TRUSTEES

The Ohio State Board of Trustees held its monthly meeting onDec. 6 in Pfahl Hall. Ohio State is governed by a board of 11 trustees (including two nonvoting student members) who are responsible for oversight of academic programs, budgets and general administration, and employment of faculty and staff. The governor annually appoints one voting member to a nine-year term and one nonvoting student member to a two-year term.

Ohio State to enhance outreach in University area

Trustees hear report on new initiatives

The Ohio State Board of Trustees heard a report Dec. 6 from the College of Human Ecology, the Ohio State Medical Center, and the Office of University Outreach and Engagement on initiatives that are helping to improve the quality of life in the University District.

Vice President for University Outreach Bobby Moser said a holistic approach is being taken that incorporates a district leadership team, enhanced service learning opportunities and a new Web site to address many issues, including child care, health care and unemployment in the area.

Two University District projects were outlined by David Andrews, dean of the College of Human Ecology. First, a proposal to build a new child care center to replace the A. Sophie Rogers Laboratory in the College of Human Ecology is being proposed in conjunction with the College of Education and the University P-12 Initiative. The center would be intended to serve as a focal point to train students, conduct research and serve families with young children. The project is in the planning phase, with program details being finalized and a funding plan currently being developed. Andrews said the proposal calls for a program that will serve 40 infants and toddlers, and 100 preschool children and their families. Efforts are under way to coordinate this project with the Ohio Department of Education and the Columbus Public Schools.

Second, a University District Leadership Team, chaired by Moser, has agreed to develop Universitywide guidelines for working with agencies in the University District. A group of Ohio State representatives and University District agency leaders is working to develop the guidelines that will be shared with both University and community agency personnel.

Wanda Dillard, director of community development for the Medical Center, presented information on four projects involving the Medical Center in the University District: the Asian Health Initiative, La Clinica Latina, the Holy Name Family Health Center, and the Secure and Friendly Environment (SAFE) project.

Set up in 1997 to increase health and awareness in the Asian community, the Asian Health Initiative is a partnership of the Medical Center, Asian American Community services, Asian American Community Service Council and Southeast Asian Ministries. It established a free clinic that is open part-time and averages 13 patients per night.

Established in 2001 to increase health, access and awareness in the Latino community, La Clinica Latina is a partnership of the Medical Center, Family Practice, Latino Health Alliance and Saint Vincent Family Services. Its free clinic, staffed with volunteers, has served approximately 275 patients to date, Dillard said.

Holy Name Family Health Center is a partnership of the Medical Center and Catholic Social Services that provides eight hours of service per week to community residents, and students from the College of Nursing to the Health Center.

Secure and Friendly Environment (SAFE) is a project addressing anxiety disorders in partnership with the Medical Center, Hubbard and Pilgrim Elementary Schools, and Columbus Public Schools.

Janet Sanfilippo, director of University outreach, briefed trustees on a job readiness network being developed by the Columbus Compact to address unemployment, a major issue in the University District. The Columbus Compact is the management authority for the Columbus Empowerment Zone, a federal designation from HUD that allows for a flow of federal resources to revitalize the area.

Working in collaboration with local human services agencies, Ohio State -- the only employer involved in the process to date -- has the potential to provide information about employer needs; provide training and/or coaching for civil service exams; provide job opportunities or encourage private contractors to do so; and bring additional employers to the process, Sanfilippo said.

An enhanced employment network in the University District will chip away at the unemployment rate, which in turn will contribute to a more stable neighborhood. The job readiness network is consistent with the Campus Partners master plan, she said.

Annual development report approved

The Board of Trustees also heard an annual development report as required by the trustees when they approved the funding mechanism for the Affirm Thy Friendship Campaign in 1995.

Senior Vice President for Business and Finance William Shkurti told trustees that the revised funding model for the Office of Development has proved successful and that, starting in Fiscal Year 2001, general funds support was replaced by interest earned from the investment of endowment funds.

In FY 2001, the development office spent $1.4 million less than budgeted due to personnel vacancies and unspent funds allocated for systems support. In FY 2002, a reserve of $703,000 was created to protect the office's future funding levels in light of continued uncertainty in financial markets.

Relocation proposed for athletic teams

The Department of Athletics briefed trustees on a lease and option to purchase 40,000 square feet in the building located at 1160 Steelwood Road, intended to house intercollegiate gymnastics, wrestling and fencing teams. Those team sports must be relocated by October 2002 to make way for the Larkins Hall renovation project.

The property is owned by High Street Investment Co., and is located south of Kinnear Road and west of Kenny Road. A 10-year lease includes a purchase option that could be exercised in years six through 10 of the contract. All costs -- lease payments, purchase price, improvements and any other expenses related to the property -- will be paid by Athletics and are funded within its current financial plan. The moratorium applied to new Athletics projects does not apply because the lease is directly related to the Larkins project.

Funding released for Campus Partners

Trustees approved the release of an additional $600,000 for Campus Partners for Community Urban Redevelopment initiatives. The funds will come from a previously identified set-aside of $25 million for real estate and related investments in support of Campus Partners' revitalization efforts.

Audit gives OSU clean bill of financial health

Trustees heard an annual report on University financial statements for Fiscal Year 2001 based on an audit conducted by Deloitte and Touche LLP. The accounting firm examined the University's accounts and records for the fiscal year ending in June 2001, found them to be in satisfactory condition and issued an unqualified audit opinion.

