UNIVERSITY OF ESSEX
COUNCIL
30 April 2001
(2.15 pm to 3.55 pm)
MINUTES
Present:
The Rt Revd John Waine (Chair), the Pro-Chancellors (Mr Jordan, Mr
Pertwee), the Vice-Chancellor, the Treasurer (Mr Thomson), the Pro-ViceChancellors (Professor Crossick, Professor Massara, Professor Sanders,
Professor Sherer), Mr Burrow, Professor Busfield, Mr Glossop, Mrs Gould,
Mr Harker, Mr Hayman, Mr Lewis, Professor Lubbock, Professor
McCormack, Professor Meddis, Mr Melville-Ross, Sir Robin Mountfield, Mr
Owen, Mr Rainbird, Professor Scott, Professor Smith, Dr Steel, Professor
Tsang, Professor Turner, the President of the Students' Union (Miss Oldham)
and the Vice-President (Finance and Services) of the Students' Union (Mr
Fielding).
By invitation:
Mr Hewlett, Ms Manning-Press and Mr Sansom.
In attendance: The Registrar and Secretary, the Assistant Director of Finance (Management
Accounting), the Director of Estate Management, the Director of Information
Systems, the Academic Registrar, the Planning Officer, the Public Relations
Officer and the Council and Court Officer.
SECTION A: UNRESERVED BUSINESS
CORRESPONDENCE AND ANNOUNCEMENTS
On behalf of Council, the Chair welcomed Mr Rainbird as a new lay member of Council to
his first meeting.
87/01
The Registrar and Secretary reported that apologies for absence had been received from Miss
Clarke, Mr Hughes, Professor Lahiri and Mrs Parr.
88/01
The Registrar and Secretary reported that Mr Andrew Connolly, an Assistant Director of
Finance at the University of Birmingham, had been appointed as the new Director of Finance
and would be taking up his post on 2 July 2001.
89/01
STARRING OF AGENDA ITEMS
At the request of the Chair, the following items were starred for discussion in addition to
those indicated on the Agenda:


Item 4: Matters Arising from the Minutes
Item 13: Call for Nominations
90/01
91/01
The unstarred items of the Agenda were then deemed to have been received and noted or
approved by Council as appropriate.
MINUTES OF THE PREVIOUS MEETING (SECTION A: UNRESERVED
BUSINESS)
92/01
The Minutes of the meeting held on 22 January 2001 (Section A: Unreserved Business) were
approved as a correct record.
MATTERS ARISING FROM THE MINUTES
University Quays (C.M.8/01)
93/01
The Director of Estate Management updated Council on progress on the University Quays
project. The lowest tender for the project had come in at £24.5m as against the original
budget of £19.5m. Discussions were still taking place with the Borough Council over the use
of the Section 106 funds which the University hoped could go towards the cost of the
footbridge, thereby reducing the cost of the project to £23.65m. A number of changes would
be made to the basic design to reduce the cost and these would have the added effect of
freeing up part of the site for later development, thereby enabling a further 50 units to be
built. The issue of VAT was still outstanding. The build would take place in two phases:
phase 1 would provide 450 units ready for occupation in October 2002, with phase 2
providing the remaining 300 units by the summer of 2003. It was hoped to exchange
contracts in July, enabling work to start during the summer. Final proposals would be
brought to Council at its meeting on 2 July 2001.
VICE-CHANCELLOR’S REPORT
94/01
The Vice-Chancellor introduced his report as set out in paper C/01/13, covering the following
matters:




Applications and Admissions for 2001/02
Research Park
Performance Indicators and League Tables
Brief Announcements
There was further discussion as follows:
Applications and Admissions for 2001/02
95/01
The Vice-Chancellor reported that with effect from October 2001, students taught at South
East Essex College who were registered for University of Essex degrees would count as
University students for the purposes of the University’s Maximum Student Number (MaSN)
and the contracted student numbers. It was difficult to forecast recruitment to South East
Essex College as there was no precedent, but it was expected that there would be a small
shortfall of admissions over target.
Financial Times League Table
96/01
The Vice-Chancellor explained that the University’s overall position of 17th in the 2001
league table was the average of a number of indicators which ranged from excellent (the
number of students going on to further study) to very poor (applications per place and student
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employment). The data used for the table was for 1998/99 and the situation had improved
since then. Part of the problem was that of reputation, with students choosing their university
on a number of factors, such as quality, the repertoire of degree schemes offered and location.
