A meeting of the Purdue University Board of Trustees convened at 9:43 a.m. on Thursday, October 10, 2019, in Room 326 of Stewart Center on the Purdue University campus in West Lafayette, Indiana.

All trustees were present: Michael Berghoff, chairman; Sonny Beck; JoAnn Brouillette; Vanessa Castagna; Malcolm DeKryger; Michael Klipsch; Gary Lehman; Noah Scott; Thomas Spurgeon, vice chairman; and Don Thompson.

Officers and administrators in attendance were: Mitch Daniels, president; Jay Akridge, provost and executive vice president for academic affairs and diversity; Jim Almond, senior vice president, assistant treasurer, and assistant secretary; Steve Schultz, general counsel; Janice Indrutz, corporate secretary and senior executive assistant to the Board; and Tom Keon, chancellor of Purdue University Northwest.

I. ROLL CALL

Chairman Berghoff called the meeting to order and noted that all trustees were in attendance.

II. FUTURE MEETING SCHEDULE

Chairman Berghoff drew the Board’s attention to the schedule of future meetings through 2020 as listed on the agenda and indicated that the meeting schedule for 2021 would be finalized before the Board met again in December.

III. APPROVAL OF UNANIMOUS CONSENT AGENDA

Chairman Berghoff read the list of items the committees had recommended for full Board approval, which composed the unanimous consent agenda along with other routine items, as follows:

• Minutes: Stated Meeting, August 2, 2019; and Executive Session, August 1, 2019;
• Ratification of Dr. Mary E. “Beth” McNeil as the Esther Ellis Norton Professor of Library Science, as recommended by the Academic and Student Affairs Committee;
• Ratification of Dr. William A. Crossley as the J. William Uhrig and Anastasia Vournas Head of Aeronautics and Astronautics, as recommended by the Academic and Student Affairs Committee;
• Ratification of Mr. Brandon M. Fulk as The Walsh Group Director of Internships in the Division of Construction Engineering and Management (College of Engineering), as recommended by the Academic and Student Affairs Committee;
• Ratification of Dr. Melba M. Crawford as the Nancy Uridil and Francis Bossu Professor in Civil Engineering, as recommended by the Academic and Student Affairs Committee;
• Approval to amend the title of Tompkins Professor in Industrial Engineering to Tompkins Chair of Systems, as recommended by the Academic and Student Affairs Committee;
• For Indiana University Purdue University Indianapolis: Approval of M.S. degree in Cybersecurity and Trusted Systems, as recommended by the Academic and Student Affairs Committee; 
• Approval of contract in excess of $2,000,000: long term disability vendor (Guardian Life Insurance), as recommended by the Finance Committee;
• Approval of presidential performance at-risk pay for 2018-2019, as recommended by the Compensation Committee;
• Approval of conflict of interest disclosures, and
• Exceptions to the university nepotism policy.

Chairman Berghoff asked if any of the Board members wished to have an item removed from the consent agenda for further discussion. Hearing no such request, and upon proper motion duly made and seconded, the Board of Trustees voted unanimously to approve the unanimous consent agenda. All supporting materials were filed with the minutes.

IV. REPORT OF THE PRESIDENT

President Daniels profiled the gifts of $1,000,000 or more that the university had received since the Board last met on August 2, 2019. The donors of these gifts were recognized in the following Resolution of Appreciation:

WHEREAS, the following friends of Purdue University have generously contributed $1,000,000 or more to move Purdue to greater excellence and preeminence; and

WHEREAS, the University wishes to acknowledge the significance of these gifts to new directions, advancements, and momentum in Purdue’s history, progress, and future;

BE IT THEREFORE RESOLVED:

1. That the University and the Trustees are grateful to these individuals for their leadership and support of Purdue University; and

2. That this resolution be spread upon the minutes of the Board of Trustees as part of the permanent record of the University.

FRIENDS: Donald and Susan Barrick, to support the College of Pharmacy; Michael Byers, to support Intercollegiate Athletics; John Fannon, to support the College of Agriculture; Norma Hilleary, to support the School of Mechanical Engineering; James Kasmark, Jr., to support the School of Mechanical Engineering and Purdue Polytechnic Institute; John Martinson, to support the College of Engineering; and The Walsh Foundation, to support the College of Engineering.

