===== PAGE 1 =====
# BOARD OF REGENTS for KENTUCKY STATE UNIVERSITY
| SPECIAL CALLED MEETING |
| *** Meeting Will be Conducted by Teleconference*** |
| Monday, June 27, 2022 |
| 10:00 a.m. |
| Board of Regents Room |
| 2nd Floor Julian M. Carroll Academic Services Building |
| Frankfort, Kentucky 40601 |
| (Primary Physical Location) |
| Zoom Link: https://kysu.zoom.us/j/95668974549 |
| Webinar ID: 956 6897 4549 |
| Phone One-Tap: US: +13017158592,,95668974549# or +13126266799,,95668974549# |
| AGENDA |
| 1. Call to Order | Regent Dr. Gerald Patton\nBoard Chair |
| 2. Roll Call | Ms. Elise Borne\nBoard Secretary |
| 3. Approval of Agenda | Chair Patton |
| 4. Action Items |
| A. Approval of Church Mutual Commercial Auto Insurance Renewal | Dr. Gerald Shields\nVice President of Finance and Administration/CFO |
| B. Approval of KEMI Worker's Compensation Insurance Renewal | Dr. Gerald Shields |
| C. Approval of United Educators General Liability and Umbrella/Excess Liability Insurance Renewal | Dr. Gerald Shields |
| D. Approval of RSUI Directors and Officers, Employment Practice, and Educators Legal Liability Insurance | Dr. Gerald Shields |
| E. Approval of FY 2022-2023 Operating E&G (unrestricted) Budget | Dr. Gerald Shields |
| F. Approval of FY 2022-2023 Tuition & Fees and Rescind Thorobred Promise Tuition Program | Dr. Gerald Shields |
| 5. Closed Session | Chair Patton |
| A. Individual personnel matters pursuant to KRS 61.810(1)(f)—finalist interviews for the position of Interim President | |
| 6. Public Actions | Chair Patton |
| A. Approval of Interim President Appointment | |
| 7. Closing Remarks | Chair Patton |
| 8. Adjournment | Chair Patton |
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# KENTUCKY STATE UNIVERSITY BOARD OF REGENTS
## ACTION ITEM:
Approval of Church Mutual Commercial Auto Insurance Renewal.
## FACTS:
Church Mutual has been the University's insurer for auto coverage since 2013. The current policy expires 6/30/2022. The renewal rate for FY 22-23 is quoted $4,134.00 lower than FY 21-22 rates.
## BUDGETARY IMPLICATIONS:
Total amount for FY 22-23 Commercial Auto Policy for KSU is $64,614.00. Church Mutual requires a 30% down payment ($19,384.20) at the time of binding, with ten direct billed installments ($4,522.98 each). Funds for this expense have been budgeted.
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve the Church Mutual Automobile Insurance Renewal.
## MOTION:
Approve Church Mutual Commercial Auto Insurance Renewal.
===== PAGE 4 =====
| Insurer | Church Mutual Expiring | Church Mutual Renewal |
| A.M. Best Rating | A X | A X |
| Annual Premium | $68,748 | $64,614 |
Premiums do not include taxes, if applicable
• Expiring premium includes annualized mid-term endorsement premiums
Expiring Exposures: 127 Autos-@ inception-annualized
Renewal Exposures: 129 Autos
Average Cost Per Vehicle – Expiring - $541
Average Cost Per Vehicle – Renewal - $501
Benchmarks:
$58,501-premium for 93 units in 2012-last year with the Commonwealth's program
Marketing Results:
1. Amerisure-declined-your class of business is outside of their target markets
2. Liberty Mutual-Public Entity-declined-said they could not compete with Church Mutual
## Notes to quotations:
## Church Mutual
- Premium Installment options are annual, semi-annual, quarterly and monthly; service charge is $3 per installment; On-Line payments are also available
===== PAGE 5 =====
ACTION ITEM: Approval of KEMI Worker's Compensation Insurance Renewal.
## FACTS:
Kentucky Employers Mutual Insurance Company (KEMI) has been the University's insurer for Worker's Compensation coverage since 2014. The current policy expires 6/30/2022. The renewal rate for FY 22-23 is quoted $11,160.12 lower than FY 21-22.
## BUDGETARY IMPLICATIONS:
Total amount for FY 22-23 Worker's Compensation Policy for KSU is $51,649.88. KEMI requires a $13,003.91 down payment at the time of binding, with nine direct billed installments until balance is paid in full. Funds for this expense have been budgeted.
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve KEMI Worker's Compensation Insurance Renewal.
## MOTION:
Approve KEMI Worker's Compensation Insurance Renewal.
===== PAGE 6 =====
250 West Main Street, Suite 900 Lexington, KY 40507-1724 859-425-7800 www.kemi.com
June 6, 2022
00913
Kentucky State University
Attn Candice Raglin Director of HR
400 E Main St ASB-429A
Frankfort, KY 40601
# Kentucky Employers Mutual Insurance 250 W Main Street, Suite 900 Lexington, KY 40507 www.kemi.com 859-425-7800 / 800-640-5364
Quote Date: June 6, 2022
Legal Entity: Other
FEIN: 611099712
Prospective Insured:
Name: Kentucky State University
Address: Attn Candice Raglin Director of HR 400 E Main St ASB-429A
City: Frankfort, KY 40601
Agency: AssuredPartners NL Insurance LLC
Agent Number: 633
Address: 2305 River Rd
City: Louisville, KY 40206
Phone: (502)894-2100
Renewal Quote for Workers Compensation Coverage 398982-07/01/2022-07/01/2023
Proposed Effective Date: 07/01/2022
Proposed Expiration Date: 07/01/2023
Employer’s Liability Limits: (3.B)
Bodily Injury by Accident
Bodily Injury by Disease
Bodily Injury by Disease
$1,000,000 each accident
$1,000,000 policy limit
$1,000,000 each employee
===== PAGE 7 =====
| Quote for Workers Compensation Coverage\n398982-- 07/01/2022-07/01/2023 |
| |
| 7380-000 | Drivers Chauffeurs & Their Helpers NOC - Commercial |
| 8868-000 | College: Professional Employees & Clerical |
| 9101-000 | College: All Other Employees |
| CLASS RATING AND MANUAL PREMIUM DETAIL | EXPOSURE | RATE | PREMIUM |
| Kentucky State University | | | |
| 07/01/2022 - 07/01/2023 | | | |
| 9101-000 | 1,229,315 | 2.16 | $26,553.00 |
| 7380-000 | 0 | 3.24 | $.00 |
| 8868-000 | 21,457,310 | .27 | $57,935.00 |
| PREMIUM CALCULATION DETAIL | TYPE | FACTOR | AMOUNT |
| 07/01/2022 - 07/01/2023 | Total Manual Premium | | $84,488.00 |
| Employers Liability Limits | .011 | $929.00 |
| Total Subject Premium | | $85,417.00 |
| Experience Modification Premium | .680 | -$27,333.00 |
| Total Modified Premium | | $58,084.00 |
| Schedule Rating Premium | .830 | -$9,874.00 |
| Final Estimate | Total Standard Premium | | $48,210.00 |
| Premium Discount | | -$4,710.00 |
| Expense Constant | | $260.00 |
| Terrorism Charge | | $2,269.00 |
| Catastrophe Charge | | $2,269.00 |
| Estimated Annual Premium | | $48,298.00 |
| Kentucky Special Fund Assessment | | $3,351.88 |
| Total Premium & Assessment | | $51,649.88 |
## TOTAL ESTIMATED ANNUAL POLICY PREMIUM
Payment Plan Eligibility: Ten-Payment Plan
Required Initial Installment Premium:
| BILLING SCHEDULE BILL DATE | BILLING SCHEDULE BILL AMOUNT |
| 05/27/2022 | $13,003.91 |
| 08/01/2022 | $4,297.44 |
| 09/01/2022 | $4,297.44 |
| 10/01/2022 | $4,297.44 |
| 11/01/2022 | $4,292.27 |
| 12/01/2022 | $4,292.27 |
| 01/01/2023 | $4,292.27 |
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| BILLING SCHEDULE BILL DATE | BILLING SCHEDULE BILL AMOUNT |
| 02/01/2023 | $4,292.27 |
| 03/01/2023 | $4,292.27 |
| 04/01/2023 | $4,292.30 |
This renewal quotation is based on the information provided by the expiring policy. Any changes in this information unknown at the time of this quotation could change the policy premium. Notify KEMI immediately of any and all changes. If not paid by the renewal date, coverage will expire.
