xt7wh707xd26 https://exploreuk.uky.edu/dips/xt7wh707xd26/data/mets.xml Lexington, Kentucky University of Kentucky 1958099 minutes English University of Kentucky Contact the Special Collections Research Center for information regarding rights and use of this collection. Minutes of the University of Kentucky Board of Trustees Minutes of the University of Kentucky Board of Trustees, 1958-09-dec9. text Minutes of the University of Kentucky Board of Trustees, 1958-09-dec9. 1958 2011 true xt7wh707xd26 section xt7wh707xd26 












            Minutes of the Meeting of the Board of Trustees of the University
of Kentucky December 9, 1958.


            The Board of Trustees of the University of Kentucky met in the
President' s Office at 9:15 a.m. CST, Tuesday, December 9, 1958, with
the following members present: Robert P. Hobson, Vice Chairman; Harper
Gatton, Dr. Paul Hall, Ben Butler, Robert C. Stilz, W. F. Foster, Robert
R. Martin, Wood Hannah, Sr., Clifford Smith and Dr. Ralph J. Angelucci.
Absent: Governor Albert B. Chandler, Louis Cox, Mrs. Paul G. Blazer
and J. Stephen Watkins. President Frank G. Dickey and Secretary Frank D.
Peterson met with the Board.


           A. Approval of Minutes.

           Upon motion duly made, seconded and carried, the meeting of
the Board of Trustees of September 16, 1958, and the meeting of the Execu-
tive Committee of November 8, 1958, were approved as published.



           B. Financial Report of the Treasurer.

           Mr. Peterson reported to members of the Board the printed
financial report for 1957-58 and called attention to pages 5, 6, 7, 8, 9, 10
and 11, giving the summary of the scope of the report, current income and
expenditures, and the break-down of various funds. He also reported on the
bonded indebtedness of the University as shown on pages 38 and 39 of the
printed report. He urged the members of the Board to study the report for
a better understanding of the operations of the University.

           Mr. Peterson stated that the 1957-58 fund dollar came from the
following sources:

                        42% from State Appropriation
                        18% frorrn Federal Appropriations
                        2% from Gifts and Endowment Income
                        14% from Sales and Services
                        9% from Student Fees
                        4% from Residence Halls Operations, and
                        11% from Other Self-Supporting Enterprises.

           The Vice President, Business Administration, then submitted to
each member of the Board a copy of the current financial report for the
period July 1 to and including November 30, 1958. The report summarized
income and expenditures for the period. A balance sheet for current loan and
endowment funds was submitted as follows:




 








UNIVERSITY      '      OF KENTUCKY


             LEXINGTON



December 8, 1958



Dr. Frank
University
Lexington,



G. Dickey, President
of Kentucky
Kentucky



Dear Doctor Dickey:

          I am submitting herewith the Financial Report of
the University of Kentucky for the five-months period ended
November 30. 1958.  This report contains a balance sheet
and related financial statements for all funds of the Univer-
sity.

          The Current General Fund budgetary operations
for the period reflect income realized for educational and
general purposes in the amount of $7, 108, 251. 17, or 53.9%
of the budget estimate of $ 13, 179, 630. 13. The expenditures,
including encumbrances outstanding, amounted to $5, 303, 018. 65.
This represents 410 3% of the total Current General Fund Ap-
propriations of $12,842,461.95.


                                     Respectfully submitted,



                                     Frank D. Peterson
                                     Vice President
                                     Business Administration




 





a



University of Kentucky
   Balance Sheet
 November 30, 1958


      ASSE TS



I. Current Funds
    A. General-
       Cash in Bank
       Available Balance, State Appropriations
       Cash on Deposit, State Treasurer
       Inventories
       Deferred Charges
       Unrealized Income



