Repository: UIHistories Project: Board of Trustees Minutes - 1960 [PAGE 573]

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BOARD OF TRUSTEES

[July 21

buildings will be on Peabody Drive and will consist of three residence halls and a food service unit, duplicating the Gregory Drive Men's Residence Halls group (Forbes, Garner, and Van Doren Houses), completed and occupied in September 1958. T h e third stage will provide housing for 1,500 men students; quarters for 1,000 should be available in September, i960, and the remaining 500 in September, 1961. T h e total estimated cost of this project is $7,500,000, to be financed through a revenue bond issue. It was anticipated that $3,750,000 of the bonds could be sold to the Housing and Home Finance Agency under the Federal College Housing Loan Program and the remaining $3,750,000 sold at public sale to investment bankers. Approval of the federal government's participation in this financing was contingent upon enactment of the housing bill recently passed by the Congress and consequently University negotiations were necessarily delayed until the outcome of this legislation was known. The veto of the congressional act means further delay and it is uncertain whether or not any housing legislation will be approved by the present Congress. T o meet the completion schedule indicated, construction must be started soon. Bids on the construction will be received on July 22 and 28, and it had been planned that as soon as these bids are known, a public notice would be issued inviting bids on the bonds with the sale of bonds scheduled for the middle of August. In the event federal financing is not available in time, one of two courses of action may be followed: (1) divide the project into two phases, the first of which would be financed entirely from the sale of bonds to private capital and the second deferred until federal financing can be assured; or (2) sell bonds for the complete project to private capital and seek federal financing on future housing projects for their total cost instead of on a matching basis. The Vice-President and Comptroller recommends that: 1. H e be authorized to advertise for the sale of bonds at the appropriate time and in a manner advantageous to the University; 2. The application to the Housing and Home Finance Agency be amended, if necessary; 3. The firm of Chapman and Cutler, Chicago, be retained as counsel for the bond issue; 4. The Executive Committee of the Board of Trustees be authorized to (a) award construction contracts, (b) approve the Loan Agreement with the Housing and Home Finance Agency if federal financing is available, and (c) sell the bonds for this project; 5. Funds from Housing Division Reserve be advanced to the extent necessary and available to finance construction costs prior to the delivery of bonds; and that 6. The Comptroller and the Secretary of the Board of Trustees be authorized to execute all documents and to take all other steps necessary to initiate this project. I concur in these recommendations.

On motion of Mr. Johnston, these recommendations were approved, and the Executive Committee was authorized to act for the Board on all necessary steps to be taken pursuant to said recommendations. This action was taken by the following vote: Aye, Mr. Clement, Mr. Herrick, Mr. Hughes, Mr. Johnston, Mr. Pogue, Mr. Swain, Mrs. Watkins, Mr. Wilkins, Mr. Williamson; no, none; absent, Mr. Harewood, Mr. Stratton.

FINANCING AND C O N S T R U C T I O N O F LAUNDRY AT CHICAGO PROFESSIONAL COLLEGES (21) T h e Board of Trustees has approved the construction of a laundry at the Chicago Professional Colleges as a self-liquidating project, has authorized the Vice-President and Comptroller to investigate ways and means of financing its construction, and has authorized employment of architects to prepare plans and specifications. T h e Buildings and Grounds Committee has approved the location of the building at the northeast corner of Damen Avenue and Taylor Street. T h e Vice-President and Comptroller and officers of the University 01 Illinois Foundation have discussed with officers of the First National Bank ot Chicago methods of financing; as a result of these conferences, it has been