July 31, 2014

MINUTES OF THE BOARD OF GOVERNORS

MISSOURI STATE UNIVERSITY

JULY 31, 2014

1. Roll Call

Present- Mr. Steve Bough, Governor

Mr. Joe Carmichael, Governor

Mr. Caleb Doyle, Student Governor

Ms. Virginia Fry, Governor

Mr. Stephen B. Hoven, Vice Chair of the Board

Dr. Peter Hofherr, Governor

Mr. Orvin Kimbrough, Governor

Ms. Beverly Miller, Chair of the Board

Mr. Kendall Seal, Governor

Ms. Carrie Tergin, Governor

Also

Present- Clifton Smart III, President

Drew Bennett, Chancellor of the West Plains Campus

Frank Einhellig, Provost

Denita Siscoe, Vice President for Student Affairs

Ken McClure, Vice President for Administrative and Information Services

Jim Baker, Vice President for Research and Economic Development and International Programs

Kenneth Coopwood, Vice President for Diversity and Inclusion

Stephen Foucart, Chief Financial Officer

Suzanne Shaw, Vice President for Marketing & Communications

Brent Dunn, Vice President for University Advancement

Donna Christian, Director of Internal Audit and Compliance

Rachael Dockery, General Counsel

John McAlear, Secretary of the Board

2. Presiding --- The presiding officer for the meeting was Ms. Beverly Miller, Chair of the Board of Governors. She called the meeting to order at 9:00 a.m. in the Shealy Farm Conference Center, 5607 S. 222nd Rd., Fair Grove, Missouri. Ms. Miller first presented Governor Steve Bough with a framed resolution in honor of his service as a board member that was approved by the Board at their previous meeting in Kansas City. President Clif Smart also presented Mr. Bough with a Bear statue in honor of his service.

3. Approval of Minutes:


  1. a.     Board of Governors’ Meetings --- Ms. Miller mentioned that the next item of business was the approval of the minutes for the open and closed meetings of June 20, 2014. Ms. Fry so moved, receiving the second of Mr. Kimbrough.

Motion passed 9-0.

Ms. Miller then commented that the next items on the agenda were the resolutions approved by the Executive Committee at its July 16, 2014, meeting. She indicated that these resolutions are for information only as their newly amended Bylaws do not require Executive Committee actions to be ratified by the full Board. She reminded the board members that the full Board is provided the Executive Committee agenda in advance of the meeting to see what actions are being proposed and that any board member may request any item on the agenda to be pulled from the agenda to be acted upon by the full Board. Also, all board members receive the minutes of the Executive Committee meeting. She asked the other board members if our new Executive Committee procedures were sufficient or if they would like to have all of the Executive Committee actions included in the Board Agenda for information only, like what was done in today’s agenda. After a short discussion, it was decided that, in the future, Executive Committee actions would not need to be included in the Board Agenda.

4. Consent Agenda --- Ms. Miller noted that the next item of business on the agenda was the approval of the Consent Agenda for this meeting. The items included in the Consent Agenda are:

President

Approval of additional FY2015 employment agreements for Athletics administrators and coaches (Human Resources No. 1471-14).

West Plains Campus

Approval of new Academic Program for the Certificate in Alternative Energy (West Plains Campus Curriculum No. 66-14).

Approval of actions concerning West Plains Campus academic employees (West Plains Campus Personnel No. 368-14).

Approval of actions concerning West Plains Campus non-academic employees (West Plains Campus Personnel No. 369-14).

Approval of Activity Report dated July 31, 2014 (West Plains Campus Activity Report No. 107-14).

Springfield Campus Purchases/Contracts

Approval of Procurement Activity Report for the period June 4, 2014, through July 15, 2014 (Purchasing Activity Report No. 408-14).

Facilities and Equipment

Approval of Activity Report for the month of May 2014 (Activity Report No. 258-14).

Approval of Activity Report for the month of June 2014 (Activity Report No. 259-14).

Human Resources Items

Actions concerning academic employees (Human Resources No. 1472-14).

Actions concerning non-academic employees (Human Resources No. 1473-14).

Mr. Hoven moved to approve the Consent Agenda, receiving a second from Mr. Kimbrough.

Motion passed 9-0.

