Veritas, Vol. 19, No. 10, January 29, 1977

              January 29, 1979
** ’©if ‘
Vol. 19 No. 10
For Faculty, Staff and Friends of the University of Miami
1977-78 Financial Report
University operations in the black by $35,000
by Dr. John L. Green, Jr.
Executive Vice President for Administration and Finance
The University has completed another successful year of financial operations. While maintaining its commitment to quality in all aspects of its operations and services, the University has continued to experience a balanced budget at year end.
Our relatively young University (52 years old) continues to grow at a very rapid pace. It was only three years ago that the University completed the 1974/75 fiscal year with current funds expenditures of approximately $120,000.000. For the fiscal year ended May 31,	1978,	current funds
expenditures exceeded $160,000,000. This represents a 33 per cent increase in current funds expenditures over a three-year period.
The Current General Funds operations has maintained a nominal “operating surplus” for the third consecutive year. And as Dr. Stanford has said, the Current General Fund is the “best bellwether of the University’s financial operations.” Although the 1977/78 Current General Fund surplus amounted to only $35,000, it does
Public safety
by Cindy Vova
Recommendations made by a comprehensive security study of the University of Miami conducted by Powell and Associates of Connecticut, and a reallocation of funds will see the University’s department of public safety gaining new ground in many areas in the future.
The Powell report, which was commissioned and conducted last year, has been reviewed by Dr. John L.
reaffirm the University’s commitment to a balanced budget.
As is shown in the financial statements, a larger overall percentage of the University’s financial resources were spent on its academic programs. For example, expense related to
Green, Jr., executive vice president for administration and finance, and Joseph Frechette, newly appointed executive director of public safety. President Henry King Stanford now has the report.
Referring to the study Frechette said, “Dr. Green and I talked over the restructuring of the public safety department and we felt we could reorganize keeping within the structure of Mr. Powell’s recommendations.”
instruction increased $3,451,000 while expense for institutional support decreased $164,000 (page 19 of Financial Report).
The current funds operations of the University are made up of three subfund groupings: general, designated and
Two of the major changes to be instituted will be an increase in the number of public safety officers patrolling the campus and an increase in the wages they will receive.
The number of public safety officers will increase from the present eight to a total of 13. Pay increases will raise wages to $12,000 annually.
Additionally, there will be a total of four sergeants on the force. “We are going to promote some of the current public safety officers into sergeant positions,” Frechette said.
Another lieutenant, in addition to Lt. “Barney” Barnard, who serves as shift commander, will also be hired. Barnard, who has been with the public safety department for a number of years, will additionally be in charge of training as well as supervising uniformed officers. Frechette hopes that the as-of-yet unhired lieutenant will initiate a UM investigations section. He will also be in charge of a crime prevention program. The program, according to Frechette, will be an educational process conducted with the aid of guest speakers, and special programs.
Other personnel revisions in the department will include moving some of the current guards into full-time dispatcher positions to, according to Frechette, “make the operations more proficient.”
. A position for a director of law enforcement in charge of public safety Continued on page 4
restricted funds. The Designated Fund also had a “surplus” in 1977/78. This fund is comprised of amounts “designated” by the Board of Trustees for specific operations such as expenditures and revenues related to the professional practice of physicians in the School of Medicine. Designated funds are not available for use in the general funds operations of the University. “Restricted funds” are those funds restricted by outside sources, for example, the federal government and private foundations, that support various research operations and other sponsored activities within the University. It should be understood that the operations supported by designated and restricted revenues would not be carried on if these fund sources were to cease. Further, year end fund balances in designated and restricted accounts are required to be carried forward to support these operations in subsequent years.
Our emphasis from a management standpoint continues to include an effective method of strategic planning for the University. A major effort is underway to develop a long-range facilities plan for the University in order to provide adequate accommodations for academic, student and support operations.
As the University continues its thrust to achieve academic excellence, the Office of Administration and Finance is continuing with its objectives of providing strengthened support for the academic areas in an efficient and effective manner. The opportunities available to the University of Miami are great; however, in order to capitalize on Continued on page 3
Stanford is "in charge"
The Sept. 22, 1978, Miami Herald announced (a bit prematurely, to say the least) the formation of a search committee for a president to succeed Henry King Stanford who retires at the end of the academic year in 1981. For those who might wonder who's in charge until then, the following Dec. 19, 1978, Board of Trustees Executive Committee action sets the record straight.
“Upon a motion duly made, seconded and passed, the Executive Committee resolved that Henry King Stanford shall continue as Chief Executive and Administrative Officer of the University of Miami, responsible to the Board of Trustees for the supervision, management and governance of the University and for interpreting and carrying out the policies of the Board, until the effective date of his retirement May 31, 1981.”
“...wefelt we could reorganize keeping within the structure of Mr. Powell’s recommendations. ” —Joseph Frechette Executive Director of Public Safety
Miami News story errs
Under a headline, “U-M in black by $4 million; it’s 3rd surplus year in row,” The Miami News carried on Jan. 8 a report by Business Editor Larry Birger on the University’s Financial Report for the year ending May 31, 1978.
As President Henry King Stanford wrote Mr. Birger on Jan. 10, “...I am afraid the headline and the second paragraph in your article give a distorted view that the University had a remarkably ‘profitable’ operation last year.
“The distortion comes not from any design on your part, I readily emphasize, but from the nuances of fund accounting that characterize University financial operations...
“The best bellwether of University financial operations is the general funds operations, which chalked up for 1977-78 a ‘surplus’ of $35,000 (out of) approximately $77 million in revenues. Please note the marked section on page 14 of my latest annual report to the Board of Trustees, a copy of which I enclose with this letter. Dr. Green’s annual report reflects this result in the first column on page 19.
“The difference between the $35,000 general funds ‘surplus’ and the $3.3 million in the three funds combined (general, designated and restricted funds), is certainly not available for any general funds operations such as faculty salary increases, supplies and equipment or maintenance.
Continued on page 3
reorganization underway