Murdoch University Senate

The Chancellor welcomed four new Senators to their first meeting:

Janice Bowra	elected by Convocation for a three year term, expiring on 31 December 2005
Mal Bradley	incoming President of the Guild of Students, elected for a one year term expiring on 28 November 2003
John Gillam	appointed by the Governor for the balance of a casual vacancy, expiring on 10 September 2003
Mat Menzel	a new student member elected for the calendar year 2003

Prof Richmond had resigned from Senate shortly before completion of his term. The meeting recorded appreciation of his stimulating contribution to Senate meetings. The Chancellor advised that the Nominating Committee will bring forward a recommendation on filling the ensuing vacancy in a co-opted position on Senate, taking account of the need for regional and gender balance.

1.1       Co-option of Member

On the recommendation of the Nominating Committee, Senate

Resolved: S/2/2003

to co-opt Mr Richard Lester for a second term on Senate, expiring on 22 May 2006.

Mr Lester then joined the meeting.

2.       DECLARATIONS OF INTEREST

No interests were declared at the outset of the meeting.

3.       REVIEW OF SENATE

The meeting considered the report of consultant Maggie Cox who had interviewed Senators and senior executives for their views on the performance of Senate. The report contained 24 recommendations. Several matters were raised in discussion: redrafting recommendation 6, as Senate should not be seeking to influence elections; querying recommendation 8, as Senate would be a rubber-stamp if it is not permitted to debate matters considered by Senate committees; and whether the role of a board in usefully stirring means that sometimes it may have to get involved in operational issues.

Resolved S/3/2003	(a)	to ask the Senate processes working party to review the recommendations in the consultant’s report and advise the April meeting of Senate on what action to take on them;
	(b)	to invite Senators to communicate to the University Secretary by Tuesday 4 March any points they would like the working party to consider.

4.      SENATE PRIORITIES FOR 2003

Senate had resolved that each year it should set its priorities for the coming year, i.e. goals for Senate, in addition to any for the University. The agenda papers included the seven priorities adopted for last year,and four as a starting point for discussion of this year’s priorities.

Two Senators suggested that in setting priorities for any year, Senate should review progress against the previous year’s priorities in order to identify any that may need to be carried over into the coming year. The Vice Chancellor agreed to provide such a report to the next meeting of Senate. The meeting agreed to roll over one priority from 2002 (develop a vibrant campus life); to endorse the four suggested priorities, subject to broadening the budget one to include a pro-active role in broadening funding sources; and to add a priority about the Masterplan. The meeting endorsed the need for budget rigour to achieve a positive result for the year. Some Senators suggested that if necessary to take advantage of strategic opportunities, the University could go into deficit in one year and trade out of it the following year, but others disagreed. A suggestion about matching courses with student needs was seen as falling within the suggested priority about positioning the University post-Crossroads. The meeting agreed that the priorities should be few in number.

Resolved: S/4/2003

to approve the following priorities for Senate for 2003: select a new Chancellor position the University in the changed higher education context after the federal Government makes decisions arising from the Crossroads review ensure that the University budget does not go into deficit for 2003 or 2004, and broaden the University’s sources of funding develop strategies for regional campuses develop a vibrant campus life complete the MasterPlan for the South Street Campus

5.       UNIVERSITY FINANCES 2002

Senate received a presentation from the Director of Finance, Mrs Pick Oo, on the University’s financial results for 2002 advising a strong profit result of $4.363 million and positive cash movement of $6.745 million over the year, with a closing cash balance of $29.416 million. She reported that the University has a positive cash flow in both University and commercial operations and that liquidity remains strong. The presentation outlined the key variances from budgeted income and expenditure and the need for continued tight monitoring of expenses. She identified several issues for attention including staff costs being the most significant issue, especially casual contracts to address workload; the need to extend workload model and staffing reviews across all Divisions; importance of continuous improvement in budgeting and forecasting; monthly reporting and follow up to be further enhanced; and quarterly reporting to Resources Committee. She tabled profit and loss statements by Division and by fund types. The meeting suggested that future reports include a legend for fund type codes. Mrs Oo advised that management is reviewing the need for the existing range of fund types in order to simplify the accounting system and achieve greater transparency in reporting.