It took time for the perception of an institution to change but the External Relations Section
had made significant progress over recent years in raising the profile of the University. This
was an area where lay members of Council had a role to play and it was noted that Mr
Rainbird was chairing a committee to promote Essex, which had identified the University as
one of the centres of excellence in the county.
LATEST BUDGETARY SITUATION FOR 2000/01
Council received paper C/01/14 and noted the latest budgetary situation for 2000/01 which
had been discussed by Finance Committee at its meeting on 19 March 2001.
97/01
The latest forecast was for a surplus of £1.48m, which compared with the original budgeted
surplus of £933k approved by Council at its meeting in July 2000 (C.M.197/00 refers) and
the surplus of £1.011m reported to the last meeting of Council in January 2001 (C.M.26/01
refers).
98/01
This latest forecast was encouraging, benefiting from the healthy overseas student
recruitment which outweighed the loss of income on home and EU students. The University
had also benefited from lower interest rates and higher investment as well as from the one-off
surplus on the sale of off-campus houses.
99/01
FINANCIAL SITUATION
HEFCE Grant Announcement for 2001/02
Council considered paper C/01/15 setting out the details of the HEFCE recurrent grant for
2001/02 which had been discussed by Finance Committee at its meeting on 19 March 2001.
100/01
The Registrar and Secretary reported that the headline increase in grant of 7.9 per cent had
placed the University fourth in the list of English universities. A significant proportion of the
increase related to South East Essex College and further funding in respect of the partnership
was expected. There had been an overall increase in the teaching grant of 8.9 per cent, partly
as a result of the partnership with South East Essex College and partly for the new
Foundation Degrees. However, there had been a holdback of grant with respect to the 75 fte
students under-recruited for October 2000. The transfer of student numbers from South East
Essex College was complex. The University’s bid under the HEFCE Additional Student
Numbers (ASN) programme had been successful and resulted in the award of 255 places in
each of the three years 2001/02, 2002/03 and 2003/04. In addition discussions were ongoing
with the HEFCE about the transfer of the existing MaSN of 467 full-time undergraduate
higher education places at the College to the University with effect from October 2001,
giving a possible total of 722 full-time undergraduates, comprising the MaSN of 467 plus the
ASN bid of 255 being taught at the College in 2001/02. The financial arrangements were
under discussion with the College but it was expected that the University would retain about
25 per cent of the HEFCE grant and tuition fee income associated with these students to
cover its costs. It was vital that the University recruited its contract fte of 5826, including
772 fte at South East Essex College, in October 2001 in order to avoid any holdback of grant.
Failure to meet the contract number could also jeopardise any further bids for ASNs as well
as calling into question the University’s plans for growth. The grant for research had only
increased by a disappointing 2.2 per cent, partly due to the University having a smaller share
of the national cake for generic research as a result of a lack of growth in research grants and
101/01
3
contracts, and partly due to a net reduction in research volume as a result of lower
postgraduate research student numbers. There were, however, significant variations in
research grant between departments. Overall the grant announcement was a very satisfactory
outcome for the University but it remained critical that the contract fte number for 2001/02
was reached.
102/01
During discussion, the Registrar and Secretary explained that the retention of some 25 per
cent of HEFCE grant and tuition fee income in respect of South East Essex College students
was to cover a number of areas of University activity. These included administrative
arrangements, quality assurance, curriculum development, student services and an element to
cover the University’s reputation. Council also noted that the University was not responsible
for providing accommodation at the College. It was expected that only a few students would
require residential accommodation, and this would be provided through lodgings in Southend
arranged by the College. Teaching accommodation was available at the College in the short
term and there were medium term plans to develop a purpose-built building in the centre of
Southend for the further and higher education activities of the College.
Financial Forecasts for 2001/02 to 2003/04
103/01
Council considered paper C/01/16 setting out the latest financial forecasts for 2001/02 to
2003/04 which had been discussed by Finance Committee at its meeting on 19 March 2001.
