December 18, 2009

MINUTES OF THE BOARD OF GOVERNORS

MISSOURI STATE UNIVERSITY

DECEMBER 18, 2009

1. Roll Call

Present- Ms. Elizabeth Bradbury, Governor

Mr. Michael Duggan, Governor

Mr. Gordon Elliott, Governor

Mr. Brian Hammons, Chair of the Board

Ms. Ashley Hoyer, Student Governor

Mr. Orvin Kimbrough, Governor (by conference call)

Ms. Mary Sheid, Governor

Ms. Cathy Smith, Governor

Ms. Phyllis Washington, Vice-Chair of the Board

Mr. John Winston, Governor

Also

Present- Michael Nietzel, President

Drew Bennett, Chancellor of the West Plains Campus

Earle Doman, Vice President for Student Affairs and Dean of Students

Jim Baker, Vice President for Research and Economic Development

Ken McClure, Vice President for Administrative and Information Services

Belinda McCarthy, Provost

Nila Hayes, Chief Financial Officer

Brent Dunn, Vice President for University Advancement

Clifton Smart, General Counsel

John McAlear, Secretary of the Board

2. Presiding --- The presiding officer for the meeting was Mr. Brian Hammons, Chair of the Board of Governors. He called the meeting to order at 9:00 a.m. in the Traywick Parliamentary Room in the Plaster Student Union on the campus of Missouri State University in Springfield, Missouri. He welcomed Ms. Hoyer to her first regular meeting of the Board of Governors.

3. Approval of Minutes:

a. Board of Governors’ Meetings --- Mr. Hammons asked for a motion for the approval of the minutes for the open and closed meetings of October 30, 2009, and the open meeting of December 1, 2009. Ms. Bradbury so moved, receiving the second of Ms. Sheid.

Motion passed 9-0.

b. Executive Committee Meetings --- Mr. Hammons next asked for a motion to approve the Executive Committee minutes for the open meeting of November 24, 2009. Moved by Mr. Elliott and seconded by Ms. Washington.

Motion passed 3-0.

4. Student Affairs:

a. Citizen Scholar Recognition --- Dr. Earle Doman, Vice President for Student Affairs, presented a resolution (Awards No. 32-09) approving the following students as Citizen Scholars for 2009-2010: Ron Babb, Hannah Eubanks, Matthew Evans, Andrew Keaster, Kristen Sanocki, and Joshua Snowden. Moved by Ms. Sheid and seconded by Mr. Winston.

Motion passed 9-0.

Ms. Cathy Smith, Chair of the Board’s Student Affairs Committee, and the other members of the Committee, Ms. Phyllis Washington, Ms. Mary Sheid, and Ms. Ashley Hoyer, introduced each of the Citizen Scholars and presented them with a crystal globe, and a copy of Daring to Excel: The First 100 Years of Southwest Missouri State University. The Citizen Scholar Award Wall was then unveiled in the back of the Parliamentary Room that showed group pictures of each year’s recipients, this being the third year for this award.

5. Financial:

a. Presentation of June 30, 2009, Audit Report --- Ms. Nila Hayes, Chief Financial Officer, introduced Ms. Kim Hamm and Ms. Rachel DWiggins, of BKD. Ms. DWiggins presented the year-end financial statements to the Board. She reported that the university did receive a clean, or unqualified, opinion on its financial statements. Total assets increased about $17 million this year, while total liabilities were down about $10 million. Net Assets were up about $28 million to a total of about $373 million.

6. Consent Agenda --- Mr. Hammons 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:

November 24, 2009, Executive Committee Meeting

Architectural and engineering services in conjunction with the renovation of the Willow Brook property (Architects & Engineers No. 652-09); Gaskin Hill Norcross Architects & Engineers, for a not-to-exceed fee of $301,900 plus reimbursable expenses. Additional services of up to $30,000 as described in this agreement may be authorized and approved as necessary.

West Plains Campus

Approval of Activity Report dated December 1, 2009 (West Plains Campus Activity Report No. 79-09).

Approval of actions concerning West Plains Campus academic employees (West Plains Campus Personnel No. 302-09).

