The Board of Trustees of Western Carolina University met in regular session on September 2, 1998, in Room 510, H.F. Robinson Building. The meeting was called to order at 2:15 p.m. by Chairman Moore.

ATTENDANCE

The following members of the Board were present: Mr. Crocker, Mr. Jones, Mr. Moore, Mr. Apodaca, Ms. Key, Mr. Walker, Mr. Woody, Mrs. Blankenship, Mr. Bissette, Mr. Haire. The following members of the Board were absent: Mrs. Davis, Mr. Wiggins.

Others present included: Chancellor Bardo; Vice Chancellors Carter, Eldridge, Caruso and Collings; Dr. Dowell, Mr. Reed, and Ms. Cook, Assistants to the Chancellor; Dr. Kinnear, Chair of the Faculty; Mr. Dave Fowler, representing the Alumni Association; Mr. Kucharski, Legal Counsel; Mr. Travis, Athletic Director; Mr. Rowell, Director of Public Information; Dr. Kehrberg, Director of University Planning, and Ms. Welch, Assistant Secretary to the Board.

ELECTION OF OFFICERS

Chairman Moore turned the meeting over to Dr. Bardo to run the election for Chairman of the Board. Mr. Woody nominated Mr. Moore as Chairman of the Board. Mr. Crocker seconded the motion. Mr. Haire moved that the nominations be closed; Mr. Apodaca seconded. The motion was approved unanimously. The election of Mr. Moore as Chairman of the Board was approved unanimously.

Chairman Moore took over the meeting and asked for nominations for Vice Chairman. Mr. Crocker nominated Ms. Key; Mr. Jones seconded the motion. Mr. Haire moved that the nominations be closed; Mr. Apodaca seconded. The motion was approved unanimously. The election of Ms. Key as Vice Chairman of the Board was approved unanimously.

Chairman Moore asked for nominations for Secretary. Mr. Crocker nominated Mr. Walker; Mr. Apodaca seconded the motion. Mr. Haire moved that the nominations be closed; Mr. Jones seconded. The motion was approved unanimously. The election of Mr. Walker as Secretary of the Board was approved unanimously.

APPROVAL OF MINUTES

Mr. Jones moved that the minutes of the June 10, 1998 meeting be approved. Mr. Bissette seconded the motion, and it was approved. Mr. Jones also moved that the minutes of the June 18, 1998 Executive Committee meeting be approved and that the action taken at this meeting also be approved. Mr. Bissette seconded the motion, and it was approved.

Mr. Moore stated that he would like to keep the committee structure the same as it was for the previous year. Mr. Haire moved that the committee structure and chairs remain the same; Ms. Key seconded the motion. It was approved unanimously.

Mr. Haire proposed that an amendment be made to the by-laws to make all officers of the Board ex-officio members of every committee. This would assure a quorum at each meeting. Mr. Moore asked that Mr. Kucharski draw up the language for consideration at the next meeting.

ELECTION OF ENDOWMENT BOARD OF TRUSTEES MEMBER

Mr. Moore explained that Ms. Key's term on the Endowment Board of Trustees is expiring and recommended that she be re-elected for another three-year term. Mr. Jones moved that Ms. Key be re-elected for another term on the Endowment Board of Trustees. Mr. Apodaca seconded the motion, and it was approved unanimously. Ms. Key's term will expire June 30, 2001.

REPORT FROM THE ALUMNI ASSOCIATION

Mr. Moore explained that since Mr. Fowler did not get the chance to report at the last meeting that he would like for Mr. Fowler to make a report at this time. Mr. Fowler explained that Mr. Messer is in Asia this week. He reported that the Alumni Association is in good shape. Mr. Duane Reid will succeed Mr. Messer in the spring of the year. The next meeting of the Association is September 26.

REPORT OF THE ALUMNI, HONORS AND EXTERNAL AFFAIRS COMMITTEE

Ms. Key explained that the committee had a good discussion today, but that no action was taken. Dr. Eldridge will be mailing some things to the Board.