5. Discussion of Goals for 2014-2015 --- President Smart explained that we are coming up on the fourth year of our long-range plan. So, to ensure we are making progress on reaching the goals in our plan, he is proposing that this year’s first six goals be the six strategic directions out of the plan. Our seventh and eighth goals this year are proposed to be Athletics and the West Plains Campus. Dr. Hofherr asked if there were any major underlying policies that will impact some of the decisions for the coming year. President Smart responded that, as we review the eight goals, we should look for these items and compile a list. It was also suggested that since there are a lot of items listed for the coming year, we should prepare a list of board priorities for the year. President Smart and members of his leadership team then led the Board through a discussion on the following eight proposed goals for 2014-2015 (not every element of the eight goals was touched on during the discussion):

I. Access to Success

  • Maintain modest growth in enrollment while increasing the diversity of the student body – a) strengthen relationships with our key community college partners (Ozarks Technical Community College, Crowder College, Metropolitan Community College, St. Charles Community College, and St. Louis Community College); b) expand opportunities for collaboration with diversity-oriented organizations such as Kauffman Scholars and College Bound. We will have 61 students from these type programs this Fall, an increase of 28 students; and c) develop a needs-base scholarship program for graduate students to increase the number of graduate students.
  • Increase the retention rate of first-time freshmen – a) SOAR has been redesigned – students are required to spend one night on campus and a public affairs component has been added; b) the number of living learning communities has been expanded; c) a family coordinator has been hired to work with parents; d) we have redesigned (the Introduction to College course (GEP 101) for first-generation students and are placing them in classes by majors; e) we will develop a program to assist freshmen students on probation – an initiative of Student Government Association; and f) we will evaluate admission requirements and protocols for low-performing applicants – consider not starting with a full load of classes or starting in January instead August.
  • Increase the number of alternative pathway options for students – a) consider credit by assessment options where appropriate; b) create a model for offering programs at off-campus sites - will offer programs at the OTC-Lebanon campus this year; and c) offer and market two open online courses for the public in Ozarks Studies fields. The Laura Ingalls Wilder course has “exploded” with over 4,000 enrollees while the Ozarks History course has almost 600 enrollees at this time.
  • Maintain competitive cost of attendance.
  • Continue to implement the career tracking program to meet the new state performance funding measure.
  • Successfully complete the Higher Learning Commission (HLC) self-study process (assurance report). The HLC site visit will be in October of 2015.

II. Public Affairs Integration

  • Continue with our seven signature public affairs events including the induction of the second class of the Missouri Public Affairs Hall of Fame.
  • Develop a comprehensive public affairs assessment plan. Elements of this are already in place in GEP 101 and GEN ED 499.
  • Develop a campus-wide community service project in conjunction with the University’s 110th anniversary (March 17, 2015) including a day-long or week-long fund-raising event.
  • Will aim to continue the publication of the eJournal of Public Affairs with about 2-3 issues per year.

III. Engaged Inquiry

  • Sustain awards of grants and sponsored research of about $20 million annually. Dr. Jim Baker, Vice President for Research, Economic Development, and International Programs, reported that we had a very good year in FY14 with almost $22 million received. However, this is a very competitive market and we might very well receive only $17 to $18 million next year.
  • Develop and implement strategies to emphasize nanotechnology research. There is a fear of nanomaterials, and clients of Brewer Science (a tenant at Jordan Valley Innovation Center) are not buying their products because of this fear. Our faculty are working with Brewer Science in this area with a goal of publications and conference presentations to help in this area. Ms. Miller suggested compiling a list of all the areas where we are raising our profile, such as this, since we do not have a “Raise our Profile” goal this coming year.
  • Publish the second edition of Mind’s Eye to highlight the University’s research successes.

IV. Partners in Progress

  • Create and implement a two-year pilot project for a Center for Community Engagement to conduct community-based research on local and regional social issues. This will be brought to the Board for approval soon and should be self-supporting after the pilot period.
  • Collaborate with Springfield Public Schools to develop and implement an entrepreneurship program at The eFactory. High-achieving high school juniors will pitch entrepreneurial ideas, and those selected will become tenants at The eFactory during their senior year.

V. Valuing and Supporting People

  • Improve compensation for faculty and staff. President Smart commented they have been able to do so four times in the three years he has been president.
  • Improve diversity of the workforce. For this coming year, individuals involved in hiring processes have a target of at least 20% of new hires being ethically or racially diverse, international, disabled, of veteran status, or a member of a group that is underrepresented within the hiring department.
  • Our new mentoring programs will be fully implemented this year with the goal of retaining diverse hires.
  • Our climate study will be available this Fall with more than 3,500 students, faculty, and staff participating.

