Repository: UIHistories Project: Board of Trustees Minutes - 1954 [PAGE 442]

EXTRACTED TEXT FROM PAGE:

1952]

U N I V E R S I T Y OF I L L I N O I S

439

members. It would be consistent with these policies and practices if the University would also make payments under the statute for services rendered by the local taxing bodies to those portions of the Student-Staff Apartments which are occupied by full-time staff members. Discussions by University officers and special counsel 1 with the State's Attorney of Champaign County, who is authorized by law to enter into agreements with respect to payments for services under the statute, have resulted in a plan, satisfactory to him, as resolving these controversies, which contemplates: a. As authorized by the existing statute, the University will pay for the services rendered by the local taxing bodies to that portion of the Student-Staff Apartments leased to and occupied by its full-time staff members by paying that proportion of the full amount of the real estate taxes which would be payable upon these properties if they would be considered to be fully taxable which the number of apartments occupied by full-time staff members on April I of each year bears to the total number of apartments in the buildings on that date. b. Payments for such services will be made for the tax years 1951 and 1952, during which the Student-Staff Apartments have been assessed for taxation, and also for the tax year 1950 for which they were not so assessed. (Only one of the buildings was in operation at that time.) c. Prior to the making of such payments on the above basis for the tax years 1951 and 1952, an agreement will be entered into with the State's Attorney as contemplated by the statute in which he will agree that the payments made on that basis constitute proper compensation to the taxing bodies for services rendered by them to these properties during those years and orders will be entered by the County Court of Champaign County sustaining the University's objections to the assessment and levy of taxes against the properties for those years, setting aside and removing said assessments and levies, and approving said agreement between the University and the State's Attorney. The provisions of those orders will be as identical as possible with those of an order heretofore entered by said County Court sustaining the University's objections to the assessment and levy of taxes and to the County Treasurer's application for judgment for taxes assessed and levied for the year 1950 upon other properties upon which the University made payments for services under the above-mentioned statute for that year. d. No such court order will be obtained in connection with the payment of services upon the foregoing basis for the year 1950, but an agreement will be entered into between the University and the State's Attorney with respect thereto which will recite that such payment is being made voluntarily by the University without prejudice to its contention and position that the Student-Staff Apartment buildings were then and are now exempt from taxation and also without prejudice to the contention of the taxing authorities that they were not then and are not now tax exempt. While public officials now in office, including the State's Attorney and the present members of the Champaign County Board of Review, can not bind their successors, it is anticipated by all concerned that adopting and carrying out the plan recommended above with respect to the years 1950, 1951, and 1952 will establish a policy to be followed in subsequent years. Continuation of this policy by the University, however, will be contingent upon the statute authorizing it to make such payments remaining in effect and no increases being made in the assessment of the Student-Staff Apartments in future years which are not in line and in proportion with increases in assessments generally of other properties in the city of Urbana. The costs to the University will be: tax year 1950, $5,150 (estimated); tax year 1951, $9,544.90 (actual) ; tax year 1952, $9,790 (estimated), to be paid in 1953. Adoption of the plan will require some increase in the rentals charged fulltime staff members occupying apartments in the buildings, effective after termination of present leases. Hence, to meet payments due in 1954, a rental increase of $8.50 to $10 a month for all apartments occupied by full-time staff members will be required effective September I, 1953. The Director of the Physical Plant, the Comptroller, the Legal Counsel, and special counsel recommend that this plan be adopted, that the Comptroller and the

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Mr. J. G. Thomas of Champaign.