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doc16731 June_3_2022_Special_Called_Meeting_Press_Book__.pdf
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"text": "Special Called Meeting of the Board of Regents\nFriday, June 3, 2022\n10:00 a.m.\n2nd Floor Julian M. Carroll\nAcademic Service Building\nFrankfort, Kentucky 40601"
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"text": "*** Meeting Will be Conducted In-Person and by Teleconference***\nFriday, June 3, 2022\n10:00 a.m.\nBoard of Regents Room\n2nd Floor Julian M. Carroll Academic Services Building\nFrankfort, Kentucky 40601\n(Primary Physical Location)\nZoom Link: https://kysu.zoom.us/j/98700993870\nWebinar ID: 98700993870\nPhone One-Tap: +13017158592,,98700993870# or +13126266799,,98700993870#"
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"text": "Andy Beshear\nGovernor"
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"text": "100 Airport Road\nFrankfort, Kentucky 40601\nPhone: 502-573-1555\nhttp://www.cpe.ky.gov"
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"text": "Aaron Thompson, Ph.D.\nPresident"
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"text": "Legislative Research Commission\nInterim Joint Committee on Education\n700 Capitol Avenue\nFrankfort, KY 40601"
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"text": "Dear Members of the Interim Joint Committee on Education:"
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"text": "Thank you for your continued support of Kentucky State University (KSU) to ensure it has the resources, flexibility and structure it needs to be successful. House Bill 250 as passed during the 2022 Regular Legislative Session directs the Council on Postsecondary Education (CPE) to provide reports to the Interim Joint Committee on Education detailing the status of the development, implementation and results of a management improvement plan."
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"text": "In order to comply with this requirement and support KSU, the Council submits the enclosed information. Should you have questions about the report or KSU in general, please contact CPE Vice President and General Counsel Travis Powell via email at Travis.Powell@ky.gov.",
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"text": "As your partner in postsecondary education, I look forward to continuing to work closely with KSU leadership, faculty and staff to ensure the university thrives.\nSincerely,"
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"text": "Aaron Thompson, Ph.D.\nPresident"
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"text": "cc: Ms. Jo Carole Ellis"
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"text": "KentuckyUnbridledSpirit.com"
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"text": "Effectively immediately upon the Governor's signature on April 8, 2022, HB 250 provided the Council on Postsecondary Education (CPE) with $23 million in emergency funding to cover Kentucky State University's (KSU) current year shortfall. HB 250 also set forth a myriad of duties and responsibilities for KSU and CPE related to KSU's recovery. Among those was the requirement that CPE create and oversee a Management Improvement Plan (Plan) for KSU designed to assist with organizational and financial stability. The Plan shall include, but is not limited to, the following:"
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"text": "On April 15, 2022, pursuant to SB 265 (2022), newly appointed KSU Board of Regents members were confirmed by the Senate. Also on April 15, 2022, CPE adopted a KSU Expenditure Approval Policy to effectuate the HB 250 requirement that CPE approve all KSU expenditures over $5,000 until declaration of KSU's financial stability. CPE also approved a disbursement of $17.5 million of the $23 million authorized to allow KSU to meet its current year financial obligations."
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"text": "On April 27, 2022, the KSU Board of Regents held its first meeting with the newly confirmed members. During that meeting several items of business were conducted, including the selection of a chair and vice chair. CPE Vice President and General Counsel Travis Powell provided an overview of HB 250."
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"text": "On May 9, 2022, the board met again and action was taken to engage Protiviti Government Services, Inc. (a subsidiary of Robert Half International) for assistance with the compilation of annual financial statements for both fiscal years 2021 and 2022. The board also approved the hiring of The Registry Advisory Services to provide candidates for the position of interim president. The board indicated its plans to have candidates to review at its next meeting in early June. In addition, a new financial exigency policy was adopted per the requirements of HB 250."
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"text": "At its regular meeting on June 17, 2022, CPE will consider and likely approve a final FY 2022 disbursement of the $23 million allocated in HB 250."