===== PAGE 9 =====
## ACTION ITEM:
Approval of United Educators General Liability and Umbrella/Excess Liability Insurance Renewal.
## FACTS:
United Educators has been the University's insurer for General Liability since 2017 & Umbrella/Excess Liability since 1988. The current policy expires 6/30/2022.
## BUDGETARY IMPLICATIONS:
The renewal rate for Primary General Liability is $67,030.00. The renewal rate for the Umbrella/Excess Liability Insurance is $60,514.00, for a grand total for FY 22-23 of $127,544.00. Funds for this expense have been budgeted.
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve United Educators General Liability and Umbrella/Excess Liability Insurance Renewal.
## MOTION:
Approve United Educators General Liability and Umbrella/Excess Liability Insurance Renewal.
===== PAGE 10 =====
| Insurer\nBest Rating | United Educators\nExpiring\nA (IX) | United Educators\nRenewal\nA (IX) |
| GL deductible | $25,000 | $25,000 (a)\n$50,000 (b) |
| GL-$1M/$3M | $60,387 | 67,030 (a)n60,441 (b) |
| Excess Liability-$15M | $57,632 | $60,514 |
| Total | $118,019 | 127,544 (a)n120,955 (b) |
Premiums do not include taxes, other than the 3% Kentucky surplus lines tax on non-admitted insurers.
## Marketing responses-2022:
1. Amerisure-declined-your class of business is outside of their target markets
2. Liberty Mutual-Public Entity-declined
## Notes to renewal quotations:
## United Educators-primary GL
- A Reciprocal Risk Retention Group insurer created and regulated under the Federal Risk Retention Group Act and is therefore not covered by the Kentucky State Guaranty Fund.
KSU is a founding Member or UE—since 1987
Every year, UE's Board of Directors evaluates its financial performance for the possibility of an annual dividend payment to members. For the third time in 11 years, based on the significant rise in claims costs, the company's combined ratio (and no doubt due to concerns regarding the financial impact of COVID-19) and their cautious approach to surplus management, UE's Board decided to withhold the annual dividend in 2021 & 2022 as a prudent surplus management measure. UE continues to allocate any net income to KSU's subscriber savings account for eligible members
UE has paid KSU a dividend every year from 2011 through 2019. Total dividends paid to date are $18,487.
Since 2008, UE has provided KSU with $3,000 in grant awards. We are advised this program is no longer active.
UE's Renewal Risk Management Premium Credit is $4,278 on the GL ($25K deductible), $3,858 on the GL ($50K deductible)
The Medicare, Medicaid and SCHIP Extension Act of 2007 requires the Medicare Responsibility Reporting Entity (RRE) to report claim payments for medical services within the deductible directly to the Centers for Medicare and Medicaid Services (CMS). For the deductible, UE pays the deductible amount with KSU reimbursing UE. UE will be the Responsible Reporting Entity (RRE) and
===== PAGE 11 =====
will report the claim payments to the Centers for Medicare and Medicaid Services (CMS) as required.
$3,000,000 single General Aggregate Limit
No charge for Terrorism coverage
• Per the underwriter, quotes are subject to:
Receipt of your 2021 audited financial statement. UE's reserves the right to amend their quoted terms if there are major concerns
As the cost to defend claims has risen significantly over the past 5 years coupled with social inflation, nuclear verdicts, litigation funding and plaintiff-friendly legal decisions, no later than 20 days prior to renewal, UE may re-evaluate KSU's loss experience and adjust the renewal terms if there are substantial changes.
The underwriter advises they might take underwriting action on the 2023 renewal if the following risk management items are not adequately addressed:
MVRs (Motor Vehicle Reports) should be checked at least every three years for all employees who regularly drive on institution-related business?
Regarding Motor Vehicle Records (MVRs), we expect all of our members to have written guidelines, such as a point system, to disqualify drivers with an unsatisfactory MVR. I’ve attached a Risk Management document that provides some additional information and we would need to have Kentucky State implement such guidelines.
■ UE expects that all $3^{rd}$ parties that operate camps on campus be required to show proof of sexual molestation liability coverage with limits of at least $1,000,000 and we will monitor their response to that question next renewal to determine if any underwriting action needs to take place.
■ On the Greek-letter Organizations section, is alcohol, hazing and sexual assault liability included in the GL policies that those organizations purchase? Or is it specifically excluded? Last year, the application states that Kentucky State does require proof of alcohol, hazing and sexual assault liability coverage but they answered "no" this year. UE does expect for that coverage to be either included in those organization's GL coverage or for a separate policy to be purchased.