The main points raised in discussion by Senators were whether casual staffing needs can be more accurately forecast; income from Murdoch Retirement Services; the effect of the changed accounting treatment for the Village Centre in Murdoch Retirement Services; and the proportion of expenditure variation that reflects increased research funding.

The supplementary agenda included some revised cash flow figures and revisions to the debtors schedule.

6.      SENATE PROCESSES

The meeting considered a report from the 18 February meeting of the Senate processes working party. This had been emailed to all Senators on 19 February, and included in the tabled supplementary agenda. [Note: A cognate agenda item on Senate committees was included in a later part of the Senate agenda, but for ease of reference is also minuted here.]

6.1       Constitutions of Senate Committees

The meeting noted the attached table showing members of Senate committees for the next three years. (If a person ceases to be a member of Senate before 31 December 2005, the term of the Committee appointment(s) will expire at the same time as membership of Senate.) These appointments were made by the Chancellor after receiving recommendations from each Committee Chair.

When making these appointments, the Chancellor, on behalf of Senate, accepted two changes to Committee constitutions. The Senate processes working party had supported the Chancellor’s action and recommended two additional changes, designed to ensure adequate provision for academic Senators on Senate committees. The net effect then would be 4 committee positions for academic Senators: one each on Honorary Awards and Ceremonial Committee, Legislation Committee, Nominating Committee and Resources Committee. This averages one committee appointment per academic Senator, which is the norm for Senators.

Resolved: S/5/2003

to endorse the following changes to Senate Committee constitutions.: Equity and Equal Opportunity Committee : remove the requirement that the three lay Senators on the Committee include one male and one female. Honorary Awards and Ceremonial Committee : add one academic staff member of Senate, and reduce from 3 to 2 the number of members appointed by Academic Council (wiith effect from July 2003, when two terms expire). Legislation Committee : add one academic staff member of Senate. Resources Committee : add one academic staff member of Senate.

6.2       Financial Training of Senators

Last year the Senate processes working party had recommended financial training for Senators. This recommendation was withdrawn for further consideration, in light of suggestions from some Senators. The working party had considered the matter further and now brought forward a modified recommendation. On its advice, the meeting

Resolved: S/6/2003	(a)	that financial management training be provided by the University for all interested Senators;
	(b)	that any new members of the Audit and Risk Management Committee or Resources Committee who do not have the financial skills or knowledge to read a set of accounts be expected to undergo this training;
	(c)	that the training be in a Murdoch University context, not simply generic, with a focus on reading the current year’s budget and the most recent financial statements;
	(d)	that this training be conducted both in the city and on campus;
	(d)	that this training be offered each year for new Senators.

6.3       Performance Reports to Senate

The Chancellor had asked the Senate processes working party to consider the system of performance reports to Senate. The working party agreed that the number of reports has to be reduced. It also felt that it is sensible to tie the reporting to the University’s Strategic Plan. The meeting agreed that student matters should be considered in both the education plan and management plan reports, and that the working party should consider where innovation and incubation issues should be reported (e.g. as part of the regional engagement plan).

Resolved: S/7/2003	(a)	to rescind the table in Senate resolution S/70/2001(f), listing the areas of KPI reports to Senate and their timing;
	(b)	to approve the following system of performance reporting: at its first meeting each year, Senate receive from the Vice Chancellor an address on the State of the University (as at present, using agreed indicators and highlighting successes and challenges) and a report on any changes to the University’s external environment; at the November meeting each year, Senate receive a presentation on the University Budget for the following year and on financial issues facing the University; four other Senate meetings each receive an annual review of performance against the strategies in one of the Operational Plans in the University’s Strategic Plan: Education Plan; Research Plan; Management Plan; Regional Engagement Plan.
	(c)	that the content of the reports on Operational Plans include: Review of the key environmental factors and strategies in the area being reported, including identify any new environmental factors and whether they warrant new targets or amendments to existing targets Key performance indicators for each strategy - how is the University performing against the targets set in the Plan? Include an executive summary sheet, comparative data for the university sector, and graphical representation of key data Any proposals for improving performance, including amending strategies or proposing new strategies (the paper should indicate whether these are recommendations to Senate, or instead are for discussion and critique) 2-3 key issues for the University in this area a section on risk management

The meeting noted that the working party agreed that the timing of the four reports on Operational Plans should be left to the discretion of the Vice Chancellor, so long as there is only one per Senate meeting; and the appropriate KPIs should be selected by management, on the understanding that Senate might suggest modifications if need be.