Approval of actions concerning West Plains Campus non-academic employees (West Plains Campus Personnel No. 303-09).

Springfield Campus Purchases/Contracts

Approval of Procurement Activity Report for the period October 29, 2009, through December 4, 2009 (Purchasing Activity Report No. 342-09).

Facilities and Equipment

Approval of Activity Report for the month of October 2009 (Activity Report No. 203-09).

Approval of Activity Report for the month of November 2009 (Activity Report No. 204-09).

HD projector and sound system for the Plaster Student Union (Bids & Quotations No. 1314-09); Sensory Integration, Inc., low bid of $68,800; total project budget established at $132,000.

Human Resources Items

Actions concerning academic employees (Human Resources No. 1301-09).

Actions concerning non-academic employees (Human Resources No. 1302-09).

Mr. Kimbrough made a motion to approve the Consent Agenda receiving a second from Ms. Sheid.

Motion passed 9-0.

7. President’s Report --- President Michael Nietzel first presented a resolution (Human Resources No. 1303-09) for the approval of a Voluntary Retirement Incentive Plan for faculty which will pay any full-time faculty member eligible for retirement by July 31, 2010, either 25 percent of his or her current base salary or individual health insurance premiums until the age of 65. Moved by Mr. Duggan and seconded by Mr. Winston.

Motion passed 9-0.

He next presented a resolution (Gifts No. 155-09) naming the Department of Agriculture the William H. Darr School of Agriculture as a result of Mr. and Mrs. Darr’s continuing support of the University. Moved and seconded, respectively, by Ms. Sheid and Ms. Bradbury.

Motion passed 9-0.

Dr. Nietzel then presented a resolution (Gifts No. 156-09) naming the Center for Archaeological Research the Bernice Warren Center for Archeological Research. The University recently received a substantial estate gift from Dr. Warren, long-time academic administrator, who left an endowment for women athletes as well as support for the Center for Archaeological Research. Moved by Mr. Duggan and seconded by Ms. Bradbury.

Motion passed 9-0.

He then presented a resolution (Agreement No. 248-09) approving the fourth addendum to Amended and Restated Ballpark License Agreement to lease Hammons Field for Missouri State University baseball games and practices. The Addendum is for a term of one year from March 14, 2010, until March 13, 2011, for the same License Fee of $150,000 plus 25% of ticket revenues greater than that amount. Moved and seconded, respectively, by Ms. Sheid and Ms. Smith.

Motion passed 9-0.

Dr. Nietzel next presented a resolution (Human Resources No. 1304-09) approving an overview of benefits for five athletics administrators and coaches. Ms. Casey Comoroski’s contract was amended to provide an achievement payment to her if the NCAA calculated Academic Progress Rate (APR) meets or exceeds the NCAA APR cut score. The other four employees listed were administrators or coaches who were hired subsequent to the Board approving the FY09-10 benefits for athletics coaches and administrators in June 2009. Moved and seconded, respectively, by Ms. Sheid and Mr. Duggan.

Motion passed 9-0.

Dr. Nietzel then gave a short presentation of how the university will reallocate $5.5 million in FY2011 due to the reduction in state appropriations to public institutions of higher education in Missouri. We expect our state appropriation reduction to be about $4.635 million and there are about $865,000 in increased expenses in FY2011 without offsetting revenue from the State. About 49% of the cut will come from central sources: the President, Provost, Vice President for Student Affairs, and the Athletics transfer. The remainder of the cut will come from the other Cost Centers that are being asked to reduce their budgets by 2.14%. Mr. Gordon Elliott, Chairperson of the Board’s Finance Committee, remarked that this presentation was made to the Finance Committee and this is a well thought-out plan that is not just a simple across-the-board cut, is a sound approach, and the Finance Committee supports the plan.

He next mentioned that at the recent Coordinating Board for Higher Education meeting, Mr. Jim Moody, a former Director of Budget for the State of Missouri, gave a very grim presentation on the state of Missouri’s future revenues and expenditures.

Dr. Nietzel next reported that we met with our local legislative delegation on December 11 to provide our annual legislative goals and materials which have been left at each of the governor’s seats.