VI. Responsible Stewardship

  • Continue to grow and diversify revenue – a) advocate for capital funding through state appropriations under Senate Bill 723 bonding authority; b) continue with mini capital campaigns for projects such as the Glass Hall addition and the Meyer Library renovation; and c) improve our investment returns by going to a five-year investment strategy. U.S. Treasuries have been at historical low rates. We have now seen a modest increase in these rates, especially at the five-year term. A discussion was also held on investigating the possibility of changing state statutes regarding allowable investment choices.
  • Carry through with bonding the construction and purchase of academic spaces including Brick City Building #4, the Student Admissions and Success (Welcome) Center, the Occupational Therapy Building, and the Morris Center (fifth floor renovation).
  • Utilize and operate facilities efficiently – a) seek a STARS Silver rating from AASHE; b) cosponsor Green Revolution, a Smithsonian traveling exhibition, at the Discovery Center of Springfield; c) continue to more efficiently heat and cool buildings through responsible space scheduling practices; d) continue adding to the chilled water loop with the Welcome Center and the Occupational Therapy Building; and e) consider purchasing up to the allowed amount of 200 kilowatts of solar energy produced by City Utilities’ new solar farm.
  • Manage University-wide risk effectively by developing and implementing an Enterprise Risk Management Program through the existing compliance committee to identify risks, evaluate risk management tools, and implement risk management solutions.

VII. Athletics

  • Will work to successfully implement the Missouri Valley Conference television and digital-media initiative. This could result in all of our sports having their games/matches on television with our own Media and Journalism students doing the organization and production.
  • Will need to evaluate new NCAA legislation regarding governance and implement an appropriate strategic response. These changes could result in additional athletic costs for our overall program. President Smart has been elected by the other MVC presidents as their chair and will represent the MVC when these changes take place.

VIII. West Plains Integration

  • Will work to make the pathway from West Plains to Springfield as clear as possible.
  • A policy prescribing a formula for the University’s funding of the West Plains campus will be taken to an Executive Committee meeting soon.
  • Will evaluate opportunities to enhance coordination and cooperation between the Springfield and West Plains bookstores.

6. New Business:

a. Approval of Resolution for the Educational Facilities Bond Issue --- Mr. Steve Foucart, Chief Financial Officer, presented a resolution (Finance No. 1038-14) authorizing the borrowing by Missouri State University of the proceeds of an issue of Educational Facilities Revenue Bonds (Missouri State University), Series 2014, in an aggregate principal amount not to exceed $30,000,000 of the Health and Educational Facilities Authority of the State of Missouri, to finance the costs of certain educational facilities of the University; and authorizing and approving certain documents and actions in connection with such borrowing. Projects to be funded or partially funded by the bond issue include: Occupational Therapy Building, the Welcome Center, the Jim D. Morris Building renovation, and the exercising of the purchase option of Brick City Building #4. Based on the construction bids, and current market conditions, the expected bond issue is: $25,795,000, which includes $423,000 for underwriter fees and $250,000 for issuance costs. The term will be 25 years with an approximate annual bond payment of $1,600,000. The dedicated revenue stream to repay the bonds includes: a) $100,000 in annual gifts to the Welcome Center; b)$80,000 from annual tuition /fee revenue from English Language Institute students; c) $230,000 elimination of rental payments for Brick City Building #4; d) $800,000 from the dedicated state appropriation for health initiatives approved commencing in FY2014. Should the Governor withhold these funds, the recommended investment strategy of laddering investments over a five-year period is anticipated to generate approximately $731,000 of additional funds to cover a shortfall over the current projected FY2015 interest income; and e) $390,000 from new differential fees for the College of Health and Human Services. It is planned that the Executive Committee will approve the final bond pricing at their September 17, 2014, meeting. Moved and seconded, respectively, by Mr. Bough and Mr. Hoven.

Motion passed 9-0.

b. Approval of FY2016 Operating Appropriations Request and Decision Items --- Mr. Foucart next presented a resolution (Finance No. 1039-14) for the approval of Fiscal Year 2016 Operating Appropriations Request and Decision Items totaling $97,299,546. This amount is made up of: a) funding for core operations totaling $86,543,506 (Operating Appropriations Base of $85,218,506 and the Health Initiatives/Occupational Therapy Base of $1,325,000); and b) new funding decision items totaling $10,756,040 (Performance funding for core operating support - $3,156,555; STEM funding - $2,556,555; Caring for Missourians – Mental Health - $1,667,930; and Educational Facilities Renovations and Repairs - $3,375,000). Moved and seconded, respectively, by Mr. Hoven and Ms. Fry.

Motion passed 9-0.

c. Approval of Naming of the Betty and Bobby Allison Stadiums --- Mr. Brent Dunn, Vice President of University Advancement, presented a resolution (Gifts No. 162-14) for the naming of the Betty and Bobby Allison Stadiums. He stated the Missouri State University Foundation received a major charitable gift commitment from Bobby Allison, to be used for construction costs and maintenance of a new lacrosse and field hockey stadium, a new soccer and track stadium, and a new sand volleyball stadium on the MSU campus. The three stadiums will be named:

Betty and Bobby Allison North Stadium – Lacrosse and Field Hockey

Betty and Bobby Allison South Stadium – Soccer and Track

Betty and Bobby Allison Sand Volleyball Stadium

Moved by Mr. Bough. Seconded by Ms. Fry.

