board has seen in many meetings and reviewed the
following items:

      FCR 6 - accept gifts of $62,100 to create and endow the Charles H. Nicholson
Residency Fellowship in the Division of General Surgery. Dr. Nicholson was a longtime
professor and surgeon at the University of Kentucky for 34 years. This gift is eligible for
matching funds from the state's Research Challenge Trust Fund (RCTF) number three.
FCR 6 through 10 have the RCTF designation. These commitments had been made and
the funds had been earmarked previously under RCTF. These gifts and pledges will
exhaust RCTF number three.




 




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      FCR 7 - accept a pledge of $75,000 from Boehringer Ingelheim Pharmaceuticals,
Inc. in Connecticut to be added to their existing endowment and surgical professorship
for the College of Medicine's Depart