5116 MINUTES OF THE MEETING of the FINANCE COMMITTEE March 25, 19 65 The Finance Committee convened at 7 a.m. for breakfast at Kellogg Center. The following members were present: Messrs. Harlan, Hartman, Huff, Merriman, Smith, Stevens, White; President Hannah, Treasurer May and Secretary Breslin Absent: Mr. Nisbet Investment items 1. Scudder, Stevens & Clark and Earl Cress recommend the following investment items: Retirement Fund Amount Security Approx. Price Principal Income Yield Recommend selling: 1900 shs Ex-Cell-0 Corporation 2760 shs Royal Dutch Petroleum $1.60 1.73 $ 41 41 (With certificate of American Ownership) $77,900 113,160 $191,060 $3,040 4,774 $7,814 3.9% 4.2% •4.2% Recommend purchasing: 1000 shs U. S. Gypsum 1000 shs Corn Products (holding 1200) 1452 shs Scott Paper (holding 1948) 3.00+ 1.50 .90 $10,000 U. S. Treasury 4 l/8s-2/15/74 (Holding $300,000) Albert Hermon Case Fund Recommend selling: 81 56 36 100 81,000 56,000 52,272 $189,272 10,000 3,000+ 1,500 1,306 $5,.806+ 412 3.7+% 2.7% 2.5% 3.1+% 4.2% 400 shs Ex-Cell-0 Corporation 1.60 41 $ 16,400 $ 640 3.9% Recommend purchasing: 200 shs U. S. Gypsum Simonsen Scholarship Fund Recommend purchasing: 3.00+ 81 16,200 600+ 3.7+% $5,000 $5,000 $10,000 $4,000 150 shs 125 shs 100 shs 120 shs 150 shs 135 shs U. S. Treasury 4s-8/15/66 U. S. Treasury 4 l/8s-2/15/75 U. S. Treasury 4%s-8/15/92-87 Virginia Railway 6s-2008 Marine Midland General Public Utilities Freeport Sulphur Columbia Broadcasting System C.I.T. Financial Sterling Drug 60 shs • U. S. Gypsum 60 shs 175 shs .60 shs International Harvester Leclede Gas National Cash Register 1.20 1.36 1.60 1.20 1.60 .75 3.00+ 3.00 1.15 1.20 Fred 1. Russ Fund Recommend selling: $12,000 203 shs U. S. Treasury 2%s-12/15/59-64 Royal Dutch Petroleum 1.73 (With certificate of American Ownership) Recommend purchasing: $11,000 100 shs U. S. Treasury 4 l/8s-2/15/74 U. S. Gypsum 3.00+ Consolidated Investment Fund Recommend selling: 360 shs Royal Dutch Petroleum 1.75 (Wish certificate of American ownership) Recommend purchasing: $8,000 250 shs 211 shs 100 shs U. S. Treasury 3 3/4s-8/15/68 U. S. Gypsum Scott Paper (Holding 389) C. I. T. Financial (holding 400) 1.60 3.00+ .99 100 100 101 117 33 39 54 41 36 35 81 82 28 83 93 41 100 81 $ 5,000 5,000 10,100 4,680 4,950 4,875 5,400 4.920 5,400 4,725 4,860 4,920 4,900 4,980 $74,710 $ 200 206 425 240 180 170 160 144 240 101 180+ 180 201 72 4.1% 4.2% 4.2% 5.% 3.6% 3.5% 3.0% 2.9% 4.5% 2.1% 3.7+% 3.7% 4.1% 1.4% $2699+ 3.6+% $11,160 8,323 $19,483 11,000 ,..8^100 $19,100 $ 300 351 $ 651 4.0% 4.2% 3.3% • 453 J300+ 4.2% 3.7% $ 753+ 3.9+% 41 $14,760 $ 622 4.2% 99 81 36 36 $ 7,920 20,250 7,596 3,600 $39,366 $ 300 720+ 189 160 4.1% 3.7+ 2.5% 4.5% $1,399+ 3.5+% FINANCE COMMITTEE ITEMS, continued 2. Communication from Mr. May: March 25, 1965 5217 jFee Invest- iments The Detroit Bank and Trust Company has made the following recommendations in connection with investments in two of the Fee Trusts: Hold Sell (In Trust 20100) Market Amount Income 1,800 •3,400 200 shs American Telephone & Telegraph 400 shs Detroit Edison Company common 66½ 38 $13,300 15,200 $28,500 $ 400 520 $ 920 ! Buy $28,000 Common Trust Fund #2 (taxable bonds) $28,000 $1,288 8,400 Sell (In Trust 21169 400 shs American Telephone & Telegraph common 66% $26,700 $ 800 Buy $26/000 Common Trust Fund #2 (taxable bonds) $26,000 $1,196 On motion by Mr. Harlan, seconded by Mr. Merriman, it was voted to approve Items 1 and 2. 3. Communication from Mr. May: Confirming our conversation, we have accepted an offer of the Town and Country Realty, Inc., to purchase two land contracts from the Owen estate for $6,000. These contracts have been in arrears for two years, and all efforts to effect any collections have been unsuccessful. The houses in question are in a poor neighborhood and could not be left vacant for even a short period without suffering damage which would be most costly to repair. 2 land con tracts from Owen estate to be sold On motion by Mr. White, seconded by Mr. Stevens, it was voted to approve Item 3. 4. Communication from Mr. May: It is customary for the Board to designate auditors for the annual audit at the March meeting. Ernst and Ernst to conduct audit I would like to suggest that the Board consider appointing Ernst & Ernst to make the audit of the 1964-65 operations. If appointed, they will probably begin work in April, which is the reason for making the appointment at this time. On motion by Mr. Merriman, seconded by Mr. Hartman, it was voted to appoint Ernst & Ernst to conduct the audit for the 1964-65 fiscal year. 5. Communication from Mr. May: I have received a letter from Mr. Simon advising that men with the training and skill necessary to operate boilers and turbines in the new Power Plant are in such short supply that it will be necessary to train the additional employees for Power Plant 65. If we are to have a trained crew to open the plan, it is necessary that we begin recruitment as soon as possible. This creates a budget problem since the current labor budget for the Physical Plant is fully committed for the balance of this year. Additional appropriation $15,000 for Physical Plant I would like to recommend Board approval of a supplemental appropriation of $15,000 to begin the employment and training of necessary personnel. 6. Communication from Mr. May: The University Business Office is having trouble with its labor budget due primarily to the increase in student rates from $1 to $1.25 and, secondly, due to the changes inaugurated this year in the registration schedule which requires a very sizable employ ment of students to accomplish work formerly done by regular staff. In order that we may finish the current year in the black, I would like to recommend to the Board a supplemental appropriation of $5,000 for part-time labor in the University Business Office. If ^Additional ^appropriation ;!i $5,000 j| if or University ^\ Business Of fie ell 7. "• Communication from Mr. May: Because of the illness of Wayne VanRiper, we have been forced to use considerable more student labor in our campus mail room. As of this date its labor budget is nearly exhausted for the year. I am therefore recommending a supplemental appropriation by the Board in the amount of $1,000 for the remainder of this fiscal year. On motion by Mr. Harlan, seconded by Mr. Merriman, it was voted to approve the recommendations in Items 5, 6, and 7. 8. Recommendation for alterations in Room 281 Giltner Hall for the College of Human Medicine at an estimated cost of $6,300 to be charged to Human Medicine Account 11-3984. $1,000 added to Mail Room budget Approval ait. Room 281 Giltner Hall «18 Approval j appropriation I for altera- '] tions in Erickson Hall and for Psychology De'pt. FINANCE COMMITTEE ITEMS, continued March 25, 1965 9. It is recommended that the Board of Trustees authorize two urgently needed alteration projects which are beyond the ability of the Alterations and Improvements budget to finance, to be charged to the Provostls budget for undergraduate instruction. Item 1 requires an appropriation of $16,350 for alterations for the Psychology Department in Olds Hall. These alterations will actually be carried out by the Physical Plant Division. Item 2 covers alterations in Rooms 201, 241, and 250 in Erickson Hall which will provide 8 additional offices and 3 observation rooms at a total cost of $22,700. This too; requires an appropriation. The work will be completed by the Physical Plant Division. On motion by Mr. Huff, seconded by Dr. Smith, it was voted to approve Items 8 amd 9. $5,000 trans. Office of Provost to Institute of C ommu n i t y Development 10... It is recommended that the Board authorize the transfer to $5,000 from the funds budgeted to the Office of the Provost to the Institute for Community Development. This is necessary to make it possible for the Institute for Community Development to complete the commitment that was made by the University as a part of its contribution to the work of the Iri-County Regional Planning Commission. This money will be used to augment the labor payroll account and will be used for the purpose of employing the additional help required In this cooperative project. $27,000 trans, for undergrad, equipment grants $200 yr inc. for grad. teaching assts. Approval 75 new grad. teaching assistants . Approval purchase of Island School New contract Consumers Power for elec service to Spartan Vill. On motion by Mr. Stevens, seconded by Dr. Smith, it was voted to approve the above recommendation. 