September 15, 1945



President H. L. Donovan
University of Kentucky

Dear President Donovan:

          I submit hereto attached the Financial Report for
the months of July and August, 1945.

          It is too early in the fiscal year to make much of
analysis of the operation of the budget. It may be stated,
however, that the total estimated income fors the six colleges,
and the Graduate School and Auxiliary Enterprises and Activi-
ties, was $1,743,990.45. We received during July and August
against this estimate the sum of $425,966.41, which is 24.4%
of the estimate. The total budget appropriations for general
administration, colleges, auxiliary enterprises and activities
were $1,766,761.00. The expenditures and encumbrances through
July and August were *249,698.97, or 14.1% of appropriations.

          Estimated income for operation of the Experiment
Station Division was $569,000.00. We have received during the
two months of operation $130,146.77, which is 22.8% of the
estimate. The budget appropriation for operations was the
same as the amount anticipated to be received.  The expendi-
tures for the period were $96,489.26, or 17% of the budget.

          The state and federal appropriations for the Agri-
culture Extension Division are $833,869.49. The state has made
available one-fourth of appropriations for Extension work, and
one-half of the federal appropriations have been received. The
B&nkheiad-Flannagan appropriation was not available at the time
of making the budget and therefore was not anticipated.   There
has been received frorn this source $80,365.05, which is avail-
able for Agriculture Extension and Home Demonstration work in
the state.

          The expenditures for Agriculture Extension work
during July and August aggregated $150,403.89, which is 18%