xt7cvd6p0813 https://exploreuk.uky.edu/dips/xt7cvd6p0813/data/mets.xml Lexington, Kentucky University of Kentucky 19650716 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, 1965-07-jul16-ec. text Minutes of the University of Kentucky Board of Trustees, 1965-07-jul16-ec. 1965 2011 true xt7cvd6p0813 section xt7cvd6p0813 

      Minutes of the Meeting of the Executive Committee of the Board of
Trustees of the University of Kentucky, Friday, July 16, 1965, Board Room,
Administration Building.

      The Executive Committee of the Board of Trustees of the University
of Kentucky met in the Board Room of the Administration Building on the
campus of the University at 1:30 p. m. , Eastern Standard Time, on Friday,
July 16, 1965, with the following members present: Judge James A.
Sutherland and Mr. Robert Hillenmeyer. Dr. Ralph Angelucci, Mr. Smith
Broadbent, and Dr. H. B. Murrav were unable to be present. Mr. Floyd
Wright, a member of the Board of Trustees, was present and was designated
to act as a member of the Executive Committee for this meeting. Also
present were President John Oswald, Vice Presidents Robert Kerley and
Glenwood L. Creech, and Assistant Vice President Raymond C. Bard.
Members of the press were in attendance.

      A. Meeting Opened

      In the absence of Dr. Ralph Angeluc ci, Chairman of the Executive Com-
mittee, Mr. Robert Hillenmeyer presided. After roll call, the secretary indi-
cated that with the presence of Mr. Wright, who was representing Dr.
Angelucci, a quorum was present and Mr. Hillenmeyer declared the meeting
officially open for the conduct of business at 1:45 p. m.

      B. Minutes Approved

      On motion by Judge Sutherland, seconded by Mr. Wright, and so ordered,
the reading of the Minutes of the Tune 17, 1965, meeting of the Executive Com-
mittee of the Board was dispensed with and the Minutes were approved as

      C. President's Report to the Trustees !PRI)

      Copies of PR I, President's Report to the Trustees, were unade availa-
ble to the Executive Committee and the press (copies are mailed following the
meeting to members of the faculty and key alurmni). President Oswald reminded
the members that this report by no means covers all the activities of the Uni-
versity but is intended to present a broad overview of the many and varied ac-
tivities which are carried on from month to month. He mentioned each item in
the report briefly and called particular attention to Item 26 and asked that this
be made a part of the Minutes. Item 26 follows:




        Governor Breathitt recently named a seven-member Advisory
    Board for the Henderson Community College. Its members and their
    respective terms of office are Mr. Hecht Lackey, Henderson, one year;
    Mr. Robert H. English and Mr. FredLAllen Tapp, both of Henderson,
    two years; Mr. Austln Bell and Mrs. James S. Priest, Jr. , both of
    Henderson, three years; Mr. Glenn Wilson, Corydon, and Mr. William
    L. Sullivan, Henderson, four years. Mr. Lackey has been designated
    chairman of the Board.

      The President's Report to the Trustees was accepted with thanks and
ordered filed.

      D. Recommendations of the President (PR 2)

      in presenting PR 2, Recommendations of the President, which are
routine but important items of business and which are sent to the Board in ad-
vance of the meeting, President Oswald called particular attention to the
following three items:

     1I1 The appointment of Dr. Hubert P. Henderson as Professor of
        Applied Music with tenure and Chairman of the Department of
        Music. Dr. Henderson is presently associate professor of music
        at the University of Maryland, holds the A. B. , M.A., and Ph. D.
        degrees from the University of North Carolina, and has taught at
        the University of North Carolina and Montana State University as
        well as at the University of Maryland. Dr. Henderson's back-
        ground and experience fit him admirably for the position as
        chairman of the Department of Music for this department not
        only has important teaching responsibilities but is involved with
        improving music education in the state and with music activities
        .In the community of Lexington.

    (2) The retirement of Dr. Leo M. Chamberlain, former Vice Presi-
        dent of the University, effective August 31, 1965 at the age of 69
        following more than 36 years of service to the Institution. Dr.
        Chamberlain has been one of the most loyal and dedicated
        members of the faculty and administration and Dr. Oswald recom-
        mended that he be designated not only as Professor Emeritus but
        as Vice President Emeritus at the time he assumes retirement
        status. He asked that this be included in the motion to approve
        PR 2.



