Agenda Item

Discussion and Notes

Action and Follow-up

Responsible Parties

1. Open Meeting Act

Dr. Robert McCaffree announced that the requirements of the Open Meeting Act, including the filing of the meeting and posting of the agenda had been met.

2. Call to Order and Opening Remarks

Dr. Robert McCaffree called the meeting to order.

3. Approval of Minutes of the March 3 and 4, 2006 Regular Board Meeting

Minutes for March 3 and 4, 2006 were approved as written.

Motion to approve made by Dr. Cooper and seconded by Dr. Foster. Motion passed unanimously.  Bill Lissau was not present for the vote.

Dorothy Antwine

4a.  Director¿s Report ¿ SB 1091 Update

Tracey Strader reported that SB 1091 had passed the House Appropriations and Budget Committee. Senators Morgan and Coffee are the authors in the Senate and Representatives Winchester and Askins are authors in the House.

4c.  Board of Investors Update

James Wilbanks, Director of Revenue & Fiscal Policy, State Treasurer¿s Office explained that the Treasurer was working with staff to review the current investment policies in order to reduce investment management expenses and increase earnings for the Board of Directors.  As a result, the Board of Investors is moving from an active manager in the large cap growth fund to investing in an index fund. This would significantly reduce the management fees and would yield the same or better results.
This change is expected this to result in an additional $250,000 for the Board of Directors in the first year. Based on staff research they believe they can construct a tobacco-free index fund without a hardship on the fund.

The board asked Mr. Wilbanks to prepare a spreadsheet reflecting the fund growth and program spending, comparing the current investment and spending policies with the investment and spending policy that might have existed if SQ 692 had passed.
Tracey Strader and Dr. McCaffree will follow-up with the Treasurer.

James Wilbanks

Tracey Strader and Dr. McCaffree

Mr. Wilbanks indicated that the fund size was currently $260 million and was expected to top $300 million with the next payment by the tobacco companies April 17, 2006. Approximately $6 million in earnings may be certified in August.

The board engaged in a discussion of the spending policy and explored the need to pursue another vote of the people to restructure the spending policy.

4d.  Waiver of Immunity Update

Tracey Strader reported that Joann Stevenson was working on the language for the Waiver of Immunity.

Ms. Stevenson will have a new draft by the May board meeting.

Joann Stevenson

4e.  Certification of Non-Acceptance of Tobacco Funds Update

Tracey Strader reported that she was able to speak with Charlie Babb, attorney with the Higher Regents about the TSET Certification of Non-acceptance of Tobacco Funds. Mr. Babb recommended that ¿principal investigator¿ be added to the final certification statement, but otherwise he felt that there would be no problems for the universities in allowing the principal investigator to sign the certification.

The revised certification will be presented at the May board meeting.

Tracey Strader

4f.  Research Study Group Update

Tracey Strader reported that she was working with several individuals on getting commitments, and would work on setting a date for the Research Study Group.  Mike Cawley with the Noble Foundation is willing to facilitate this meeting.  Michael Anderson with the Presbyterian Health Foundation, Steve Schroeder with the University of California in San Francisco, and Ann Gauthier with the Commonwealth Fund have committed.

The National Cancer Institute to see invite an appropriate representative.

A date, time and location will also be determined.

Tracey Strader

4g.Update on CDC Activities

Doug Matheny reported that the CDC¿s Office on Smoking and Health recommended Oklahoma to the CDC¿s Coordinating Center for Environmental Health and Injury Prevention for a possible personal site visit by First Lady Laura Bush. Oklahoma was identified as a local success story related to youth prevention for integrating and linking the SWAT program with the Communities of Excellence program and for effectively coordinating the use of state, federal, and Master Settlement Agreement funds.  

5.  Program Committee Update ¿ Proposed Executive Session

Program committee discussion and recommendation for funding of proposals for the Addressing Specific Populations in Tobacco Control grant initiative (RFP #0920000002), as authorized by the Open Meeting Act.-25 O.S. ¿ 307(7) and 51 O.S. ¿ 24A.10(1) and as authorized by Purchasing Director Authority/Limited Disclosure 580:15-2-7(d).

Susan Biz¿ made a motion to move into Executive Session to discuss the ¿Addressing Tobacco in Specific Populations¿ grant proposals. Casey Killblane seconded the motion, and the motion passed unanimously. Bill Lissau was not present for the vote.

Casey Killblane made a motion to move out of Executive Session. Dr. Cooper seconded the motion and the motion passed unanimously. Bill Lissau was not present for the vote.

Susan Biz¿, on behalf of the Program Committee, made a motion that the board approve staff to negotiate with the selected applicants identified in Executive Session and to fund each up to $100,000 per year for up to five years if the negotiations are successful. The motion from the Program Committee did not require a second. The motion passed unanimously. Bill Lissau was not present for the vote.

Jon¿s Mata and Tracey Strader

6.  Agency Operations Committee Report ¿ Proposed Executive Session

Board of Directors to conduct Executive Director¿s Performance Appraisal (As authorized by 25 O.S. ' 307(B) (1)

Dr. Foster made a motion to move into executive session to conduct the evaluation of the executive director. Casey Killblane seconded the motion and the motion passed unanimously. Bill Lissau was not present for the vote.

7.  Vote on Items from Executive Session with Limited Disclosure

Dr. McCaffree stated for the record that the board had conducted a reviewed the Executive Director¿s performance.

Dr. Cooper made a motion to move out of executive session. Dr. Foster seconded the motion and the motion passed unanimously. Bill Lissau was not present for the vote.

8.  Public Comment

Dr. McCaffree asked for public comment.  Wes Glinsmann, Chair of the Oklahoma Alliance on Health or Tobacco provided an update on the tobacco tax issue. He indicated that SB1717 and HB3116 by Senator Fisher and Representative Ron Peterson include a provision that would roll back the tobacco tax from $1.03 to seven cents per pack. This would negatively impact the effect of the price increase on

Youth prevention. The Alliance is working to eliminate that provision of the bills due to the potential for a significant negative public health impact.

9.  Adjournment

Dr. Cooper made a motion to adjourn.  Dr. Foster seconded the motion and the motion passed unanimously.  Bill Lissau was not present for the vote.