June 8, 1962

Executive Committee of the American Institute of Physics

Minutes of Meeting

Members Present: Ralph A. Sawyer – Chairman, Wallace R. Brode, S. A. Goudsmit, W. W. Havens, Jr., R. B. Lindsay, S. L. Quimby

Absent: Francis W. Sears

AIP Staff Present: Elmer Hutchisson, Wallace Waterfall, Henry A. Barton, Mary M. Johnson, and Dorothy M. Lasky who was present for Item 6 only.

The Chairman convoked the Executive Committee at 9:40 a.m.

1. Minutes

Upon motion made, seconded and passed without dissenting vote, the minutes of the meeting of March 23, 1962 were approved as distributed with the following correction: Item 7, Page 4, “Harry Barton” is changed to “Henry A. Barton.”

1. Correction in Governing Board Minutes of March 24, 1962

   Item 13, Page 7, “Plans for Fall Meeting” should be changed to Item 14, and the dates changed from “September 27, 28 and 29” to “September 26, 27 and 28.”

2. AIP Organization Chart

The Secretary reported that copies of the new AIP Organization Chart, together with job descriptions of the Director, Secretary and Treasurer, and certain other staff members, had been sent to all Board members and officers of Member and Associate Member Societies. There was a brief discussion of the Organization Chart during which the Editorial Department was singled out for commendation by members of the Executive Committee. The Secretary observed that there have been no resignations from that Department in the past five months. He stated that it is planned to have a personnel survey made to establish salary ranges and job descriptions for the entire staff and help us in formulating personnel policies.

3. Finances

1. Financial Statement for First Quarter 1962

   Copies of the financial statement for the first quarter of 1962 were distributed (copy attached) and the Treasurer commented that, although the projection to the end of the year was always difficult this early in the year, it is especially difficult this time in view of the changes being made. Net income for 1962 was budgeted at $42,210 but is now projected to $22,820.00. This projection does not include a settlement on the APS Directory and a loss in anticipated income of $15,500 per year due to proposed cancellation of the lease with The Geological Society of America. Even so, we hope to about break even at the end of the year.

   The Treasurer called attention to the item “Subscriptions” under “Income” on Page 4 and explained that although it appears only $80,310.75 was realized by the end of the first quarter, we have non-cash orders on hand estimated at $17,680 which brings the total to $97,990.75 or slightly over budget. He pointed out that while subscription handling costs are higher than budget, editorial mechanics costs are running below budget.

2. Cancellation of Lease with The Geological Society of America

   The Secretary recalled that, upon authorization of the Executive Committee at its meeting on September 27, 1961, a lease for rental of the fourth floor of our building addition for five years to GSA had been signed. The lease did not specify who was to pay for special partitioning and subdividing of the rental space and no promise was made that AIP would bear the whole cost. The extra charges for partitioning and for changes in lighting and air conditioning, architects’ and engineers’ fees were estimated at over $11,000 and, when we asked GSA to pay $5,000 as their share, they demurred. Subsequently, their attorney called and informed us that GSA had decided to cancel the lease if they could do so without penalty. We are agreeable to this and will sign the cancellation inasmuch as it now appears we will need the space sooner than originally anticipated.

3. Financing of Building Addition

   The Treasurer reported that to date we have paid $345,000 of the estimated total cost for our building addition of $680,000.00. We have not yet had to borrow money nor have we found it necessary to sell any securities in our Investment Advisory Account. At the end of June, our Building Reserve will have furnished about $290,000 and the mortgage will provide $350,000, for a total of $640,000 leaving a deficit of about $40,000.00. In addition, we will be buying furniture and equipment amounting to $20,000 or $25,000, and this $60,000 or so will be added to our accumulated deficit at the end of the year. Therefore, in the future when estimating our net worth, we will have to calculate it as our land, building, and equipment minus a certain figure. The accumulated deficit will probably be $160,000 by the end of the year and we should work at reducing it by budgeting an income for the next several years.

