Newsletter  SEPTEMBER 2002 Volume 29.1 Tony Petric, EDITOR

in this issue: President's Report Faculty Handbook Modem Pool Committees 2002/03 New & Retiring Members PDA Tenure & Promotion Early Retirement President's Letter Vision Care Money Matters Housing

 

President's Report
The Year Ahead

Welcome to the 2002/03 academic term, and a very special welcome to our many new members.  It is traditional for the President to comment in the September Newsletter on issues currently before MUFA and also on matters with which MUFA is likely to become involved during the upcoming academic year.
 

Pension and SERPs
With the pension surplus distribution nearing completion, another pension matter needs attention, a Supplemental Employee Retirement Plan (SERP).  The Canada Customs and Revenue Agency (CCRA) has established an upper limit to the pension that can be derived from a registered defined benefit pension plan.  The current limit is such that the McMaster Pension Plan can pay out no more than $1,722.22 times the number of years of pensionable service.  This means that faculty earning in excess of $96,731 face, at retirement, a situation whereby their pensions will not be representative of their pre-retirement income levels.  The CCRA maximum pension limitation has remained essentially unchanged for the past 20 years.  Although there are rumours that the limit will be increased in 2005, past assurances have not materialized.  By paying outside of a registered pension plan, a SERP provides benefits in excess of the maximum pension limits under the Income Tax Act.  A number of universities, with defined benefit plans much like ours, are now providing SERPs as a means to increase the pension beyond the CCRA limit placed on registered plans.  There were preliminary discussions in the Joint Committee during the 2001/02 negotiating sessions about a McMaster SERP.  It quickly became clear, because of the complexities of SERPs, that we would not be able to include the introduction of a SERP for faculty in the agreement being negotiated.  Over the summer, the MUFA Pension Committee has been informing itself about SERPs.  The Administration is interested in exploring a SERP for faculty because they see it as essential for recruitment and retention of faculty.  Thus, I am optimistic that the Joint Committee will continue its exploration of SERPs during 2002/03 even though it is not a negotiation year.
 

Joint Committee
The Administration representatives on the Joint Committee for 2002/03 are Ken Norrie (Provost), Alan Harrison (Dean, Social Sciences), and Mo Elbestawi (Dean, Engineering); the MUFA representatives are myself, Ken Cruikshank (Vice President), and Trevor Chamberlain (Remuneration Chair).  I will be in the Chair since it is MUFA's turn to Chair the Committee.  Karen Belaire (Vice President, Administration) is an Observer and will be available to provide financial and other administrative information to the Committee.  Phyllis DeRosa Koetting is the secretary to the Committee.

The Joint Committee has a number of matters, other than pension, which need attention.  Several of our policies need reevaluation.  For example, the Memorandum of Agreement regarding the Teaching of Day Classes and Teaching in the Twilight (5:30-6:20 pm) Hour specifies that the agreement should be evaluated by the Joint Committee after April 30, 1999, and this evaluation is not yet complete.  Other policies need updating.  For example, The Guidelines for the Implementation of Load Teaching in Part-Time Degree Studies is the only policy statement that addresses Load Teaching, and at the very least the title needs changing since we no longer have Part-Time Degree Studies.

Some departments have been very responsible regarding funds for ergonomic furniture such as office chairs.  In other departments, faculty have been told to use their PDA for the purchase of such  items.   The  Joint  Committee  discussed  this  issue  during  the 2001/02 session, and the Administration agreed that requiring faculty to use their PDA for such items was inappropriate.  A memo to that effect was sent to Deans and Chairs by the then acting Provost, Peter Sutherland.  That memo is reproduced in this newsletter (see below).
 

