{\rtf1\ansi\ansicpg1252\cocoartf1187\cocoasubrtf340 {\fonttbl\f0\fswiss\fcharset0 Helvetica;} {\colortbl;\red255\green255\blue255;} \margl1440\margr1440\vieww10800\viewh8400\viewkind0 \pard\tx720\tx1440\tx2160\tx2880\tx3600\tx4320\tx5040\tx5760\tx6480\tx7200\tx7920\tx8640\pardirnatural \f0\fs24 \cf0 Thank you very much for that very warm welcome. I want to thank Christy and your colleagues for making this even possible, and Pat, I appreciate your leadership of the alumni association’s business roundtable I was telling Pat before we came in for lunch, I think the first meeting we had, there were about 25 of us in a side room at the mac, and I think I had to bring my own bologna sandwich. We’ve come a long way. I want to thank each and every one of you for being here today and for this remarkable turnout Your presence here affirms your interest in and support of Oregon State University, and for that we are all very, very grateful. Today, as I share with you an update on the state of the University, I want to emphasize my certainty that the achievements of Oregon State University and the University’s incredible promise for the future are the direct result of faculty, staff, students, administrators, alumni, donors, OSU friends and higher education supporters all working together. Together we have made Oregon State University an authentic and accomplished community whose excellence, innovation and leadership promote a healthy planet, wellness and economic progress. That is who we are and it uniquely defines this great University. Oregon State’s commitment to excellence is not based on some abstract principal. The University was established in 1868, 145 years ago to serve others. And we understand that the more extraordinarily capable we are at everything that we do, the more profound and positive our impact will be on the lives of those we serve. This commitment to excellence, innovation and leadership has never been more essential than it is today, a time in which the economy remains unstable, a time when prosperity is enjoyed by fewer and fewer among us, where competing social needs mount, and where the future for young people is clouded by uncertainty. Looking ahead it has never been more evident that as a land grant university, OSU must not only serve the state of Oregon, and do so exceptionally well, it must also be a national and international leader and contributor of the 21st century As we work and invest together toward a brighter, more certain future, we must also do things differently than before. I know that our graduates at Oregon State are the most important contribution we make to society and the future. Therefore, ant OSU, we are not simply preparing people for the workforce. We are about reinventing the workforce. Today I am pleased to welcome a number of our Oregon State University students, who I am confident will change the world for the better. Will those OSU students who are with us here today please stand and be recognized (applause) In the spirit of looking ahead at how Oregon State University is prepared to address the future, I will focus on five key points: the financial state of the University, OSU’s decision regarding student enrollment in the future, the University’s commitment to excellence, the exponential growth of the University’s research and Oregon State’s impact on innovation and discovery across the world and the remarkable accomplishments we are realizing because of the campaign for OSU To begin, let me review a couple of important achievements since I met with you last year here in Portland. This past fall, more than 40 percent of our incoming freshman qualified as high achieving with a high school GPA of 3.75 or higher. In fact, each year, Oregon State enrolls more valedictorians and salutatorians

than any other university in the state. A number of the Portland area’s brightest and most accomplished high school students are with us here today. Will you please stand and be welcomed. (applause) It bears repeating that I hope that each of these exceptional students will enroll at OSU. Oregon State is an increasingly diverse and inclusive community This year about 1 in 5 Oregon State students is a member of a US minority. We continue to build a global student body and we have more than doubled our international enrollment to 2,400 students in just the last four years Increasing the cultural diversity of Oregon State enriches our lives and helps prepare Oregon State students to excel in a global economy and community. In the past two years we have hired 180 tenure-track faculty from prestigious universities across the world I know of no other university in the nation that has hired that many new faculty. The campaign for OSU continues to be a great success The campaign raised $106 million last year, and after a very strong first half of this year, I am pleased to announce today that with commitments in hand and pledges to be booked, the campaign total now stands at $900 million. (applause) Obviously we’re well on our way toward our goal of 1 billion dollars by the end of 2014. Despite cutbacks in federal and state funding, overall research funding at OSU last year increased to 281 million dollars. This included strong gains in industry-funded research, a priority in growing success stories at Orregon State. Research grants and contracts at Oregon State have more than doubled in the past decade, and provide for innovation and society that touches countless aspects of the economy, wellness, and our environment In central Oregon, an effort to expand OSU Cascades by 2015 to a robust four-year branch campus of Oregon State has begun thanks to an incredible outpouring of community support and financial investment. Since last April more than $3.3 million of a $4 million goal has been raised in private contributions to help fund the campus expansion. This total includes a $1 million award from the Tigason family trust. Our goal is to grow OSU Cascades to an enrollment of 3,000-5,000 students by 2025, and it has strong leadership support from Oregon Governor John Kitzhaber, key state legislators, the state board of higher education and the people of central Oregon, and, bottom line, Becky Johnson is leading this effort with extraordinary and exceptional skill, and I know Becky is here, please stand up and be recognized. (applause) Just yesterday the National Science Foundation, you may have read it in today’s paper, announced that Oregon State, would be the lead institution on a project to design and coordinate the construction of as many as three ocean-going research vessels to increase the nation’s marine science research capabilities. If all three vessels are funded, the project investment that OSU would coordinate would total $290 million. It is anticipated that one of the vessels would be based on the West coast, hopefully at Oregon State’s Hatfield Marine Science Center in Newport, while the other vessels would be located on the East coast and the gulf coast. This would