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"text": "Additional requirements contained in HB 250 include:"
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"text": "Kentucky Council on Postsecondary Education\nhttp://cpe.ky.gov",
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"text": "CPE shall submit the Management and Improvement Plan to the Legislative Research Commission by November 1, 2022; and"
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"text": "The following is an update on the development of each Plan area:"
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"text": "KSU legal counsel completed a draft of a Policy on Policies, which will be submitted to the KSU Board of Regents for consideration of adoption at its July meeting. The Policy on Policies outlines procedures for developing, revising and implementing all internal University policies. A Policy on Policies is essential for any large organization with multiple policies governing multiple areas of operation to provide transparency, consistency and accountability. CPE staff reviewed the policy and supports its adoption by the board."
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"text": "KSU legal counsel also is currently developing a policy template to be included in the Policy on Policies, as well as a cataloging system for policies. All university policies are being collected and reviewed, and all policies that will be in effect moving forward will be revised and approved per the Policy on Policies. For example, human resources policies will be reviewed and updated in July, and the student handbook will be reviewed and updated before the beginning of the fall 2022 semester. The faculty handbook and business manual also are currently being reviewed, and revised versions will be submitted for approval in the fall. Both KSU and CPE legal counsel will review policies for compliance with state and federal law, and if necessary, due to the specialized nature of the policy's subject matter, KSU will obtain specialized, independent legal expertise to assist in the review process."
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"text": "KSU provided CPE with an up-to-date Excel spreadsheet listing all employees with data including, but not limited to, hire date, job title, department, business unit, faculty rank and tenure status, salary, and benefits. This report can be run at any time and updated in short order. CPE staff currently are reviewing that data and determining what additional data elements are needed, if any. Once finalized, this report will allow CPE to ascertain the current salary ranges by title, tenure status (for faculty) and within departments. CPE also is in the process of obtaining information on KSU adjunct professor pay and faculty overload pay structure."
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"text": "Soon, CPE will begin collecting information on salary ranges and benefits from the benchmark institutions used in CPE's KSU Financial Assessment Report issued in November 2011 and other Kentucky public universities so that comparisons can be made. KSU is a member of the College and University Professional Association for Human Resources which provides salary and benefit information from other member institutions (92% of all doctoral-granting institutions); this will be an indispensable resource in the benchmarking process. Finally, the creation of a balanced"
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"text": "budget for FY 2023 and determinations on course and program offerings will provide the most critical parameters under which salaries and benefits must be set."
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"text": "Discussions about whether to engage an outside consultant to provide some level of review and analysis in this area are ongoing. Based on preliminary information obtained, a full review by an outside consulting firm, including recommendations, may be cost prohibitive. However, other options are available, such as supplementing the work of current staff with a part-time or contract employee with experience in campus human resources."
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"text": "KRS 164.020(25) currently requires that all governing board members receive six hours of training on a variety of topics related to trusteeship and the higher education landscape in Kentucky. These are delivered both online and in person; although, since Spring 2020, all training has been facilitated through online modules due to COVID-19. Updates to those online modules will be made in early June and then distributed to the new KSU Board of Regents members for completion. The training is broken down into areas covering CPE operations, CPE's statewide strategic agenda and general best practices for institutional governing boards."
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"text": "The KSU Board of Regents currently has seven committees: Academic Affairs, Brand Identity and University Relations, Executive and Audit, Finance and Administration, Governance, Institutional Advancement and Alumni Relations, and Student Engagement and Campus Life. Those committees have not met for some time; however, on May 9, the board approved appointments to the Audit, Finance and Administration, Academic Affairs, and Student Engagement and Campus Life committees. CPE currently is in the process of reviewing the structure and charge of those committees."
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"text": "Pursuant to KRS 164.020(16), CPE may eliminate academic programs at any institutions when accounting for certain statutorily defined factors. CPE has carried out an extensive statewide academic program review process over many years and in a variety of forms. In 2019, CPE conducted a comprehensive analysis of baccalaureate programs offered by public institutions in the state through a contract with Gray Associates. Gray Associates assisted Council staff in creating a methodology that provides campuses with consistent, detailed information to help guide decisions about program needs and improvement. The marginal financial contribution and more than 50 metrics related to student demand, employment and competition were calculated for each program. Campus representatives participated in facilitated workshops to review these data and"
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"text": "analyze each baccalaureate program. CPE also used this data analysis to operationalize unnecessary duplication and identify programs that met the criteria."
