11
University degree programs that hold nationally recognized
accreditation were identified. Also identified are programs reviewed
by an internal review process conducted by the School of Graduate
Studies.
The Committee concurred with the recommendation that a
program of internal review be developed to include all programs not
holding formal accreditation.
A Report on Teaching was presented. The Committee received
a second in a series of three reports describing the University's
programs of Scholarship, Teaching, and Public Service. This report
highlighted teaching. The Committee reviewed teaching loads and
assignments, student reaction to the quality of instruction, methods
of evaluating teaching and activities designed to support the
instructional efforts of the faculty.
The Committee briefly reviewed a draft of the institution's
responses to the Commission on the University of the Twenty-First
Century. A full discussion of the report was postponed until July.
The Committee reviewed the Plan of Operation for an AHEC to
be established on the MCV Campus of Virginia Commonwealth
University. The first Area Health Education Centers (AHEC)
programs were established under federal law in 1971, as an
outgrowth of a Carnegie Commission Report which documented the
shortage and geographic maldistribution of primary health care
personnel, especially physicians. AHEC programs link the resources
of university health science centers with the health care and
educational needs of communities. The Virginia AHEC, now funded,
will have VCU/MCV as the lead institution and is designed to:
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1. Encourage medical and other health professions students to
choose careers in primary care, and to practice in
medically underserved and/or health manpower shortage
areas; and
2. Provide a stimulating practice environment for primary care
professionals in underserved and possibly isolated areas,
including access to continuing education programs and
library and learning resource materials.
This is a major achievement for the University and will assist
the Medical Center in its continued development.
On motion made and seconded, the Report of the Academic
Policy was accepted.
Dr. Johnson reported for the Advancement Committee. On
motion made and seconded, the Minutes of a Meeting held March 20,
1991, were approved.
The Committee toured 828 West Franklin Street. This was to
give the Committee an insight into the everyday operations and to
meet the central Advancement Division staff.
A report from the Governmental Relations office was present-
ed. It was reported that the General Assembly and the Governor
have granted the School of Dentistry $175,000 to complete the Dental
Sterilization Facility. Recently, in efforts to enhance the federal
relations area, Dr. Trani attended the Virginia Congressional Delega-
tion in Washington along with representatives of the Virginia Dental
Association. This was an excellent opportunity to meet with federal
legislators.
The Committee received an update on University efforts to
resolve historic district designation issues on the MCV Campus. The
Master Site Plan for the MCV Campus, the rationale for the Medical
Sciences Building and the lack of other viable alternatives were
13
discussed with the Department of Historic Resources. There will be
ongoing discussions concerning this matter. A discussion concerning
the Grace Street Task Force's role in the City's proposal to restrict
alcohol sales on nearby Grace Street was discussed. Members of the
Committee stated that they felt the University should not take the
lead in this proposal, but just be a concerned party.
The remainder of the Committee's report will be made during
executive session.
Mr. Ferguson reported for the Audit Committee. On motion
made and seconded, the Minutes of a Meeting held March 21, 1991,
were approved. The remainder of the Committee's report was made
during executive session.
Mr. Farinholt reported for the Finance and Investment
Committee. On motion made and seconded, the Minutes of a Meeting
held March 20, 1991, were approved.
Summary highlights of the Consolidated Quarterly Budget
Performance Report for the quarter ended March 31, 1991 were pre-
sented. The report addresses budget performance for all fund
sources through the third quarter except the Hospital.
The 1990-91 State Educational and General Programs' budget
has been affected significantly by State General Fund reductions.
The original budget allowed for $6.0 million in reversions mandated
by the State prior to the start of the fiscal year. Last August,
Governor Wilder announced an additional revenue shortfall and a
$6.7 million reduction target was assigned to VCU. In addition, the
Governor issued Executive Memorandum 5-90 which mandated a 2$
reduction in salaries for all employees. The current budget has been
14
adjusted to reflect the salary reduction of $1.6 million as well as
the $6.7 million reduction target assigned in August. No additional
budget reductions are expected to be imposed during the remainder
of this fiscal year. In terms of overall budgetary performance for
the third quarter, revenues and expenditures are in balance and on
target with last year's collections and spending rates. Two impor-
tant changes have occurred in the projected annual revenues in this
year's budget. First, there is increased support from non-General
Funds as a result of the State-mandated budget reduction. Second-
ly, a net shortfall in tuition revenue is anticipated as a result of
a drop in enrollments from fall to spring, an increase in uncollect-
ible accounts, and lower summer enrollments than expected. Contin-
gency funds have been budgeted to deal with these changes.