     (3) Contributions to the Fund for the Advancement of Education and
         Research in the Medical Center of the University of Kentucky in
         the amount of $2. 413; 663. 13. These contributions have been re-
         ceived during the period from December 8, 1964 through June 30,
         1965. The FUND reports semi-annually to the Board, the last
         report having been made at the January 15; 1965 meeting of the
         Board of Trustees.

         Mr. Wright made the motion that PR 2: Recommendations of the Presi-
dent, be approved as a whole and made a part of the Minutes of the July 16, 1965
meeting of the Executive Committee; and further, that the recommendation of the
President that Dr. Leo M. Chamberlain be designated as Professor Emeritus
and Vice President Emeritus following his retirement August 31, 1965, also be
approved. The motion was seconded by Judge Sutherland and without objection
was so ordered. ISee PR 2 at the end of the Minutes.

        E. Supplementary Recommendations of the President (PR 3.)

        The Executive Committee was given a few minutes to examine the recom-
mendations contained in PR 3. Supplementary Recommendations of the President,
since these items had not been received in time to be included in PR 2 and mailed
out in advance of the meeting.

        President Oswald indicated that the only item which he wished to mention
wvas the number of new appointments. A total of 67 new persons, including those
listed in PR 2, were being recommended for appointment. Fifteen of these were
for ranks of associate professor or above or for salaries in excess of $15, 000 and
required Board approval; the remaining 52, which have already received presi-
dential approval, represent persons of the rank of assistant professor or below.
Nine persons were on a "visiting" basis and one person was named in the newly
established "adjunct series".

        On motion by Mr. Wright. seconded by Judge Sutherland, and so ordered,
PR 3, Supplementary Recommendations of the President, was approved as a whole
and ordered made a part of the Minutes of the July 16, 1965 meeting of the Execu-
tive Committee. (See PR 3 at the end of the Minutes.)

        F. Dr. Edward W. Weidner Named Director of Developmental Change

         At the January 17, 1964 meeting of the Executive Committee of the Board
of Trustees authorization was given to the establishment of a Developmental Change
Center at the earliest feasible date. President Oswald read the following excerpt
from the Minutes of that meeting in order to refresh the memories of the Executive



Committee members relative to the purposes of the Center:

       "Today, as never before, recognition is growing of the need for
       understanding the factors and processes of human behavior related
       to social change. It is clear that the knowledge and skills needed
       are not those of a single narrowly defined academic discipline."

       The Developmental Change Center was activated last fall with Dr. Art
Gallaher serving as Acting Director. During the year a committee of faculty
members has been screening candidates for the position of Director and at this
time recommends the appointment of Dr. Edward W. Weidner as Director of
the Developmental Change Center. Acting Dean Paul Nagel of the College of Arts
and Sciences concurs in this recommendation and further recommends that Dr.
Weidner be named as Professor (with tenured in the Department of Political

        Dr. Weidner. presently Vice Chancellor of the University of Hawaii
East-West Center and former Chairman of the Political Science Department at
Michigan State University, is a native of Minnesota and holds three degrees, in-
cluding the Ph.D. degree, from the University of Minnesota. He was on the
Michigan State University faculty for twelve years before accepting the Hawaii
assignment. He taught earlier at the University of Wisconsin, the University of
Minnesota, and the University of California at Los Angeles. Dr. Weidner is an
internationally recognized political scientist and educational administrator and
his experience in Asia: Europe, the Middle East, and Latin America, as well as
in this country will assure the University of the highest quality leadership in this
important area of research and training.

        Judge Sutherland made the motion that Dr. Edward W. Weidner be named
Director of the Developmental Change Center and Professor (with tenure) in the
Department of Political Science, effective November 1, 1965. His motion was
seconded by Mr. Wright and was approved without objection.

