Memorandum

Date: January 15, 2004

To: Chancellor Richard Jarvis

P.O. Box 3175

Eugene, OR 97403

From: Mark W. Nelson, Executive Director, Association of Oregon Faculties

Re: Optional Retirement Program (ORP)

Enclosed you will find an analysis of the ORP situation that was just completed by the Hartman Law Firm. When we met with Grattan and other stakeholders last week, we indicated that we were analyzing the matter. In an effort not to blind side anyone, yesterday I faxed a copy to Grattan and Denise Yunker asking that we have a conference call.

Through Lisa, Grattan stated that these were legal issues and that he and Denise would not participate in a conference call. I thought it was important to give everyone the benefit of this analysis and that some level of discussion would be helpful. Apparently, Grattan disagreed. He said we should do whatever we were going to do and let the lawyers handle it.

We will move ahead, but I wanted to make sure you had a copy of the analysis for your own personal review. Please feel free to give me a call if you have any questions. Thanks.