The remainder of the Committee's Report will be made during
executive session.
On motion made and seconded, the Minutes of a Joint Meeting of
the Finance and Investment and Hospital Committees held April 19,
1991, were approved.
Mr. Whitworth reported for the Hospital Committee. On motion
made and seconded, the Minutes of a Meeting held March 20, 1991,
were approved.
The request for approval to Contract for Outpatient Dialysis
Services was presented. MCVH proposes to contract with R.E.N.
Corporation for the management of outpatient dialysis services in
conjunction with the MCV Division of Nephrology and University Inter-
nal Medicine Foundation. The initial contract is for a five year
term with renewal options totaling an additional five years. Release
15
provisions with and without cause are included. Contract details
were negotiated to effect a three-way agreement to create an offsite
satellite dialysis center. The UIMF has agreed to lease space suffi-
cient for the program and be reimbursed for its costs as a direct
cost of the operation. R.E.N. will employ management and staff to
operate the facility. MCVH may provide capital equipment in the form
of dialysis machines and satellite furnishings. Revenues will be
generated, collected, and accounted for by R.E.N. Before tax,
distributions of net income will be 70 percent to MCVH and 30 percent
to R.E.N. A minimum distribution of $210,000 is guaranteed by
R.E.N. Salary support to UIMF for medical direction of the facility
will be provided by the Hospital under a separate agreement. Site
selection and renovation will commence upon contract signature.
Locations will include sites on main bus lines within a ten mile
radius of the downtown campus. The facility is expected to be oper-
ational in six months. On motion made and seconded, the Request
for Approval to Contract for Outpatient Dialysis Services was ap-
proved.
The MCVH Capital Expenditure Proposal was presented.
Previous Capital Release for 1990-91 was a total of $8,057,653.
Additional Capital Budget Release for 1990-91 is a total of
$4,863,182. On motion made and seconded, the Board approved
$1,100,000 for the Construction of a Child Care Center located in the
parking deck being built on the Virginia Treatment Center Site
(which is included in the $4,863,182 release).
A Request for Approval to Increase Support to the Medical
School for Supervision of Interns and Residents was presented.
16
MCVH proposes to increase the support to the Medical School by
$2.0 million for fiscal 1990-91. MCVH has successfully settled an
appeal with the Medicare program related to costs associated with the
supervision of interns and residents retroactive to 1983. Since
regulations have subsequently changed to a per resident cap, this is
a one time increase in reimbursement. On motion made and
seconded, the request for approval to Increase Support to the Medical
School for Supervision of Interns and Residents was approved.
Hospital financial data for the period July 1, 1990 through
March 31, 1991, was briefly reviewed. Mr. Fischer indicated that the
patient accounting and registration system (PARS), which MCV Hos-
pitals has been working on for the past several years, should be
operational on July 2, 1991.
The remainder of the Committee's report will be given during
executive session.
The appointment of the Board's Nominating Committee followed.
Dr. Moore requested that Dr. Harry I. Johnson, Jr. serve as
Chairperson with Mrs. Epps, Messrs. Meador and Siegel, and Dr.
Peay as members. Dr. Moore stated that the purpose of this
Committee was to nominate an individual for the position of Rector.
