Repository: UIHistories Project: Board of Trustees Minutes - 1962 [PAGE 1299]

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1296

BOARD OF TRUSTEES

[February 21

A search committee has been appointed to consider available candidates for this position and to make recommendations. T h i s r e p o r t w a s received for record. BANK ACCOUNTS FOR EXTENSION COUNCILS (8) Agricultural and home economics extension work in the counties of the state of Illinois is supported by federal appropriations, state appropriations to the University of Illinois, and contributions from local sources. Under the present system, local funds are paid to the University and become one of the financial resources for payments by the University of salaries, travel, rent, and other expenses incidental to operating the county offices. T o expedite the payment of local operating costs of the offices and to increase participation and responsibilities of local citizens, it is proposed that the expenditures for local operations — other than salaries, travel, and rent — be made at the county level from the contributed funds. The kinds of expenditures are: office supplies, telephone, utilities, and the service activities mentioned below. In 1955 Councils in Agriculture Extension and in Home Economics Extension were established in each county. Members are appointed by the Director of the Cooperative Extension Service under authority granted by the Board of Trustees. These Councils assist the University in carrying out its Cooperative Extension Service programs. It is a present responsibility of the Extension Councils to develop detailed budgets for the extension work in the respective counties with the assistance of the County Advisers and to obtain local contributions in support of such budgets, which are submitted to the Cooperative Extension Service for approval. The Councils forward to the University the grants obtained from local sources to support these programs. It is now proposed that funds received — except those for salaries, travel, and rent — be deposited in a bank within the county in the name of the University of Illinois. Local operating costs, other than those indicated, will be paid from this account. Into this account will also be deposited receipts from local service activities, such as 4-H premiums and prizes and camping activities, and from which equivalent disbursements for these purposes will be made. All checks drawn will be signed by the Council Treasurer and co-signed by the County F a r m or Home Adviser. Audits of the accounts will be regularly performed by a University auditor, and financial reports will be periodically submitted to the Cooperative Extension Service. It is recommended by the Director of the Cooperative Extension Service and by the Vice-President and Comptroller that the Board authorize establishing accounts in banks in (selected) counties for the funds for local operations, as outlined above, for each of the Councils in Agriculture and in Home Economics. F o r the present, this procedure will be initiated in only a few selected counties to test its operational effectiveness. If such a procedure proves successful, it may be extended to all of the counties of the state desiring such a service. A report of the accounts thus established will be made to the Board. O n m o t i o n of M r . S w a i n , t h i s r e c o m m e n d a t i o n w a s a p p r o v e d , and authority was given as requested. ANTI-TRUST LITIGATION (9) On February 5, 1962, suit was filed on behalf of the University in the Federal District Court for the Northern District of Illinois (Case 62 C 362) against eighteen electrical manufacturers who were involved in the electrical equipment price-fixing conspiracy which was the subject of federal anti-trust action in 1960 and 1961. The complaint seeks recovery of treble damages under the Sherman and Clayton Anti-Trust Laws, for overcharges on purchases of electrical equipment by and for the University during the period of the conspiracy. T h e Legal Counsel states that the institution of the suit on the date indicated was necessary to preserve the University's rights in the matter. He requests confirmation and ratification by the Board of the filing of the suit, the employment of Attorney Lee A. Freeman, Chicago, as special counsel to represent the University in connection therewith, and authority to proceed with the litigation and to employ such other special consultants as may be appropriate. I concur.