## United Educators Insurance Co-GLX (Excess Liability) policy
UE's Renewal Risk Management Premium Credit is $3,863
No charge for Terrorism coverage
• Defense Costs remain inside Limit of Liability
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# KENTUCKY STATE UNIVERSITY BOARD OF REGENTS
## ACTION ITEM:
Approval of RSUI Directors and Officers, Employment Practice, and Educators Legal Liability Insurance.
## FACTS:
RSUI has provided KSU's Directors and Officers – Employment Practice – Educators Legal Liability coverage since FY 2010-2011.
## BUDGETARY IMPLICATIONS:
Total amount for FY 22-23 Directors and Officers – Employment Practice – Educators Legal Liability coverage is $92,460.00. Funds for this expense have been budgeted.
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve RSUI Directors and Officers, Employment Practice, and Educators Legal Liability Insurance.
## MOTION:
Approve RSUI Directors and Officers, Employment Practice, and Educators Legal Liability Insurance.
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| InsurerBest Rating | RSUIExpiringA+ XIV | RSUIRenewalA+ XIV | |
| Shared Limits | $2,000,000 | $2,000,000 | |
| SIR:D&OEPL | $150,000$250,000 | $150,000$250,000 | |
| Premium | $84,370 | $92,460 | |
Premiums do not include taxes, other than the 3% Kentucky surplus lines tax on non-admitted insurers.
Reminder-as the current coverage is on a Claims Made & Reported form, any claims/demands or situations likely to give rise to a claim should be reported to RSUI no later than 6-30-22.
| Expiring Exposures: | Renewal Exposures: |
| Total Employees: 690 FTE | Total Employees: 714 FTE |
| Number of Students: | Number of Students: |
| Full Time - 743 | Full Time-not provided |
| Part Time - 137 | Part Time-not provided |
| Assets - $136,067,033 (2020) | Assets -2021-unknown-audit not completed |
| Revenues-$70,865,041 (2020) | Revenues -2021-unknown-audit not completed |
## Benchmarks:
- premium was $57,687 with $100,000 deductible and $1,000,000 limits in 2003
$153,970 in paid loss during the 2004/2005 period.
Claim frequency by recent policy years:
2021/2022 4 open
2020/2021 2 open-including class action D&O suit; 1 closed
2019/2020 4-with 2 closed
2018/2019 16-2 open
2017/2018 15-2 open-$198,954
2016/2017 3-2 open
2015/2016 7-all closed-$175,000 paid loss
2014/2015 4-with 3 open-$12,479 paid loss
2013/2014 5-all closed-$236,654 paid loss
2012/2013 9-all closed-$320,155 paid loss
2011/2012 2-all closed
2010/2011 5-all closed
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# AssuredPartners
## Marketing Responses-2022:
1. Berkshire Hathaway—does not have an Educators Legal Liability endorsement which would thus be a reduction in coverage. Also, they are in the process of acquiring Alleghany Insurance Group—the owner of your incumbent insurer, RSUI
2. Cincinnati-Educational Institutions Program-declined-not a market for public universities
3. Corvus-MGU for Accredited Specialty Ins Co (non-admitted, rated A-X; Randall & Quilter Investment Holdings, Ltd-Bermuda)-declined-currently only a market for financial institutions
4. Falcon Risk Services-MGA for HDI Global (owned by Talanx Group-3rd largest insurer in Germany)-declined-not a market for educational institutions.
## Notes to renewal quotations:
## RSUI Indemnity Company (Alleghany Insurance Group)
• Alleghany is in the process of being acquired by Berkshire Hathaway. Their stockholders approved the sale on 6-9-22. Berkshire Hathaway is rated A++ XV by A.M. Best Company—their highest rating possible
Prior to binding-Subject to:
○ 2021 audited financial statement
○ No Material Change in Risk
===== PAGE 15 =====
# KENTUCKY STATE UNIVERSITY BOARD OF REGENTS
## ACTION ITEM:
Approval of FY 2022-2023 Operating E&G (unrestricted) Budget.
## FACTS:
Vice President/CFO Dr. Shields is submitting FY 2022-2023 Operating E&G (unrestricted) Budget. The budget has removed Land Grant restricted funds out of E&G Budget. Kentucky State University now seeks the approval from the Board of Regents.
## BUDGETARY IMPLICATIONS:
The unit alignment is only a recommendation based on current year operations. Final alignment will be based off the President's final review and decision for each department.
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve FY 2022-2023 Operating E&G (unrestricted) Budget.
## MOTION:
Approve FY 2022-2023 Operating E\&G (unrestricted) Budget.
===== PAGE 16 =====
Chief Finance Officer's Summary Reports for Board of Regents Meeting June 27th, 2022.
## Mission Statement for Finance and Administration Division
The mission of the Finance and Administration Division within Kentucky State University is to provide timely, accurate, relevant, and meaningful financial information. And advice to the University community to support management decision-making and demonstrate fiscal responsibility, accountability, and regulatory compliance to the State and Commonwealth of Kentucky, Board of Regents, President, and University's constituents. The Finance and Administration Division will promote the efficient use and stewardship of the University resources. And compliance with laws, regulations, and reporting requirements through technical, financial, and analytical skills and expertise in accounting and financial knowledge.
KYSU has gone through significant personnel reductions throughout the campus. The losses, in particular, have severely impacted the Finance and Administration Division. The accounting staff has experienced notable resignations comprising the Controller, Accounting Supervisor, Grants Supervisor, and 2 Grants Accountants. Purchasing - Purchasing Manager, Buyer Associate, Travel Agent, and Payroll Manager (recently filled) add to the bombardment of Finance and Administration personnel losses. These staff reductions challenged the remaining staff's ability to support the University in service, accountability, and accuracy while trying to fill these open positions. The rehire for these positions has been limited, and many instances, lacks the qualifications specified for the jobs.
The chart of accounts in the Banner system is limited in its operational support within the University's use throughout the campus. Many Fund-Operation-Accounts-Programs (FOAPs) are not functional for the current year's active use for reporting. They are no longer aligned to support accurate reporting without a time-consuming detailed review of these FOAPs and correct assessment out of the Banner system.
