9995 Biennial Organization of the Board MINUTES OF THE MEETING of the MICHIGAN STATE UNIVERSITY BOARD OF TRUSTEES April 14-15, 1983 President Mackey called the meeting to order in the Lincoln Room, Kellogg Center, at 7:25 p.m., April 14. Present: Trustees Bade, Fletcher, Lick, Martin (arrived at 7:37 p.m.), Reed, Sawyer and Wilson; President Mackey, Provost Winder, Vice Presidents Breslin, Cantlon, Dickinson, Schonbein, Stewart, Thompson and Turner; Associate Vice President and Secretary Wilkinson, General Counsel Carr, Assistant to the President Carlisle, Faculty Liaison Group, Student Liaison Group, and Dean Judith Lanier. Absent: Trustee Crim. 1. Approval of Proposed Agenda Trustee Sawyer moved approval of the proposed agenda with the following changes: that the biennial organization of the Board will be considered as the first item on the agenda, followed by a special presentation by Trustee Fletcher, and a.deferring of the annual report on support services to a future meeting. Also, the review of the Board Policy Manual will follow the Land and .Physical Facilities Committee meeting. Seconded by Trustee Lick. Approved by a vote of 6 to 0. 2. Biennial Organization of the Board a. Trustee Lick nominated Trustee Sawyer to serve as Chairperson of the Board of Trustees. Seconded by Trustee Wilson. Trustee Fletcher moved that the nominations be closed and a unanimous ballot be cast for Trustee Sawyer as Chairperson. Approved by a vote of 6 to 0. b. Trustee Dade nominated Trustee Lick to serve as Vice Chairperson of the Board of Trustees. Seconded by Trustee Reed. Trustee Fletcher moved that the nominations be closed and a unanimous ballot be cast for Trustee Lick as Vice Chairperson. Approved by a vote of 6 to 0. c. Trustee Sawyer made the following Board Committee assignments: Affirmative Action Chairperson: Vice Chairperson: Trustee Blanche Martin Trustee Carole Lick Audit Chairperson: Vice Chairperson: Trustee Thomas Reed Trustee Malcolm Dade Investment Chairperson: Vice Chairperson: Trustee Bobby Crim Trustee Patrick Wilson Land and Physical Facilities Chairperson: Vice Chairperson: Trustee Bobby Crim Trustee Carole Lick MAGB Delegate: Alternate: Trustee Patrick Wilson Trustee Carole Lick MSU Foundation Trustee Sawyer also indicated that Trustee Patrick Wilson would be appointed to the MSU Foundation through December 31, 1986, filling the term of former Trustee Elizabeth Howe. Trustee Fletcher requested that the record show that Chairperson Sawyer offered to appoint him to a committee chairmanship, and he declined since he has been working to eliminate, the committee system and felt it would not be appropriate to accept such an assignment. It •i I i i Minutes of the Meeting, cont. April 14-15, 1983 3- Approval of the March 3-4, 1983, Minutes Trustee Lick moved approval of the March 3-4, 1983, Minutes. Trustee Fletcher. Approved by a vote of 6 to 0. Seconded by 4. Communication from Trustee Dade Communication from Trustee Dade j Special Presentation by j Trustee Fletcher I ) j ; i ] | Secretary Roger Wilkinson read a statement from Trustee Dade which discloses that he is an employee of the Detroit Edison Company and will not vote on or participate in any matters involving a relationship between the Detroit Edison Comparjy and Michigan State University and that this statement will be made part of the records of this meeting and the permanent records of the SecretaryTs Office. Special Presentation by Trustee Fletcher Trustee Fletcher presented a scrapbook kept by Mary Crocker who was a student at MAC from 1914-18. This extensive scrapbook is an outstanding record of student life during this period of time. Mary Crocker was Trustee Fletcher's seventh grade home room teacher, and this gift was made available through her daughter (Mrs. Richard L. Boatwright of Manchester, Michigan) to the University. President Mackey received the scrapbook and presented it to Dr. Richard Chapin, Head Librarian, for appropriate follow-up. 6. President Mackey invited Dean John Welser, of the College of Veterinary Medicine, to join the Trustees. President Mackey commented that since the last meeting of the Board, Dean Welser has accepted a position as Vice President of the Upjohn Company and he wanted to recognize and thank Dean Welser for his outstanding service to the University. Dean Welser commented that, with the support of the administration and the Board of Trustees, we have made excellent progress in the College of Veterinary Medicine during his tenure and that, in his new capacity, he will continue to work toward the support of the College, its program, and its facilities. 