xt7xd21rgb99 https://exploreuk.uky.edu/dips/xt7xd21rgb99/data/mets.xml Lexington, Kentucky University of Kentucky 19480316 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, 1948-03-mar16-ec. text Minutes of the University of Kentucky Board of Trustees, 1948-03-mar16-ec. 1948 2011 true xt7xd21rgb99 section xt7xd21rgb99 










     Minutes of the Meeting of the Executive Committee of the Board
of Trustees, University of Kentucky, IMarch 16, 1948.


     The Executive Committee of the Board of Trustees of the Universi-
ty of Kentucky met in the President's Office at 10:30 a.m., Tuesday,
March 16, 1948.   The following members were present:  R. P. Hobson,
Harper Gatton, and J. C. Everett.   Absent:  Judge Richard C. Stoll
and Thomas Cutler.   Vice President Chamberlain and Secretary Peter-
son met with the Committee.


     A. Temporary Chairman Appointed.

     Members of the Executive Committee took note of the absence of
Judge Richard C. Stoll, Chairman of the Executive Committee, due to
illness, and upon motion duly made, seconded and carried, Robert P.
Hobson was appointed temporary chairman.


     B. Minutes Approved.

     Upon motion duly made, seconded and carried, the minutes of the
Executive Committee of January 9, 1948, were approved as published.


     C. Report of the Comptroller,

     The Comptroller read a summary analysis of general and plant
fund operations.



                                       1M1arch 10, 1948

     Dr. Leo M. Chamberlain, Vice President
     University of Kentucky
     Lexington, Kentucky

     My dear Doctor Chamberlain:

          I submit hereto attached the operating report of the
     University of Kentucky for the period of eight months ended
     February 29, 1948.

          The following statement is a summary analysis of gen-
     eral and plant fund operations:




 





2



                        General      Plant                      Per
                        Fund         Fund         Total        Cent

Estimated Income     $6,026,187.42 $  722,145.00 $6,748,332.42
Realized Income       5,544, 33.99    7221145.00  6,266,498.99  100%
  Unrealized Income     481833.43   i               491 833.43
  Per Cent Realized          92.0Q7o      l00.0          9 2,9f

Appropriations       $6,124,084.94 $2,880,156.06 $9,004,241.00
Charges thereto      3,615 154.91   2,513,385.30  6 128,540.21   97.8%
  Appropriation Bal. $2,508,930.03 $     36,6770.76 .2 875 700.79
  Per Cent Charged           59.0b ,______68.l__

Excess of Realized In-
  come over Charges  $1a929,19,9.OQ 5 1.,91240.30*$  137 958.78  2.2%

*Negative Number.

     During the period covered by the report, 92.!%of the total es-
timate of income had been realized.   The General fund had realized
92.0% of the general fund estimate.   The Plant fund estimate had
been realized in full,

     Charges for expenditures and encumbrances were 68.1% of Gen-
eral and Plant fund appropriations.   The charges wvere 59.0% of Gen-
eral fund appropriations and 87.3% of Plant fund appropriations.


     Expenditures and encumbrances charged during the period covered
by the report were 97.8% of the income realized during the same
period.

     Restricted fund balances on February 29, 1948, were $1,222,304.58.
Restricted fund investments were $608,744.05.

     The report contains a summary of the loan, endowment and agency
fund transactions that occurred during the period covered by the
report.

     Unexpendable funds amounted to ;A'249,731.13, consisting of the
principal balance of the loan and endowment funds.   Unexpendable
funds invested on February 29, 1948, amounted to $243,081.96. The
balance uninvested amounted to $6,649.17.

                                     Respectfully submitted,



Frank D. Peterson
Comptroll er.




 




3



    A balance sheet as of February 29, 1948, was also submitted.
The Operating Statement was examined in detail by the members of the
Committee.

    Upon motion duly made, seconded and carried, the summary analysis
of general and plant fund operations and the balance sheet were order-
ed accepted and filed with the Secretary.



     D. Budget Changes and Increase in Estimate of Income.

     Doctor Chamberlain read letters detailing budget changes request-
ed and a recommendation for increase in estimated income for the cur-
rent fiscal year.


