MINUTES OF A REGULAR MEETING OF THE BOARD OF VISITORS
OF VIRGINIA COMMONWEALTH UNIVERSITY
February 20, 1975
A regular meeting of the Board of Visitors of Virginia Commonwealth Uni-
versity was held on Thursday, February 20, 1975, at 9 a.m. in the Sanger Hall
Board Room.
Present were Drs. Blanton and Gwathmey; Messrs. Dabney, Grey, McGehee,
Morgan, Norris, Seaborn and Shumate; and Mesdames Satterfield and Thalhimer.
Absent were Messrs. Obenshain, Scott and Taylor and Mrs. Stone. Also present
were Drs. Brooke, Fleshood, Hall, Neal, Sparks, Willett, Wilson and Woods;
Messrs. Holmes, Imirie and Temple; and Mrs. Price.
Dr. Blanton called the meeting to order.
On page 1 of the Minutes of a Regular Meeting of the Board of Visitors,
held on January 16, 1975, a phrase was inserted into the sixth paragraph and
the sentence will now read: "During this report, the Virginia Hospital Laundry
situation was discussed and the Board agreed to let the administration handle
this situation as they deemed appropriate after consultation with the Board and
with the Board's approval." On motion made and seconded, the minutes, as
amended, of a Regular Meeting of the Board of Visitors, held December 19, 1974;
the Minutes of a Special Meeting of the Academic Policy Committee, held Janu-
ary 8, 1975; the Minutes of a Regular Meeting of the Board of Visitors, held
January 16, 1975; a Special Meeting of the Academic Policy Committee, held
February 10, 1975; and a Special Meeting of the Property Committee, held Feb-
ruary 13, 1975, were unanimously approved.
Page 2
The report of the University Interim Administrative Committee followed.
Following a discussion of the Richard Oliver situation, on motion made and
seconded, it was unanimously approved that a written statement be prepared
stating the Board's feeling on this matter.
At this time, Mr. Temple requested Dr. Willett to report on the latest
developments concerning the gift by Mr. and Mrs. E. Claiborne Robins. Dr.
Willett stated that he had had conversations with Mr. Robins and Mr. Velz;
as a result of these conversations he had two resolutions and one motion for
the Board's consideration. On motion made and seconded, it was unanimously
approved that the stock given by Mr. and Mrs. Robins or the proceeds from the
sale of such stock be kept in a special account and that dividends, interest or
other earnings accrue to the principal balance of this fund to be used to provide
additional funds for this designated purpose. Dr. Neal stated that, with re-
gard to private funds received on the MCV Campus, he and Mr. Eppa Hunton
had reached an agreement that the Foundation would handle those funds which
would be held for five years or longer. A copy of the minutes of the MCV Foun-
On motion made and seconded, the following resolutions were unanimously
approved:
RESOLVED, that the agreement of Virginia Commonwealth University
dation on that subject are attached.
as set forth in a letter addressed to E. Claiborne Robins dated Feb-
ruary 3, 1975, restricting the disposition by Virginia Commonwealth
University of 50,000 shares of the Common Stock of A. H. Robins
Company, Incorporated, distributed by Mr. Robins to Virginia
Commonwealth University and the disposition of other shares and
other securities received in respect of such shares, a copy of
which letter has been submitted to this meeting, is approved; and
that the actions of the Secretary in signing and delivering such
letter on behalf of Virginia Commonwealth University are approved
and confirmed.
Page 3
The second resolution states:
BE IT RESOLVED, that the Board of Visitors of Virginia Common-
wealth University expresses its deep appreciation for, and
accepts with pleasure, the gift of 50,000 shares of A. H.
Robins Company Stock from Mr. and Mrs. E. Claiborne Robins
as the first payment toward their three million dollar pledge
for the construction of a Health Sciences Building on the Medi-
cal College of Virginia Campus. It should be noted that the
commitment is contingent upon the appropriation of funds by
the state to ensure the construction of such a building. If
such funds are not forthcoming and the building is not con-
structed, Mr. Robins wishes to designate that any funds that
have been made available by him and Mrs. Robins should be
used for programs or projects associated with the School of
Pharmacy. In the event of such a development, Mr. Robins
has been assured that he will be consulted in the designation
of projects and/or programs for which the funds are to be used.
BE IT FURTHER RESOLVED, that a copy of this resolution be in-
cluded in the minutes of this meeting of the Virginia Commonwealth
University Board of Visitors and that a copy be sent to Mr. Robins.