The following is a series of financial reports produced for current year, and status, and next year's forecast:
===== PAGE 17 =====
Cash Position Report as of 6/3/2022:
| Cash Position 06/03/22 Preliminary |
| AVAILABLE CASH | |
| Fifth Third Accounts | $ | 4,287,335.63 | |
| Outstanding Checks | $ | (571,986.19) | |
| Total Cash Available | $ 3,715,349.44 |
| Draw Downs | |
| G5 (FDL & Pell) | $ | - | |
| $ - |
| Revenue Anticipation Loan | |
| $ - |
| Student Receivables | $ | 1,771,532.60 | |
| HEERF Funds | $ 1,771,532.60 |
| Total Cash | $ 5,486,882.04 |
| MONTHLY PAYROLL | |
| Employee Deductions | |
| Employer Deductions | |
| $ - |
| Federal Taxes | $ | (62,982.61) | |
| State Taxes | $ | (14,163.95) | |
| Local Taxes | $ | (5,737.43) | |
| $ (82,883.99) |
| Checks and Deposits - Net | $ | (260,258.79) | |
| $ (260,258.79) |
| Total Payroll | $ (343,142.78) |
| EFT | |
| KERS Non-Hazardous Monthly Payment | $ (201,107.00) |
| INVOICES NO-PO | $ | (66,442.57) | |
| FY22 GRANT & STATE MATCH | $ | (766,331.83) | |
===== PAGE 18 =====
| ENTUCKY\nSTATE\nINIVERSITY. | Finance & Admin\nAcademic Services #202 | 400 East M\nFrankfort, KY 40601 | (502)\nKY |
| FY22 NON GRANT | <fcel> | (217,481.91) | | |
| TOTAL GRANT AND NON\nGRANT INVOICE | | | <fcel> | (1,050,256.31) |
| Direct Pays | | | | |
| STUDENT REFUNDS | <fcel> | - | | |
| Credit Payments | | | | |
| AMERICAN EXPRESS | <fcel> | (13,861.52) | | |
| 5/3 CORP CREDIT CARD | <fcel> | - | | |
| DINERS CLUB CARD | <fcel> | (42,290.21) | | |
| Total Direct Pays/Credit Card Payments | | | <fcel> | (56,151.73) |
| PAYABLES AGING | | | | |
| 0-30 | <fcel> | (576,017.28) | | |
| 31-60 | <fcel> | (395,228.63) | | |
| 61-90 | <fcel> | (9,432.11) | | |
| 91-120 | <fcel> | (3,135.72) | | |
| 120+ | | | | |
| TOTAL* | <fcel> | (983,813.74) | | |
| TOTAL | | | <fcel> | 3,836,224.22 |
| minus student account receivables | | | <fcel> | 1,771,532.60 |
| minus asset preservation funds | | | <fcel> | 1,600,000.00 |
| Available Cash Assessable | | | <fcel> | 464,691.62 |
===== PAGE 19 =====
Kentucky State University
FY22 Budget to Actual - E&G
| Sources of Revenue | Board Approved Budget FY21/22 | Actual 05/31/2022 | Percent Encumbered |
| State Appropriation* | 18,975,700.00 | 19,175,700.00 | 101% |
| Tuition and Mandatory Fees*** | 15,666,000.00 | 16,603,647.00 | 106% |
| Non-Mandatory Fees*** | 675,000.00 | 460,687.00 | 68% |
| Less Tuition Discount | - | (2,219,788.00) | 0% |
| Less Student Accounts Receivable | - | (1,155,199.16) | 0% |
| Employee Parking | 30,000.00 | 38,770.00 | 129% |
| Interest Income | 10,586.00 | 279.00 | 3% |
| Indirect Cost Recovery | 400,000.00 | 233,353.00 | 58% |
| Auxiliary Enterprise*** | 6,021,000.00 | 7,455,733.00 | 124% |
| Total Sources of Revenue: | 41,778,286.00 | 40,593,181.84 | 97% |
| | - | |
| Expenditures by |
| Unit | Board Approved Budget FY21/22 | Actual As of 05/31/2022 | Variance % |
| Academic Affairs** | 12,324,810.00 | 11,436,347.00 | 93% |
| Auxiliary Services | 4,094,663.00 | 5,348,815.00 | 131% |
| Board of Regents | 510,824.00 | 177,890.00 | 35% |
| Brand Identity & University Relations | 1,166,214.00 | 1,077,496.00 | 92% |
| Campus Athletics | 2,126,674.00 | 2,247,173.00 | 106% |
| Facilities and Infrastructure | 4,789,436.00 | 5,462,247.00 | 114% |
| Finance and Administration | 11,296,520.00 | 7,803,406.00 | 69% |
| Office of General Counsel | 586,019.00 | 629,382.00 | 107% |
| The President's Office | 826,610.00 | 713,495.00 | 86% |
| Student Engagement/Campus | | | |
| Life | 2,178,577.00 | 2,314,908.00 | 106% |
| Student Success | 1,877,939.00 | 1,389,860.00 | 74% |
| Total Expenditures Operations: | 41,778,286.00 | 38,601,019.00 | 92% |
| | | |
| Profit over Expenses | | 1,992,162.84 | |
| Contingency & Reserve Funds | | - | |
| Total Recommended Budget: | | | |
===== PAGE 20 =====
*Removed Restricted State Appropriation Revenue funds of 9,930,000 for FY23*Removed Restricted State Appropriation Revenue funds of 8,210,400 for FY22** Removed Land Grant expenses From the Academic Affairs Budget
***Tuition/Mandatory Fees($16,603,647), Non-Mandatory Fee ($460,687) and Auxiliary Enterprise ($7,455,733) Equate to Total Tuition and Fees ($24,520,067) within the Sources of Revenue - 5/31/22
****Less Tuition Discount (scholarships) Average tuition discounts and scholarships are between $3.5 million - $4 million annually
****Less Student Accounts Receivables - Unpaid student receivables at the end of the fiscal year
Other institutional aid allows KSU to reduce it's expenses by $1.5 million - $2 million annually
SOURCES OF REVENUE BUDGET TO ACTUAL FY 21-22
===== PAGE 21 =====
EXPENDITURES BY UNIT BUDGET TO ACTUAL FY 21-22
| Kentucky State University |
| Proposed E&G (unrestricted) Budget for FY 2022/23 |
| FY 2022-23 Projections |
| Sources of Revenue |
| State Appropriations | 18,235,600.00 | |
| Tuition and Fees | 16,000,000.00 | |
| Non-Mandatory Fees | 500,000.00 | |
| Less Tuition Discount(Scholarships) | (2,611,600.00) | |
| Less Student Accounts Receivables | (1,000,000.00) | |
| Other Revenues: | 376,000.00 | |
| Auxiliary Services | 9,500,000.00 | |
| Total Sources of Revenue | 41,000,000.00 | |
| Education and General Fund Expenditures |
| Salaries and Wages* | | 20,000,000.00 |
| Fringe Benefits* | | 7,000,000.00 |
| Total E&G Salary and Fringe Benefits | | 27,000,000.00 |
|
| Total Operating Budget: | | 13,000,000.00 |
|
| Total FY23 Budget Projection | | 40,000,000.00 |
| FY 2022-23 Projections |
| Sources of Expenditures |
| Instruction* | 12,000,000.00 | |
| Institutional Support* | 10,600,000.00 | |
| Operation and Maintenance of Plant* | 5,500,000.00 | |
| Student Services* | 5,900,000.00 | |
| Auxiliary Services* | 6,000,000.00 | |
| Total E&G Expenditures by Program Class: | 40,000,000.00 | |
|