104/01
The Registrar and Secretary reported that the forecasts included the anticipated consequences
of the partnership with South East Essex College for the first time. The latest forecast
surplus for 2001/02 was £1.685m, which compared with the original forecast of £761k
approved by Council in July 2000 (C.M.201/00 refers) and the figure of £1.371m reported to
Council in January 2001 (C.M.28/01 refers). The forecast surpluses for 2002/03 and 2003/04
were currently over £1.5m per annum. Forecast income reflected the partnership with South
East Essex College and the outcome of a new HEFCE income stream for “rewarding and
developing staff”, which is expected to be built into the core funding in due course. The
main concern was the ability to recruit to the University’s contract fte number in 2001/02.
Forecast expenditure assumed a pay rise of 3.25 per cent, but a figure of 3.75 per cent in line
with other public sector awards was more likely.
105/01
It was critical for the University’s Capital Building Programme that surpluses in excess of
£1.5m per annum were maintained; this level was less than the three per cent of turnover
recommended by the HEFCE. The financial outcome of the Research Assessment Exercise
(RAE) would impact on income for 2002/03 and the University would continue to grow
student numbers and to monitor and control costs.
106/01
During discussion, Council noted that the University was cautiously optimistic about the
outcome of the RAE but recognised that it might wish to restructure one or two departments
as a result of the exercise; a sum had been put aside to assist in any such restructuring.
CAPITAL BUILDING PROGRAMME
107/01
Council considered paper C/01/17, setting out the latest position with respect to the Capital
Building Programme (CBP) which had been discussed by Finance Committee at its meeting
on 19 March 2001 and subsequently by Budget Sub-Committee. A further paper was tabled
(copy attached for those not present).
108/01
The Vice-Chancellor reported on the background to the current CBP. Council had agreed to
expenditure of £10m over a three-year period to support the University’s plans for growth, of
4
which £6m would come from the University’s reserves. With respect to those projects
already approved by Council, some had been delayed as a result of lack of staffing in the
Estate Management Section to manage the high project load. This had delayed the start of
some projects and deferred expenditure from 2000/01 to 2001/02. All projects required for
October 2001 would be completed on time. The costs of other projects had risen, partly due
to increases on the original budgeted figures, partly to more refined specifications and partly
to building costs inflation.
Council was asked to approve a considerable schedule of projects recommended by Finance
Committee and subsequently by Budget Sub-Committee in the light of the HEFCE Science
Research Investment Fund (SRIF) indicative allocation. The major items were:

Networks Centre Building: this would serve the expansion of research in the Departments
of Electronic Systems Engineering, Computer Science and Psychology and was critical to
the University’s medium term objectives. A bid would be made to the HEFCE SRIF for
75 per cent of the funding;

Students' Union Entertainments refurbishment: this would be by means of a loan to the
Students' Union which had been carefully considered by both Finance Committee and
Development Committee. It was important to improve the Students' Union facilities on
campus for existing students and also to support the University’s plans for growth;

Sports Centre: a number of projects related to the growth of Sports Science and the
improvement of facilities, including the utilities infrastructure in the east of the campus.
109/01
Other projects were also directly related to the University’s plans for growth. The proposals
represented the largest CBP in any one year since the University was built in the 1960s, and
was only possible by making use of the University’s reserves. Finance Committee had
considered how the programme might be continued on the same scale, noting that a further
£12m of projects had already been identified for approval at a later date, and was
recommending reliance on the forecast surpluses of £1.5m per annum, which would allow for
an annual CBP of a little under £2m, rather than continue to draw on reserves.
110/01
During discussion, Council noted that the proposed CBP carried risks in that it was reliant on
continuing surpluses which in turn relied on the University meeting its student number
targets. It was unlikely that the HEFCE would launch any new capital initiatives other than
those designed to meet specific objectives, such as the provisions of the Disability
Discrimination Act. However, the University, along with similar institutions, was lobbying
the HEFCE to recognise the specific problems of campuses built in the 1960s which had been
based on the use of small classrooms and where much of the teaching accommodation was,
therefore, unfit for purpose in a age of higher staff: student ratios. External risk bearing
finance, such as the Private Finance Initiative or public-private partnerships would be
pursued where appropriate, such as with respect to the Research Park. Council noted that the
University would be financially exposed in the event of a global recession, or one that
particularly hit the Far East or Latin America, as it relied on fee income from overseas
students to a considerable extent. It was agreed that Council be provided with information
about the absolute level of reserves as expenditure proceeded.
