I \ \ | MIBUTES OF THE MEETING of the FINANCE COMMITTEE February 9, 1963 ; The Finance Committee convened at Kellogg Center for breakfast at J o'clock. The following members were present: Messrs. Harlan, Huff, Merriman, Smith, Stevens, Vanderploeg; President Hannah, Treasurer May and Secretary Breslin Absent: Dr. Bartlett Investment. recommenda- tions Pay to con- tinue thru Jan. 1963 for widow of Wilburn E. Glenn 1. Scudder, Stevens & Clark and Mr. Cress recommend the following investment item: Recommend purchasing for the Pension and Retirement Fund: Amount Security $25,000 U. S. Treasury 3 8-15-68 Approx. Price Principal Income Present Yield 101 $25,250 $937 3-7$ On motion by Dr. Smith, seconded by Mr. Merriman, it was voted to approve Item 1. 2. Communication from Mr- May: On December 29, Dr- Wilburn E. Glenn, a postdoctoral trainee in the Department of Food Science, committed suicide. i | The department assumed that there would be continuation of salary for him, and actually delivered the December and January checks to the widow. In view of the fact that Dr. Glenn was in a trainee program and had been with the University for less than a year, he is really not eligible for any additional salary. Further, the conditions of the trainee grant provide that funds should not be paid to anyone who would not nin the reasonable judgment of the institution be able to use the training." : In view of the above, I recommend that the Board authorize payment of the January salary only. On motion by Mr. Vanderploeg, seconded by Mr. Harlan, it was voted to approve Item 2. Approval con- 3- Communication from Mr. May: tract City of E,Lansing and MSU re: lease sewage disposal site and terms for financing | and sharing | operating costs. Yesterday Mr. Patriarche left the fifth and final draft of a proposed contract between the City of East Lansing and Michigan State University for the lease of the sewage disposal site and the terms for financing and sharing operating costs. This contract contains essentially the same conditions as the original contract. It should, however, be checked with the University attorney and by the Engineering Division for legal descriptions and surveys. In order to avoid any further delay in getting this project under way, I would like to ask Board approval for authority to sign the contract after Mr. Carr1s office has cleared the document. Board to exercise option on the purchase of 2 lots original- ly part of Hazen farm MSU-0 to become Oakland University On motion by Mr. Stevens, seconded by Dr. Smith, it was voted to approve the above contract. k-. It is recommended that the Board exercise an option on the purchase of two lots originally a part of the Hazen farm for a total price of $2,000. The Kellogg Foundation has indicated a willingness to reimburse the University for this property once it is acquired to be added to the Kellogg Biological Station property. - On motion by Mr. Vanderploeg, seconded by Mr. Merriman, it was voted to approve the above recommendation. 5. Discussion of a name for Michigan State University-Oakland to be effective immediately. After prolonged discussion, on motion by Mr. Harlan, seconded by Mr. Vanderploeg, it was voted that the name of the institution at Rochester be changed to Oakland University (affiliated with Michigan State University). After consensus, it was agreed that Mr. Carr and Mr. Varner would discuss this name change with •Mrs.' Matilda R. Wilson and in the event she does not approve, or has any reservations about it, this action is not to become final until it receives further discussion* (Subsequently Mrs. Wilson was contacted and approved this name change) 6. Mr. Benjamin of Benjamin Woodhouse and Guenther, Inc. Engineers, of Dearborn, Michigan, who had been employed by the University to study the power plant needs for the University, appeared before the Board to present a report. Clau'dR. Erickson, consulting Engineer, and Theodore B. Simon, Superintendent of Buildings and Utilities, were also in attendance. I I A complete report is filed with the material for this Board meeting, and recommendation is as follows: The basic conclusion I I Finance Coiamittee Items, continued February 9> 6. Report of Benjamin, Woodhouse and Guenther, Inc. Engineers, on power plant needs, continued: This study has shown that substantial operating cost savings can be made through the generation of electric power in a high-pressure combined steam and power plant* Past operating records show that power generation has produced operating cost savings and this study shows an annual cost saving of $757, ^0 by 1975 • Further refinement of the study may show even larger savings to be possible. It is recommended that a program including two 250,000 1b per hour boilers and two 12,500 kw. automatic extraction condensing turbine- generators be undertaken as the next step in campus power development. It is our opinion that the intangible disadvantages of extending the South plant outweigh the initial cost disadvantage of constructing a new plant and it is recommended that a new plant be built between the Grant! Trunk and C & 0 railroad tracks in the area east of their intersection. 