Central Michigan University
BOARD OF TRUSTEES MINUTES
June 16, 1965
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TERMS AND COND I T I ONS
TERM LOAN TO PROV IDE FUNDS FOR TKE PURCHASE OF LAND
Amount:
Parties:
Purpose:
Term:
Rate:
Securi ty:
Payments:
$500 ,000,00,
To be loaned by National Sank of Oetrol t to Central
Michigan University Soard of Trustees.
Acquisition of land in connection with the self-liqu i dating
program .
To be dated July I , 1965, due July I, 1975 .
3-1/4% per annum , with provis ion for penalty rate of 4% per
cent per annum In the event the loan is not paid in fu l l
on or before July I , 1975 .
Allocat ion of student fees: the sum of $60,000 pe r annum to
be allocated and segregated from the total of fees charged
and collected from all students attend i ng Central Michigan
University. The Soa rd to give a l ien on student fees in the
amount of $60,000 per year beginning wi th the 1965 - 1966 fiscal
year of the Univers i ty . The Trustee to have such l ien until
the loan i s paid in full.
The Soard to give its Promissory Note in the amount of
$500,000 in ev idence of the loan .
$30 ,000 semi - annually payable January I and July I of each
year beg i nning January I , 1966.
Call Provis ions; Upon 15 days' notice , the Soard may perpay the entire
principal balance of the loan . I f prepaid in full pr ior to
maturi ty out of moneys borrowed by the Soard at a lower rate
of interest, a premium of 1% of the principal balance so pre -
paid shall be paid in addition. I f prepa id in full prior
to maturity out of moneys borrowed by the Board for purposes
other than to secure a lowe r ra te of interest no prem i um shall
be pa id if the Lender is given the first opportunity, by
written corrorounlcat ion f rom the Soa rd or the Trustee , to parti c
i pate in such refinancing,
Legal Opinion: Loan to be contingent upon the unqualifi ed approving
opinion of Mi l ler , Canfield , Paddock and Stone , Attorneys , of
Detroit , Mi ch i gan.
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Reports were made on the following items:
1. The Senate Committee Investigation
2. The Unpaid Staff Accounts
3. Insurance Survey and Workman' s Compensation Program
4. Grawn Hal} and Library remode ling plans
5. Bids on the University Center addition
It was moved, seconded and carried that the following general recommerxlaHons
presented by P resident Foust, including the proposed payroll with
exceptions, subject to the legislature appropriating the money, be approved:
Resignations -
Dr. Leroy F. Sterling, Associate Professor, School of Health and
Physical Education and Recreation, effective June 12, 1965.
Dr . Harry C. Dillingham, Assistant Professor, Sociology Department,
effective June 30, 1965.
Dr . Beth A. Dillingham, Assistant Professor, Sociology Department,
effective June 30, 1965.
rl"Ir. Robert F. I1Iinnick, Assistant Professor, Geography Department,
effective June 30, 1965.
Dr. Gale R. Gleason, Associate Professor , Biology Department,
effective August 15, 1965.
Dr. Alfred A. Baumeister, Assistant Professor, Psychology Department,
e ffective August 27, 1965.
Mr. Charles F. Bromm, Assistant Director, University Center,
effective July 31, 1965.
Dr. Gordon Henley , Professor, Psychology Department, effective
July 30, 1965.
Dr . Worth Harde r, Assistant Professor, English Department , effective
July 30, 1965,
Mr. William C. Odykirk, Instructor, School of Health and Phys ical
Education and Recreation, effective June 12, 1965.
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Resignations continued -
Dr. Leonard Magnifico, Associate Professor, Education Department,
effective June 12 , 1965.
Dr. Robert L. Stewart, Associate Professor, Sociology Department,
effective June 30, 1965.
Mrs. Gail Carroll, Stenographer Sr. C-3, Field Services, effective
June 12, 1965.
Mrs. Judith Yoong, Typist Sr. C-l, Graduate Studies, effective
May 31, 1965.
Mr. Arthur Brill, Custodian M-1, Housing-Thorpe, effective
April 2, 1965.
Mr. Eber Harris, Warehouseman M-2, Central Food Stores, effective
April 29, 1965.
Mrs. Maxine A. Williams, Junior Clerk C-O, half- time, Psychology
Department, effective Jliay 7, 1965.
Mr. Fred D. Runyan, Tradeshelper M-2, Maintenance, e ffective
May 14, 1965.
Mr. Robert Johnson, Custodian M-l, University Center, effective
March 30, 1965.
The following Temporary Groundsmen and effective dates:
Richard Gordon
Larry Spicer
Larry Morgenstern
Fred Rodenish
Frank Powers
AppOintments -
April 15, 1965
May 1, 1965
May 7, 1965
May 17, 1965
Joolay 21 , 1965
Mr. Alvin A. Abbott, Instructor, History and Political Science Department,
effective beginning September 6, 1965.
