August 20, 2014




August 20, 2014

1. Roll Call:

Present - Mr. Steve Hoven, Vice Chair of the Board (by conference call)

Ms. Beverly Miller, Chair of the Board (by conference call)

Ms. Carrie Tergin, Governor (by conference call)

Absent - Dr. Peter Hofherr, Governor


Present - Mr. Clif Smart, President

Mr. Caleb Doyle, Student Governor

Dr. Frank Einhellig, Provost

Dr. Drew Bennett, Chancellor of the West Plains Campus (by conference call)

Mr. Ken McClure, Vice President for Administrative and Information Services

Ms. Rachael Dockery, General Counsel

Mr. Steve Foucart, Chief Financial Officer

Ms. Donna Christian, Director of Internal Audit & Compliance

Mr. Ryan DeBoef, Chief of Staff

Mr. Matt Morris, Associate Vice President for Administrative and Information Services

Mr. Jeff Morrissey, Chief Information Officer

Ms. Hillary Roberts, Program Director of the Dietetic Internship Graduate Certificate Program

Mr. Doug Sampson, University Architect and Director of Planning, Design, and Construction (by conference call)

Ms. Tina McManus, Controller

Mr. John McAlear, Secretary of the Board

2. Presiding – Ms. Beverly Miller, Chair of the Board of Governors, called the Executive Committee conference-call meeting to order at 4:00 p.m. in Room 203 of Carrington Hall on the campus of Missouri State University in Springfield, Missouri.

3. Approval of Minutes – Ms. Miller mentioned that the first item of business was the approval of the minutes for the open meeting of July 16, 2014. Ms. Tergin so moved, receiving the second of Mr. Hoven.

Motion passed 3-0.

4. President --- President Clif Smart presented a resolution (Purchase Approval 134-14) for the approval of a state governmental consulting services contract with Burch & Associates. An RFP was sent to 27 companies for consideration, with seven proposals being submitted. A five-person committee evaluated the proposals and two bidders were selected for in-person interviews. Burch & Associates, the incumbent (Jerry Burch has been the University’s lobbyist for the past 22 years), emerged as the committee’s choice for award of the contract. The annual cost is the same as the annual cost of the University’s current contract. However, at no additional cost, Burch & Associates will be partnering with Governmental Services Group, Inc. (owned and operated by Scott Marrs, a highly respected lobbyist in southwest Missouri) to fulfill the contract. The contract will be for an initial term from September 1, 2014, through August 31, 2015, with four annual optional renewal periods. Mr. Hoven so moved, receiving the second of Ms. Tergin.

Motion passed 3-0.

5. Academic Affairs --- Dr. Frank Einhellig, Provost, presented a resolution (Administration No. 38-14) for the establishment of the Missouri State University Center for Community Engagement to enhance the community engagement component of the public affairs mission. This proposed Center was discussed at the July 31, 2014, Board retreat. Dr. Michael Stout will oversee initial operations of the Center. Start-up funds for the Center will be provided by the Provost, and the Dean of the College of Humanities and Public Affairs will provide funds for Dr. Stout’s re-assigned time to direct the Center. After two years, the Center will need to be self-supporting and will be sustained through externally generated revenues. A key benefit from the Center will be the opportunities for students to be trained in community-based research and to participate in community-based research projects. Moved and seconded, respectively, by Ms. Tergin and Mr. Hoven.

Motion passed 3-0.

6. Procurement and Financial – Mr. Steve Foucart, Chief Financial Officer, presented a resolution summarizing Procurement Services’ Office activities from July 11, 2014, through August 14, 2014 (Purchasing Activity Report No. 409-14). The report includes:

  • Approval is requested to extend Broadcast Services’ existing Music Library Service contracts with de Wolfe Music USA Incorporated and American Music Company for three additional years at a total three-year cost of $14,700.
  • Approval is requested to continue utilizing The Interlocal Purchasing System cooperative contract with En Pointe Technologies to provide Microsoft software to the University in the amount of $136,326.96 for the upcoming year.
  • Approval is requested to continue our agreement with the University of Missouri for the MOBIUS port for access to the online catalog system for the FY2015 year at an estimated cost of $163,283.07.
  • Approval is requested to award a contract to Associates in Sign Language (ASL) LLC as the single feasible source for sign language and interpreter services with an estimated cost of $165,000 for the year ending August 31, 2015. These services are mandated by the Americans with Disabilities Act to ensure equal access to services and programs. Four additional one-year renewal option periods are possible.
  • Approval is requested to utilize the Educational and Institutional Cooperative contract with SKC Communications to provide Avaya software maintenance support for voice communications to serve the Mountain Grove, Springfield, and West Plains Campuses. Maintenance will be provided for three years ending on August 31, 2017, with a three-year estimated cost of $180,339.24.
  • Approval is requested to exercise our first renewal option with Express Employment Services to provide temporary unskilled employment services on an as-needed basis for the period October 1, 2014, through September 30, 2015, at an estimated cost of $220,125.

Mr. Hoven so moved, receiving a second from Ms. Tergin.

Motion passed 3-0.