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"text": "In alignment with the CPE academic program review process and its continuing relationship with Gray Associates, KSU is in the process of providing economic data to evaluate program efficiencies down to the course level. The economic data allow institutions to categorize program offerings into the following categories: Sustain, Fix/Grow and Suspend to Close. To better facilitate this process, a member of the Gray Associates team will be on-site at KSU to assist in the retrieval of data from May 31 to June 2. Once all data are retrieved and verified, Gray Associates will generate a report on program viability to be shared with KSU and CPE. The project should be complete by July 2022. The cost of the analysis is being covered by the remaining funds in the current contract."
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"text": "In December 2021, KSU contracted with Ellucian Company L.P. to analyze the KSU Banner implementation and to make recommendations related to staff training, data cleansing, etc. This contract was in response to a recommendation in the Financial Assessment report issued by CPE in November 2021."
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"text": "The results of this analysis will be incorporated into the Management Improvement Plan. While the focus of this project is on this portion of the Plan, it is expected that there will be recommendations for process improvements in other areas as well."
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"text": "HB 250 also requires CPE to approve all KSU expenditures of $5,000 or more until the institution reaches financial stability, as determined by CPE. On April 15, 2022, CPE adopted a policy governing those approvals that requires certain information to be provided before approval (see Appendix A). Due to the requirements of that policy, certain internal controls have been adopted, including but not limited to review of procurement authority underlying the expenditure, budgeted amount remaining after expenditure, and approval of both the CFO and president before submission to CPE."
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Page 21
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{
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{
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{
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},
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}
},
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"colspan": 1
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},
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"col": 5,
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"colspan": 1
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},
{
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"col": 0,
"rowspan": 1,
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},
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"row": 3,
"col": 1,
"rowspan": 1,
"colspan": 1
}
},
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"type": "table_cell",
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"l": 280.56,
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"b": 487.56
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"text": "16,567,463.00",
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"row": 3,
"col": 2,
"rowspan": 1,
"colspan": 1
}
},
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"type": "table_cell",
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"l": 394.08,
"t": 499.65,
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"b": 487.56
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"col": 3,
"rowspan": 1,
"colspan": 1
}
},
{
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"t": 499.65,
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"b": 487.56
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"text": "15,000,000.00",
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"row": 3,
"col": 4,
"rowspan": 1,
"colspan": 1
}
},
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"l": 621.12,
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"r": 734.64,
"b": 487.56
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"text": "40.74%",
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"row": 3,
"col": 5,
"rowspan": 1,
"colspan": 1
}
},
{
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"order": 27,
"type": "table_cell",
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"l": 53.52,
"t": 487.56,
"r": 167.04,
"b": 475.47
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"row": 4,
"col": 0,
"rowspan": 1,
"colspan": 1
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},
{
"id": "p24.2.26",
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"type": "table_cell",
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"l": 167.04,
"t": 487.56,
"r": 280.56,
"b": 475.47
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"text": "675,000.00",
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"row": 4,
"col": 1,
"rowspan": 1,
"colspan": 1
}
},
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"type": "table_cell",
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"l": 280.56,
"t": 487.56,
"r": 394.08,
"b": 475.47
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"text": "171,621.00",
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"row": 4,
"col": 2,
"rowspan": 1,
"colspan": 1
}
},
{
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"type": "table_cell",
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"t": 487.56,
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"b": 475.47
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"col": 3,
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}
},
{
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"type": "table_cell",
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"t": 487.56,
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"text": "300,000.00",
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"col": 4,
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},
{
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"type": "table_cell",
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"l": 621.12,
"t": 487.56,
"r": 734.64,
"b": 475.47
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"text": "0.81%",
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"col": 5,
"rowspan": 1,
"colspan": 1
}
},
{
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"type": "table_cell",
"bbox": {
"l": 53.52,
"t": 475.47,
"r": 167.04,
"b": 463.38
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"text": "Employee Parking",
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"col": 0,
"rowspan": 1,
"colspan": 1
}
},
{
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"order": 34,
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"attrs": {