6.4       Student Membership of the Working Party

The meeting noted that a student member of Senate should be added to the working party. The Chancellor advised that the student members of Senate will be consulted about this.

7.      VICE CHANCELLOR'S REPORT

The meeting noted the Vice Chancellor’s written report. He also reported orally on the imminent formation of a collaborative group of six universities (including Murdoch) for benchmarking and strategic alliances. The meeting considered the following recommendations.

7.1       Administrative Consolidation of Academic Divisions - Regulation Changes

The Division of Arts will be formed by bringing together the existing Divisions of BITL and SSHE. A draft amendment to the Division Regulations was considered by Legislation Committee; the minor change it proposed was included in the recommendation.

Resolved: S/8/2003	to approve inserting the following regulation in the Division Regulations:
	8A.	As a transitional arrangement for 2003, the membership of the Divisional Board of the Division of Arts shall vary from the provisions of these regulations in that the student members shall be appointed by the Guild Secretariat.

A legally constituted Appeals Committee needs to be in place soon after the new Division is created, to hear appeals concerning summer units and Semester 2 supplementary results. Bachelor Regulation 49(3) requires that three members of the Appeals Committee be appointed by the Divisional Board. This means that the Committee cannot be formed until after elections are held for the Divisional Board and the Board meets. This is too late for appeals that will need to be determined in March, so an interim arrangement is proposed. An amendment to the Regulation has the endorsement of the President of Academic Council, on Council’s behalf, and had been modified to include a change recommended by Legislation Committee.

Resolved: S/9/2003

to approve adding the following sentence to the end of Bachelor Regulation 49(3): “However, as a transitional arrangement for 2003, the appointed members of the Division of Arts Appeals Committee shall be appointed by the Executive Dean in consultation with the President of Academic Council and the Guild Secretariat.”

7.2       Company Directors Appointed by the University

The meeting noted a list of company directors appointed by the University, and that a number of these entities will be wound up during 2003.

7.3       Policy for the Establishment and Operation of Incorporated Bodies

The Vice Chancellor proposed amendments to this policy to make it more effective and clearer to those involved in setting up and managing these entities. The changes include requiring that any proposal for the establishment of an entity demonstrate that all legal, financial and other necessary due diligence has been performed; requiring each entity to appoint an ‘Entity Manager’ who will be responsible and accountable for the operation and financial management of the entity; specifying the duties of the Entity Manager (including responsibility for preparation of the entity’s business plan, budgets and reports to the board); and identification and clarification as to how the costs of providing the entity with accounting, taxation, company secretarial and administrative services are to be met.

Resolved: S/10/2003	(a)	to ratify the changes to University's policy on The Establishment and Management of Incorporated Bodies, as per the attached document;
	(b)	to authorise the Vice Chancellor to make any further changes to this policy as required.

7.4       Management of Listing of Company Directors Appointed by the University

In April last year, Senate resolved that the University Secretary maintain a list of companies which have one or more directors appointed by the University and the names of those directors and that the Directors of Administrative Offices be required to notify the University Secretary of all changes to this list. This task now falls within the ambit of the new position of University Company Secretary.

Resolved: S/11/2003

to amend resolution S/17/2002, replacing "University Secretary" with "University Company Secretary".

7.5       Directors and Officers Insurance

The University is experiencing difficulty in obtaining Directors’ and Officers’ Insurance for the University-appointed Directors of Murdoch College Properties (MCP). As MCP is neither a non-profit entity nor an entity controlled by the University, these Directors are not covered under the University’s blanket D&O Insurance Policy. Every effort is being made to obtain suitable cover, however, as this may take some time, alternative measures must be taken to ensure that all University appointed Directors are appropriately protected while acting in this capacity. The recommendation was varied at the meeting, so all Murdoch-appointed directors will receive the same level of cover. Mrs McMath declared an interest in this item, as one of the MCP directors.