REPORT OF THE STUDENT AND ATHLETIC AFFAIRS COMMITTEE

Mr. Haire reported that the committee had a good meeting. He asked Dr. Caruso to report two proposed personnel changes in the Student Affairs Division. Dr. Bill Haggard has been promoted to Associate Vice Chancellor for Student Affairs and Dean for Student Development. His new responsibilities will include the University Center, counseling and psychological services, and the health center. Secondly, Jane Adams-Dunford has been appointed the new Director of Multicultural Affairs.

Mr. Haire asked Mr. Travis to report on changes in the Southern Conference. Mr. Travis reported that the Southern Conference Basketball Tournament will be in Greensboro in 1999. This will be the last year in Greensboro because the tournament has been a financial hardship on Greensboro. The tournament will not be there for the two more years indicated in the contract. The Conference will be looking for a new site in 2000. Greensboro said that they were losing money on the tournament. The Conference will be doing some things to make the tournament better this year. The new commissioner is marketing oriented. An RFP for a new location will be going out in the next sixty days. The feeling is that we need to go to a Southern Conference town.

Mr. Moore asked Mr. Travis to explain Western's leadership role in the Southern Conference. Mr. Travis reported that Dr. Bardo is now the chair of the CEO's for the Southern Conference, Dr. Scott Higgins is Vice President of the league and chair of the faculty association, and Mr. Travis is chair of the Athletic Directors' Association. Western is well-represented in the Southern Conference. WCU has had a great deal of impact this year. With Dr. Bardo's guidance, the Southern Conference rules were changed so that CEOs could vote on a new commissioner. The by-laws of the Southern Conference were re-written.

Mr. Haire reported that the SGA elections will take place in September.

COMMENTS FROM CHAIRMAN MOORE

Mr. Moore reported that he had attended the Catamount Club auction at Panther Stadium. He asked Dr. Eldridge to comment. She reported that since we were not allowed to bring wine and beer in that the proceeds were $25,647, down some this year. We will seek corporate and other sponsorships next year. We will computerize next year so that cash-out is easier. The merchandise will be more upscale next year.

Mr. Moore reported on the Endowment Board. At the last meeting of the Endowment Board, it was approved that a combined committee from the Development Foundation and the Endowment Board meet to look at further diversification of the investment policy. This committee voted to recommend further diversification of the policy. The committee also decided to interview money managers. Today, the Endowment Board adopted this new investment policy. Mr. Moore asked Dr. Carter to explain the process, who was interviewed, and the outcome of the process. Templeton was selected to be the international large cap manager; The Evergreen Fund was selected to be the small cap manager; Babson was selected to be the micro cap manager. With these selections, the Endowment and the Foundation will be a little better positioned to ride the markets in a diversified way. The year past has been excellent. Assets are at $10 million in the Endowment, $8 million in the Foundation.

A discussion followed concerning how investment policies are made and changed. An audit triggered this change. It was felt that we were being too conservative.

Mr. Moore reported that Dr. Bardo, Dr. Caruso, Dr. Bill Haggard and he had met with community leaders concerning what the community might be able to do in terms of support. He asked Dr. Bardo to discuss this meeting. Dr. Bardo reported that word has it that several downtown shop owners are ready to retire. Therefore, we are actively recruiting retailers to the downtown who would serve students. We have made contact with some and have offered to do research. He reported that we are taking a busload of people from SPIR , the Chamber of Commerce, and the town of Sylva to Boone to show what happens to a University when a town decides to support it.

Mr. Moore reported that Summer Commencement was great. Mr. Benjamin Ruffin, the new chair of the Board of Governors, attended the ceremony.

Mr. Moore reported that he had a superior visit with Dr. Roy Carroll, Senior Vice President for Academic Affairs at the UNC-General Administration for the Chancellor's performance review. This will be discussed in closed session. He and Dr. Bardo also met with President Broad.