        G. Amendments to Retirement Resolution Appro-. ed

        Mr. Kerley indicated that the Resolution relative to retirement policies
adopted by the Board of Trustees on April 7. 1964 had previouslv been amended
on May 12, 1964, and again on June 12, 1964. It is now deemed desirable to pro-
pose additional amendment to the Resolution in order to eliminate certain inequali-
ties, particularly with reference to social security deductions.

        A complete copy of the Resolution, including the earlier amendments as
well as the proposed changes, was distributed and is reproduced below, Those
sections of the Resolution which aie underlined are proposed additions to the Reso-
lution while the sections contained within brackets are proposed deletions.




 I Retirement Age "a) All employees of the University of Kentucky employed on
    or after July 1, 1964, and those employed prior to that date who attain age 56
    after June 30, 1964, shall retire at the end of the University's fiscal year in
    which the employee attains age 65. (b) All employees employed prior to July
    1, 1964 and who were 56 or oider on that date shall retire at the end of the
    University's fiscal year in which the employee (i) attains age 70, or (ii) com-
    pletes 10 years of service after July 1, 1964, whichever occurs first. (c) All
    employees on change of assignment as of July 1, 1964 shall be retired on that
    date. (d) Anv otherwise eligible enmplovee of the University who has attained
    age 65 but who has not reached the age of retirement set forth herein may,
    Upon recommendation of the President and the approval of the Board of Trustees,
    be retired with benefits as hereinafter provided except that the provisions of
    parts Ebb and (c' of Section Xi shall not apply.

II Extension of Service By special vote of the Board of Trustees, post retirement
    appointments may be made for definite periods not to exceed one year each, but
    no such post retirement appointment shall be made to extend beyond the end of
    the University's fiscal year in which the employee attains age 70.

III Participation in Group , Retirement Plan A retirement plan is hereby established
    for Group I employees of the University of Kentucky providing contributions to the
    Teachers Insurance and Annuity Association and the College Retirement Equities
    Fund in support thereof. Employees eligible for particj'ation under this plan are
    regular full-time persons in the following categories: te President, Vice Presi-
    dents angdAssistant Vice Presidents, Deans; Professors, Associate Professors,
    Assistant Professors, Instructors, Lecturers, the Hospital Administrator, Di-
    rectors of research and professional units of the University, Associate and As-
    sistant Deans of academic units of the University, the Head Medicai Librarian, and
    others as hereafter designated by the Board of Trustees. This plan does not apply
    to employees in University positions covered by the United States Civil Service or
    other Federal retirement programs other than Social Security.

            Participation of eligible staff members employed prior to July 1, 1964
    shall be as follows:

                       :a) if the employee has not attained his fifty-sixth
                          birthday prior to July 1; 1964 -- mandatory at
                          the completion of I year of service and attain-
                          ment of age 30, and voluntary for those under
                          age 30 after completion of the one year of service.

                       (b) If the employee has attained his fifty-sixth
                          birthday prior to July 1, 1964 --- voluntary at the
                          completion of 1 year of service.



    Participation of eligible staff members employed on or after July 1, 1964 shall
    be mandatory at the completion of 1 year of service and attainment of age 30,
    and voluntary for those under age 30 after completion of the one year of service.
    The preliminary service period will be waived for an employee otherwise eligi.-
    ble who already owns a retirement annuity contract issued by Teachers In-
    surance and Annuity Association.

IV  Group I Contributions Contributions to the retirement plan for Group I employ-
    ees shall be made in accordance with the following schedule:

                                                  Contributions as Percent of
                                                     Basic Annual Salary

                                                  By the      By the
                                               Participant  Institution  Total

       On Amount of Salary Subject to
         Social Security (FICA", Tax                3%           7%       10%

       On Salary Above Amount Subject
         to Social Security (FICA) Tax              5%          10%       15%

    The University of Kentucky shall deduct the contributions of the participant from
    regular salary payments, add its own contributions, and apply the combined sum
    to the purchase of retirement benefits for the participant as follows:

                     (a) At the election of the participant, either 100
                         percent, 75 percent, 66 2/3 percent, or 50
                         percent of such combined sum will be for-
                         warded to Teachers Insurance and Annuity
                         Association as a premium for a TIAA retire-
                         ment annuity contract on the participant's life.