Miss Jacquelyn A. McCready, Instructor-Librarian, Library Department,
effective beginning September 6, 1965.
Mr. Lawrence Leith, Instructor, English Department, effective
beginning September 6, 1965.
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Appointments continued -
Mrs. Mary McCoy, Instructor (Temporary), Biology Department,
for the academic year 1965-66, effective beginning September 6, 1965.
Mrs. Sandra Lynch, Instructor, English Department, effective
beginning September 6, 1965.
Mr. Arnold D. Hammel, Instructor (Temporary), Mathematics
Department, effective beginning September 6, 1965.
Mr. Aaron C. Hall, Administrative Assistant A-lIT, Admissions
Office, effective beginning August 1, 1965.
Mr. Gordon H. Gilchrist, Instructor, Industrial Arts Department,
effective beginning September 6, 1965.
Mrs. Mary Lou Franklin, Instructor (Temporary), Speech and
Drama Department, for the academic year 1965- 66, effective
beginning September 6, 1965.
Mr. James DeWitt, Instructor, English Department, effective
September 6, 1965.
Mr. Virgil W. Davis, Instructor, Industrial Arts Department,
effective September 6, 1965.
Mr. Roscoe CoUngsworth, Instructor (Temporary), Biology Department,
for the academic year 1965-66, effective beginning September 6,
1965.
Mr. Jan Blankenship, Instructor, Music Department, effective
beginning September 6, 1965.
Mr. Albert R. Montanaro, Jr., Instructor (Temporary), Speech and
Drama Department, effective beginning September 6, 1965.
Mr. Paul Oberle, Instructor , Education Department, effective
beginning September 6, 1965.
Mr. Robert M. Rennick, Assistant Professor, Sociology Department,
effective beginning September 6, 1965.
Mr. Jack Saunders, Instructor, Music Department, effective beginning
September 6, 1965.
Dr. Gordon W. Schultz, Assistant Professor, School of Health and
Physical Education and Recreation, effective beginning September 6,
1965.
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ApPointments continued -
Mr. J ay H. Shurtliff, Instructor (Temporary), Art Department,
for the academic year 1965-66, effective beginning September 6,
1965.
Mr. Gordon Stoddard, Instructo r , School of Health and Physical
Education and Recreation, effective beginning September 6, 1965.
Mr. Francis H. Tokay, Ass istant Professor, Speech and Drama
Department, effective September 6, 1965.
Mr. Robert F. Wardrop, Assistant Professor, Mathematics Department,
effective beginning September 6, 1965.
Mr. Guy Warner, Instructor (Temporary), Speech and Drama
Department, for the aoademic year 1965-66, effective beginning
September 6, 1965 .
Dr. Douglas X. West, Assistant Professor, Chemistry Department,
effeotlve beginning September 6, 1965.
Mr. C. Jarvis Wotring, Assistant Professor, Education Department,
effective beglMlng September 6 , 1965.
Mr. L. J. Ross, Assistant Professor, Commerce Department,
effective heginning September 6, 1965.
Mr. DeWayne Kyser, In<Jtructor, Geograpby Department, effective
beginning September 6, 1965.
Mrs. Marilyn Zorn, Instructor (Temporary), English Department ,
for the academic year 1965-66, effective beginning September 6,
1965 .
Mr. Peter Ringelberg, Assistant P roject Superintendent for New
Construction, A- D, effective beginning June 1, 1965.
Dr . Herbert S. Verter, Assistant Professor, Chemistry Department,
Cancer Researoh Grant for the period April 14 - April 21, 1965 .
Mr. Wayne W. Cole, Custodian M- l, University Center, effective
April 4, 1965.
Mr. Joe McGuirk, Custodian M-l , Housing, effective ?Iay 17 , 1965.
Mrs. Beverly F. Smith, Stenographer Senior C-2, Field Services,
effective June 1, 1965.
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Appointments continued -
Mr. J. Allen Lampman, Commerce Department, part- time, effective
beginning April 21, 1965.
Mr. Arthur David , General r.1aintenance 1\1-1, effective beginning
May 17 , 1965.
Mr. Harold E. Struble, Custodian M-l, Joibintenance, effective
beginning :May 17, 1965.
1I-lr. Lester II. Serier, Math ematics Department, National Sc1ence
Foundation Summer Institute In Mathematics, for the period
January 1 - October 1, 1965.
Dr. Julia Adkins, Mathematics Department, National Science
Foundation Summer Institute 1n rvrathematics, for the period
January 1 - October 1, 1965.
The following Temporary Groundsmen,
Gary Lee Lowery
Frank Powers
WUliam B. Zingg
Bruce Eugene Hubble
Genlo Torres Martinez
John Cole
Lyle Eugene Potts
and effective dates :
April 21, 1965
!lIay 3, 1965
May 10, 1965
May 10, 1965
May 18, 1965
May 21, 1965
May 25 , 1965
Recommend approval of reclassification of Mr. IUcbard W. SWeet, Brooks
Hall , from that of stockroom Attendant M-I to tbat of Stockroom Attendant
]\'1-2, effective April 4, 1965.