4805 j Mr. Benjamin | of Benjamin, | Woodhouse and Guenther, Inc. to serve as architect and engineer for new power pl not to exceed $7,500,000 Contract to be negotia- ted. Mr. Benjamin was excused. After discussion, on motion by Mr. Ear Ian, seconded by Mr. Vanderploeg, it was voted to authorize Mr. May and Mr. Erickson to negotiate a contract with Mr. Benjamin, of Benjamin, Woodhouse and Guenther, Inc. to serve as engineer and architect for the proposed new power plant estimated to cost approximately $7^500,000 and to be located south of the Grand Trunk Railroad tracks. The cost of engineering and architectural services are not to exceed $350,000. 7* Mr. May submitted a report for Workmen's Compensation claims paid for the six nonths period ended December 31, ^ Adjourned. MINUTES OF THE MEETING of the BOARD OP TRUSTEES Present: Messrs. Ear Ian, Huff, Merriman, Smith, Stevens, Vanderploeg; President Hannah, Vice President May and Secretary Breslin I Absent: Dr. Bartlett The meeting was called to order at 10:20 a.m. The minutes of the January meeting were approved. SPECIAL MISCELLANEOUS 1. •• Approval of the Finance Committee Items on the preceding pages. On motion by Mr. Huff, seconded by Mr. Merriman, it was voted to approve the Finance Committee Itens. 2. The President requested Provost Erickson to summarize the discussion presented to the Board ! Seven-Point of Trustees on the previous evening with reference to the development and implementation of [Program to be the Seven-Point Program (Educational Development Project). [developed and The Trustees expressed their appreciation to Provost Erickson, Vice President Sabine, As si startimplemented Provosts Dressel-and- Neville and Dean Ivey for the presentation. | Trustee Huff offered the following resolution: On March 31, 19^1, this Board of Trustees approved in principle and recommended to the Faculty the development of an educational program that would permit Michigan State University to provide a better education for a necessarily enlarged student body during the 1960s. The demands of the times call for more and faster action on this program than has taken place insce 1961. If we are to be ready for the future, we must move with more success during the next two years than we have during the past two. To discharge its clear obligation to the citizens of Michigan, Michigan State University must continue to take its share of the increasing members of students going to college. To serve fewer might be easier and more convenient, but our assignment from the citizens of Michigan is not to take the easy road^ but the right one. We recognize the need for higher Faculty salaries and for more support for important Faculty scholarly activities. To increase salaries as much as we know will be necessary, we must be able to serve many more students with an ever better education. To achieve this may require complete reorganization of our curricula and entirely new approaches. continued - - I I I. SPECIAL MISCELLANEOUS, continued February 9, 1963 | 2. Development and implementation of the Seven-Point Program, continued: This is no small task. But ve are convinced that if any institution of higher education in America is capable of pioneering the major breakthroughs necessary to achieve this, that university is Michigan State. We must get on with this job* We must devote all possible resources to this educational development program. We pledge our ovn full and unfailing support to it for whatever time and to whatever extent is required, and we ask the same of every Faculty member* i ; We hereby direct the President to proceed with this program as rapidly as possible, and to report to this Board no later than May, 1963; ^cie progress attained. On motion by Mr. Huff, seconded by Mr. Merriman, it was voted to approve the above resolution. 3» Provost Erickson recommended that Vice President Gordon A. Sabine be named Director of the Seven-Point Program, effective immediately. (Known as Educational Development Project). 