Enrolment
I was the MUFA Observer on Senate during the 2001/02 session.  Reports on enrolment numbers were made by the Registrar at regular intervals.  I was surprised to discover that Senate was no longer directly involved in setting enrolment targets, and I was disappointed at the absence of meaningful discussions in Senate regarding enrolment issues such as the "double cohort".  I discovered that in December 1996, the University Planning Committee (UPC) recommended that Senate endorse a proposal for An Enrolment Management Team for McMaster.  The enrolment management team reports "directly to the Provost on enrolment matters.  The Provost, in turn, would make the committee's reports available to Senate and the University's Planning Committee".  There are in fact four teams.  Direct representation by faculty, either through Senate, Undergraduate Council, or the MUFA Executive, is absent from all Teams.  I think Senate needs to reconsider its decision of 1996 to distance enrolment matters from its deliberations.  Enrolment issues are very much a concern of faculty and directly affect our ability to carry out our responsibilities as teachers.  I know that many faculty are troubled by the large size of the 2002 class and want to be involved in the decision-making about the size of, and academic standards for, the 2003 class.
 

Affiliation Agreements with Hospitals
CAUT recently created a Task Force on Academic Freedom for Faculty in University-Affiliated Health Care Institutions.  This Task Force was established in response to a number of recent high-profile cases where the academic freedom of clinical faculty and researchers had been compromised.  In preparation for the Task Force, CAUT requested copies of the Affiliation Agreements that exist between a university and its affiliated hospitals.  I was surprised to discover that McMaster has two such "agreements", one with the Hamilton Health Sciences Corporation (HHSC) and the other with St. Joseph's Hospital.  The reason for the quotation marks in the previous sentence is that these documents were never approved by either the Senate or the Board, nor were they discussed in the Joint Committee.  They should have been, since they are concerned with appointments and termination (Senate matters) and with terms and conditions of employment (Joint Committee matters).  The HHSC document was signed in December 2000 on behalf of McMaster University by Peter George (President) and William Orovan (Acting Vice-President Health Sciences).  I do not know by whom the St Joseph's document was signed because I have been unable to obtain a copy of it, nor have I been able to ascertain whether either document was even vetted within the Faculty of Health Sciences.

McMaster has a long and successful history upon which to draw for the formulation (and revision) of policy documents concerned with matters relating to appointments, tenure, suspension, and dismissal.  In essence, a small ad hoc committee is established by Senate.  The members of the committee are nominated by the Senate Committee on Appointments (SCA) and by the MUFA Executive.  The ad hoc Committee drafts the policy in question which receives the endorsement of SCA and the MUFA Executive, before being presented to Senate and the Board for approval.  This process (with the inclusion of nominees from the Clinical Faculty Association [CFA]) should have been used for the drafting of the two affiliation documents, but was not.

I did send a copy of the 2000 HHSC document to CAUT and notified them that, in my view, the document was not McMaster policy since it had not received Senate and Board approval.  I met with Peter George in June and again in September to discuss my concerns with him and I urged him to ask Senate to establish an ad hoc committee to review the current documents and set the approval process in motion.  This is not just a matter of process.  The HHSC document is, in places, unclear and does not readily mesh with our Appointments, Tenure, and Promotion Policy.  While I do not want to prejudge the fate of the current affiliation documents, I would wager that they will need to undergo major revision before they obtain Senate approval.
 

Librarians
The professional librarians have been members of MUFA since 1995.  Most of MUFA's efforts on behalf of librarians since that time have been to develop an appropriate procedure for the negotiation of salary and benefits for librarians.  A three-year agreement between the professional librarians and the Administration was signed in June for the period June 16, 2002 to June 15, 2005.  While most policy matters related to salaries and benefits have been resolved, a few issues need attention during the next academic year.

Last year, the University Planning Committee (UPC) struck an ad hoc Committee to Review the University Library and its Relationship to McMaster's Academic Mission.  The rationale and terms of reference for the Committee are available at http://www.mcmaster.ca/ bog/LIBREV.HTM.  The Committee reported to UPC in June.  It is my understanding that the report will be widely circulated and comments and suggestions solicited.  MUFA will most certainly be active in this process.
 