                                           liIarch 11, 1948



Dr. Leo 1K. Chamberlain
Vice President
University of Kentucty

Dear Dr. Chamberlain:



    Listed below are budget changes
and which I recommend be authorized:



     Budget Unit
Administrative and General:
     Dean of the University
Arts and Sciences:
     Anthropology and Archaeology
Engineering:
     Mdechanical Engineering
Commerce:
     Bureau of Business Research
Law:
     Instruction
Education:
     Agricultural Education
     Distributive Occupations
     Home Economics Education
     Industrial Eduoation
Maintenance and Operations:
     Operation of Physical Plant
Plant Fund:
     P.WJ.A,-Second Bond Issue
     Dairy Center



which seem desirable



Account    Increase



  50-1

330-4

615-1

720-1

910-1

960-1
990-1
1060-1
1100-1

1480-A

7002
7020-A



Total



$   166.66

  2,003.41

  1,815.00

    346.67

    800.00

    423.35
    66.68
    119.99
    166.66

 25,000,00

     12.51
  5,000.00

4351920.93




 




4



     The increase in the special maintenance appropriation
is necessary to provide funds to furnish the new F.W.A.
class room buildings for the Botany, Geography and Sociol-
ogy Departments, and to set up shops and storeroom facili-
ties in the new F. YJ.A. Shop Building and other special
restoration projectsi   The increases in the plant funds
are to provide for bank charges in connection with payment
of principal and interest on the second P.Wi.A. bond issue
and for an increase in the contract price of the new Dairy
Center.

     It has been recommended and requested that the Music
Department receive an increase of five hundred dollars to
its capital outlay account, 460-4, to replace music equip-
ment lost in the fire of the Art Center.

     I also recommend that the budget estimate of income
from student fees be increased by the amount of A,2550J0OO00.

                                      Very truly yoursj

                                 (Signed) Frank D. Peterson,
                                          Comptroller.




                                     IMlarch 5, 1948

To:

lMr. Frank D. Peterson, Comptroller
University of Kentucky

Through:

Dean M. White
College of Arts and Sciences

Dear Mr. Peterson:

     You will probably recall that during the beginning of
this school year, you r.-note me a letter in which you indi-
cated that you would be willing to increase the non-personal
budget of the Music Department at a later date during the
present fiscal year, to compensate for the extra expenses
incurred in the replacement and the repair of materials
and equipment su'ffered by the Music Department through fire
loss of the Art Center, and for whion the University received
a check for over three thousand dollars from the Insurance
Company.




 





5



           For instance, we had the following such expenses:

                Q275 for repair of the Steinway grand injured
                    by its hasty removal from the building-

                4405 for purchase of the Harvard Classics for
                    Lien's Glee Club, as a partial replacement
                    of the $900 University Men's Glee Club
                    library destroyed completely by the fire-

                @78 for repair to stringed instruments, in-
                    Jured by hasty and excessive handling
                    during and after the fire-

          1My record of expenditures as of this date, discloses
     that we will be in deficit of approximately "Y;50 when all
     present requisitions are processed, on our non-personal
     funds.   There will be other necessary requisitions before
     the close of the school year.

          Hay I recommend that a sum of $500 be added to the
     Music Department fund #460,

                                     Respectfully submitted,

                                  (Signed) Alexander Capurso
                                            Head, Department of
                                                   Music,


     The recommendations were discussed and, upon motion duly made,
seconded and carried, the budget increases were authorized, and the
estimated income for the fiscal year 1947-48 from student fees was
ordered increased in the amount of Q250,000.00.



     E.o Construction--',Vestern Kentucky Substation.

     Doctor Chamberlain submitted plans and specifications for a ma-
chinery building at Western Kentucky Substation, and recommended that
same be approved, with such modifications in specifications as might
be necessary to secure competitive bids.    The building was estimated
to cost about 48,000.00.

     Members of the Committee examined the plans, and upon motion duly
made, seconded and carried, approved the recommendation of the Vioe
President, and authorized the Comptroller to secure bids for the con-
struction of the machinery building.




 





6



    F. Application of Lexington Water Company for Special Connection
Approved.
    Doctor Chamberlain submitted a letter from the Comptroller ac-
companying application for special connection from the Lexington WVater
Company.


