MINUTES OF A REGULAR MEETING OF THE BOARD OF VISITORS
OF VIRGINIA COMMONWEALTH UNIVERSITY
March 20, 1980
A regular meeting of the Board of Visitors of Virginia Commonwealth University
was held on Thursday, March 20, 1980, at 9:00 a.m. in the Lyons Building Student
Lounge.
Present were Drs. Blanton, Butt, Gayle, Johnson and Nemuth; Messrs. Balfour
and Seaborn; and Mrs. Bemiss. Absent were Messrs. Grey, Ludeman, Shumate and
Wyatt; and Mesdames Fewell, Satterfield and Thalhimer. Also present were Drs.
Ackell, Beller, Hall, Salley, Sparks, Wilson and Woods; Messrs. Bruegman, Guerdon
and Ross; Miss Cosby and Mrs. Price.
Dr. Blanton called the meeting to order and announced that, until Dr. Nemuth
arrived, the Board would be operating without a quorum. Therefore, the Board
would hear informational items.
Dr. Ackell presented the Report of the President. The following items were
included:
1. The Wednesday evening meeting of the Board of Visitors had to
be canceled since a number of Board members could not be present.
As you will hear later from the committee evaluating the Board's
performance, a suggestion has been made that we return to the
evening information session.
2. After a full 60-day session, the General Assembly passed the
budget bill and adjourned. Mr. Bruegman will be presenting a
report on VCU's budget later in the day. Senator Willey was
very helpful to us, but we have a number of challenges awaiting
us with the budget.
3. Three major searches are under way -- for the Vice President
for Health Sciences, the Vice President for University Advance-
ment, and the Dean of Arts and Sciences. We will keep you in-
formed of the progress as the searches continue.
4. The Metro Richmond Chamber of Commerce and VCU are cooperating
in a study to determine the engineering needs in the Richmond
area. In a metropolitan area of this size and composition,
the requests for degree programs in engineering are many.
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We are trying to ascertain the level of need and the type of
program needed. We do not intend to initiate a school of
engineering, but to determine the actual need.
5. The SREB (Southern Regional Education Board) has recently
sent a team to VCU for a couple of days. They are studying
the urban university. We look forward to their report.
6. All of you heard about our men's basketball team winning the
Sun Belt Conference and thus a place in the NCAA first round
playoffs. The team did a tremendous job, and both the team
and the coach deserve hearty congratulations.
VCU has placed three swimmers and one diver on the national
level. The three swimmers participated in the AIAW Division
II National Swimming Championship. The male diver competed
in the Division I National Diving Championship.
Our women's basketball team had its best season -- 19-11.
The coach, Mike Mays, was named Coach of the Year.
7. About a year ago, the President appointed several task forces.
Two of them have just submitted their reports -- on governance
and on promotion and tenure. The Board will be hearing more
about these in the near future.
8. The James Branch Cabell Library houses the University Archives.
The purpose of the Archives is to preserve those records of
VCU that document its history. Some of the most important
records are those of our Board members. You will soon receive
a letter from the Cabell Library asking you to consider trans-
ferring your VCU files to the Archives at the end of your term.
Potentially sensitive materials can, of course, be so noted
and access restricted. I hope you will give the letter careful
consideration.
9. The President has concluded his meetings with the individual
school's faculties. The major purpose was for an exchange
of information. VCU Today is also carrying all of the major
issues in it and its readership is increasing.
10. The portrait of Dr. Harold Nemuth, commissioned by his many
friends, was recently hung in Sanger Hall. The portrait will
remain in this temporary location until the new hospital is
completed. Mr. Carter Lowance in his remarks paid tribute to
Dr. Nemuth, and the occasion was a moving one.
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11. Each of you should recently have received an invitation to the
service awards banquet to be held on Friday, April 18. Over
109 employees will receive pins for 20 or more years of service
that evening. During that week, over 900 employees will be
recognized for five or more years of service. Two Board mem-
bers will receive five-year pins this year.
12. Please mark Sunday, May 18, at 10:00 a.m. for VCU's Commence-
ment. Richard Atkinson, the Director of the National Science
Foundation, will be our guest speaker as over 3,000 students
are graduated.
13. Last month, I invited all of you to attend the AGB Conference
in D.C. on April 13-15. Mrs. Fewell is planning to attend, and
I hope to go up for one day of the meetings. We look forward to
hearing Mrs. Fewell's report at the May meeting.
14. Mrs. Fewell was hospitalized last night after she fainted in a
local restaurant. Apparently, Mrs. Fewell had fallen several
weeks ago and hit her head. She will remain under observation.
Following the President's Report, Dr. Gayle stated that he would like to
compliment VCU Today for the outstanding job it has done in communicating major
issues to VCU's faculty and staff. Dr. Gayle also recommended that something
be done about the PA system in the Coliseum for Commencement. Dr. Ackell re-
ported that VCU's administration has worked with the staff of the Coliseum about
the PA system, but it is impossible to improve on the present system due to the
size of the Coliseum.