Resolved: S/12/2003

that the University indemnify all persons serving as directors appointed by the University from 1 January 2003, subject to the same exclusions as apply in the University’s existing D&O Insurance Policy.

7.6       Establishment of Murdoch University Investments Company Pty Ltd

Last October Senate requested the Vice Chancellor to conduct a comprehensive review of all University entities under the proposed corporate structure to ensure all tax and other issues are properly understood and addressed; and subject to the outcome of that review, to approve the formation of Murdoch University Investments Company Pty Ltd as a wholly owned subsidiary of Murdoch University, to contain and control all commercial and consulting activities of the University. This review has now taken place, and Ernst and Young have advised that there are no adverse tax consequences of the proposed corporate structure.

Resolved: S/13/2003

to approve the formation of Murdoch University Investments Company Pty Ltd.

7.7       Professorial Selection Committee – Chair in Psychology

Resolved: S/14/2003

to appoint the following members of the Selection Committee for the Chair in Psychology:         Professor John Yovich, Vice Chancellor (Chair)         Executive Dean, Division of Health Sciences         Associate Professor Iain Walker, Dean, School of Psychology         Associate Professor Gail Phillips, Head, School of Media, Communication and Culture         Dr Helen Davis, Undergraduate Program Chair, School of Psychology         Professor Kevin Durkin, School of Psychology, UWA         Dr Max Sully, School of Psychology         Ms Natalie Jackson, PhD student, School of Psychology

8.      SEARCH COMMITTEE FOR NEXT CHANCELLOR

The Chancellor withdrew from the meeting for this item, and passed the Chair to the Pro Chancellor.

In July last year, Senate resolved to establish at its February 2003 meeting a Chancellor search committee, to conduct a search in accordance with the selection procedures adopted in February 2001. Expressions of interest had been invited from all lay and academic Senators for the positions to be filled from those categories of Senate membership.

Resolved: S/15/2003

to appoint the following members of the Search Committee for the next Chancellor:         Pro Chancellor Judge Kate O’Brien (chair)         Professor John Yovich, Vice Chancellor         Ms Pat Allen         Mr Mal Bradley, President, Guild of Students         Assoc Prof Stuart Bradley         Ms Alison Gaines         Sir William Heseltine         Ms Gaye McMath

9.      ACADEMIC COUNCIL STATUTE

Following a review of Academic Council, the previous meeting of Senate had resolved to decrease the size of the Council. This meeting considered consequential amendments to the Academic Council Statute that had been recommended by Council, and a suggested modification of this recommended by Legislation Committee.

Academic Council had recommended that the number of elected student members of the Council be decreased from four to two. Senate debated a motion that this be amended to three elected student members, including one from those students whose course is based at the Rockingham Campus. In support of this, it was argued that the decrease in student members was greater than for the other categories of Council membership; the working party that reviewed Council had sought to boost Rockingham representation; Rockingham students would have difficulty gaining election in the much larger pool of students; Rockingham is part of the University’s southern growth; and it would be useful for Council to have knowledgeable first hand experience about Rockingham in its deliberations. On the other hand, it was argued that establishing separate constituencies is not a good principle; a main issue in the review of Council was the desirability of reducing the number of members; there is not a separate Rockingham electorate for the general staff members of Council; the original Academic Council vote to reduce the student numbers was carried by a large majority; and a more important issue than the number of student members is ensuring that they are effective, whereas currently there is a problem with continuity of attendance of the elected undergraduate members. The amendment was carried 10-7. The amended motion was then passed.

Resolved: S/16/2003

to approve the attached changes to Statute No. 5 – Academic Council.

The Chancellor declared that, in accordance with s.25 of the Murdoch University Act, the resolution was carried by an absolute majority of members of the Senate.

