Proceedings of the Board of Regents (1936-1939)

658 SPECIAL SEPTEMBER MEETING, 1938

to the calling and retiring of all outstanding Dormitory Certificates of Indebtedness of the face value of One Hundred Seventy-seven Thousand Dollars ($177,000.00) which were sold to provide funds to pay the costs incidental to the
erecting, furnishing, and equipping of two dormitory units known as "Allen
House" and "Rumsey House";
2. It is mutually agreed between parties hereto that said Trust Company
shall not consummate any loan without first obtaining the written approval of the
terms executed by Alexander G. Ruthven, President of The Regents of the University of Michigan, and Shirley W. Smith, its Vice-President and Secretary.
3. The Ann Arbor Trust Company agrees that it will use its best efforts to
obtain said loan on the terms most favorable to The Regents of the University of
Michigan; and that it will use its best efforts to perform all services incidental to
the obtaining of said loan, securing proper commitments, obtaining necessary legal
opinions and rulings, and drafting all necessary instruments, etc., incidental to
the obtaining of said loan.
4. It is mutually agreed between the parties hereto that the amount to be
borrowed hereinbefore set forth shall be subject to change by The Regents of the
University of Michigan, and that the amount hereinbefore set forth is so stated
in order to provide said Trust Company with a basis on which to negotiate said
loan on terms which may prove satisfactory to The Regents of the University of
Michigan.
5. It is mutually agreed between the parties hereto that The Regents of the
University of Michigan will pay to said Ann Arbor Trust Company from the
funds so borrowed, and said Ann Arbor Trust Company will accept as full compensation for its services as Fiscal Agent, a sum equal to two per cent (2%) of
the loan accepted by said Regents, upon the consummation of the same; and
should said Ann Arbor Trust Company be unable to obtain said loan on terms
satisfactory to the Regents of the University of Michigan, it will receive no compensation for the services performed.
6. It is mutually agreed between the parties hereto that this Agreement may
be terminated at any time upon written notice.
In Witness Whereof, The Regents of the University of Michigan has caused
these presents to be signed by the President of said Regents and attested by its
Vice-President and Secretary, and sealed with its seal; and the Ann Arbor Trust
Company has caused these presents to be signed by its Executive Vice-President,
attested by its Secretary, and sealed with its seal, as of the day and year first
above written.
THE REGENTS OF THE UNIVERSITY OF MICHIGAN
B y.........................................
President
(SEAL)
Attest.......................................
Vice-President and Secretary
ANN ARBOR TRUST COMPANY
By.........................................
Executive Vice-President
(SEAL)
A ttest.......................................
Secretary
The Board adopted the following:
RESOLUTION RELATIVE TO THE EMPLOYMENT OF ANN ARBOR TRUST COMPANY
AS TRUSTEE
WHEREAS, The Regents of the University of Michigan has this day authorized
the execution of a Trust Agreement with the Ann Arbor Trust Company incidental to the issuance and sale of Dormitory Revenue Bonds in the sum of One
Million Four Hundred Seventy-seven Thousand Dollars ($1,477,000.00), which
when added to a Federal Emergency Administration of Public Works granit of
Nine Hundred Forty-five Thousand Dollars ($945,000.00) will be sufficient:
(1) To pay all costs incidental to the erecting, furnishing, and equipping of a
new men's dormitory to house approximately one hundred forty (140) male
students of University of Michigan Medical School, which dormitory is referred
to herein as "Medical School Dormitory,"
(2) To pay all costs incidental to the erecting, furnishing, and equipping of
new dormitory units to house approximately eight hundred fifty (850) other male