He then introduced Dr. Melissa Burnett, Professor in the Marketing Department, and her colleagues to present some branding ideas that they have developed on behalf of Missouri State University. Dr. Burnett introduced Mr. Andrew Garton and Mr. Ryan Simpson, who assisted in the efforts in coming up with a branding strategy for the University. Their strategy and research has arrived at tag lines of: “Follow your passion. Find your place.”

8. Academic Affairs:

a. Faculty Senate Report ---Dr. Margaret Weaver, Chairperson for the Faculty Senate, gave a report to the Board which included the Faculty Senate’s resolution on the merit pay process. This resolution recommends the suspension of the current merit pay system until such time that it seems likely that increases in state appropriations and tuition revenues will support a three-percent general pay increase.

Dr. Mark Richter, Chair of the Committee on Honorary Degrees, next presented the following resolutions for the Board’s consideration:

The honorary doctorate degree, Doctor of Public Affairs (A.P.D.), be conferred upon Mr. Calvin Allen at the Commencement Ceremony in May 2010 (Awards No. 33-09).

The honorary doctorate degree, Doctor of Letters (Litt.D.), be conferred upon Mr. Gordon McCann at the Commencement Ceremony in May 2010 (Awards No. 34-09).

Moved and seconded, respectively, by Mr. Winston and Mr. Elliott.

Motion passed 9-0.

b. Report from the Provost --- Dr. Belinda McCarthy, Provost, first introduced Dr. Pawan Kahol, Associate Dean of the College of Natural and Applied Sciences, who was selected as the recipient of the 2009 Carnegie Foundation for the Advancement of Teaching Missouri Professor of the Year.

She then presented a resolution (Curriculum No. 333-09) for the approval of the Academic Calendar for 2011-2012. Moved by Ms. Sheid and seconded by Ms. Washington.

Motion passed 9-0.

She then presented the following resolutions for the Board’s consideration:

That Sections 12.6 and 7.2.1-7.2.3 of the Faculty Handbook be revised (Faculty Policies No. 119-09).

That Sections 4.7.4, 5.3, and 5.4 of the Faculty Handbook be revised (Faculty Policies No. 120-09).

That Sections 3.2, 3.6.1, 3.6.2, 3.12, 7.2.1, 7.2.2, 4.6.2, 4.6.3, 4.6.3.1, 4.6.3.2, 4.6.4, 4.7.2, 3.6.10.2, and 3.6.11 of the Faculty Handbook be revised (Faculty Policies No. 121-09).

That Section 4.2.2.3 of the Faculty Handbook be revised (Faculty Policies No. 122-09).

Moved by Ms. Bradbury. Seconded by Mr. Winston.

Motion passed 9-0.

9. Research and Economic Development --- Dr. Jim Baker, Vice President for Research and Economic Development, reported that two of the students recognized earlier today as Citizen Scholars will be studying in China this next semester.

10. West Plains Campus --- Dr. Drew Bennett, Chancellor of the West Plains Campus, first presented the following resolutions for the Board’s consideration:

Approval of revisions to the Missouri State University – West Plains Constitution and By-Laws of the Faculty Senate, Preamble, concerning ART IV and ART I, SEC 1, SEC 2, and SEC 6 of the By-Laws of the 2006 revised edition (West Plains Faculty Policies No. 10-09).

Approval of revisions to the Missouri State University – West Plains Faculty Handbook, concerning sections 1.5, 2.8.8.1, 2.11.1, 2.11.1.1, 2.11.1.2, 2.11.6, 2.16.2.4, and 2.20.3 (West Plains Faculty Policies No. 11-09).

Moved by Ms. Sheid and seconded by Ms. Washington.

Motion passed 9-0.

Dr. Bennett reported that the Lady Grizzlies volleyball squad ended up ranked second in the nation.

11. Student Affairs (Continued):

a. Report from Student Body President --- Mr. Chris Polley, President of the Student Body, reported that the SGA has recommended that the Faculty Senate research the effects of the Plus/Minus scale this academic year (the first year under this new grading system). They have also commissioned the publication of a school yearbook.

b. Report from Vice President for Student Affairs --- Dr. Earle Doman, Vice President for Student Affairs, reported that Spring Enrollment is up four percent when compared to last year at this time. We are up nine percent in Freshmen applications for Fall 2010 and up 48% in transfer applications for Fall 2010.