Recommend approval of reclassification of J unior Fedewa, :Maintenance,
from that of General :Maintenance M- l to that of M-2, effective Jo.Iay 3,
1965.
Recommem approval of reolassification of Miss Carole L. Weihl , Geography
Department, from that of Clerk Jr. C- O, half- time, to that of Clerk Jr. C-O,
full-time, effective July 1, 1965.
Recommend approval of a leave of absence, without pay, for Mr. Eugene
il'Jodj eski, Instructor, Biology Department, foe the acudemic year 1965-66.
Recommend approval of the follcwing promotion:
L. Michael Carson - Chemistry Department
From Assistant P rofessor to Associate Professor
Recommend approval of &.immer School Payroll, 1965, as submitted .
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Rec ommend that the enrollment certification fee of $45. 00 be increased to
$55. 00 after August 15, for fall registration and after seven days prior to
r egistration day in the spring semester and that only $45.00 of the $55. 00
paid be appHed to the fees due the University at the time of registration .
Recommerd approval of addition to Summer School Off-Campus P rogram,
1965, as submitted.
Recommerd approval of lis t of June graduates , as submitted.
Recommem approval of Personal Service Payroll (General and Other
FUnds) for 1965 - 66.
Recommero acceptance of grant of $96,709 from the United States Department
of Health, Education, and Welfare for graduate training in the area
of water pollution control.
Recommend acceptance of the $100 contribution for the Music Grant-In-Aid
Fund from the Leonard Refineries .
Recommerd acceptance of equipment from The Dow Chemical Company
to our Department of PhysIcs . Esti mated value - $S87.
Recommend acceptance of 1 used Kymograph, valued at $600; 1 used
Resperometer, valued at $800; and 1 used Microphotometer, valued at
$2000 from The Dow Chemical Company to our Department of Chemistry.
Recommend acceptance of gift of 36 relays from Potter &- Brumfield to
our Department of Physics . Estimated value - $500.
Recommend acceptance of $100 from the National Merit Schola rship
Corporation for our Student Loan Fum.
Recommeoo acceptance of glft of $50 from the General Electric Foundation .
Recommerxl acceptance of the following gifts for the Development FUnd:
June Hicks Leach
Ann Grim Hicks
Various Donors
Rawson Foondation
Dow Corning Corp.
Ethel Taylor
Lionel L. Davis , M. D.
David H. Morgan
Thailand Alumni
Fraffi and Vlrjean J ohnson
$ 25.00
818.00 DeSignated for Edgar Grim FUm
269 . 35 Designated for Edgar Grim FUnd
1,200 . 00 Special Scholarships
500.00 School of B..isiness Education
50.00
25.00
100.00 Leadership Award
57.62
50.00
(Continued on next page)
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Don R. Mitchell
Charles V. P ark
$ SO .OO
25 . 00
Charles and PbyiliS Robinson 2S.00
Recommeoo acceptance of the follow ing gifts to the Central Michigan University
Libr ary and the Clarke Hi storical Library:
TO THE CLARKE HISTOIUCAL LIBRARY:
From:
Mr. W. S. Woodfill , Grand Hotel , Mackinac Island, a gift of the
inscribed copy of J ames J. Strang's Ancient and Modern l\'fichilimackinac.
Estimated value - $15.00
Mrs. Inez Vetter, 816 East Sugnet Street, Midland, a gift of the
steel engraving of Abraham Lincoln and his fam ily. Estimated
value - $15.00 .
Mrs. George Ann Woif, 214 West Cherry Street, Mt. Pleasant ,
a gift of a coll ection of stereo views.
Mr. Ray Naslund, 202 York Drive, St . Louis, Michigan, a gift
of a box of books. Estimated value - $20.00.
Mrs. Walter S. Ryder, 406 East High Street, Mt. Pleasant , Michigan,
a gift of books, pamphlets, and dair ies of her late husband, Walter S.
Ryder. Estimated value - $75.00.
Mrs . R. T. Houlihan, 519 Nor th Fayette, Saginaw, a gift of the medal
and plaque awarded to A. E. Ibershoff by the City of Detroit for participation
in the Spanish-American Wa r . Estimated value - $20 . 00.
1.1rs . Hugh Ward, 11 Berwick Lane, Dearborn, a gift of the Gratiot
County History, early photograph of Alma, lithograph, and family
photogr aphs . Estimated value - $100 . 00.
lVIrs . Lois Tucker, Standish, Michigan, a gift of a collection of postal
cards of IIUcbigan scenes. Estimated value - $15. 00
TO THE CENTRAL MICHIGAN UNIVERSITY LIBRARY:
From:
Dr. Roberto Herra, Central Miohigan University, a gift of books.
