MINUTES OF THE INFORMAL MEETING of the' FINANCE COMMITTEE April 20, 1966 5511 I I All members were present. The Board convened in the Heritage Room on Wednesday evening, April 20, following dinner in the Red Cedar Room, to listen to reports from Chairman Huff, Dr. Knisely and Dean Hunt on a series of meetings, conversations and conferences involving members of the State Board of Education, committees appointed by the State Board of Education to study medical education, conferences involving the Deans of Human Medicine at the University of Michigan, Wayne State and Michigan State, a conference arranged by the State Medical Society, and conversations with various others. Degree-grant- ing School of Human Medicine to be under- taken After extensive discussion, it was moved by Mr. Huff, seconded by Mr. Merriman and unanimously voted to authorize Dr. Hunt and Dr. Knisely together with Provost Neville, to undertake the planning for a degree-granting School of Human Medicine to become operative as soon as it is practicable after whatever approval is required by the State Board of Education and with the sanction of the appropriating committees of the State Legislature. It is understood that Hunt, Knisely, and Neville will prepare tentative budget estimates covering operating costs and an outline of the facilities required and their cost -- all to be presented to the Trustees as soon as possible. It is understood that there will be no public announcement or discussion until authorized by the Chairman of the Board and the President of the University. ********* Secretary Breslin reported that the Bill appropriating operating funds for Michigan State University introduced by the Senate Appropriations Committee includes an item authorizing the purchase of books and the employment of faculty for a proposed new law school at Michigan State University. After discussion, on motion by Mr. Stevens, seconded by Mr. White, it was voted to authorize conversations with the State Board of Education requesting an opportunity to discuss the planning at Michigan State University of a law school as now under consideration by the Legislature* Legislative Bill appro- priates funds for purchase of books and employment of faculty for proposed law school at MSU ********* I MINUTES OF THE MEETING of the FINANCE COMMITTEE April 21, 1966 The Finance Committee convened at Kellogg Center at 7 o'clock for breakfast. The following members were present: Messrs. Harlan, Hartman, Huff, Merriman, Nisbet, Smith, Stevens, White; President Hannah, Treasurer May and Secretary Breslin. Absent: No one. 1. Scudder, Stevens & Clark and Mr. Earl Cress recommended the following investment items: Retirement Fund Recommend selling: Amount Security $15,000 55000 225,000 50,000 25,000 U.S. Treasury 4%s-5/15/67 Federal Land Bank 4s-5/22/67 U.S. Treasury 3 3/4s-8/15/68 Federal Land Bank 5 1/8s-7/20/70 U.S. Treasury 4s-8/15/70 (of $140,000) Plus proceeds from redemption on May 1 of: 82,000 MSC Residence Hall Revenue 3.10s-5/l/77 (of $219,000) Recommend purchasing: 100,000 100,000 100,000 Pacific Gas & Electric 3 3/4s-12/l/78 (call price 103.87) Federal National Mortgage Association Participation Certificate 5.25s-4/l/81 (noncallable) General Motors Acceptance Corp. 4 5/8s-3/l/83 (noncallable 1971 then 102.40) Approx. Price Principal Income Yield 99 99 98 100 97 100 $ 14 4 220 50 24 ,850 ,950 ,500 ,000 ,250 $ 637 200 8,437 2,562 1,000 4.8% 4.9% 4.9% 4.7% 4.8% 82 ,000 2,542 3.1% 88 88 ,000 3,750 5.1% 103 103 ,000 5,250 5.0% 93 93 ,000 4,625 5.3% i i :Investment recommenda- tions MINUTES OF THE INFORMAL MEETING of the- FINANCE COMMITTEE April 20, 1966 5511 I I i i i All members were present. The Board convened in the Heritage Room on Wednesday evening, April 20, following dinner in the Red Cedar Room, to listen to reports from Chairman Huff, Dr. Knisely and Dean Hunt on a series of meetings, conversations and conferences involving members of the State Board of Education, committees appointed by the State Board of Education to study medical education, conferences involving the Deans of Human Medicine at the University of Michigan, Wayne State and Michigan State, a conference arranged.by the State Medical Society, and conversations with various others. Degree-grant- ing School of Human Medicine to be under- taken After extensive discussion, it was moved by Mr. Huff, seconded by Mr. Merriman.and unanimously voted to authorize Dr. Hunt and Dr. Knisely together with Provost Neville, to undertake the planning for a degree-granting School of Human Medicine to become operative as soon as it is practicable after whatever approval is required by the State Board of Education and with the sanction of the appropriating committees of the State Legislature. It is understood that Hunt, Knisely, and Neville will prepare tentative budget estimates covering operating costs and an outline of the facilities required and their cost--- all to be presented to the Trustees as soon as possible. It is understood that there will be no public announcement or discussion until authorized by the Chairman of the Board and the President of the University. ********* Secretary Breslin reported that the Bill appropriating operating funds for Michigan State University introduced by the Senate Appropriations Committee includes an item authorizing the purchase of books and the employment of faculty for a proposed new law school at Michigan State University. After discussion, on motion by Mr. Stevens, seconded by Mr. White, it was voted to authorize conversations with the State Board of Education requesting an opportunity to discuss the planning at Michigan State University of a law school as now under consideration by the Legislature. Legislative Bill appro- priates funds for purchase of books and employment of faculty for proposed law school at MSU ********* MINUTES OF THE MEETING of the FINANCE COMMITTEE April 21, 1966 The Finance Committee convened at Kellogg Center at 7. o'clock for breakfast. The following members were present: Messrs. Harlan, Hartman, Huff, Merriman, Nisbet, Smith, Stevens, White; President Hannah, Treasurer May and Secretary Breslin. Absent: No one. 1. Scudder, Stevens & Clark and Mr. Earl Cress recommended the following investment items: Retirement Fund Recommend selling: Amount Security $15,000 5,000 225,000 50,000 25,000 • U.S. Treasury 4%s-5/15/67 Federal Land Bank" 4s-5/22/67 U.S. Treasury 3 3/4s-8/15/68 Federal Land Bank 5 l/8s-7/20/70 U.S. Treasury 4s-8/15/70 (of $140,000) Plus proceeds from redemption on May 1 of: 82,000 MSC Residence Hall Revenue 3.10s-5/l/77 (of $219,000) Recommend purchasing: 100,000 100,000 100,000 Pacific Gas & Electric 3 3/4s-12/l/78 (call price 103.87) Federal National Mortgage Association Participation Certificate 5.25s-4/l/81 (noncallable) General Motors Acceptance Corp. 4 5/8s-3/l/83 (noncallable 1971 then 102.40) Approx. Price Principal Income Yield 99 99 98 100 97 100 88 103 93 $ 14,850 4,950 220,500 50,000 24,250 $ 637 200 8,437 2,562 1,000 4.8% 4.9% 4.9% 4.7% 4.8% 82,000 2,542 3.1% 88,000 3,750 5.1% 103,000 5,250 5.0% 93,000 4,625 5.3% ;Investment j recommenda :tions