Upon proper motion duly made and seconded, the Board of Trustees voted unanimously to approve the resolution. A formal copy of the resolution was filed with the minutes.

President Daniels then requested the Board’s approval to name the atrium in the new STEM building for Nobel Prize winner Dr. Ei-Ichi Negishi, H.C. Brown Distinguished Professor Emeritus of Chemistry, and he expressed his belief that it would be an appropriate way to honor Dr. Negishi. He informed the Board that a retirement reception held for Dr. Negishi in May 2019 was well-attended by many alumni who spoke of Dr. Negishi’s significant influence on them, and President Daniels shared the Purdue lore that, on the morning Dr. Negishi learned he had won the Nobel Prize, he hung up the phone and went to teach his chemistry class. Upon proper motion duly made and seconded, the Board of Trustees voted unanimously to name the Dr. Ei-Ichi Negishi Atrium in the STEM Teaching Lab facility. Supporting materials were filed with the minutes. Chairman Berghoff shared his observation that construction of the STEM Teaching Lab facility was progressing.

President Daniels then reported on enrollment. He illustrated a record number of 54,912 applications, highlighted that more than 42,000 undergraduate students across the Purdue system were from Indiana, and informed the Board that 620 Purdue employees were enrolled in Purdue Global. President Daniels also illustrated 4-year and 6-year graduation rates and was pleased to point out that the graduation rate for underrepresented minority students had almost doubled over the last decade. He presented advanced placement credit and dual credit data, which the Board discussed at length with the participation of Dr. Frank Dooley, senior vice provost for teaching and learning, and President Daniels reviewed time-to-degree data for both undergraduates and graduate students. A copy of President Daniels’ report presentation was filed with the minutes.

V. APPROVAL AND ADOPTION OF SPORTS WAGERING POLICY

Chairman Berghoff informed everyone that sports betting became legal in Indiana on September 1, 2019, which, he said, had raised concerns about its impact on Division I student-athletes and prompted the university’s Executive Policy Review Group to draft a Sports Wagering Policy. Chairman Berghoff then provided an overview of the proposed policy and read aloud the following resolution to approve and adopt a policy on sports wagering:

WHEREAS, Purdue University (“Purdue”) is proud of the long history of success and the reputation of its athletic programs; and

WHEREAS, Purdue seeks to operate with the greatest of integrity and fair play in athletic competition; and

WHEREAS, because the State of Indiana now allows sports wagering on certain NCAA Division I sports, the general public may lawfully place sports wagers on Purdue’s Division I sports teams and student-athletes in this state, as well as in other states that allow college sports wagering; and

WHEREAS, various Purdue stakeholders, including faculty and members of the Department of Intercollegiate Athletics (the “Department”), have called for a University policy to: (i) reduce the potential for deceit and ill-gotten gain, (ii) demonstrate respect and support for our student-athletes and lessen the potential for any of them to feel compromised, self-conscious or inhibited in the ordinary course of their activities as students or athletes, and (iii) protect members of the University community from any inference of profiteering from inside information, exercising undue influence or other improper conduct.

WHEREAS, the Executive Policy Review Group (“EPRG”), which exercises delegated authority from the Board to promulgate University policies from time to time, has developed a policy on sports wagering and has recommended it to the Board for approval; and

WHEREAS, the Board has broad statutory authority to make all bylaws, rules and regulations required or proper to conduct and manage Purdue University:

NOW, THEREFORE, BE IT RESOLVED by the Board as follows:

1. The policy on Sports Wagering recommended by the EPRG, as modified to cover students and independent contractors and reviewed and discussed at this meeting, is hereby approved and adopted, with such further modifications as the EPRG may approve in finalizing and publishing the policy.

2. The Board hereby authorizes the Vice Provost for Faculty Affairs and the Vice President for Human Resources to work with the EPRG to develop sanctioning guidelines for faculty and staff members who are found to be in violation of this policy.

3. The Board hereby authorizes the Vice Provost for Student Life and the Associate Vice Provost for Student Life and Dean of Students to work with the EPRG and the Office of Student Rights and Responsibilities to develop sanctioning guidelines for non-athlete students who are found to be in violation of this policy.