                                        March 1, 1948
    Dr, L. M. Chamberlain, Acting President
    University of Kentucky

    Dear Dr. Chamberlain:

              I transmit hereto attached application for special
     connection from the Lexington C'ater Company.  I have had
     this application checked by Professor Frank Murray.   It is
     in the regular form for such applications and provides for
     the placing of a fire hydrant near the Dairy Barn, which
     will furnish water and fire protection to the Combined Shops,
     the Maintenance storage building and the Dairy Barn,   The
     application is in good form and is permitted by the Universi-
     ty.   I recommend that same be submitted to the Executive
     Committee for consideration.

                                        Sincerely yours,

                                   (Signed) Frank D. Peterson,
                                              Comptroller.




               APPLICATION FOR SPECIAL CONNECTION

         This application made and entered into this       day of
              h  1948, by and between the LEXINGTON WATER COIPANY,
    hereinafter called the "'TWATER CO1LPANY" and the UNIVERSITY OF
    KENTUCKY, hereinafter called BUTHE APPLICANTS.

         THE APPLICANT, upon the terms and conditions hereinafter
    set forth, hereby applies to the !AlTER CO.1PANY for one (1)
    standard fire hydrant to be installed approximately 1,000
    feet east of the intersection of Rose Street and South Lime-
    stone Street and connected to the WATER COIPlANTY main.

         FIRST: That the extent of the rights of THE APPLICANT
    under this application is to take, but only at tilmes of fire,
    svuch supply of water as shall then be available through
    APPLICANTIS hose or through public fire fighting equipment.
    That THE APPLICANT agrees the WATER CO.2ANY shall not be
    considered in any manner an insurer of property or persons,




 





7



or to have undertaken to extinguish fire or to protect any
persons or property against loss or damage by fire, or other-
wise, and that it shall be free and exempt from any and all
claims for damages on account of any injury to property or
persons by reason of fire, water failure to supply w,,ater or
pressure, or for any other cause whatsoever.

      SECOIN'D: That the rights of THE APPLICANT hereunder
 shall be further subject at all times to the rates, rules
 and regulations of the WATER CO11PANY now existing or which
 may hereafter be lawfully adopted, and THE APPLICANT agrees
 to pay or cause to be paid to the W.7ATER COMPANY any and all
 sums of money that may become due and payable to the WATER
 COIUJPANY by THE APPLICANT pursuant to this contract under
 the aforesaid rates, rules and regulations, and to pay or
 cause to be paid any and all such sums of money at the times
 and in the manner contemplated or provided in the aforesaid
 rates, rules and regulations,

     THIRD: That the WATER COMPANY has the right to discon-
tinue or disconnect said hydrant and hydrant branches and
terminate this contract thirty days after APPLICANT had been
notified, for failure to pay any bill when due or for any
violation of any of the terms and conditions of same, or for
any violation of its rules, and also has the right to shut
off all or any part of its plant and dis oRntinue the service
-hen deemed necessary by the WATER COMPANY, for the purpose
of making any repairs, alterations or additions, and such
right may be exercised without any abatement of charge agreed
herein to be paid by THE APPLICANT.

     FOURTH; The acceptance of this application by the WATER
CO11PANY must be executed by its Manager and President or
Vice President before same becomes effective.

     IN WITNTESS '.HEREOF the WATER COMPANY hereby accepts the
foregoing application this                  day of_
1948.


,'IJITNZSS:                          LEXINGTON WATER COMPANY

                                B
                                            Lianager
WITNESS:

                                By_      __      ____________
                                        Vice President

WITNE9S:                             UNIVERSITY OF KENTUCKY



By




 






8



     The members being familiar with the contents of the application,
upon motion made, seconded and carried, the application was ordered
executed by the Comptroller on behalf of the University.


     G. Purchase of Equipment from Pratt and Whitney Aircraft,

     Doctor Chamberlain submitted a letter from Dean D. V. Terrell,
recommending the purchase of equipment,instruments, new spare parts
and gasoline from Pratt and Whitney Aircraft.

     A letter from Professor A. J. Ileyer, Director of the Aeronauti-
cal Research Laboratory, detailing the equipment, instruments, etc.,
to be purchased was also presented.


     March
     Thirteen
     1 9 4 8

     Dr. Leo M. Chamberlain
     Vice President of the University
     Campus

     I:;y dear Dr. Chamberlain;

     I am enclosing herewith a report from Professor A. J.
     IAeyer, Director of the Aeronautical Research Laboratory,
     which covers an inventory of all equipment, instruments,
     new spare parts, and some 24,000 gallons of gasoline
     owned by Pratt and 'Whitney Aircraft.  The enclosed let-
     ter from Professor hieyer is self-explanatory,

     Since there are sufficient funds in the laboratory's
     account and since the price does not represent more than
     five cents on the dollar depreciated value, and since the
     equipment will be needed by the laboratory for future re-
     search projects, it is my recommendation that authority
     be given to purchase the property as set out in the at-
     tached report.

     I also wish to recommend that the disposal of the gasoline
     be authorized and that the funds realized by the sale be
     applied to the overall purchase price agreed upon and
     estimated to be V4,600.00.

                                    Yours very truly,

                                (Signed) D. V. Terrell,
                                           Dean.




 





9



                                     March 12, 1948

 Dean D. V. Terrell
 College of Engineering
 University of Kentucky
 Campus

 Dear Dean:

      I. Attached is an inventory of all equipment, in-
struments, and new spare parts owned by Pratt and W.Thitney
Aircraft, and installed or stored in the Aeronautical Re-
search L4aboratory.  In addition, they own 8,000 gallons
of gasoline, stored in our tanks, plus 293 barrels con-
taining a total of about 16,000 gallons of high grade
aviation fuel of 100 Octane or better rating.

      The equipment represents an ornginal investment of
over $62,000.   In the column marked 'Depreciated Price",
we have listed either a heavily depreciated value, or for
some expendable items, our replacement cost.   This col-
umn totals in excess of v327,000, and is considered under-
rated, in case we can use the set-up, as is, for other
-ork.  The large amount of work to install and develop
the installation has not been evaluated.

     The tanked fuel can only be used as automotive gaso-
line after mixing it with a volume of standard gasoline
at least ten times as large.  T-he barrelled fuel will
improve any gasoline it is mixed with, or it can be used
straight.

     Federal taxes have only been paid on the barrelled
fuel. State taxes have not been, paid on any of it.

     II. 'Je have negotiated a settlement with Pratt and
Whitney Aircraft, which will enable us to keep the set-up
intact.   In their letter dated October 22, 1947, copy
of' which is attached, they offer us their entire interest
for the depreciated book value of the durable goods in-
volved.   In the attached telegram, this value is estimated
at; %'.4,600 as of 11arch 31st, 1948.

     III, In order to determine whether or not our set-up,
as is, can still serve a useful purpose, wie have conducted
a survey by sending a form letter and descriptive report,
a sample of which is attached, to a total of fourteen
large corporations.   The reaction received is as follows:
           4 have expressed no interest.
           2 have not answered.
           5 have expressed interest and their intention
               to consider our facilities in future programs.
           1 is interested, but still investigating.
           2 are serious prospects.




 










     The serious prospects are:
        a. Standard Oil Development Company, Elizabeth, N.J.
        b. The Ethyl Corporation, Detroit, Mich.
     Both companies have sent representatives for inspection
and further discussion.   Standard Oil Development is con-
sidering a six year, long range program of research on air-
craft lubricants, and Ethyl Corporation wants to continue
the work on lead scavengers that wie did for Pratt and --7hit-
ney, and which attracted nation-wide attention.

     We further have under consideration an extensive pro-
gram of research to be sponsored by the National Advisory
Committee for Aeronautics (NACA),  Washington, D.C. A copy
of a recent letter is also attached.

     IV. Finallywe want to bring to your attention that
the balance sheets of the Laboratory, as of February 1.
1948, show Receivables to be in excess of Payables by about
Q25,000, after profits of approximately ti,9,000 by the Ken-
tuoky Research Foundation have been allowed for.   The
Cash Balance, as of February 1, 1948, was Q$3,500. It is
much better now.

      V. From the above information, we conclude:

         1. That the prospects for additional sponsored
            research, using our test facilities, plus
            those now orned by Pratt and Whitney Aircraft,
            are good.
         2. That the investment required to take over
            Pratt and ihitneyts property, after the remaining
            gasoline has been sold, will be very small.
         3. That the Laboratory has accumulated enough funds
            to pay for the investment.

     For these reasons, vre recommend that the Pratt and
Whitney inventory be purchased for the amount of their de-
preciated book-value, or approximately, @4,600.

                                   Sincerely yours,

                              (Signed) A. J. 1Meyer, Director
                              Aeronautical Research Laboratory




 












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