COMMENTS FROM CHANCELLOR BARDO

Dr. Bardo reported on the new food service. He stated that quality is being seen on a regular basis. There have been no complaints on the quality of the food. We hope to be able to hold the quality now that it is established. Aramark is doing made-to-order food for students. We are fifteen days away from opening the Cyber Cafe, the first in the UNC system. There will be four computers and ten terminals in the Cafe.

Dr. Bardo stated that we have 1,107 freshmen as of today. The average SAT is 998, up 34 points in three years. The students are serious; they are staying, showing up to class. We have 1,100 computers installed; the JumpStart program worked.

He reported that we will be down in enrollment. We have had tremendous response to the Honors College. Teams from other institutions have been looking at the Honors College. He commended Dr. Brian Railsback.

Dr. Bardo stated that the marching band is gaining national recognition. They are playing for the Atlanta Falcons and for the National Bands of America. There are 210 students in the band now. The program this year will be the music of James Brown.

Dr. Bardo reported that the computer requirement is a non-issue. There were some problems with delivery. The staff scrambled, solved the problems, and delivered them to the students. There were twenty students walking through the residence halls hooking people up. The NEC and Radio Shack people were there helping. Mr. Crocker asked if NEC was going to give us any consideration for being late with the shipping. Dr. Bardo stated that this issue will be dealt with further. Dr. Bardo stated that we have loaned thirty computers to needy students until their financial aid comes.

Dr. Bardo reported that the legislature is still in session. There is $2.5 million for beginning construction in both houses. We anticipate breaking ground this next year. At the federal level, the money that Congressman Taylor has promised for a Workforce Development Center should be funded this month. He is still saying we will get a full $6 million this year. Language went in yesterday for money for a building funded by Senator Faircloth.

Dr. Bardo stated that work is progressing on UC-II. Hopefully, we will break ground this year.

Dr. Bardo reported that now that we have raised admissions standards significantly, which helped get SAT scores up, he would like to take the next step. He would like to move the bottom SAT up again. He would like to take it up another 20 points so that there is a 100-point change in the SAT over the past year. He would also like to take the minimum GPA up again.

Mr. Crocker asked about the tuition prepayment deposit. Dr. Bardo stated that the tuition prepayment deposit worked well this year. It allowed us to be better prepared to estimate how many students we would be getting.

Dr. Bardo reported on the consultants, Alceste Pappas and Associates, who have been on campus this summer. He stated that Western has not grown in enrollment in 20 years. President Broad asked him to go to Sonoma State to look at computer issues. What most impressed him there was the fact that their admissions and retention policies were excellent. Western hired the consultant that they were using. Sonoma State turned their enrollment around. They grew over 1,000 students and moved SATs up 120 points on average. The consultants tell us that we are poised to grow; we just need to do the right things. We are going to a personalized, private sector admissions process. We will be emphasizing that a student needs to be assigned an advisor who stays with them all the way through. A task force is being put together concerning retention. There are three organizational issues to be dealt with: 1)We do not have an enrollment management coordinator 2)We need someone to coordinate the information infrastructure and 3)We need to involve the graduate dean much more directly in coordinating the programs in Asheville along with the college deans.

Mr. Crocker asked how much can we grow in enrollment without building a new dorm. Dr. Bardo stated that we need to build a new dorm anyway so we can take existing dorms offline to upgrade them. Hopefully, off-campus housing such as the apartments being built across from the Ramsey Center will help. The master planner will help with this issue. We can handle up to 8,000 heads with our current academic facilities. However, we need science labs and student support spaces.

Mr. Walker asked what kind of Internet responses can students get who inquire about Western. Dr. Bardo reported that we are upgrading our admissions Internet page. It will now include a walking tour of campus. An application can be done from the web. Web-based registration is coming up. The first contact back will always be a phone call.

REPORT FROM THE CHAIR OF THE FACULTY

Dr. Kinnear reported that excitement is high this year. Last year, General Administration required the institutions to develop post-tenure review procedures. They were examined over the course of the summer. Ours was returned with a few minor criticisms. The Senate will be voting on the changes made.

Dr. Kinnear reported that Dr. Hinson and he met with the deans and the chairs of curriculum committees about the need for long-range planning for new programs, etc.

