Agreement between Virginia Commonwealth University and the Virginia Com-
monwealth University Real Estate Foundation and the resolution.
The Ground Lease at 1100 West Broad Street was presented The lease
is for approximately 1.636 acres of land at 1100 West Broad Street to be used for
the purpose of constructing a student housing facility. The purpose of the ground
lease is to secure the site on which an apartment-style facility containing ap-
proximately 396 beds will be constructed for student housing to meet the needs
of Virginia Commonwealth University's increasing enrollment. The transaction
will provide for a ground lease for a forty-year term with two five-year renewals.
The Finance, Investment and Property Committee recommended to the full
Board the approval of the Ground Lease at 1100 West Broad Street.
The Occupancy Agreement at Biotech One for the Institute for Drug and
Alcohol Studies was presented. Under the terms of the Master Lease Agreement
between Virginia Commonwealth University (VCU) and the Virginia Biotechnol-
ogy Research Park Authority (VBRPA), VCU wishes to occupy 4,120 square feet
of space in Biotech One for use by the VCU Institute for Drug and Alcohol Stud-
ies. The initial term of the proposed agreement would be one year beginning
January 1, 2000, and the annual rental rate would be $148,320. The Finance,
Investment and Property Committee recommended to the full Board the approval
the Occupancy Agreement at Biotech One with the Institute for Drug and Alcohol
Studies.
A Request for Proposals for Printing and Copying Services was pre-
sented. The purpose of the Request for Proposals (RFP) is to establish a con-
10
tract with one or more contractors to furnish all labor, materials, supplies and
equipment necessary to facilitate University printing and copying operations. The
anticipated annual contract amount is $2,000,000 - $4,000,000. The Finance,
Investment and Property Committee recommended to the full Board the approval
of the Request for Proposals for Printing and Copying Services.
The Changes in Board Approval Levels for the Finance, Investment and
Property Committee were presented. The suggested changes include increasing
the required approval levels from $500,000 to $1,000,000 for selection of archi-
tects and plans for construction and renovation (the Committee will receive notifi-
cation of the projects). In addition, the changes increase the required approval
levels for leases to an annual cost of $250,000 or greater or a term of five years
or greater. The Finance, Investment and Property Committee recommended to
the full Board the approval of the Changes in Board Approval Levels.
The Notification of Contract Award for the Academic Campus House-
keeping Services was presented for information. The contract is for facilities
management contracts for full service housekeeping services in 39 University
buildings on the Academic Campus comprising 1,343,678 square feet. The con-
tract is for an initial two-year period with three subsequent annual renewals. The
contract has been awarded to Clola Enterprises, Inc. (CEI) at a two-year cost of
$2,118,512 effective December 1, 1999.
An Analysis of Auxiliary Enterprise Budgets was presented. The analysis
entailed a discussion of auxiliary enterprise fund balances and approval of two
changes and one addition to the 2000-2002 State budget request previously
11
submitted to the Department of Planning and Budget, all of which will result in
smaller increases in student fees. The Finance, Investment and Property Com-
mittee recommended to the full Board the approval of the changes and addition
to the 2000-2002 State budget requests.
The following items were presented for information to the Finance, Invest-
ment and Property Committee:
• An update on the 2000-2002 State budget request.
• Two presentations regarding Foundations: Board oversight of foundations
and sources and uses of related foundation funds.
• The University's unaudited financial statements for the year ended June 30,
1999.
• Annual reports for the Medical College of Virginia Foundation, the VCU Real
Estate Foundation and the VCU Foundation for fiscal year 1998-99.
• An update of the Medical College of Virginia Hospitals Finances - Statistical
and Financial Summary for Fiscal Year 1999: Three Months ending Septem-
ber 1999.
• The University Quarterly Budget Performance Report as of September 30,
1999.
• Investment Performance for the VCU Operating Pool, the VCU Foundation
and the Medical College of Virginia Foundation; and
• A review of the Virginia Biotechnology Research Park Authority Leasing Re-
port and the Capital Project Status Report.
