The UCA board of trustees voted unanimously to buy out Allen Meadors’ presidential contract late Friday afternoon after it was revealed that Meadors failed to reveal the terms of a $700,000 “gift” from Aramark to be put toward renovations on the President’s House.
Tom Courtway, general counsel, was named interim president.
The board announced Meadors’ resignation after two emergency board of trustees meetings were called last week regarding the Aramark proposal. The first of the meetings, which was Thursday afternoon, included a Meadors apology for not disclosing the full terms of the donation, which would require the board to approve a seven-year extension of Aramark’s contract with UCA.
“In my 17 years as college and university president, I have never been as disappointed as I am today,” Meadors said at Thursday’s meeting. “You never want to do something that disappoints those that you respect.”
Meadors was not present at Friday’s board meeting where his resignation was announced, nor did he attend the hour-long executive session the board held Friday to discuss the terms of the buyout.
The board was informed of Aramark’s donation at an Aug. 26 regular meeting; however, Meadors and board chair Scott Roussel did not reveal the contractual stipulation to the rest of the board. After the announcement, the board approved using private funds to hire an architect to create preliminary drawings of renovations on the President’s House.
The board rescinded the motion to hire an architect at Thursday’s meeting and also approved that a committee be formed to investigate all parties involved in the Aramark deal with recorded interviews taken under oath. The committee is to be chaired by Trustee Bobby Reynolds and consist of Courtway, SGA President Austin Hall, Faculty Senate President Janet Wilson and Staff Senate President Dianna Winters.
Roussel said that he wasn’t sure of the status of the committee and that Reynolds has the decision to continue or disband the committee.
The board will consider the Aramark extension when it reconsiders the food services contract in the spring and will not consider the donation until then.
Trustee and UCA lecturer Rush Harding III said Friday that he wasn’t sure if the Aramark offer would still be considered.
Harding said Thursday that such business deals aren’t uncommon and that he didn’t understand why the terms of the donation weren’t presented to the board at the Aug. 26 meeting. Most members of the board said they weren’t aware of the terms until Tuesday, Aug. 30, after the letter was released under an Arkansas Freedom of Information Act request to Arkansas Democrat-Gazette reporter Debra-Hale Shelton.
“It’s such a common, simple practice,” Harding said. “That’s why I’m flabbergasted.”
Meadors said at Thursday’s meeting that he wanted to move out of the President’s House; however, the board also rescinded its motion approved Aug. 26 to pay Meadors a housing stipend of $1,500 a month using state money so that he and his wife, Barbara, could relocate while the President’s House was renovated. Meadors has lived in a UCA-owned guest house east of the President’s House since March while work was done on the President’s House.
Harding said Aug. 26 that he would be responsible for raising any private funds needed in excess of the stipend.
“With the information we have, I think [Meadors’ resignation] was the best thing that could have happened,” Trustee Victor Green said
“I firmly believe [Meadors’ resignation] was more than anything [because of] what has happened over the course of the past couple of days” regarding the Aramark proposal, he said.
Green was one of member of the angry board who showed his discontent at the situation during Thursday’s meeting.
“I think it’s very important that we are as transparent as possible,” Green said. “In this case, it didn’t happen.”
Meadors discussed with Roussel in private after Thursday’s meeting that he was going to submit his resignation.
The university will continue to pay Meadors’ annual salary of $225,325 through June 30 using public funds. From July 1, 2012. until December 31, 2013, his salary will continue through private funds, which must be raised. His insurance will continue through June 30, 2012. After Meadors’ sick and annual leave is exhausted, the remainder of his payments through June 30, 2012, will be used to purchase his tenure.
The university also will pay the duration of the contract for a storage unit in which the Meadorses’ belongings and furniture are stored. Meadors will be responsible for shipping.
“This does not affect this year’s fiscal budget one iota,” Harding said.
Meadors will continue to hold his office until Tuesday morning, when Courtway will resume the position.
Meadors has until Oct. 1 to vacate the President’s House, which is also when his car allowance will expire. His parents have 90 days to vacate the UCA-owned home being provided for them, and Meadors will be responsible for their monthly rent.
Courtway said he will not take a raise or a car allowance for his change in position and will use university transportation only under work-related circumstances. He also said he will not be in contention for a permanent position as UCA president.
“I’m pleased to serve as interim president,” Courtway said. “That’s my role.”
This is the second time Courtway has been interim president. He served as interim president for almost a year after former president Lu Hardin’s resignation in 2008 until Meadors  was hired on June 11, 2009. Hardin is to be sentenced Monday, Sept. 26, after pleading guilty to federal corruption charges.
“We have a great university. We have great teachers. We have great staff,” Courtway said. “We’re fine.”