The Secretary of the Corporation serves as the Corporation's Recording Officer and as joint signatory with the President in the awarding of academic degrees. The Office of the Secretary of the Corporation is responsible primarily for providing support to the Institute's governing board and to 26 Corporation visiting committees.
CORPORATION MEETINGS
On October 3, 1996, an orientation program was held for new members of the Corporation. In the evening, new members and their spouses and guests were joined by the Executive and Membership Committees for a reception and dinner.
At the annual meeting on October 4, 1996, new members were introduced, and a report was made on the search for a new Chair of the Corporation. The Corporation approved the action of the President in the awarding of September degrees, and voted to approve the list of nominated members of the visiting committees. Louis W. Cabot transferred to the status of Life Member Emeritus. The report of the President included presentations by Professor Robert A. Brow, Dean of Engineering, and Professor Glen L. Urban, Dean of the Sloan School of Management. Members also heard reports from the Treasurer, the Vice President for Resource Development, and from the chairs of the Auditing Committee, Membership Committee, Salary Subcommittee of the Executive Committee, and five visiting committees.
On December 6, 1996, the Corporation approved the nomination of Alexander V. d'Arbeloff as Chair of the Corporation, effective July 1, 1997. The Corporation also approved a new Master's degree program in Geosystems in the School of Science, and voted to send a resolution of thanks to Institute Professor John M. Deutch for his national service. Members heard reports from the President, the Provost, and the chairs of the Community Service Fund, Membership Committee, and four visiting committees.
On March 7, 1997, the Corporation approved the action of the President in the awarding of February degrees. Professor Philip S. Khoury, Dean of Humanities and Social Science, and Professor Robert J. Birgeneau, Dean of Science, made presentations as part of the report of the President. Additional reports were presented by the Vice President for Resource Development and the chairs of the Corporation Joint Advisory Committee on institute-Wide Affairs, Membership Committee, Screening Committee, and three visiting committees.
The final quarterly meeting of the academic year was held on June 6, 1997, prior to Commencement exercises, at which the speaker was The Honorable Kofi A. Annan, Secretary-General of the United Nations. The Corporation approved the action of the President in the awarding of June degrees, and approved the establishment of a new Master of Engineering degree in Logistics. The Corporation elected new Corporation members, members of the standing committees and committees of annual recurrence, chairs of the visiting committees, and approved nominations for membership on the Corporation Development Committee. Resolutions were read to honor eight members completing their terms of service on the Corporation, and a resolution presented by former President and Chairman of the Corporation Howard W. Johnson honored outgoing Chairman Paul E. Gray. Christian J. Matthew transferred to the status of Life Member Emeritus. Retiring Chair of the Faculty Lawrence S. Bacow addressed the membership, and members also heard reports from the President and the chairs of the Membership Committee, Screening Committee, and three visiting committees. Corporation members participated in the academic procession to Killian Court for Commencement exercises, with Christian J. Matthew servicing as Corporation Marshal.
CORPORATION MEMBERSHIP
Completed Service Effective June 30, 1997: Pedro Aspe, Gerald J. Burnett, Alan B. Davidson, Robert S. Horton, Nannerl O. Keohane, William B. Lenoir, Robert M. Metcalfe, and Romano Prodi.
Leave of Absence: Shirley A. Jackson, Life Member, leave of absence for government service continued.
Elected to a Five-Year Term Effective July 1, 1997: Gregory K. Arenson, Norman E. Gaut, Osie V. Combs, Jr., Lissa A. Martinez, DuWayne J. Perterson, Jr., Gerhard H. Schulmeyer, Elisabeth A. Stock, Susan E. Whitehead, and Robert E. Wilhelm.
Elected Life Member Effective July 1, 1997: Paul E. Gray, George N. Hatsopoulos.
Ex officio Member for One-Year Term Effective July 1, 1997: Robert M. Metcalfe, 1997-98 President of the Association of Alumni and Alumnae of MIT.
Transferred to Life Member Emeritus: Louis W. Cabot (October 1997), Christian J. Matthew (June 1997).
CORPORATION COMMITTEES
D. Reid Weedon, Jr., continued as Chair of the Advisory Committe on Shareholder Responsibility, with Vice President for Finance and Treasurer Glenn P. Strehle serving as an ex officio member. The committee membership included Senior Vice President William R. Dickson as well as faculty and students. Elizabeth T. Harding provided staff support.