Mr. Foucart next provided a brief update on the upcoming Educational Facilities Bond Issue in September. We have completed our due diligence calls with the rating agencies and legal counsel for the underwriter, Edward Jones, and are progressing according to our timeline. Edward Jones has recommended that the University utilize an underwriting team on this transaction, with Edward Jones serving as the Senior Manager and enlisting Stifel Nicolaus and R. W. Baird as co-managers. Edward Jones has advised each firm is extremely qualified and capitalized and able to provide access to institutional investors which have recently allowed lower interest rates for the earlier bond maturities. This is a common practice for bond issues. Under the terms of our RFP, the University provided for this flexibility. While this does not require Board approval, we did want to keep the Board advised on the marketing process for the bond issue.

7. Facilities and Equipment --- Mr. Ken McClure, Vice President for Administrative and Information Services, presented the following resolutions for the Committee’s consideration:

Approval of a lease agreement with Warren Davis Properties IV, L.L.C. for property located at 110-117 South Park Central Square for general office and education space (Agreement No. 349-14). This property includes the Park Central Office Building and Levy-Wolf Building (PCOB). PCOB serves large space needs within the College of Education, Department of Fashion and Interior Design, and Department of Psychology. There are a total of three separate leases, rates, and expiration dates. We have negotiated one set of terms for the 103,529 square feet to maximize resources and efficiency and the new base ten-year term, from January 1, 2015, through December 31, 2014, will solidify an established presence at an anchor building within downtown Springfield. The rental rate is $11.47/square foot for the first six months of the contract and $13.35/square foot for the remainder of the contract. There are two separate five-year renewal options and we have a Purchase Option and Right of First Refusal for PCOB and adjacent 332-space parking garage. Warren Davis Properties IV, L.L.C. provides building operations (maintenance, custodial, and utilities) within the noted rental rate.

Approval of residential lease agreement for Dietetic Internship Housing with Box Properties (Agreement No. 350-14). This nine-month lease commences August 20, 2014, and terminates May 1, 2015, and is for one two-bedroom apartment in Webb City, Missouri. The total rent for the apartment will be $5,217. Missouri State’s Dietetic Internship Graduate Certificate Program is an accredited nine-month program in which students complete 18 credit hours of courses and participate in a minimum of 1,200 supervised practice hours in Springfield and the southwest Missouri area. This lease provides temporary housing for students who are doing their supervised practice hours in the Joplin region.

Moved and seconded, respectively, by Ms. Tergin and Mr. Hoven.

Motion passed 3-0.

Mr. McClure then presented the following resolutions:

Construction material testing and special inspection services in conjunction with the Occupational Therapy Building (Architects & Engineers No. 702-14); Palmerton & Parrish, Inc., for a not-to-exceed fee of $63,756 plus reimbursable expenses. Additional services of up to $25,000 as described in this agreement may be authorized and approved as necessary.

Roof replacement at Kellett Hall, West Plains campus (Bids & Quotations No. 1473-14); Rio Contracting, LLC, only bid received of $85,117 for the base bid plus alternates 1 and 2; total project budget set at $100,400.

Exterior repairs to the penthouses at Meyer Library (Bids & Quotations No. 1474-14); Rio Contracting, LLC, low bid of $74,950; total project budget established at $120,000. The project includes repairs to the western mechanical penthouse at Meyer Library. Alternate 1 included preventative repairs to the eastern penthouse but was not included in the award.

Mr. Hoven so moved, receiving the second of Ms. Tergin.

Motion passed 3-0.

Mr. McClure then presented a resolution (Board Policies No. 92-14) for approval of revisions to G12.01 Information Security Policy. He explained that there have been many changes in this industry that have broadened the scope of what the Information Security policy includes. The broadened policy, now entitled Information Assurance, takes into account all risks to data, not just security issues.

Moved and seconded, respectively, by Ms. Tergin and Mr. Hoven.

Motion passed 3-0.

8. Unfinished Business --- Mr. McClure next brought the Committee up to date on the University’s planned participation in City Utilities’ solar power project where customers can enroll to purchase up to 200 kilowatts of solar power. The largest solar farm in the State of Missouri is located in northeast Greene County – 22,000 solar panels on a forty-acre site. City Utilities is purchasing the power through an agreement with Springfield Solar 1, a private company. We plan to pre-enroll (for a two-year period) to receive 200 kilowatts at $.12 per kilowatt. This rate compares to $.07 per kilowatt that we are currently paying. The program will start on October 1, 2014, if approved by City Council. He explained that 200 kilowatts equals about .7% of our electrical consumption. This higher rate on 200 kilowatts would cost the university about $15,000 per year. President Smart commented that the cost does not meet the threshold needing Board approval, but we wanted the Board to support the participation in the program. Mr. McClure added that for those participating in this program - the solar rate is locked in for twenty years without any rate increase. This participation makes us a community leader in promoting solar power and will resonate well with students, faculty, and staff. He indicated that to produce 200 kilowatts of solar energy on our own, the capital cost would approximate $1.6 million. He did explain that City Utilities’ solar power goes into the grid and you can’t tell one kilowatt from another, but this does allow us to participate in a solar power project without the up-front capital costs and ongoing maintenance costs. If we purchased the solar power for twenty years, it would cost the university about $300,000; however, if other energy costs increase, this $300,000 cost would decrease, but this is all speculation. President Smart commented that the cost of energy from City Utilities has increased about three percent annually. The Executive Committee members were very excited about the University enrolling in the program as our students greatly value sustainability initiatives such as this.

9. Adjournment — Ms. Miller adjourned the conference-call meeting at 4:50 p.m., on the motion of Ms. Tergin, the second of Mr. Hoven, and the unanimous vote of the committee.

John W. McAlear

Secretary of the Board