Repository: UIHistories Project: Board of Trustees Minutes - 1940 [PAGE 16]

EXTRACTED TEXT FROM PAGE:

I938]

UNIVERSITY OF ILLINOIS

13

be possible to assemble a quorum of the Board for formal action. Even though it will be necessary to adopt a formal resolution at a meeting held subsequent to the receipt of the offer, this action may serve as a tentative acceptance pending such formal action. O n m o t i o n o f D r . M e y e r , t h i s offer w a s a c c e p t e d a n d t h e S e c r e t a r y w a s a u t h o r i z e d to issue the necessary certification as r e c o m m e n d e d , by the following v o t e : A y e , M r . K a r r a k e r , D r . M e y e r . ACQUISITION OF ILLINOIS UNION PROPERTIES (22) T h e special committee of the Board of Trustees which has been considering the proposed acquisition of the Illinois Union and Arcade buildings submits, as its report, a memorandum of joint understanding reached with representatives of the Board of Directors of the University of Illinois Union, Incorporated, at a meeting on July 8.

MEMORANDUM OF JOINT UNDERSTANDING OF SPECIAL COMMITTEE OF BOARD OF TRUSTEES OF THE UNIVERSITY OF ILLINOIS AND REPRESENTATIVES OF THE BOARD OF DIRECTORS OF THE UNIVERSITY OF ILLINOIS U N I O N , I N C .

Date of meeting: July 8, 1938. Present: University Board of Trustees members—O. M. Karraker, A. Pogue, Louis C. Moschel; University officers—A. C. Willard, Lloyd C. S. Havens, F. H . Turner, A. J. J a n a t a ; Union representatives—W. G. H . T. Scovill, E. J. Filbey, Gleyn Goodwine, Carl Stephens, F. H . (Members of the B o a r d ) , and E. E. Stafford, Business Manager.

Harold Morey, Palmer, Turner

I The Union is to convey to the University both the Union Building property and the Arcade Building property (excluding in both cases equipment belonging to the Union) subject to unpaid mortgage obligations amounting as of July 15, 1938, to $155,763 and the following additional considerations: (1) Cancellation by the University of the deferred indebtedness of the Union to the University amounting to $9,967. (2) Payment by the University to the Union of a sum of cash not in excess of $10,000 or such amount thereof as will enable the Union to liquidate all floating indebtedness including the expense of this transfer and leave it with a working cash balance of not less than $2,500 as of June 30, 1938. (3) T h e Union is to retain notes, accounts receivable, and other current items, such items to be evaluated in connection with the determination of working balance provided under ( 2 ) . (4) T h e Union is to assign t o the University all existing leases as of July 15, 1938. (5) T h e Union is to transfer to the University as of July 15, 1938, subject to rights of mortgages, all unexpired insurance, and the University is to pay the Union for amount of unused premium thereon. (6) T h e University is to agree to provide the Union quarters for carrying on its activities as follows: ( a ) quarters for general student activities are to be provided without rental charge, the same as in the case of other student organizations; (b) the Union is to have the privilege of renting space now occupied by its business activities such as Book Exchange, Billiard room, Bowling alley, and dance hall at rentals to be mutually agreed upon. II The Board of Trustees is to be requested, in accepting this proposal, to adopt a resolution containing an expression of recognition of the valuable service of the Illinois Union in acquiring and operating quarters for student activities through a long period of years and in transferring these properties to the University.