January 15, 2014

MINUTES OF THE EXECUTIVE COMMITTEE

OF THE BOARD OF GOVERNORS

MISSOURI STATE UNIVERSITY

January 15, 2014

1. Roll Call:

Present - Mr. Peter Hofherr, Governor (by conference call)

Mr. Steve Hoven, Governor (by conference call)

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

Ms. Carrie Tergin, Governor (by conference call)

Also Present - Clifton Smart, President

Virginia Fry, Governor (by conference call)

Paige Jenkins, Student Governor

Frank Einhellig, Provost

Ken McClure, Vice President for Administrative and Information Services

Steve Foucart, Chief Financial Officer

Penni Groves, General Counsel

Paul Kincaid, Chief of Staff

Donna Christian, Director of Internal Audit & Compliance

Brent Dunn, Vice President for University Advancement

Dee Siscoe, Vice President for Student Affairs

Allen Kunkel, Associate Vice President for Economic Development

Matt Morris, Associate Vice President for Administrative and Information Services

Tina McManus, Controller

Casey Hunt, Senior Associate Director of Athletics

Doug Sampson, University Architect and Director of Planning, Design, and Construction

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 December 4, 2013. Mr. Hofherr so moved, receiving the second of Mr. Hoven.

Motion passed 3-0.

4. President – President Clif Smart presented a resolution (Item III.A.) approving the 2014/2015 employment agreements for Missouri State University football coaches. He explained that the agreements reflect the 2% salary increase approved for all University employees by the Board of Governors on June 21, 2013. Mr. Hoven so moved, receiving the second of Ms. Tergin.

Motion passed 3-0.

5. Provost – Dr. Frank Einhellig, Provost, next presented a resolution (Item IV.A.) approving the 2015-16 academic calendar. He indicated that a major change from previous calendars is the Fall Break has been moved to Monday and Tuesday of the week including Thanksgiving, which results in that entire week being a Thanksgiving Vacation for students and faculty. This has become the standard for many institutions of higher education and other Missouri universities which have already made this move include the University of Missouri system, Truman State, Missouri Western, Northwest Missouri State, and the University of Central Missouri. Moved and seconded, respectively, by Mr. Hofherr 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 November 25, 2013, through January 10, 2014 (Item V.A.). The three items included in the resolution were:

In May, 2012, a consulting contract with Parallax to develop and implement a marketing plan for Residence Life to attract and retain students was approved by the Board. While not part of the contract, Parallax was able to secure competitive pricing for the printed and video production materials. These are at lower price points then our previous marketing material costs. Approval is requested for a funding increase of $80,000 to cover the expanded scope of the actual production of marketing materials. These costs are part of the normal annual operating budget for Residence Life and are included in the FY14 operating budget.

In March, 2013, approval was given to award the auditing services contract RFP to BKD for one year with two optional renewals, with each renewal coming back for Board approval. Based on the quality of services provided by BKD, approval is requested to exercise the first renewal option for the period July 1, 2014, through June 30, 2015. In addition, BKD and the University have worked together to improve efficiencies which has allowed for a decrease in the contract price of $5,395 for the first renewal period. Core services for one year are estimated to be about $241,187.

In October, 2013, an RFP for a branch bank located in Plaster Student Union and on-campus ATM machines was sent to over 20 banks. Commerce Bank has been providing these services and that contract will expire in May, 2014. The only two bids received were from Commerce Bank and US Bank. Over the term of the proposed contract (five years plus four one-year renewals, the University would receive revenue of $1,263,000 from Commerce Bank versus $793,000 from US Bank. Approval is requested to award the contract and renewal options to Commerce Bank.

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

Motion passed 3-0.

7. Facilities and Equipment --- Mr. Ken McClure, Vice President for Administrative and Information Services, next presented a resolution for professional services in conjunction with the exterior envelope improvements for the west grandstand at Plaster Sports Complex (Item VI.A.); Structural Engineering Associates, Inc., for a fixed, not-to-exceed fee of $112,400 plus reimbursable expenses. Additional services of up to $15,000 as described in this agreement may be authorized and approved as necessary. They hope to select a contractor in April and have the work performed at the same time as the other stadium work with a completion date by the beginning of the school year. This project is funded from the Operating Maintenance & Repair budget. Moved by Mr. Hoven. Seconded by Ms. Tergin.

Motion passed 3-0.

Mr. McClure then presented the following three resolutions for the Committee’s consideration:

Construction material testing services in conjunction with the planned athletic and recreation field improvements (Item VI.B.); Palmerton & Parrish, Inc., for a fixed fee of $65,250 plus reimbursable expenses. Additional services of up to $25,000 as described in this agreement may be authorized and approved as necessary.

Approval to increase the project budget for improvements to the athletic and recreation fields on the Springfield campus (Item VI.C.); this $1,722,190 increase brings the new total project budget to $26,819,190. This increase is funded by a private donation of the same amount to upgrade the scoreboards and signage at the track/soccer complex, the field hockey and lacrosse complex, and the sand volleyball complex.

Approval of a resolution (Item VI.D.) granting a sanitary sewer easement to the City of Springfield to allow for the construction of the new athletic and recreation field improvements. The existing sanity sewer line that crosses the open field north of Glass Hall between John Q. Hammons Parkway and Clay Avenue needs to be relocated to avoid interference with planned improvements for the new track and soccer complex being constructed.

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

Motion passed 3-0.

Mr. McClure next presented a resolution (Item VI.E.) granting easements to KAMO Electric Cooperative, Inc., (KAMO) for the construction of an electrical transmission line and a fiber optic or other communication system through property referred to as Baker’s Acres on Missouri State University property located in Webster County. KAMO has agreed to pay the University fair market value for these easements, including $14,033 for the fiber optic line and $42,100 for the electric transmission line. Moved by Mr. Hofherr and seconded by Ms. Tergin.

Motion passed 3-0.

He next presented a resolution (Item VI.F.) for the approval of Amendment #3 to Lease Agreement with Brewer Science, Inc., at Jordan Valley Innovation Center (JVIC). Brewer Science currently occupies approximately 4,264 square feet of space on the 5th floor of Buildings 1 and 2 (Parcel 1) of JVIC at a rate of $13.50 per square foot per year and approximately 3,200 square feet of space on the 2nd floor of Building 5 (Parcel 2) of JVIC at a rate of $16 per square foot per year. Amendment #3 clarifies that the term of the Lease for the space currently occupied will expire on April 30, 2017. Amendment #3 also leases an additional 4,264 square feet on the 2nd floor of Buildings 1 and 2 (Parcel 3) of JVIC to Brewer at a rate of $13.50/sf with a term to expire on January 31, 2015. Thereafter, Brewer may extend the term for this new space through April 30, 2017, at a rate of $16/sf. If Brewer extends with regard to Parcel 3, Brewer will have the option to terminate the Lease with regard to Parcel 1. Amendment #3 also grants Brewer an option to extend the Lease through April 30, 2027, at a rate to be calculated in accordance with the Consumer Price Index but not to exceed $18/sf. Amendment #3 also modifies the subleasing terms of the Lease and grants Brewer a first right of refusal on three additional JVIC parcels. Mr. McClure explained that this new space leased to Brewer takes some of the Lockheed Martin space that was vacated on November 30, 2013. Motion to approve was made and seconded, respectively, by Ms. Tergin and Mr. Hoven.

Motion passed 3-0.

8. Human Resources – Mr. McClure then presented a resolution (Item VII.A.) approving a new Governing Policy, G7.07, regarding a Military Science Department Fee Waiver Policy. He explained that the Military Science Department is staffed by United States Military personnel. Although Military personnel are not University employees, they benefit the University and its students by teaching leadership training courses in military science. He further explained that the University has had a practice for many years of allowing the same credit course fee waiver benefit for Military personnel of the Military Science Department as allowed for university employees. This new policy formalizes this practice as well as includes the standard, non-credit course fee waiver benefit for Military Science personnel. After a short discussion, it was determined that there were no on-campus, vendor-companies whose employees should receive similar fee waivers. Moved and seconded, respectively, by Mr. Hoven and Mr. Hofherr.

Motion passed 3-0.

9. Adjournment — Ms. Miller adjourned the conference-call meeting at 4:35 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