The committee met once on April 14, 1997, and conducted two telephone polls. Members voted on 17 resolutions submitted to ten companies whose stocks are held by MIT in its general investments. Issues were spread over a spectrum of topics with the focus mainly on the environment and human rights abroad. Compared to 1996, the number of resolutions increased by three, and the number of companies involved increased by four.
Auditing Committee Meetings were held on October 3, 1996, and on March 6, 1997. Attendees at the meetings included Auditing Committee members; representatives from Coopers & Lybrand, MIT's independent public accountants; and MIT Audit Division and Finance personnel and other invited members of the MIT administration.
Financial statements for fiscal year 1996 and changes therein mandated by the Financial Accounting Standards Board were discussed at the fall meeting. At the spring meeting, the MIT Audit Division reviewed its prior year activities and its plans for audits for the current year; Coopers & Lybrand presented its audit plan for fiscal year 1997; the committee discussed the implications of currently marking to market the portfolio of marketable securities held in endowment and other funds and the reflection of pledges as current income, subject to reserves in reporting MIT's current operations. The committee was apprised of the conclusion of the IRS audit dealing with research and teaching assistants, and discussed the ongoing implementation and expansion of the new SAP financial system.
During the academic year 1996-97, the Corporation Joint Advisory Committe on Institute-Wide Affairs (CJAC) held three meetings. In October, Professor Robert J. Silbey discussed the work of the presidential Task Force on Student Life and Learning. Additional student guests were invited to the December meeting, which featured a roundtable discussion centering on issues of diversity, student/faculty relationships, academics and residential life, and extracurricular activities. The meeting in March brought together approximately 30 students and members of the Corporation for lively conversation in an informal supper setting. CJAC will continue to foster interaction among students, faculty, and Corporation members in the year ahead.
The Development Committee is covered in the annual report of the Vice President for Finance and Treasurer.
During the past year the Executive Committee held nine meetings, during which it considered such matters as financial planning and budgeting, management of the endowment, results of the retirement incentive program, relations with government and industry, reengineering activities, progress on the new financial management system, changes in the senior administration and in the chairmanship of the corporation, affirmative action and diversity, and new directions in education and research.
The Investment Committee held three regularly scheduled meetings during fiscal year 1997. The Wellington Management Company of Boston remained the primary investment manager and advisor for publicly traded securities, both domestic and international. The Institute continued the program, managed by four other investment management firms, of equity investments in smaller capitalization companies. The program for domestic and international alternative investments to publicly traded securities has been expanded. These alternative investments -including venture capital, private capital, real estate, event arbitrage, and distressed debt - are typically managed by several investment managers through pooled investment funds.
The Membership Committee held three meetings during the academic year to discuss and make recommendations concerning membership on the Corporation and on the various Corporation standing committees and committees of annual recurrence.
The Corporation Screening Committee for Nomination of Recent Graduates held an open meeting for students on October 3, 1996. Two teleconferences and two committee meetings were held in January and February 1997. The committee selected nine nominees from a group of 73 candidates for the ballot. Elisabeth A. Stock `90 received the nomination and was elected to serve a five-year term on the corporation.
Fourteen visiting committees convened during the academic year 1996-97: Aeronautics and Astronautics; Biology; Brain and Cognitive Sciences; Chemical Engineering; Chemistry; Civil and Environmental Engineering; Economics; Electrical Engineering and Computer Science; Humanities; Libraries; Music and Theater Arts; Ocean Engineering; Political Science; and Undergraduate Education and Student Affairs.
In 1996-97 the Institute's 26 visiting committees were comprised of 393 persons and 485 membership positions; 65 Corporation members filled 150 slots; 177 presidential nominees filled 183 slots; 151 alumni nominees filled 152 slots. (Two people each filled both a presidential nominee slot and an alumni nominee slot.)
Women comprised 20 percent of the visiting committee membership, and minorities 14 percent; 68 percent of the members were affiliated with corporations; 26 percent with academia, 3 percent with government, and 3 percent with foundations.
PERSONNEL CHANGES
Jennifer N. Carroll left MIT in August 1996 to attend graduate school. Guillet Rivera joined the Corporation Office in mid-August 1996. Rachel S. Rowe departed in January 1997 to travel and subsequently attend graduate school. Karen S. Chini came into the office in April 1997, and Ms. Rivera was promoted to Administrative Assistant in June 1997.
Kathryn A. Willmore
MIT Reports to the President 1996-97