Consultation and Collegiality
The President of MUFA meets with the University President monthly and with the Provost twice a month.  Peter George and I arrived at McMaster at about the same time and we have worked together in various capacities during our many years at McMaster.  I am confident that our collegial interactions will continue during my year as MUFA President.  Our new Provost, Ken Norrie, has placed consultation and collegiality high on his agenda.  I have had a number of informal meetings with him over the summer months.  We have had frank and meaningful discussions on many important issues.  Because Ken arrived in January 2002, he was an Observer on the Joint Committee last year.  I look forward to his active participation this year.

 Lorraine Allan
 MUFA President

Faculty Handbook Updates

Revised pages for the Faculty Handbook, which was first distributed in October 1999, have recently been mailed out to MUFA members and administrative departments.  If you did not receive your package, contact the MUFA Office (ext. 24682; mufa@mcmaster.ca).  If you require another hard copy of the complete Handbook, contact the Bookstore’s Custom CourseWare Department at extension 23356.

The Faculty Handbook is also available on the MUFA web page (www.mcmaster.ca/mufa).
 
 

Modem Pool

Effective July 1, 2002, your modem pool funding was folded into your PDA account, and charges for use of the McMaster Modem Pool are no longer charged to a special modem account.

When you activated your McMaster modem service, you were required to specify a backup account to be used in the event that you overspent your modem account.  Until recently, the major granting councils (NSERC, SSHRC, CIHR/MRC) did not consider modem usage costs as eligible expenses.  Therefore, for most faculty, the backup was their PDA account.  The rules for the three granting councils have changed in recent years.  For all three granting councils, charges incurred for use of the internet from home are now eligible expenses.

If you would like to change the account being used for your modem usage charges, from your PDA to a research account, send an email to helpline@mcmaster.ca, specifying the research account number.
 
 
 

Passages The Faculty Association extends its sympathy to the family and friends of W. Brian Clarke.  Dr. Clarke (Professor Emeritus, Physics & Astronomy) died on September 3, 2002.

 

Commitee Structure
2002/2003

Executive
Committees
MUFA Council

Observers Needed
Required: faculty and librarians who are members of the Faculty Association — yes, RETIREES also qualify — to serve as observers for  appeal and grievance hearings.  The role of the Observer is to report on the adequacy of the procedures, with a view to making recommendations to improve relevant policies, not to comment on the conduct or the judgement of the tribunal.  Hearings usually take place over one or two days.  For more information, send us an e-mail (mufa@mcmaster.ca), give us a call (24682), or drop us a line (HH 103A).

Welcome New Members
(since June 2002)

Richard Arthur Paul Ayers Alison Barclay Christian Baron Margaret Brockett Sarah Brophy David Camfield Sheldon Cardinal Jacques Carette Philippa Carter Alan Chen Ruth Chen Thomas Crossley Reuven Dukas Gary Dumbrill Amanda Etches-Johnson Kevin Eva Robert Fleisig Raja Ghosh Jane Gillett Melinda Gough Gillian Goward Yaser Haddara  Dana Hollander Philippa Holowaty Violetta Igneski Takashi Imai Magdelena Janus Sharon Kaasalainen Kiridarah Kanagaretnam

Philosophy Chemistry Classics Biology Rehabilitation Sci English Labour Studies Indigenous Studies Computer & Software Religious Studies Physics & Astronomy Nursing Economics Psychology Social Work Mills Library CE&B Mechanical Eng Chemical Eng Medicine English Chemistry Elec & Computer Eng Religious Studies CE&B Philosophy Physics & Astronomy Psych & Beh Neuro Nursing Acct/Financial Mgmt

George Karakostas Russell Kilbourn  Haresh Kirpalani  Peter Kruse Jim Lyons Alexander Lyubechansky Carrie McAiney Shaudin Melgar-Foraster Peter Miu Linda Moffat Karen Moncrieff Joanne Muellenbach Iris Mujica Antonio Paex Allison Platt Lynda Poole Maxime Prevost Alexandra Retzleff Melissa Rutherford Elliot Schreiber Lisa Schwartz Darren Scott Donna Seamone Elena Silvestri Kevin Tasa Tracy Vaillancourt Sarah Wayland Yonghong Wan Xiaolin Wu Dongmei Zhao

