- 7

          P.   Designation of Depository Banks (FCR 3)

          Mr. Hardymon stated that FCR 3 is a designation of depository
banks. He said that the Board must designate banks serving the University
and its affiliated corporations to be in compliance with the various K.R.S.
requirements.  He reported that competitive bids were solicited, noting 63
banks were contacted with 39 responses received. He commented on the banks
involved and said that the bids were discussed in detail at the Finance
Committee meeting. He made a motion that the banks listed on attachment A
be approved. Mr. Chellgren seconded the motion and it passed. Mr. Rose
abstained from voting. (See FCR 3 at the end of the Minutes.)

          Q.   Approval of Lease (FCR 4)

          Mr. Hardymon stated that FCR 4 is to authorize the Vice President
for Administration to negotiate and execute a lease between the University
of Kentucky Medical Center-Kentucky Clinic and Kentucky Medical Services
Foundation. He reported that an advertisement was placed in the Lexington
Herald-Leader and The Courier-Journal, and five responses were received. He
said that FCR 4 represents the low bid, and the annual rental rate will be
$50,000. He moved that FCR 4 be approved. The motion, seconded by Mr.
Rose, carried. (See FCR 4 at the end of the Minutes.)

          R.   Capital Construction Report (FCR 5)

          Mr. Hardymon reviewed the Capital Construction Report for the
three months ending March 31, 1993 and moved that it be accepted. His
motion was seconded by Dr. Meriwether and passed. (See FCR 5 at the end of
the Minutes.)

          S.   1992-93 Budget Revision (Reduction in State Appropriation)
(FCR 6)

          Mr. Hardymon stated that the budget for 1992-93 had to be revised
because of a reduction in state appropriations. He reported that the income
estimates will be reduced by $5.6 million; $4.4 million in the University
System and $1.2 million in the Community College System.    The Committee
discussed the various measures currently underway in the administration of
the budget that would need to be increased because of the reduction. He
reviewed the plan for staying within the appropriations and made a motion
for approval. His motion was seconded by Mr. Wilcoxson and passed. (See
FCR 6 at the end of the Minutes.)

          T.   1992-93 Budget Revisions (FOR 7)

          With the concurrence of the Finance Committee, Mr. Hardymon moved
that the 1992-93 budget revisions be approved. He mentioned that these
budget revisions will be reported to the Board on a quarterly basis in the
future. The motion, which was seconded by Mr. Shoop, carried. (See FCR 7
at the end of the Minutes.)

          U.   Room and Board Rates 1933-94 School Year (FCR 8)

          Mr. Hardymon reported that the Finance Committee had a
presentation on the room and board rates for 1993-94.    He said that the
Committee reviewed the items in the budget, and cost increases are mainly