111/01
Council noted that the proposed CBP reflected the University’s current priorities, that is the
plans for expansion overall and in particular academic areas. It was likely that the
programme would change with circumstances and approval should be seen as a commitment
to an intention rather than to expenditure in a given timescale as such. Reassurances were
112/01
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given that the Estate Management Section would be able to deliver the proposed programme
and it was agreed that progress be kept under review.
113/01
On specific proposals, Council noted that the provision of car parking was still an issue and it
was suggested that the Transport Policy Sub-Committee be resuscitated to consider the
University’s overall policy on matters related to transport. It was noted that the University
was applying for funds from a private Trust for an extension to the Albert Sloman Library to
house Special Collections; the project would only proceed if such funds were forthcoming.
114/01
Finally, Council noted that the proposed projects brought the total capital spend in 2001/02,
including expenditure of £4.4m already approved by Council, to £6.8m.
RESOLVED:
115/01
(i)
that approval be given to the recommendations of Finance Committee and
Budget Sub-Committee for expenditure on the Capital Building Programme
as follows:
116/01
(i)
£4.95m for the Networks Centre Building, comprising £250k in
2001/02, £2.7m in 2002/03 and £2m in 2003/04;
117/01
(ii)
£958,980, by means of a loan, for Phase 1 of the Students' Union
Entertainments refurbishment, comprising £350k in 2000/01 and
£608,980 in 2001/02;
118/01
(iii)
£719,500 for Phase 1 of the Sports Centre extension, comprising
£359,500 in 2000/01 and £360k in 2001/02. This is a revision
upwards from the original figure of £600k, comprising £400k
approved by Council in July 2000 (C.M.206/00) and an increase of
£200k reported to Finance Committee in November 2000
(FC.M.178/00 refers);
119/01
(iv)
£147k for Phase 2 of the Sports Centre extension, comprising £70k
in 2000/01 and £77k in 2001/02;
120/01
(v)
£210k for the Sports Centre laboratory extension, comprising £100k
in 2000/01 and £110k in 2001/02;
121/01
(vi)
£100k for utilities infrastructure, relating to the Sports Centre and
east campus area, in 2001/02 followed by on-going costs of £200k in
2002/03 and £300k in 2003/04;
122/01
(vii)
£600k for Disability Discrimination Act work, comprising £100k in
2001/02, £200k in 2002/03 and £300k in 2003/04;
123/01
(viii)
£120k for conversion of LTB4 and new storage in 2001/02;
124/01
(ix)
£90k for Psychology conversion in 2001/02;
125/01
(x)
£249k for Phase 2 of Multi-media Centre and Lab M in 2001/02;
126/01
(xi)
£500k for catering and teaching/rehearsal facilities at East 15 in
2001/02;
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(ii)
(xii)
£50k for Health Centre extension in 2001/02;
127/01
(xiii)
£35k for Wivenhoe House car park in 2001/02;
128/01
(xiv)
£80k for temporary accommodation for the Students' Union in
2001/02;
129/01
(xv)
£50k for link to University Quays from rail halt in 2002/03.
130/01
that approval be given to the placing of an order with R G Carter in the
adjusted sum of £2,007,047 plus VAT for the construction of Building 2001.
131/01
REPORT AND RECOMMENDATIONS FROM SENATE (UNRESERVED
BUSINESS)
Council considered the report and recommendations (Unreserved Business) from the meeting
of Senate held on 21 March 2001 as set out in paper C/01/18.
132/01
Sub-Dean of the School of Science and Engineering
RESOLVED:
(i)
that the post of Sub-Dean should remain for the 2001/02 academic year;
133/01
(ii)
that the situation should be reviewed at every spring term meeting of the
Board of the School of Science and Engineering and a Sub-Dean elected if
the balance of representation of scientists on University committees meant
that extra representation was required.
134/01
Award of Honorary Fellowships
RESOLVED:
that the University institute the award of Honorary Fellowships with effect
from 2001/02.
135/01
MINUTES OF COMMITTEES
STANDING COMMITTEE
Council considered the Minutes of the meeting of the Standing Committee held on 5
February 2001.
136/01
Membership of Council (CSC.M.4/01)
RESOLVED:
that Lord Newton be appointed as a co-opted member of Council for three
years from 1 August 2001 to 31 July 2004.