Computing & Software English  Pediatrics Chemistry Kinesiology HSC North Library Psych & Beh Neuro Modern Lang & Ling Finance Finance & Business Econ Nursing HSC North Library Nursing Geography & Geology School of the Arts Nursing French Classics Psychology Marketing & Bus Policy CE&B Geography & Geology Religious Studies French Human Resources/Mgmt Psychology Political Science Path & Molecular Med Elec & Computer  Eng Elec & Computer  Eng

Best Wishes to Retiring MUFA Members

We wish to extend best wishes to those faculty and librarians who have recently retired.  We look forward to seeing them at the annual luncheon in their honour (this year on October 8) hosted jointly by the Presidents of the University and the Faculty Association.
 

Sam Ajzenstat John Brash John Burbidge Joan Crook Joanne Fox-Threlkeld Hugh Galloway Dan Geagan Hara Ghosh Harish Jain Joseph Laposa  Owen Morgan  Sam Najm Gary Purdy M. Sternbach

Philosophy Chemical Engineering Economics Nursing Nursing School of the Arts History Biochemistry Human Resources & Mgmt Chemistry French Philosophy Materials Science Medicine

 
 

Use of Professional  Development Allowance Below is a memo dated November 19, 2001 from then Acting Provost and Vice-President (Academic), Peter Sutherland, to Deans and Chairs/Directors. The McMaster University Faculty Association (MUFA) has brought to my attention what they regard as examples of unreasonable demands being put on faculty Professional Development Allowances (PDAs).  Specifically, MUFA refers to instances where a Chair has suggested to a faculty member that her or his PDA be used to purchase office furniture, etc., because the departmental budget cannot accommodate the expense. I realize that: (a) many faculty find their office furniture uncomfortable, unsuitable, or in poor repair; and (b) departments do not have an explicit budget line for office furniture. However, the latter is not sufficient justification for asking a faculty member to turn to her/his PDA for a solution.  I suggest that each Chair assess the size of the problem that their Department faces, and then develop a multi-year plan for solving it.  Wherever possible, a reasonable standard for such items as chairs, filing cabinets, etc. could be established.  As to the source of funds, most Departments can use revenue from “summer school” or from contract overhead or the creation of a small reserve fund.  Finally, if some faculty find the proposed solution unsatisfactory (because they want something beyond the standard), or its implementation too slow, then it would be appropriate for a Chair to suggest use of the PDA.

If You Are Being Considered for Tenure  and/or Promotion, Read On If you are a faculty member who is being considered for tenure and promotion to Associate Professor or for promotion to Professor, you may find it helpful to have a faculty colleague act as an advisor during this process.  This colleague can assist in the preparation of your research résumé, teaching dossier and other material.  An advisor can also accompany you to interviews at various stages of the process should this prove necessary.   This practice has been informally sanctioned in the past.  The Tenure and Promotion Policy explicitly states that a faculty member may be accompanied by a faculty colleague acting as an advisor when appearing before a Departmental, Faculty or Senate  committee. Please feel free to contact the Chair of the MUFA Committee on Special Enquiries and Grievances should you desire further information concerning this policy or assistance in seeking out an appropriate advisor.

Are You Considering Early Retirement? In the past, some faculty members have signed individual agreements with the University concerning the conditions of their retirement.  These agreements have covered special (non-standard) access to office space, laboratory facilities and other matters.  At present, there is no established procedure, other than the civil courts, for resolving subsequent disputes concerning the interpretation of such agreements.  The Faculty General Grievance Procedure applies only to those who “hold the academic rank of professor, associate professor, assistant professor or lecturer”.  Professors emeriti are not covered even in the case of disputes concerning an agreement signed prior to retirement.  Hence, it is especially important that clear, specific wording be used in such agreements.  It is strongly recommended that our colleagues seek the advice of MUFA and of their own lawyers before signing any such agreements.