| Total Contingency & Reserve Funds | | 1,000,000 |
| Total FY23 Budget Projection | 41,000,000.00 | 41,000,000.00 |
*These budget projections include payroll, fringe benefits and operational costs
===== PAGE 23 =====
SOURCES OF REVENUE BUDGET 22-23
===== PAGE 24 =====
EXPENDITURES BY UNIT BUDGET 22-23
===== PAGE 25 =====
Tuition and Fees Proposal
| Proposed |
| Current | 2% | | | |
| Resident | | | | | |
| 12-18 Hours | 3,850 | 3,927 | | | |
| 19 Hours | 4,170 | 4,253 | | | |
| 20 Hours | 4,490 | 4,580 | | | |
| 21 Hours | 4,810 | 4,906 | | | |
| Non-Resident | | | | | |
| 12-18 Hours | 5,775 | 5,891 | | | |
| 19 Hours | 6,255 | 6,380 | | | |
| 20 Hours | 6,735 | 6,870 | | | |
| 21 Hours | 7,215 | 7,359 | | | |
| Per Credit Hour | | | Per Credit Hour |
| | | SUMMER | MAYMESTER | WINTERMESTER |
| Resident: | | | | | R |
| Undergraduate | 325 | 332 | 332 | 332 | 332 |
| Graduate | 420 | 428 | 428 | 428 | 428 |
| Non-Resident: | | | | | |
| Undergraduate | 488 | 498 | 498 | 498 | 498 |
| Graduate | 630 | 643 | 643 | 643 | 643 |
| Online: | | | | | |
| Undergraduate | 400 | 408 | 408 | 408 | 408 |
| Graduate | 500 | 510 | 510 | 510 | 510 |
| $ ^{*}Dual Enrollment per credit hour is based on a recommendation from the Dual Credit Coordinator* | | | | | |
| Dual Enrollment High School | 72 | 91 | | | |
| Dual Enrollment Math 115 | 20 | 27 | | | |
===== PAGE 26 =====
| Dual Enrollment English | $20 | $27 | |
| Current | Proposed | |
| Residence Hall |
| Single (15%) | $2,220 | $2,553 | |
| Double (10%) | $1,670 | $1,837 | |
| Triple (10%) | $1,620 | $1,782 | |
| Suite (30%) | $2,120 | $2,756 | |
| *New Dorm | | | $4,000 |
| *Hotel | $2,120 | | $2,818 |
| Current | Proposed | | |
| Meal Plans |
| Commuter Meals: |
| Plan A $355 | $335 | $355 | |
| Plan B $490 | $460 | $490 | |
| Plan C $620 | $570 | $620 | |
| 10% |
| On-Campus: |
| 14 Weekly meals w/ $500 | $1,675 | $1,843 | |
| Current | Proposed | | |
| Mandatory Fees |
| Activity Fee | $170 | $170 | *Covers entry into school sanctioned events |
| Asset Preservation Fee- Per Semester - | | | |
| Resident/Non | $150 | $150 | *Maintenance and preservation of instructional, operational and common use areas |
| Asset Preservation Fee- Per Credit Hour (part time) | $10 | $10 | |
| Homecoming Fee (Fall semester) | $50 | $50 | |
| Safety & Security fee- Per Semester- | | | |
| Resident/Non | $50 | $50 | *Security of students, staff and faculty, Emergency Preparedness, OSHA Regulations, Campus Security and Local Municipality Coop |
| Safety & Security fee- Per Credit Hour (part time) | $10 | $10 | |
| Technology fee- Per Semester- Resident/Non | $155 | $155 | *Covers hardware, software, databases, wireless networks and other equipment used to support and enhance student learning experiences |
| Technology fee- Per Course (part time) | $30 | $30 | |
===== PAGE 27 =====
| Course Material Fee | 195 | N/A | *Fee covers the cost of virtual books |
| Current | Proposed | |
| Other Fees | | | |
| Application Fees: | | | |
| Undergraduate | 30 | 40 | |
| Graduate | 30 | 40 | |
| International | 100 | 100 | |
| | | |
| Graduation Fees: | | | |
| Undergraduate | 75 | 100 | |
| Graduate | 125 | 150 | |
| | | |
| Payment Plan | 35 | 50 | |
| Reinstatement Fee | 50 | 50 | |
| Orientation Fee | 189 | 200 | |
| Late Registration | 100 | 100 | |
| Enrollment Deposit | 50 | 50 | |
| Diploma Replacement (Undergraduate) | 13 | 20 | |
| Diploma Replacement Cover (Undergraduate) | 20 | 30 | |
| Diploma Replacement (Graduate) | 20 | 30 | |
| Diploma Replacement Cover (Graduate) | 40 | 50 | |
| Housing Reservation Fee | 100 | 150 | |
| Laundry Fee | 50 | 50 | |
| ID Meal Replacement | 20 | 25 | |
| Nursing Student Liability | 16 | 25 | |
| Nursing Student Drug Screening | 50 | 50 | |
| Returned Check Fee | 50 | 50 | |
| Transcript Fee | 10 | 10 | |
| Thesis | 30 | 40 | |
| | | *This fee will be charged by the credit hour with an option for students to "opt out" |
| Course Material Fee (per credit hour) | 0 | 27 | |
| Current | Proposed | |
| Course Fees | | | |
| Biology | 30 | 50 | |
| Current | Proposed | |
| Course Fees | | | |
| Biology | 30 | 50 | |
| Art: 101, 110, 112, 113, 211, 305, 306, 310, 319, 330, 405, 419, 430, 431, 432 | 30 | 50 | *Fees that are associated with courses that require use of laboratories, supplies (that |
===== PAGE 28 =====
Finance & Administration
Academic Services #202 | 400 East Main Street
Frankfort, KY 40601 | (502) 597-6343
KYSU.EDU
| 130,360 | $10 | $25 | students are not asked to purchase on their own), or private instruction (music) |
| 220, 240, 315, 317, 340, 415, 417, 420, 433, | | | |
| 434, 435, 436, 437, 438, 439, 440, 441, 442, | | | |
| 443, 444 | $50 | $70 | |
| 307, 312, 322, 407, 412, 451, 452, 453, 454 | $75 | $100 | |
| Aquaculture | $30 | $50 | |
| Chemistry | $35 | $55 | |
| Music: ONE HOUR PRIVATE SESSION | $75 | $100 | |
| HALF HOUR PRIVATE LESSON | $50 | $70 | |
| 112, 114, 212, 214/Music Theor' ' ' | £25 | £50 | |
| Applied Information Technolog | | | |
| Computer Science | | | |
| Nursing | |  | |
| Physical Science | [F2] | | |
Physics
Social Work
Calculated Using Enrollment of 1452
Approximately 90 students from Fall 2018 will be eligible for the flat tuition rate**
Social Work
**Approximately 90 students from Fall 2018 will be eligible for the flat tuition rate**
**Housing and meals were calculated based on the number of beds available for each room type**
## Impact of Cost of Attendance at KYSU
As of 06/06/22, the student population served by the Financial Aid Office at Kentucky State University included 1054 Federal Pell Grant recipients and 855 Federal Direct Subsidized Loan recipients. When budget increases are required, we first consider how any increase affects our students. We make every effort to keep the direct cost to attend reasonable for our population.
