FINANCIAL AFFAIRS COUNCIL
MINUTES

Meeting Number 9							February 15, 2005

1. The meeting was called to order at 1:04 with the following voting and non-voting members present or excused:  D. Harris, C. Johnson, Dowell, Hata, Yeung-Lindquist,  Meylor, Caron, McConnell, Bostic, Snidecor, Bremer, Horne, Sy, Coots, Torabzadeh, Wang, Anwar, Fisher, Hood (Chair), Kearney (Secretary), Aguinaga. 
 
2. The agenda was approved.

3. The Minutes of Meeting Number 8 of February 1, 2005 were approved as distributed.
4. Announcements:  Chair David Hood announced that the statewide senate recently approved a resolution supporting legislation to authorize free-standing CSU doctorates in applied fields such as audiology, physical therapy and nursing. The Board of Trustees in their January meeting agreed to sponsor such legislation as part of their legislative agenda. 
5. At the request of FAC, Aristide Collins, Interim Vice President of University Relations and Development (URD), provided us with an update of the functions and goals of his office. Citing our Provost of Academic Affairs, Gary Reichard, as his most supportive partner for advancing the agenda of URD, Collins introduced his team at URD and overviewed their respective responsibilities:  Janice Hatanaka, Assistant Vice President of Alumni Relations and Annual Giving; Brian Lawver, Director of Advancement Services; and Toni Beron, Assistant Vice President of Public Affairs and Publications (absent). Moreover, he recognized the  “remarkable team” of Alumni Relations, Public Affairs, the KKJZ staff, and the DODs (Directors of Development at colleges across the university) who work with the deans  to advance the mission of URD and the institution.  

Articulating the symbiotic relationship between URD and academic affairs, Collins reminded us that URD is the service unit to academic affairs and student services. In order to service adequately students and faculty, Collins advocates that URD become actively involved in the goals-setting process for the institution. These goals become the template for fund-raising activities. In an effort to make this happen, Collins has created a division management group of AVP’s and senior directors to talk about issues that affect the campus. He has initiated an internship program, currently sponsored through CLA, giving students an opportunity to learn the business of development. Not only will the program groom potential URD personnel, but it will help to inform our alumni base about the process and product of university relations.

An examination of recent fund-raising efforts further illuminates the goals and progress of URD. At the half-year mark, URD is already at 72% of their fundraising goal for 2004-2005, having raised $18 million of their $25 million goal. (Whereas previous years’ statistics also included software revenue, current and future fund-raising statistics do not.)  Twelve of the fund-raising areas are within goal reach, meeting over 50% of their goals to date. Importantly, the ratio of cash to gift-in-kind is the lowest in the division’s history. Whereas gifts-in-kind used to be as high as $10 million, current gift-in-kind contributions total $2.8 million. Cash contributions have increased significantly, currently at $9.1 million. 

In an effort to become more closely aligned with campus goals, Collins advocated the need for URD to assume a comprehensive planning process. Currently, URD is the smallest division on campus and seriously underfunded and understaffed. Given the number of functions and an even larger number of alumni, URD requires more support. CSULB is the 2nd largest CSU campus, and yet, we are not investing in our alumni relations and public affairs operations proportionately. Staff needs for college DODs are also insufficient, requiring more administrative support to answer phones when donors and alumni call, write letters, work with faculty, and provide support for events. Similarly, URD has insufficient funds for travel often required for donor cultivation. Recognizing that faculty are the #1 link to our alumni, Collins would like to get faculty more involved in the program and initiatives of URD. Moreover, we need a “media kit” (updated College brochures) that can be easily updated, portable for travel, available for departments and faculty to use, and provides information that is donor-friendly and can also be used for faculty recruitment. Importantly, a media kit should be designed to translate to donors and alumni the importance of supporting faculty research, sabbaticals and other hard-to-translate projects that are integral to faculty growth and development.

Although discussion about a university-wide, comprehensive fund-raising campaign has begun, President Maxson’s retirement plans complicate the idea. Predicting that the president’s announcement will likely reduce the current fund-raising momentum, Collins would like to postpone such plans until our new leadership is on board. Collins announced that CSU, San Luis Obispo has just finished their $250 million campaign; similarly, CSU, Fresno had a $300 million campaign. Both campuses began their efforts with considerable start-up funds, funds that CSULB will also need when we introduce our own campaign. 

Brian Lawver announced that payroll deductions are now available for donors. See CSULB online for further information.

Janice Hatanaka announced that the Annual Fund reflects more ground-level fundraising, resulting in smaller donations, but also a way to identify potentially larger donors. The telephone program reaches approximately 55,000 alumni and parents, bringing in about $1.2 million. 

Aristide Collins reiterated the importance of cooperation between URD and academic and student affairs. In his interactions with alumni and donors, he observes their desire to talk with faculty, deans and students. And yet, he noted that his division is the only unit not represented on FAC. If URD is to become a part of the shared governance process, they need and want to be part of the academy. Collins requested that URD become an active part of this council. 

During the question and answer session, Collins was asked how fund-raising goals were determined. . Collins would like to recalibrate the goals based on additional information, requiring conversations with the provost and deans. 

Currently, URD’s monthly financial report specifying each division’s progress toward their respective goals are available to faculty. At our request, Collins will send monthly reports to members of FAC electronically. 

Compared to other CSU campuses, how are we positioned, and what would be required to take the next giant step forward?  Taking his lead from the UCLA model, former VP of URD, Jerry Mandel instituted a DOD in every college. With insufficient resources, he was unable to also assign an alumni officer in every college. Collins insists that this step still needs to be taken. Other CSUs have unique fund-raising opportunities. For instance, San Diego State raises $65 million each year reaching their alumni and friends with their public radio and TV stations. Unlike the Beach, CSU Fresno still has football, bringing alumni and donors regularly to campus. 

In order to compete and move to the next level, we have to invest in resources and staff. And yet, we continue to cut both, including the circulation of Beach Review. We can’t do that and still raise more money. 

Finally, Collins affirmed that URD needs to return to FAC each year to present an annual report.
9. Because URD is the only division not represented on FAC and because the constitution was written before URD existed on this campus, members of FAC unanimously agreed to support Collins’s request that the Academic Senate amend its bylaws to include a member of URD on the council. 
10. The meeting adjourned at 2:05 p.m.

Respectfully submitted,

Patricia Kearney
Secretary

(These minutes have not been approved.)