The Nominating Committee (Mr. Dabney, Dr. Gwathmey and Mr. Shumate)
submitted the name of Mr. Robert J. Grey to fill the vacant position on the Exe-
cutive Committee created by the resignation of Mr. James E. Sheffield. On
motion made and seconded, Mr. Grey was elected unanimously.
Dr. Blanton announced that Mr. B. Walton Turnbull had accepted the
Chairmanship of the Cancer Center campaign.
Dr. Willett, Chairman of the Presidential Search Assistance Committee,
reported on the progress of his committee. He indicated that the number of
candidates had been screened down and that the committee was contacting per-
sons by phone to obtain additional information on candidates.
At this time, Mr. Lonchar joined the meeting for a presentation on the
new hospital. Dr. Neal gave the Board background information on the steps
Page 4
taken up to this time including the status of the "friendly suit." Mr. Imirie
and Mr. Lonchar gave the board a "tour" of the various levels of the hospital
using the schematics and slides.
Following a discussion, on motion made and seconded, the Degree
Proposals for a Doctor of Pharmacy, the Masters in Public Administration and
the Bachelor of Science in Information Systems were unanimously approved.
Following a short presentation by Dr. Brooke, on motion made and
seconded, the location for the placement of the Blake Plaque in the School
of Business was unanimously approved.
On motion made and seconded, the establishment of the Division of
Pediatric Cardiology was unanimously approved.
Following a discussion, on motion made and seconded the following
resolution was unanimously approved:
RESOLVED, that the administration be authorized to permit
continued planning for an HMO under the project grant with-
out obligation of VCU. It should be understood that VCU
makes no commitments beyond the planning grant at this
time of dollars, contracts, facilities, manpower, or space.
This prohibition would include commitments by or for the
institution by any agent, administrative officer, or members
of the faculty and/or staff.
BE IT FURTHER RESOLVED, that it is requested that appro-
priate legal counsel be solicited regarding implied or direct
obligations of the institution to date in view of the grants
already received by the institution relating to an HMO.
Legal advice is requested regarding the implied or direct
implication of the institution if the Board of Visitors of VCU
nominates candidates for the Board of Directors of the Capi-
tal Health Group Association.
BE IT FURTHER RESOLVED, that it is further recommended that
we seek the advice of the Attorney General's Office to deter-
mine whether or not estoppel affidavits would protect the
Page 5
Board and institution from further involvement (beyond the
planning stage) if the plan should be determined feasible
but the Board decides not to give University sanction.
The Financial Statements were presented and accepted by the Board.
On motion made and seconded, it was unanimously approved that the
administration study and revise the MCVH mission statement and that Dr.
Blanton appoint a committee of three to review and approve the mission
statement before it is brought back to the Board in 30 days.
Mr. Shumate commended the members of the University Interim Admin-
istrative Committee for the job that they have done and for the way that they
have worked together as a team.
Mr. Temple read to the Board the statement that had been prepared for
release on the Richard Oliver situation.
Mr. Temple reported to the Board that the School of Medicine's Annual
Report for 1974 won first prize in the competition held by the Printing Industry
of the Virginias.
On motion made and seconded, the faculty appointments and changes in
status were unanimously approved.
The meeting then went into executive session.
Secretary
Approved:
Wyndham B. Blanton, Jr., Rector'
STATEMENT REGARDING MR. RICHARD OLIVER
PREPARED BY THE VCU BOARD OF VISITORS
February 20, 1975
The VCU Board of Visitors today received a report concerning Mr. Richard
Oliver. The report was submitted for purposes of information only, and no
action was proposed or taken by the Board.
Since early January, Mr. Oliver has been assigned to work with VCU on
a manpower training grant from the state department of corrections. In this
capacity, Mr. Oliver is located on the University Campus. However, Mr.
Oliver does not hold appointment to the University faculty, and he is not on
the University payroll.
Presently Mr. Oliver is participating with the faculty in developing a
corrections training program.
COPIED
MINUTES
BOARD OF TRUSTEES
MEDICAL COLLEGE OF VIRGINIA FOUNDATION
November 8, 1974
The meeting was called to order at 12:00 noon in the Board Room of Sanger Hall
by Mr. Eppa Hunton, IV, President.