1 On motion by Dr. Smith, seconded by Mr. Merriman, it was voted to approve the above recommendation. h. Secretary Breslin presented two handbooks for employees coming under the jurisdiction of the Personnel Office each entitled "Your Job at MSU." One handbook covers operations, clerical and technical personnel and the other covers administrative-professional personnel. The handbooks cover practices and policies of the University as it relates to employees. On motion by Mr. Vanderploeg, seconded by Mr. Stevens, it was voted to approve the publication of the above-mentioned handbooks. 5. Secretary Breslin presented to the Board the following revised "sick-Leave Policy" to be j ; j I included in the new MSU Handbooks: "For your security the University has a sick-leave policy designed to continue your pay for a reasonable period of time when you are unable to work because of illness or an off-the-job accident. You start earning paid sick leave the first month on the job, and you may use it after you have completed your first month of service. You continue to earn sick leave at the rate of one day per month or a total of 12 days per year. Effective January 1, 1963, whatever sick leave you.do not use may be saved until you have a total of 100 days. You may take this sick leave only for cases of your own illness. "If your illness extends beyond the number of sick days you have accumu- lated, your leave may be continued as a personal leave without pay, "with the approval of your department head and the Personnel Office. Sometimes it may be necessary for you to furnish a statement from the doctor concem- ing your illness. If you terminate employment, you will not receive any pay for accumulated sick leave." 6. Secretary Breslin also presented a revision in the retirement regulations that would provide for retirement without penalty at age 62 of employees covered by the University retirement system under the following conditions: "A qualifying employee with at least 15 years of continuous service under the noncontributory plan may request retirement on the first day of July following attainment of age 62, and retirement benefits will be paid to him beginning on the first day of July following attainment of age 65* In these instances the employee -will receive credit for all of the years of his continuous employment in computing retirement benefits. "An employee meeting these requirements and who desires to retire on the first day of July following attainment of age 62 must arrange -with the payroll office to make premium payments in advance for his group life insurance and hospital- ization insurance, if any. After the first day of July" following attainment of age 65 the University will assume the responsibility for premium payments for group life insurance and no further contribution by the employee is required. After that date premiums for hospitalization or major medical insurance, as applicable to certain administrative-professional employees, trill be deducted from his pension check. "An employee with 25 years of service under the noncontributory (MSU) retirement plan may retire under one of the following options: 1. He may elect a pension starting on July 1, following completion of 25 years of service based on his years of service but with a penalty of one year for each year he lacks of attaining age 65, or 2. If he is 62 years of age or older he may retire with a pension that starts on July 1 following attainment of age 65 without a penalty. In order to keep life insurance and hospitalization in force, he may make arrangements with the payroll division of the University Business Office for payment of premiums. Beginning July 1, after attaining age 65 life insurance premims will be paid by the University/1 B On motion by Mr* Vanderploeg, seconded by Mr. Stevens, it was voted to approve items 5 arid 6. Vice Pres. Sabine named Director of Seven-Point Program. Approval of printing of 2 MSU hand- books. Approval revised "Sick Leave Policy" Retirement without penalty at 62 under certain conditions approved. ^ t 1 PRESIDENT'S REPORT 1. Accepted a grant of $53,070 from the Bureau of Public Roads of the United States Department of Commerce to be used under the direction of T. ¥•' Forbes in Engineering Research to investigate interchange spacing and driver behavior effects on freeway operation.• February 9, 1963 4807 NEW BU5IMESS Resignations and Terminations Resignations 1. Linda Faye Parrett, 4-H Agent, Monroe County, January 31 > 19&3 to accept a teaching position in Monroe County. 