AU Trustees Approve Governance Reforms

Changes Sought After Ladner Scandal

The American University board of trustees unanimously approved a host of reforms yesterday aimed at preventing a repeat of the spending scandal that led to the ouster of Benjamin Ladner as president last fall.

The reforms, which emerged after seven months of debate, are intended to ensure a more open and responsible governing of the private university, which came under fire after Ladner's lavish personal and travel expenses were questioned and the board granted him a $3.75 million departure package.

The changes include adding three nonvoting faculty and student members to the board and initiating regular evaluations of board members' performances.

Although some faculty members and students had hoped for more, including a vote on the board, they said yesterday that the trustees are headed in the right direction by seeking viewpoints from many areas.

Trustee Jeffrey A. Sine, who co-chairs the board's governance committee, called the process "a thorough self-examination" and said the board had "listened very hard and very long" to different perspectives.

"We really do feel like we're at a new day for American University," Sine said yesterday at a news conference to announce the changes, contained in a 30-page report. ". . . We also think this is just the beginning. This is a living document, a document we'll all put into practice."

Tom Ingram, president emeritus of the Association of Governing Boards of Universities and Colleges and a consultant to the AU board, said in a statement yesterday that the reforms "go beyond what was probably necessary to begin the healing process at the university and to restore trust and genuine communication."

The university's high-profile troubles prompted Sen. Charles E. Grassley (R-Iowa), chairman of the Senate Finance Committee, to warn trustees in a letter this week that he might propose legislation to change how the school is governed. He gave university officials 10 days to provide new information to the Senate committee.

Board Vice Chairman Thomas A. Gottschalk said yesterday that the board will provide "a very robust response to his questions" and expressed confidence that university officials can satisfy Grassley's demands.

Throughout the unfolding scandal, some students, professors and alumni criticized the board for being secretive. Protesters had called for the resignations of some trustees.

Officials said yesterday, however, that no current board members will go. They also announced the addition of seven new trustees, bringing the board's number to 25.

The new board members are two former college presidents and a former director of the Peace Corps. Four are also alumni. The board also approved a seat on the board for a recent graduate of the university.

Student Government President Ashley Mushnick said yesterday that although she had hoped for a student vote on the board, she applauded the "passionate discussions" that included student input.

Faculty members also sounded a note of optimism. Faculty Senate Chairman Jonathan Loesberg and two other faculty leaders said in a statement that the board's "consultative approach" had strengthened the university and urged trustees to expand on that approach. They declined further comment.

AU deans, who in the past had denounced Ladner while the board squabbled over his fate, yesterday voiced their support for the reforms.

In a statement yesterday, Grassley said including faculty and students on the board could be very positive, but only if their presence is "not just window-dressing."

He also said the board cannot overuse attorney-client privilege as a reason to withhold the documents.

The board will meet June 9 to finalize revisions to the bylaws. Trustees also will begin planning how to conduct the search for a new president, expected to begin in late summer or early fall.