Total General



B. Restricted-
  Cash in Bank
  Petty Cash Advances
  Investments



Total Restricted



Total Current Funds



II. Loan Funds:
      Cash in Bank
      Notes Receivable
      Inve stments



Total Loan Funds



III. Endowment Funds:
      Cash in Bank
      Inve stments



$ 604,319.57
1,278,056.25
   866,503.69
   280,308.61
   52,666.20
 6,353,786.31



$ 9,435,640.63



$ 538,892.52
   14,035.26
 1,696,866.62



  2,249,794. 40

$11,685,435. 03







$   114,937. 25



$   10, 204-58
    50,232.67
    54. 500. 00



$   7, 559.34
   226,305.62



Total Endowment Funds



$   233,864.96




 






b



University of Kentucky
   Balance Sheet
   November 30, 1958


   LIABILITIES



I. Current Funds
   A. General-
       Reserve for Dept. Requisitions
       Reserve for Inventories
       Reserve for Auxiliary Enterprises
       O the r Liabilitie s
       A ppropriation Balance
       U nappropriated Surplus -
         Division of Colleges   $230, 898. 29
         Medical Center            4, 39 0. 09
         Agricultural Exp. Sta.  179,875.84

         Total General


   B. Restricted-
      Outstanding Check Liability
      Restricted Funds Balances



$ 821,679.91
   280, 308.6 1
   43,993.24
   52, 666.20
 7,821,828.45



415, 164. 22



$ 9,435,640.63



$    6,415.94
2, 243, 378.46



Total Restricted



2, 249, 794. 40

$11, 685, 435. 03



Total Current Funds



II. Loan Funds:
    Principal Balances
    Expendable Balances



Total Loan Funds



IlI. Endowment Funds:
     Principal Balances
     Expendable Balances



$   73,424. 81
    41,512.44



$   114,937. 25



$ 228,242.41
     5, 622. 55



Total Endowment Funds



$ 233,864.96




 






C



University of Kentucky
   Balance Sheet
 November 30, 1958


      ASSE rs



IV. Plant Funds:
   A. Unexpended Plant Funds
      Available Balance, State Appro' s.
      Cash on Deposit, State Treasurer



        Total Unexpended Plant Funds


B. Retirement of Indebt. Funds-
  Cash in Bank
  Cash on Deposit,State Treas.
  Cash on Deposit, Trustee
  Due from Other Funds (Gen. Fund)
  Investments
  Unrealized Income



        Total Retirement of Indebted-
           ness Funds


C. Invested in Plant-
   Land
   Buildings
   Equipment
   Construction in Progress



Total Invested in Plant



Total Plant Funds



V. Agency Funds:
     Cash in Bank
     Investments



$8,590, 013.58
   445,493.00

            $ 9,035,506.58



$   13,506.86
   319,119.82
   285, 896.90
     3,100.51
     98,394.38
   105,096.43



825, 114.90



$ 3,070,630.43
35,144,243.25
10, 737, 148.03
  9,269,386.25



58,221,407.96

            $68,082, 029,44



$   110,826.32
     16,396.37



Total Agency Funds



$   127, 222. 69




 





d



University of Hentucky
   Balance Sheet
 November 30, 1958


    LIABILITIES



IV. Plant Funds:
   A. Unexpended Plant Funds-
      Reserve for Plant Requisi.
      Plant Appropriation Balance



      Total Unexp. Plant Funds


B. Retirement of Indebt. Funds -
  Funds Balances



  Total Retirement of In-
    debtednIess Funds


C. Invested in Plant-
  Bonds Payable
  Due to Other Gov. Units
  Net Investment in Plant



Total Invested in Plant



$ 6,976,001.72
  2, 059, 504. 86

              $ 9, 035, 506.58



$   825, 114.90



825, 114.90



$11,418, 000.00
    150, 000. 00
46, 653, 407. 96



58, 221,407.96



Total Plant Funds                                        $68, 082, 029. 44



V. Agency Funds:
     Agency Funds Balances



$   127, 222.69



Total Agency Funds



$- 127,22Z.69




 






e



         University of Kenttucky
     Statement of Unrealized Income
For the Current Fiscal Period Which Began
July 1, 1958 and Ended November 30, 1958



                                    GEN
  I. Educational and General:
      A. Student Fees.
         Incidental Fees and Tuition
         Training School Fees
         Adult and Extension Educa. Fees

                Total Student Fees

      B. State Appropriations-
         Division of Colleges
         Medical Center
         Geological Projects
         Agricultural Experiment Station
         Agricultural Extension Service

                Total State Appropriations

     C. Federal Grants-
        Division of Colleges
        Agricultural Experiment Station
        Agricultural Extension Service

                Total Federal Grants

     D. Endowment Income

     E. Sales & Services of Educa. Depts..
        Division of Colleges
        Agricultural Experiment Station

                Total Sales and Services
                  of Educational Depts.

