Repository: UIHistories Project: Board of Trustees Minutes - 1934 [PAGE 172]

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170

BOARD OF TRUSTEES

[January 25

I now recommend that the Board accept the bequest under the conditions attached to the gift and that counsel for the Morava estate be notified of this action.

On motion of Mr. Barr, this bequest was accepted.

BUDGET OF THE ATHLETIC ASSOCIATION (12) A statement concerning the financial plans of the Athletic Association.

It was the sense of the Board that the budget of the Athletic Association, not only for next year but also for the rest of the current year, should be reduced at least twenty-five per cent.

FINANCIAL SITUATION (13) A report on the financial outlook for the rest of the year.

Mr. Morey made a statement concerning this matter. The report was received for record.

REPORTS OF T H E FINANCE COMMITTEE

M r . T r e e s , for t h e F i n a n c e C o m m i t t e e , r e p o r t e d on several m a t t e r s as follows:

INVESTMENT OF MCKINLEY ENDOWMENT AND OTHER TRUST FUNDS I. On December 21, 1932, the Board directed the reinvestment in United States Government securities of $2,200 of general endowment funds, the securities of which matured on January 1, 1933. On the same date $15,000 of investments representing the McKinley Professorship Endowment also matured. A majority of the members of the Finance Committee recommended that this money also be reinvested in United States Government securities. The Comptroller reports that in accordance with the recommendation of the Committee, and on the advice of the Treasurer of the University, he has purchased $16,200 par value of United States Treasury ?>M% bonds due 1946-56 at 105^2, or a total cost of $17,040.38 plus accrued interest, as reinvestments of the above funds. The sum of $14,300 par value of these bonds, representing the McKinley Professorship Endowment, has been deposited in escrow with the Trevett-Mattis Banking Company of Champaign in accordance with the deed of gift of this fund. The remaining $1,900, representing the investment of general endowment funds, has been deposited with the First Union Trust and Savings Bank of Chicago for safe keeping in accordance with the contract with that bank. T h i s m a t t e r w a s referred to t h e F i n a n c e C o m m i t t e e , with aut h o r i t y t o t r a n s f e r t h e i n v e s t m e n t t o o t h e r s e c u r i t i e s if s u c h a c t i o n seems advisable. NALLY MORTGAGE I I . A recommendation that the Comptroller be authorized to work out the solution of the problem of the mortgage on the Nally property (at Wright street and University avenue) in harmony with the discussion at this meeting, and to report his action at the next meeting.

On motion of Dr. Noble, this recommendation was approved.

HART MORTGAGE I I I . A report that the makers of the H a r t mortgage, covering property in Benton, have made a proposal involving the transfer of the land and other property to the University, and a recommendation that the Comptroller be authorized to take the necessary steps to effect a settlement.

On motion of Mr. Trees, this recommendation was approved.

CHICAGO AND WEST TOWNS RAILWAY BONDS IV. On July 13, 1932 (Minutes, page 95),the Board authorized the deposit of $1,000 of Chicago and West Towns Railway bonds, representing an investment of the K. C. Babcock Endowment Fund, which were due July 1, 1932, with the Bondholders Protective Committee pending a refinancing of the Company.