Present: Mr. J. H. Baskerville, Mr. Eppa Hunton, IV, Dr. Herbert C. Lee,
Dr. Edward Myers, Miss Anne Dobie Peebles, Mr. R. Reginald
Rooke, Dr. Elam C. Toone, Jr., Dr. C. Newton Van Horn, and
Mr. Ralph M. Ware, Jr.
Absent: Dr. Wyndham B. Blanton, Jr., Dr. Charles M. Caravati, Mr. S.
Douglas Fleet, Dr. Harry Lyons, Dr. M. Pinson Neal, Jr., Dr.
Kinloch Nelson, Dr. W. T. Sanger, Mr. W. Roy Smith, and Dr.
H. St. George Tucker, Jr.
The minutes of the meeting of October 11th were approved as mailed.
Report of the Executive Committee: In the absence of Doctor Caravati, the
Chairman, Mr. Baskerville reported as follows:
Funds on deposit: Central National Bank Savings $154,280.87
Central National Bank Checking 17,602.85
The balances of cash on hand are kept constantly in mind by the
office staff with the view of using any surplus funds to the best
advantage. Presently, because of probable large expenditures
prior to the end of the year and since funds in savings account
are earning 5% on daily balances, it was thought advisable to
retain present balances for the time being.
Doctor Caravati met with our investment managers on Wednesday,
November 6th, when the entire portfolio was briefly reviewed. It
was agreed that no change was believed desirable in the present
holdings. The investment managers also reported that due to sub-
stantial change in interest rates, it was not possible to purchase
Double A Discount Corporate Bonds to yield 8% with proceeds from
the F. & M. Certificate of Deposit maturing on November 4th and,
as agreed, $200,000 Federal Home Loan Bonds, due February 25,
1977, yielding 8%, have been purchased.
Receipts of $3,102.48 since the last meeting were reported.
Page 2--Minutes of the Board of Trustees, November 8, 1974.
The advertisement of the Medical College of Virginia Hospitals in
"The Scarab", for which the Foundation has paid, has increased
from $75.00 per issue for a half-page advertisement to $100.00
per issue. The continuation of the quarterly ad during the year
1975 at $100.00 per issue was approved.
We have been requested to agree to a sublease of the property on
North Boulevard received from the John B. Foote Estate. The fi-
nancial responsibility of the sub-tenants appeared to be satisfac-
tory. Understanding that the original lessess would remain liable
and responsible under the terms of the lease along with the new
lessees, the Committee consented to the subleasing of this property.
We have been informed by the patent attorneys that the patent appli-
cation of Dr. James F. Stubbins and Dr. Ehrenpreis of Georgetown
University had been rejected by the Patent Office and, therefore,
the application has been abandoned.
Mr. Hunton asked that the Hunton Memorial Fund, the Eppa Hunton,
Jr. Fund, and the H. M. Hunton Fund be combined into one unre-
stricted endowment fund to be known as The Hunton Family Fund.
This was readily agreed to and approved.
The report and actions of the Executive Committee were approved.
Mr. Hunton read a letter from Dr. Warren W. Brandt advising that he plans to
vacate the house at 1201 Loch Lomond Court, in which we have a one-half in-
terest, on December 1st. A motion that the Executive Committee be authorized
to act, in conjunction with the RPI Foundation, on the disposition or retention
of the property was approved.
A motion that the Foundation should not participate in providing a house, rent
free, for the president or any other officer of the University was approved.
Mr. Hunton advised Mr. T. Edward Temple about the right of refusal of the pro-
perty occupied by St. Luke's Hospital, but has received no reply to his letter.
Mr. Hunton will follow this matter.
Mr. Hunton also reported that he and Mr. Baskerville had met with Doctor Neal
and had discussed further Doctor Neal's suggestion that a part of our "pooled"
investments be segregated and invested for highest income obtainable without
undue risk and, while the Foundation was not amenable to that suggestion, an
alternate suggestion for use of small and short-term funds through the Office
of the Vice-President for Finance of Virginia Commonwealth University to
accomplish Doctor Neal's objective was agreed to.
There being no further business, the meeting adjourned at 1:00 p.m.
s/s Ralph M. Ware, Jr.
REPORT OF THE UNIVERSITY INTERIM ADMINISTRATIVE COMMITTEE
February 20, 1975
Mr. Temple's Remarks
Mr. Temple called on Dr. Fleshood and asked that he report on commencement
activities. Dr. Fleshood indicated that this commencement would be along
the same line as those since 1968. Mr. Tom Brokaw, NBC-TV White House
Correspondent, will be our commencement speaker. Dr. Fleshood continued
that Board members and their spouses would be contacted soon to see whether
or not they plan to attend.
