- 6 -

the search. He reported that seven candidates were interviewed, and three
of the candidates were chosen to visit the campus for more extensive

       He briefly reviewed Dr. Holsinger's credentials. He noted that Dr.
Holsinger is a skilled clinician and a proven administrator and has
demonstrated his ability to understand and conduct research. President
Wethington stated that, in his opiniiou, Dr. Holsinger is the person to
lead the Chandler Medical Center toward the year 2000 and beyond. He
expressed pleasure in recommending that Dr. James Wilson Holsinger, Jr. be
appointed Chancellor for the Albert B. Chandler Medical Center. Dr.
Powell moved approval. The motion, seconded by Mr. Shoop, passed. (See
PR 3C at the end of the Minutes.)

       Governor Breathitt thanked President Wethington for agreeing to
serve as the chair of the search. He said that President Wethington
proceeded in a very thorough manner and had made it possible for many
Trustees to meet Dr. Holsinger and his wife.

       President Wethington congratulated Dr. Holsinger, who was in the
audience, and asked him to stand and be recognized, following which he
received a round of applause.

       L.    Accptance of Interim Financial Report for the University of
Kentucky for the Eight Months Ended February 28. 1994 CFCR-1)

       Mr. Hardymon, Chairperson of the Finance Committee, reported that
the Finance Committee met at 11 a.m. (Lexington time) and reviewed the
seven items on its agenda. He said that FCR I is the routine monthly
interim financial report for the eight months ended February 28, 1994. He
reviewed the realized income versus expenditures and reported that the
University has a strong balance sheet. He recommended approval of the
report. Mr. Sturgill seconded the motion, and it passed. (See FCR I at
the end of the Minutes.)

       M.    Capital Construction Report (FCR 2)

       Mr. Hardymon stated that FCR 2 is a quarterly Capital Construction
Report presented to the Board for acceptance. He reviewed the number of
awards and final payments of the engineering and construction contracts.
Upon the recommendation of the Finance Committee, he moved that the report
be accepted. The motion, which was seconded by Mr. Chellgren, carried.
(See FCR 2 at the end of the Minutes.)

       N.   AQ~tQval of Lease (FCR 3)

       Mr. Hardymon reported that FCR 3 involves an addendum to a lease
between University of Kentucky (Kentucky Clinic) and the Kentucky Medical
Services Foundation for property located at 729 South Limestone, effective
April. 5, 1994 through June 30, 1994, for additional office/clinical
space. He noted that the original lease was approved at an annual rental
cost of $50,000.00 and this addendum brings the total annual rental to
$67,577.56. He recommended approval of FCR 3. Mrs. Weinberg seconded the
motion, and it passed. (See FCR 3 at the end of the Minutes.)