Tulsa World: ORU crisis a financial lesson

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ORU crisis a financial lesson

PROVOST
Roger Blais: Thepublic votes itsapproval of TU byuniversityattendance, hesays.

By APRIL MARCISZEWSKI World Staff Writer
Published: 3/10/2008 1:14 AM
Last Modified: 8/18/2008 11:49 AM

Complete Coverage: Read the latest ORU stories, view the lawsuit and other documents and watch slide shows and video.

The recent leadership and responsibility changes at Oral Roberts University have made college administrators take a look at their own schools' financial and administrative accountability, several officials said.

Their conclusions? Private colleges in Oklahoma are doing just fine.

However, public accountability for private colleges falls short of the accountability required of public colleges, which rely on tax revenue and are subject to open-records and open-meetings laws.

Private colleges, as tax-exempt organizations, file public records with the Internal Revenue Service each year, reporting basic financial information. Some voluntarily provide information about revenue, expenses and projects to their donors and other constituents.

University of Tulsa Provost Roger Blais said TU is accountable to the public in this way: "We exist in a marketplace, and if we don't have a mission that the public wants, and we don't provide the services -- they can vote by simply not coming."

The turmoil at ORU that started last fall caused Oklahoma Christian University President Mike E. O'Neal and other college

leaders to think about their own practices and procedures, they said.

In October, three former professors sued ORU, starting a chain of events that resulted in President Richard Roberts resigning and businessman Mart Green and his family donating $70 million to the school. The Green family is requiring ORU to adopt shared governance, in which faculty, administrators and the governing board have defined spheres of responsibility.

Blais described ORU's experience as a "growing pain" as it transitions from the leadership of its founding family. Other private Oklahoma colleges are older and have bypassed or already experienced that stage.

The experiences of going through several presidents, financial officers and board leaders help a college identify its strengths and weaknesses, said the Rev. Rob Duncan, president of Bacone College.

Although Bacone leaders took a look at their college when ORU started going through change, "We didn't feel like there were any changes required."

Duncan said he keeps his door open to employees and students once a week, and he meets with employees and students after every board meeting to spread the word about board decisions.

"We're trying to be as transparent as we can," he said.

When O'Neal became president of Oklahoma Christian in 2002, he made sure to put accountability measures in place "because I acknowledge all of us are human beings who can make mistakes."

Leaders need people who will challenge their thinking and decisions, he said.

"Even though our motives may be right, our judgment can be wrong -- our prejudices can undermine a good decision," O'Neal said. Also, "I don't think any of us are immune from the impact of power and influence on ego and decision-making."

The Green family is requiring ORU to join the Evangelical Council for Financial Accountability. John Brown University in Siloam Springs, Ark., was one of 150 charter members when the council was formed in 1979, said John Brown Vice President for Finance and Administration Patricia R. Gustavson.

"JBU values the high standards that are set by ECFA and maintained by its members. We are dependent on the gifts of donors for endowment funds, capital projects and for ongoing operations, and we believe that our continuous ECFA membership in good standing is tantamount to a 'Good Housekeeping Seal of Approval' in our donors' eyes," Gustavson wrote in an e-mail.

Marty O'Gwynn, associate vice president for university communications at Oklahoma Baptist University, said OBU was founded by Oklahoma's Baptist convention and continues to receive money from the group, so the university feels a strong responsibility to the convention "to be good stewards of the fiscal resources we have."

Bacone similarly reports to its denomination, the American Baptist Churches, at regional and national levels, Duncan said.

Several years ago, OBU expected to have a $1.5 million revenue shortfall, O'Gwynn said.

The university treated that "fiscal crisis" in a public manner, he said. That transparency helped OBU's relationships with donors, he said.

The university ended up with a balanced budget, and now, the Baptist convention and donors know they have a clear picture of OBU's finances, he said.