Chairman Berghoff reiterated that the intent of the policy was to capture the betting activities legalized by the state of Indiana, and Mr. Schultz recommended that the delegated leaders work with the EPRG to consider, when developing sanctioning guidelines, the small stakes social pool wagering that was recognized as happening in everyday life.

Trustee Brouillette remarked that the policy reflected the core Boilermaker values of integrity and honesty and said she was pleased that students would be included in the policy because “that is exactly who we want them to be.” Trustee Klipsch commented that Purdue would be only the second university to adopt such a policy and recognized that modifications may be warranted in the future. In response to a question from Trustee Thompson, Mr. Schultz clarified that, when the EPRG concluded its deliberations, it recommended a policy without students while students were studied further, and, now that the Board had indicated its desire to include students, the EPRG would utilize additional feedback from the University Senate for the purpose of establishing sanctioning guidelines. Trustee Scott pointed out that the Board was charged with protecting the university’s priority to deliver education and said the policy did exactly that.

Upon proper motion duly made and seconded, the Board of Trustees voted unanimously to adopt the resolution and approve the Sports Wagering Policy. Supporting materials, including a copy of the final policy, were filed with the minutes.

VI. APPROVAL TO EXTEND TERM OF DEAN, PURDUE POLYTECHNIC INSTITUTE, WITH EXCEPTION TO MANDATORY RETIREMENT AGE

Chairman Berghoff called for a motion to extend Dr. Gary Bertoline’s term as dean of the Purdue Polytechnic Institute through June 30, 2022, which called for an exception to the university’s retirement policy. Trustee Thompson expressed appreciation for Dr. Bertoline’s energy and passion, and he praised the success of the Purdue Polytechnic High School. Provost Akridge expressed his desire for Dr. Bertoline to continue his skillful transformation of PPI, and Trustee Klipsch remarked that it was important for Dr. Bertoline to complete the Engineering and Polytechnic Gateway project. Upon proper motion duly made and seconded, the Board of Trustees voted unanimously to approve the exception to the mandatory retirement age and extend Dr. Bertoline’s contract. Supporting materials were filed with the minutes.

VII. REPORT OF THE KRANNERT SCHOOL OF MANAGEMENT

Dr. David Hummels, Dr. Samuel R. Allen Dean of the Krannert School of Management, began his report by reviewing the School’s key accomplishments over the last five years. Accomplishments included having grown and significantly matured its faculty, a ten-fold increase in annual fundraising totals, and study abroad participation had quintupled. Dean Hummels then discussed three areas on which the School would focus in the next five years: transform undergraduate education; relaunch the BSIM (industrial management) program; and drive online graduate programs. He also outlined challenges the School would face to achieve its focus, which included the quality and quantity of space for students. Dean Hummels answered many questions from the Board. A copy of Dean Hummels’ report presentation and additional report materials were filed with the minutes.

VIII. REPORT OF THE HONORS COLLEGE

Dr. Rhonda Phillips, dean of the Honors College, began her report by identifying the College’s four pillars. She pointed out that all Honors College students were involved in undergraduate research, and she reviewed enrollment data for the College’s seventh academic year. Dean Phillips discussed marketing efforts and said Purdue was competing with other universities for honors students. She also discussed the success of the National and International Scholarships Office and proudly announced that the Winston Churchill Foundation had named Purdue University a model institution in 2018. To conclude her report, Dean Phillips outlined ongoing evaluation and planning efforts with the goal of assisting the university’s overall goal of recruiting and retaining high-ability students. A copy of Dean Phillips’ report presentation and additional report materials were filed with the minutes.

IX. DESIGNATION OF DIRECTORS FOR PURDUE RESEARCH FOUNDATION AND ROSS-ADE FOUNDATION

Chairman Berghoff informed the Board that Trustee Lehman’s three-year term on the Purdue Research Foundation board was ending, and the one-year terms of Trustee DeKryger and Trustee Klipsch as directors for the Ross-Ade Foundation board were also ending. Therefore, upon proper motion duly made and seconded, the Board of Trustees voted unanimously to redesignate Trustee Lehman to the Purdue Research Foundation board and redesignate Trustees DeKryger and Klipsch to the Ross-Ade Foundation board.

X. ADJOURNMENT

By consent, the meeting adjourned at 11:46 a.m.