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Thursday, February 24, 2005 (SF Chronicle) SAN FRANCISCO/UC audits
spending by its S.F. med school/Anonymous complaint says dean's office
wiped out surplus, set up long-term debt
Tanya Schevitz, Chronicle Staff Writer
The University of California is reviewing the finances of the UCSF
School of Medicine and its dean, Dr. David Kessler, in response to an
anonymous complaint of lavish and irresponsible spending.
On Wednesday, Kessler called the complaint false, and a university
spokesman said the review is standard procedure in such circumstances
and people should reserve judgment until it is completed in a few weeks.
The audit was launched this month after the university received an
unsigned letter alleging that that dean's office "is bankrupt --
financially and ethically."
The letter asserts that Kessler, hired in September 2003, has wiped
out reserve funds and has set up long-term debt by giving his deputies
"lavish salary increases."
The letter says Kessler inherited more than $90 million in reserves
and has spent all of that and more.
Salary increases in excess of $100,000 were awarded to several of
his senior managers, the letter says.
Kessler told The Chronicle that the managers in question were
either promoted to new positions or were new hires. He said the
salaries are all within range of those at comparable medical schools.
"They were done both because people assumed new responsibilities
and to ensure equity," Kessler said.
For example, he said that Nancy Milliken's annual salary rose from
$160, 000 to $270,000 when she took on the job of vice dean in addition
to her responsibilities as vice chair of the OB/GYN department and the
director of the Women's Center. Bruce Wintroub's salary increased from
$315,000 to $425, 000 a year when he became vice dean in addition to
his position as chair of the dermatology department. Keith Yamamoto's
salary was increased from $280, 000 annually to $360,000 when he was
promoted from vice dean for research to executive vice dean.
The letter said Kessler also created new positions, including a
$285,000- a-year position for Jed Shivers, who was hired as the senior
associated dean for clinical program. In addition to other duties, he
is also acting vice dean for administration and finance. Also created
was a $135,000-a-year position for Janice Eisele, director of medical
school development, and a $150,000-a- year job for Doug Levy, director
of communications and special assistant to Kessler, the letter said.
The letter also says Kessler has committed $80 million to four
researchers involved in the human genome, stem cell, pediatric and
cardiovascular programs.
"He makes these commitments without considering what money is in
the bank, " the letter says.
However, Levy said the total committed to the four researchers was
actually $31.1 million.
Kessler said the premise of the letter is wrong because the money
he committed to the researchers was part of a campus plan put into
place before he arrived.
His job was to implement the plan, he said.
He said the money for the programs will go for start-up costs,
including program development, infrastructure for labs and facilities,
research support and recruitment of other faculty.
The letter says that Kessler has earned substantial money from
consulting, board memberships and speeches on top of his annual
$540,000 UCSF salary.
Kessler said that his extra income from outside activities was no
secret when he was hired.
UC spokesman Brad Hayward said the university auditor conducts
reviews similar to this more than 100 times a year from internal and
external complaints.
E-mail Tanya Schevitz at [email protected].
spending by its S.F. med school/Anonymous complaint says dean's office
wiped out surplus, set up long-term debt
Tanya Schevitz, Chronicle Staff Writer
The University of California is reviewing the finances of the UCSF
School of Medicine and its dean, Dr. David Kessler, in response to an
anonymous complaint of lavish and irresponsible spending.
On Wednesday, Kessler called the complaint false, and a university
spokesman said the review is standard procedure in such circumstances
and people should reserve judgment until it is completed in a few weeks.
The audit was launched this month after the university received an
unsigned letter alleging that that dean's office "is bankrupt --
financially and ethically."
The letter asserts that Kessler, hired in September 2003, has wiped
out reserve funds and has set up long-term debt by giving his deputies
"lavish salary increases."
The letter says Kessler inherited more than $90 million in reserves
and has spent all of that and more.
Salary increases in excess of $100,000 were awarded to several of
his senior managers, the letter says.
Kessler told The Chronicle that the managers in question were
either promoted to new positions or were new hires. He said the
salaries are all within range of those at comparable medical schools.
"They were done both because people assumed new responsibilities
and to ensure equity," Kessler said.
For example, he said that Nancy Milliken's annual salary rose from
$160, 000 to $270,000 when she took on the job of vice dean in addition
to her responsibilities as vice chair of the OB/GYN department and the
director of the Women's Center. Bruce Wintroub's salary increased from
$315,000 to $425, 000 a year when he became vice dean in addition to
his position as chair of the dermatology department. Keith Yamamoto's
salary was increased from $280, 000 annually to $360,000 when he was
promoted from vice dean for research to executive vice dean.
The letter said Kessler also created new positions, including a
$285,000- a-year position for Jed Shivers, who was hired as the senior
associated dean for clinical program. In addition to other duties, he
is also acting vice dean for administration and finance. Also created
was a $135,000-a-year position for Janice Eisele, director of medical
school development, and a $150,000-a- year job for Doug Levy, director
of communications and special assistant to Kessler, the letter said.
The letter also says Kessler has committed $80 million to four
researchers involved in the human genome, stem cell, pediatric and
cardiovascular programs.
"He makes these commitments without considering what money is in
the bank, " the letter says.
However, Levy said the total committed to the four researchers was
actually $31.1 million.
Kessler said the premise of the letter is wrong because the money
he committed to the researchers was part of a campus plan put into
place before he arrived.
His job was to implement the plan, he said.
He said the money for the programs will go for start-up costs,
including program development, infrastructure for labs and facilities,
research support and recruitment of other faculty.
The letter says that Kessler has earned substantial money from
consulting, board memberships and speeches on top of his annual
$540,000 UCSF salary.
Kessler said that his extra income from outside activities was no
secret when he was hired.
UC spokesman Brad Hayward said the university auditor conducts
reviews similar to this more than 100 times a year from internal and
external complaints.
E-mail Tanya Schevitz at [email protected].