Estimated value - $5.00
Dr . David Good ell, Central Michigan University, a gift copy of Shumsky's
Creative Teaching In The Elementary School. Estimated value - $5.00
Mr. E. J. Kempf, 2 East 63rd Street, New York, a gift of the three
volume gift sct of Abraham Lincoln's Philosophy of Common Sense.
( Continued on next page)
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TO THE CENTRAL 1fiCffiGAN UNIVERSITY UBRARY (Continued)
From:
Mr. Cass Canfield, 515 JI.Iadison Avenue, New York City, a gift of
books . EsUmated value - $15.00.
Mr. Glen A. Boissonneault, Editor, Saginaw Daily News, Saginaw,
Mic higan, a gift copy of The World in 1964 by tbe Associated Press.
Estimated value - $10 .00.
It was moved, seconded and carrIed that t he Board adopt the follOwing
Resolution:
WILLIS CAMPBELL
WHEREAS, Willis Campbell has faithfully served Education
in Michigan for many years as a Teacher and Superintendent, and
WHEREAS, Willis Campbell has rendered distinguished
service to Central Michigan Univ ersity as a member of the first
Board of Trustees, offering counsel and guidance, and
WHEREAS, he has made a substantial contrirution to the
Univer sity in furtherance of the progress of the University, and
WHEREAS, Central Michigan University is grateful for the
services and advice of WUlis Campbell,
Now, ther efore, be it resolved that the Central Michigan
Unive rsity Board of Trustees express its deep appreciation for the
services of Willis Campbell .
Be It further r esolved that a copy of this resolution be spread
upon the minutes of the Board of Trustees and a copy thereof forwarded
to Willis Campbell.
By the same token a welcome was extended to Mr. Umphrey as a new member
of the Board, and congratulaUons were extended to Mr. Rahilly on his reappointment
to the Board.
It was agreed that the following reports be carr ied over to the August
meeting:
1. Work Study Program
2. P roject Head Start
3. Michigan Higher Assistance Authority - Reports eooing
December 31, 1965 aoo March 31, 1965
4. Insurance Survey
5. Self-liquidating Resolution, if passed
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6, BuUding Inspection Report
7. Vocational Education Project
8. Mott Inter-Unive rsity Clinical Prepar ation Program
On motion , the meeting adjourned at 4:30 P. M.
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Mrs. Doris L. Crippo
Secretary
Central Michigan University Board of Trustees
Meeting of June 16, 1965
Mt. Pleasant, Michigan
Members present: Mrs. Jean Backus; Lloyd M. Cofer; Mrs . Katharine C.
Hafstad; Lawrence D. Rahilly; JOM W. Sivier; James Umphrey; Walter W.
Wightman; E . Allan Morrow, Chairman; Judson W. F oust, President. Also:
Norvall C. Bovee, Treasurer; Mrs. Doris L. Crippo, Secretary.
It was moved, seconded and carried that the !liinutes of the April 21, 1965
meeting, with the following correction, be approved:
It was agreed that the Board of Trustees should send a ques tionnaire
to all faculty and staff. A committee was appointed
to prepare the questionnaire, to circulate it within the next
ten days or so, collect the data and make the results available
to the Board members at the June 16 meeting.
It was moved, seconded and carried that the IYIiuntes of the May 14, 1965
Special Meeting be approved as presented.
Mr. Morrow suggested that we are at the place where we need committees
within the Board to work in certain areas and to make recommendations to
the Board. The following committees were appointed:
Committee on Academic Affairs _
Mr. Cofer
Mrs. Hafstad
Mr. Umphrey
Committee on Finances _
Mr. Sivier
Mr. Rahilly
Mrs. Backus
Mr. Wightman
Mr. Morrow stated that other committees will be formed as the need arises .
The tabulations of the questionnaire were discussed briefly by the Chairman
of the Committee. It was sugges ted that the results be studied an an intensive
report be made at the August Meeting. The questionnaires are to be
reviewed by various members of the Board.
The meeting of the Board on Beaver Is land is set for August 19 _ 22, 1965.
Two boat trips per day each way __
Going over - 10:30 A. M. and 6 P. M.
Coming back - 7 A. M. and 3 P. M.
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President Foust presented the Charles WesUe case relative to sick leave.
It was the feeling of the Board that it was an administrative function to
interpret the sick leave policy. However, the Board felt that the absence
should be charged to sick leave.
It was moved, seconded and carried that permission be granted to award
contracts to the low bidders, subject to legislative approval for fuoos, for
the Grawn Hal l remodeling project.
It was moved, seconded and carried that we employ Mr. Byron Gallagher
as University and Board legal counsel at a stated arulUal retainer fee,
effective for the trial period of July 1 - December 31, 1965.
It was moved, seconded and carried that the Operating Budget as proposed
be approved .