A compliant Cost of Attendance (COA) budget must include expenses associated with attending college or the indirect cost. Allocations are included within the COA the University never charges a student. Those line items: supplies, transportation, loan fees, miscellaneous/personal expenses and for students residing off campus in an apartment or with parents, housing and meals. A maximum financial aid awards is allowable up to the COA. Student direct costs are included within the COA.
===== PAGE 29 =====
Tuition - The 2% tuition increase resulted in $77.00 – in state and $116.00 – non-residents or a total $3,927.00 and $5,891.00 respectively.
Mandatory Fees – No Mandatory Course and Materials Fee for 2022-2023. All other fees remain unchanged.
- Activity - $170.00 - student contribution to campus events.
• Asset Preservation - $150.00 – student contribution to physical plant maintenance.
• Homecoming - $50.00 - charged during the fall term for those events.
• Technology Fee - $155.00
Safety/Security - $50.00 – provides security for students, faculty and staff. To support crime report requirements, OSHA and Title IV regulations require institutions to maintain these services.
## Campus Housing
• Single (15%) $2553.00,
• Double (10%) $1837.00,
• Triple (10%) $1782.00,
• Suite (30%) $2756.00,
• Capitol Plaza ($2818.00 per contract),
• New Residence Hall - $4,000.00 (January 2023)
Meals required of on campus residents - fourteen (14) meals weekly (10%) 1843.00
## Course Fees
Covers some cost for Lab fees/Science majors, private instruction/Music and Art majors.
FY 22 Budget to Actual: Asset preservation
Kentucky State University
| FY22 Budget to Actual - Asset Preservation |
| | - | |
| Sources of Revenue | Board Approved Budget FY21/22 | Actual 05/31/2022 | Percent Encumbered |
| Asset Preservation Fee | | $- | 0% |
| FY19 | 400,000.00 | 351,035.00 | 0% |
| FY20 | 400,000.00 | 398,175.00 | 0% |
| FY21 | 400,000.00 | 462,865.00 | 0% |
===== PAGE 30 =====
| FY22 | $ | 400,000.00 | $ | 447,780.00 | 0% |
| Total Sources of Revenue: | $ | 1,600,000.00 | $ | 1,659,855.00 | 0% |
FY 22 Budget to Actual: Land Grant
Kentucky State University
| FY22- Budget to Actual -Land Grant Match |
| | | |
| Sources of Revenue | Board Approved Budget FY21/22 | Actual Expenditures 05/31/2022 | Percent Encumbered |
| State Appropriation | 8,210,400.00 | 7,003,079.00 | 85% |
| | | |
| Total Sources of Revenue: | 8,210,400.00 | 7,003,079.00 | 85% |
| | | |
## FY 22 Budget to Actual: Auxiliaries
Kentucky State University
FY22 Budget to Actual - Auxiliaries
| Sources of Revenue | Board Approved Budget FY21/22 | Actual 05/31/2022 | Percent Encumbered |
| Housing Fees | $ 2,723,000.00 | $ 2,913,559.00 | 107.00% |
| Dining Fees | $ 2,988,000.00 | $ 3,315,201.00 | 110.95% |
| Bookstore | $ 310,000.00 | $ 1,226,973.00 | 395.80% |
| Total Sources of Revenue: | $ 6,021,000.00 | $ 7,455,733.00 | 123.83% |
===== PAGE 31 =====
Protiviti Auditing Firm: 2021 & 2022 Audit Support Update:
KENTUCKY STATE UNIVERSITY
# 2021 & 2022 Audit Support Update
Week Ending June 17, 2022
Page 31 of 40
===== PAGE 32 =====
# 2021 & 2022 Audit Support Update
Week Ending June 17, 2022
## Achievements and Current Progress
• Identified and updating supporting documentation for management finding audit adjusting entries related to FY 2020 year-end audit
• Compared Banner detail trial balance to audited financial statements FY 2020 to identify beginning balance variances to be investigated
• Finalizing account mapping and roll-up between detailed trial balance and financial statements
• Completed initial review of the 158 external auditor's FY 2021 request items: 60% ready for Crowe's review, 13% in revision, 27% requires revision
## Challenges
- Limited knowledge on prior year activities due to turnover in grant accounting and general accounting teams, resulting in staffing gaps and leading to increased efforts in identifying supporting documentation
• The KSU accounting teams are simultaneously working on other competing priorities (i.e., APA request)
- Lack of consistent historical bookkeeping and support maintenance, increasing efforts in preparing/updating supporting documentation for audit requests
• Lack of documentation on account mapping between the Banner system and Argos reporting tool, increasing efforts in preparing trial balances and financial statements
## Next Steps
• Finalize support for FY 2020 audit adjustments for interim Controller review
- Refresh the FY 2021 trial balance and review for any additional variances and investigate remaining differences
- Test account mapping between detailed trial balance to financial statements with refreshed FY 2021 trial balances to identify any mapping adjustments required
• Continue to update/develop supporting documentation for FY 2021 audit request items, target completion date of 7/15/2022
KENTUCKY STATE UNIVERSITY
KYSU.EDU
ONWARD.UPWARD.#KSUFORWARD
#### Gerald D. Shields, Ph.D
Vice President of Finance & Administration/CFO
Finance and Administration | Kentucky State University
400 E. Main Street | Frankfort, KY 40601
Academic Services Building, Rm. 201
Office: (502) 597-5075 | Fax: (502) 597-6594
Onward, Upward
KENTUCKY STATE UNIVERSITY
IN ALL THINGS EXCELLENCE
===== PAGE 33 =====
## ACTION ITEM:
Approval of FY 2022-2023 Tuition & Fees and Rescind Thorobred Promise Tuition Program.