Mr. Gresham report for the Student Affairs Committee. The Committee
met with a group of students from both campuses and several different program
areas. Student concerns discussed were:
• communicate events better - students would like a better system in place for
finding out about events (Web, increased coverage in the student newspaper,
etc.) including the ability to link on the VCU Web page from the front page to
the activities page
• lack of a support network for freshmen on the MCV Campus
• use of shuttles for off-campus locations on weekends (including shopping in
Carytown, cultural events, skating, laser tag, etc.) and for transportation to
VCU events at the Siegel Center and the Sports Backers' Stadium and Dia-
mond
12
• concerns about lack of food choices at the University Student Commons
• concern about lack of free flu shots for MCV Campus students (due to the in-
teraction with patients)
• arrange discounted tickets for community cultural events (symphony, ballet,
opera, etc.) for students
• more focus on on-campus weekend events (besides sporting events)
• use e-mail as a fast way to communicate information to students
• develop sense of school spirit and pride; sense of community
A report on the Proposed Changes to the University Substance Abuse
Policy was presented. The University Substance Abuse Committee submitted to
the Student Affairs Committee several revisions to the Virginia Commonwealth
University Drug Free Schools and Workplace Policy, including a provision for pa-
rental notification concerning students under the age of 21 found guilty of violat-
ing alcohol and/or other drug laws or policies while on campus or at university
activities. The original policy had been approved by the Board of Visitors in
September 1991. The Student Affairs Committee recommended to the full
Board the approval of the proposed changes to the Virginia Commonwealth Uni-
versity Drug Free Schools and Workplace Policy.
The Final Report on Fall Enrollment was presented. The Vice Provost for
University Outreach presented the Final Enrollment Report, which showed a Fall
1999 headcount enrollment of 23,481.
An Update on Student Housing was presented. The Vice Provost for Stu-
dent Affairs presented a report on planned student housing to include 396 addi-
13
tional beds for students at 1100 West Broad Street within the University's Master
Site Plan area.
A Retention Plan was presented. The Vice Provost for Student Affairs re-
ported on VCU's retention efforts during the 1999-2000 academic year. VCU's
retention efforts are directed toward helping students meet graduation goals. Six
major areas of focus were discussed: 1) transition to college, 2) instruction-linked
programs and academic skills enhancement, 3) advising and faculty develop-
ment, 4) environmental conditions, including facilities, 5) opportunities for stu-
dents to connect with VCU, and 6) assessment questions.
On motion made and seconded, the following items on the Consent
Agenda were approved:
Board of Visitors
Minutes of a Meeting held August 12, 1999
Academic and Health Affairs Policy Committee
Minutes of a Meeting held August 12, 1999
Proposal to Create Graduate Program in Engineering
and Award M.S. and Ph.D. Degrees in Engineering
Divisional Realignment - Department of Pathology -
School of Medicine
Resolution: VCU Health System (see Resolution below)
Advancement and External Relations Committee
Minutes of a Meeting held August 12, 1999
Audit Committee
Minutes of a Meeting held August 12, 1999
Finance, Investment and Property Committee
Minutes of a Special Meeting held August 12, 1999
Minutes of a Meeting held August 12, 1999
Architect/Engineering Selection for Business Building
HVAC Repairs
Architect/Engineering Selection for Gladding Residence
Addition
Project Plans for West Broad Street Student Housing
Project Plans for Sports Backers Stadium, Phase III
Student Housing Support Agreement
14
Student Housing Resolution for Support Agreement
Modifications (see Resolution below)
Ground Lease for 1100 West Broad Street
Occupancy Agreement for Biotech One
Request for Proposals for Printing and Copying Services
Changes in Board Approval Levels
Analysis of Auxiliary Enterprise Budgets
Student Affairs Committee
Minutes of a Meeting held August 12, 1999
Proposed Changes to University Substance Abuse Policy
VCU Health System
WHEREAS, the Board of Visitors of Virginia Commonwealth University previ-
ously supported the establishment and creation, by the General Assembly of Vir-
ginia, of the Medical College of Virginia Hospitals Authority; and
WHEREAS, pursuant to and following the establishment of the Medical College
of Virginia Hospitals Authority, the teaching hospital and related functions of the
former Medical College of Virginia Hospital Division of Virginia Commonwealth