It was moved, seconded and carried that the bids for the University Center
addition be rcfused, that we revise plans and re- submit for bidding.
A report was made on the land acquisition program, the appraisals am
progress made to date . It was the concensus of opinion of the Board that
we should proceed to condenm parcels of land unobtainable through negoUation.
It was moved, seconded, and carried to accept the following Department
Head Proposals as submitted by the University Senate:
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UNIVERSITY SENATE
DEPARTMENT HEAD PROPOSALS
Adop!ed March 17, 1965
Revised June 3, 1965
PREAAmLE
Withl.n the framework of depa1"1.mental or gani:z.aUon there sbou1d prevail a workable climate
oC mutual respect amon, faculQ> members and between faculty and department bead or chairman.
There must be mul1ial recognition and concern within the department for such things
as academic standards, able and wise leadersbip. and effective and sound management of
the department.
To these ends within the framework of the University organization each acadsmlc department
of the university ahould deliberate as a participating group in formulating Itl! own policiea and
decisions in accol'Clance with baelc democratic procedures of open discussion and voting.
operating both formally and Informally on propositions sucb as course offerings. curriculum
matters, budget and personnol, promotion problems, and periodic appraisal of goals and
objectives.
THE PROPOSALS
In order to aecompUlh the foregoing departmental goals and objectives. the following
practices are recommended for adoption.
1. The admlnletratlve officer of eacl!. department shall be designated CHAIRMAN of the
department,
2.
3.
Any Individual recommended by the President to the Board oC Trustees for appointment
to the poSition of departme.nt chairman shall be aelected after consultation with
and normally In conformity with the Judgmeot of the senior members- of the department
and of the appropriate administrative officers .
Each department Iball periodically appraise Its operations, functions. persoMel ,
and leadersbip. Tbls appraisal sball normally be conducted evet'y five yeare. It
sball Includs consultations between seniot' members of the department and the
adminlatratlvs officers . Such appraisal may take place at another time U desired
by appropriate administrative oUleers, the department cbairman. or by a majority
of the senior membera of the department.
·SenJor members of the depntment shall be Interpreted to mean all those who bold
rank either as Profel5or or Associate Professor with a minimum or one year'a
service on this campus plus those Assistant Professors who have completed at
least three years service on this campus.
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It was moved , seconded, and carried that the following Resolution be approved:
RESOLUTION OF CENTRAL MICHIGAN UNIVERSITY BOARD OF TRUST EES AUTHORIZING
THE ISSUANCE OF CENTRAL MICHIGAN UNIVERSITY RESIDENCE HALLS
AND APARTMENTS REVENUE BONDS IN TilE PRINCIPAL AMOUNT OF $3,225,000, 00
TO PAY COSTS OF CONSTRUCTING , FURNISUING AND EQUIPPING TWO NEW RESIDENCE
HALLS, A STUDENT APARTMENT BUILDING, IMPROVEMENTS TO THE CENTRAL
DINING COMMONS, AND RECONDITIONING EXISTING RESIDENCE UALLS; AUTHORIZING
TUE EXECUTION AND DELIVERY OF A TRUST AGREEMENT SECURING SAID BONDS. AND
P ROVIDING FOR THE SALE. AUTHENTICATION AND DELIVERY OF SAID BONDS,
WHEREAS, the Central Michigan Unlversily Boaro of Trustees. being the cons titutional
Board of Conlrol of Ccnlral Michigan Unive r sity (hereinafter referred to as the
" Boaro"). In the exerCise oC IlS constitutional duties relative U:I the superVi sion and control
of the University . has determined and does now determine that it is necessary because of the
rapid and continuing Increase In enrollment of students at the Univers ity to construct. furnish
and equip two new reSidence halls. Including Improvements to the existing Central Dining
Commons to make It adequate to service SbJdents In the new residence halls, a new student
apartment building, and to refurbish and reccnditlon existing residence halls In need thereof,
s aid r esidence halls and IItudent apartment building being more particularly described as
follows:
(a) The new reSidence hails to be designated as Saxe Residence Hall and
lierrig ReSidence Hall, respectively , to be loeo.ted on the campus of Central
Michigan University at MOWlt Pleasnnt, Michigan , to provide housing and
appurtenant faenltles fcr app roximately six hundred eighty-eight (688) students
attending the Unlveralty. Thesc residence halls will complete the studont
housing unit designated as the Southeast Quadrangle Residence Group , The
facilities of the Central Dining Commons to be enlarged to insure adequate
service for all fou r residence hol ls In the Group.
(b) The new student apartment building will provide housing and
appurtenant facilities fo r sixteen (16) married stude"t families, will be Mown
as Building No. 12, Washington Coun Apartments, and will conlain "ine (9)
one bedroom and seven (7) two bedroom apartments. plus necessary mechanical
and storage rooms.