10.     2002 ANNUAL REPORT

The meeting considered the main text of the draft Annual Report of the University for 2002. [The financial statements and key performance indicators appear in the following two agenda items.]

Resolved: S/17/2003	(a)	to endorse the draft Annual Report of the University for 2002, subject to adding more information on equity issues and a reference to the students and sustainability conference;
	(b)	to invite Senators with any editorial suggestions about the report to pass them to Mr John Pike, Executive Manager in the Vice Chancellor’s Office.

11.     ANNUAL FINANCIAL STATEMENTS FOR 2002

The meeting considered the draft Financial Statements for 2002. On the recommendation of Resources Committee, Senate

Resolved: S/18/2003	(a)	that the Certificate of Financial Statements be certified by the Chancellor, the Vice Chancellor and the Principal Accounting Officer, in the following terms:         “The accompanying financial statements of Murdoch University and the accompanying consolidated financial statements have been prepared in compliance with the provisions of the Financial Administration and Audit Act 1985 from proper accounts and records to present fairly the financial transactions for the year ending 31 December 2002 and the financial position as at 31 December 2002.         At the date of signing we are not aware of any circumstances that would render the particulars included in the financial statements misleading or inaccurate.         At the date of signing there are reasonable grounds to believe that Murdoch University will be able to pay its debts as and when they fall due.”
	(b)	that the Certificate of Compliance be certified by the Chancellor and Vice Chancellor for inclusion in the 2002 Annual Report.

12.     KEY PERFORMANCE INDICATORS FOR 2002

The Financial Administration and Audit Act requires the University’s annual report to contain performance indicators as directed by the Treasurer's Instructions. These KPIs are determined in consultation with the Office of the Auditor General and all four public universities in WA. The Deputy Vice Chancellor advised that national data is not available for most of these indicators, but is included where available. If relevant national graduate employment indicators are available, they will be included from 2003. The Vice Chancellor suggested that the new grouping of six universities will help with this benchmarking.

Resolved: S/19/2003	(a)	endorse the draft Key Performance Indicators (attached to the Senate agenda) for inclusion in the draft 2002 Annual Report;
	(b)	to authorise the Vice Chancellor to submit the final Key Performance Indicators to the Auditor-General when they become available.

13.     MINUTES

Senate confirmed the minutes of the meeting held on 25 November 2002. It also noted a table listing action taken to implement the resolutions of that meeting.

13.1      Decision by Circulation on Guild Regulations

The Guild Regulations needed amendment to reflect the fact that there is no longer a Guild fee, this having been replaced by an amenities and services fee with effect from this year. [The legislation introducing that change went through State Parliament in the week before Christmas.] Regulation changes were drafted by the University Secretary and the Guild, approved by the Guild Secretariat, and endorsed by Legislation Committee (with two small drafting changes). The revised amendments (incorporating the changes recommended by Legislation Committee) were emailed to all Senators on 15 January for decision by circulation. They achieved an absolute majority of Senators on 16 January, and came into effect from that date.

Resolved: S/1/2003

to approve the attached amendments to the Guild Regulations.

14.     ACADEMIC COUNCIL

The meeting noted the minutes of the meeting of the Academic Council held on 29 January 2003. One recommendation was considered earlier in the meeting (at item 9). The following matters required Senate’s consideration.

14.1      Administrative Consolidation of Academic Divisions

The Division Regulations require that Senate constitute and name Divisions on the recommendation of Academic Council. It was proposed that the existing four academic Divisions be consolidated into three; Council had unanimously recommended names for these, as well as establishing a working party to review the implications of this change. On the advice of Council, the meeting

Resolved: S/20/2003

that the academic Divisions of the University be named:         Division of Arts         Division of Health Sciences         Division of Science and Engineering

14.2      Bachelor Degree Regulation 37(7)

Academic Council had recommended amendments to the sub-regulation concerning off-campus placement of students: expanding it to include psychology placements and to count late withdrawals as an attempt. Legislation Committee felt that the phrase “a School of Education school experience unit” is insufficiently precise, and recommended modified drafting. The President of Council had accepted the modification on behalf of Council.