     F. Returned Checks

                Total Educa, and General


Ll. Service Enterprises:
         Post Office


III Auxiliary Enterprises:
         Men, s Residence Halls
         Women' s Residence Halls

                Total Auxiliary Enterpr.

                Total Gen.Fund Income



ERAL FUND
      Estimated

$ 1, 405,000. 00
      31, 000.00
      102, 000. 00



I N C O M E
    Reai1

$  716,499.99
    107650.00
    56, 638 .4 0 o



    Unrealized

$ 688, 500.01
    20, 3 50. 00
    45, 361 . 60



$ 1,538,000. 00  $  783, 788, 39 $  754,211.61


$ 5, 639 ,000. 00  $3. 059. 000, 00 $2, 580, 00000
    438.400.00     235 000. 00     203,400.00
    183 300. 00    165 ZOF 2 00   18 F1 00.00
    804,000, 00    492,000, 00   312,000.00
    931,000. 00    47100o 00       460,000.00

$ 7,995. 700, 00  $4,422,200, 00 $3, 573, 5  00O00


$   142, 177,60  $  97,423,20 $   44`754.40
    867F822.00     502,458.00      365,364.00
  1,955,811. 03  1,001,014, 39   954,796O64

$ 2,965,810.63  $i1,600,895,59 $1,364,915.04

$    10,119.50  $     8,700.00 $     1,419.50


$    20,000.00  $    12,232.54 $     7,767 46
    650,000,00     281,650.79      368.,349,21


$   670,000.00  $  293,883.33 $   376,116,67

$               $    (1,216. 14) $   1,216.14

$13, 179,630.13  $7,108,251. 17 $6,071 ,378.96



$     4,000. 00 $     6,025.98 $    (2,025t98)



$   202,074.00  $  120`683.22 $    81,390,78
    402,861. 00     199,818,45     203,042,55

$   604,935. 00  $  320,501.67 $  284,433.33

$13, 788,565. 13  $7,434,778.82 $6,353,786.31



(negative figure)




 





f



          University of K-entucky
Statement of Departmental Appropriations
For the Current Fiscal Period Which Began
July 1, 1958 and Ended November 30, 1958



I. Educational and General:
   A. General Admin. Offices

   B. General Expenses-
        Student Services
        Staff Welfare
        Gen. Institutional Serv.

          Total Gen. Expenses



Departmental



Expendi-



Enc urn -



  Appropriation     tures        brances      Balance

$  185,512.12   $   56,426,07 $   1,627,91 $  127,458.14


$  304,315.76   $  116,056.91 $ 10,264.48 $  177,994237
    98,000.00        28,781.40                  69,218.60
    160,905.66       56,090.09    22,723.63      82,091.94

$  563,221.42   $  200,928.40 $ 32,988.11 $  3292304.91



C. Instruction and Depart-
     mental Research
     College of Agr. and
     Home Economics
     College of Arts and
     Sciences
     College of Commerce
     College of Education
     College of Engineering
     College of Law
     College of Medicine
     College of Pharmacy
     Graduate School
     Univ. Extended Program

     Total Instruction and
       Departmental Res,

D. Activities Relating to
     Educa. Departments

E. Organized Research -
    University Research
    Agr. Exp. Station

    Total Org. Research

F. Extension and Pub. Serv. -
    Univ, Extension &
    Public Services
    Agr. Extension Serv.

      Total Extension &
        Public Service



$










lS



399,605.05



2,088,549.44
  260, 292.46
  473,341.39
  574,674.70
  125,690,00
  279,961.00
  93,612.52
  20,825.00
  361,503.49



$  153,532. 09 $  8.320. 13 $  237,752.83



793,455.23
101,631. 27
175,2.26.33
214,656.50
46,762.3 1
52,602, 04
28,860.9 3
  8,430. 98
135,205. 19



41,904 31
2, 487.67
12, 607.49
1,879.30
3, 302. 30
2,937.03
4,863.65
   464, 03
12, 859. 52



1,253, 189.90
  156, 173,52
  285,507*57
  358, 138.90
  75.625,39
  224,421.93
  59, 887.94
  11,929,99
  213,438,78



$4,678,055. 05  $1, 710,362. 87 $ 9 1,625,43 $2,876, 066. 75


$   51,218.00  $    16,821.74 $ 2,851.17 $  31,545,09


$  174,636.00   $  44,867.65 $ 42, 144.93 $  87, 623. 42
2,281,708,27     884,644.87   90,921.54  1,306, 141,86

$2,456,344.27   $ 929,512,52 $133,066.47 $1,393,765.28



$ 370,041.40    $   14,199.66 $213,871.16 $  141,970.58
2, 886 , 811. 03  1,13 8 ,394. 9 8  7,108,28  1,741,307.77


$ 3,256, 852 43  $1,152,594.64 $220,979.44 $1,883,278.35



(continued on followving page)




 





g



          University of Kentucky
Statement of Departmental Appropriations
For the Current Fiscal Period Which Began
July 1, 1958 and Ended November 30, 1958



    G. Libraries

    H. Oper. & Maintenance
         of Physical Plant

         Total Educa. and
           General

 II. Service Enterprises:
       Post Office


 III. Auxiliary Enterprises:
       Men' s Res. Halls
       Women, s Res. Halls

          Total Auxiliary
          Enterprises


 IV. Student Aid


 V. Working Capital


 VI. Clearing Accounts


 VII. Debt Service-Bonds Re-
       tired


VIII. Debt Service-Reserve
       Funds

       Total Departmental
       Appropriations



Departmental



Expendi -



Enc urn -



   Appropriation     tures         brances    Balance

$   456,768.66  $  193,165.55 $ 8,469.52 $  255,133,59


$ 1, 194,490.00  $ 417,557.05 $134.041.76 $ 642,891,19


$12,842,461.95  $4,677,368.84 $625,649.81 $7,539,443.30


$    26,080.00  $    10,457.00 $     157. 30 $  15,465.70



$   200,138.32  $  148,745.07 $ 9,574.69 $   41,818.56
    396,181.13     193,376.38   28.292,75   174,512,00


$ 596,319,45    $  342,121.45 $ 37,867.44 $ 216,330.56


$    3,600.00   $       600.00 $            $    3,000.00


$   75,000.00   $  (50,915.82)$ 91,762.82 $  34,153.00


$   11,953.51   $    (1,532.38) $     50 00 $   13,435,89



$   43,060,00   $    43,060,00 $           $



$    6,256,50   $     6,256.50 $           $


$13, 604,731. 41  $5,027,415 59 $7555487 37 $7,821,828.45



(negative figure)




 






h



          University of Kentucky
  Statement of Plant Fund Appropriations
For the Current Fiscal Period WhVhich Began
July 1, 1958 and Ended November 30, 1958



Plant Appro-
p ria tion s



Expendi -
tures



Enc urn--
brances



Balance



I. Unexpended Plant Funds:
  Men, s New Dormitory
  Holmes Hall-Univ.Appro.
  Holmes Hall-Bond Proceeds
  Phi Delta Theta House
  Shawneetown Apartments
  College of Pharmacy Bldg.
  Swine Barn
  Medical School
  Med. School Fed. Grant
  Med. School Library Acquis.
     and Supplies
  Medical Science Bldg.
  Alpha Tau Omega House
  Northern Extension Center
  Western Extension Center
  Agr. Exp.Station-Projects
  Med. Center Heating and Cool
  ing Plant
  Med. Sci. Bldg. , Equip-
  Admin.

      Total Unexp. Plant
         Funds



$



   (200. 51)
52,544.5 1
     10.55
77,369.01
11,393 .98
11, 163,37
171 703.96
75,000.00
100, 000.00



  545,573,66
  150,000.00
  35,300.00
  25,000.00
  46; 122 7Q

3,279,561.00



$
(44,982.00)
  52, 544.51
      1(0. 55



11, 028.59
65,647. 12

61,26 1.30

8, 03 0. 40
   291, 16


38,480.60



$    2,434.36 $



(2,434. 36)
44, 781.49



             77, 369.01
             11,393.98
                134.78
35 ,089.86  70,966,98
             75,000.00
   248.20   38,490.50

35,879.60  501,663.66
135,000.00   14,708.84
8,355.97    26,944.03
             25,000,00
 14,790.96    (7,148.86)



19,426,74   2,085,802. 30 1, 174,331.96



    40, 000. 00                     3 1, 697. 15  8,302. 85


$4,620, 542 23   $211,738.97 $2,349,298.40 $2,059, 504.86



II. Retirement of Indebt. Funds:
  A. Debt Service Fund-
     1st P. W.A. Bond Issue
     2nd P.W.A,Bond Issue
     Dorm, Rev, Bond Issue
     Aud. -Field House Issue
     Libr. -Service Bldg.Issue
     Stad. Add. Revenue Issue
     Dorm.Rev. Bond Issue
       (456 Rose St.
     ,Journ. Bldg. Issue



Dorm. Rev. Issue (476 Rose)
Dorm.Rev. Bonds of 1953-
  Stu. Dorms--U of K.
Stu. Dorms, -Kappa Sigma
Stu. Dorms. -Lambda Chi Alpha
Stu. Dorms. -Phi Sigma Kappa
Stu. Dorms -Pi Kappa Alpha
Dorm. Rev. Bonds- 1952
Dorm, Rev. Bonds . 1954
Dorm. Rev, Bonds- 1955      1
Dorm. Rev, Bonds - 1956
  Six Sororities



$



$   37,554.00
    18,414. 16
    24,980. 25
    63, 720. 78
    75,677.75
    20,225.53



5,875,45
28, 235.75
5, 051.43

45,498.48
4,302.90
5,244. 79
3, 737.88
4,863.41
62,636 ,24
33,068.77
76,943 50
57; 828. 00



9,217.51
2,962.50
51, 853.50
4,445.00
2, 568. 75



3,325.30

2,922.50



$   37, 554.00
     9, 196. 65
     22, 017,75
     11,867. 28
     71,232.75
     17, 656. 78



2,550.15
28 ? 235 . 75
21 128,93



3,693.74
1, 846. 87
1, 846. 88
1,846.88
1, 846. 88
17, 683.75
10,400.64
45,276. 25
20,672,50



41,804. 74
2, 456.03
3,39 7, 91
  1, 891. 00
  3,016.53
44,952.49
22,668. 13
131, 667. 25
37,155,50



Balances Carried Forw&ard$  673,859.07
(negative figure)



$ 182,409,45



$   491,449.62



$




 







i



          University of Kentucky
  Statement of' Plant Fund Appropriations
For the Current Fiscal Period Which Began
July 1, 1958 and Ended November 30, 1958



Plant Appro-
priations



Balances Brought Forward
Dormitory Revenue Bonds-
  1956-Reserve
  Dormitory Revenue Bonds-
  1956-(338 Clifton Avenue)
  Dormitory Revenue Bonds
  1956-(Holmes Hall)
  Dormitory Revenue Bonds-
  1956 -(Shawneetown)
  Dormitory Revenue Bonds-
  1957 (468 Rose St. )

  Total Debt Service Fund



Expendi-
ture s



Enc urn -
brances     Balance



$  673,859.07   $182,409.45   $             $ 49 1,449. 62

      6, 250.00                                   6, 250.00

      8, 386. 00    3, 175.00                     5, 211. 00

      48, 197.50    15, 551 25                    32, 646. 25

      59,438. 00    29, 645. 00                   29, 793. 00

      8, 33 1. 00   6, 200, 00                    2, 13 1. 00

$   804,461. 57  $236,980.70   $             $  567,480.87



B.Sinking Fund Reserves with
   Dormitory Revenue Bonds-
     1952-Re serve
   Dormitory Revenue Bonds-
     1954-Reserve
   Dormitory Revenue Bonds-
   1956-Reserve (Holmes
   Hall)
   Dormitory Revenue Bonds-
   1956-Reserve (Shawneetow:

   Total Sinking Fund Re-
     serves with Trustee

     Total Retirement of In-
     debtedness Funds

     Total Plant Fund Appro-
     priations



rus tee:



TI



81 , 808. 00  $



$



$   8 1, 808. 00



43 , 45 7. 00



43,457 00



59 , 243.72



59, 243. 72



n)   73,125.31                                    73, 125. 31


$   257,634.03   $             $             $   257,634.03


$ 1,062,095.60   $236,980.70   $             $   825, 114 90


$ 5,682,637.83   $448,719.67  $2, 349, 29 8. 40 $2, 884, 619. 76




 







j



          University of Kentucky
   Statement of Other Fund Transactions
For the Current Fiscal Period Which Began
July 1, 1958 and Ended November 30, 1958



Restricted Funds:



  Funds Balances


Loan Funds:
Principal
Expendable



       Subtotal


Endowment Funds:
  Principal
  Expendable

      Subtotal


Agency Funds:
Balances



Combined Totals



Balances



Disburse -



Balances



   July 1, 1958     Receipts     ments        Nov. 30, 1958




$2,483, 804.90  $2,846,477.97 $3,086,904.41 $2,243,378.46



$   73,4-24. 81  $             $              $   73,4Z4.81
    40,609.19           912.42           9.17     41,512.44

$ 114,034,00     $      912 42 $         9.17 $  114,937,25



$ 226,642,41     $    1, 600.00 $             $ 228,242.41
     5,542. 78           79.77                     5,622,55

$ 232,185. 19    $    1,679.77 $              $ 233,864.96



$ 102,267.53    $ 536, 714.9 2 $ 511, 759.76 $  127, 222 69

$2,932,291.62   $3,385,785.08 $3,?59 8, 673.34 $ 2,719,403. 36




 






13



           Members of the Board, being duly advised, upon motion made
and seconded, ordered the report received and made of record.



           C. Suit Authorized to Collect Student Loan.

           Mr. Peterson reported that Dean C. C. Carpenter, Chairman of
the Student Loan Committee, approved a loan of $742. 00 several years ago
to Mr. Carl Morgan, Hazard, Ky. Dean Carpenter has written Mr. Morgan
five letters. He has also written Mr. Morgan' s mother one letter. None
of these letters were returned or acknowledged. Mr. Morgan is a practising
attorney in Hazard, Ky. Mr. Peterson further reported that Mr Charles
Palmer, an attorney of Lexington, had written Mr. Morgan advising that the
account had been turned over to him for collection. The letter was not re-
turned or acknowledged. Mr. Peterson recommended that the Board au-
thorize a suit to be filed against Mr. Carl Morgan and his surety for recovery
of the loan.

           Upon motion duly made, seconded and carried, Mr. Pdtexzson was
authorized to introduce suit against Carl M. Morgan for the purpose of col-
lecting the loan.



           D. William Andrew Patterson School of Diplomacy and International
Commerce Budget Approved.

           Mr. Pete rseon submitted the 1958-59 budget for the William Andrew
Patterson School of Diplomacy and International Commerce. He explained
that information was not available for budgetary purposes at the time the
Board of Trustees considered other budgets of the University. The abbrevi-
ated budget submitted will provide for a total expenditure of $4, 138. 52 for
the current year. Mr. Peterson explained that the 1959 budget would be
expanded. He recommended that the budget be approved.

           Upon motion duly made, seconded and carried, the budget was ap-
proved as submitted and a copy was authorized filed in the records of this
Board.



           E. Purchase of 233, 266 and 241 College View Property and House
and Lot at 447 Clifton Avenue.

           Mr. Perso_ reported that he had been contacted by Mr. J. T.
Jackson, 453 West Third Street, Attorney in Fact for Mrs. Sue Walby and
Lucy Walby.  Mr. Jackson was also acting for Mary Walby and Christ Church
Episcopal which is to be the beneficiary of the estate of Mary Walby. He
reported that the lot 35' x 90' with five-room bungalow house thereon at 233
and lot 35' x 90' weith five-room bungalow house thereon at 266 College View
Avenue could be purchased for the sum of $6, 500 each.  These properties
belong to Mrs. Sue Walby. He also reported that Mr. Jackson had offered
to sell, for $6, 000, subject to confirmation by Christ Church Episcopal,
house at 241 College View Avenue, situated on a lot 35' x 90'.




 









14



           Mr. Petersoq reported that the Attorney in Fact for Mary Walby
had offered for sale house and lot at 447 Clifton Avenue for the sum of
$7, 650. The house is located on a lot 40' x 140, and consists of five rooms
in a fair state of repair.

           Mr. Peterson recommended that these houses be purchased for
the amounts state~abcve, accepting a deed immediately to 241 College View,
making a payment of $6, 000 to Christ Church Episcopal for and on behalf
of Lucy Walby as directed by J. T. Jackson, Attorney in Fact.  He recom-
mended that the property at 233 and 266 College View and the property at
447 Clifton Avenue be purchased. He stated that the Attorney in Fact for
Mrs. Sue Walby and Lucy Walby desired that the purchase price be paid as
follows. $650 at the time the deed is given and $135 per month during the
lives of Mrs. Sue Walby and Lucy Walby.  The amount so shown and the
monthly payments made would be deducted from the purchase price at the
deaths of both Sue and Lucy Walby, Sue Walby being 92 years of age and Lucy
'Walby being 87. It wvas stipulated that interest at 4%10 per annurn would be
paid on the unpaid balance of $20, 000, less monthly payments.

           Members of the Board, being advised, upon motion duly made,
seconded and carried, accepted the recommendation and authorized purchase
of 233 and 266 College View Avenue and 241 College View Avenue and the
property at 447 Clifton Avenue for the sum of $26, 650. 00.



           F. Purchase of House and Lot at 708 South Limestone Street.

           Mr. Peterson reported that Mr, George Stanley Milligan, admin-
istrator of the Milligan Estate, owning 708 South Limestone Street, had
offered for sale a two-story frame residence with two baths, situated on a
lot 78' x 313' for the sum of $23, 500, 00. Mr. Peterson stated that this
property contained more than 24,400 square feet of space and that, according
to the price of property in this area adjacent to the University. it is worth
the asking price. He reported that he had discussed the matter with Pres-
ident Dickey and Dean Welch and that he was making a. joint recommendation
that the property be purchased, with the understanding that same would be
paid for immediately from the Haggin Fund which would be reimbursed from
Experiment Station funds at a later date.

           Members of the Board discussed the location of the property and
its proximity to the University, and upon motion duly made, seconded and
carried, authorized the Vice President, Business Administration, to consum-
mate the purchase.



           G. Annuity for Mrs. Jean T. Payne for Property at 312 Vine Street,

           Mr. Peterson read the following letter:




 






15



                                             December 4, 1958


President Frank G. Dickey
University of Kentucky

Dear President Dickey:

I attach hereto Agreement between the University of Kentucky and
Mrs. Jean T. Payne, Lexington, Kentucky (Mrs. A. Pruitt Payne).
Mrs. Payne owns a business building at 312 Vine Street, formerly
used for the Payne-Whitenack Wholesale Grocery.  This property
consists of a three-story concrete building above ground with a
basement.  The building is in a good state of repair.  The building
contains a freight elevator and a walk-in vault 10' x 61 . It has
two two-piece lavatories.  The all concrete building covers the
entire lot, which is about 80' x 45' in size.  We are having a survey
made.   The basement floor and the three floors above ground
contain about 13, 750 square feet of floor space. This building is
worth somewhere around $65, 000, but on today, s market could not
be built for less than $100, 000. It is of fire-proof construction
and deterioration is rninor.

Mrs. Payne has offered to deed the property to the University for an
annuity of $625 per month for the remainder of her life. She is 85
years of age and has a life expectancy of less than four years. The
University would be given a deed of general warranty, fee simple
title, free and clear of all encumbrances.

Three-fourths of the first floor is now rented to a floor covering com-
pany named Colt Floor Covering Service, operated by Mr. R. C.
Kleinschmidt.  He pays $150 per month rent.  The other one-fourth
of the first floor is not rented. Neither is the second or third
floor rented. The basement space is rented to Lowenthal for fur
storage area. Lowenthal pays somewhere between $50 and $75 a
month.   There was a time when this property rented for $600 a
month.  However, Vine Street, like so many other streets in the City
of Lexington, lacks parking area.

At the suggested monthly annuity, if Mrs. Payne should live her
expectancy, the University would pay her $30, 000.  If the building
could be rented for one-half the monthly annuity, the University would
be out $15 ,000. If Mrs. Payne should live twice her expectancy, the
University would pay her $60, 000 or a net of $30, 000.

I realize that this type of annuity is new as far as the University is
concerned, but Mrs. Payne has refused to deal with Transylvania,
Midway or Berea until she is convinced that she cannot deal with the
University. I believe she has a sincere desire to deal with the
University. I see no way that the University can lose on the transac-
tion. The University will be free to dispose of the property when
and as it sees fit. I, therefore, recommend that the annuity be




 





16



      approved to be paid from the Haggin Fund w-ith the understanding
      that the University makes no commitment as to whether it will
      keep the property or dispose of it after the transaction is consum-
      ma te d.

                                              Very truly yours,

                              (Signed)             Frank D. Peterson
                                                   Vice President
                                                   Business Administration




       Members of the Board discussed at some length the proposition, Lex-
ington members on the Board being familiar with the property, and upon
the recommendation of President DickBy and Vice President Peterson, upon
motion duly made, seconded and carried, authorized annuity contract executed
to Mrs. Jean T. Payne when all documents incident to the annuity are consum-
mated.



       H. Cancelled Bonds and Coupons Authorized Destroyed.

       Mr. Peterson reported a list of bonds by issues cancelled and a list of
interest coupons on bonds by issues paid and asked that record be made in the
minutes of this Board and authorization be given to destroy cancelled bonds
and coupons.

       Board members, being advised, upon motion duly made, seconded
and carried, authorized the information placed of record in these minutes, and
ordered that the bonds and coupons paid be destroyed by burning in the presence
of the Director of Accounts and Budgetary Control and the Associate Business
Manager and certificate of same made of record.



       I. 342 Clifton Avenue Revenue Bond Issue.

       Mr. Peterson, stated that we are now ready to take bids for the construc-
tion of small dormitory at 342 Clifton Avenue, to be leased to the A. T. 0. fra-
gernity.

       Thereupon a mnotion was made by Dr. Ralph J. Apgelucci and seconded
by Harper Gatton-that the following Resolution be adopted:


           BE IT RESOLVED that the action of the Board of Trustees
      at its meeting held on May 16, 1958, in adopting a resolution
      authorizing $150, 000 of University of Kentucky Dormitory Rev-
      enue Bonds (342 Clifton Avenue) be and is hereby authorized,
      ratified and re-affirmed,  Be it further resolved that since the




 





17



       plans for the project to be financed by the issuance of such bonds
       have been revised so that same may be financed from the proceeds
       of such bonds, the President and Secretary of the University are
       hereby authorized and directed to cause a notice to be published
       in compliance with law soliciting sealed competitive bids for the
       purchase of such bonds, the same to be received in the office of
       the Vice President (Business Administration) of the University,
       until the time of some meeting of the Board of Trustees or its
       Executive Committee, at which time such bids will be opened and
       acted upon.  The riaht to reiect bids shall be reserved.  No bid
       offering less than 100% of the par or face value of the bonds shall
       be given favorable consideration.  There having been submitted
       to the Board a copy of a "Notice of Sale of Bonds" and said instru-
       ment having been examined, the same is hereby approved and a
       notice substantially in such form may be used in soliciting bids for
       the purchasing of such bonds. No further authorization by the
       Board of Trustees or its Executive Committee shall be necessary
       before such notice may be published.

           Upon a vote being taken upon the motion to adopt such resolution,
       the result was as follows: Aye. Robert P. Hobson, Harper Gatton,
       Dr. Paul Hall, Ben Butler, Robert C. Stilz, W. F. Foster, Robert
       R. Martin, Wood Hannah, Sr. , Clifford Smith and Dr. Ralph J.
       Angelucci. Nay: None.

           Whereupon, the Vice Chairman of the Board of Trustees
declared the said motion duly carried and said resolution duly adopted.



       J. Authorization for Right-of-Way on Euclid Avenue Given.

       Mr. Petn stated that City authorities of Lexington had met with
administrative officials of the University and presented a proposal to widen
Euclid Avenue. This project would affect the University between Rose Street
and Limestone Street.  The project was thoroughly explored as to purpose and
effect upon the University and its properties.  The request was submitted to
the Executive Committee at its meeting on November 8, 1958.  The members
of the Executive Committee were asked to give t