Both the above new reSidence halls and the new student apar unenl building are presently
planned to be completed and ready for QCcupancy in th e Fall of 1966. and construction bids
have been taken ther eon; and
WHEREAS, the esl1mllted cost of constructing, furnishing and equipping said new
r esidence halls and student ap:l.rtment building. Including ccntingencies, architect and
enginee r ing fees. interest during construction. legal and financing costs. and Including a
debt service reserve of One Hundred Seventy -five Thousand ($175,000,00) Dollars for
revenue bonds tc be issued and the sum of Two Hundred Thousand ($200,000. 00) Dollars
to provide necessary fwuis to r econditlcn and r efurbish existing residence halls presently
in operation and in need thereof, Is Three Million Two HWldred Twenty-five Thousand
($3,225,000 , 00) DoUars ; and
WHEREAS, to finance said ccsts the Board proposes to Issue revenue bonds
secured by the net revenues of said nel\' residence halls and the new student apartment
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building hereinbefore referred to, all in accordancc with the terms and proviSions set forth
and outUned In an official statement prepared and submitted to this Doard , a copy of which Is
attaehed to this resolution and included herein by rcierence; and
WHEREAS, a Trust Agreement between the Board, as Obligor, and Ann Arbor Trust
Company, of Ann Arbor , Michigan, as Trustee, has been prepared and filed with the Board,
which Trust Agreement contains the necessary covenants, agreements and security
provisions to provide the maxlmum security for said r evenue bonds;
NOW THEREFORE, BE IT RESOLVED DY THE CENTRAL MICIUGAN UNIVERSITY
BOARD OF TRUSTEES,
1. That in the exercise of its constitutional dUties, it is hercby d(ltermined to bc
Immediately necessary to provide additional and adequatc hOUSing and dining facilities for
students attending Central Michigan University to acqui.re the capimJ projects specified in the
preamble hcreof, the restdence halls and student apartment building to be constructed in
accordanee with plans and speclflcutions the r efor developed by Roger Allen and ASSOCiates of
Grand Rapids, Michigan.
2. That to pay cos ts of constructing , furnishing and equipping said new resldencc
halls, including necessary additions to the central dining commons , and tho new student
apartment building, Including a dcbt service reserve of $175 , 000. 00 fcr the revenue bonds to
be Issued, the sum of $200,000. 00 to rcfurbish and recondition existing residence halls in
need thereof, and contingencies, architect's and cngineering fees, interest during construc'tion
, and legal and financing costs, the Board shall borrow the sum of $3 , 225,000. 00 and in
evidence thereof issue and soU Central Michigan University Residence Halls and Apartments
Revenue Bonds, which said bonds to be issued s hall all be equally and r utably secured as
provided in the Official Statement and Trus t Agreement hereinafter approved , which bonds
shall be dated as of June 15 , 1965 , and shall bc Issued in two series , as follows:
Serial Bonds
P rincipal Amount: $1 , 500, 000. 00 bearing interest at 3. 45% per annum, payable semi-annually
on December 15th and Jtule 15th of each year. commencing December IS, 1965 , to be
Inltlally Issued as onc single fully r egistered Bond No. R- l, reconvertlble to coupon bonds of
thc denomination of $5, 000. 00 each, as provided in the Trust Agreement her cinafter approved,
said Serial Bond or Bcnds to mature u.nd become payable as follows:
Pr incipal Principal
Am~t Duo Date Amount Due Date
$ 55,000 J une Hi, 1967 $80,000 J WlC IS, 1977
60,000 JIU'lC IS, 1968 85 , 000 JWle IS, 1978
60, 000 June IS , 1969 85,000 JlU'le IS, 1979
65,000 June IS , 1970 90,000 J Wle 15, 1980
65,000 JIU'lC 15 , 1971 90,000 JWle IS , 1981
70,000 Junc IS , 1972 95,000 J Wle 15, 1982
70, 000 JWlO IS , 1973 95, 000 June IS, 1983
75,000 Junc IS, 1974 100,000 June IS, 1984
75 ,000 J une IS , 1975 100,000 J Wle 15, 1985
80 , 000 JWle 15, 1976
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Term Bonds
Principal Amount: $1,725 ,000. 00 , bearing Interest at 3.65% per annum, payable s emi-annually
on December 15th and June 15th of oach year, commencing December 15, 1965 , to be
initially Issued as one single fully registered Bond No . R-2, reconvertible to coupon bends of
the denomination of $5 , 000. 00 each , as proVided in the Trust Agreement hereinafter approved,
said Teno Bond or Bonds to mature and become payable on JWle 15, 1991.
Certain of said Bonds s hall be subject to redemption or prepaym ent prior to matur ity
at the timcs, upon notice, and WIder the conditions as specified in the OffiCial Statement and
Trust Agreement hereinafter approved.