## FACTS:
Vice President/CFO Dr. Shields submitted FY 2022-2023 Tuition & Fees. Kentucky State University now seeks the approval from the Board of Regents.
The Thorobred Promise Tuition Program, which began in the 2018-2019 academic year, was designed to boost graduation rates and cut down on the number of loans students acquire. It guaranteed flat-tuition rate for four years for new first-year undergraduate students. This program has not been utilized.
## BUDGETARY IMPLICATIONS:
The campus recommends a two percent (2%) total increase that includes realigned and increased meal plans and housing. This amount is in line with sister institutions within the Commonwealth of Kentucky.
## ALIGNMENT WITH STRATEGIC GOALS:
FY 2022-2023 Tuition & Fees will assist in reaching the University's Strategic Goals 1 & 3:
Rescinding the TPTP program will assist in reaching Operational Efficiency in Goal 3.
1. Enhance Student Enrollment, Improve Student Life and Engagement, and Improve Student Advising and Career Development.
3. Increase the University's Financial Strength and Operational Efficiency
## RECOMMENDATION:
VP/CFO Shields recommends that the Board of Regents approve FY 2022-2023 Tuition & Fees and Rescind Thorobred Promise Tuition Program.
## MOTION:
Approve FY 2022-2023 Tuition & Fees and Rescind Thorobred Promise Tuition Program.
===== PAGE 34 =====
## DRAFT REGISTRY CONTRACT FOR INTERIM PRESIDENT
===== PAGE 35 =====
THE GOLD STANDARD/OR INTERIM PLACEMENTS
# REGISTRY FOR COLLEGE AND UNIVERSITY PRESIDENTS
AND
## KENTUCKY STATE UNIVERSITY
THIS AGREEMENT (the “Agreement”) is made and entered into this 1st day of July 2022 by and between Kentucky State University (hereinafter “University”) and Collegiate Enterprise Solutions, LLC, doing business as the Registry for College and University Presidents (hereinafter “Registry”).
WHEREAS, it is the desire of the University to retain a professionally educated person to perform the duties of Interim President of University on an interim basis as more specifically described in an EXPECTATIONS DOCUMENT, annexed hereto (the "Services") and,
WHEREAS, Registry will perform the Services through Registry Member Name, Sole Proprietor, an independent contractor (the “Consultant”), who will assign a designated employee to perform the Services on behalf of the Consultant (the “Assigned Member”). No one other than Registry Member Name himself shall be engaged to perform the duties of Interim President of Kentucky State University.
NOW, THEREFORE, in consideration of the mutual promises of the parties hereto, the University hereby retains Registry upon the terms and conditions contained herein, and Registry hereby accepts said retention and agrees to perform the Services hereinafter mentioned, upon said terms and conditions.
1. Services by Registry: As indicated above, Registry will perform the Services through the Assigned Member provided by Registry Member Name, Sole Proprietor, or a mutually agreed upon alternate person. Specific duties and standards of performance shall be prescribed in an EXPECTATIONS DOCUMENT, which shall be appended, and integral, to this Agreement, and as otherwise agreed between the University and the Registry. The parties agree that the Consultant sets the Assigned Member's schedule, but that the Assigned Member will generally work the same or a similar schedule set by the University. The Registry shall be responsible for assessing performance under this Agreement, predicated upon evaluation reports from University. A senior officer of the Registry shall be available on call throughout the duration of the engagement to deal with all matters related to the Consultant's performance of the Services on Registry's
===== PAGE 36 =====
behalf. Throughout the duration of this engagement with the University, one or more of the principals of the Registry shall be available to provide strategic advice to the Assigned Member's contact at University, and, if requested, to the Board of Trustees. The scope of these Services as described herein are inextricably bundled and cannot be disaggregated. The parties may agree to an expansion of the services from those set forth in the EXPECTATIONS DOCUMENT. Upon such agreement, such services will become Services hereunder for the fee agreed to therefor by the parties.
2. Obligations of Kentucky State University: (a) The University will provide adequate working conditions and clerical assistance and supplies as the University deems necessary for Registry to perform its obligations under this Agreement.
(b) Payment in consideration of this Agreement shall be in the amount of an annualized consultant's fee of $250,000.00 + a 30% Registry fee (reduced from 33%) of $75,000.00 to be paid monthly, by Kentucky State University to the Registry in the amount of $27,083.33: $20,833.33 for Registry Member Name and $6,250.00 for Registry fee. In addition, Registry Member Name will also be provided mutually agreeable furnished housing as well as reimbursement for pre-approved travel related expenses to arrive at the beginning of the assignment and to depart at the conclusion of the assignment. Such payments are subject to change only upon the written concurrence of both parties to this Agreement. University agrees to remit to Registry without monthly invoice the amount due by the 15th day of each month. It is anticipated by the parties that the annual consultant's fee and the administrative fee will be increased by agreement of the parties in the case of multiple-year engagements and/or extended periods of engagement and the parties agree to negotiate one such increase every twelve months in good faith. In the event University requests and authorizes additional services of Registry as provided under Section 1 of this Agreement, Registry shall submit an invoice to the University on or about the first of each month that succeeds the performance of said Services, detailing expenses and consulting fees incurred during the preceding month. University agrees to pay and/or reimburse Registry within thirty (30) days after receipt of each invoice for such expenses or consulting fees. In addition, payment for interim services rendered will be made by Registry after Registry receives funds from the college/university client expressly allocated for services rendered by the Consultant.
(c) University acknowledges that the exclusive placement of Consultant through the Registry to University is of benefit to University, (i) it is of benefit to the University that Assigned Member's fitness for and match with the University's needs have been determined by the Registry and (ii) it is of benefit to the University that the Registry be positioned to perform the Services through the Consultant (and Assigned Member) without the distractions and additional challenges provided by eligibility for the Assigned Member's permanent placement at University. Accordingly, University agrees that it will not, for a minimum period of the longer of two years from (i) the last day of Registry's service at University under this or any subsequent agreement or (ii) the effective date of Consultant's resignation from the Registry (as acknowledged by the Registry), consider the Consultant or its Assigned Member for any position or professional relationship (whether as an employee, a consultant or otherwise) other than under Registry auspices.
