This past week, Florida A&M has had to deal with the fallout from the alleged $237 million gift from Gregory Gerami and the Issac Batterson 7th Family Trust. Following an emergency meeting with the FAMU Foundation on Thursday afternoon, university president Dr. Larry Robinson announced that the institution was pausing the gift after massive skepticism over the validity of the donation festered throughout the days following the announcement.
New reporting revealed by local Tallahassee affiliate ABC67 disclosed the contents of the gift agreement for the $237 million donation. As per the agreement, the Isaac Batterson Family 7th Trust gifted 14 million shares of stock with an intrinsic value of at least $239,000,000. Additionally, they will contribute an extra $61,000,000 over the next decade as per a mutually agreed schedule. The valuation method and specifics of the transferred stocks remain ambiguous. These numbers contrast with the announcement made by Florida A&M on Saturday.
Per comments in the emergency meeting with the FAMU Foundation by Laurence A. Humphries, the value of the stocks is unknown. Per Humphries, the shares could be worth “$500 million or it could be zero”. But, a report released by Jeff Burlew of the Tallahassee Democrat, reveals a questionable move made by Dr. Robinson following the announcement of the $237 million dollar gift.
Florida A&M is enhancing Bragg Memorial Stadium, where the Rattler football team plays. The institution is seeking funding from the Blueprint Intergovernmental Agency (IA), part of the joint City-County Department of PLACE in Tallahassee and Leon County. The agency works with the Planning Department and the Office of Economic Vitality to build a livable, sustainable, and vibrant community through collaborative efforts.
In 2020, Blueprint provided $10 million to Florida A&M for renovation. The university contributed $8 million, totaling $18 million for the project. Per a report by Ja’Caiya Y. Stephens of The Famuan, the institution looked to complete the project in three phases. Phase 1 involved enhancements to the east stands, and Phase 2 included upgrades to the west stands that were finalized using the allocated funds.
The institution requested an extra $15 million last year to cover rising construction costs for improvements. In February, the board rejected immediate funding but opted to investigate using economic development funds instead of infrastructure dollars for the project. Following the alleged $237 million gift, Dr. Robinson wrote a letter to Leon County Commissioner and Blueprint board chair Carolyn Cummings to thank the agency for the $10 million and consideration of the additional $15 million and formally withdraw the request.
“However, at this time we are withdrawing our request for additional assistance from the Blueprint Intergovernmental Agency for Bragg Memorial Stadium. We look forward to continuing to work with you, the Blueprint Board of Directors and Blueprint staff in other ways going forward,” Robinson said in the letter, which was obtained by the Tallahassee Democrat.
While it is unclear that the request to withdraw the request is directly correlated with the $237 million gift announcement at last Saturday's commencement, the letter by Robinson was written on Monday, two days after the announcement and one day after Florida A&M released a statement addressing the initial skepticism behind the validity of the gift.
“As expected, some individuals in the public are and will continue researching Mr. Gerami,” a portion of the statement released by the Office of Communications read. “Please know that FAMU has done its due diligence when it comes to this matter. Additionally, Mr. Gerami has and continues to do his own due diligence on things that have been and are happening at FAMU…Again, we greatly appreciate Mr. Gerami's and the Isaac Batterson Family 7th Trust's generosity. Our students will be the true beneficiaries of their most generous contribution.”
The Florida A&M Board of Trustees will meet on Wednesday, May 15th at 3 PM EST to thoroughly review the reported $237 million donation and the circumstances around it.
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