2. Wesley F. Buchele, Associate Professor of Agricultural Engineering, March 21, 19^3 • To accept a position at Iowa State University. 3* Lindsay D. Brown, Instructor (Res.) of Horticulture, February 28, 1963 to accept a position at the University of Kentucky. h. John C. Messenger, Associate Professor of Social Science, August 31; 19&3 to accept a position at Carleton College. 5* Madan B. Bharadwaj, Associate Professor of Anatomy, April 10, 1963, to return to India. 6. Loren B. Almy, Civil Engineering Adviser, India Project, February 8, 1963* Completion of foreign assignment. 7* Chester J. Ordon, Civil Engineering Adviser, India Project, February 11, 19&3- Completion of foreign assignment. Leaves--Sabbatical 1* Lawrence M. Sommers, Professor and Chairman of G eography, with full pay from June 17, 1963 to September 18, 1963 for study and travel in Scandinavia and Europe. 2. LeRoy C. Ferguson, Professor of Political Science with half pay from September 1, 1963 to August 3 1 A 9 &V f or teaching and research at the University of Florence. 3* Robert H. Horwitz, Associate Professor of Political Science, with half pay from September 1, 1963 to August 31; 196^- ^or study and research in Washington, D.C., and Hawaii. k. Alfred G. Meyer, Professor of Political Science with half pay from September 1, 1963 to August 31j> 19&J- for study and research in Moscow and West Germany. Leaves—Other 1. James T. Bonnen, Associate Professor (Res.) of Economics without pay from August 15, to August 1^, 1964 to be on the staff of the Council of Economic Advisers to the President. 2. Leonard V. Falcone, Professor of Music with full pay from June l6, 1963 to July 15, 19&3 ^° travel in Europe. Appointments 1.- Bruce Harold Bean, Agricultural Agent, Barry County, at a salary of $7200 per year on a 12-month basis effective March 1, 1963. 2. Jerry L. Mills, 4-H Agent, Genesee County, at a salary of $5500 per year on a 12-month basis effective February 15 ^ 1^ 3. Sverker P. E. Persson, Associate Professor of Agricultural Engineering, at a salary of $12,000 per year on a 10-month basis effective April 1, 1963. Mr. Persson is being appointed without tenure since he is not a citizen. k. Emmanuel T. G. M. Van Nierop, Assistant Professor (Ext.) of Resource Development, at a salary of $8800 per year on a 12-month basis effective April 1, 1963. 5. Stanley E. Smith, Assistant Professor of Journalism, at a salary of $8000 per year on a 10-month basis effective September 1, 1963. 6. Barbara S. Stowe, Instructor in Textiles, Clothing and Related Arts at a salary of $500 per month effective March 1, 1963 to June 30, 1963. 7. Jaraslav Drobnik, Associate Professor (Res.) of Biophysics at a salary of $8500 per year on a 12-month basis effective March 5* 19&3 to March k, 6^ 8. Seymour Parker, Associate Professor of Social Science and Sociology and Anthropology and Continuing Education at a salary of $9900 per year on a 10-month basis effective September 1, 1963- < 9. Fred J. Brieve, Regional Director of Continuing Education, at a salary of $5500 per year on a 12-month basis effective March- 1, 19&3 to August 31, 1963. 10. Henry W. Fairchild, Adviser Pakistan Project at a salary of $13,000 per year on a 12-month basis effective November 15, 1962 to June 30, 1963. Leaves Appointments MEW BUSINESS3' continued Transfers Transfers February 9, 1963 1. Paul William Thompson, Agricultural Agent Cass County to Agricultural Agent, Branch County at a salary of $6400 per year on a 12-month basis effective February 11, 1963. 2. James E. Lincoln, from 4-E Agent Genesee County to Agricultural Agent, Genesee County at a salary of $7500 per year on a 12-month basis effective March 15, 1963. Miscellaneous 1. Change in status of David V. Brouse, Instructor in Forest Products, from a regular appointment subject to tenure rules to a temporary appointment effective for one year from September 1, 1962, to August 31, 1963. 2/ Additional title of Professor of Communication for Malcolm MacLean, Associate Director of the Communications Research Center, effective March 1, 19&3- 3. Correction in dates of leave without pay for Elizabeth M. Brews, Associate Professor of Education, to May 1, 1963, to June 30, 1964. 4. Report of the death of Oliver T. Willsey, employee in the Power Plant, on January 26, 1963. Mr. Willsey was born on December 5j> 1902, and had been employed by the University since September 12, Report of the death of Charles L. Kingston, employee in Buildings and Utilities, on January 28, 1963. Mr. Kingston was born on November 18, 1903; an