Dr. Kinnear reported that the Task Force on University Governance had been quiet over the summer. The staff people on the task force worked energetically over the summer to begin to develop their piece of the governance system.

Dr. Kinnear stated that retention is a matter of utmost importance. The faculty will do their share to improve retention.

INTERCOLLEGIATE ATHLETICS PROGRAM FY 96-97 AUDIT REPORT

Mr. Moore asked Dr. Carter to report on the annual Intercollegiate Athletics Program FY 96-97 Audit Report. Dr. Carter reported that Crisp, Hughes, Evans conducted the audit. The audit found no material weaknesses. The only finding addresses a reconciliation for football game tickets. Mr. Travis and the Internal Auditor will be addressing this problem. (COPY OF THE AUDIT REPORT ON FILE WITH MINUTES MATERIALS).

Discussion followed of the audit and its scope. Projections for next year were also discussed.

Mr. Moore called to the Board's attention the listing of designers that were selected this year under the Board's policy that the Chancellor can select designers for projects under one half million dollars. (LIST ON FILE WITH MINUTES MATERIALS).

CLOSED SESSION   Open Meeting Act

Ms. Key moved that the Board go into closed session to establish or instruct the staff or agent concerning the negotiation of the price and terms of a contract concerning the acquisition of real property and to consider the qualifications, competence, performance, condition of appointment of a public officer or employee or prospective public officer or employee. Mr. Bissette seconded the motion, and it carried unanimously. Dr. Bardo asked that Drs. Carter and Collings stay for the closed session.

(Mrs. Blankenship left at 5:00 p.m.)

RETURN TO OPEN SESSION

Mr. Haire moved that the Board return to Open Session. Mr. Jones seconded, and it was approved unanimously.

REPORT OF THE ACADEMIC AFFAIRS AND PERSONNEL COMMITTEE

Mr. Crocker moved that the actions as discussed in closed session--five administrative appointments, thirty faculty appointments, fifteen staff appointments, one recommendation for affiliate faculty status, one request for leave of absence, and one request for staff title change--be approved. Mr. Walker seconded the motion, and it was approved unanimously.

ADOPTION OF RESOLUTION

Mr. Woody moved that the Board adopt a resolution concerning the intention to raise the institutional quality of Western Carolina University with a request to President Broad to hold the institution harmless for a three-year period against loss on enrollment-related, budgeted resources. Mr. Woody further moved that the agenda of each future meeting of the Board contain a discussion of the University's progress towards the goals described in this resolution. Ms. Key seconded the motion, and it was approved unanimously.

WHEREAS Western Carolina University is intent upon raising institutional quality, both in substance and perception; and

WHEREAS, to achieve this goal, the University is significantly raising its standards for admission of new students and its academic expectations of enrolled students; and

WHEREAS, higher standards may temporarily reduce current enrollment and constrain growth; and

WHEREAS, custom and policy directly relate budgeted resources to enrollment; and

WHEREAS, the University has launched multi-faceted initiatives to stimulate growth of new enrollment and to improve retention of enrolled students; and

WHEREAS, the resource demands of these initiatives are substantial and immediate while their beneficial results may take some time to produce enrollment growth and attendant growth of budgeted resources; and

WHEREAS, to implement and institutionalize these positive changes requires a reasonable period free of budget losses that might arise from a temporary enrollment decline;

NOW, THEREFORE, BE IT RESOLVED THAT the Board of Trustees of Western Carolina University does hereby entreat the President of the University of North Carolina to hold Western Carolina University harmless for a period of three years against loss of enrollment-related, budgeted resources; and,

FURTHER, BE IT AFFIRMED THAT the Trustees of Western Carolina University do hereby commit themselves to ensuring that this three year period is used to facilitate vigorous and systematic advancement of the institution's quality, reputation, enrollment of new students, and retention of enrolled students.

//Signed Jim L. Moore
Chairman, Western Board of Trustees

//Signed Adelaide D. Key
Vice-Chairman, Western Board of Trustees

ADJOURNMENT