Resolved: S/21/2003

to amend Bachelor Degree Regulation 37(7) to read: "A student who twice fails and/or withdraws after the HECS census date (but before the end of Week 10) from a School of Education unit with a major school experience component or School of Psychology practical placement unit shall not enrol in further such units unless approval has been granted by the Dean of that School."

14.3      Postgraduate Research Degree Regulation 25(b)

At the request of the Research and Development Board, Academic Council had recommended a regulation change to clarify the level of competence expected in a masters thesis. Legislation Committee had endorsed the form of the change.

Resolved: S/22/2003	to approve the following amendment to Postgraduate Research Degree Regulation 25(b): [addition in bold]:
	25. (b)	A Thesis: for a masters degree must demonstrate evidence of a high level of competence in research and contribute to knowledge of the subject.

15.     RESOURCES COMMITTEE

The meeting noted the minutes of the meeting of Resources Committee held on 6 February 2003. Two recommendations were considered earlier in the meeting (at item 11). The following matters required Senate’s consideration.

15.1      Write-offs for Year 2002

Resolved: S/23/2003

to approve the write-off of debts for 2002 totalling $2,338,072, as detailed in the Resources Committee report to Senate.

15.2      New Law Building

As fundraising had not met initial targets the project had been re-scoped solely as a ‘New Law Building’. Pledges of $1.1 million have been received to date and the University’s commitment of $2.2 million was unchanged.

Resolved: S/24/2003

to authorise the Vice Chancellor to proceed to tender with the New Law Building project at an estimated cost of $3.752 million.

16.     LEGISLATION COMMITTEE

Senate noted the minutes of the meeting of the Legislation Committee held on 7 February 2003, plus a minute of decisions reached by circulation. These matters had already been considered earlier in the Senate meeting.

17.     AUDIT AND RISK MANAGEMENT COMMITTEE

Senate noted the minutes of the meeting of the Audit and Risk Management Committee held on 11 February 2003. There were no recommendations to Senate.

18.     HONORARY AWARDS AND CEREMONIAL COMMITTEE

Senate noted the minutes of the meeting of the Honorary Awards and Ceremonial Committee held on 19 December 2002. The following matter required Senate’s consideration.

18.1      Conditions for Award of Medals

The Committee had recommended several changes to the Conditions for Award of Senate Medals: to specify that the Medals are for current or recent staff; to add a statement that the Medals are primarily for general staff and members of the community who have given effective and faithful service to the University; and editorial changes reflecting changes in the University’s organisation since the Medals were established in 1997. The wording recommended by the Committee retained the flexibility to award a medal to an academic for activities which would not be rewarded in promotions, e.g. a staff member who had made a major contribution to the development of sporting clubs on campus.

Resolved: S/25/2003

to approve the attached revised Conditions for Award of Senate Medals.

19.     NOMINATING COMMITTEE

Senate noted the minutes of the meeting of the Nominating Committee held on 19 December 2002. The one recommendation to Senate was considered under agenda item 1 above.

20.     ENVIRONMENTAL COMMITTEE

Senate noted the minutes of the meeting of the Environmental Committee held on 27 November 2002. There were no recommendations to Senate.

21.     ACADEMIC PROMOTIONS 2002

The meeting noted a list of academic staff granted promotion with effect from 1 January 2003.

22.     OFFICIAL SEAL

The meeting noted that, in accordance with resolution 90/85, the Official Seal of the University has been applied to the following documents since the previous meeting of Senate –

• Funding Agreement for A.J.Parker Cooperative Research Centre for Hydrometallurgy, with W.A. Minister for Science

• Renewal of Lease with Chopin Pty Ltd, re part of the University’s Forrestdale land

• Dead of Landlord’s Consent to Bank’s Security over Part of Murdoch Campus Known as Winthrop Baptist College

• International Environmental Technology Centre Funding Agreement, with W.A. Minister for Science

23.     APPRECIATION FOR RETIRING COMMITTEE CHAIR

The Chancellor drew attention to the change in chair of Audit and Risk Management Committee at the start of this year. He expressed personally and on behalf of Senate appreciation for Mr Buxton’s role as chair of the committee over the past four years.

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