                     (b) The balance, if any, of such combined sum will
                         be forwarded to the College Retirement Equities
                         Fund as a premium for a CREF retirement an-
                         nuity certificate on the participant's life.

 V  Contracts Each TIAA retirement annuity contract and CREF certificate issued in
    accordance with Section IV of this Group I plan is for the sole purpose of pro-
    viding a retirement and/or death benefit and is the property of the individual par-

VI   Leave of Absence With Pay During leave of absence on part pay, the University
    will continue contributions provided for in Section IV El the same basis as
    during the previous yea_ at the same rate and amount as was in effect during



      the last monthly pay period of the individual prior to his leave of absence if
      the Group I participant Edoes likewiseZ elects to continue his own contri-
      butions in a like manner.

VII   Termination of Service  If a Group I participant terminates employment, he
       retains his right to all benefits which have been purchased by his own and the
       University of Kentucky's contributions. Contributions may be continued by
       another educational institution, or the participant may continue to contribute
       to his annuity on his own in any amount but not less than an annual premium of
       $50 to TIAA or $100 to TI.AA-CREF. if contributions are not continued; the
       full value of his accumulation remains to his credit, continues to participate
       in TLXA--CREF earnings, and will provide annuity income beginning at what-
       ever age he selects. TIAA-CREF annuities do not provide for a single sum
       cash settlement. A terminating participant, however, may request a return
       of his share of the net accumulated value and, with the consent of the Uni-
       versity, such request will be granted provided:

                            1K The participant has been an annuity Owner
                                for five years or less, and

                            (2} He is not transferring to another institution
                                which participates in the TIAA-CREF
                                system, and

                            (3) All other educational institutions that con-
                                tributed any part of the premium give their
                                cons ent.

       That portion of the net accumulated value which resulted from University con-
       tribution will be returned to the University.

VIi   Group 1 Disability Benefits TIn the event a Group I participant becomes disabled
       so as to be unable to perform his duties at the University of Kentucky, he may
       elect to have his annuity payments from TLAA-CREF begin. His annuity income
       will be that amount which can be provided by the full accumulated value of his
       annuity contractis) at his then attained age.

 IX   Group I Death Benefits In the event of death before annuity payments begin, all
       income would be paid by TIAA -CREF to the Group : participant's beneficiary
       based on the then current value of the annuity accumulation, including any portion
       purchased by the Universijty of Kentuckv, and in accordance with the income
       option elected by either the participant or, if he made no prior election; by his
       beneficiary, If the beneficiary is a corporation, association or the participant's
       estate, a single sum will be paid. With the University's consent, and under
       current TIAA practice, a single sulm inna be paid to the participant's spouse,

X   Group I Retirement Benefits Each Group I participant in TJAA will receive from



     T.AA a guaranteed; fixed monthly income for life .vhich shall be the actuarial
     equivalent of the full value of his annuity accumulation at the time of his re-
     tirement. Each participant in CREF will also receive from CREF each month
     for life a guaranteed number of CREF annuity units, the dollar value of which
     will change from year to year reflecting primarily changes in the market prices
     and dividends of the common stocks owned by CREF.

             Just before retirement, each participant will choose from several
     options available the manner in which he would like to have his retirement
     income from TIAA-CREF paid. All of these options provide a lifetime income
     and all but one provide income for the participant's beneficiary in the event of
     his early death. These options are set forth in the individual annuity contracts
     issued to participants.

XI   Group I Supplemental Retirement ncome  For all Group I staff members who
     were age 4u or older prior to July 1, 1964, and who were eligible to participate
     in the Group X plan on July 1, 1964, the University will provide a supplemental
     retirement income during the lifetime of the staff member, where necessary,
     to assure a minimum benefit under this plan equal to the salary received by him
     at the time he reaches the age of 65'* multiplied by the precentage stated in the
     next paragraph of this Section. T-he amount of this supplemental income will be
     reduced by the "primary insurance amount" of Social Security retirement income
     to which the employee is entitled from date of retirement to age 72. Thereafter
     this supplement will be in addition to all social Security income benefitjd

              In determining the supplemental Retirement Income as provided above,
     the following percentages of the salary at age 65*: shall be used:

                       a) 20% plus 1% for each year of service*`*to
                          the University