April Marciszewski 581-8475
april.marciszewski@tulsaworld.com

By APRIL MARCISZEWSKI World Staff Writer

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	Report Comment 77oru, mpls (3/10/2008 6:03:30 AM) The mess at ORU turned out to be a blessing in disguise. its best days are ahead. Now let the craziness of this blog continue.
	Report Comment Lawrence, Tulsa (3/10/2008 8:02:05 AM) that's an awful arogant attitude by that TU provost
	Report Comment ORU Observer, (3/10/2008 8:39:02 AM) Private schools sell a product, their "education." Yes, people do vote on whether they want to buy it, by deciding to attend or not attend that institution. TU's Provost made an accurate statement. Schools that treat their students as "customers", get it! Education is a business.
	Report Comment They're All Ducking, (3/10/2008 10:08:56 AM) Every single college & university president that has heard about ORU's situation is ducking, believe me. There isn't a one of them that wants the public to know what their actual expenditures are, especially on their housing, parties, travel, etc. People don't talk because they will lose their jobs. The Roberts are not unique on this. Actually, their housing repairs are nothing compared to many university presidents' homes costs. Also, the liquor bills of other presidents' social affairs are outragious. The public would be outraged.
	Report Comment They're All Ducking, (3/10/2008 10:09:56 AM) I forgot to mention that this was a good article.
	Report Comment George, (3/10/2008 11:31:39 AM) Oh brother. Here we go with another article that will generate 2000 postings and become a subculture all by itself.
	Report Comment #4 is right, anywhere usa (3/10/2008 11:37:50 AM) You're not kidding. RR is not the only one who thinks of a university as his personal playground.
	Report Comment That's Ducky!, (3/10/2008 12:46:23 PM) #3. A profitable business just like the Hour of Healing. Let me get this straight, God confirms His word with healings when we send Richard our money? As a point of contact no less.
	Report Comment John, ba (3/10/2008 3:01:02 PM) FDF, GAIL, CHECK IT OUT, PELAGIUS, Thanks for your inquiry about Annie. She and I both appreciate it. She is still in the hospital and recovering ok. She wanted to write this but they took her laptop away. Thanks.
	Report Comment John, (3/10/2008 3:18:26 PM) Richard Roberts is a scam artist and his only concern was the use of the students money for his luxurious lifestyle.
	Report Comment John and Annie, Broken Arrow, Ok (3/10/2008 4:21:46 PM) #TEN POST is not John of BA . I will post as John and Annie to make sure you regular poster know who we are. Thanks you.
	Report Comment Fifty Dollar Fine, (3/10/2008 4:37:50 PM) #11 - "Now let the craziness of this blog continue." Pay dirt! 5 sips on the first post...this is not a "blog".
	Report Comment Fifty Dollar Fine, (3/10/2008 4:42:15 PM) Great article, April! Shows the accountability practices of other private colleges, which while not bound by the same transparency/accountability rules as taxpayer funded institutions, still incorporate those practices into their operations. "We're trying to be as transparent as we can," he said." Of course they are. They are not a cult like ORU. Cults, by design, are closed, obfuscating groups, which cry religious persecution when told they must be accountable for their behavior.
	Report Comment Fifty Dollar Fine, (3/10/2008 4:44:56 PM) #9 John/Annie - "She is still in the hospital and recovering ok. She wanted to write this but they took her laptop away. Thanks." Man, now THAT is a bitter pill. No laptop? I think I would self-destruct. Glad she's doing better.
	Report Comment Yawn....Yawn....Tea Time, (3/10/2008 5:24:15 PM) 13. 3/10/2008 4:42:15 PM, Fifty Dollar Fine, Of course they are. They are not a cult like ORU. Cults, by design, are closed, obfuscating groups, which cry religious persecution when told they must be accountable for their behavior. Please don't take over this new comment board with your nutty propaganda against born again Christians. Nobody believes anything that you have to say.
	Report Comment Gail, Tulsa, Ok (3/10/2008 5:24:36 PM) To: John and Annie: Not good to take away the laptop! Tell Annie I am praying for her. I am with FDF, take my laptop and iPhone and I self-destruct! Let us know how she continues to progress. It is important to do as Physical Therapist tell her to do even though it hurts. In the long run she will be bettor off.
	Report Comment Kilton Holmes, Poynette, WI (3/10/2008 5:30:25 PM) The article is a good follow-up. I think it just proves the point that ORU has the same issues other Universities have.
	Report Comment Gail, Tulsa, Ok (3/10/2008 5:30:42 PM) bettor=better
	Report Comment Deborah, Tulsa, Ok (3/10/2008 5:32:13 PM) To: Yawn....Yawn....Tea Time: Speak for yourself. You are not my voice or anyone elses. I enjoying reading FDF posts and agree with some of it.
	Report Comment Gail, Tulsa, Ok (3/10/2008 5:33:35 PM) To: Yawn....Yawn...Tea Time: I am with Deborah.....speak for yourself. I enjoy FDF posts and many others. Just b/c she does not agree with you does not mean she has a valid point.
	Report Comment Gail, Tulsa, Ok (3/10/2008 5:35:11 PM) Correction: Just b/c she does not agree with you does not mean she does not have a valid point. Sorry about that FDF.........my phone was ringing and trying to do 2 things at once.
	Report Comment To Gail, Tulsa (3/10/2008 5:38:19 PM) Gail, I need your opinion. if one is anemic, what are the best b vitamins to take.
	Report Comment Fifty Dollar Fine, (3/10/2008 6:01:03 PM) #17 Kliton Holmes - "The article is a good follow-up. I think it just proves the point that ORU has the same issues other Universities have." Sure it is, except other universities don't snap into cult mentality, screaming "touch not mine annointed" or "attack of the devil!!" and going on national television day after day begging for more money.
	Report Comment Gail, Tulsa, Ok (3/10/2008 6:14:01 PM) Anemia question: There are different types of anemia and causations. You need to know the type of anemia and cause...this is vital. B/c you ask regarding Vitamin B, there are vitamin deficiency anemias. Pernicious anemia is one of them and treated with often lifetime B-12 injections. Folic acid deficiency is treated with Folic acid which is a B Vitamin. So as you can see it is vital you know what kind of anemia and the cause to properly treat it. Get with you physician and determine all of that. If you take B-Complex you will get B-12 and Folic Acid, but it may not be sufficient and you need addtional if you have the aforementioned types. B Vitamins are water soluable; therefore, what your body does not need is thrown off in your urine. For best absorption take the sublingual (under the tongue) you can get without a prescription from the pharmacist at Walgreens.
	Report Comment To Gail, Tulsa (3/10/2008 6:35:24 PM) Thanks Gail....I will copy what you said and check my last blood test....also before I have the next test, I will ask the doctor about the type. Again, thank you.

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