4. Subscription Prices on AIP Journals

   The Treasurer reported that it is necessary to publicize our journal subscription rates for 1963 at about this time of year and any price changes must be made now. After considering various factors, which the Treasurer explained, the staff suggests that prices for RSI and JCP remain unchanged and that JAP, PF and JMP be increased. Subscription rates recommended for 1963 are therefore as follows:

   	Prices
   Journal	Member	Non-Member
   THE REVIEW OF SCIENTIFIC INSTRUMENTS	$9	$11
   THE JOURNAL OF CHEMICAL PHYSICS	22	35
   JOURNAL OF APPLIED PHYSICS	15	20
   THE PHYSICS OF FLUIDS	15	20
   JOURNAL OF MATHEMATICAL PHYSICS (monthly)	15	20

   The Treasurer cited postage costs justifying foreign subscription differentials of $1.00 to $3.50 but said that we would like to achieve uniformity in our foreign price structure and, to that end, proposed that $2.00 be set as the foreign differential on the above journals. Several members of the Executive Committee wanted Canada and Mexico included in the domestic price category, and the following motion was made, seconded and passed without dissenting vote:

   MOVED that the above subscription rates for 1963 be approved, and that the differential on subscriptions outside the United States, Canada and Mexico be set at $2.00.

   The question of getting second class mailing privileges for PHYSICS TODAY was introduced and the Treasurer stated that the staff is still trying to find a way to do so and has some new avenues to explore.

   The Director reported that a grant was just received to launch publication of APPLIED PHYSICS LETTERS. Some issues will come out in 1962 and will be distributed free to JAP subscribers. It is planned to offer these to others at some appropriate subscription prices. The 1963 subscription price will probably be $5.00 for members and $10.00 for non-members but we should have some freedom to set the price as plans are developed. The following motion was then made, seconded and carried without dissenting vote:

   MOVED that the staff be authorized to set subscription prices of APPLIED PHYSICS LETTERS for 1962 and 1963.

4. Subscription Handling

1. Status Report

   The Secretary reported that considerable progress has been made in solving our subscription handling problems and we are encouraged by the fact that APS member complaints have been reduced. Non-member subscription problems are still plaguing us but a “crash” program has been instituted and it is hoped that the situation will be substantially improved within three weeks. We are practically current at the present time in allocation of member payments and are processing member subscriptions as they are received.

   In cleaning up the subscription backlog Lancaster Press has been swamped with back number orders and has fallen behind from six to eight weeks in making shipments; therefore, a new system is being put into effect whereby Lancaster Press will send to Mailers Inc. in New York City a substantial quantity of recent journals for shipment from there in fulfillment of back number orders.

2. Survey by Cresap, McCormick and Paget

   The Secretary reported that the firm of Cresap, McCormick and Paget was engaged to conduct a survey of our circulation and accounting procedures as authorized by the Executive Committee at its meeting on March 23, 1962. They have spent several weeks working with us and have submitted a plan of action about which the AIP staff members involved are enthusiastic. It will require some changes in our system eventually but the first objective is to meet our middle-of-September deadline for getting out next year’s dues and subscription billings and process the returns promptly. Representatives of Cresap, McCormick and Paget believe they can cut our subscription handling and our data processing costs substantially next year. The consulting services are expected to cost about $10,000.00.

5. Administrative Salaries

(The Secretary and Treasurer was asked to leave during the discussion of this item.)

The Director said that, by authority previously given, he and the Secretary and Treasurer had determined and periodically adjusted all staff salaries except their own. He explained adjustments which were about to be made for the heads of principal departments and recommended an appropriate increase for the Secretary and Treasurer also. After a brief discussion in which comments were made about salaries inside and outside the Institute, the following motion was made, seconded and passed without dissenting vote:

MOVED that the salaries of the Director and the Secretary and Treasurer be increased 10%, effective July 1, 1962, and that they be guided by this motion and the accompanying discussion in adjusting other staff salaries.

6. Future Activities Proposed by Governing Board – Projection to 1967

The Director pointed out that, at the last meeting of the Governing Board, the staff had been directed to consider the desirability of expanding Institute activities in five specific areas and present programs for consideration of the Board and Society officers at Arden House this fall. The Director recalled that a 5-year program and forecast had been made in 1958 and he presented that projection along with current figures showing that the staff and activities of the Institute had grown more rapidly than had been anticipated at that time. The Director then distributed copies of a new 5-year projection in preliminary form. It envisioned further expansion and growth and attempts to provide an estimate of funds, staff and facilities which may be needed for the next five years.

