Repository: UIHistories Project: Board of Trustees Minutes - 1976 [PAGE 714]

EXTRACTED TEXT FROM PAGE:

1976]

UNIVERSITY OF ILLINOIS

703

enable the Foundation to pay the interest on the loan secured to finance the acquisition. T h e improvements consist of a two-story frame residence in good condition for its age (approximately seventy years). The property will be assigned to the Housing Division for rental for staff housing. I t is also recommended that authorization be given to enter into a lease with the Foundation until June 30, 1977, with options for annual renewals thereafter during the term of the lease, subject to funds being made available in the budget of the Housing Division. Funds through June 30, 1977, are available in the budget of the Housing Division, and funds required after that date will be included in that budget on an annual basis. T h e student advisory vote w a s : Aye, M r . Conlon, M r . S u m m e r s ; no, n o n e ; absent, M r . Szegho. O n m o t i o n of M r . H o w a r d , t h e p u r c h a s e of this p r o p e r t y a t t h e p r i c e indicated was authorized by t h e following v o t e : Aye, M r . H o w a r d , M r . Lenz, M r . Livingston, M r . Neal, Mrs. R a d e r , M r . Velasquez; no, n o n e ; absent, M r . Forsyth, M r . H a h n , Mrs. Shepherd, Governor Walker.

Report from the Vice President for Administration Concerning the Provision of Housing in Chicago for the President of the University

A t t h e r e q u e s t of M r . N e a l , V i c e P r e s i d e n t B r a d y p r e s e n t e d a r e p o r t o n this s u b j e c t as follows: For some years, he stated, there has been discussion of the need for the President of the University to maintain a more significant presence in the city of Chicago. Presently he spends several days per week there, and Mrs. Corbally frequently accompanies him on official engagements. Present expenditures of time and travel are unproductive and exorbitant (e.g., hotel bills alone in 1976 will amount to $4,100). An integral contribution to the University of the University of Illinois Foundation has been to assist in providing services and facilities difficult to obtain through State appropriations. Therefore, he offered the following proposal for the informal reaction of the Trustees: T h e University has recently received an unrestricted gift of real estate valued at $90,000. It is proposed that this property be exchanged for several others of equal total value desired by the University and owned by the Foundation. T h e Foundation properties were purchased from a line of credit from the First National Bank of Chicago. T h e Foundation would sell the newly acquired property and purchase for the President's use a one-bedroom condominium at 400 East Randolph Street. The total cost, including furnishings, would be $65,000. The remainder of the proceeds of the sale would be applied to reduce further the line of credit at the First National Bank. T h e condominium then would serve as collateral in substitution of the exchanged properties, an arrangement agreeable to the bank. The debt service on the condominium, including taxes, would be approximately $3,500 per year, an expense that could be met from balances in the Foundation account for property acquisition.' T h e T r u s t e e s discussed t h e p r o p o s a l a t s o m e l e n g t h a n d a s k e d q u e s t i o n s a b o u t t h e d e t a i l s . A n u m b e r of T r u s t e e s e x p r e s s e d s u p p o r t for t h e p r o 1 The proposal is described in a letter from Vice President Brady to the Directors of the Foundation, a copy of which is filed with the Secretary.