137/01
Role of the Secretary to Council (CSC.M.11/01)
RESOLVED:
that the description of the role of the Secretary to Council, as set out in
Appendix A to the Minutes, be approved.
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138/01
Effective Governance: Institutional Strategy (CSC.MM.18-27/01)
RESOLVED:
139/01
(i)
that the University’s Annual Operating Statement be monitored by Standing
Committee and Council;
140/01
(ii)
that there be an annual half-day strategy meeting of Standing Committee at
the start of the planning cycle to discuss the University’s broad, long-term
strategy;
141/01
(iii)
that a Council seminar on the resource allocation process be held in October
2001.
INFORMATION SYSTEMS STRATEGY COMMITTEE
142/01
Council considered the Minutes of the meeting of the Information Systems Strategy
Committee held on 7 February 2001.
Annual Plan and Budget 2001/02 and Forward Look 2002-05
143/01
RESOLVED:
that the Information Systems Strategy Plan and Budget for 2001/02 and
Forward Look for 2002-05, attached as Appendix A to the Minutes, be
approved.
DEVELOPMENT COMMITTEE
144/01
Council received and noted the Minutes of the meeting of the Development Committee held
on 19 February 2001.
EQUAL OPPORTUNITIES STEERING GROUP
145/01
Council received and noted the Minutes of the meeting of the Equal Opportunities Steering
Group held on 21 February 2001.
AUDIT COMMITTEE
146/01
Council received and noted the Minutes of the meeting of the Audit Committee held on 27
February 2001.
ARTS COMMITTEE
147/01
Council received and noted the Minutes of the meeting of the Arts Committee held on 6
March 2001.
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FINANCE COMMITTEE (SECTION A: UNRESERVED BUSINESS)
Council considered the Minutes of the meeting of the Finance Committee (Section A:
Unreserved Business) held on 19 March 2001.
148/01
Tuition Fees 2001/02 (FC.MM.23-25/01)
RESOLVED:
that the proposed level of fees, as set out in the paper attached to the
Minutes, be approved.
149/01
AMENDMENTS TO ORDINANCES
Council considered paper C/01/12, setting out proposed amendments to Ordinance 6 and
Ordinance 15.
150/01
RESOLVED:
(i)
that the proposed amendments to Ordinance 6: Schools of Study,
Departments and Centres, as set out in paper C/01/12, be approved with
immediate effect;
151/01
(ii)
that the proposed amendments to Ordinance 15: Appointment of the
Registrar and Secretary, as set out in paper C/01/12, be approved with
immediate effect.
152/01
REPORT OF CHAIR’S ACTION
Council received paper C/01/19 and endorsed the actions taken by the Chair since the last
meeting of Council in January 2001.
153/01
Appointment of Students' Union Returning Officer
RESOLVED:
that Bill Freeman, NUS Regional Officer for East Anglia, be appointed as
Students' Union Returning Officer in place of Matthew Mills, for the
Students' Union elections for 2000/01 (C.M.337/00 refers).
154/01
Award of Honorary Degrees
RESOLVED:
that approval be given to the nomination of Sir Nicholas Serota, Director of
the Tate Gallery, for the award of an Honorary Degree at the degree
congregation in April 2002.
Appointment of Directors in Institute for Social and Economic Research
RESOLVED:
(i)
that Professor Nicholas Buck be appointed as Director of the UK
Longitudinal Research Centre within the Institute for Social and Economic
Research;
155/01
(ii)
that Professor John Ermisch be appointed as Director of the Research Centre
for Micro-Social Change within the Institute for Social and Economic
Research.
156/01
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CALL FOR NOMINATIONS
157/01
Council considered paper C/01/20 , inviting members of Council to make nominations for
membership of Council, membership of Court and the award of Honorary Degrees. It was
noted that nominations were to be sent to the Council and Court Officer by Friday 6 July
2001.
158/01
The Vice-Chancellor drew Council’s attention to the importance of nominating new lay
members of Council, bearing in mind that current expertise was light in the areas of
education, health and the social services and regional development, and that there was a
gender imbalance on Council.
DATE OF NEXT MEETING
159/01
The next meeting of Council will be held on Monday 2 July 2001 at 2.15 p.m.
10