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Finance Committee February 24, 2012 MEMORANDUM TO: The External Affairs Committee: A. Macdonald Caputo, Chair Hunter E. Craig Allison Cryor DiNardo Marvin W. Gilliam Jr. Robert D. Hardie Mark J. Kington John L. Nau III Timothy B. Robertson Edward D. Miller, M.D., Ex Officio Helen E. Dragas, Ex Officio Jeffrey C. Walker, Consulting Member Gweneth L. West, Consulting Member and The Remaining Members of the Board: The Hon. Alan A. Diamonstein Stephen P. Long, M.D. W. Heywood Fralin George Keith Martin Glynn D. Key Vincent J. Mastracco Jr. Randal J. Kirk Jonathan B. Overdevest FROM: Susan G. Harris RE: Minutes of the Meeting of the External Affairs Committee on Friday, February 24, 2012 The External Affairs Committee of the Board of Visitors of the University of Virginia met, in Open Session, at 9:00 a.m., Friday, February 24, 2012, in the Board Room of the Rotunda; A. Macdonald Caputo, Chair, presided. External Affairs Committee - February 24, 2012 2. Present were Hunter E. Craig, Ms. Allison Cryor DiNardo, Marvin W. Gilliam Jr., Robert D. Hardie, Mark J. Kington, John L. Nau III, Timothy B. Robertson, Edward D. Miller, M.D., and Ms. Helen E. Dragas, Rector. Ms. Gweneth L. West, a consulting member, was present as well. Present also were the Honorable Alan A. Diamonstein, W. Heywood Fralin, Ms. Glynn D. Key, Stephen P. Long, M.D., George Keith Martin, Vincent J. Mastracco Jr., and Jonathan B. Overdevest. Also present were Ms. Teresa A. Sullivan, Michael Strine, John D. Simon, Ms. Susan G. Harris, Paul J. Forch, Ms. Susan A. Carkeek, James L. Hilton, Ms. Patricia M. Lampkin, Marcus L. Martin, M.D., Simeon E. Ewing, Ms. Yoke San L. Reynolds, Ms. Colette Sheehy, Thomas C. Skalak, Robert D. Sweeney, Ms. Alison E. Traub, C. Thomas Faulders III, and Ms. Debra D. Rinker. WTJU Annual Report Mr. Caputo said Mr. Walker was not available to report on the Council of Foundations. He introduced Mr. Robert D. Sweeney, Senior Vice President for Development and Public Affairs, to present the WTJU Annual Report, which is attached to these minutes. Mr. Sweeney said with a new General Manager, there have been significant strides in programming, listenership, and fundraising. Listenership is up over 16% this year, and it is now an all-student news room. They have successfully renewed their broadcasting license through October 2019. On motion, the committee adopted the following resolution and recommended it to the full Board for approval: APPROVAL OF THE 2010-2011 WTJU ANNUAL REPORT RESOLVED, WTJU’s 2010-2011 Annual Report is approved, as recommended by the President and the Senior Vice President for Development and Public Affairs. - - - - - - - - - - Vice President’s Remarks Council of Foundations: Mr. Sweeney gave a brief summary of Council of Foundations activities, in Mr. Walker’s absence. He said they have addressed some macro issues in higher education, External Affairs Committee - February 24, 2012 3. including the budget process. He said Mr. Skalak has been talking about collaboration among the schools, and they are now linking philanthropy to the program aspirations. Development benchmarks, which are elegant in their simplicity, were presented to the Council. Engagement: Mr. Sweeney described some of the programs administered by the Office of Engagement: Alumni Education, Cavalier Travels, UVaClubs, UVaFamilies, and the Engagement Community of University professionals. He said the Chick-fil-A Bowl pregame events were well-attended, including the more intellectual sessions. The Summer on the Lawn program is now organized by the Office of Engagement. The alumni and parent engagement efforts have won several awards from the Council for Advancement and Support of Education (CASE). Mr. Sweeney mentioned the successful Commonwealth of Virginia Campaign, a state program to raise funds for nonprofit charitable organizations, which raised 30% of their statewide total from University of Virginia employees. Philanthropic Cash Flow: Philanthropic cash flow measures actual gifts received. Mr. Sweeney said through December 31, 2011, cash flow stood at $140 million, an increase of nearly 14% over the same period in fiscal year 2011. Annual gifts are $25 million from nearly 33,000 donors, an overall increase of 6.5% in number of donors over the previous year. With respect to the Capital Campaign, December was a remarkable month, raising $86.5 million. The vast majority of giving is from individuals, primarily alumni as well as parents and friends. Mr. Sweeney reviewed the history of giving to the Campaign. As of January 1, 2012, $2.6 billion had been raised out of the $3 billion goal. The economic downturn caused the Campaign to go off course, but there is a logical view that the strategy and performance were not wildly off. The University needs one