1 j | I I • I ;7. Vice President Kenneth Thompson presented the following materials relating to budget i (copies on file in the SecretaryTs Office): : ; a. 1982-83 general fund budget status report. b. Budget adjustment (Cash Management Plan IV). j c. 1983-84 budget development schedule. I j d. 1983-84 general fund budget planning document. Vice President Thompson answered several questions concerning the above documents. I;Annual Calendar \8m Animal Calendar rAcademic Program Review ^College of Education I A. Academic Program Review I \ \ ! 1. College of Education Dean Judith Lanier made a slide presentation on the instructional, research, and public service programs of the College of Education (copy of material on file in the SecretaryTs Office). ;The Board recessed at 10:23 p.m. . !The Board reconvened at 8:17 a.m. in Room 103 A & B, Kellogg Center, April 15. I All Trustees were present. : The Board recessed for the Land and Physical Facilities Committee meeting at 8:29 a.m. 'Board Policy Manual The Board reconvened at 9:27 a.m. 9. Board Policy Manual President Mackey and Vice President Thompson gave the history concerning the development of the Board Policy Manual and the progress to date. It was understood that Vice President Thompson would furnish the Trustees with the updated draft ver- sion of the Manual, incorporating the changes discussed today for a future Trustee review. The Board recessed for the Investment Committee meeting at 11:00 a.m., which adjourned at 11:25 a.m., and for the Audit Committee meeting at 11:25 a.m., which adjourned at 11:49 a.m. Following the Committee meetings, the Board recessed at 12 Noon. 9997 public i Comments Minutes of the Meeting, cont. April 14-15, 1983 The Board reconvened for its Action Session at 1:19 p.m. in the Board Room, Administration Building. Trustee Martin arrived at 1:34 p.m. 10. Public Comments a. Sheldon Axler, Associate Professor, Mathematics, and Annette Tomasello, student, commented on the law requiring students receiving federal financial aid to indi- cate on their financial aid applications whether they have registered for the draft. They asked the Board to take action to prevent this law from being inforced. b. Gerri Olson, Vice President of the Clerical Technical Union at MSU, addressed the Board regarding the current status of C-T negotiations. (A copy of Ms. Olson's remarks are on file in the Secretaryfs Office.) c. Jon DeWitt, an attorney from Grand Rapids, spoke to the Board regarding Super Turf's interest in having specifications amended for the resurfacing of the Spartan Football Stadium so that it could submit a bid for the project. President Mackey acknowledged the elections of Barbara J. Sawyer as Chairperson and Carole Lick as Vice Chairperson of the Board of Trustees. He congratulated them on their election and indicated that he looked forward to their continued service to the University in their new positions. Chairperson Sawyer acknowledged the service of former Trustees John Bruff and Betty Howe, who recently resigned from the Board of Trustees to accept employment with the State of Michigan. Chairperson Sawyer welcomed newly-appointed Trustees Wilson and Dade to the Board for six-vand eight--year terms respectively. A. PERSONNEL CHANGES Appointments Appo intment s 1. George M. Heathcote, Head Basketball Coach, Intercollegiate Athletics, at a salary of $54,249 per year on an AY basis, effective July 1, 1985, through June 30, 1987. Extension of contract. 2. Ronald H. Mason, Head Hockey Coach, Intercollegiate Athletics, at a salary of $44,000 per year on an AY basis, effective July 1, 1985, through June 30, 1987. Extension of i contract. Motion made by Trustee Wilson, seconded by Trustee Lick, to-approve the appointments. Approved by a vote of 6 to 2. TrusteesiFletcher and Martin voted No. The concensus of the Board of Trustees is to continue to receive recommendations for personnel contract extensions. B. GIFT, GRANT. AM) CONTRACT REPORT Gifts and Grants totaling $8,364,413 were approved by a vote of 8 to 0 on motion by Trustee Sawyer, seconded by Trustee Lick. C. BIDS AND CONTRACT AWARDS 1. Butterfield Hall Roof Replacement The following bids were received on March 19, 1983, for Replacement of the Roof on Butterfield Hall. This project consists of replacing the existing,.patched roofing on the living wings of Butterfield Hall which was installed when the building was constructed in 1954. This project will insure a weather-tight envelope and reduce roof maintenance costs. Also, the new insulation included in the installation conforms with the latest energy codes and will reduce heating costs for the building. Contractor Grunwell-Cashero of Lansing, Inc. McNeilly Construction, Inc. C. Jordan & Son, Inc.