be a 10-year project. For those of you that follow sports, Beaver athletics have enjoyed significant success lead by this year’s OSU’s football team 9-3 season record. (applause) Go Beavs! Meanwhile the PAC-12 media contracts are now in place, and our media funding for athletics will more than triple in the next few years. In time, athletics will help us fund academic and student support services, and as you saw in the introductory video, First Lady Michelle Obama gave an inspiriting and memorable commencement address in Resser Stadium this past June to a crowd of more than 30,000 people and Oregon State’s largest ever graduate class of nearly 5,000 people While conferring the honorary degree on the First Lady, I assured her that she would always be a member of Beaver Nation, so make no mistake, Oregon State is a special place. The university offers more than 200 undergraduate and 100 graduate degree programs where students learn and work with world-class faculty in curriculums ranging from forestry to crop science, business, public health and human sciences, public policy, engineering, pharmacy, veterinary medicine, oceanography and many, many more. But what you might not realize is that OSU also offers an acclaimed writing program and is developing some of the nation’s finest young writers; operates a 4H program that bridge the gap between K-12 education and life skills; supports student-operated open source computer lab that brings cutting-edge innovations in software to consumers and offers extension programs in Multnomah, Washington and Clackamas Counties that promote a healthy local economy and community Or that Oregon State’s College of Business has a new executive MBA program that innovatively focuses in area such as international operation, supply chain management and marketing management, or that OSU’s colleges of business and pharmacy are collaboratively addressing the business of wellness with a new Farm D MBA program But OSU is not just about how many or how big, it’s about value, benefit and impact This past fall, the Fisk Guide to Colleges named OSU one of the nation’s 41 Best Buy School based on the University’s strong academics and modest cost of educate. In fact, only 20 public universities were so ranked in the Fisk Guide, and Oregon State University was one of only two Pacific Northwest universities to be honored. Now, given that, and given that 71 percent of OSU graduates at mid-career work in their degree area and that they earn more than 50 percent of their peers nationally, we think, appropriately, Oregon State degrees provide phenomenal financial and career values for all of our graduates. OSU also has a strong sense of place. At Oregon State, students, faculty, staff and community members thrive together. Last fall the America Institute for Economic Research named Corvallis as the number 5 top destination among all college towns in America. This designation captures the community’s overall quality of life, cultural and academic opportunities, natural beauty, employment opportunities and our community values, but OSU is much more than a standalone, mid-Willamette Valley University. As I noted last year Oregon State generates more than $2 billion in annual economic impact, and its teaching, research, outreach and engagement activities reach throughout the state of Oregon in the form of University facilities and programs in each of the state’s 36 counties. Here in Portland the OSU extension service, our food innovation center in the Pearl, OSU’s College of Pharmacy’s partnerships with OHSU and the college of Veterinary Medicine Program with

the Oregon Humane Society help transform the Portland region. As you leave today, each of you will receive our Impact 2013 report, which includes important facts and rich narratives about OSU’s faculty, staff, students and alumni Today I will share with you a brief view of Oregon State’s future. First, through multiple initiatives including very effective financial management and strategic planning, increasing research funding, the support of the campaign for OSU and meeting targeted increases in enrollment growth, Oregon State University is in a sound financial position. The financial state of the University remains strong for the foreseeable future despite unrelenting challenges in state funding for higher education and federal funding for research, student financial aid and statewide public services Furthermore, as we all understand, important governance issues within public higher education and across the preK 20 continuum are now being addressed in the state. Oregon State University is committed to being part of the solution in this change effort that is so essential to achieving the state’s 404020 academic goal In fact, we have established a clear direction for ourselves and in our partnership with the state on behalf of the people of Oregon Second, we’ve developed great clarity regarding academic and service excellence at the University We have reinvented our academic programs and nurtured an already strong culture of collaboration at Oregon State. We’ve decreased – decreased – the numbers of colleges, schools and programs at the University in the last two years from 63 to 42, and we have illuminated 25 historically low-enrollment program, while at the same time, we have created and refreshed others We have streamlined OSU’s administrative structure and transformed our focus into three signature areas built on a strong foundation in the arts and sciences and we are investing in recruiting and retention of world-class faculty, staff and administrators. Faculty members are the heart and soul of Oregon State, and we cannot achieve the excellence we seek without outstanding and diverse faculty. Third, we are successfully managing our enrollment goals to immediately grow Oregon State’s enrollment in Corvallis, serve our responsibility as Oregon State University and recruit and retain the best and the brightest and most diverse students. We are doing so to maintain a manageable campus size and community balance in Corvallis by expanding our academic programing online, by growing OSU Cascades and by creating limited academic offerings in Newport. Oregon State can attain top-10 national standing among land grant universities with 28,000 students enrolled at our Corvallis campus, rather than the 35-40,000 one sees at our peer institutions, and we will meet our targets in support of the 404020 initiative. Fourth, we will continue to increase the amount and impact of grant-funded research including increased University industry partnerships. Many strategic partnerships are well underway. Last year, we signed a record 108 licensing agreements, and since 2006 we have spun off 17 companies that have attracted more than $180 million in capital investment. Earlier this month we launched a new initiative, the Oregon State University Advantage, which will serve business partners in the University’s signature areas of distinction We commit to work with business partners to improve their bottom-line performance and

