After reading Spanky's comments, I realize I was a bit curt in my
reponse.  While I think that it is not necessary that ORSP have a Ph.D.
as director, I do feel it is important to have a strong advocate for the
office at, minimally, the level of Dean.  My office functions under the
Dean of the Graduate School who is also the Director of Research for the
University.  We handle the administrative work; the Dean deals with the
upper levels of policy-making.  It works quite well.  But you really
should complete a needs assessment, looking at your strategic goals as
you move to a II.  (BTW, the University of Scranton is Jesuit school and
a comprehensive I institution.)