* Lower Peninsula Roofing & Sheet Metal, Inc. Base Bid $ 60,786 67,490 80,680 104,700 Notification and/or plans and specifications were sent to the offices of Builders Exchange and Dodge Reports in Detroit, Grand Rapids, Lansing, and Kalamazoo, as well as Michigan Contractor and Builder, Inner-City Business Improvement Forum, and Association of Minority Contractors. One female owned firm (*) bid on this project. continued - - - Gift, Grant & Contract Report Butterfield Hall Roof Replacement I I I I I Butterfield Hall Roof Replacement, cont. C. BIDS AND CONTRACT AWARDS, cont. April 14-15, 1983 1. Butterfield Hall Roof Replacement, cont. It is recommended that a contract in the amount of $60,786 be awarded to Grunwell-Cashero of Lansing, Inc., and that the following budget be established: Contract - Grunwell-Cashero of Lansing, Inc. Contingency Design, Coordination and Inspection Total $ 60,786 6,214 6,000 $ 73,000 The Physical Plant, Engineering Services Division, estimated the Project cost at $110,000 in March 1983. This project will be funded from the Auxiliary Activities Fund. RESOLVED that the above contract be awarded and project budget be established as recommended. Approved by a vote of 8 to 0 on motion by Trustee Sawyer, seconded by Trustee Lick. Dairy Research Center - Silos 2. Dairy Research Center - Silos The following bids were received on March 22, 1983, for construction of Eight Silos at the Dairy Research and Training Center. This project consists of the construction of eight upright silos at the Dairy Research Center on College Road, south of Forest Road. Also included in the project are the necessary electrical apparatus to operate associated material handling equipment, the equipment, and a small utility building to house electrical distribution panels. The silos built under this contract will replace eight existing, structually deteriorated silos erected more than 20 years ago. The placement of the new silos provides greater operating efficiency and conforms with the master plan for future development of the Center. Contractor McNeilly Construction, Inc. Haussman Construction Company Irish Construction Company, Inc. Hanel-Vance Construction Co. Tri-State Silo Carl Engineers Builders One, Inc.* Base Bid $157,740 157,840 181,000 183,080 194,971 200,860 320,507 Notification and/or plans and specifications were sent to the offices of Builders Exchange and Dodge Reports in Detroit, Grand Rapids, Lansing, and Kalamazoo, as well as Michigan Contractors and Builders, Inner-City Business Improvement Forum, and the Association of Minority Contractors. One minority owned firm (*) bid on this project. It is recommended that a contract in the amount of $157,740 be awarded to McNeilly Construction, Inc., of Lansing, Michigan, and that the following budget be established: Contract - McNeilly Construction Design, Coordination, and Inspection Contingencies $157,740 10,300 15,960 $184,000 Total The Physical Plant, Engineering Services Division estimated the project cost at $205,000 in March 1983. This project is the first phase of planned improvements to the Center with an estimated construction cost of $1,359,000. Other phases will include a combi- nation free-stall and comfort-stall barn attached to the existing milking parlor, a new loose housing facility, and renovation of the teaching arena. Funds for the improvements will be provided from the Agricultural Experiment Station, estimated at $1,185,000. The balance of the funding will come from the College of Agriculture and Natural Resources and General Fund-Alterations and Improvements. It is recommended that funding for the improvements be provided by an internal loan to be repaid from the above sources. The proposed repayment schedule will assure liquidation of the loan by June 30, 1978. The loan would carry a floating interest rate equal to the investment income rate earned on the University's temporary cash investments. RESOLVED that the above contract be awarded and project budget and funding plan be established as recommended. ; Approved by a vote of 8 to 0 on motion by Trustee Reed, seconded by Trustee Lick. I I 1 1 i C. BIDS AND CONTRACT AWARDS, cont. April 14-15, 1983 3. Kellogg Biological Station Dormitories I Kellogg The following bids were received on March 24, 1983, for construction of new dormitories at the Kellogg Biological Station. This project consists of construction of two buildings with a total of twelve four-person suites plus a laundry/mechanical rooms suite and an activities/study rooms suite. Also included are solar collectors for preheating water and additional parking space. This is the second phase of construc- tion under the facilities and program development grant from the Kellogg Foundation. The deductive alternates were as follows: Biological Station Dormitories 9999 No. 1 - Deletion of the solar preheat system including all wood supports, piping, 1 j No. 2 - Deletion of the canopy over the center stair plaza between the two buildings. I No. 3 - Provide fir faced siding and trim in lieu of the cedar siding and trim pumps, and collectors, specified. No. 4 - Provide windows without the slim shade feature specified. Contractor Base Bid Deductive Alternates No. 1 No. 2 No. 3 No. 4 Docsa-Smith