the national and global economy by providing access to world-class faculty and top students as well as an open door to the world-class research and problem solving capabilities found at OSU. And finally, we will successfully complete our campaign for OSU fundraising in the next two years while maintaing strong momentum going forward. Today I would like to make two major announcements regarding the campaign for OSU. First I am pleased to announce that alumnus Peter Johnson and his wife Rosalie will contribute $7 million to create a new world-class educational and research facility within Oregon State’s College of Engineering, along with an earlier $10 million gift from an anonymous donor and $3 million in additional private funds, and possible state matching funds this $40 million building will address space needs for faculty, lab space for interdisciplinary research and assist the recruitment and retention of engineering students, one of the rapidly-growing enrollment areas for OSU. This new building will help to revolutionize how Oregon State approaches collaborative projects involving scientists and students in engineering and other colleges in critical areas of study and discovery including chemical engineering, biological engineering and environmental engineering. Thank you Pete and Rosalie Johnson for this wonderful, wonderful gift. (applause) Second, I am pleased to announce that Oregon State University will invest in the reinvention of the arts and the humanities at this great research University. Oregon State has received a $5 million commitment from an anonymous donor to advance the university’s performing arts programs, thereby launching an unprecedented effort to built support for OSU’s school of arts and communication. This is the largest gift that OSU has ever received for the arts, and it is dedicated to endowment, which will provide a permanent source of funding for four faculty and staff positions including a director of the performance arts who will lead arts offerings at Oregon State, and connect with arts programs in Corvallis and well beyond This $5 million gift is a cornerstone investment in our University. Excellence in the arts and sciences it at the core of every great national and international research university The arts and humanities provide students the context and inspiration of life, culture and society. They help drive creativity and innovation At Oregon State, excellence in the arts will be a growing part of all areas of study, research and outreach. I am so incredibly grateful to the many donors to the campaign for OSU including the inspired generosity of the individuals such a Pat Resser and her family, Bob and Charlie Moore; Ken and Joann Austin and so many, many others. Still, none of this would be possible without the outstanding campaign stewardship provided by the foundation President Mike Goodwin, and his sidekick Shawn Skoville, and if they would stand and be recognized (applause) Contributions to the campaign for OSU through scholarships and fellowships now total more than $150 million. The original campaign goal was $100 million. The campaign also is providing capital resources for state-of-the-art classrooms and research facilities. A year ago, we opened the Linus Pauling Science Center, the Hallie Ford Center for healthy children and families, the International Living and Learning Center, a renovated Furman Hall and the Graduate Studies Center at the Cascades

campus. This year we will open the OSU Student Success Center, the Native American Cultural Center, a new track facility and a new practice facility for our basketball program. In the next few years we will build a new residence hall, and Austin Hall for our College of Business, three new cultural centers, the student experience center, and hopefully with state support, the engineering science center, an all-purpose classroom center and an expanded OSU Cascades campus. With the leadership of Provost Randhawa, the campaign for OSU has increased the number of endowed faculty positions at OSU from 47 positions to 117 positions. If Provost Randhawa is here, please stand up and be recognized (applause) And you need to know too that Oregon State and the OSU foundation, alumni association are growing broader international connections and partnerships with OSU alumni and international universities throughout the world, and particularly in the Pacific rim in places such a Taiwan, China, Hong Kong and Thailand. As we update the University’s strategic plan over the next 12 months, we will continue to serve as Oregon’s exceptional state-wide university and to provide a road map for the future that builds on our strengths and secures OSU’s commitment to serve the nation and the world. In that role, Oregon State University will continue to grow its engagement in world-class academics and ground-breaking research and in community outreach and service on everything from childhood obesity to agriculture, forestry, climate change, nanotechnology, metals manufacturing, clean technology, natural resources and high-tech healthcare delivery. Oregon State faculty students and alumni will continue to teach the nation and the world’s youth. Hundreds of OSU graduates and current students will serve in our nation’s military and Oregon’s national guard. Thousands will volunteer in communities in Portland, across the state, the nation and around the world. I want to thank you all for being here today, and I particularly want to thank you for making Oregon State University an authentic community of accomplishment whose existence, innovation and leadership shape a healthy planet, promote wellness and advance economic benefits. Thank you all very much. (applause)}