Repository: UIHistories Project: Board of Trustees Minutes - 1934 [PAGE 220]

EXTRACTED TEXT FROM PAGE:

2l8

BOARD OF TRUSTEES MATTERS PRESENTED BY PRESIDENT CHASE

[May 15

The Board considered the following matters presented by the President of the University.

HOUSE BILL 8 2 8 (DEPOSIT OF UNIVERSITY FUNDS IN STATE TREASURY) (1) A statement concerning House Bill 828 presented by Representative Devine on May 2, 1933, and referred to the Revenue Committee.

On motion of Dr. Meyer, the following resolution was unanimously adopted. WHEREAS, House Bill 828 will, if enacted into law, seriously affect the operations of the University of Illinois, NOW, THEREFORE, BE IT RESOLVED: That the Revenue Committee of the House, to which House Bill 828 was referred, be requested, in connection with the consideration of the bill, to make full and complete inquiry into the methods adopted by the Board of Trustees of the University of Illinois for carrying on its business operations and for the safeguarding of funds in its custody, to the end that the action of the Revenue Committee on this Bill may be in accordance with the best interests of the state as a whole. The Board hereby tenders the Revenue Committee complete access to its records bearing on the matter under consideration and offers full cooperation to the Committee so that all pertinent facts may be made available for its use.

HANDLING OF FINANCES (2) T h e following statement: MANAGEMENT OF UNIVERSITY FINANCES Funds received by the University of Illinois come from various sources. There are State appropriations which make up by far the largest share of its revenue. These funds remain in the State Treasury and are paid out only on specific requisitions for definite stated purposes made by the Board of Trustees. Two items are included in the funds appropriated by the State which arc paid to the University in lump sums. These are, first, the annual interest on the land-grant endowment of the University by the Federal Government, the principal of which was taken over by the State nearly forty years ago with the understanding that interest at five per cent should be paid to the University on this fund given the University by the Federal Government. This amounts to $32,451 annually. Second, there is an item of $50,000 assigned annually for the University by the Federal Government, which is appropriated by the Federal Government to the State on the understanding that it will be reappropriated to the University. These funds are all shown in the appropriation bill. In addition to the above, the University has funds from the following sources: Receipts from student fees, from its experimental farms, its dairy, the cafeteria operated by the students in its Department of H o m e Economics, from room and board in its Residence Halls for W o m e n ; from gifts for specific purposes by individuals; and federal funds for specific purposes appropriated directly to the University by the Federal Government and amounting last year to $376,000. Excluding these federal funds, which are available only for specific purposes in accordance with aets of Congress, the funds available to the University from other sources than its State appropriation will, it is estimated, amount next year to approximately $1,100,000, of which about $800,000 will be in student fees. Detail of these receipts for 1931-32, the last complete fiscal year, is shown in Schedule A, attached. T h e income available for general use is calculated by the University, and the State is asked to appropriate only the balance necessary to make up the