Formation of Presidential Committee Denied The following letter from President Peter George was sent to current MUFA President, Lorraine Allan, on June 26, 2002: I am writing in response to a letter sent by your predecessor, Tom Davison, in which he advised me about a motion passed at the MUFA General Meeting on January 16, 2002.  The motion calls for the establishment of a Presidential Committee to deal with matters “affecting the physical and geographical status of the campus”. The Board of Governors’ Planning and Building Committee is specifically charged with considering “all matters relating to expansion or alteration of the physical resources of the University, including the selection of consultants, having regard to the academic and other requirements, and the financial resources of the University, and to the aesthetic and other impact of such changes on the campus and the surrounding community.”  The University Planning Committee, a committee of both the Senate and the Board of Governors, has responsibility for reviewing and proposing any changes to the campus land-use plan.  As you know, the University Planning Committee recommended, and Senate and Board approved, our new McMaster University Campus Master Plan last March: this is rightly regarded as one of our signal achievements of the past few years.  Section 9 describes a detailed process by which the Plan is to be implemented. I believe McMaster has in place the appropriate structures for addressing matters related to “the physical and geographical status of the campus”.  These standing committees of our Senate and Board of Governors are composed of representatives from all sectors of the University community — faculty, staff, students, alumni — and of the broader public.  Their terms of reference specifically address McMaster’s physical setting.  Our Campus Plan now provides us with an articulated policy context for assessing matters related to campus development. Certainly there will be occasions when matters of particular interest and concern demand special attention and will generate broad discussion.  There may also be opportunities for campus improvements that are appropriately dealt with through ad hoc structures prior to their presentation for approval by the Board of Governors: I am thinking here of allocations for campus beautification from the McMaster University Futures Fund (MUFF).  But I am not persuaded that the establishment of a Presidential Committee to deal with matters that are now assigned to standing committees of our governing bodies will contribute value and coherence to the planning processes for the McMaster campus.  Rather, I encourage all members of the McMaster community to commit themselves to the principles and processes contained in our Campus Plan and to work through and with elected Senators and Governors to preserve and enhance the physical and geographical status of the campus.

Need to Know:  Your Benefits Vision Care McMaster’s Major Medical Plan pays teaching staff and librarians up to $150 towards the purchase of contact lenses or lenses and frames for eyeglasses, provided that there is a prescribed change in the lenses.  A period of 24 months must pass between the dates of purchasing your eyeglasses and NO COVERAGE EXISTS FOR DEPENDENTS.   If a period of three years passes between any claim for vision care, then the programme will provide a maximum of up to $200 towards the purchase.  No change in prescription is required in this situation.

 

Money Matter$
In response to requests from our members for financial information, we are pleased to provide the following column on what we hope will be a regular basis.  The information below has been supplied by Joe Gadoury of Berkshire Securities.  Please contact Mr. Gadoury directly at 905-529-5505 if you have any questions or require clarification.

Taking Control of YOUR Financial Future

Is information overload getting you down?  There are so many things going on in the world around us — pessimism abounds everywhere, CEOs/auditors being taken to jail in handcuffs, stock markets doing the wild thing, talk of war, terrorism, all brought to you, up to the second, by your local media newscaster.  With the plethora of instant news everywhere, these world events are a constant in your face day by day, minute by minute, second by second, barrage of over the top sensationalist bemusement.  Makes you feel totally out of control.  Stop the world I want to get off.

What you need to do is take a deep breath, a giant step backwards, and take a good look at the forest within the trees, and find out what YOU can control which may help bring some order into our otherwise hectic lives.  Repeat after me, “Control what you can control — and ACT on it!”  Repeat this mantra over and over again, until it sinks deeply into your subconscious, taking over the actions which will come of it.

That said, there are certain fundamental principles that I have used time and again, during periods of seemingly never ending strife, which help guide many to their goals and beyond.  These principles are those practiced by the most successful people in the world  enabling them to achieve the pinnacles of success which have made them famous.  My objective, in these inaugural issues, is to introduce these principles to you, so you can recognize how they apply to your own lives, and ultimately take control of your future.

