Proceedings of the Board of Regents (1936-1939)

JULY MEETING, 1938

601

10. Federal Emergency Administration of Public Works grant of not less
than $945,000
11. Ann Arbor Trust Company to be Trustee of issue of bonds
12. $1,300,000 dormitory revenue bonds to be purchased at 98 and accrued
interest. Legal opinion to be furnished by Burke and Burke
We are pleased to submit this proposal and await your further advice.
Yours very truly,
EARL H. CRESS
Exec. Vice-President
July 25, 1938
Mr. Earl Cress, Executive Vice-President of the Ann Arbor Trust
Company appeared and made an oral report of his activities with
respect to the commitment on the bond issue complementary to the
grant of the Public Works Administration if made, and also discussed
process of securing required land.
The following resolution was adopted:
Resolved, That the Regents commit themselves to a thirty-year bond issue
as the basis in addition to a Federal PWA grant, if secured, for the building
of dormitories, the bond issue to include $900,000 at 3'2% and $400,000 at
4%, provided always no better terms can be obtained.
Mr. Cress was excused.
The Board directed that proper administrative authorities of the
University take the required steps, at their discretion, to secure options
on real estate required for the site of dormitories adjacent to the
Michigan Union.
After considerable discussion the following choices of architects
were made, terms of the commissions to be in accordance with the
usual schedules, and the commission to each firm to be expressly subject to the receipt of the expected grant by the Federal Public Works
Administration:
For dormitories to be erected adjacent to the Michigan Union for approximately 850 men students, the Stewart-Kingscott Company of Kalamazoo
For a dormitory to be erected adjacent to the University Hospital on
Catherine Street for approximately 150 medical students, O'Dell and Rowland
of Detroit. On this action Regent Shields and Regent Lynch voted no.
The minutes of the meeting of June 17 were approved as submitted to the members in press proof, with correction by addition of
two names to the list of recipients of the degree of Master of Arts,
on page 592.
The Board approved and ratified actions of the Finance Committee
as follows (p. 561):
PURCHASES
BONDS
CONSOLIDA TED ENDOWMENT
25 M United States Steel Corporation, Ten-Year Debenture, 3I4%, dated June 1,
1938, due June 1, 1948. Purchased at par, to yield 3.25%; total book value,
$25,000.00. Moody's rating "A."
INVESTMENT POOL FOR DORMITORIES AND HOSPITAL RESERVES
25 M1 Standard Oil Company (New Jersey), Fifteen-Year Debenture, 234%, dated
July 1, 1938, due July 1, 1953. Purchased at 99, to yield 2.83%; total book
value, $24,750.00. Moody's rating "Aaa."
25 M United States Steel Corporation, Ten-Year Debenture, 3~4%, dated June 1,
1938, due June 1, 1948. Purchased at par, to yield 3.25%; total book
value, $25,000.00. Moody's rating "A."