University were transferred to the Medical College of Virginia Hospitals Authority
under the governance of its Board of Directors; and
WHEREAS, the Board of Visitors similarly wishes to support an expansion of the
role and function of the Medical College of Virginia Hospitals Authority under the
identity of the "VCU Health System Authority"; and
WHEREAS, in its expanded role, the VCU Health System Authority, in addition to
its responsibility for existing hospital and related operations, would assume re-
sponsibility and oversight for the clinical operations performed by Virginia Com-
monwealth University School of Medicine faculty physicians and other providers
of health care services, which services currently are provided under the auspices
of MCV Physicians; and
WHEREAS, the Board of Visitors, therefore, wishes to support the recommended
legislative changes and amendments and related activities that will be necessary
to accomplish the aforementioned objective of integrating and bringing together
all institutional and professional clinical services and support components of the
VCU Health System within an integrated governance structure; and
WHEREAS, under the proposed integrated structure, the redefined VCU Health
System Authority would provide, among other things, for the inclusion of VCU
faculty physician representation on the Board of Directors of the VCU Health
System Authority, the confirmation that the President of Virginia Commonwealth
University would serve as the permanent chairperson of the Board of Directors of
the VCU Health System Authority and the confirmation that the VCU Vice Presi-
15
dent for Health Sciences also would serve as President of the VCU Health Sys-
tem; and
WHEREAS, the Board of Visitors, therefore, wishes to authorize the President of
Virginia Commonwealth University and other officials of the University as may be
designated by the President to present to the General Assembly of Virginia, dur-
ing its 2000 Session, the legislative changes that will be necessary to accomplish
the aforementioned objectives of creating the VCU Health System Authority;
NOW, THEREFORE, Be It Resolved by the Board of Visitors of Virginia Com-
monwealth University, that the Board of Visitors supports and approves the goal
of creating the VCU Health System Authority and supports the necessary legisla-
tive changes and other necessary actions related to the achievement of that goal.
Student Housing Resolution for Support Agreement Modifications
WHEREAS, the Industrial Development Authority of the City of Richmond,
Virginia (the "Authority"), has agreed to issue its revenue bonds (the "Bonds") in
an amount not to exceed $19,000,000, to finance the construction, equipping and
furnishing of student housing facilities of approximately 152,000 square feet to be
located on an approximately 1.6-acre site in the City of Richmond, Virginia (the
"Project"), and to be owned by the Virginia Commonwealth University Real Es-
tate Foundation (the "Foundation"); and
WHEREAS, the Project will provide needed housing for the students of Virginia
Commonwealth University (the "University"); and
WHEREAS, the land on which the Project will be constructed is expected to be
leased to the Foundation pursuant to a Ground Lease Agreement (the "Lease")
from the University to the Foundation; and
WHEREAS, the University is expected to manage the Project pursuant to a
management contract between the University and the Foundation; and
WHEREAS, to enhance the marketability of the Bonds and yield lower interest
costs and lower housing costs, the University is expected to enter into a support
agreement with the Foundation (the "Support Agreement"); and
WHEREAS, the plans for the Project and the expected contents of the Lease and
the Support Agreement (collectively, the "University Documents") have been pre-
sented to this meeting of the Board of Visitors; and
WHEREAS, the Board of Visitors (the "Board") of the University desires to
authorize and approve the general terms and conditions of the University Docu-
ments and to delegate to certain officers of the University the authority to ap-
prove the final terms and conditions of the University Documents;
16
NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF VISITORS OF
VIRGINIA COMMONWEALTH UNIVERSITY:
1. The Board hereby approves the Project and authorizes the President
and the Vice President for Finance and Administration, either of whom may act,
to approve or authorize the terms and conditions of the University Documents
and any other agreement with the Foundation in relation to the Bonds and the
Project. The officers of the University are authorized and directed to execute and
deliver the University Documents and such other agreements to the Foundation.