After explanation of various items by the Director and discussion by Committee members, the Director said that a revised copy of the new forecast would be sent to each Committee member soon with the request that he study the document carefully and give his priority rating on certain new activities proposed. On the basis of replies received, the Director plans to prepare a final draft of a 5-year plan as a basis for the Arden House discussion.

The meeting adjourned for luncheon at 12:00 noon and, after a tour of the building addition by Executive Committee members, reconvened at 1:50 p.m.

7. Proposals and Grants

The Director commented briefly on each of the new proposals and grants listed below:

1. AEC Proposal on Publication of Monographs

   The Director stated that the Atomic Energy Commission had approached the Institute to sponsor the preparation of a series of monographs at the rate of about three per year to consist of approximately 200 pages each. AIP would be expected to set up and editor and a committee which would decide what subjects should be covered, appropriate authors, reviewers, etc. Through a contract with AEC the AIP would pay the editor and authors as the manuscript for each book is completed. AIP would be reimbursed for its editorial expense and administration. AEC would make arrangements with a commercial publisher. AIP would receive half of the royalties, the other half going to AEC.

   During the discussion which followed it appeared to be the consensus that this would be an appropriate undertaking for the Institute and the following motion was made, seconded and passed without dissenting vote:

   MOVED that the Director be authorized to negotiate with the Atomic Energy Commission for the publication of a series of monographs in physics along the lines proposed.

8. Election of Corporate Associate

The Director reported that the following organization had requested to become a Corporate Associate of the Institute and, on motion duly made and carried, it was so elected:

1. Status Report

   The Director stated that gross income from 185 Corporate Associates this year is $141,800, with a net income of $105,000.00. Minneapolis-Honeywell Regulator Co. declined to pay the amount of dues which they were assessed, based on our sliding scale of number of physicists employed, and the Advisory Committee on Corporate Associates recommended that we return their check. The following motion was made, seconded and passed with dissenting vote:

   MOVED that Minneapolis-Honeywell Regulator Co. be discontinued as a Corporate Associate of the Institute in view of their failure to meet their assessment.

9. President’s Committee on National Medal of Science

The Director reported that he had received a letter from Mr. Seitz, Chairman of the subject Committee, requesting the Institute to submit nominations by August 1. It was noted that officers of Member Societies have received similar letters and, during the discussion which ensued, it was suggested that the Institute might wish to survey industry for candidates. Ways and means of selecting candidates were discussed and it was the sense of the Committee that the Director should contact members of the Advisory Committee on Corporate Associates for their suggestions.

10. Plans for Fall Meeting of Governing Board and Society Officers

Following previous practice, one day of the Arden House meeting this fall will be devoted to a program for Corporate Associates. The rest of the time will be used for plenary sessions including all Board members and Society officers. Such sessions in the past have generated the greatest interest and should provide a good forum for discussion of what the Institute should try to do during the next five years.

It has not yet been decided whether or when there should be some kind of dedication ceremony for our building addition and, particularly, the new library. This will depend on when the library will be completed and furnished.

11. Next Meeting – Executive Committee

The next meeting of the Executive Committee will be held at the offices of the Institute on the morning of Wednesday, September 25; and a short meeting of the Governing Board will be held on Thursday evening, September 27, at Arden House.

12. Other Business

1. Reproduction of Published Material

   Mr. Lindsay reported that he has been concerned lest journal circulation will be affected by widespread reproduction of individual articles and he wondered whether some scheme could be devised whereby the Institute could produce and sell such reprints profitably. The Secretary said the staff had felt concern about this but, with the recently increased publication charges, the journals are less dependent for their survival on subscription income. Various proposals have been made and studied but no way has yet been found by which the Institute can make and sell reprints of articles from past journals at a price which will be profitable to us and attractive to a purchaser.

2. THE PHYSICAL REVIEW Editorial Mechanics

   Mr. Goudsmit stated that he is faced with a serious problem in his capacity as Editor of THE PHYSICAL REVIEW and would like to delegate more work to the Institute Editorial Department. He urged the staff to make every effort to employ more people with greater competence in physics for that Department.

3. Commemorative Stamp Exhibit

   The Director reported that he and Mr. Goudsmit have embarked upon a project to acquire a collection of stamps commemorating physics and physicists to be exhibited in the library or meeting room of our new addition.

The meeting adjourned at 3:30 p.m.