3. That said Bonds shall be secured and payable, and have a first lien on the Net
Income of the new residence halls and the new student apartment building, all In accordance
with the agreements , covenants and provisions set for th in the Trust Agreement hereinafter
r eferred to und upprovoo .
4. That the Official Statement duly filed with tbls Board, setting forth complete
information relating to this issue, the purpose thereef, financial information and data , and
other details relating to the Bond Issue, is hereby approved and adopted, a copy of which is
attached to this r esolution and made a part thereof by refcrence.
5. That the Trust Agreement betweell the Board and Ann Arbor Trus~ Company, of
Ann Arbor , l'oUchigan , as Trustee , governing the tel'mS, conditions, covenants, agreements
and pl'ovlslons r elative to the issuance and security of said Bonds. and the expenditure of the
proceeds of sale thereof, duly filed with this Board, a copy of which Is attached to lhis
resolution and made a part hereof by refercnce, is hereby approved, and the PreSident of
Central Mlchigu.n University, or the Chairman of the Board , and the Viee President of C entral
Michigan Unlv()rsltybe, and they are hereby, authorllled, ompowered and directed , In the
namc of and under the seal of this Board, to execute said Trust Agreement for and In Its
behalf.
6. That the Board shall, as long as any of the Bonds uuthor i7:oo and issued
pursuant to the proviSions of this resolution and the Trust Agreement remain outstanding
and unpaid, as to either principal or interest , keep the two reSidence halls known as Saxe
Residcnce Hall and Herrig Residence Hall , after their completion, in continuous operation,
except du r\.ng thc swnmer term when they, or either of them, may be closed if such closing
will not jcopal'dlzc the payment of the Bonds or the Interest thereon in accordance with the
tcrms , covenants and provisions of the Trust Agreement, and will keep the new student
apartment building known as Building No . 12 , Washington Court Apartments, when completed ,
In operation on an annual basis , and shall adopt such reasonable rules , r egulations and
requi r cments relative to the residence of students attending Central Michigan University as
shall be necessary to assure maximum occupancy of said facUities during such per iods . The
Board shall cha('g'c and collect from the students residing In said new faci1lties suHicient
rcnW chargcs , board charges and other service charges to mect the obligations of the Board
as set forth in the Trust Agreement and in the Bonds issued thereunder .
7
7. That the Chairman of the Board, or the Pres ident of Central Michigan Unlvcrsl ty,
or Vice President of Central Michigan Unive r sity be, and they are hereby , authorized,
empowered and directed , In the name of and under the seal of this Board, and as its corpor
ate act and deed, to execute, stgn l1Ild countersign the Bonds herein authorized, In the
manner prescribed in the aCorementioned Trust Agreement, and to facilitate the same Ilre
authorized to use their initials in lieu of their first names; and the coupons appe r ta ining to
said coupon Bonds shall be executed by the facsim ile signature of the Vice P resident of
Central Michigan University; and aoJd officers are hereby authorized to pledge and assign
the net income to be der ived from the operation of the two new reSidence halls and the new
student apartment building, (or the purpose of securing and making all payments of
principal, interest IlJId reserves l1Ild other payments and cxp.cnditures provided for In said
Trust Agreement, and to perform all acts and deeds and execute all instruments and
documents necessary, expedient and proper in connection with the borrOWing of said Three
Million Two Hundred Twenty-five Thousand ($3 ,225,000. 00) Dollars, the Issuancc and sale
of Central Michigan University Rcsldence Halls and Apartments Revenuc Bonds, !lnd the
pledging and assigning of the Income and revenues , as defined in the Trust Agreement.
8. That aald officers be, Wld they are hereby, !luthorized, empowcred and directed,
for and in the name of this BO!lrd and as Its corporate act and deed, to makc , consent to Wld
agree to any changes in tho torms and conditions of said Trust Agreement which they may
deem necessary, eJqledlent and proper, prior to or at thc time of the execution of said Trust
Agreement, but no suoh amendment s s hall change the provisions therein for the amount to be
borrowoo, the rate of interost to bo paid thereon, the payments to be made to the Trustee or
the security pledged .
9. That said omcers, either in sald Trust. Agreement or by the Issuance of said
Central Michigan University Residence Halls and Apartments Revenue Bonds, shall not
pledge the credit of cr create any lIabUlty on the part of the State of Michigan , the Central
Miohigan Untverslty Board of Trustecs , or any member or officer of this Board or any of
their successors , other than to pledge the income and to comply with the requir ements
therefor as specHied In this resolution and in the Trust Agreement.
10. That all officers, agents , administrative personnel, and employees of the
Board and the UniVersity are hereby authorized and directed to do all acts and things
required of them by the p rovisions of the Bonds and of the Trust Agreement , for the ful l ,
punctual and complete performance of all the terms, covenants and provisions and
agreements of the Bonds and the Trust Agreement .
11 . That the Bonds herein !luthorized sh..111 be executed in the form and manncr
hereinbefore provided and shall be deposited with the Trustee for authentication and
delivery In accordance with the requirements of the Trust Agreement.
12 . That the Bonds herein authorized shall be delivered to the purchaser or
purchasers tlierco! In o.ceordnnce with commitments submitted to this Board by Ann Arbor
Trust Company.
13 . That Ann Arbor Trust Company of Ann Arbor, Michigan, be and hereby Is
appolntod to act as Trustee under the Trust Agreement, and said Trustee shall be entitled
to such estates , powers , r ights, authorities , benefits, privileges , immunities and
exemptions as are set forth in the Truet Agreement.
8
It was moved, seconded and. carried that tbe following Resolution be approved:
RESOLUTI ON OF (ENTIIAL ftltNt CAN UNIVERS ITY BOARO OF TRUSTEES AUTHORIZING
A T£Rft BANK LOAN IN THE AMOUNT OF $500 ,000 . 00 FOR lAHD ACQ,J ISIT ION,
ACCEPTiNG THE COtv1 lTtlENT OF NATIONAL BANK OF DETROIT AND APPROVING THE
TERHS AND COND ITI ONS OF SAIO tOKtl ITI\ENT,
\/HEREAS , Centr.1 tli ehig.n Un i versity Boud of Trustees ( the eons tltution.
1 and sututory bo.rd o f eont ro l o f Central ft i ehigan Un i ve r s ity h.vi ng
ge ne ra l supervi s ion of tt>. inst i ultlon and tha eontro l and dlre'tlon of .11
e llpend i tures from the i nsti tution's fu nds ) In the ellereise of its eoos titut
iona l and sututory duties , hu daa rml ned tholt It is neeessary and expedien
t to acquire addl t lon. 1 land fo r the exp .nslon of the fadlities of
Central Miehigan University; and
WHEREAS, it is . ntlelpUld thn the eosts of aequirlng the neeenary
addition.1 I.nd wil l no t ell,eed Five Hundred Thousand Dollars ($500,000.00);
"d
WHEREAS, th i s Board deems It IIeeeSSilry and ellpediellt to borrow the sum
of $500,000.00 for the ,.urpose of p.ylng the eosts of said land aequisitlonj
"d
\/HEREAS, N.tlonll B.nk of Cltrolt , • N.tiollal BankJng Asso,Jatlon , of
Detroit, lIi,higan, hIS . gread to lo.n this Board the sum of $500, 000.00,
wh i eh loan is to be evldeneed by the Promissory Note of this Boare; whien
,.rinc ipa l indebtednes s from time t o time owing on said Note shall beu In terest
at t he r.te of 3-1/4'4 per .nnum to rnn urlty, 4% pe r annUIII thereafter in
the event uid p rl nelp.! i ndabtedneu sh.1L not be pa i d in full at rnatur!ty ~
whieh prindpal i ndebtedness .nd ."rued Interest sha ll be paid in fu ll on
or befo re July I, 1975; and which 10.n sh. 11 be subj ect to eeruill o ther t e rm5
and eondi ti olls as ou tli ned III t he Terms And Conditions submitted this d.y to
t his Bo. rd by Ann Arbor Trust Company , Ih flsc.1 agent and to cert aill ot he r
lersm and eOlleit ions to be set forth in further det.; 1 In a Loan Ag reement to
be e ntered iMO by .nd be tween this Board, National Bank of De troit and u id
Ann Arbor Trust CompallY n Trustee .
NOW THEREFORE, BE IT RESOLVED th.t this Saud ."ept the offer o f Nat lon.1
Bank of Det ro it to lo.n this Bo. rd t he sum o f $500 ,000 . 00 and borrow sai d
$500 ,000 . 00 from u Jd Na ti onal Bank o f Det ro it for the purpose o f paying t he
cost of .lequlri ng .dditlonal Land fo r the elql. nslon of Centra l lIie higan Unive rsity
fadlities " neer t he te"'I'IS .ne eone itioos subm itted to the Board t his day ,
BE IT FURTHER RESOLVEO that the terms ane eonditions re ferred t o above
ane submi ned to t hl s Soard this d.y, .re hereby approved and are m.ee a pin
of th i s Resolution.
BE IT FU RTHER RESO LVEO tn. t Ann Arbor Trust Company be, and is here by,
auth'Hi;z:ed to proceee with p reparation of the ne'essary doeurnents to eGmplete
t he loan approvee herein .nd to preunt same to this Board for formal approval
at its nellt meeting •• ne that Judson \/, Foust, President of Cent raL Mlenl9an
University alld N, C, Bovee . Vlee Prelleent of the University and Treasurer of
this Boare be, .nd .re hereby, au thorized to work .. Ith said Ann Arbor Trust
Company ane ap,.rove on behalf of this Bo.re , said eocuments, III,lueillg. Lo.n
Agreemerlt, prior to submi ssion of th.e same to this Boa re.
9
