Section 3: Comprehensive Standards

3.2.13 Any institution-related foundation not controlled by the institution has a contractual or other formal agreement that (a) accurately describes the relationship between the institution and the foundation, and (b) describes any liability associated with that relationship. In all cases, the institution ensures that the relationship is consistent with its mission.

Judgment of Compliance:
Compliance

Narrative/Justification for Judgment of Compliance:
Christopher Newport University is in compliance with this comprehensive standard.

University financial responsibilities are specified in Commonwealth of Virginia statutes. Code of Virginia 23-44 prescribes the following with respect to the boards of Virginia colleges and universities, including Christopher Newport University, “The board shall control and expend the funds of the colleges and any appropriation hereafter provided, and shall make all needful rules and regulations concerning the colleges, and generally direct the affairs of the colleges.”

The By-laws, Board of Visitors, Christopher Newport University, Article IX, Section 2.b. describes the delegation of responsibility from the Board of Visitors to the President, “The President shall have responsibility for the operation of the University in conformity with the purposes and policies determined by the board.”

Board of Visitors Resolution 3, dated July 28, 1993 resolved that the Rector and Visitors enter into an agreement with the Foundation making the Foundation the principal fund-raising body of the University. On March 15, 1994 a Memorandum of Understanding was signed by the University and the Foundation that set forth certain terms and conditions of the relationship between the parties. The agreement states that the University’s President and Vice President for Advancement shall serve on the Executive Committee of the Foundation and that all activities shall be conducted in accordance with policies set forth by the President and Advancement Office of the University.

This agreement further describes in detail that the Commonwealth of Virginia and the University are not liable for any Foundation contracts, torts or other acts or omissions of its trustees, officers, staff or activity participants. The Foundation also agrees to indemnify and hold the University harmless from any claims, suits or demands made upon the University, arising out of any activity, act, or failure to act, whether in contract or in tort, by the Foundation, its Trustees, officers, staff or activity participants. In addition, the University shall have no obligation to provide insurance coverage or legal defense for the Foundation or other parties noted above.

Support Documentation:
Code of Virginia, Section 23-44
Christopher Newport University, Board of Visitors, By-laws
Christopher Newport University, Board of Visitors Resolution 3, dated July 28, 1993
Memorandum of Understanding between Christopher Newport University and Christopher Newport University Educational Foundation, Inc. dated March 15, 1994
By-laws, Christopher Newport University Educational Foundation, Inc.
By-laws, Christopher Newport University Real Estate Foundation, Inc.

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