Mr. Temple gave a short recap of the General Assembly session. He
brought to the Board's attention three bills which were of particular interest;
House Bill 1179, establishing the Center on Aging at MCV/VCU; Senate Bill
720 dealing with the consortium; and Senate Joint Resolution 726 dealing
with the study of tenure. Mr. Temple thanked Mr. Ware and Dr. Willet for the
great work they did during the past session.
Mr. Temple reported to the Board that the Interim Committee, the Rector
and the Vice-Rector had met with officials from the City of Richmond (the mayor
and the city manager). It was a very profitable meeting. The City Manager has
since written to Mr. Temple giving him those persons who will be serving on the
committee to work with VCU. This list included two assistant city managers,
the director of public safety and the director of planning and community development.
The city manager will also attend the first several meetings and then will attend
on an as-needed basis.
Mr. Temple stated that the Career's Conference scheduled for February 27 and 28
had already registered 100 counselors and that we were very pleased with this
good reception to our program.
Dr. Brooke's Remarks
Dr. Brooke reported that there was no change from his January report of progress
in the construction of the Science Education Building and the three additional floors
of the Cabell Library; we expect to take possession of the library during the late
spring; completion of the Science Education Building by the opening of the Fall
semester is not assured but is not removed from the realm of possibility.
Led by Dr. Wayne Hall, he, Mr. Temple and Dr. Brooke informally reported
to the Board concerning newspaper accounts of Mr. Richard Oliver's relationship
with the University. In short, Mr. Oliver is not now a member of the university
faculty, is not on the university payroll, and at this point no appointment has been
tendered to him.
Page 2
Noting that some newspaper accounts pointed toward a link between Mr. Oliver
and both the University's receipt of a grant via the Department of Corrections
and the University's interest in development of a Masters in Corrections,
both Dr. Hall and Dr. Brooke informed the Board that the grant and serious work
on a Masters program predated, by many months, Mr. Oliver's removal from
his position in the State Department of Corrections.
Dr. Neal's Remarks
Dr. Neal reported that since a decision was not rendered in the "Friendly
Suit" in the January session, we might anticipate hearing in February.
Subsequent contacts with the attorney general's office now indicates that the
court is not going to hand down any decisions until March 17. Dr. Neal stated
that we are continuing our planning process. However, our margin of credit
and/or credibility with the architects is getting very thin without these additional
monies being available.
Dr. Neal reported that at this time, the situation with the Virginia Hospital
Laundry has not materially changed since the last meeting and is still in a
stalemate. Mr. Temple and I have discussed this matter continually with
Mr. Carter Lowance of the Governor's Office w ho now better understands
all of the ramifications and implications.
As promised, the Board Members of the Virginia Hospital Laundry met with
Mr. Carreras, associates and attorney. By mutual consent, the meeting was
taped. Copies of the tape were shared with Mr. Carreras. In fact, Mr.
Carreras has shared another copy of the tape with Mr. Maruice Rowe.
Basically, Mr. Carreras and associates did not want to buy out the VHL; but,
if contracts were derived for the laundry services, they would add a small percent
to make up for the monies already spent on behalf of the construction cost.
Mr. Rowe acknowledged listening to the tape and now better understands the
situation.
representatives coming in this week to complete the construction and begin
operation. One of the national laundry chains is also reviewing the situation
from the standpoint of helping develop the physical plant with an option to offer
managerial services under contract for the facility.
The contractors are still working on a slowed down basis and are keeping close
tabs on the financial developments. One mechanic's lien has already been placed
A major national insurance company (a possible source of money) has
against the prime contract.
Dr. Neal reported that the search is underway to find a new Dean for the
School of Medicine. There are currently 25 vacant medical deanships in the
U.S. at present time. The search committee is receiving both internal and
external nominations.
Page 3
Dr. Neal stated that a meeting is planned for the administration and the
rector or his designee to meet with the Virginia Board of Dental Examiners.
It is hoped that this will enhance communications and understanding.
Dr. Neal referred to the "Naval Academy and West Point" bill recently
defeated by the General Assembly. This bill would have allowed each
member of the General Assembly to appoint two students to the medical
schools at MCV/VCU and UVA. He indicated that the Virginia Council
on Health and Medical Care distributes periodically a list of the "homes"
of medical students, interns, and residents enrolled in Virginia institutions