"row": 5,
"col": 1,
"rowspan": 1,
"colspan": 1
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},
{
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"type": "table_cell",
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"t": 475.47,
"r": 394.08,
"b": 463.38
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"text": "38,770.00",
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"col": 2,
"rowspan": 1,
"colspan": 1
}
},
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"t": 558.08058,
"r": 694.517212,
"b": 547.279797
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"col": 3,
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},
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"col": 5,
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"colspan": 1
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},
{
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},
{
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"col": 1,
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}
},
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},
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"rowspan": 1,
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},
{
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},
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},
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},
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"col": 5,
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},
{
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},
{
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},
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},
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},
{
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},
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},
{
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},
{
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"t": 445.28,
"r": 330.77128,
"b": 434.48
},
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"col": 1,
"rowspan": 1,
"colspan": 1,
"bbox_refit": true
}
},
{
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"type": "table_cell",
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"t": 427.11,
"r": 394.08,
"b": 415.02
},
"text": "39,280,531.00",
"attrs": {
"row": 9,
"col": 2,
"rowspan": 1,
"colspan": 1
}
},
{
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"order": 60,
"type": "table_cell",
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"t": 427.11,
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"b": 415.02
},
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"row": 9,
"col": 3,
"rowspan": 1,
"colspan": 1
}
},
{
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"type": "table_cell",
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"l": 586.8,
"t": 388.880104,
"r": 632.708722,
"b": 378.079964
},
"text": "36,821,600.00",
"attrs": {
"row": 9,
"col": 4,
"rowspan": 1,
"colspan": 1,
"bbox_refit": true
}
},
{
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"order": 62,
"type": "table_cell",
"bbox": {
"l": 621.12,
"t": 427.11,
"r": 734.64,
"b": 415.02
},
"text": "100%",
"attrs": {
"row": 9,
"col": 5,
"rowspan": 1,
"colspan": 1
}
},
{
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"type": "table_cell",
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"t": 415.02,
"r": 167.04,
"b": 402.93
},
"text": "",
"attrs": {
"row": 10,
"col": 0,
"rowspan": 1,
"colspan": 1
}
},
{
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"type": "table_cell",
"bbox": {
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"t": 415.02,
"r": 280.56,
"b": 402.93
},
"text": "",
"attrs": {
"row": 10,
"col": 1,
"rowspan": 1,
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}
},
{
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"type": "table_cell",
"bbox": {
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"t": 415.02,
"r": 394.08,
"b": 402.93
},
"text": "",
"attrs": {
"row": 10,
"col": 2,
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},
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"type": "table_cell",
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"t": 415.02,
"r": 507.6,
"b": 402.93
},
"text": "",
"attrs": {
"row": 10,
"col": 3,
"rowspan": 1,
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},
{
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"type": "table_cell",
"bbox": {
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"t": 415.02,
"r": 621.12,
"b": 402.93
},
"text": "",
"attrs": {
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"col": 4,
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},
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"type": "table_cell",
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"r": 734.64,
"b": 402.93
},
"text": "",
"attrs": {
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"col": 5,
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},
{
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"text": "When KSU made its initial disbursement request, the Governor had not yet appointed a new board. Now that the Governor has appointed a new board, as of March 31, 2022, KSU should give the Board the opportunity to weigh in on KSU's request and what the $5.5 million will be spent on. The University now requests that CPE disburse the remaining funds to get through June 30, 2022."
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"text": "• Shall begin his employment with a full credit of 12 days of paid sick leave",
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"text": "• Shall pay the standard rate to provide additional term life insurance in the amount $500,000 for beneficiaries.",
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"text": "Moving Expenses",
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{
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"text": "• Reasonable moving-related expenses for both arrival to and departure from KSU in the amounts of $20,000 and $10,000 respectively",
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"text": "• Reasonable moving-related expenses for both arrival to and departure from KSU in the amounts not exceeding $5,000 respectively",
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"text": "Annual Performance Bonus",
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"text": "• Annual incentive payment of up to 20% of salary based upon performance",
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"text": "Retention Incentive",
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},
{
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"text": "• $20,000 annually",
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"text": "N/A",
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"text": "Page 46 of 46",
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