Tag Archives: University of Hawaii at Manoa

Another small bite of the Apple

In his rebuttal letter to a negative evaluation by the UH president, Manoa Chancellor Tom Apple touted his own attempts to control the budget. His responses to the president spent a lot of time explaining how he was prevented from reducing the flow of campus cash to the medical school and cancer center.

But Apple’s rebuttal also contained this short, orphaned paragraph which appears to contradict his other arguments by blaming the financial mess on the cost of faculty salaries.

In addition to these measures, I pointed out that our student/faculty ratio was unsustainable. This was the reason for my recent request for a hiring freeze. [emphasis added]

Elsewhere, Apple commented that UH is “a faculty-rich environment” with a 1 to 11 faculty-student ratio.

But a cautious approach is appropriate here.

Most campuses push for a lower ratio, since those who rank universities regard this as a plus. US News and World Reports uses these data every year to rank universities, with lower ratios getting higher rankings.

Places like Harvard (1:7), Stanford (1:5), and even Whitman–where Meda and I graduated– at (1:9), make much of these low ratios as evidence of teaching quality.

The UHM website reports a faculty-student ratio of 1:14, while the Johnsrud “study” had us at 1:12. Other public research universities are University of Washington at 1:12 and University of Michigan 1:16.

There are no doubt public universities, especially in the budget-decimated California system, that currently may well have higher ratios.

We really need to examine the data behind Apple’s “faculty-rich” description, as these numbers could reflect lots of hidden factors.

Faculty resolution calls UH study “flawed and premature”

A recent study on the cost of higher education was based on flawed data and faulty comparisons, resulting in “a less than positive impression of the University of Hawai?i at Ma?noa and its faculty,” according to a resolution to be considered by Manoa faculty senate this afternoon.

The resolution, presented by the Senate executive committee, says “the decision to release a flawed and premature report reflects the poor judgment of the UH System administration.”

It calls on the university administration to publicly acknowledge and correct the errors and consult with the faculty before drawing any conclusions from the study.

The resolution identifies several types of errors.

• Outreach College courses, which are funded by a separate system, were listed;

• Cross-listed courses were double counted as if they were separate courses and thus appear smaller than
10 when they are in fact larger;

• Courses that many faculty teach above and beyond their normal course loads were listed;

• Courses that are designed for small enrollment, including internships, field experiences, music and arts were listed.

As a result, according to the resolution, “the data on faculty instructional workloads is flawed, the report does not reflect the actual cost of instruction or present an accurate depiction of faculty workloads in the full range of teaching, research and service responsibilities expected at a research university like the University of Hawai?i at Ma?noa.”

The resolution also points out that while UH Manoa may be comparable to “peer institutions” used in the report “on the basis of student characteristics, it is not comparable with respect to the research that is expected of UH Ma?noa faculty.”

The faculty senate meeting is scheduled for 3 p.m. today in the Architecture Auditorium.

Florida firm in Stevie Wonder case claims tie to company in earlier fraud

In an odd twist, the Florida company involved in the disappearance of a $200,000 payment made by the University of Hawaii Athletic Department claims to be the successor to a North Carolina firm linked to a ponzi scheme in which hundreds of people lost as much as $13 million.

The website of Miami-based Epic Talent, LLC, which allegedly controlled the bank account where the missing UH funds were deposited, says the company was formerly known as BAB Productions Inc.

Over the last 15 years, Epic Talent (formally BAB Productions, NC), has grown to become a relaible (sic) consulting source for accessing big name entertainment for public concerts, corporate events and fundraisers around the world.

BAB Productions, Inc., was formed in December 1998, according to North Carolina corporation records. However, the company failed to file any required reports with the state until threatened with administrative dissolution in July 2004 after investigations of fraudulent sales of company securities were launched. The company was suspended from doing business in 2005, according to state records.

Two North Carolina men were convicted and sentenced to prison terms of 14 years and 20 years in 2009 for selling worthless promissory notes issued by BAB, which was used as a front for the Ponzi scheme, according to court records and news reports.

Among the victims were retired workers from an Abbott Laboratories manufacturing plant in Rocky Mount, NC, many of whom were swindled out of their entire retirement savings, some losing over $300,000.

It isn’t clear from available records whether BAB Productions was directly implicated in carrying out the fraud. The two men convicted in the case were in securities sales and did not appear to be directly associated with the company, although BAB was named as a defendant in at least one of the resulting civil lawsuits.

It also isn’t clear from corporation records how or whether Epic Talent is actually related to the BAB Productions from North Carolina.

A BAB Productions Inc. was registered at a Palm City, Florida address in May 2005, but was administratively dissolved by Florida officials after it failed to file annual reports.

Despite the vague connection between the companies, the association–easily tracked online–should have raised warning signs for university officials if anything other than cursory checking had been done.

Concert promoter had gone bankrupt in 2009

Here’s an example of why competition is a good thing in news reporting, and its absence something to worry about.

On Sunday, I reported on some of the money woes facing local promoter Bob Peyton, a key figure in the mess surrounding the University of Hawaii’s cancelled Stevie Wonder concert (“Promoter of failed Stevie Wonder concert facing bank foreclosure on Kailua home“).

Yes, I feel bad digging around in public information about Peyton’s finances, but it is unfortunately a part of the big picture of how this concert deal went awry and how the university’s $200,000 went walkabout. It’s one of those instances where the public interest outweighs the privacy interests of the individuals involved, at least in my view.

Keoki Kerr, now at Hawaii News Now, responded yesterday with a story of his own (“Local promoter of UH Stevie Wonder concert bankrupt, in foreclosure“).

Kerr caught the bankruptcy filing by Peyton and his wife, which I missed in my quick search. I know exactly where I made the mistake. Searching for related cases in the federal courts’ PACER system, I searched for civil lawsuits involving Peyton but didn’t do the broader, “all courts” search that would have included bankruptcy courts. See how easy it is to miss a good piece of a story?

In any case, Bob and Marie Peyton filed their bankruptcy petition on September 30, 2009. They reported assets of $808,007.69, consisting mostly of their home, and liabilities of $941,456.04. Their monthly income was reported to be $1,446.63, with monthly expenses of $5,997.11.

There’s a sad litany of personal property–$500 in cash, another $500 in bank accounts, a $350 laptop computer, some old college books and CDs with no value, Bob’s watch, class ring, and wedding ring together valued at $1,000, her watch, wedding ring, and “three small rings” worth $2,5000. Three pistols and one rifle. A pet duck. Miscellaneous tools worth $150. And a 1985 Isuzu Trooper with 180,000 miles.

Their three companies are listed: BPE Productions, Inc., Bob Peyton Entertainment Corporation, and Niho Mano, Inc. All reported to have no dollar value.

The bankruptcy petition lists $301,710.84 in unsecured debts. There are tens of thousands in credit card debts, some going back as far as 1990. A 2008 personal loan from Bank of American for $47,846. A $54,400 business loan to BPE Productions in April 2009. A Honolulu law firm owed $33,535. And a claim against Bob Peyton and Bob Peyton Entertainment for $63,500 made by Hawaiian Entertainment of San Diego.

In the end, the bankruptcy trustee found no money to pay off any of the debts and the Peytons were discharged from bankruptcy on January 6, 2010. Their personal assets were exempt under bankruptcy laws, and no creditors were paid. So the debts were wiped off the books, including the mortgage, but the mortgage lender was free to initiate foreclosure proceedings to take back the house. The foreclosure is still pending in state court.

It’s not a pretty picture.

The big question: Did university officials know of the promoter’s questionable finances when they contracted with his company to produce the planned concert?

The next questions suggest themselves, as in your old college tests: “If so, why did they proceed with the contract? If not, why didn’t they know?”

Thanks to Keoki Kerr for pushing this story forward.