Associates, Inc. Foster Schermerhorn Barnes, Inc. Hoffman Construction Company Van Allen Builders Pearson Construction Company, Inc. De Young & Bagin Construction Co. $643,000 645,900 659,400 677,370 684,300 711,000 $12,000 10,000 11,800 13,865 12,200 14,500 $2,000 1,500 2,100 2,000 1,300 2,500 $1,700 1,500 2,300 1,730 1,800 2,000 $7,100 6,500 3,600 7,447 6,500 8,500 It should be noted that bids were previously received February 2, 1983, for this project. Because the bids exceeded the available funds the administration's recommendation to reject and rebid was approved by the Board of Trustees at its March 4 meeting. Following the procedures authorized at that meeting the above bids were received. It is recommended that a contract in the amount of $643,000 (which includes the Base Bid only) be awarded to Docsa-Smith Associates, Inc., of Kalamazoo, Michigan, and that the following budget be established. I Contract - Docsa-Smith Associates,. Inc. Kingscott Associates, Inc. Other Planning Costs Furnishings and Equipment Landscaping Contingency $643,000 47,588 8,000 50,000 25,000 48,412 $822,000 Total Kingscott Associates, Inc., the professional services contractor, estimated this project at $851,000 in February 1983. This project will be funded by a grant from the Kellogg Foundation. RESOLVED that the above contract be awarded and project budget be established as recommended. Approved by a vote of 8 to 0 on motion by Trustee Sawyer, seconded by Trustee Lick. 4. Spartan Stadium Turf Replacement . The following bid was received on April 1, 1983, for Replacement of the Artificial Turf in Spartan Stadium. This project consists of removal of the existing synthetic turf, preparing the asphalt surface, and furnishing and installing the new synthetic turf system including painting of the field markings. Also included is the installa- tion of an eighteen inch wide concrete slab around the perimeter of the field to provide an improved surface for bonding of the edge of the synthetic turf. Contractor Sport Install, Inc. Base Bid $548,000 All-Pro Turf., Inc., submitted a "No Bid11 because their synthetic turf system did not meet the project specifications. Notification and/or plans and specifications were sent to the offices of Builders Exchange and Dodge Reports. No minority owned firms bid on this project. continued - - - . Spartan Stadium Turf Replacement -y-i: I I I 10000 Spartan Stadium Turf Replacement, cont. C. BIDS AND CONTRACT AWARDS, cont. April 14-15, 1983 4. Spartan Stadium Turf Replacement, cont. It is recommended that a contract in the amount of $548,000 be awarded to Sport Install, Inc., of St. Charles, Missouri, and that the following budget be established: Contract - Sport Install, Inc. Concrete and Sub-base Repairs Engineering Costs Contingency $548,000 23,000 3,000 23,000 $597,000 Total The Division of Campus Park and Planning estimated the project cost at $580,000 in March 1983. This project will be funded from the Intercollegiate Athletics Fund. Professor Robert Little, Chairperson of Biomechanics, and Thomas Kehler, Director of Campus Park and Planning, repre- senting the Turf Replacement Committee, summarized for the Board the development of the specifications and testing procedures involved in arriving at the above recommendations. RESOLVED that the above contract be awarded and project budget be established as recommended. . j Approved by a vote of 6 to 2 on motion by Trustee Sawyer, seconded by Trustee Lick. ] Trustees Fletcher and Martin voted No. D. OTHER ITEMS FOR ACTION Budget Adj us tment 1. Budget Adjustment On March 30, 1983, the Governor issued an Executive Order reducing 1982-83 General Fund revenues by $2,414,402. Similarly, Agricultural Experiment Station and Cooperative Extension Service revenues were reduced by $249,948 and $222,948 respectively. Further, it is estimated that an additional General Fund interest income loss of $380,000 will result from the schedule outlined by the state for the replacement of the January, February, and March allotment deferrals. It is recommended that Cash Management Plans dated April 13, 1983, reducing University budgets by the amounts noted above be implemented (copy on file in the SecretaryTs Office). RESOLVED that the 1982-83 Cash Management Plans dated April 13, 1983, be approved. Approved by a vote of 7 to 0 on motion by Trustee Fletcher, seconded by Trustee Sawyer. Trustee Dade left the meeting prior to this vote. E. REPORTS TO THE BOARD Board Committee Reports 1. Board Committee Reports Land and Physical Facilities Committee a. Land and Physical Facilities Committee Trustee Lick reported that the Land and Physical Facilities Committee voted to recommend approval of the following actions: 1. Reduction in the sale price of the Homer Nowlin property in Lapeer County from $212,100 to $166,650, or $500 per acre. Approved by a vote of 7 to 0 on