                      (b) For those employees who had attained age
                          56 prior to TulV 1, 1.964: 1% for each full
                          year by which retirement precedes the end
                          of the fiscal year in which the employee's
                          70th birthday i's attained.


                      itch For those employees who had attained age
                           51, but not age 56 prior to July 1, 1964, the
                           following percentages:



                          Age                          Percentage
                          51                             1
                          52                            2
                          53                            3
                          54                            4
                          55                            5

          In no event shall the applicable percentage of salary at age 65 exceed LO% plus
          1% for each fiscal year between the date of employment and the end of the fiscal
          year in which the employee attains age 70.

    XIi  Employees of the University other than the President and Vice Presidents who
          are not eligible to participate in the retirement plan for Group I L-0r employees
          and who are not employed in University positions covered by United States Civi
          Service or other Federal retirement programs other than Social Security shall
          be classified as Group H. Regular full-time employees in Group I; shall receive
          retirement benefits computed by applying to their salary at age 65* the same
          percentages provided for computing the Supplemental Retirement income for
          Group : employees. 7and reducing the resultant product by the primary Social
          Security retirement income which is payable to the employee from date of re-
          tirement to age 72. Upon the employee attaining age 72 the benefit will be in
          addition to all Social Security benefits7 The foregoing shall not apply to Office
          or Service Personnel with fewer than iTteen consecutive years of service to the
          University. it shall apply only to a person wiko is employed full-time at the date
          of retirement and who has accumulated more than 50% of his period of service as
          a full-time employee. Any credit allowed for years of part-time employment
          shall be fractional.

    XIII  Retirement Benefits for the President and Vice Presidents. Annual retirement
          benefits during l-feti-me following retirement shall be provided for the President
          and each Vice President in annual amo-unts equal to not less than.6 times the
          average annual salary of the officer for the three years (not necessarily con.-
          secutive' of his University employment in which he receives the highest annual
          compensation, The Chairman of the Executive Cornmittee is hereby directed to
          execute, on behalf of the Board, contracts with the individual officers providing
          for the age of retirement of the officers and the other details of the arrangement
          authorized by this resolution.

f[KL  XI.V Amendent These retirenment plans for Universitv employees replace the Change
          of Assignment provisions of Section 13 of the Governing Regulations of the
          University of Kentucky which Section -s hereby repealed. While it is expected
          that the plan for Group I will contnnue indefinitely, a new pension or retirement
          plan for Group i:r employees is now under consideration by the Board and; when
          adopted, will supersede the provisions made herein for that group. The Uni-
          vers.ty reserves the r-ght to change the contribution rates for Group T1 or at any
          time modify either of the plans in any way that is not in conflict with the partici-
          pant's accrued contractual rights.



[:VjXV Effective Date   The effective date of these retirement plans shall be July 1, 1964.

         Any person who, at the time he reaches the age of 65. is serving overseas on a
         University project, shall have substituted for his salary at 65 the salary re-
         ceived at the University for the year following the service overseas, or in case
         of no such service then for the year preceding the service overseas.

         ay In computing years of service, only years of continuous service shall be
         counted, except where a leave of absence, approved by the Board of Trustees or
         its Executive Committee is of record. When an approved leave is for employment
         other than by the University and when the absence is n excess of one year, the
         years of absence in excess of l shall not be counted On determining the supplement.
         except by spec.fir agreement at the time the lea-,-e -s taken.

         (bk As used in this resolution "period of service" means the number of years of
         full-time employment plus the credit allowed for part-timne employment plus
         periods in an approved leave of absence status. In all cases the period of service
         shall be computed to the nearest half vear.

         Background. This recommendation involves four changes in the retirement Reso-
         lution: l' it eliminates the provisions stipulating reduction in retirement benefits
         otherwise payable by the University for the amount of primary Social Security
         benefits to which the employee is entitled as a result of the adoption of the re-
         tirement program by the University: ;2 addition of a statement setting forth the
         conditions under which retirement may be granted before the age otherwise stated
         for retirement; (3Y editorial changes in the first; and next to last sentences of
         Section XHI, and (4' exclusion of the President and Vice Presidents from Groups I
         and -I and the addition of a new Section XI1I covering retirement benefits for these
         officers. The new Section XI:-- replaces the original Section X21i which is re-
         numbered XIV and the original Section XIV is renumbered XV.

         The first of these changes brings the amount of retirement benefits payable by the
         Uni.versity to the same level as was allowed as change-of-work pay under the
         program superseded by the retirement program adopted July 1, 1964, It is con-
         sidered inequitable to reduce the retirement payments the University would other-
         wise make to retired employees merely because the employee has been enabled by
         the retirement process to receive Social Securlty benefits for which he contributed
         taxes during his employment period. This change will permit the retired employee
         to receive payment of Un: ersitv ret rement benefits computed without regard to
         his Social Security benefits and to also receive whatever benefits he is entitled to
         under the Social Secur~ty program both before and after age 72.

         The normil age for retirement under the Resolution is 70, with a gradual reduction
         therein to age 65 by july 1, 1974. It is occasionally desirable to grant retirement
         at an age below that set for normal retirement. lt is felt that the retirement Reso-
         lution, to which employees refer to determine the terms under which they may



quality for retirement, should indicate the conditions under which retirement be-
fore normal retirement age mav occur. The statement added to Section I of the
Resolution is similar to that appearing in the change- of-work regulation super-
seded by the Resolution and specifies that persons otherwise eligible for re-
tirement may be retired any time after age 65 upon recommendation by the Presi-
dent and the approval of the Board of Trustees. The editorial change in the first
sentence of Section XII is designed to clarify, but not to change, the designation of
the employees classified as Group !I. The change in the next to last sentence of
this Section XI1 makes more specific the portion of the employee's service which
must be full-time to qualify him for retirement benefits. The new Section XII pro-
vides for retirement benefits for a specified group of office -s. Tt is desirable that
each of these changes be made retroactively as of July 1, 1964, the effective date
of the Resolution. This will avoid inequity between those receiving retirement
payments from the University during the period from July 1, 1964 to the present
and those receiving benefits hereafter. It will also recognize such retirements be--
fore the stated age for retirement as have been granted since July 1; 1.964 as being
in line with Board of Trustees policy set forth in the Resol-ution.

          Dr. Oswald pointed out that the major change was with respect to the
social security deduction as shown in Section XI and that the deletion of the
bracketed sentence would correct the situation which has arisen as a result of the
deduction as now authorzed. He further indicated that certain recommendations
relative to the groups to be included might be presented to the Board for action at
the August meeting,

          On motion by J.udge Sutherland, seconded by Mr. Wright, the proposed
changes in the Resolution were approved as presented.  t was so ordered by the

          H. Policies and Procedures Dealing with Contracts, Grants, and Gifts
from Extramural Sources in Support of Research, Training: and Belated Types
of Activities.

          D). Raymond C. Bard, Assistant Vice President--Research Development,
was asked to present the proposed policies and procedures dealing with con-tracts,
grants, and gifts from extramural sources in support of research, training, and
related types of activities 'See PR 6 attached). Dr. Bard indicated that there have
been no written policies or standardprocedures applicable to this area and,
inasmuch as granting agencies are asking insti.tutions to assume more responsibility
for the management of monies given, it is important that one central office assume
responsibility for the administration of all agreements 'the term 'agreement" is
used to designate a grant, contract. and gift" the solicitation and negotiation of
agreements, the preparation of proposals, and supervision to see that all con-
ditions of the agreement are being fulfilled. -f approved, the policies and pro-
cedures outlined would be the first step toward centralization, and they would be
come a part of the Faculty Handbook currently being written.



        President Oswald said the Board of Directors of the Fund for the Ad-
vancement of Education and Research in the University of Kentucky Medical
Center at a meeting on July 2, 1965 voted that henceforth the FUND will not ac-
cept grants or contracts in behalf of the Medical Center except in special or
unusual circumstances. Hereafter all new research and training grants and
contracts will be solicited through the University of Kentucky Research Foun-
dation. Efforts will be made to transfer existing grants and contracts in the
FUND to the University of Kentucky Res