MlLMUTiiS OF. /THiii

of the
'FliMAWGii CQMMI1TKE UF THE •
STATHi BOARL OF AGiilCULTUHii 
August  la, i9?5

^

The meeting of the Finance  Committee was  held at Kellogg  Center  starting at 5:00:p.m., followed

by dinner.  The following members were present:

Messrs. Alters, Brody, Mueller, Smith; President  Hannah, Treasurer May  and Secretary  McDonel

Absent:  liiss Jones, Mr. House
1.  Recommendation from Scudder, Stevens and Clark to malce the  following  July investments were

approved with 'Mr. May by telephone fcy a majority of the members of the  Board:

Consolidated  Investment  Fund:

Using  stock  rights, subscribed  for 5 shares of Consumers Power, total cost  $223

Reserve for  Rehabilitation of Structures:

With available  cash, buy $8,500 U.S. Treasury  2-|s-il/i5/6i at a cost of $b,k±5

Forest Akers  Fund:

Cancel the order to purchase i|0 shares of General Motors at approximately  S100
Buy 65 shares of American Natural Gas at approximately  $5Li for a total cost of $3,510

Jenison  Fund:

To  carry out the  investment policy ox this fund,  transfer  $15,, 000 U.S. Treasury  2%$-
12/15/62-59 to the Pension and Retirement  Fund; and
With funds  available  from the  transfer, purchase:

Finance
Committee
Report

150 shares American  Natural Gas at |5l| 
60 shares  Consolidated  Edison at §50 
30  shares United Aircraft at §68

Pension and Retirement  Hind:

Recommend  purchasing:
30 Consumer  Power at $50

600 Northern Natural Gas at $k2
100 Panhandle  Eastern  Pipe Line at $75
150 United Aircraft at $68

Recommend  subscribing to

100 .American Natural Gas at $50 (E)

U0  Consumers Power at $l  (

#6,100
3,000
2,01+0
$13,12*0

1,500
25,200
7,500
10^ 200

$  5,000
1,600

$ 6,boo

On motion of Mr» Mueller, seconded by Mr. Brody, it -was voted to approve the above item.

2.. • Communication from Scudder, Stevens & Clark covering investment funds for August as follows:

Akers Fund:

Sell 63 rights of American Natural Gas

Albert H#  Case and Sarah Ac Case Fund:

Purchase 30 shares of American Natural Gas at approximately I-U8.5O using the rights
recently made available•

Jenison Fund:

Purchase 30 shares of American Natural Gas at approximately §i;8.5O using the rights
recently made available
Sell $15,000 U.S. Treasury 2±s-i962-59
Purchase 200 shares of Burroughs Corporation at approximately S28
Purchase 200 shares of American Can at approximately $h

Consolidated  Investment Fluid:

Sell  $6,000 U.S. Savings  Bonds Series MG".
Purchase  100 shares American Natural Gas at approximately $56

Pension and Retirement  Fund:

Purchase 100 shares American Natural Gas at approximately  $1*8*50 using  the  rights
recently made  available.
Purchase 500 shares American Airlines at approximately $26
Purchase  200 shares of National Steel at approximately $06
Purchase  200 shares of General Electric at approximately $50
Purchase  300 shares of American Can at approximately SI4I

On motion of Mr. Brody,  seconded by Mr. Mueller, it was voted to authorize  these purchases and
sales as recommended*

On motion of Mr. Brody,  seconded by Mr. Mueller, it was voted to approve  the recommendation of
Scudder, Stevens and Clark,  that  sale of $ii,l|00 A T & T Convertible 3 3/h$  Debenture  Bonds due
12-10-65 at approximately  Iii3t, held by the  Pension and Retirement  Fund,  and the  investment of
the proceeds in approximately 35 shares A T & T Company  Common ex-rights.

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8500

Finance Committee Meeting, continued:

3#  On motion, of Mr. Akers, seconded ty Mr« Mueller, it was voted to approve the followingoiand

purchases:

a*  E ±5 feet of Lot ok of the Lixac Lawn Farm* Subdivision No, 1, from Mr. and Mrs.

Stuart Gailacher for: $2,000.

tu  Approximately lOf acres of land directly west of the golf course property on Mt. Hope

Road from Mr. and Mrs. Edward Yeiiand at $y,50U, to be paid for with Athletic funds.

c.  UO acres on College Road from Mr. and Mrs. Husseli Kleis for #u8,000, to be paid over

a period of years.

d.  Approximately ST( acres adjoining University property and extending to the corner of the

C•& 0 railroad and the Red Cedar River for $73,000, known as Carl and Robert Hicks property,

e.  The Katherine Hart property on Mt. Hope Road surrounded by the golf course for ipl9,375

to be charged to Athletic funds.

f.  The Edward Bennett property on Mt. Hope Road surrounded  cy the golf course for §16,000

with the house to be removed by Mr. Bennett, to be charged  uo Athletic funds.

Adjourned.

Approval of
Finance Com-
mittee Reoort

Application
to FCC for
inc. in power
FM radio.

Approval of
resolution re
financing of
Music Bldg.
addition.

141MJ I £S  0 F  THE  MEET ING

OF  THE

STATE BOARD OF AGRICULTURE

August ±y,

Present:  Mr. Brody, Chairman; Messrs. Akers, Mueller, House, Smith; President Hannah, Treasurer

May and Secretary McDonel

Absent:  Miss Jones, Dr. Taylor

The meeting was called to order at 9:30 a.m.

The minutes of the previous meeting were approved,

SPECIAL MISCELLANEOUS

1.  Approval of the Report of the Finance Committee on the preceding pages.

On motion of Mr. Mueller, seconded by Mr. Brody, it .was voted to approve the recommendations of
the Finance Committee.

2.  It is recommended by Mr. Coieman and Mr. Denison that they be authorized to make application to
the Federal Communications Commission for an increase in power for our EM radio station from
the present 9700 Watts to 100,000 Watts.  If this petition is granted, it will Involve an
eventual expenditure of

On motion of Mr. Brody, seconded by Dr. Smith, it was voted to approve the above item.

3.  Approval of the following resolution covering zhe financing of the Music Building as presented

by the Ann Arbor Trust Company and approved by Attorney Carr.

On motion of Mr* i'xueiier, seconded by Mr. Brody, it xvras voted to approve the following resolution:

RESOLUTION OF THE STATE BOARD OF AGRICULTURE. 10-BORROW MONEY TO PROVIDE FUNDS TO PAY COSTS OF
AN ADDITION TO THE MUSIC BUILDING

WHERfciAS, The State Board of Agriculture, in the exercise of its constitutional duties,

has determined that It Is necessary and expedient to construct, furnish, and equip an addition
to the present Music Building located on the campus of Michigan State University, at East
Lansing, Michigan^ and

WHER3AS, This Board deems It necessary and expedient that It borrow the sum of Four Hundred

'Thousand Dollars ($4.00,000•00) to be used, together with other available funds, to pay costs of
such new construction, the furnishing and equipping ox said addition to the Music Building,
Architects1 fees, financing costs, and other expenses Incidental thereto; and

WHEREAS,- Ann Arbor Trust Company, of Ann Arbor, Michigan, has submitted for the consideration

of this Board a form of Term Loan Agreement-whereby the sum of Four Hundred Thousand Dollars
($24.00,000.00) .may be borrowed from the Michigan National Bank, with principal offices in Lansing,
Michigan; which sum, when taken together "with other available funds, will be sufficient to pay all
costs incidental to the construction, furnishing, and equipping of the new addition to the Masic.
Building hereinbefore described.

NOW, THEREFORE, HE IT RESOLVED BY THE STATE BOARD OF AGRICULTURE that a Term Loan Agreement,
substantially in the form presented to the Board, be entered Into with Michigan National Bank and
Ann Arbor Trust Company, as Agent; which agreement shall be dated as of January 16, ±95b, and
pursuant to the terms of which Four Hundred Thousand Dollars  (gijOO^OOO.OO) may be borrowed from
said bank under the following terms:

1.  Amount of Loan: 
2.  Interest Rate: two and one-quarter per cent (2z/b) per annum.
3.  Term:  Ten (±0) years.
h*  Payment and Security:  The Term Loan Agreement shall provide that beginning with January

§i|00,000.00

15, 1956, the Board will' set aside and segregate music fees, practice fees, and other fess