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2.2 Governing Board

The institution has a governing board of at least five members that is a legal body with specific authority over the institution.  The board is an active policy-making body for the institution and is ultimately responsible for ensuring that the financial resources of the institution are adequate to provide a sound educational program.  The board is not controlled by a minority of board members or by organizations or interests separate from it.  Both the presiding members of the board are free of any contractual, employment, or personal or familial financial interest in the institution.

Judgement of Compliance:

Compliance

Narrative:

The University of Tennessee at Chattanooga (UTC) has an active, policy-making governing board with specific authority over the institution.  The Board of Trustees (BOT) of The University of Tennessee (UT) is a legal body that has been granted authority over the UT system, of which UTC is a member.

Active Policy-Making
Although the UT BOT Charter requires only one annual meeting and called meetings as necessary, the BOT typically has meetings in October, February, and an annual meeting in June. In 2009, the BOT met on February 27, June 17, and October 9.  This level of activity ensures the Board is able to control the regular developments and changes that are a normal part of University operations. 
The UT BOT Charter, Article III, provides the BOT with authority to form policies that govern the university, such as admission policies, residency status, degree offerings, and all rules and regulations of the university.  An example of such policy-making can be seen in the minutes (see section XIV: Consent Items) of the BOT meeting held on June 17, 2009.  In this meeting, the Board took action on two proposals specific to the UTC campus: revised undergraduate admission requirements and differential tuition for out-of-state students from contiguous counties.

Financial Responsibility
The UT Board of Trustees has full control over the organization and administration of UTC, including all financial affairs.  The Finance and Administration Committee formulates and recommends to the Board of Trustees fiscal policies, operating budget for the campuses, capital outlay proposals, tuition and fees, facilities master plans, acquisition of real property, building construction, and other matters.  In this way, the Board guarantees that the institution’s finances are adequate to provide a constant standard of excellence in education.

Membership and Minority Control
The Board of Trustees consists of five ex-officio members and twenty-one appointed members, including representatives from all congressional districts (8) and six counties, as well as two faculty and two students. Each member of the Board of Trustees has an equal vote in consideration of action items brought before the board.  This wide dispersal of equal votes guarantees the Board cannot be controlled by a minority interest within the Board.  Additionally, all BOT meetings are attended by members of the media and are recorded as live webcasts made available across the UT system and to the general public.  There have been no allegations regarding minority control or block voting, something which certainly would have been noted by the many astute observers.
The Board also cannot be controlled by any organization or interest separate from the Board.  The UT Board of Trustees Charter includes a section (Article VI, Section 8) on conflict of interest and nepotism that states,
No Trustee shall be financially interested in any contract or transaction affecting the interest of the University, nor procure or be a party in any way to procuring the appointment of any relative to any position of trust or profit connected with the University. Violation of this provision shall subject the Trustee so offending to removal by the Governor or by the Board.
In addition, the Board has adopted a Conflict of Interest Policy and a Code of Ethics for appointed trustees.  These policies reiterate Tennessee law that states,
It is unlawful for any member of the board of trustees to be financially interested in any contract or transaction affecting the interest of the university, or to procure, or be a party in any way to procuring, the appointment of any relative to any position of trust or profit connected with the university. A violation of this section subjects the member so offending to removal by the governor or board of trustees.
As seen in the table below and on the membership list provided on the Board website, all Board members are free of any entanglements that would conflict with this policy.  In particular, the presiding members of the board are free of any contractual, employment, or personal or familial financial interest in the institution.

Table 1 – Board of Trustees Membership

Board Member

Position on Board

Background

The Honorable Phil Bredesen

Chair, ex officio voting member

Governor of Tennessee

James L. Murphy, III

Vice Chair, ex officio voting member

UT graduate, attorney with Bradley Arant Boult Cummings, LLP

Charles Anderson, Jr.

Voting trustee

UT graduate, CEO of Anderson Media

Anne Holt Blackburn

Voting trustee

UT graduate, news anchor for WKRN-TV, Knoxville

Dr. J.A.M. “Toby” Boulet

Non-voting trustee

Past faculty senate president, UT Knoxville

William Y. Carroll

Voting trustee

Chairman of the Board, SmartBank, Pigeon Forge

George E. Cates

Voting trustee

Retired CEO of Mid America Apartment Communities, Inc., Memphis

Spruell Driver, Jr.

Voting trustee

UT graduate, attorney with Waller Lansden Dortch & Davis, LLP, Nashville

John N. Foy

Voting trustee

UT graduate, vice chairman of board of directors and treasurer of CBL & Associates Properties, Inc., Chattanooga

Crawford Gallimore

Voting trustee

UT Martin graduate, CFO for Hamilton-Ryker Company

The Honorable Ken Givens

Ex officio voting member

Commissioner of Agriculture for the State of Tennessee

Monice Moore Hagler

Voting trustee

UT Martins and UTHSC graduate, partner with Fearnley Califf Martin McDonald & Hagler, Memphis

James E. Hall

Voting trustee

UT graduate, founder of Hall & Associates LLC, Chattanooga

Douglas A. Horne

Voting trustee

UT graduate, founder Horne Properties, Inc., Republic Newspapers, Inc., and Horne Radio, Knoxville

 


Documentation:

  1. UT Board of Trustees: About
    http://bot.tennessee.edu/about.html

  2. UT BOT Charter
    http://bot.tennessee.edu/charter.html

  3. UT BOT Winter Meeting Minutes, February 27, 2009
    http://bot.tennessee.edu/minutes/02272009_boardmeetin.pdf

  4. UT BOT Annual Meeting Minutes, June 17, 2009
    http://bot.tennessee.edu/minutes/06172009_boardmeetin.pdf

  5. UT BOT Fall Meeting Minutes, October 9, 2009
    http://bot.tennessee.edu/minutes/10092009_boardmeetin.pdf

  6. BOT Charter, Article III: Powers of the University
    http://bot.tennessee.edu/charter.html

  7. UT BOT meeting minutes, June 17, 2009
    http://bot.tennessee.edu/minutes/06172009_boardmeetin.pdf

  8. UT BOT Bylaws, Article I, Sections 1 and 2: Responsibilities of the Board
    http://bot.tennessee.edu/docs/bylaws_article_I.pdf

  9. UT BOT Bylaws, Article III, Section 6: Standing Committees, Finance and Administration Committee
    http://bot.tennessee.edu/docs/bylaws_article_III.pdf

  10. BOT Charter, Article VI, Section 8: Board of Trustees, Conflicts of Interest and Nepotism
    http://bot.tennessee.edu/charter.html

  11. BOT Conflict of Interest Policy
    http://bot.tennessee.edu/docs/PolicyInterests.pdf

  12. BOT Code of Ethics
    http://bot.tennessee.edu/docs/Code_of_Ethics_10200.pdf

  13. Tennessee Code Annotated § 49-9-207
    http://www.utc.edu/Administration/SACS/ComplianceReports/Documentation/CR22/ConflictsOfInterest.pdf
    Click to navigate legal resources website

  14. Members of UT Board of Trustees
    http://bot.tennessee.edu/members.html

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09/9/10 09:11:35 AM (EDT)