2. The appropriate officers and employees of the University, any of whom
may act, are hereby authorized to take all such actions as may be necessary or
convenient in connection with the planning, construction and financing of the
Project. The appropriate officers of the University are hereby authorized and di-
rected to approve, execute and deliver all certificates, documents, agreements
and other instruments, as they may consider necessary or desirable in connec-
tion with the Project.
3. All other acts of the officers of the University that are in conformity with
the purposes and intent of this resolution and in furtherance of the Project are
hereby approved, ratified and confirmed.
4. The President or the Vice President for Finance and Administration
shall report to the Board at its next meeting regarding any material changes to
the University Documents or the Project.
On motion made and seconded, the Board accepted the Consent Agenda
information items.
On motion made and seconded, the Board convened into closed session to
discuss certain personnel matters and matters relating to the performance of
identifiable employees and faculty of VCU and to discuss the performance of de-
partments or schools of VCU where such matters regarding such individuals
might be affected by such evaluations, including issues related to the President
in his official capacity and to discuss the evaluation of his performance, and in-
cluding the Faculty Appointments and Changes in Status and other Personnel
Actions, Continuing Faculty Salaries and Executive Salaries; to discuss the con-
17
dition, acquisition or use of real property for public purpose, or of the disposition
of publicly held property, or of plans for the future of a state institution of higher
education which could affect the value of property owned or desirable for owner-
ship by such institution, including the acquisition and disposition of property on or
adjacent to the Academic Campus; and to consult with legal counsel pertaining to
actual and probable litigation, and other specific legal matters requiring the provi-
sion of legal advice by counsel, including the Report of the General Counsel; to
discuss matters relating to gifts, bequests, and fundraising activities, including
the approval of the Named Funds Report and Facility Naming Recommenda-
tions, and an update on the development activities; and to discuss matters relat-
ing to honorary degrees and special awards, including the Report of the Special
Awards Committee, as authorized by Section 2.1-344 a(1), a(3), a(7), a(8) and
a(10) of the Virginia Freedom of Information Act.
Following closed session, on motion made and seconded, the following
resolution was approved by roll call vote:
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 closed session
meeting to which this certification resolution applies, and (ii) only such public
business matters as were identified in the motion convening the closed session
meeting were heard, discussed or considered by the Board of Visitors of Virginia
Commonwealth University.
Roll Call Vote Ayes Nays
Dr. H. George White, Jr., Rector X
Ms. Yvonne E. R. Benner X
Mr. William C. DeRusha Absent
Mr. Edward L. Flippen X
Mr. Timothy L. Gresham X
Mr. Steven A. Markel X
18
Roll Call Vote Ayes Nays
Ms. Angela Miles Absent
Dr. W. Baxter Perkinson, Jr. X
Ms. Diane Linen Powell Absent
Mr. Harold Y. Pyon X
Mr. Robert E. Rigsby X
Dr. Lindley T. Smith X
Mr. Ted L. Smith X
Mr. Clarence L. Townes, Jr. X
Mr. Jay M. Weinberg X
Dr. Percy Wootton X
Vote:
Ayes: 13
Nays: 0
ABSENT DURING MEETING: 3
ABSENT DURING VOTING: 3
On motion made and seconded, the Board accepted the Report of the
President; approved the recommendations of the Special Awards Committee;
approved the Faculty Appointments and Changes in Status and other personnel
actions; approved the Named Funds Report and Facility Naming Recommenda-
tions; approved the Continuing Faculty Salaries; approved the Acquisi-
tion/Exchange of Property on or adjacent to the Academic Campus; accepted the
Closed Session Committee Reports; accepted the Report of the General Coun-
sel; approved the Executive Salaries; accepted the Report of the Presidential
Evaluation Committee; and approved the President's Compensation.
19
