Repository: UIHistories Project: Board of Trustees Minutes - 1978 [PAGE 326]

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1977]

UNIVERSITY OF ILLINOIS

315

The student advisory vote was: Aye, Mr. Matthews, Mr. Volgman; no, none; absent, Mr. Conlon. On motion of Mr. Livingston, these recommendations were approved, and authority was given as recommended by the following vote: Aye, Mr. Forsyth, Mr. Hahn, Mr. Howard, Mr. Lenz, Mr. Livingston, Mrs. Rader, Mrs. Shepherd, Mr. Velasquez; no, none; absent, Mr. Neal, Governor Thompson.

Authorization for Approval of Cost-Plus Contract Work Orders for FY 1978

(31) The Board of Trustees has approved the award of cost-plus contracts for repairs, minor remodeling, and new construction in amounts up to $25,000 for each project. The president of the University, with the concurrence of appropriate administrative officers, recommends the following action of the board to include the additional authorization for such projects: It is further recommended that the comptroller be authorized to approve work orders under these cost-plus contracts up to $25,000 for each project. Such work orders will be reported in the usual manner in the Comptroller's Report of Contracts Executed. O n m o t i o n of Mrs. R a d e r , this r e c o m m e n d a t i o n w a s approved.

Lease Agreement, Warehouse Facilities, Medical Center

(32) The chancellor at the Medical Center has recommended the execution of a leasing arrangement1 for the warehousing facility at 1121 South Clinton Street, Chicago, Illinois. The lease of this building and premises is for the period July 1, 1977, through June 30, 1978, with option to renew for successive annual periods until June 30, 1984, under substantially the same terms and conditions. The basic annual rental rate is $50,690.60. In addition, the University is responsible for all costs associated with the premises including taxes, insurance, repairs, routine operation and maintenance costs, special assessments, and paving indebtedness. In the first year of operation, these expenses are estimated to be: Taxes and insurance Repairs Routine operation and maintenance Special assessments and paving indebtedness $27 900 00 7 0Q0 00 28 600 00 Nil

One-twelfth of the annual sum estimated as necessary to pay expenses relating to taxes and insurance is to be paid monthly to the lessor, and is to be held by the lessor in escrow and applied as required. However, the University will supplement these amounts if additional funds are required for these purposes. The University will assume complete operation, maintenance, and repair responsibilities for the leased premises except that the lessor is to maintain, at his own expense, the structural sufficiency of the roof, foundation, and outside walls. The building will provide approximately 34,973 square feet of floor area, of which approximately 5,000 square feet is equipped for office use and the remainder for warehouse purposes. The space will provide offices and warehouse facilities for

1 Ownership of the building and real estate is held in trust. Cosmopolitan National Bank of .Chicago, Trustee, Trust No. 10269, principal trust beneficiary Milton Podolsky. The premises are leased to Joseph E. Seagram & Sons, Inc., an Indiana corporation, successor in interest to the House of Seagram, Inc., a Delaware corporation. The premises are subleased to Joseph S. Beale, Lawrence P. Levy, and Norman O. Stava, individually, jointly, and severally, with whom the University would enter into the above-mentioned proposed lease agreement.