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.

The Ad Hoc Committee on Advancement of the University of South Carolina Board of Trustees met Friday, June 6, 2003, at 10:00 a.m. in the Carolina Plaza Board Room.

Members present were: Mr. Herbert C. Adams, Chairman; Mrs. Helen C. Harvey; Mr. William C. Hubbard; Mr. Toney J. Lister; Mr. Miles Loadholt; Mr. M. Wayne Staton; and Mr. Mack I. Whittle, Jr., Board Chairman. Other Trustees present were: Mr. James Bradley; Mr. Mark W. Buyck, Jr.; Mr. Robert N. McLellan; and Mr. James A. Shufford, III.

Others present were: President Andrew A. Sorensen; Secretary Thomas L. Stepp; Executive Vice President for Academic Affairs and Provost Jerome D. Odom; Vice President for Information Technology and Chief Information Officer William F. Hogue; Vice President and Chief Financial Officer Richard W. Kelly; Vice President for University Relations T.W. Hudson Akin; Vice President for Human Resources Jane M. Jameson; General Counsel Walter (Terry) H. Parham; Dean of USC Lancaster John Catalano; Chancellor of USC Beaufort Jane T. Upshaw; Director of Facilities Planning and Construction and University Architect Charles G. Jeffcoat; Director of the Office of Public Affairs Russell McKinney; and members of the media.

Chairman Adams called the meeting to order and invited those present to introduce themselves. Mr. McKinney introduced members of the media who were in attendance. Chairman Adams 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; and a quorum was present to conduct business.

1. University Advancement Organization: Mr. Akin reported the University Advancement Division had been reorganized under the leadership of President Sorensen. Several departments had been incorporated into the Advancement Office: Development, Alumni Association, Public Affairs, Media Relations, Printing, and Government Relations.

2. University Development Fund-Raising Activities Report: Mr. Akin gave a brief overview of FY 2002-2003 private support from July 1, 2002 to April 30, 2003 and monies raised in various categories from July 1, 2002 to April 30, 2003. These reports were included in the material mailed to the Committee members. Mr. Akin stated that the University was significantly behind in fundraising as compared to this same time last year. Further, the Development Office would be reviewing the manner in which they had been counting contributions. In the future, the numbers will be accounted for more in line with the current cash value as opposed to the appraised value of a gift.

   Dr. Sorensen concurred with Mr. Akin and stated that the University had received a gift of property from Dupont Chemical which was appraised at $31 million. This $31 million gift was not placed on the University books because USC had not received one penny as a result of that gift, although it was appraised at $31 million and would benefit the donor. Monies will be booked to the University as the gift created new revenue in the future. Dr. Sorensen recommended that the Board only acknowledge those gifts when cash was actually generated or there was a financial benefit to the University.

   Mr. Whittle made remarks on CASE methodology and how this method treated in-kind gifts.

   Mr. Akin stated that prior to 1996, the University had averaged approximately $28 million per year in gifts received. Statistics showed that once USC began its fundraising campaign, overall giving went higher than it had ever been in the history of the institution. However, it was not unusual that funds would drop off after the completion of a campaign. Mr. Akin stated that the goal of a campaign should be that funds should not drop below the level prior to beginning a campaign. The main purpose of a campaign was to increase the awareness of the institution, encourage people to participate, and increase the amount of individual gifts. Mr. Akin stated that the fundraising trends looked very positive for the University.

3. University Communications Report: Mr. Akin reported that the University Communications Office consisted of Media Relations and Public Affairs. The Communications Office had hosted the Democratic Candidates Presidential Debate on May 3, 2003. Mr. Akin thanked Mr. McKinney for his leadership and efforts regarding this event. The University had received extensive publicity on ABC, CNN and other networks during and following the debate.

   Mr. Akin stated that the faculty was getting a lot of media attention with current events which were taking place at the University. The War of Terrorism experts list had resulted in members of the faculty being interviewed by MSNBC, BBC, CNN, The Houston Chronicle and other media. USC Publications had received the "Circle of Excellence Award." President Sorensen had received the silver award for his first USC Annual Report and the bronze award was won for the Moore School of Business "Annual Fund Mailer," and the "Bow Tie Bus Tour."

   Dr. Sorensen stated that two weeks ago, the University had hosted the Commission on Presidential Debates. The site visitation team was very impressed with the facilities, staff, and security. USC had placed a bid to host a Presidential Debate in the Fall of 2004 and hoped to hear whether it will be considered a host site by this fall. If chosen as a site, the event would be held at the Koger Center and the Carolina Coliseum would serve as the press center for some 2,500 reporters and news persons from around the world.

   Dr. Sorensen stated that he received e-mails from people from all across the world, including his family in Italy, expressing their excitement about the positive publicity USC had received from the worldwide telecast of President Bush's Commencement speech at the Spring Commencement on Friday, May 9.

4. Carolina Alumni Association Report: Mr. Akin reported that the Alumni Association had been very busy and was a new part of the advancement team. The Alumni Association staff were working with freshmen to encourage them to participate as student members of the Alumni Association. Currently the goal was to recruit 1,200 new members this year. Distance Education and Instructional Support (DEIS) had made available all three of the Columbia Commencements on video tape for anyone interested in purchasing a copy.

   Mr. Akin stated that the new Advocacy Program was well underway. This program was very valuable and would be helpful in getting information out to our constituents more effectively in an effort to help the University in the causes it felt appropriate. Mr. Akin stated that effective July 1, 2003, lifetime membership dues would increase $200. By raising fees, the Alumni Association would fulfill budget needs.

There were no other matters to come before the Committee and Chairman Adams declared the meeting adjourned at 10:30 a.m.

Respectfully submitted,
Thomas L. Stepp
Secretary