Motion passed 9-0.

d. Approval of Naming of the Mary Jo Wynn Academic Achievement Center – Mr. Dunn then presented a resolution (Gifts No. 163-14) for the naming of the Mary Jo Wynn Academic Achievement Center. He remarked that Dr. Mary Jo Wynn has made a major charitable gift commitment to the athletic academic achievement center in the Forsythe Athletics Center, and they are recommending that the name of the center be:

The Mary Jo Wynn Academic Achievement Center

Moved and seconded, respective, by Ms. Tergin and Mr. Bough.

Motion passed 9-0.

e. FY2014 Missouri State University Foundation Year End Report --- Mr. Dunn next gave the year-end report of the Missouri State University Foundation. The total gifts received in FY2014 totaled $18,377,965, which is the second highest annual total ever received. He added that the Foundation’s Endowment exceeded $75 million for the first time.

7. Board of Governors’ Procedural Matters:

Board of Governors’ Self-Assessment --- Ms. Rachael Dockery, General Counsel, reported that the draft self-assessment form included in the agenda was created by Secretary John McAlear, in response to the Board’s request at their March 2014 Board retreat. He modeled this form after another university’s self-assessment form that he came across. Ms. Dockery indicated that this type of survey can be used to highlight subjects or items needing discussion and would be subject to the Missouri Sunshine Law. Mr. Bough commented that he liked the idea of this type of feedback. Mr. Kimbrough mentioned that this type of feedback would be helpful in seeing how the Board is doing in their support role for the President. President Smart indicated that he will work with Ms. Miller on how best to proceed on this matter.

b. Meeting Schedule for 2015 --- President Smart presented a resolution (Administration No. 37-14) approving a 2015 calendar-year meeting schedule. The schedule includes a February meeting in Jefferson City; a retreat in St. Louis in March in conjunction with the Men’s Missouri Valley Post-Season Basketball Tournament; a June meeting on the West Plains Campus; and meetings in Springfield in conjunction with May spring commencement, August summer commencement, October homecoming, and December winter commencement. Mr. Kimbrough moved to approve the 2015 meeting schedule, receiving the second of Mr. Bough.

Motion passed 9-0.

c. Discussion of 2015 Board Officers --- Ms. Miller next mentioned that the Board needed to discuss a possible slate of officers for the 2015 calendar year. After a short discussion, a proposed slate included Mr. Steve Hoven as Chair and Mr. Peter Hofherr as Vice-Chair. The election of officers is held at the board meeting held in conjunction with the University’s homecoming festivities which this year, is October 17, 2014.

Discussion Topics at Future Board Meetings --- President Smart next indicated the Board needed to choose the major discussion topics for four upcoming board meetings (October 2014; December 2014; February 2015; and May 2015). After a short discussion, it was decided that the four topics would be: the Campus diversity climate, the value and breadth of faculty research, the physical safety aspect of campus security, and public television and radio. The Board requested that our International programs be the discussion topic at an upcoming Programs & Planning Committee meeting. During this discussion, it was also decided that a year-long task force should be created to address the question: “What should the University look like in ten years?” This task force could include university staff, alumni, and community members. A discussion was then held regarding the need to highlight some of our successful academic programs and faculty. It was decided that at future board meetings, we would expand our spotlight section to highlight a student, faculty member, or academic department.

8. Closed Meeting --- It was determined that the Board of Governors needed to meet in a closed session to consider items of business provided in the Revised Statutes of Missouri. Ms. Miller asked if a resolution authorizing a closed meeting of the Board was prepared. Thereupon, the following resolution was presented for consideration:

BE IT RESOLVED by the Board of Governors for Missouri State University that a closed meeting, with closed records and closed vote, be held immediately following this July 31, 2014, meeting of the Board of Governors to consider items of business pursuant to:

  1. R.S. Mo. 610.021 (1). “Legal actions, causes of actions, or litigation involving a public governmental body…”
  1. R.S.Mo. 610.021(13). “Individually identifiable personnel records, performance ratings or records pertaining to employees or applicants for employment,…”

Ms. Tergin moved the approval of the resolution and Mr. Carmichael seconded the motion.

A roll call vote on the resolution was as follows: those voting in favor – Governors Bough, Carmichael, Fry, Hofherr, Hoven, Kimbrough, Miller, Seal, and Tergin; those voting against – none.

Ms. Miller declared the resolution passed unanimously.

9. Date of Next Meeting --- The date of the next regularly scheduled meeting was set for Friday, October 17, 2014, at 1:00 p.m. on the Springfield Campus.

10. Adjournment--- Ms. Miller adjourned the meeting at 2:55 p.m. on the motion of Ms. Fry, the second of Ms. Tergin, and the unanimous vote of the Board.

John W. McAlear
Secretary