Repository: UIHistories Project: Board of Trustees Minutes - 1988 [PAGE 93]

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1986]

UNIVERSITY OF ILLINOIS

83

an average annual rate of return during this period of 10.32 percent, compared with a 9.63 percent average for all commercial money market funds, and a 9.68 percent average for 90-day Treasury bills. In Fiscal Year 1985-86, the fund provided participants with a higher rate of return than all commercial money market funds listed in Donoghue's Money Fund Report. Although an overall' review of the University's investment program is currently being conducted, it is believed that the University should participate in the Gammon Fund because of its excellent peformance record. Accordingly, the Finance and Audit Committee recommends that the board authorize the use of the Common Fund for Short Term Investments for investment of current funds and perhaps some of the short-term investments in other fund groups. Currently, the University has approximately $86 million of current funds invested; $55 million in a group of pooled funds and $31 million separately invested. The committee also recommends that the board adopt the following resolution authorizing the opening of an account in the Common Fund for Short Term Investments. I concur. Resolution Be It Resolved that the comptroller of the Board of Trustees of the University of Illinois is authorized to invest such funds or securities as may from time to time be determined by the Board of Trustees in The Common Fund for Short Term Investments. Be It Further Resolved that the comptroller is also authorized to enter into a Trust Agreement with the Philadelphia National Bank for the purpose of arranging for the management of that portion of University of Illinois funds which are normally invested in short-to-intermediate term, fixed-dollar securities. The comptroller in his discretion may from time to time deposit such funds with the Philadelphia National Bank with the understanding that the Bank will invest these funds in The Common Fund for Short Term Investments under the terms set forth in the Plan dated September 9, 1974. The persons named below are authorized in respect of this institution's investments under said Trust Agreement to make deposits and withdrawals, to give instructions to and otherwise effect transactions with the Philadelphia National Bank. Name L. Rea Jones John W. Tolar Olline Taiylor Nancy Underwood Office Investment Office Investment Office Investment Office Investment Office

Be It Further Resolved that the secretary is hereby directed to file with the Bank a certified copy of this resolution and a list of the persons named in Paragraph 2 above together with specimens of their signatures; and that this resolution shall amend or supersede any prior resolutions concerning the subject matter hereof to the extent inconsistent herewith and that this resolution shall continue in full force and effect until amended, superseded, or rescinded by further resolution and written notice thereof has been received by the Bank. O n m o t i o n of M r . Forsyth, this r e c o m m e n d a t i o n w a s approved and t h e foregoing resolution w a s adopted. By consensus, t h e board agreed that o n e roll call vote w o u l d be taken a n d considered the v o t e o n e a c h a g e n d a i t e m nos. 23 through 3 8 inclusive. T h e r e c o m m e n d a t i o n s w e r e individually discussed but acted u p o n at o n e time. ( T h e record of board action appears at the e n d of e a c h item.)