11. Provost Neville again recommends the transfer of $27,000 from the funds allocated to his office to be used for matching funds for undergraduate equipment grants. This item was in the agenda for the February meeting and action was deferred. Mr. Neville is now prepared to answer the questions that were raised. 12. In response to the President's letter of March 10, a majority of the Board of Trustees agreed to an increase of $200 per year in the minimum and maximum salaries for graduate teaching assistants effective July 1, 1965. This action should be ratified. On motion by Mr. Huff, seconded by Mr. Merriman, it was voted to approve Items 11 and 12. 13. Provost Neville recommends the authorization of 75 additional new graduate teaching assistants for the 1965-66 academic year. After substantial discussion, on motion by Mr. to approve the recommendation in Item 13. Stevens, seconded by Mr. Merriman, it was voted 14. The Holt Public School System accepts the University's offer of $15,000 for the purchase of Island School consisting of 2½ acres of land and the school building at the corner of Jolly and College Roads. It is recommended that the Board approve this purchase. On motion by Mr. White, seconded by Dr. Smith, it was voted to approve the above purchase. 15. Consumers Power Company offers an amended contract for electric service to Spartan Village* The new contract is advantageous to the University in that it incorporates recent rate changes which will save the University approximately $5,000 per year. It is recommended that the Board approve an appropriately worded resolution authoriaing the completion of this new contract to expire June 30, 1967. On motion by Mr. Huff, seconded by Mr. Stev ens, it was voted to approve the above recommendation. addition to Owen Halls. 16. Mr. May presented a review of the plans for financing Holmes Halls, Hubbard Halls, and the Approval financing Holmes and Hubbard Halls \ On motion by Mr, Huff, seconded by Mr. Harlan, it was voted to approve the following Resolutions; and add. to Owen Halls RESOLUTION OF THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY RELATIVE TO THE ISSUANCE AND SALE OF 1965 HOUSING AND REFUNDING REVENUE BONDS, SERIES- I IN THE AGGREGATE. PRINCIPAL AMOUNT OF $16,710,000.00. WHEREAS, the Board of Trustees of Michigan State University, a constitutional body corporate, created under the provisions of Section 5, Article VIII, of the Michigan Con stitution of 1963 (hereinafter referred to as the "Board") and having full constitutional authority and supervision of the University, and control of expenditures from the University funds, has determined that it is necessary and for the best interests of the University, its students and personnel to: | (A) Construct, furnish and equip two new building complexes to provide housing, dining and appurtenant facilities for students attending Michigan State University to be known and designated as Holmes Residence Hall and Hubbard Residence Hall, respectively. Holmes Residence Hall will house approximately 1,276 students, together with necessary supervisory personnel, and is estimated to cost $6,850,000.00, and Hubbard Residence Hall will house approximately 1,214 students, together with necessary supervisory personnel, and is estimated to cost $7,000,000.00 March 25, 1965 5219 FINANCE COMMITTEE ITEMS, continued 16. Financing Holmes Halls, Hubbard Halls and addition to Owen Halls, continued: RESOLUTION, continued (B) To provide funds to retire and refund outstanding bonds designated as "Michigan State University of Agriculture and Applied Science, 1963 Housing Revenue Bonds,,r dated July 1, 1963; and WHEREAS, to provide funds to pay part of the cost of constructing, furnishing and equipping the two new residence halls designated as Holmes Residence Hall and Hubbard Residence Hall, and to provide funds to retire and refund the outstanding Michigan State University of Agriculture and Applied Science, 19 63 Housing Revenue Bonds, above referred to; the Board deems it necessary and expedient to borrow, through the issuance and sale of 1965 Housing and Refunding Revenue Bonds, Series I, the sum of Sixteen Million Seven Hundred Ten Thousand ($16,710,000,00) Dollars, the sum so borrowed to be used and allocated as follows: I Approval ifinaneing ;Hubbard and Holmes Halls and add. to lOwen Halls (A) The sum of Four Million Four Hundred Thousand $4,400,000.00) Dollars to be used to pay part of the cost of constructing, furnishing and equipping of the two new residence halls above referred to, the balance of the costs to be provided by funds raised by the Board through other borrowings; (B) The sum of Eleven Million Five Hundred Ten Thousand ($11,510,000) Dollars to be used to complete the retirement and refunding of the outstanding Michigan State University of Agriculture and Applied Science, 1963 Housing Revenue Bonds above referred to; and (C) The sum of Eight Hundred Thousand ($800,000.00) Dollars to be set aside and held as a Debt Service Reserve for the payment of princi pal of and interest on the bonds of this authorized issue in accordance with the requirements referred to in the Official State hereinafter referred to and included as apart of this , resolution, and in the Trust Agreement securing said bonds; and WHEREAS, the financial officers of Michigan State University, and the Ann Arbor Trust Company of Ann Arbor, Michigan, Fiscal Agent of the Board, have prepared and submitted to the Board a complete and detailed proposed Official Statement which sets forth in detail the terms, conditions, security and covenants deemed necessary in connection with said loan, including the maturities, redemption provisions, security and other details relating to the issue of the 1965 Housing and Refunding Revenue Bonds, Series I, which said proposed Official Statement has been carefully considered and reviewed by the Board; and WHEREAS, the Ann Arbor Truste Company, as Fiscal Agent, has obtained written commit ments for the purchase of said bonds, when issued from The Detroit Bank and Trust Company, National Bank of Detroit, Manufacturers National Bank of Detroit, City National Bank of Detroit, all of Detroit, Michigan, and Michigan National Bank; and WHEREAS, the Board has full power under its constitutional authority and supervision of the University, and the control of expenditures from the University funds to issue said bonds for the purposes hereinafter before referred to, and to pledge for their payment the net income and revenues specified in said Official Statement; NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY, AS FOLLOWS: 1. That this Board does hereby determine it to be necessary and for the best interests of Michigan State University,its students and personnel, to construct, furnish and equip the two new residence halls, and to retire and refund the outstanding bonds, all as referred to in the preamble to this resolution. 2. That the Board borrow the sum of Sixteen Million Seven Hundred Ten Thousand $16,710,000.00) Dollars and issue its 1965 Housing and Refunding Revenue Bonds, Series I, in evidence thereof, the proceeds of the sale of said bonds to be used and applied for the purposes specified in the preamble hereto, which purposes are described with more particularity and detail in the Official Statement approved by this resolution and made a part hereof. Said bonds shall be issued, shall mature, shall be subject to redemption, shall bear interest, and shall be secured as provided in the Official Statement approved and made a part of this resolution. 3. That the Official Statement submitted, and hereinbefore referred to, setting forth in detail the purposes of the bond issue, the maturities, redemption provisions, interest rates, security and covenants in relation thereto, application of proceeds, and other terms and conditions in relation thereto is hereby adopted and approved as to content and form, a conformed copy of which is attached to this resolution and made a part hereof, the same as though each of the provisions therein contained were herein repeated. 4. That legal counsel for the Board is hereby authorized and directed to prepare and submit to this Board as soon as possible the necessary Trust Agreement, resolutions and documents necessary for the issuance, sale and delivery of the 1965 Housing and Refunding ^J»»r.Jtrte 41 £2%. * 5220 Approval financing Hubbard and Holmes Halls and add. to Owen Halls March 25, 1965 "x FINANCE COMMITTEE ITEMS, continued 16. Financing Holmes Hails, Hubbard Halls and the addition to Owen Halls, continued: Resolution, continued: Revenue Bonds, Series I, in accordance with the terms and conditions specified with particularity in said Official Statement. Such documents, after necessary approvals by this Board, shall be executed for and on behalf of this Board by any two of the following officers of Michigan State University, to wit, John A. Hannah, President; Philip J. May, Vice-President; or Jack Breslin, Secretary 5. That John A. Hannah, President of the University, or Philip J. May, its Vice-President, is hereby authorized and directed for and in the name of the Board to execute said 1965 Housing and Refunding Revenue Bonds, Series, I, after the approvals of this Board as specified in paragraph 4 hereof. The coupons appertaining to said bonds issued in coupon form pursuant to said Official Statement shall be authenticated by the facsimile signature of Jack Breslin, Secretary of the University. 6. That said bonds shall in no way pledge the credit of or create any liability on the part of the State of Michigan, the Board or any member of the Board, but shall be payable, out of and secured solely by the pledge of the net income as defined and specified in the Official Statement. i 7. That the commitments for the purchas of 1965 Housing and Refunding Revenue Bonds, Series I, as submitted to this Board by Ann Arbor Trust Company, as Fiscal Agent of the Board, are hereby accepted. RESOLUTION OF THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY RELATIVE TO THE ISSUANCE AND SALE OF 1965 HOUSING AND REFUNDING REVENUE BONDS, SERIES II IN THE AGGREGATE PRINCIPAL AMOUNT OF $13,000,000 WHEREAS, the Board of Trustees of Michigan State University, a constitutional body corporate, created under the provisions of Section 5, Article VIII, of the Michigan Constitution of 1963 (hereinafter referred to as the "Board"), and having full constitutional authority and supervision of the University, and control of expenditures from the University funds, has determined that it is necessary for the best interested of the University, its students and personnel to: (A) Construct, furnish and equip two new building complexes to provide housing, dining and appurtenant facilities for students attending Michigan State University to be known and designated as Holmes Residence Hall and Hubbard Residence Hall, respectively. Holmes Residence Hall will house approximately 1,276 students, together with necessary supervisory personnel, and is estimated to cost $6,850,000.00, and Hubbard Residence Hall will house approximately 1,214 students, together with necessary supervisory personnel, and is estimated to cost $7,000,000. (B) To provide funds to retire and refund an outstanding term bank loan designated as nMichigan State University of Agriculture and Applied Science, 1963 Housing Revenue Notes' dated July 1, 1963; and WHEREAS, to provide funds to pay part of the cost of constructing, furnishing and equipping the two new residence halls designated as Holmes Residence Hall and Hubbard Residence Hall, and to provide funds to retire and refund the outstanding Michigan State University of Agriculture and Applied Science, 1963 Housing Revenue Notes, above referred to; the Board deems it necessary and expedient to borrow, through the issuance and sale of 1965 Housing and Refunding Revenue Bonds, Series II, the Sum of Thirteen Million ($13,000,000) Dollars, the sum so borrowed to be used and allocated as follows: (A) The sum of Four Million Nine Hundred Fifty Thousand ($4,950,000) Dollars to be used to pay part of the cost of constructing, furnishign and equipping of the two new residence halls above referred to, the balance of the costs to be provided by funds raised by the Board through other borrowings; (B) The sum of Seven Million Four Hundred Fifty Shousand ($7,450,000) Dollars to be used to complete the retirement and refunding of the outstanding Michigan State University of Agriculture and Applied Science, 1963 Housing Revenue Notes, above referred to; and (C) The sum of Six Hundred Thousand ($600,000.00) dollars to be set aside and held as a Debt Service Reserve for the payment of principal of and interest on the bonds of this authorized issue in accordance with the requirements referred to in the Official Statement hereinafter referred to and included as a part of this resolution, and in the Trust Agreement securing said bonds; and FINANCE COMMITTEE ITEMS, continued March 25,. 1965 5221 \ i Resolution, continued: 16. Financing Holmes Halls, Hubbard Halls and the addition to Owen Halls, continued: Approval ^financing Holmes and Hubbard .Halls WHEREAS, the financial officers of Michigan State University, and the Ann Arbor Trust [and'add. to jOwen Halls Company, of Ann Arbor, Michigan, Fiscal Agent of the Board, have prepared and submitted to the Board a complete and detailed proposed Official Statement which sets forth in detail the terms, conditions, security and covenants deemed necessary in connection with said loan, including the maturities, redemption provisions, security and other details relating to the issue of the 1965 Housing and Refunding Revenue Bonds, Series II, which said proposed Official Statement has been carefully considered and reviewed by the Board; and WHEREAS, the Ann Arbor Trust Company, as Fiscal Agent, has obtained written commitments f for the purchase of said bonds, when issued, from National Bank of Detroit of Detroit, Michigan, Morgan Guaranty Trust Company of New York and Aetna Casualty and Surety Company Hartford, Connecticut; and WHEREAS, the Board has full power under its constitutional authority and supervision of the University, and the control of expenditures from the University funds to issue said bonds for the purposes hereinbefore referred to, and to pledge for their payment the net income and revenues specified in said Official Statement; ; NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY, AS FOLLOWS: 1. That this Board does hereby determine it to be necessary and for the best interested of Michigan State University, its students and personnel, to construct, furnish and equip the two new residence halls, and to retire and refund the outstanding bonds all as referred to in the preamble to this resolution. 2. That the Board borrow the sum of Thirteen Million (#13,000,000.00) Dollard and issue its 1965 Housing and Refunding Revenue Bonds, Series II, in evidence thereof, the proceeds of the sale of said bonds to be used and applied for the purposes specified in the preamble hereto, which-purposes are described with more particularity and detail in the Official Statement approved by this resolution and made a part hereof. Said bonds shall be issued, shall mature, shall be subject to redemption, shall bear interest, and j shall be secured as provided in the Official Statement approved and made a part of this ;: j resolution. j 3. That the Official Statement submitted, and hereinbefore referred to, -' setting forth in detail the purposes of the bond issue, the maturities, redemption provisions, interest rates, security and covenants in relation thereto, application of proceeds, and other terms and conditions in relation thereto is hereby adopted and approved as to content and form, a conformed copy of which is attached to this resolution and made a part hereof, the same as though each of the provisions therein contained were herein repeated. 4. That legal counsel for the Board is hereby authorized and directed to prepare and submit to this Board as soon as possible the necessary Trust Agreement, resolutions and documents necessary for the issuance, sale and delivery of the 1965 Housing and Refunding Revenue Bonds, Series II in accordance with the terms and conditions specified with particularity in said Official Statement. Such documents, after necessary approvals by this Board, shall be executed for and on behalf of this Board by any two of the following officers of Michigan State University, to wit, John A. Hannah, President; Philip J. May, Vice President; or Jack Breslin, Secretary. \ 5. That John A. Hannah, President of the University, or Philip J. May, its Vice President, is hereby authorized and directed for and in the name of the Board to execute said 1965 Housing and Refunding Revenue Bonds, Series II, after the approvals of this Board as specified in paragraph 4 hereof. The coupons appertaining to said bonds issued in coupon form pursuant to said Official•Statement shall be authenticated by the facsimile signature of Jack Breslin, Secretary of the University. 6. That said bonds shall in no way pledge the credit of or create any liability on the part of the State of Michigan, the Board or any member of the Board, but shall be payable out of and secured solely by the pledge of the net income as defined and specified in the Official Statement. • 7. That-the commitments for the purchase of said 1965 Housing and Refunding Revenue Bonds, Series II, as submitted to this Board by Ann Arbor Trust Company, as Fiscal Agent of the Board, are hereby accepted. RESOLUTION OF BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY RELATIVE TO • BORROWING THE SUM OF $7,450,000.00 by TERM LOAN. - WHEREAS, the Board of Trustees of Michigan State University (herein sometimes called "Board"), In the exercise of its constitutional and statutory duties has determined that it is necessary and expedient to: FINANCE 'COMMITTEE ITEMS, continued March 25, 1965 16. Financing Holmes Halls, Hubbard Halls and the addition to Owen Halls, continued: Resolution, continued: A. Construct, furnish and equip two new residence hall complexes to provide housing, dining and appurtenant facilities for students attending Michigan State University, said complexes to be known as Holmes Residence Hall and Hubbard Residence Hall for approximately 1,27 6 students and approximately 1,214 students respectively; B. To construct, furnish and equip an addition to the existing Owen Graduate Residence Hall, said addition to provide facilities for approximately 514 additional graduate students attending Michigan State University, increasing the existing capacity of Owen Graduate Residence Hall from 476 to 990; and WHEREAS, National Bank of Detroit, a national banking association with principal offices in Detroit, Michigan (herein sometimes referred to collectively as Banks), have offered to loan this Board the sum of Seven Million Four Hundred Fifty Thousand Dollars ($7.,450,000.00) which loan is to be evidenced by Promissory Notes of this Board; which principal indebtedness from time to time owning on said Note shall bear interest at the rate of Three per cent per annum to maturity and shall bear interest at the rate of Four per cent per annum (4%) after said date in the event said principal indebtedness and accrued interest shall be payable in full or or before April 1, 1972; and which loan shall be subject to certain other terms and conditions satisfactory to the Banks set forth in the Notes and in a Term Loan Agreement to be entered into by and between the Board, the Banks and Ann Arbor Trust Company, of Ann Arbor, Michigan (herein sometimes called MTrusteen); and WHEREAS, Ann Arbor Trust Company, of Ann Arbor, Michigan, has submitted for the consideration of this Board a form of Term Loan Agreement pursuant to which the Banks will loan the Board the sum of $7,450,000.00; and WHEREAS, it is the desire of this Board that the Banks shall be given the maximum security and assurance that the principal of said Loan, together with the interest which shall accrue thereon shall be paid when due, in accordance with the terms set forth in the Term Loan Agreement pursuant to which the said Loan is to be made. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY THAT THE Board borrow the sum of Six Million Seven Hundred Thousand Dollars ($6,700,000.00) from National Bank of Detroit and borrow the sum of Seven Hundred Fifty Thousand Dollars ($750,000.00) from The Detroit Bank and Trust Company under the terms and conditions more fully set forth in the Official Statement of this Boa d relating to the Term Bank Loan to be dated April 1, 1965, due April 1, 1972; which Official Statement is incorporated herein by reference, with the same force and effect as though fully set forth herein. BE IT FURTHER RESOLVED that said sums of $6,700,000.00 and $750,000.00, totalling together the sum of $7,450,000.00 be used, together with funds available to the Board from other sources which it may apply to these purposes, to construct, furnish and equip Holmes Residence Hall, Hubbard Residence Hall and an addition to Owen Graduate Residence Hall, to provide facilities for 1,276 students, 1,214 students and 514 students, respectively, including reimbursing Mic&igan State University for sums already paid out for these purposes . BE IT FURTHER RESOLVED that this Board issue two Promissory Notes, identical in all respects save for the amount of the principal sum, Note A, in the amount of $6,700,000.00 payable to National Bank of Detroit and Note B, in the amount of $750,000 payable to The Detroit Bank and Trust Company; and said Notes, evidencing the loan by the Banks to the Board shall be executed in the name of and on behalf of the Board by John A. Hannah, President John A. Hannah, President of Michigan State University, or Philip J. May, Vice President of Michigan State University. BE IT FURTHER RESOLVED that John A. Hannah, President of Michigan State University or Philip J. May, Vice President of Michigan State University, and Jack Breslin, Secretary of the Board of Trustees, be and they are hereby empowered and directed, for and in the name of the BoarcJ of Trustees of Michigan State University and as its corporate act and deed, to execute the Term Loan Agreement hereinbefore referred to, to pledge the Net Income, as therein defined, for the purpose of securing and paying all payments of principal and interest provided for in said Term Loan Agreement and Official Statement and to perform all acts and deeds and execute all documents and instruments necessary, expedient and proper in connection with the borrowing of $7,450,000.00 and the issuance and delivery of the said Promissory Notes. BE IT FURTHER RESOLVED that said officers be and they are hereby authorized, empowered and directed, for an in the name of the Board of Trustees of Michigan State University and as its corporate act and deed, to make, consent to and agre to any changes In the terms and conditions of said Term Loan Agreement which they may deem necessary, expedient and proper, prior to or at the time of the execution of said Term Loan Agreement, but no such amendments shall change the provisions therein for the amount to be borrowed, the interest to be paid thereon, the payments required to be made to the Trustee or the security pledged. Provided, however, nothing herein contained shall be constructed as limiting the right of said officers to alter or change the date of the loan, the date for the payment of principal and interest on said Loan, or the dates fixed for payments to the Trustee provided for in said Term Loan Agreement. FINANCE COMMITTEE ITEMS, continued 16. Financing Holmes Halls, Hubbard Halls and the addition to Owen Halls, continued: March 25, 1965 Resolution, continued: 3 ., BE IT FURTHER RESOLVED that said officers, either in said Term Loan Agreement or-in the issuance of said Promissory Notes, shall not pledge the credit of or create any liability on the part of the State of Michigan, the Board of Trustees of Michigan State University, or any member or officer of this Board or said University or any of their successors, other than to pledge the Net Income, as defined in the Term Loan Agreement above referred to and as set forth in the Official Statement. j 5 4 23 j IAnnrova^ \ r=. \ financing ! Holmes Halls ! „ ,, , TT 1. ;Hubbard Hall \ and add. to ^ Owen Hall ' BE IT FURTHER RESOLVED that said officers be and they are hereby authorized, empowered and directed, for and in the name of the Board of Trustees of Michigan State University, to deliver the Promissory Notes of this Board in accordance with the commitments of National Bank of Detroit and The Detroit Bank and Trust Company submitted by Ann Arbor Trust Company as fiscal agent of this Board, and said Ann Arbor Trust Company is hereby authorized to accept the proceeds of the Loan upon delivery of the Notes. RESOLUTION OF THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY RELATIVE TO BORROWING THE SUME OF $3,825,000.00 BY TERM LOAN \ j | | | WHEREAS, the Board of Trustees of Michigan State University (herein sometimes called .-"Board"), in the exercise of its constitutional and statutory duties has determined that | it is necessary and expedient to retire and refund Michigan State University of Agriculture ! and Applied Science Revenue Bond, 1962 Series, dated June 15, 1962 and originally issued in the principal amount of Four Million Five Hundred Thousand Dollars ($4,500,000.00), Including payment in full of the outstanding principal balance of the said Bond plus all interest which shall have accrued on said outstanding principal balance to date of retirement; and WHEREAS, National Bank of Det roit, a National banking association, with principal offices in Detroit, Michigan (herein sometimes called "Bank") has offered to loan this Board the sum of Three Million Eight Hundred Twenty-Five Thousand Dollars ($3,825,000.00) which loan is to be evidenced by the Promissory Note of this Board; which principal indebtedness from time to time owing on said Note shall bear interest at the rate of Three and one-quarter per cent per annum to date of maturity and shall bear interest at the rate of Four per cent (4%) per annum after said date in the event said principal indebtedness shall not have been paid in full at maturity; which principal indebtedness and accrued interest shall be payable in full on or before April 15, 1972; and which Loan shall be subject to certain other terms and conditions satisfactory to the Bank set forth in the Note and in a Term Loan Agreement to be entered into by and between the Board, the Bank and Ann Arbor Trust Company, of Ann Arbor, Michigan (herein sometimes called "Trustee"); and WHEREAS, Ann Arbor Trust Company, of Ann Arbor, Michigan, has submitted for the consideration of this Board a form of Term Loan Agreement pursuant to which the Bank will loan the Board the sum of $3,825,000.00; and WHEREAS, it is the desire of this Board that the Bank shall be given the maximum security and assurance that the principal of said Loan, together with the interest which shall accrue thereon, shall be paid when due, in accordance "with the terms set forth in the Term Loan Agreement pursuant to which the said Loan is to be made. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF TRUSTEES OF MICHIGAN STATE UNIVERSITY that the Board borrow the sume of $3,825,000.00 from National Bank of Detroit under the terms and conditions more fully set forth in the Official Statement of this Board relating to the Refunding Term Loan to be dated April 15, 1965, due April 15, 1972; which Official Statement is incorporated herein by reference, with the same force and effect as though fully set forth herein. BE IT FURTHER RESOLVED that said sum of $3,825,000 be used, together with funds available to the Board from other sources which it may apply to this purpose to retire and pay in full the outstanding principal balance of Michigan State University of Agriculture and Applied Science Revenue Bond, 1962 Series, dated June 15, 1962 originally issued in the principal amount of $4,500,000.00, including payment of interest which shall have accrued on said outstanding principal balance to date of retirement. BE IT FURTHER RESOLVED that the Promissory Note of this Board evidencing the loan by the Bank to the Board be executed in the name of and on behalf of the Board by John A. Hannah, President of Michigan State University or Philip J. May, Vice President of Michigan State University. BE IT FURTHER RESOLVED that John A. Hannah, President of Michigan State University or Philip J. May, Vice President of Michigan State University, and Jack Breslin, Secretary of the Board of Trustees, be and they are hereby empowered and directed, for and in the name of the Board of Trustees of Michigan State University and as its corporate act and deed, to execute the Term Loan Agreement hereinbefore referred to, to pledge the Net Income, as therein defined, for the purpose of securing and paying all payments of principal and interest provided for In said Term Loan Agreement and Official Statement, and to perform all acts and deeds and execute all documents and instruments necessary, expedient and proper in connection with the borrowing of $3,825,000.00 and the issuance and delivery of the said Promissory Note. 1 ¾ ¾¾ •!• FINANCE COMMITTEE ITEMS, c o n t i n u ed March 25, 1965 Approval financing • Hubbard3Holmes Halls and add. to Owen Halls 16. Financing Holmes Halls, Hubbard Halls and the addition to Owen Halls, continued: Resolution, continued: BE IT FURTHER RESOLVED that said officers be and they are hereby authorized, empowered and directed, for and in the name of the Board of Trustees of Michigan State University and as its corporate act and deed, to make, consent to and agree to any changes in the terms and conditions of said Term Loan Agreement which they may deem necessary, expedient and proper, prior to or at the time of the execution of said Term Loan Agreement, but no such amendments shall change the provisions therein for the amount to be borrowed, the interest to be paid thereon, the payments required to be made to the Trustee, or the security pledged. Provided, however, nothing herein contained shall be construed as limiting the right of said officers to alter or change the date of said Loan, the date for the payment of principal and interest on said Loan, or the dates fixed for payments to the Trustee provided for in said Term Loan Agreement. BE IT FURTHER RESOLVED that said officers, either in said Term Loan Agreement or in the issuance of said Promissory Note, shall not pledge the credit of or creat any liability on the part of the State of Michigan, the Board of Trustees of Michigan State University, or any member or officer of this Board or said University or any of their successors, other than to pledge the Net Income, as defined in the Term Loan Agreement above referred to and as set forth in the Official Statement. 1 1 BE IT FURTHER RESOLVED that said officers be and they are hereby authorized, empowered and directed, for and in the name of the Board of Trustees of Michigan State University, to deliver the Promissory Note of this Board in accordance with the commitment of National Bank of Detroit submitted by Ann Arbor Trust Company as fiscal agent of this Board, and said Ann Arbor Trust Company is hereby authorized to accept the proceeds of the Loan upon delivery of said Note. 17. Mr. May recommends that the Trustees authorize using the earnings from Fee and Akers Halls for this year, which will not be unobligated, to retire a portion of the debt on the Food Stores Building or to pay for costs beyond the original estimate of the new Power Plant,- the exact disposition to be determined by the Trustees at a later date. On motion by Mr. Merriman, seconded by Mr. Huff, it was voted to approve the above recommendation. Earnings Fee and Akers for this yr. to be used to [retire debt Food Stores or new Power PI. Recommendations ]_g, re: allocation 1964 MSU Fund Communication from Mr. Breslin reporting on the MSU Development Fund for the calendar year 1964, as follows: The Trustees of the Michigan State University Development Fund present to the Board of Trustees of Michigan State University $259,012.91 representing gifts contributed by alumni and friends of Michigan State University through the Development Fund for the calendar year 1964 to underwrite new and continuing programs supported by annual allocations from the MSU Development Fund. 1 The total of all gifts contributed during 1964 was $416,664.88. Of this total, the Board of Trustees of Michigan State University has previously accepted $186,081.51. This earlier acceptance of certain gifts was necessitated by the fact that some gifts were in the form of securities or required special handling at the time the gift was made. Total Income $259,012.91 Class of 1914 ($15,485.56 - $110 Ralph Young) Class of 1915 ($4,433.50 - $25 for Ralph Young) Class of 1964 College of Engineering College of Home Economics Library and Lounge College of Veterinary Medicine Nursing Alumni Scholarship Urban Alumni Scholarship Proulx Hotel, Rest, and Institutional Mgt. Scholarships Harlow Mork Fund/Chemistry Fund McKenny Scholarships Music Scholarships School of Business Administration Scholarships School of Packaging Accounting Fellowships School of Hotel, Rest, and Institutional Mgt. Applegate Scholarship (Journalism) Rresge Art Center Library and Blind Students ($20) Addition to Bessey Fund Addition to Soria Fund $15,375.56 4,408.50 2,208.00 4,237.00 1,231.00 1,919.80 646.25 163.00 195.00 96.00 100.00 200.00 4,000.00 872.00 1,025.00 100.00 100.00 50.00 328.00 10.00 5.00 $ 37,270.11 continued l I FINANCE COMMITTEE ITEMS, continued . i- „ , , . , i. ,, i i •• f —. , I, i . .i — 18. Communication from Mr. Breslin re: MSU Development Fund allocations: Continuing Programs Alumni Distinguished Scholarship Awards Alumni Distinguished Faculty Awards Cost of ADS plaques, certificates Interest on Abramsl bond New Programs Alumni Distinguished Fellowship Awards, 4 @ $4,000 New York Philharmonic WKAR Broadcasts Cost to write History of the Civil Rights Commission under President Hannah Cost of Highlanders1 Uniforms Reimbursement to administrative expense for carry-over of 1963 overdraft, $3,675.84 plus $50 to offset bad.check from 1964 income Administration expense (5% of $43,297.35) Kresge Art Collection, first year of a 3-year commitment of $10,000 each year Music Department, for the purchaseof Orff instruments for use by Spartan Singers Expansion of Kresge Art Gallery Ralph Young Fund Total $60,000.00 6,000.00 250.00 10,625.00 $16,000.00 1,200.00 12,000.00 2,800.00 3,725.84 2,164.84 10,000.00 350.00 30,782.51 65,844.61 March 25, 1965 5225 Recommenda tions re: allocation 1964 MSU Fund $76,875.00 $144,867.80 $259,012.91 It is recommended that the Board of Trustees authorize expenditures as recommended by the Committee established by the Development Board of Trustees, including their repre sentatives and the President, the Provost, Mr. May, and Mr. Breslin. On motion by Mr. Merriman, seconded by Mr. Huff, it was voted to approve this Item and to authorize an appropriate letter to the Trustees of the Development Fund expressing the gratitude of the Board of Trustees to the alumni for their 1964 contributions. 19. It has been suggested that since Marshall Wells will soon complete 20 years of cintinuous weekly public service broadcasting from our campus, a suitable citation be prepared to be awarded to him at the luncheon meeting following the IFune meeting of the Board of Trustees. On motion by Mr. Merriman, seconded by Dr. Smith, it was voted to approve the above suggestion. OAKLAND UNIVERSITY FINANCE ITEM ;Marshall Wells to be honored following \ luncheon ijune meeting 1. Mr. Varner reported a prospective donation from the Kresge Foundation to make it possible to buy theater seating for&he music shell at Oakland and requested that he be authorized to order the seats in order to assure delivery in time for the coming summer season On motion by Mr. Huff, seconded by Dr. Smith, it was voted to approve the purchase of these seats on a negotiated basis without going through the usual bidding proceedings. Approval of purchase of seats for music shell Oakland Univ. Adjourned. MINUTES OF THE MEETING of the BOARD OF TRUSTEES March 25, 1965 Present: Mr. Huff, Chairman; Messrs. Harlan, Hartman, Merriman, Smith, Stevens, White; President Hannah, Treasurer May and Secretary Breslin Absent: Mr. Nisbet The meeting was called to order at 10:20 a.m. The Minutes of the February meeting were approved. SPECIAL MISCELLANEOUS 1. Approval of the Finance Committee items on the preceding pages. On motion by Mr, Huff, seconded by Mr. Merriman, it was voted to approve the Finance Committee Items. Approval Finance Com. : items w 5tv/o6 PRESIDENT'S REPORT March 25, 1965 Appt. John Moore to Vet Surg & Med Approval contract ch. For-Cons Bidg. Appointments ~— —' 1 Appointment of John A. Moore as Instructor in Veterinary Surgery and Medicine at a salary 6f $12,000 per year on a 12-month basis, effective from February 8, 1965 to February 7, 1966, paid from account 71-2075, Miscellaneous 1. Approved a contract change in the bids on the Forestry-Conservation Building so that the contracts will cover the full project cost, as follows: 1 Architectural Mechanical Electrical $32,575.00 13,193.99 12,933.00 $58,701.99 Approval con- trace for elec. work new power pi. Approval cont, toilet and storage facility at Old College Field Approved the awarding of a contract to Hall Electric Company, the low bidder, in the amount of $486,900 for the electrical work at the new power plant. The following bids were received: Hall Electric Company Hatzel and Buehler W. D. Gale $ 486,900 635,000 1,072,000 Approved the awarding of a contract to Granger Brothers, the low bidder, in the amount of $13,608 for the toilet and storage facility at Old College Field. The following bids were received: Granger Brothers Hanel-Vance Haussman Construction Foster-Schermerhorn 6c Barnes Christman Company Britsch Construction Company Siwek Construction Ackerman Construction Company Clark Construction 13,608 13,640 13,800 14,152 14,307 14,900 15,300 15,980 16,750 [Approval con- !'tracts for steam tunnel This work is to be paid for from athletic funds included in the regular 1964-65 budget. Approved the awarding of contracts for the construction of a steam tunnel from Wilson Road to Power Plant 65, as follows: General Trades, L. A. Trapp Construction Co. Mechanical Trades, Bosch Plumbing & Heating Co. $210,230 232,483 The following bids were received: General Trades L. A. Trapp Construction Haussman Construction Granger Construction Christman Company Mechanical Trades Spitzley Corporation Bosch Plumbing & Heating Co. Shaw Winkler Company $210,230 230,973 244,654 246,074 $209,470 232,483 272,000 The R. L. Spitzley Company submitted a lower price for the mechanical work, but their bid did not comply with plans and specifications and was based on mill prices for steel pipe with deliveries subject to steel strikes. They also requested negotiation of price with the University for a guaranteed delivery date. The Spitzley Company advised that in order to guarantee deliveries as required, their bid would have to be increased by $21,720. Approved awarding of contracts to the low bidders for the Classroom Building at Oakland University, as follows: Architectural Trades, Schurrer Construction Fo, Mechanical Trades, Benjamin Muskovitz Co. Electrical Trades, Schultz Electrical Service $1,356,000 638,887 250,470 [^Approval con tracts for jClassroom Bldg. at •Oakland Univ. The following budget was approved: Construction Architectural Fees Furnishings Utilities Contingencies and Bonds $2,271,334 113,566 75,000 12,000 28,100 $2,500,000 continued- I 1 i PRESIDENT'S REPORT, continued March 25, 1965 5227 5. Awarding contracts for Classroom Building at Oakland University, continued: Contracts awarded Classroom Building Oakland Univ The following bids were received: Architectural Trades Schurrer Construction Company A. Z. Shmina & Sons Company J. A, Ferguson Construction Company Markward & Karafillis, Inc. Mechanical Trades Benjamin Muskovitz Company Eames & Brown, Inc. Mechanical Heat & Cold John E. Green Plumbing & Heating Co. Brady Plumbing & Heating Electrical Trades Schultz Electrical Service Cates Electrical Company Colonial Electric Company Standish Electric Engineering Co. Elevator Trades Otis Elevator Company Dover Elevator Company $1,356,000 1,453,000 1,597,671 1,683,400 713,887 805,000 812,000 828,000 873,300 255,470 279,178 299,949 330,500 25,977 25,990 On motion by Dr. Smith, seconded by Mr. Merriman, it was voted to approve the President\s Report, NEW BUSINESS Resignations and Terminations Resignations 1. Maurice C. Roberts, 4-H Agent, Berrien County, March 31, 1965 to accept a position in business. 2. Maurice F. Perkins, Professor of Agricultural Economics and Social Science, February 12, 1965 to accept a position with the International Bank in Washington, D.C. 3. Richard G. Wheeler, Associate Professor of Agricultural Economics, March 26, 1965 to accept a 2-year appointment with the USDA in Brazil. 4. Max Nelson, Associate Professor of Speech, August 31, 1965 to accept a position at California State College in Fullerton, California. 5. Burton Dean Friedman, Assistant Professor of Administration and Higher Education, June 30, 1965 to accept a position as Associate Professor of Latin American Area Studies at the University of Kansas. • - 6. David Krathwohl, Professor of Guidance and Personnel Services, August 31,- 19 65 to accept a position as Dean of the School of Education at Syracuse University. 7. Karen Elizabeth Vogt, Instructor in Home Management and Child Development, August 31, 1965 to seek a position in another part of the country. 8. Ronald L. Davis, Assistant Professor of Humanities, August 31, 1965, to accept a position in the Department of History at Southern Methodist University effective September 1, 196*5. 9. Fredric J. Mortimore, Coordinator, Continuing Education, January 31, 1965 to accept a posi tion as Assistant Instructor in the College of Education. This action also cancels the appointment as Administrative Assistant in Education which was to have.been effective February 1, 1965. 10. Monica M. Schneider, Librarian, Library, March 31, 1965 to accept a position in Wisconsin. •11. Edythe F. Wolf, Librarian, Library, April 8, 1965 to be a full-time homemaker. Leaves--Sabbatical Leaves 1. Ernest H. Kidder, Associate Professor of Agricultural Engineering with full pay from June 16, 19 65 to September 15, 1965 to study at Utah State. 2. Milton H. Erdmann, Associate Professor (Ext.) of Crop Science with half pay from June 1. 1965 to May 31, 1966 to study at Cornell, Nebraska, California, Washington, Oregon and Idaho. 3. Martin J. Bukovac, Professor of Horticulture, without pay from December 1, 1965 to March 31, 1966. and with full pay from April 1, 1966 to September 30, 1966 to study.at Oxford University and the University of Bristol. 4. Arthur R. Wolcott, Associate Professor of Soil Science, with full pay from June 15, 1965 to September 25, 1965 to study and travel in Europe. 5. James H. Soltow, Associate Professor of History, with half pay from September 1, 1965 to August 31, 1966 for Fulbright study in Belgium. NEW BUSINESS, continued Leaves""Sabbatical, continued March 25, 1965 6. Richard F. GoSzalez, Associate Professor of Management, with full pay from September 1, 1965 to December 31, 19 65 to study in East Lansing at the University and New York. 7. R. Winston Oberg, Associate Professor of Management, with full pay from April 1, 1965 to June 30, 1965 to study in the Lansing area and field trips in USA. 8. Edward A. Andreasen, Assistant Professor of Speech with full pay from April 1, 19 66 to June 30, 19 66 to do research in Nex ' • ft 40. Grant of $23,983 from The National Institutes of Health of Washington to be used under the Sg jg direction of R. S. Bandurski in Botany and Plant Pathology for a study of nucleic acid metabolism in yeast and higher plants. 0, • ' • • • ' • ", " * | 51. Grant of $300 from Zollar Greening Nursery, Inc., of Benton Harbor to be used under the direction of Donald Cation in Botany and Plant Pathology to continue the acquisition and f maintenance of virus indexed clones for the benefit of the tree fruit industry. | fe> • ' ' . . ' •• | 52. Grant of $250 from Hooker Chemical Company of Niagara Falls, New. York, to be used under the I % direction of D. J. deZeeuw in Botany and Plant Pathology to aid in support of a graduate research assistantship on seed and soil treatment fungicide research. ; 53. Grants as follows from the Atomic Energy Commission of Washington to be used in Chemistry: : : a- $36,045 under the direction of L A. Eick for an investigation of some rare earch boron, carbon, nitrogen, and related systems at elevated temperatures. b. $36,564 under the direction of J. L. Dye for research on electrochemistry and spectra of metal-ammonia and metal-amine solutions . l 54. Grant of $29,891 from the United States Army Research Office of Durham, North Carolina, to ; t be used under the direction of R. S. Nicholson in Chemistry for investigations of stereo- specific electrode processes. 55. Grant of $48,840 from the United States Army Research Office of Durham to be used under the direction of M.. T. Rogers in Chemistry for studies of chemical bonding in transition metal ions. 56. Grant of $4,166.60 from the Agricultural Research Service of Lansing to be used under the direction of R. P. Ralston in Entomology for an insect survey control. 57. Grant of $135 from The Bendix Corporation of Ann Arbor to be used under the direction of C. E. | I Prouty in Geology• 58. Grant of $2,500 from the Humble Oil and Refining Company of Houston, Texas, to be used under the direction of C. E. Prouty in Geology for the attainment of excellence in teaching and research j I in Palynology, or to enable one or more well qualified and worthy student to continue his 1 education in Palynology. 59. Grants as follows from the National Science Foundation to be used in Physics and Astronomy: a. $2,900 under the direction of Alfred Leitner to produce a film entitled 'Superconductivity.n b. $24,500 under the direction of E. A. Hiedemann for research on diffraction of light by ultrasonic waves in transparent solids. 60. Grant of $20,389 from the Atomic Energy Commission of Argonne, Illinois, to be used under the direction of A. F. Yanders in Zoology for research on basic fertilization phenomena and gametic lethality in Drosophila. 61. Grant of $7,000 from the Automobile Club of Michigan of Detroit to be used under the direction of A. F. Brandstatter In Police Administration and Public Safety to provide scholarships to police officers attending the short course program in traffic. 62. Grant of $3,534 from the National Institutes of Health to be used under the direction of A. 0. Haller in Sociology for a predoctoral fellowship. 63. Grants as follows from the National Institutes of Health to be used In Pathology: a. $500 under the direction of K. K. Heahey to support a fellowship. b. $10,598 under the direction of C. K. Whitehair for research on the influence of infection of nutritive requirements. I I [ ! I ' 64. Grant of $600 from Parlam Division, Ormont Drug and Chemical Company, of Englewood, New Jersey, 1. to be used under the direction of C. F. Cairy in Pharmacology for a study of the usefulness of drugs in aged dogs. 65. Grant of $17,650 from the National Science Foundation to be used under the direction of W. L. ! Frantz in Physiology for research on the physiology of the specific action of a hormone. I &2m NEW BUSINESS, continued Gifts and Grants, continued March 25, 1965 Gifts and Grants 66. Grant of $6,000 from the International Business Machines Corporation of Yorktown Heights New York, to be used under the direction of F. C. Johnson in the Educational Development Program for applied research and development of program materials for computer assisted instruction. j 67. Grant of $6,040 from the Department of Economic Expansion of Lansing to be used under the | direction of D. L. Gibson in the Institute for Community Development to assist the State Planning Agency in the design and programming of staff and consultant activities. | 68. Grant of $900 from The Farm Foundation of Chicago to be used under the direction of A. L Hunter in Continuing Education to support the Town & Country Leadership Conference. ! \ 69. Grant of $15 from the United Church Women of Greater Lansing to be used under the direction of A. L. Hunter in Continuing Education to support the program in Adventure in World Understanding. | | 70. Grant of $288,000 from the Agency for International Development of Washington to be used •! ! under the direction of R. H. Smuckler in International Programs and Dean Cowden in Agrl- culture to develop the Balcarce Agricultural College and INTA!s Balcare Experiment Station into a land-grant type college of agriculture. ; 71. Grant of $355,000 from the Agency for International Development to be used under the direction of R. H. Smuckler in International Programs to continue the support of the Uni versity of Nigeria. ! 72. Grant of $109.30 from the United Church Women of Greater Lansing to be used under the | direction of Home Higbee in International Programs to aid foreign students. | 73. A check for $25,208.33 has been received from the estate of W. F. Uhl. Mr. Uhl died on December 23, 1963, in Boston Massachusetts, leaving a will which named the University as I beneficiary of a gift of $25,000. Mr. Uhl was a graduate of the College of Engineering and had been awarded an honorary doctor's degree from this University. It is recommended that the Board invest these funds with the income from the investment to be used at the discretion of the Board of Trustees for the encouragement of undergraduate students, or the improvement of the undergraduate program. I ! 74. Acceptance of $259,012.91 from the MSU Development Fund 1964 collections to be used for a variety of purposes agreed upon by the University and the Development Fund Trustees. j ; On motion by Mr. White, seconded by Mr. Merriman, it was voted to accept the Gifts and Grants. Reports for Board Members ; 1. The following alterations and improvements have been approved since the February meeting of the Board of Trustees and charged to the accounts indicated: From Alterations and Improvements, 11-5173 j | ! ; a. Subdivide Room 104, Morrill Hall, to make 3 rooms to provide tutorial sections of 5 students each for an experimental plan for English 213 (EDP Project) $2,450.00 b. Alterations to Rooms ID, 3A, and 4D, Marshall Hall, to provide office space for three additional staff members for Labor and Industrial Relations 1,700.00 c. Construct 2 additional ticket windows at the Auditorium for selling tickets for concerts d. Convert Room 2 in Library to be used for storage, including fluorescent lighting in tubes running north and south e. Alterations to storage room adjacent to gallery in Kresge Art Center so that ventilation may be improved f. Install individual thermostatic controls in each office in planetarium g. Remove partitions from Rooms 208 and 209, Eustace Hall, for the Educational Development Program. This is space vacated by the Philosophy Department h. Install chalkboards in 21 offices in Eppley Center for the College of Business--% of cost i. Improve lighting in Room 503, Erickson Hall j. Install counter in Room 257, Student Services Building, to provide space for Financial Aids and Records for the Student Loan Office k. Install a handrail at west stairs to ground floor of Olds Hall 1,360.00 1,000.00 950.00 900.00 750.00 700.00 500.00 425.25 50.00 From Dean of Business, 31-1523 a. Install chalkboards in 21 offices in Eppley Center for the College of Business-^ of cost 700.00 $11,485.25 2. Additional payments to salaried employees since the February Board meeting, as per list on file. i i i i i Alterations and Improve ments March 25, 1965 %*j?i OAKLAND UNIVERSITY Resignations and Terminations 1. Peter H. Amann, Associate Professor of History, August 31, 1965. 2. Richard Quaintance, Assistant Professor of English, August 14/ 1965. Appointments (Oakland jUniversity Appointments 1. Herbert Schuel, Assistant Professor of Biology, at a salary of $9,000 per year on a 10-month basis effective August 15, 1965. 2m G. Philip Johnson, Professor and Chairman of the Department of Mathematics, at a salary of $16,500 per year on a 12-month basis effective August 1, 1965. Salary Changes .1. Salary increase for Melvin Cherno, Associate Professor of History to $10,700 per year on a 10-month basis effective April 1, 1965. Salary changes 2. Salary increase for Alfred DuBruck, Assistant Professor of Modern Language and Literature to $9200 per year on a 10-month basis effective March 1, 1965. 3. Salary increase for Norman Susskind, Associate Professor of Modern Languages and Literature to $10,000 per year on a 10-month basis effective March 1, 1965. Miscellaneous 1. Recommendations from the Director of Personnel, as follows: Personnel recommendations a. Establish an Auditor AP-VII position in the Business Office. b. Establish a Publicist AP-I position in Continuing Education and the Mott Center for Community Affairs, paid 50% from 21-3074 and 50% from 51-5835. c. Establish an Assistant AP-V position in Physical Education. d. Establish an Associate Dean of Students and Dean of Men AP-IX position in Student Affairs. 2. Chancellor Varner recommends that Oakland University grant honorary degrees to the follow ing at commencement on April 24, 1965: Honorary degrees granted a. Professor Meyer Schapiro, distinguished art historian at Columbia University b. Roy Wilkins, Executive Director of the National Association for the Advancement of Colored People c. Congressman John V. Lindsay from New York, the commencement speaker 3. Chancellor Varner recommends that the same sabbatical leave policy be authorized for Oakland University as is now in effect at Michigan State University. If is recommended that the provisions for compensation be clarified and made to read as follows: Approval sabbatical leave policy For 10-month employees, sabbatical leaves may be granted for one semester with full pay, for 2 semesters at half pay, or for one calendar year with half pay. For 12-month employees, sabbatical leaves may be granted for 6 months with full pay, or one year with half pay. Gifts and Grants 1. Grants as follows to be used for scholarship purposes: Gifts and Grants a. $25 from the Village Woman's Club of Birmingham for their scholarship trust fund, account 32-3415. b. For the Awards Account, 32-3359: $56 from The Daily Tribune of Royal Oak $100 from Ecorse V.F.W. Post 5709 & Ladies Auxiliary $250 from Miles Laboratories, Inc., of Elkhart, Indiana $50 from the School District of the City of Troy c. For Scholarship Account 32-3228: $500 from Donald E. Ahrens of Bloomfield Hills $300 from the Consumers Power Company of Pontiac d. For the General Scholarship Fund, 31-3227: 3 shares of Class B.. stock in GM Shares, Inc. valued at $1,737 from Alfred L. Boegehold of Bronxville, New York $100 from Mr. and Mrs. R. A. Armstrong of Pontiac $15 from Stanley H. Brams of Bloomfield Hills $100 from Glenn R. Brooks of Rochester $2,500 from Edward N. Cole of Detroit $100 from the Daughters of the American Revolution of Bloomfield Hills $100 from Mrs. Walter Gehrke of Pleasant Ridge $100 from Mrs* Harold E. Howlett of Birmingham $25 from Mrs. George Mitten of Birmingham $350 from Mr. and Mrs. Ralph T. Norvell of Pontiac Grant of $100 from the Oakland County Engineering Society to be used under the direction of Dean Sells to establish the Oakland Count}'- Engineering Society Loan Fund for Engineering students. March 25, 1965 5246 Oakland U n i v e r s i ty G i f ts and Grants OAKLAM) UNIVERSITY, continued G i f ts and G r a n t s, continued 1. Scholarship grants, continued: d. For the General Scholarship Fund, 31-3227, continued From the Oakland County Scholarship Committee: $22,044.55 from the 1965 Music Festival Program Book $9,000 from the 19 64 Hunt Fair $1,835 from the Tribute Fund $100 from Aloysius F. Power of Bloomfield Hills $100 from James M. Roche of Detroit $8 from Jack Taylor of Rochester $20 from Mrs. William A. Taylor of Birmingham $25 from Mr. and Mrs. Harry Warholak of Rochester $50 from Mrs. Frank Winton of Birmingham $5 from Mrs. J. Sidlar of Warren $50 from the Wyman Furniture Company of Pontiac 2. Grants as follows for the Everett Grinnell Loan Fund, 32-3017: $25 from Dr. and Mrs. Harold J. Brown of Oxford $25 from Mr. and Mrs. Russell R. Grinnell of Pontiac $5 from Mr. and Mrs. H. T. Blakeley of Orchard Lake 3. Grant of $3,750 from Wyandotte Chemicals Corporation to be used under the direction of Chancellor Varner for inorganic chemical reference books. 4. Grants as follows to be used under the direction of Chancellor Varner in support of the Meadow Brook Music Festival: a. $2,000 from Campbell-Ewald Company of Det roit b. $1,000 from the Chrysler Corporation-Fund of Highland Park 5. Grants as follows to be used under the direction of Floyd Cammack in the Library: a. $500 from Richard B. Wallace of Bloomfield Hills for the purchase of the New York Times on micro-film b. $125 from the Sun Life Assurance Company of Canada of Southfield for the purchase of a set of Encyclopedia Canadiana c. For the purchase of books for the Library: $50 from Mr. and Mrs. James L. Cameron $50 from the Ford Foundation $67 from Mr. and Mrs. John W. Shehefield $100 from Leonard T. Lewis $100 from Alvin Larson $15 from Mr. and Mrs. Ralph Norvell $100 from Mr. and Mrs. Theodore Yntema $100 from Mr. and Mrs. Marvin Katke $25 from Canada Life Assurance Co. $50 from Mrs. Alfred G. Wilson Reports for Board Members 1. The following alteration and improvement items have been authorized and charged to account 91-9163: a. Floor tile for the area vacated by the chemistry laboratory b. Architectural services in connection with the design for the Little Theater in the IM Building c. Install and purchase black nucite chalkboard in Science Building d. Install centrifuge machine in Science Building e. Construct and install Biology Front tanks f. Electrical, mechanical, and structural maintenance work at the Animal Shelter for the Biology program g. Install gas outlets in Science Building for Biology h. Electrical work for installation of electron microscope in Biology i. Electrical work for the Little Theater in the IM Building $35.50 277.31 114.00 112.70 101.66 900.94 245.75 859.39 132.00 $ 2,779.25 2. Additional payments to salaried employees since February meeting as per list on file. On motion by Mr. Stevens, seconded by Dr. Smith, it was voted to approve all Oakland items. The meeting adjourned at 12:55 p.m. The next meeting will be held at Oakland University starting Wednesday, April 21, with luncheon at 1 oTclock. The Finance Committee will meet for breakfast at 7 a.m. Thursday, April 22, followed by the regular session. Luncheon will be served at approximately 12 noon. Alterations and improve ments items