motion by Trustee Martin, seconded by Trustee Crim. 2. Sale of 11.719 acres of land on Collins Road, per the Sales Agreement and Addendums, to George F. and Louis J. Eyde, Limited Family Partnership, for $400,000 cash. Approved by a vote of 5 to 2 on motion by Trustee Martin, seconded by Trustee Crim. Trustees Fletcher and Reed voted No. 1 1UOO1 Board Committee Reports, cont. Investment Committee Audit Committee President's Report E. REPORTS TO THE BOARD, cont. April 14-15, 1983 1. Board Committee Reports, cont, b. Investment Committee Trustee Wilson reported the Investment Committee reviewed materials prepared by the Administration relative to the investment of pooled cash and voted to recommend to the Board the adoption of the following two items: 1. Statement of Investment Objectives for the Pooled Cash Fund. Approved by a vote of 7 to 0 on motion by Trustee Wilson, seconded by Trustee Reed. 2. Revised Board of Trustees1 Investment Policy which incorporates policies relative to investment of pooled cash. Approved by a vote of 7 to 0 on motion by Trustee Wilson, seconded by Trustee Reed. c. Audit Committee Trustee Reed reported the Audit Committee reviewed the Auditor Generalfs. report on general University operations and the Administration's responses thereto. 2. PresidentTs Report President Mackey commented on several articles that were reported on in this week's MSU News Bulletin in illustrating some positive indicators of the University's prosperity and its accomplishments. President Mackey stated that four of the ten winners of the Alumni Distinguished Scholarship Award are from Michigan; MSU students have won ten of the National Science Foundation fellowships along with fourteen honorable mentions; two members of the faculty, Peter J. Wagner, professor of Chemistry, and Richard White, associate professor of History, are recepients of Guggenheim fellowships; and that Barnett Rosenberg, a cancer researcher who is the co-discoverer of cisplatin (a cure for some cancer), and Sylvan Wittwer, recently retired director of the Agricultural Experiment Station, have won Michigan Association of Governing Boards of Colleges and Universities' awards. President Mackey commented that the caliber of people this University has on its faculty and among its student body continues to be high. He said the policies and actions taken by the Board have had the maintenance of that quality for three difficult years. The objective is to create an environment where faculty and students can function doing what they do best* At the request of President Mackey, Dr. James Hamilton, Assistant Provost for Undergraduate Education, commented on the MSU Open House. Dr. Hamilton stated that the Open House is a way to bring MSU to the attention of prospective students and their parents. He said the major feature of the Open House is visits to classes. Parents appreciate MSU opening its doors to let them see and test before their son and/or daughter make the decision to come to MSU. He said the response has been very good. At the request of President Mackey, General Counsel Carr commented on the new state legislation concerning divestiture. General Counsel Carr reported that there is no definitional standard set up yet by the Department of Commerce as to what this legislation contemplates so far as the USSR is concerned. He said that this legislation is being held in abeyance. He stated that by choice the Board approved action in 1978 to divest so far as companies doing business in South Africa. Trustee Martin inquired about a possible reduction in enrollments in the medical schools. Dr. Mackey stated that there are no plans to reduce the current enrollment of the medical schools and he is of the opinion that we will be able to continue to meet our affirmative action goals in these programs. Trustee Wilson thanked the Trustees for their warm welcome, and he distributed a statement concerning his understanding of the role of a Trustee (copy on file in the Secretary's Office). At the request of President Mackey, Vice President Turner addressed the issue of draft registration requirement for financial aid, continued - - - I I I I I 10002 I E. REPORTS TO THE BOARD, cont, April 14-15, 1983 President's Report, cent. I 2. President's Report, cont« I •j | \ i i j Vice President Turner said that on a directive from the Department of Education, students are not being requested to answer yes or no on the application forms for financial aid, and it is being explained to them that the University is holding this procedure in abeyance. President Mackey acknowledged Lansing Mayor Terry McKane who was present. Mayor McKane expressed gratitude to the Board on the sale of the property on Collins Road to the Eyde Construction Company for the construction of Motor Wheel Corporation^ World Headquarters. I Adjourned at 3:32 p.m. f/JjJA^risyrr^ Secretary l i