very large gift to finish the Campaign in a relatively timely fashion. Mr. Sweeney reviewed the University’s fundraising performance in comparison with select public universities and select aspirational peers. The endowment performance has been extraordinary and has had the biggest impact on the increase in endowment. He said this is attributed to UVIMCO and not Development. Cash flow last year trails the publics and privates, but adjusting for size shows that the University outdistances its public university cohort. Parent and nonalumni friend giving has been very good; the weakest area is in External Affairs Committee - February 24, 2012 4. corporate support. Alumni participation is at the mid-point of the private university cohort in terms of percentage of participation. In order to increase participation by 1 percentage point, 5,000 new donors must be generated each year. Mr. Sweeney said the University has led all publics and privates in the average size of future support gifts. The University leads the way in average donation in Athletics and is fourth in total dollars. Mr. Hardie commented that he receives many solicitations from the University; coordination of the solicitations so that he is not receiving so many would be better. Mr. Sweeney said the University will be celebrating the bicentennial in 2019, which will be a huge opportunity. The Chair concluded the meeting by complimenting Gordon Rainey, Everette Doffremyre, and Jeff Walker in John Nau’s footsteps, for their efforts. He said Development is working on some initiatives to address Mr. Hardie’s concern about solicitations. He adjourned the meeting at 9:50 a.m. SGH:lah These minutes have been posted to the University of Virginia Board of Visitors website. http://www.virginia.edu/bov/externalminutes.html ATTACHMENT Outside WTJU at Lambeth Commons, 2011 WTJU 2010-11 ANNUAL REPORT To the Rector and Visitors The University of Virginia 1 | W T J U A n n u a l R e p o r t F Y 2 0 1 1 TABLE OF CONTENTS Chapter Page Mission Statement ..........................................................................................................3 2010-11 Areas of Focus Improving Station Finances ................................................................................4 Increasing Station Listenership ..........................................................................4 Increasing Student Involvement ........................................................................5 Navigating a Staff Transition ..............................................................................5 FCC Broadcast License Renewal .........................................................................6 Personnel: Staff & Volunteers ........................................................................................7 Programming ..................................................................................................................9 Upcoming Challenges and Conclusion ..........................................................................12 Appendices Operating Budget/Financial Report, Exhibit 1 ..............................................................13 Underwriting Commitments, Exhibit 2 .........................................................................15 2 | W T J U A n n u a l R e p o r t F Y 2 0 1 1 WTJU-FM Mission Statement WTJU-FM is a noncommercial educational radio station licensed by the Federal Communications Commission (FCC) to the Rector and Board of Visitors of the University of Virginia. WTJU’s objectives are to: ● Present original, rich and diverse programming of music and other forms of expression free from the direct constraints of commercial interests, reflecting the broadest educational goals of the University; ● Provide the University and surrounding communities with a significant alternative to other broadcast media within the station's service area; ● Provide educational, entertaining music and public affairs programming and information on issues and events of interest to the community; ● Serve as a communications link between the University and surrounding communities, bringing the resources of the University to its neighbors, providing opportunities for participation in the creation of programming and the experience of broadcasting and fostering closer contact among different groups; and ● Archive selected recorded material acquired or produced by WTJU. 3 | W T J U A n n u a l R e p o r t F Y 2 0 1 1 2010-11 Areas of Focus Improving Station Finances For FY2011, WTJU budgeted $350,500 in both revenue and expenses. Actual revenue for the fiscal year was $430,450 – approximately $80,000 more than budgeted thanks to strong performance during all of WTJU’s pledge drives. Actual expenses were $306,733, well under budget. Thus, WTJU
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