The University acknowledges that the promises and restrictive covenant that the University is providing in this Agreement are reasonable and necessary for the
===== PAGE 37 =====
protection of Registry's and its clients' legitimate interests and that Registry would not have entered into this Agreement in the absence of such promises and covenants. If, at any time, the provisions of this Section 2 shall be determined to be invalid or unenforceable, by reason of being vague or unreasonable as to area, duration or scope of activity, this Section 2 shall be considered divisible and shall become and be immediately amended to only such area, duration and scope of activity as shall be determined to be reasonable and enforceable by the court or other body having jurisdiction over the matter; and the University agrees that this Section 2(c) as so amended shall be valid and binding as though any invalid or unenforceable provision had not been included herein. In the event of a breach or material and substantial preparation of a breach of this Section 2 by the University, University agrees that Registry shall be entitled to apply for injunctive relief in a court of appropriate jurisdiction to remedy any such breach or material and substantial preparation of a breach, the University acknowledging that damages may be inadequate and insufficient. In addition, upon a breach or material and substantial preparation of a breach of this Section 2 by the University, Registry may cease providing Services required by this Agreement.
3. Term: The effective dates of this Agreement shall be June 1, 2022 through June 30, 2023 or, until terminated by either party giving thirty (30) days' notice in writing to the other party (with Assigned Member being copied). Upon such termination, the University shall pay Registry all amounts due for Services performed and expenses incurred to the effective date of termination. If termination is for cause, payment will cease on the date of notice of termination given.
4. Status and Relationship of the Parties. The Assigned Member shall be considered an employee only of the Consultant.
(a) It is expressly agreed and understood that for all purposes, the Consultant shall, at all times, act strictly and exclusively as an independent contractor and shall not be considered, under the provisions of this Agreement or otherwise, an employee, agent, servant, partner or joint venturer of Registry or the University and the Registry shall at all times act strictly and exclusively as an independent contractor and shall not be considered, under the provisions of this Agreement or otherwise, an employee, agent, servant, partner or joint venturer of the University. The Assigned Member shall be considered an employee of the Consultant. It is further agreed that the Consultant shall have full and direct responsibility for compliance with respect to the Assigned Member and the Services with all federal, state and local requirements pertaining to taxes and other obligations of employers, including without limitation Social Security taxes, unemployment insurance, workers' compensation, and comparable matters. Consultant has acknowledged to Registry that all such obligations are the Consultant's sole responsibility and that it complies with, and will continue to comply with, all laws and regulations regarding the withholding and payment of so-called payroll taxes and charges, including, without limitation, FICA, FUTA and state unemployment withholding taxes. Consultant has represented that it is exempt from an obligation in the state in which the Services are performed to carry workers' compensation insurance (or provide self-insurance) for the Assigned Member or, if not so exempt, covenants that it will provide Registry with a certificate of insurance evidencing workers' compensation coverage.
===== PAGE 38 =====
(b) Registry acknowledges that it is not authorized to assume or create any obligation or responsibility, express or implied, on behalf of, or in the name of University or to bind University in any manner.
(c) Registry acknowledges that it is not entitled to any benefits, coverages or privileges applicable to employees, including, without limitation, medical, dental or life insurance coverage, workers' compensation coverage or participation in any University retirement plan. Registry agrees not to make any claim of entitlement to any such plan or program. All such benefits, if any, are the Consultant's sole responsibility.
(d) The Services being provided are part of a business in which Registry is customarily engaged as an independently established business (either as a sole proprietorship, limited liability entity, partnership or other entity), separate from and unrelated to the University's business. The Consultant has agreed to provide the University with the Consultant's business card and website address, if available, prior to the commencement of the Services. The Registry's website is www.registryinterim.com.
(e) Registry performs, and will perform, the Services according to a schedule it maintains, free from the University's control and direction with respect to the manner in which the Services are performed. The parties agree that any Services provided by Registry in connection with the placement of Consultant with the University, are not and will not comprise supervision by the Registry of the Services.
(f) In the event that the definition of “employee” or “contractor” under the Internal Revenue Code of 1986, as amended and as interpreted by the Internal Revenue Service, or under applicable state law, is amended such that Registry becomes an employee of the University under applicable law, the parties agree that they will take such action as is necessary to ensure Registry’s continued status as an independent contractor or will terminate this Agreement.
### 7. Miscellaneous
A.) This Agreement constitutes the entire agreement of the parties relating to the subject matter hereof; provided however that it is meant to be read in conjunction and consistently with the placement agreement between Registry and Consultant relating to the performance of the Services. It shall supersede all prior agreements or understandings between the University and Registry or their agents, whether oral or written. Amendments to this Agreement may be proposed in writing by either party hereto and shall be deemed rejected unless the party to whom any amendment is proposed accepts said amendment in writing within ten days after receipt of the proposed amendment. No oral agreement shall be effective to alter the terms of this Agreement.
B.) If any one or more of the provisions contained in this Agreement is held illegal or unenforceable by any court of competent jurisdiction, the other provisions shall remain in full force and effect. Any provision of this Agreement held invalid or unenforceable only in part or degree will remain in full force and effect to the extent not held invalid or unenforceable.
===== PAGE 39 =====
C.) None of the parties will be liable for delays or failure in its performance hereunder (other than the payment of monies) to the extent such delay or failure is caused by any act of God, war, pandemic, natural disaster, strike, lockout, labor dispute, work stoppage, fire, third-Party criminal act or act of government, or any other event beyond the reasonable control of that Party. Upon prompt notice of such event, all obligations under this Agreement shall be suspended for the duration of the Force Majeure event.
D.) The headings have been inserted for convenience only and are not to be considered when interpreting the provisions of this Agreement.
E.) The waiver by one party of a breach of any provision of this agreement by the other party shall not operate or be construed as a waiver of any subsequent breach. No waiver shall be valid unless in writing and signed by an authorized representative of the party agreeing to the waiver.
F.) This Agreement may be executed in multiple counterparts, any of which may be a facsimile or "pdf", each of which shall be deemed to be an original but all of which shall constitute one and the same instrument.
G.) The parties agree that any termination of this Agreement shall not release nor discharge the parties from their respective obligations specified in Sections 2(c) and 3 through 7 of this Agreement, which shall survive termination or expiration of this Agreement in accordance with their terms.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first written above.
Kentucky State University
By: ___
Dr. Gerald Patton
Kentucky State University
Board of Regents
Date
Collegiate Enterprise Solutions, LLC
By: _____
Bryan E. Carlson
President and COO
___
Date
===== PAGE 40 =====
# EXPECTATIONS DOCUMENT Statement of Work Interim President Kentucky State University
The Registry Interim President is an independent contractor and consultant responsible for the following deliverables which encompass the execution of certain exogenous duties and tasks—specifically, the Registry Interim President shall be expected to:
This will be drafted by the Kentucky State University Board of Regents 