These principles are known as the 5 Laws of Wealth Creation and the next 5 issues will deal specifically with each law in turn.  Beyond that, it is my intention to introduce many of the facets of the financial world to you and invite your feedback on any of the topics covered.  The goal is to initiate a two way dialogue with you the reader on those issues which are near to your heart, as well as what I may be able to provide on an issue by issue basis.  So Welcome Aboard!
 

Wealth Law #1:   Set The Goal and the Time Frame to Achieve It

Olympic athletes do it; Business Managers do it; you should do it too.  We all need to set our own personal financial goals and assess what value it would take to continue to live the same life as we do today, once we are retired.  The problem is, very few people do the calculations necessary to shoot for a specific goal, depending on specific time frames.

A person could say “I want to be a millionaire”.  Doesn’t everyone?  It’s a nebulous statement at best.   But when that same person states, “I want to be a millionaire in 5 years” — now THERE’s a statement.  Once the time frame is established, you then work backwards  from  there  to see what it takes to achieve that level of success.  For an effective investment and financial strategy, that goal takes discipline, perseverance and focus to strive for it.

One of the best ways to maintain continuity is to break your goals down into bite sized pieces, so as not to be overwhelmed by the enormity of the overall task.  Setting up short (1 - 2 years), medium (3 - 5 years) and long term (5 years +) time frames may help you enjoy a continuous string of successes, building confidence along the way.

When it comes to your financial plan, regardless of whether you’re building toward retirement or are already retired and drawing from your nest egg, the way that you set up your portfolio should indicate your needs relative to the specific time frames.  In essence, I suggest you match the type of investment with how long you intend on holding it.  This involves looking at the investment mix of your whole portfolio relative to what you may need to (a) grow your portfolio, (b) maintain its purchasing power, and (c) some day generate tax efficient cash flow while preserving as much capital as you can.  This mix may change relative to changes in your lifestyle, which are not necessarily in conjunction with changes in the market.  Market changes occur every day and are uncontrollable.  Changes in lifestyle occur when they happen and are well within your control.

Only by realizing what your goals are, their respective time frames, and the taxable implications of these positions, will you determine the best mix for you at any particular time in your life.  Take control — then act on it!

Author’s Note - if you wish copies of our normal quarterly newsletter, please send either your e-mail address or postal address to: jgadoury@berkshire.ca.  Back issues are available upon request.

This publication contains opinions of the writer and may not reflect opinions of Berkshire Securities Inc.  The information contained herein was obtained from sources believed to be reliable, but no representation, or warranty, express or implied, is made by the writer or Berkshire Securities Inc or any other person as to its accuracy, completeness or correctness.

This publication is not meant to provide legal or account advice.  As each situation is different you should consult your own professional advisers for advice based on your specific circumstances.

 

House for Sale  1188 Governor’s Road — Dundas.  Century farm house circa 1860, expanded in 1975 and in 1980, situated on private and tranquil 3-acre property overlooking the Dundas Valley.  Ten minutes from McMaster, five minutes from Dundas, property is bordered by farm and conservation lands with nearby access to rail trail and conservation paths.  Abundant opportunity to enjoy nature and wildlife year round, including fabulous birds, deer, fox, and coyotes howling at the full of the moon!  Truly an oasis in the wilderness of Dundas Valley. This 10-room home has en suite master bedroom, 4 other bedrooms, 5-piece bath plus 2-piece on main floor.  Living room with heatilator fireplace; dining room, plant room with entrance onto back deck; study; large kitchen with mudroom; ramp access to deck and rear entrance.  Lower level has study with walkout to ground level; large storeroom; utility area in original old basement. For further information call Joan or Gerry Field at 905-627-5073 or check our agent's website at www.judymarsales.com.   House for Rent: Fully furnished house available above Dundas.  Four bedroom, 2 bathroom, office, sitting room, dining room, family room, etc.  Deck overlooking private treed garden.  Minutes to McMaster.  Walk to scenic Webster Falls, Tews Falls, historic Crooks’ Hollow.  Dates flexible.  Rent negotiable.  For more information call 905-627-0984.

 
 
 
 

September 27, 2002
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