On motion made and seconded, the Board of Visitors convened
into executive session to discuss certain personnel matters involving
the performance of identifiable employees or faculty of VCU, and to
discuss the evaluation of performance of departments or schools of
VCU where such matters regarding such individuals might be
affected by such evaluation including Faculty Appointments and
Changes in Status, Full and Consultative Hospital Privileges,
17
Promotion and Tenure Recommendations, Executive Salaries,
Continuing Faculty Salaries, a Dental Faculty Practice Association
Proposal, a Proposal for Dentistry Private Practice Scales a Proposal
for the School of Medicine Faculty Scale, the transfer of the total
of $2 million from MCVH budget to the School of Medicine, a
Proposed Compensation Plan, the discussion of a comprehensive
Strategic Plan for MCVH, a Report from Associated Physicians, a
Quality Assurance Report, a Proposal for Change in Physician
Orders Policy, the Library Consultant's Report and Audit Reports of
individually identified departments and/or schools, and to discuss
the condition, acquisition or use of real property for public purpose
or of plans for the future of a state institution of higher education
which could affect the value of property owned or desirable for
ownership by such institution including a discussion on Stony Point
Outpatient Facility and a Real Estate Status Report, and to discuss
the investing of public funds including a Review of Investment
Consultant Services, and to discuss legal matters, active and
recently resolved litigation, and probable litigation with its
attorney, and to discuss matters relating to gifts, bequests, and
fund-raising activities including a Development Report, a Report on
1990-91 Total Private Support, the NEH Challenge Grant Status
Report, a Status Report on the Foundation Trustee Recruitments, a
Report on the Advancement Division Budget Reductions and the
approval of Naming Proposals as authorized by Section 2.1-344 a(1),
a(3), a(6), a(7) and a(8) of the Virginia Freedom of Information Act.
Following executive session, on motion made and seconded, the
following Resolution was approved by roll call vote:
18
Virginia Commonwealth University hereby certifies that, to the best
of each member's knowledge, (i) only public business matters lawfully
exempted from open meeting requirements by Virginia law were
discussed in the executive session meeting to which this
certification resolution applies, and (ii) only such public business
matters as were identified in the motion convening the executive
session meeting were heard, discussed or considered by the Board
of Visitors of Virginia Commonwealth University.
Roll Call Vote: Ayes Nays
Dr. French H. Moore, Jr. (Rector) X
Mrs. Nina F. Abady Absent
Dr. Thomas J. Berenguer X
Mrs. Rozanne G. Epps X
Mr. James B. Farinholt, Jr. X
Mr. Jack H. Ferguson X
Mr. Roger L. Gregory X
Dr. William E. Holland X
Dr. Harry I. Johnson, Jr. X
Mr. Eric M. Lipman X
Mr. Richard L. Meador Absent
Dr. Clifton L. Peay X
Mr. Stuart C. Siegel Left before voting
Mr. Clarence L Townes, Jr. X
Mr. F. Dixon Whitworth, Jr. X
Mr. Alan L. Wurtzel X
Vote:
Ayes: 13
Nays: 0
ABSENT DURING MEETING: 2
ABSENT DURING VOTING: 3
On motion made and seconded, the Board accepted the Report
of the General Counsel, approved Faculty Appointments and Changes
in Status and other personnel actions, approved Promotion and
Tenure Recommendations, approved Continuing Faculty Salaries,
approved Full and Consultative Hospital Privileges, approved the
concept of the Dental Faculty Practice Association Proposal, approved
the proposed School of Dentistry Private Practice Scale, approved the
proposed School of Medicine Faculty Scale, approved Executive
Salaries, approved the proposed Faculty Compensation Plan, On
19
motion made and seconded, the Board approved, with one dissention
and one abstention to support, in principle, the establishment of an
outpatient facility at Stony Point, approved the transfer of the
total of $2 million from MCVH budget to the School of Medicine
budget, requested the Administration to develop and submit to the
Board of Visitors by September 1992, a comprehensive plan for
delivery of health care services to included the following: (1)
Market study of Richmond and environs; (2) Analysis of MCVH's
marketing strengths and perceived weaknesses in attracting a higher
percentage of paying patients; (3) Review of a wide variety of
options to improve the financial performance of the Hospital,
including down sizing, satellite clinics, etc; (4) Review the
experiences of other medical centers with center city locations; and
(5) Develop a proposal to increase community physicians involvement
at MCVH; approved the recommended Naming Proposals, accepted the
Executive Session Committee reports, approved a request to
authorize the University to Engage in a Competitive Procurement to
Select an Investment Consultant, approved the Hospitals' Quality
Assurance Report, approved a Change in Physician Orders Policy,
accepted the Report of the President, approved the President's
request to join the Board of the NCCJ and to become a member of
the 2300 Club, accepted the Report of the Presidential Evaluation
Committee and approved the Presidential Compensation Package.
The meeting was adjourned at 1:30 p.m.
20
Approved:
