BOARD OF TRUSTEES MINUTES
MEETING OF
August 11, 2009
THOSE PRESENT
Timothy B. Anderson
Tayler Clough
Randy L. Dryer
Lisa E. Eccles
Clark D. Ivory
Michele Mattsson (on phone)
Joyce P. Valdez
Jim M. Wall
ABSENT
A. Scott Anderson
H. Roger Boyer
UNIVERSITY REPRESENTATIVES PRESENT
James A. Anderson President, Academic Senate
James R. Bardsley Associate Vice President, Health Sciences – Finance and Planning
A. Lorris Betz Senior Vice President, Health Sciences
Paul T. Brinkman Associate Vice President, Budget and Planning
Jack Brittain Vice President, Technology Venture Development
Arnold B. Combe Vice President, Administrative Services
Fred C. Esplin Vice President, Advancement
Joan E. Gines Interim Vice President, Human Resources
Stephen H. Hess Chief Information Officer
Chris Hill Special Assistant to the President, Director of Athletics
Michael G. Perez Associate Vice President, Administrative Services – Facilities
David W. Pershing Senior Vice President, Academic Affairs
Rebecca M. Riley Executive Assistant, Board of Trustees
Matt Ross Investment Associate, Investment Office
Jonathan Shear Associate Vice President, Investment Management
Barbara Snyder Vice President, Student Affairs
Randy VanDyke Assistant Vice President, Auditing and Risk Services
Octavio Villalpando Associate Vice President, Equity and Diversity
Jeffrey J. West Associate Vice President, Financial and Business Services
Liz Winter Deputy General Counsel
Kim Wirthlin Vice President, Government Relations
Michael K. Young President
OTHERS
Michael McFall Reporter, Daily Utah Chronicle
Katie Miller Student Intern, Office of the President
CALL TO ORDER
The meeting of the University of Utah Board of Trustees was held on Tuesday,
August 11, 2009 in the University Guest House, Conference Room C. Chair Randy Dryer conducted the business of the meeting.
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Open Meeting
At 8:05 a.m. the Open Meeting of the Board of Trustees was convened. Chair Dryer welcomed board members, members of the President’s Cabinet and visitors to the first board meeting of the academic year. He also welcomed new board members A. Scott Anderson, Lisa E. Eccles and Joyce P. Valdez. Dryer announced that Trustee Timothy B. Anderson was reappointed for a second term.
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CHAIR’S REPORT
Item 101 - Board Officers
Vice President Fred Esplin introduced the proposed slate of board officers, the chair and vice chair of the Board of Trustees. He reminded the Board that this is for a two year term as stated in the Board bylaws. Esplin noted that nominations and expressions of interest in serving as an officer were requested from each Board member. As a result of that request, a proposed slate with the nomination of Randy Dryer for reappointment as chair and Michele Mattsson as vice chair was circulated to members of the Board. Roger Boyer was acknowledged and thanked for his service as the vice chair from 2007 to present.
On motion duly made and seconded, it was UNANIMOUSLY voted to approve the ballot as circulated, with Randy Dryer continuing his appointment as chair and Michele Mattsson serving as vice chair.
Item 102 - Board Administrative Matters
Chair Randy Dryer briefly explained the Conflict of Interest statements that the Trustees are required to complete annually. He stated that the list of assignments to campus boards and internal board committees will be sent to the Trustees once the Executive Committee is appointed. Dryer reviewed the importance of the Trustees’ service to the campus and stated that the monthly Trustee Committee Report gives members an opportunity to report to the board on campus issues.
Item 103 - Current Issues
Chair Dryer announced that President Young will be starting his sixth year at the University and added that it had been a remarkable 5 year tenure - with 2 Bowl Championship Series (BCS) wins, a Nobel Prize, three Truman Scholars and the instituting of the Utah Science Technology and Research (USTAR) program. He stated that a more in-depth report of accomplishments during President Young’s tenure will be presented to the Board at the October meeting.
Chair Dryer commented on the success of the University’s Guest House, the venue for this month’s meeting. Vice President Barb Snyder added that this is the 10th anniversary for the Guest House, which was originally built to accommodate media guests for the 2002 Winter Olympics. She stated that over 10,000 guests were served in the facility last year. Due to its overwhelming success, plans are being made to expand the facility by adding 51 guest rooms, new VIP suites, an additional 4,000 square feet of meeting space, an expanded entrance and a new patio.
Chair Dryer congratulated Trustee Tayler Clough on his recent marriage. He also mentioned a recent newspaper article citing the Top 25 most influential people in Utah sports, which included President Young along with 4 others from the University. Dryer drew attention to the fact that the University is receiving national and international recognition in the print media for its research activities.
Chair Dryer concluded his remarks with the announcement that the Board of Trustees/Cabinet Fall Social will be held in conjunction with the season opening football game on September 3rd. The event will include a tailgating reception and dinner prior to the game.
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PRESIDENT’S REPORT
Item 201 - Current Issues
President Michael Young welcomed the new Trustees and expressed appreciation for their willingness to serve in this capacity. He gave a brief update on the opening of the new hospital wing and noted that the state-of-the-art facility includes well designed private rooms and intensive care units. President Young noted the passing of Eunice Shriver, who in recent years, brought her Community of Caring program headquarters to the University’s College of Education. He announced that the groundbreaking for the Skaggs Research Building would be held immediately following this meeting and that the reopening of the J. Willard Marriott Library will be on October 26. President Young added that the student residence halls (including those recently purchased) are already filled for the upcoming year.
President Young commended Director of Athletics Chris Hill noting that season football ticket sales have reached a record 31,000. He added that there have been ongoing discussions over the summer regarding the Bowl Championship Series system and its future.
President Young reiterated Chair Dryer’s praise regarding the University’s world-class research. He noted that research grant funding is up 20% over last year and there has been a $50,000,000 increase in research funding. President Young stated that sponsored research, which is funded by corporations, has increased more than $10,000,000 over the last year. He drew attention to the “Comparative Rankings” handout and noted the national and international stature of the University as a high research activity institution. He explained that the Shiang Jiao Tong University’s Academic Rankings of World Universities is based on output, quality of the institution and impact on learning. President Young also commented on the capital campaign adding that Vice President Esplin and his group are doing a remarkable job. He noted that gifts totals have increased over the last year and we have acquired almost 10,000 new donors since the start of the campaign.
In his closing remarks, President Young indicated that although there has been an increase in the size of this year’s freshman class, the University is controlling enrollment growth to keep it modest.
A copy of the Comparative Rankings handout is included as Appendix I with the official minutes of this meeting and is on file in the office of the Secretary to the University.
Item 202 - Honors and awards to members of the University community, research and other items of interest
President Young briefly reviewed the honors and awards to members of the University community, research and other items of interest report.
A copy of the report is included as Appendix II with the official minutes of this meeting and is on file in the office of the Secretary to the University.
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ACADEMIC SENATE REPORT
Item 301 - Academic Senate Report
Academic Senate President James A. Anderson explained that the Executive Committee met online over the summer to discuss the departmental review process and the charge of the Senate’s Diversity Committee. He indicated that the Academic Senate’s regular meetings will resume on August 31.
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GENERAL CONSENT CALENDAR
Item 401 - Minutes - of the Board of Trustees Meeting held on June 9, 2009 and the Executive Committee Meeting held on June 25, 2009
Item 402 - Faculty and Staff Matters - Early Retirements, Emeritus Appointments, and Leaves of Absence (Appendix IV)
Item 403 - Research Report - for the months of May and June 2009 (Appendix V)
Item 404 - Report of Investments Portfolio - for the months of May and June 2009 (Appendix VI)
Item 405 - Quarterly report of the performance of the University’s Cash Management Pool, Endowment Pool and Hinckley Pool for the quarter ended June 30, 2009 (Appendix VII)
Item 406 - Investments Compliance Report (Appendix VIII)
Item 407 - Rosenblatt House Proposed Operating Budget FY 2009-10 (Appendix IX)
Item 408 - Administrative Reports for the University of Utah to the Utah State Building Board and Utah State Board of Regents (Appendix X)
Item 409 - Capital Facilities Project – Approval to provide temporary parking on the former golf course (Appendix XI)
Item 410 - Capital Facilities Project – Approval to remodel Level 5 in the John A. Moran Eye Center (Appendix XII)
Item 411 - Publications Council – Alumni Association Representative (Appendix XIII)
Item 412 - Gifts Report - for the months of May and June 2009 (Appendix XIV)
Item 413 - Naming Proposals- (Appendix XV)
- Facilities for the College of Nursing
- Facilities for University Hospital
- Facilities for the College of Architecture + Planning
Chair Dryer reviewed the General Consent Calendar. There were no questions or concerns expressed by the Trustees.
On motion duly made and seconded, it was UNANIMOUSLY voted to approve the General Consent Calendar.
Background materials are included in the Appendix as noted above.
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ACTION AGENDA
Item 501 - Naming of Facilities for the Huntsman Cancer Hospital
Vice President Fred Esplin reviewed the naming of various patient rooms (as listed below) in recognition of a number of generous donor gifts of at least $50,000.
Gordon and Marcia Olch, Frances W. Burton Foundation, David Tanzi in honor of Debra Tanzi, The Ashton Family foundation, Purna and Shridevi Saggurti, Roger and Sara Boyer, Thomas and Anna Gerrity, Stein Eriksen Owners and Employees (2 rooms), Ben and Melanie Barnes, Heather Urich, Marilyn Wanlass, Marilyn Hughes, Richard Nord, and an Anonymous Donor.
On motion duly made and seconded, it was UNANIMOUSLY voted to approve the naming of Facilities for the Huntsman Cancer Hospital.
Item 502 - Naming of Facilities for the Huntsman Cancer Hospital
Vice President Esplin explained that the namings of the Mark and Nancy Peterson Family Room in honor of Dr. John Ward and the Mark and Nancy Peterson Patient Room in honor of Dr. William Dunson were in recognition of donations from the Petersons. He also indicated that the naming of The Huntsman Cancer Hospital Tumor Board Conference Room in honor of Saundra Buys, MD was in recognition of a gift by Randall and Sharon Harmsen.
On motion duly made and seconded, it was UNANIMOUSLY voted to approve the naming of Facilities for the Huntsman Cancer Hospital.
Item 503 - Naming of Facilities for the College of Nursing
Vice President Esplin explained that the proposed naming of The Dr. Ezekiel R. and Edna Wattis Dumke Foundation Student Multi-Purpose Room and Computer Lab was in recognition of a $75,000 gift from the foundation. He noted that the foundation has been a generous donor to the College of Nursing as well as to many other areas of campus.
On motion duly made and seconded, it was UNANIMOUSLY voted to approve the naming of The Dr. Ezekiel R. and Edna Wattis Dumke Foundation Student Multi-Purpose Room and Computer Lab.
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INFORMATION AGENDA
Item 601 - Annual Endowment Pool Performance Review
Vice President Arnie Combe explained that an annual review of the investment portfolio and a discussion on asset allocation is required by the State Board of Regents. He added that the University is doing well in a negative economic environment and that we have not had to borrow money for cash flow purposes, as so many institutions of higher education have had to do. Jonathan Shear, Associate Vice President for Investment Management, reviewed the endowment pool noting that it is down 14.3% compared to the S&P 500 Index which has dropped 26.2%. He added that the investment pools of other institutions of higher education have dropped an average of 19-20% and that our statistics are net of all fees where other institutions do not always include fees. Shear explained that our investments are conservative in comparison to other institutions’ investing which has increased our cash position over the last few years.
In response to questions from the Board, Associate Vice President Shear explained that while Congress is not intervening at this time in setting limits on endowment payouts there is talk of taxing endowments. Trustee Timothy Anderson, who sits on the Investment Committee, commented that he feels very secure with the investment practices maintained by management. Shear stated that they are also beginning to work with Dixie State University’s endowment group to help them respond better to the current economic conditions. In response to a question, President Young explained that endowments provide ongoing funding to increase support for new faculty and sustain scholarships. He added that, going forward, we will increase efforts to add endowments that will emphasize building funds for campus facilities and structures. Trustee Clark Ivory stated that the scholarship endowment has had many first-time donors and that the Scholarship Committee hopes to increase the scholarship funds by $100,000,000, part of which will go towards the scholarship endowment.
A copy of the Endowment Pool Performance Review is included as Appendix XVI with the official minutes of this meeting and is on file in the office of the Secretary to the University.
Item 602 - Quarterly Report for Construction Projects ($50,000 to $250,000) for the period of April 1, 2009 to June 30, 2009
Associate Vice President Michael Perez reviewed the construction report. He explained that the most current information on construction, including road closures, can be found on the University’s construction website. Perez added that temporary parking lots are being made available to replace those absorbed by construction.
A copy of the Quarterly Report for Construction Projects ($50,000 to $250,000) for the period of April 1, 2009 to June 30, 2009 is included as Appendix XVII with the official minutes of this meeting and is on file in the office of the Secretary to the University.
Announcements
The next regularly scheduled meeting of the Board of Trustees will be held on Tuesday, September 8, 2009 at the new Fredrick Albert Sutton Geology and Geophysics Building.
Adjourned
The meeting was adjourned at 9:25 a.m.
Signed by: Laura Snow
Date approved: September 8, 2009