FCR 10




Office of the President
June 24, 2003

Members, Board of Trustees:

          A RESOLUTION OF THE BOARD OF TRUSTEES OF THE UNIVERSITY OF
       KENTUCKY AUTHORIZING THE ISSUANCE OF APPROXIMATELY $29,655,000
       OF UNIVERSITY OF KENTUCKY CONSOLIDATED EDUCATIONAL BUILDINGS
       REVENUE BONDS, SERIES S, TO BE DATED THE FIRST DAY OF THE MONTH
                             IN WHICH THE BONDS ARE SOLD

Recommendation: that the Board of Trustees approve a Resolution authorizing the issuance of
approximately $29,655,000 of University of Kentucky Consolidated Educational Buildings Revenue
Bonds, Series S, to be dated the first day of the month in which the Series S Bonds are sold.

The Resolution authorizes the issuance of approximately $29,655,000 of Series S Bonds for the purpose
of financing the Biomedical Sciences Research Building, constituting the Series S Project upon the
campus of the University in Fayette County in the Commonwealth of Kentucky, which project will, when
completed, become part of the University of Kentucky Consolidated Educational Buildings Project of the
University (the "Series S Project").

The Resolution also approves the offering for sale of the Series S Bonds upon the advice of the Financial
Advisor, First Kentucky Securities Corporation on a date to be determined by the Treasurer of the
University, upon the advice of said Financial Advisor (expected to be July 22, 2003). The Resolution
further authorizes the acceptance of the bid for the sale of the Series S Bonds by the Treasurer. The exact
principal amount of Series S Bonds to be sold will be determined on the date of sale as the amount
required to (i) pay the budgeted costs of the Series S Project, (ii) make the required deposit in the debt
service reserve fund, and (iii) pay the costs of issuing the Series S Bonds.

Background: The University presently has outstanding ten series of University of Kentucky Consolidated
Educational Buildings Project Revenue Bonds, Series E, J, L (Second Series); G, H, I (Third Series); K
(Third Series); M; M (Second Series); N (Second Series); 0; P; Q and R (the "Outstanding Bonds") all
secured by a pledge of the Revenues (registration fees) and by a statutory mortgage lien against all of the
buildings of the Project. The Bond Resolution approves the appointment of the Bank One Trust
Company, NA, Lexington, Kentucky, as Trustee, Bond Registrar, Transfer Agent, Payee Bank and
Depository Bank, with respect to these Bonds, provides for the execution of the appropriate parity
certification establishing that the "coverage" of projected income of the Project over debt service
requirements will meet the 1.25 test necessary to establish that the Series S Bonds will rank on a parity
with the Outstanding Bonds.



LJ Disapproved         LJ Other



Action taken:  RI Approved