Repository: UIHistories Project: Board of Trustees Minutes - 1978 [PAGE 604]

EXTRACTED TEXT FROM PAGE:

1978]

UNIVERSITY OF ILLINOIS

591

thereof presented to this meeting; provided, however, that if any such changes constitute a substantial change in the form of the "Preliminary Official Statement" presented to this meeting they shall first be approved by the Executive Committee of the board, to which authority for such approval is delegated by the board.

On motion of Mrs. Rader, the foregoing resolution was adopted. Contract with A. G. Becker to Serve as Financial Adviser, Series N Parity Bonds

(13) T h e board approved on March 15, 1978, a contract with A. G. Becker Municipal Securities, Incorporated, to serve as financial adviser to the University for the advance re-funding bond sale. A proposal has now been received from A. G. Becker to serve as financial adviser to the University for the issuance of $35,500,000 in parity bonds to be known as Series N under the Campus Life Auxiliary Support System. A. G. Becker will provide the following advisory services for a fee1 of $50,500, with payment to be made upon successful completion of the competitive sale and subsequent delivery of the bonds: 1. Analyze the financial and other economic factors relating to the proposed bonds, including any related estimates of possible future financial and other economic consideration; coordinate financial activities with the University engineers, architects, accountants, and other specialists engaged by the Board of Trustees; and plan a financial program for the issuance and sale of bonds to be presented to the board for approval. 2. Prepare the "Official Statement" and distribute it to potential underwriters. 3. Recommend the necessary provisions and covenants to be contained in the bond authorizing and securing instruments, including, but not limited to, bond amounts, dates, maturities, interest rates, redemption provisions, flow of funds, debt service coverage requirements, reserve funds, rates and charges, security pledges, and, if required, conditions relating to the issuance of any additional bonds. 4. Coordinate work with bond counsel regarding the financial and security provisions to be contained in the instruments authorizing and securing the bonds, attend meetings, and otherwise assist to the extent reasonably necessary and proper. 5. Prepare any necessary illustrations, charts, graphic presentations, and other information of use to potential underwriters and investors. 6. Initiate and conduct an information program designed to stimulate interest of underwriters and investors in purchasing the bonds. 7. Prepare information necessary to obtain the most favorable bond rating and present this information to the major bond rating organizations. 8. Advise and assist in arranging for printing, execution, and signing and delivery of the bonds after the bond sale. 9. Attend any sale of the bonds to advise and assist in awarding the sale of the bonds to the buyer that is in the best interest of the University. 10. Meet with representatives of the University and with the parties designated for such purpose by the University at all reasonable times. 11. Advise the University as to the time, or times, of offering of the obligations and the most favorable method of sale of the board's bonds, taking into account market conditions and other known offerings of bonds. T h e foregoing assistance shall be of a technical nature. T h e University shall at all times independently determine all matters of fiscal and financial policy with respect to the financing and construction of facilities. Without limiting the generality of the foregoing, nothing herein or otherwise shall make or authorize A. G. > Fee schedule: For the first $10,000,000 — $2.50 per .$1,000; for all over $10,000,000 —$1.00 per $1,000.