Dr. Blanton reported on behalf of the Executive Committee which had met on
February 13, 1980. The purpose of that meeting was for the administration to
advise the Committee on the status of VCU's budget as reported out by the House
of Delegates.
Dr. Johnson reported for the Academic Policy Committee. He indicated that
the members of the Committee had been polled by phone on three informational items.
Those items are:
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1. Request to Consolidate Existing Separate B.S. in
Education Degrees into One Generic B.S. Degree in
Secondary Education.
2. Dual Degree and Cooperative Programs Between the
University of Richmond and the Department of Urban
Studies and Planning.
3. Request of approval of Statements of Readiness:
M.Acc. in Accounting
•
M.Tax. in Taxation
B.F.A. in Dance/Choreography
B.A. in Spanish
M.S. in Recreation
•
B.S. in Public Safety
•
M.I.S. in Interdisciplinary Studies
• (jointly with the Virginia State University)
Dr. Wayne Hall stated that the Statements of Readiness are required by the State
Council and are to be submitted by March 1, 1980. Dr. Hall indicated that these
Statements are submitted to the Council with the understanding that the initiation
of any of the new programs will not occur unless the necessary resources are avail-
able. With the exception of the Dance/Choreography programs, the necessary re-
sources are already planned and in place for the other programs. On motion made
and seconded, the Report of the Academic Policy Committee was accepted.
On motion made and seconded, the following Minutes were approved: a Special
Meeting of the Property Committee, held November 2, 1979; a Special Meeting of the
Property Committee, held January 9, 1980; a Regular Meeting of the Board of Visitors,
held January 17, 1980; a Special Meeting of the Executive Committee, held February
13, 1980; a Special Meeting of the Student Affairs Committee, held February 14,
1980; and a Special Meeting of the Property Committee, held March 4, 1980.
Mr. Guerdon presented a policy dealing with the types and amounts of contracts
to be approved by the Board. Dr. Blanton requested that action on this item be
delayed until the policy can be reviewed by both the Audit and Executive Committees.
On motion made and seconded, the contracts signed since the January meeting were
approved.
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During the report on Contracts Signed since the last meeting and at several
other times during the meeting, members of the Save Our Homes Organization requested
a place on the Board agenda and were informed by the Rector that the Save Our Homes
Organization should work through the appropriate administrative channels since
Board meetings are not set up for public participation.
Mr. Bruegman presented a summary of the 1980-82 budget. He indicated that
the University's final General Fund Appropriation for Educational and General pro-
grams was $118.6 million compared to $119.5 million recommended by the Governor and
$123.4 million recommended by the State Council of Higher Education. The House re-
ported out a budget for VCU of $116.9 million but the Senate restored funds to VCU
which resulted in a budget of $118.6 million. Mr. Bruegman reported that until a
budget plan is adopted for 1980-82 all positions at the University have been frozen.
Emergency position requests are being considered. A process is also underway to
review selected programs and services and to determine what programs can be cut back
and/or terminated. Mr. Bruegman also reported that there is a likelihood of a 10
percent increase in tuition each year of the biennium. Mr. Bruegman reported that
the Board will be asked to approved a formal budget plan for 1980-82 at its May meeting.
.
On motion made and seconded, the following Resolution was approved as amended:
BE IT RESOLVED, by the Board of Visitors of Virginia Commonwealth
University, that the President, Vice-President for Finance and the
Treasurer of Virginia Commonwealth University or any two of such
officers, be and they hereby are fully authorized and empowered to
transfer, endorse, sell, assign, set over and deliver any and all
shares of stocks, bonds, debentures, notes, evidences of indebted-
ness or other securities now or hereafter standing in the name of
or owned by Virginia Commonwealth University and to make, execute
and deliver any and all written instruments necessary or proper
to effectuate the authority hereby conferred.
The Board raised several questions concerning the authorization by officers to
sign documents, checks, etc. Mr. Ross suggested that a review of all the resolu-
tions dealing with authorization to sign be reviewed by the administration. Dr.
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Blanton requested that this report be presented to the Audit Committee for the
Board to review at its May meeting.
Action on the Resolution on the Davenport Fund was delayed until the May
Board of Visitors meeting.
Mr. Seaborn reported on behalf of the Audit Committee which met on March 18
with representatives of the administration and with representatives of Peat, Marwick
and Mitchell, the University's external auditors. The purpose of this meeting was
to review the annual management letters on the Medical College of Virginia Hospital
and Virginia Commonwealth University and to hear the formal response by the adminis-
tration to each of the comments and recommendations contained in these management
letters.
It will be a while longer before a complete system of internal controls
and accounting procedures is in place and operating effectively, but it should
be noted that the University has made great strides in this direction since last
year when the first management letters were received.
