Board of Regents

Finance Committee Minutes - March 2011

MINUTES
BUSINESS, FINANCE AND AUDIT COMMITTEE MEETING MARCH 10, 2011
THE PYLE CENTER, 702 LANGDON STREET, MADISON, WI

Chair Brent Smith called the meeting of the Business, Finance, and Audit Committee to order at 9:04 a.m. in Room 320 of the Pyle Center. Regents Brent Smith, Michael Falbo, David Walsh, Aaron Wingad, and Betty Womack were present.

I.2.a. Approval of contract between UW-Madison and AstraZeneca Pharmaceuticals, LP.  The contractual agreement covers data analysis services related to Phase 3 clinical trials and pays UW-Madison an estimated total amount of $1,205,118 over five years.  This research will be conducted by the Department of Biostatistics and Medical Informatics under the direction of Dr. Marian Fisher. The Committee had no comments or questions.

Upon the motion of Regent Falbo and the second of Regent Wingad, the Committee unanimously approved Resolution I.2.a.

[Resolution I.2.a.]

That, upon the recommendation of the Chancellor of the University of Wisconsin- Madison and the President of the University of Wisconsin System, the Board of Regents approves the contractual agreement between the University of Wisconsin-Madison and AstraZeneca Pharmaceuticals, LP.

I.2.b. Approval of contract between UW-Madison and Stratatech, Inc. The second item was an assessment of a contractual agreement between UW-Madison and Stratatech, Inc. for potential conflict of interest, in accordance with Wis. Stat. § 946.13. The statute requires that where a contract between a research company and the UW System exceeds $250,000 over a 24-month period the Board must review it for potential prohibited conflicts of interest.  General Counsel Tom Stafford explained that this assessment was previously done by the Department of Justice until a recent amendment to the compliance process. As a result of a statutory change, the Board of Regents has been given the review authority previously performed by the Attorney General. The University of Wisconsin General Counsel has reviewed the contract and found that any potential conflicts of interest are managed appropriately in the contract.

Regent Falbo asked if we check on the financial stability of the companies with which we contract. Bob Andresen, Assistant Director in the UW-Madison Office of Research and Sponsored Programs, replied that especially with start-up companies, we are limited in what we can find, but safeguards are in place, such as payment monitoring.  On federal awards, there are audit requirements and a review of financial statements is required.

Upon the motion of Regent Wingad and the second of Regent Walsh, the Committee unanimously approved Resolution I.2.b.

[Resolution I.2.b.]

That, upon the recommendation of the University of Wisconsin System Administration, the Board of Regents finds that potential conflicts of interest within the proposed contract are managed appropriately such that the contractual relationship does not violate Wis. Stat. § 946.13.

 The meeting adjourned at 9:11 a.m.

Respectfully submitted,
Kate Wodyn, Recording Secretary