University Controller Greta Russell led a presentation outlining financial highlights from the audit report. The report indicated that at year's end, the University had revenues of $2.24 billion and expenditures of $2.25 billion. The University had assets worth $5.2 billion, an equity balance of $4.4 billion and long-term debt of $413 million, and reported capital spending of $299 million. Russell said the University saw a decline in total revenues of $122 million, attributable primarily to a $222 million net decrease in the market value of University investments.

Total state revenues -- in the form of instructional subsidies, capital appropriations, grants and contracts -- increased 6.6 percent over the previous year, to $562 million. Private support -- gifts to the University and commercially sponsored research -- increased by $101 million, to $371 million. Those figures indicate state revenues account for approximately 25 percent of overall revenues, and private support accounts for 16.6 percent of overall revenues, up from 11 percent the previous year.

Of the $1.39 billion for education and general expenses for the year -- an 11 percent increase over the previous year -- 38 percent was spent on instruction, 19 percent on research, 8 percent on public service, 8 percent on academic support, 7 percent on scholarships and fellowships, and 5 percent on student services. The remaining 14 percent was spent on other support costs and mandatory transfers.

Board hears endowment report

In his monthly report, University Treasurer James L. Nichols updated trustees on the University's endowment, which stood at $1.028 billion at the end of November, compared to $984 million a month earlier.

Nichols said that approximately $60 million in income from the endowment would be distributed to University departments and colleges this fiscal year. That compares to $22 million in income distributed over the same length of time 10 years ago.

Endowed funds accepted

Trustees accepted $634,490 in gifts given during the month of October to establish 13 new named endowed funds supporting University research, instructional activities and service. They are:

• The Ruth and S.N. McIntosh Memorial Scholarship Fund, $145,000.

• The Health Services Management and Policy Professorship Fund, $113,466.

• The Dr. Ralph Clark Dunn Endowed Scholarship Fund, $75,000.

• Morse Scholarship Fund for Mount Scholars/Leaders in the College of Engineering, $50,000.

• Michael F. Johnson Innovation Endowment Fund, $45,205.

• The H.O.P.E.S. Endowment Fund, $40,000.

• The Dr. Lee E. Watkins Vice President's Excellence Endowment Fund, $30,352.

• The Milton and Floyd G. Bender Scholarship Fund in Pharmacy, $26,205.

• The Susan and Ken Feinthel University Scholars Fund, $25,072.

• The Samuel B. Erskine 4-H Scholarship Fund, $25,000.

• The John and Linda Mercer Scholarship Fund, $25,000.

• The Alvin and Dan Reuwee Memorial Fund, $19,190.

• The Tappen Endowment Fund, $15,000.

Personnel actions approved

Alicia L. Bertone, professor of surgery, has been named to The Trueman Chair in Equine Clinical Medicine and Surgery in the Department of Veterinary Clinical Sciences, effective through Nov. 30, 2006. Bertone received her D.V.M. from Cornell University in 1982 and her M.Sc. and Ph.D. in 1986 and 1988 from Colorado State University. Her research interests include joint diseases, arthritis and the musculoskeletal system of the horse.

Michael V. Knopp has been named to The Novartis Pharmaceuticals Corp. Chair for Clinical Research in the Department of Radiology, Division of Neuroscience, in the College of Medicine and Public Health, effective through Nov. 30, 2006. He comes from the National Institutes of Health in Bethesda, Md., where he is vice chair of the Diagnostic Radiology Department in the Warren Grant Magnuson Clinical Center.

Caroline C. Whitacre has been named associate vice president for health sciences research and vice dean for research in the College of Medicine and Public Health. She has been in that position on an interim basis.

Blackwell Inn progress updated

Trustees heard a report about the progress of the Roger D. Blackwell Inn, the sixth and final building of Ohio State's Fisher College of Business complex.

The Blackwell, designed to support participants in the Fisher College's executive education programs as well as other University programs and the community in general, is within budget and on schedule to be fully operational by June 1, 2002.

The Blackwell includes 151 guest rooms, nine executive suites, a presidential suite, a gift shop and various conference rooms. Each suite will be furnished with fax machines and computer hook-ups, among other things. It will feature valet parking, bell services, a doorman, a concierge and 24-hour room service. In addition, students in the College of Human Ecology's Hospitality Management program will have the opportunity to learn from experienced staff members at the inn.

Continuing Ed office transfers to O&E

The board approved the transfer of the Office of Continuing Education to the Office of Outreach and Engagement, with oversight by the vice president for agricultural administration and University outreach, and the transfer of the Bridge Program and Evening Degree and Certification Program to the Office of Undergraduate Studies, with oversight by the vice provost and dean for undergraduate studies.

Students outline investment experience

Four students updated trustees on their experiences with the Fisher College of Business' Student Investment Management Program, a class created in 1989 to provide students with active portfolio management experience. In the program, which combines traditional academic objectives with the practical demands of hands-on investment management, the students inherit the portfolio of stocks and cash from the previous class along with its set of working policies.

Each student in the class acts as a security analyst with the objectives of obtaining the highest possible return from each investment and balancing reasonable growth with the acceptable risks. Endowment money from the University is used to support the students' investments. About 25 students are accepted into the class each quarter.