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1. On June 28, 1996, the USC administration sent letters to about 29 long-time clinical USC faculty who had remained County employees informing them that their positions had been designated for potential reassignment away from the County Hospital due to cuts in funds received by USC under the CPSA. This group of faculty included both tenured and non-tenure track faculty associated with USC and the County Hospital for more than ten years. The faculty contracts between the tenured faculty and USC, which defined their faculty appointments, were not touched, but the compensation levels guaranteed by those contracts frequently amounted to ~10% of their total compensation. The letter to the non-tenured faculty informed them that the faculty contract defining their faculty appointment at USC would not be renewed. In effect, this letter terminated the faculty member from USC, with no mention of what USC would do if the County restored funding.
   
   
2. On July 23, 1996 the MFA Executive Board sent a letter to Joseph Van Der Meulen, Interim Dean of the School of Medicine, calling on him to rescind the actions taken in the above letter to the 29 faculty.
   
   
3. In response to its letter of July 23, the MFA received a letter from Robert G. Lane, University General Counsel, dated August 7, 1997. Mr. Lane attempted to clarify the position of the University with regard to the decision affecting the 29 faculty and welcomed MFA endorsement of "accountability for CPSA dollars." He urged the MFA to "encourage the County Department of Health Services to restore the reduced funding for physicians."
   
   
4. At its August 6, 1996 meeting, the MFA passed Recommendation 1996-97-001 which recommended that the Administration: 1. Provide a copy of the CPSA document to the Faculty. 2. Identify the faculty who received the June 28, 1996 letters mentioned above. 3. Provide an accounting on a department basis of the expenditure of funds received under the CPSA. The MFA President was instructed to call for a special meeting of the Faculty Executive Council (FEC) to consider the Recommendation, in accordance with provisions in the Governance Document of the School of Medicine.
   
   
5. MFA President Robert Stellwagen wrote a letter dated August 7, 1996 to Senior Associate Dean Leslie Bernstein informing her of the MFA Recommendation and calling for the special FEC meeting.
   
   
6. The MFA received a response from Dr. Bernstein dated August 11, 1996 that indicated that the Administration would provide a copy of the CPSA for inspection, but that the Administration would not identify the affected faculty nor would the Administration reveal data regarding the use of funds received under the CPSA.
   
   
7. On August 21, 1996, the FEC met in special session to consider the MFA Recommendation. As documented in the minutes of the August 21 FEC meeting, the Recommendation was discussed; but due to the absence of a quorum, no vote was taken.
   
   
8. At the regular meeting held on September 4, 1996 the FEC discussed MFA Recommendation 1996-97-001. Requests #2 and #3 from the Recommendation were disapproved by unanimous vote of those attending (no MFA representative was present). In response to request #1 of the recommendation, the Administration agreed to make a copy of the CPSA contract available for inspection in the Dean's Office.
   
   
9. During the fall of 1996, the County of Los Angeles found funds which made unnecessary the reassignment of the 29 faculty members affected by the letters of June 28, 1996. On October 1, 1996 the MFA Executive Board wrote Interim Dean Van Der Meulen urging the immediate restoration of the University positions and benefits for the terminated non-tenured faculty. Their compensation and benefits were ultimately restored, but the status of their position with the University remained unclear until the issuance of new contract documents. Nonetheless, for the most part these faculty apparently continued to fulfill their University responsibilities.
   
   
10. At its meeting on November 12, 1996 the MFA passed Recommendation 1996-97-002 which recommended faculty representation on a CPSA Committee and Recommendation 1996-97-003 which recommended faculty representation and voting privileges on the University's negotiating team for the new CPSA.
    
    
11. Recommendations 1996-97-002 and -003 were transmitted to the FEC and the Dean by the MFA President on November 13, 1996. At the FEC meetings of November 27 and December 18, 1996, Interim Dean Van Der Meulen commented on the Recommendations and largely agreed to both with the caveat that the "negotiating team does not vote as part of its process." No formal vote of the FEC was taken with regard to these Recommendations, but no objections were raised by those in attendance.
    
    
12. At the January 7, 1997 MFA meeting, candidates were nominated to represent the MFA on the CPSA Committee, and procedures to be followed in electing the representative were established. A vote was taken at the February 4, 1997 MFA meeting. Dr. Peter Heseltine was elected to be the CPSA Committee representative and Dr. Kathryn Challoner was chosen as alternate. Drs. Heseltine and Challoner provided position statements prior to the election.
    

Prepared April 8, 1997

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