Peat, Marwick noted several items in the patient revenue and accounts receivable
area where improvement was needed. Most of these items will be corrected when the
hospital information system is fully operational around June 1. Mr. Seaborn stated
that we need to fully develop a fixed asset accounting system and a complete
accounting manual, as well as a system for the control and accounting of leased
assets. We need to improve controls on payroll and cash disbursements. And most
importantly, we need to fill the position of University Controller that was re-
cently vacated when Mr. Edward Mazur accepted a position with the State of Virginia
Peat, Marwick also noted a need for improvement in the area of delinquent patient
accounts and in the setting of objectives or targets for billings and collections.
To each of these deficiencies, the administration responded with its proposed
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action for each item and in a number of instances, noted that corrective action has
already been taken.
The management letter on the Academic Campus of the University dealt with the
need for monthly AICPA reports which will be necessary for developing and refining
our management reports and will help to identify problem areas to ensure tighter
control over account balances.
Also noted was the need for in-house training of financial division personnel
on the Financial Accounting System and the Commonwealth Accounting and Reporting
System. Turnover in personnel has been a major problem in this area and a serious
need exists to have salary scales increased in the division.
It was felt that a high priority should be given to the development of a formal
Policies and Procedures Manual for the Finance Division. The administration indicated
that preliminary drafts of some sections of such a manual have been prepared and work
is underway to complete a preliminary draft of the entire manual.
In all areas of comment or recommendation by Peat, Marwick, the administration
has assigned a department or an individual the responsibility of handling any de-
ficiency or to the refinement of any system where improvement is needed. Peat,
Marwick concurs that the administration has been very responsive to their manage-
ment letters and has made significant gains over the past year.
The Audit Committee felt the meeting with the auditors was a very comprehensive
and informative one and that their findings will be very helpful to the administra-
tion in its continuing development of a system of internal control and in the
establishment of the necessary procedures to provide the reports that it must have
to manage the University effectively in the coming year.
On motion made and seconded, the report of the Audit Committee was accepted
by the Board.
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Dr. Gayle reported that the Hospital Committee would be meeting on April 24
at 7:30 a.m.
Mrs. Bemiss reported that the Property Committee had met on March 4, 1980,
and discussed and/or approved the following items:
Working drawings for the Low-Rise Dormitory, Phase II,
and the Academic Campus Parking Deck
Handicapped access projects for the following buildings
(based on the availability of funds in the current
biennium)
Tompkins-McCaw Library (ramp & door signal)
•
Randolph-Minor Annex (ramp to basement)
•
MCV Gym (ramp extension)
^
Franklin Terrace (elevator)
Music Center (chair lifts)
•
Shafer Street Playhouse (elevators)
•
Founders Hall (chair lifts)
•
Site Work - both campuses (pavement of
•
alleys and curb cuts)
Also discussed by the Property Committee were the preliminaries for the Cary Street
Gymnasium. Mrs. Bemiss reported that the original budget is inadequate due to in-
creased costs caused by delays and inflation plus the fact that the consultants and
architects were unaware of the extent of the roof repairs and the energy conserva-
tion requirements. The total additional cost of renovating the old City Auditorium
will be $1 million more than the existing budget of $900,000. Mrs. Bemiss reported
that she has requested that the administration prepare a report for her committee
and the Board dealing with cost estimations for university projects. She indicated
that the Property Committee was quite concerned over the significant increase in
the budget for this project. However, the Property Committee did act favorably on
this request. Also approved by the Property Committee were the revised prelimi-
naries for the Egyptian Building. Due to space problems on the Academic Campus,
the former F&M Bank will not be converted to a conference center for use by the
Board and others until late fall. On motion made and accepted, the Report of the
Property Committee was accepted.
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Dr. Gayle reported for the Student Affairs Committee which had met on February
14, 1980. The student affairs staff presented an excellent report on student
demographics. Written copies of the report will be distributed. Dr. Gayle
reported that at its next meeting the Committee will meet with representatives
of various student groups. On motion made and seconded, the report of the Student
Affairs Committee was accepted.
Dr. Blanton appointed a Nominating Committee composed of Mrs. Bemiss, Chairman;
and Messrs. Seaborn and Shumate to consider a slate of officers for 1980-81.
On motion made, seconded and approved, the Board went into executive session
to discuss certain personnel matters involving the performance of identifiable
employees or faculty of VCU, and to discuss pending litigation with its attorney,
and to discuss the condition, acquisition, and use of real property, and to discuss
matters relating to gifts, bequests, and fund-raising activities as authorized by
Sections 2.1 - 344 a(1), a(2), a(6), and a(7) of the Freedom of Information Act.
The Board of Visitors reconvened in public session at 12:15 p.m. The Report
of the Legal Advisor, the Faculty Appointments and Changes in Status, the Faculty
Promotions, the Report of Gifts, Grants and Contracts and the Report of the Honorary
Degree Committee were approved and/or accepted on motion made and seconded.
The meeting was adjourned at 12:20 p.m.
Approved:
