The official minutes of the University of South Carolina Board of Trustees are maintained by the Secretary of the Board. Certified copies of minutes may be requested by contacting the Board of Trustees’ Office. Electronic or other copies of original minutes are not official Board of Trustees' documents.
Board of Trustees
December 16, 2002
The University of South Carolina Board of Trustees met on Monday, December 16, 2002, at 10:45 a.m. in the Carolina Plaza Board Room.
Members present were: Mr. Mack I. Whittle, Jr., Chairman; Mr. Herbert C. Adams, Vice Chairman; Mr. Arthur S. Bahnmuller; Mr. James Bradley; Dr. C. Edward Floyd; Mr. Samuel R. Foster, II; Mrs. Helen C. Harvey; Mr. William C. Hubbard; Mr. Toney J. Lister; Mr. Miles Loadholt; Mr. John S. Long; Mr. Robert N. McLellan; Mr. Michael J. Mungo; Mr. James A. Shuford, III; Mr. M. Wayne Staton; and Mr. Othniel H. Wienges, Jr. Trustees absent were: Mr. Alexander English; Ms. Darla D. Moore; Mrs. Inez M. Tenenbaum; and Mr. John C. von Lehe, Jr. The faculty representative, Professor Robert Wilcox was present; the student representative, Mr. Ankit Patel, was absent.
Others present were: President Andrew A. Sorensen; Secretary Thomas L. Stepp; Executive Vice President for Academic Affairs and Provost Jerome D. Odom; Vice President and Chief Financial Officer Richard W. Kelly; Vice President for Information Technology and Chief Information Officer William F. Hogue; Vice President for Human Resources Jane M. Jameson; Vice President for Student and Alumni Services and Interim Vice President for Development Dennis A. Pruitt; Interim Vice President for Research and Dean of The Norman J. Arnold School of Public Health Harris Pastides; General Counsel Walter (Terry) H. Parham; Vice Provost and Executive Dean for Regional Campuses and Continuing Education Chris P. Plyler; Chancellor of USC Aiken Thomas L. Hallman; Chancellor of USC Spartanburg John C. Stockwell; Dean of USC Beaufort Jane T. Upshaw; Dean of USC Lancaster John Catalano; Dean of USC Salkehatchie Ann Carmichael; Dean of USC Sumter C. Leslie Carpenter; Dean of USC Union James W. Edwards; Vice President of Medical Affairs and Dean of the School of Medicine Larry R. Faulkner; Dean of the Graduate School Gordon B. Smith; Dean of the College of Nursing Mary Ann Parsons; Dean of the College of Education Les Sternberg; Dean of the College of Hospitality, Retail, and Sport Management Patricia G. Moody; Dean of The Darla Moore School of Business Joel A. Smith; Interim Dean of the College of Social Work Leon Ginsberg; Associate Dean of Academic Affairs, The Darla Moore School of Business, Rodney L. Roenfeldt; Director of the Department of Athletics Michael B. McGee; Assistant Treasurer Susan D. Hanna; Director of the Office of Budget William P. Bragdon; Director of Facilities Planning and Construction and University Architect Charles G. Jeffcoat; Director of Planning Services, Facilities Planning and Construction, Donna Collins; Assistant to the Vice President, Office of Business and Finance, Ken Corbett; Director of the Extended Graduate Campus, Graduate School, Aileen C. Trainer; Trustee Emeritus Charles E. Simons, III; Retiring faculty members: Gerald L. Euster and John T. Gandy of the College of Social Work, and Charles F. Kovacik, Lisle S. Mitchell, and Nancy S. Thompson of the College of Liberal Arts; Director of Periodicals, University Press, Chris Horn; Chairman of the Lancaster County Commission for Higher Education W. L. McDow; Religious Counselor, Hillel Jewish Counselorship, Bernard L. Friedman; Director of the Office of Public Affairs Russell McKinney; and members of the press.
Chairman Whittle stated that notice of the meeting had been posted and the press notified as required by the Freedom of Information Act; the agenda and supporting materials had been circulated to the members; and a quorum was present to conduct business.
Chairman Whittle welcomed everyone and invited Board members to introduce themselves. He recognized Mr. Charles Simons, III, Trustee Emeritus, who was present. Mr. McKinney introduced members of the media who were in attendance. At Chairman Whittle's invitation, Mr. Bernard Friedman delivered the invocation.
Chairman Whittle introduced retiring faculty members who were present and asked them to step forward to the podium. He explained that they had been awarded honorary faculty titles at the October 17, 2002, Board meeting. President Sorensen and Chairman Whittle extended congratulatory handshakes to each of the faculty members. The Board of Trustees acknowledged their efforts with a round of applause and Chairman Whittle thanked them for their service to the University of South Carolina.
Chairman Whittle stated that there were personnel matters with respect to honorary faculty titles, mid-year tenure and promotion recommendations, and a change of title for a USC Beaufort campus executive which were appropriate for discussion in Executive Session. Mr. Bradley moved to enter Executive Session, and Mr. Hubbard seconded the motion. The vote was taken, and the motion carried.
The following persons were invited to remain: Dr. Sorensen, Mr. Stepp, Dr. Odom, Mr. Kelly, Ms. Jameson, Dr. Pruitt, Dr. Pastides, Dr. Plyler, Mr. Parham, Mr. McKinney, Ms. Tweedy, and Ms. Stone.
Return to Open Session
The Health Affairs Committee of the University of South Carolina Board of Trustees had met on Thursday, October 17, 2002 and had heard two reports.
There had been large increases in the federal budget related to biomedical research. During the past five years, NIH (National Institutes of Health) funding had increased approximately 15 percent per year to a current fiscal year total of $26.5 billion. Also, there had been a parallel increase in private sector funding with an emphasis on pharmaceutical and biotechnical investments.
Dr. Pastides had provided examples of the economic impact of biomedical research. It had been estimated that the discovery that lithium helped in the treatment of depression had saved $9 billion per year in medical care. Calcium as a preventive for osteoporosis had been estimated to save approximately one third of one billion dollars per year in preventable hip fractures.
Dr. Berger commented that the grant: Supported the research efforts of four principal investigators for the University who had not previously acquired significant funding from federal sources.
Utilized facilities with high tech equipment and expertise available to all of the investigators.
Supported the hiring of ten new faculty in the area of colon cancer research in several University departments including Biology, Chemistry, School of Public Health, and the School of Medicine.
Dr. Sorenson stated that the three bases of a research university were research (or scientific discovery), teaching and learning, and service (or outreach). The grant represented an integration of all of these basic roles of a university. The University of South Carolina would be conducting research regarding the causes of colon cancer and, through research, would develop drugs, and therapies to prevent it. Dr. Sorenson believed that under the leadership of Dr. Odom and Dr. Pastides, the University would be awarded many other grants of this magnitude.
The following individual would be awarded the title Distinguished Professor during her final year of service. That title would change to Distinguished Professor Emerita at her retirement:
The following individual would be awarded the title Emeritus Professor effective with his retirement:
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of these two honorary faculty titles. Mr. Hubbard seconded the motion. The vote was taken, and the motion carried.
Nancy P. Zimmerman would be awarded Tenure as Associate Professor, School of Library and Information Science, College of Mass Communications and Information Studies.
Ran Wei would be promoted to Associate Professor with Tenure, School of Journalism and Mass Communications, College of Mass Communications and Information Studies.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of these two tenure and promotion recommendations. Mr. Adams seconded the motion. The vote was taken, and the motion carried.
This request had received all appropriate approvals. On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this departmental name change from the "Division of Libraries and Instructional Services" to "University Libraries" as described in the materials distributed for this meeting. Mr. Lister seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mr. Bradley seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program modification as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mr. Foster seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mrs. Harvey seconded the motion. The vote was taken, and the motion carried.
Mr. Bradley inquired whether tuition and fees would remain the same for these five bachelor degree programs. Dean Upshaw responded that the cost would be identical for a total income of $5,761,000 and expenses of $1,662,000. She anticipated a net profit of $4 million because of the additional two years of income and no added faculty expenses.
On behalf of the Academic Affairs and Faculty Liaison Committee, Mr. McLellan moved approval of this program as described in the materials distributed for the meeting. Mr. Lister seconded the motion. The vote was taken and the motion carried.
Vice Admiral Paul L. Gaffney, II, President of the National Defense University, who would speak at Commencement exercises this afternoon.
Hugh K. Leatherman, Businessman and Senator, who would receive an honorary degree at commencement exercises this afternoon.
Karl C. Rove, White House Political Consultant and Marketing Professional, who would receive an honorary degree at commencement exercises this afternoon.
William E. Murray, Philanthropist, Attorney, and Trustee of the Donaldson Charitable and Freeman Charitable Trusts, who would receive an honorary degree at commencement exercises this afternoon.
Dr. Floyd seconded the motion. The vote was taken, and the motion carried.
The Academic Affairs and Faculty Liaison Committee had also heard a report from Vice President and Chief Information Officer Bill Hogue concerning the status of the Information Technology SDI recommendation.
Mr. Loadholt had reported that the Buildings and Grounds Committee had met on Friday, November 8, 2002, and had discussed the following item:
The following four items required consideration by the Board:
Work would include reconfiguration of the second floor space with associated mechanical and electrical modifications. The renovations would also upgrade and consolidate other student program offices located in the area. Temporary relocation of functions on the second floor during the renovation would also be necessary.
On behalf of the Buildings and Grounds Committee, Mr. Loadholt moved approval of this project to fund the relocation of the student government offices with a budget of $265,000 funded with $100,000 in Auxiliary Funds and $165,000 in Student Services Funding as described in the materials distributed for the meeting. Mr. Hubbard seconded the motion. The vote was taken, and the motion carried.
At this time, the project was estimated to cost $3 million. Initial planning, budgeted at $250,000, would be funded with Athletics funds. The remaining amount would be funded entirely with private funds; Coach Lou Holtz would be involved in the fund raising efforts.
On behalf of the Buildings and Grounds Committee, Mr. Loadholt moved approval of the establishment of the Williams-Brice Stadium South End Zone Football Building project with a budget of $3 million funded with $250,000 in Athletics funds and $2.75 million in private funds. The approval of this project was contingent upon the successful collection of the private funds. Mr. Bahnmuller seconded the motion. The vote was taken, and the motion carried.
Mrs. Harvey voiced her objection regarding the investment of additional funds in Athletics facilities at this time; therefore, she cast a vote of "no" on this motion.
The requested $1.2 million increase would be funded with $525,000 from Sales and Services; and $675,000 from the Athletics Department.
On behalf of the Buildings and Grounds Committee, Mr. Loadholt moved approval of the $1.2 million Carolina Center project budget increase to cover the costs associated with various unanticipated modifications and final costs to be funded with $525,000 Sales and Services and $675,000 from Athletics Department funds as described in the materials distributed for this meeting. Mr. Foster seconded the motion. The vote was taken, and the motion carried.
Mr. Mungo inquired about the Carolina Center project overage. Dr. McGee responded that the University was responsible for the cost of various unforeseen expenses. He also noted that the concessionaire and the sign company had requested and had paid for some of the additional expenses.
On behalf of the Buildings and Grounds Committee, Mr. Loadholt moved approval of the Strom Thurmond Center name change as presented. Mr. Mungo seconded the motion. The vote was taken, and the motion carried.
The Student-Trustee Liaison Committee had hosted the annual reception for Carolina students on Friday, November 8, 2002. This reception had provided an opportunity for students to meet Board of Trustees members and to share thoughts and ideas.
Attendance was excellent from students and Board members. Dr. Sorensen had also enjoyed the opportunity to meet and talk with students. Mr. Shuford thanked board members, all of the students who drove to Columbia from the regional campuses, and Ankit Patel and other USC Columbia student government leaders who had attended the event.
The following two items had been approved for recommendation to the Board; the third item had been reviewed in Executive Session of the Committee and the full Board without objection:
The University anticipated issuing a separate series of Athletics Facilities Revenue Bond Anticipation Notes sufficient to pay the principal and interest due on this issue. This resolution provided for issuance of BANS not to exceed $9,400,000, the current amount outstanding; however, it was projected that the University would pay down the stadium BANS by the amount of $1,315,000 (and the BANS relating to the arena by $860,000).
Mr. Bradley stated that the University would borrow the money at the low interest rate of approximately 1.2 percent because of Carolina's AAA credit rating and Mr. Kelly's excellent negotiating ability.
Mr. Mungo moved approval of the issuance of Athletics Facilities Bond Anticipation Notes not to exceed $9,400,000 to refund and refinance the Athletics Facilities Bond Anticipation Notes relating to the stadium as described in the materials distributed for the meeting. Mr. Foster seconded the motion. The vote was taken, and the motion carried. [Exhibit A]
The University anticipated issuing Athletics Facilities Revenue Bonds sufficient to pay the principal and interest due on this issue. This resolution provided for issuance in an amount not to exceed $7,000,000, the current amount outstanding. It was projected that the University would pay down the arena BANS in the amount of $860,000.
Mr. Lister moved approval of the issuance of Athletics Facilities Revenue Bonds in an amount not to exceed $7,000,000 to refund and refinance the Athletics Facilities Revenue Bond Anticipation Notes relating to the arena as described in the materials distributed for the meeting. Mr. Mungo seconded the motion. The vote was taken, and the motion carried. [Exhibit B]
This request had received all appropriate approvals and was presented in Executive Session of the Executive Committee and the full Board without objection.
Mrs. Harvey moved approval of the change of title for Dr. Jane Upshaw from Dean to Chancellor, USC Beaufort. Mr. Bradley seconded the motion. The vote was taken, and the motion carried.
The Executive Committee had endorsed this change in fees as described in the materials distributed for the meeting.
Mr. Hubbard moved approval to equalize the USC graduate courses fees charged technical college teachers with the fees charged public school teachers. Mr. Bradley seconded the motion. The vote was taken, and the motion carried.
Dr. Sorenson commended the deans of the seven non-Columbia campuses which made up the University of South Carolina. He had thoroughly enjoyed working with them to foster greater coherence.
Dr. Sorenson also commended Dean Pat Moody of the College of Hospitality, Retail and Sport Management and her staff for the restoration of the McCuthen House which was open to the public.
Dr. Sorenson stated that 43 of the 50 states in this country had experienced drastic reductions in legislative appropriations. The University budget had been cut by $33 million since he had officially assumed the presidency on July 1, 2002.
Due to these budget cuts, Dr. Sorenson had encouraged the faculty to pursue more grants and contracts. As a result, the University had increased grant awards from the previous fiscal year amount of $44.8 million to the current amount of $59.6 million. Research grants had increased from $29.5 million to more than $40 million for this fiscal year.
The most significant competition was federally-funded research awards from the National Science Foundation and the National Institutes of Health. The University had made extraordinary progress in that area from $23.6 million to $36.4 million which represented an increase of 54 percent in federal grant awards. Dr. Sorenson commended Interim Vice President for Research Harris Pastides, Provost Jerry Odom, deans and faculty who had been instrumental in the expansion of scholarly productivity.
Since there were no further matters to come before the Board of Trustees, Chairman Whittle declared the meeting adjourned at 11:40 a.m.
Respectfully submitted,
Thomas L. Stepp
Secretary