12. Staff Senate --- Ms. Konya Knackstedt, Chairperson of the Staff Senate, included in her report that their smoke-free campus proposal is with Dr. Nietzel at this time.

13. Financial (Continued):

a. Development Report --- Mr. Brent Dunn, Vice President for University Advancement, reported that as of November 30, 2009, we are down about $2.9 million in gifts received when compared to last year at this time.

b. Financial Report --- Ms. Hayes presented a Procurement Activity Report that included x-ray interpretation services, a pSeries tape expansion with pSeries drive expansion unit, and the Motorola MC70 pocket PC with EMTrack Mobile Software. These items were for informational purposes and did not require Board action.

14. Facilities and Equipment --- Mr. Ken McClure, Vice President for Administrative and Information Services, presented the following items for the Board’s consideration:

Approval to enter into a binding Letter of Intent with Brick City Tenant, LLC and/or assigns, for the future lease of Phase II (Building #3) of The Brick City Development to host the Art and Design Department (Agreement No. 249-09).

Architectural and engineering services in conjunction with the science room addition to Greenwood Laboratory School (Architects & Engineers No. 653-09); Butler Rosenbury & Partners, for $72,590 plus reimbursable expenses. Additional services of up to $10,000 as described in this agreement may be authorized and approved as necessary.

Moved and seconded, respectively, by Mr. Elliott and Mr. Duggan.

Motion passed 9-0.

15. Human Resources --- Mr. McClure then presented a resolution (Human Resources No. 1305-09) for the approval of an amendment to the University’s Medical Insurance Plan. This amendment brings us into compliance with the Mental Health Parity Act and increases the lifetime maximum benefit from $1 million to $2 million. Moved by Ms. Sheid and seconded by Mr. Duggan.

Motion passed 9-0.

16. Unfinished Business --- Mr. Clif Smart, General Counsel, presented a resolution (Board Policies No. 58-09) for the adoption of Governing Policies for Missouri State University. He summarized the changes, mostly suggestions from Mr. Hammons, to the draft manuals that were given to the Board at their October meeting. These changes include:

a) Governing Policy 1.23 regarding the presidential search was modified at the December 1, 2009, Board meeting so it does not need to be included in this resolution.

b) Governing Policy 2.01 regarding campus law enforcement policies is being moved to an operating policy so it should be stricken from this resolution.

c) A Bylaws tab will be added to the new Policy Manual.

d) The opening paragraph will be reworded to read “all policies found herein…” rather than “all policies found on the website...”.

e) The reference to SMSU in G1.13, page 4, will be corrected to MSU.

f) The President and Vice-President of the Board reference in G1.18, page 3, will be corrected to Chair and Vice-Chair of the Board.

g) The date 9-15-06 stuck in the middle of a paragraph in G1.21 will be stricken.

h) The remaining two governing policies in Chapter 2 have been renumbered after correcting for b) above and the campus law enforcement policies will now be renumbered Op2.17.

Moved and seconded, respectively, by Mr. Winston and Mr. Duggan.

Motion passed 9-0.

17. New Business --- Mr. Hammons provided a status report on the presidential search process. Mr. Duggan was appointed Chair of the Search Committee at a Board conference-call meeting last week. Mr. Duggan then reported that the size of the search committee was established last night: three board members, three faculty, one staff, one student, one from the President’s administrative council, one academic administrator, and four alumni/community. It was also approved last night that the search committee will not exceed $100,000 in expenditures without further board approval. He added that Ms. Bradbury and Mr. Elliott are going to develop the “presidential qualities statement.” The search timeline will be left up to the Search Committee. The two other board members on the Search Committee will be Ms. Sheid and Ms. Washington.

18. Date of Next Meeting --- The date of the next regularly scheduled meeting was set for Friday, February 19, 2010, at 10:00 a.m. on the Springfield Campus.

19. Adjournment--- Mr. Hammons adjourned the meeting at 11:15 a.m. on the motion of Mr. Duggan, the second of Mr. Winston, and the unanimous vote of the Board.

John W. McAlear

Secretary