Board of Regents and university officials are still waiting for Gov. Tom Vilsack to appoint a replacement for John Forsyth, former Board of Regents president.

Forsyth resigned Thursday along with La Porte City Regent David Neil.

The board vacancy has the regents concerned about the direction they would take under new leadership.

Forsyth addressed the concern in his resignation letter to Vilsack.

In the letter, he indicated the Board of Regents have “just begun to scratch the surface in maximizing the use of resources devoted to public education.”

If the Regents continue their efforts to provide effective governance of the institutions, he said, the board would benefit from a new member with previous governance experience and a “deep abiding” background in a large, complex organization.

“I urge you to consider these characteristics in your next several appointments,” he wrote to Vilsack. “And I respectfully recommend that you appoint a business leader to the Board. There is precedent for this type of transition, which would help assure that leadership is in place to continue progress on the transformational changes [the board has recently initiated].”

The board initiated a Partnership for Transformation and Excellence, of which Forsyth served as principal architect. The partnership proposes that the Legislature would increase state appropriations to the regent universities and the board would hold all in-state tuition increases to the inflation rate, or roughly 4 percent, for each of the next four years.

Since his arrival to the board in 2003, Forsyth dramatically changed the leadership of the regents — implementing streamlined, cost-cutting business approaches to the management of regent institutions. He introduced improved transparency in the board’s governance by opening meetings to the public, introduced best business practices, supported policies to assure greater accountability of public resources and helped enhance the universities’ contributions to state economic development.

“I don’t foresee those initiatives falling by the way side,” said Davenport Regent Amir Arbisser.

University and board officials said they are pleased Vilsack followed Forsyth’s recommendation to appoint Michael Gartner, Des Moines resident and Iowa Cubs owner, as Neil’s replacement.

Gartner, 66, is the chairman of the Greater Des Moines Baseball company, former president of NBC News, former publisher of the Ames Tribune and former editor and president of the Des Moines Register. He also served on the Vision Iowa Board.

Acting board president Robert Downer, Iowa City regent and president pro tem, said he is particularly impressed by Gartner.

“He obviously has a great record of service to the state of Iowa,” Downer said.

“With his national connections, he has maintained his home base in Iowa.”

He recalled being impressed when Gartner’s business card listed his role with The (Ames) Tribune over his position as president of NBC News.

“Michael represents the best of our state — a determined sense of duty with a nationally renowned journalistic and business reputation,” Vilsack said in Monday’s press release.

According to the Board of Regents Policy Manual, Downer will serve in the role of board president until the regents elect someone to fill the rest of Forsyth’s term. Forsyth was elected president in 2004, with his two-year term ending in April 2006.

The Board of Regents consists of nine members who are appointed by the governor and subject to Senate confirmation. Board members are appointed to staggered six-year terms.

Regents recap

Both Regents John Forsyth and David Neil resigned because of concerns and conflicts of interests involving the University of Iowa Hospitals’ contract with Wellmark Inc.

The Board of Regents voted 5-2 in an emergency meeting Dec. 29 to grant the University of Iowa the authority to give notice of contract termination to Wellmark. The contract, if not renewed, will not expire until Dec. 31. The contract will continue until it is terminated, giving Iowa a year to renegotiate a new contract with Wellmark.

U of I officials said the decision was made to give notice because they want fair compensation for the medical care the hospitals provide, stating the $200 million yearly payment by Wellmark is not enough.

“All our institutions are signing hundreds of contracts all the time, and we don’t sit down there and scrutinize single contracts,” said Regent Amir Arbisser, who cast a yes vote at the meeting. “It was not our desire for contract termination, but there was no other option but to let it lapse and renegotiate.”

He said the contract’s language didn’t adequately value the unique features of Iowa’s academic health facilities.

“The hospitals are the ultimate backup support service for every facility in the state. It’s not the same as a community hospital, and the contract didn’t adequately reflect that,” Arbisser said.

Wellmark officials contend they provide adequate reimbursement and affordable rates.

“Nobody has showed me yet that the hospitals need a financial increase,” Neil said. “There should have been more discussions and studies to see if the hospitals are operating efficiently and are providing cost-effective medicine.”

— Tom Barton