Stephen F. Austin
State University
Minutes of the
Board of Regents
Nacogdoches, Texas
April 17,1984
Volume 68
INDEX
Minutes of the Meeting
Stephen F. Austin State University
Board of Regents
Held in Nacogdoches, Texas
April 17, 1984
84-67 Election of Chairman 2
84-68 Election of Vice Chairman 2
84-69 Election of Secretary 2
84-70 Approval of Minutes of January 31, 1984 2
84-71 Approval of Minutes of March 19f 1964 2
84-72 Approval of Faculty/Staff Appointments for
1984-85 2
84-73 Approval of Faculty/Staff Appointments for FY84 2
84-74 Changes in Status 8
84-75 Resignations i0
84-76 Requests for Leave of Absence 11
84-77 Retirements H
84-78 Promotions 12
84-79 Tenure Awards 13
84-80 Regents1 Professor Designation 13
84-81 Authorization to Select University Scholars 13
84-82 Approval of Budget Adjustments for FY84 14
84-83 Approval of 1984 Summer Budget 14
84-84 Approval of Annual Operating Budget for FY85 15
8 4-85 Authority to Request Major Improvement and
Repair Appropriations from 69th Legislature 15
84-86 Authority to Request Special Item Appropriations
from 69th Legislature 15
84-87 Authority to Sell $4,100f000 Housing System
Revenue Bonds, Series 1984 15
84-88 Authority to Increase Student Service Fee 15
84-89 Approval of Contract with Utley-James to
Construct Dormitory 20 16
84-90 Approval of Dormitory 20 Budget 16
84-91 Approval of Contract with Allied Industries
for Re-Roofing 1984 Project 16
84-92 Approval of Budget on Re-Roofing 1984 Project 16
8 4-93 Approval of Contract with T. G. Evans Company
for Dormitory Repairs - 1984 Project 17
84-94 Approval of Budget on Dormitory Repairs - 1984
Project 17
84-95 Approval of Contract with T. G. Evans Company
for Mays Hall Repairs 1984 Project 17
84-96 Approval of Budget on Mays Hall Repairs 1934
Project 17
84-97 Approval of Contract with Cecil Pond Con
struction Company for the. Griffith Fine
Arts Renovation Project 18
84-98 Approval of Budget on Griffith Fine Arts
Renovation Project 18
84-99 Authorization to Accept Bids on Painting
Rooms in Certain Residence Halls 18
84-100 Authorization to Accept Bids on Chair Lift
System for the Handicapped at the Birdwell
Building 28
84-101 Approval of Change Order No. 2 on the Motor
Pool Building Project 18
84-102 Resolution of Appreciation - Ted Bowen 20
Contract - Utley-James - Construction of
Dormitory 20 57
Contract - Allied Industries - Re-roofinq
1984 Project 76
Contract - T. G. Evans - Dorm Repairs 1984 96
Contract - T. G. Evans - Mays Hall Repairs
1984 F 116
Contract - Cecil Pond - Renovation of the
Griffith Building 136
MINUTES OF THE MEETING
BOARD OF REGENTS
STEPHEN F. AUSTIN STATE UNIVERSITY
HELD IN NACOGDOCHES, TEXAS
April 17, 1984
The meeting was called to order by Mr. Ted Bowen, Chairman of
the Board of Regents, at 9:0.0 a.m. April 17, 1984.
REGENTS -
PRESENT:
ABSENT:
Mr. Ted Bowen of Houston
Mr. Homer Bryce of Henderson
Mrs. George Cullum, Jr. of Dallas
Mr. Fletcher Garner of Bridge City
Mr. Larry Jackson of Piano
Mr. Glenn Justice of Dallas
Ms. Willia B. Murphy of Crocket
Mr. Phil Simpson of Dallas
Mr. Luke Honea of Wildwood
STAFF -
PRESENT: Dr. William R. Johnson, President of the
University
Dr. Edwin Gaston, Vice President for Academic
Affairs
Dr. Baker Pattillo, Vice President for Uni
versity Affairs
Mr. Don L. Henry, Vice President for Admini
strative and Fiscal Affairs
Mr. Robert Provan, Legal Counsel
Dr. Nancy Speck, Director of Development
visitors -; Mr. George Cullum, Jr., Husband of Regen*:
Craig Elliott, Editor of Pine Log
84-67
Upon motion of Regent Justice, seconded by Regent Simpson, with
all members voting aye, it was ordered that Regent Garner be
elected as Chairman of the Board.
84-68
Upon motion of Regent Justice, seconded by Regent Simpson, with
all members voting aye, it was ordered that Regent Jackson be
elected as Vice Chairman of the Board.
84-69
Upon motion of Regent Bowen, seconded by Regent Bryce, with
all members voting aye, it was ordered that Don L. Henry be
elected as Secretary to the Board.
84-70
Upon motion of Regent Simpson, seconded by Regent Jackson, with
all members voting aye, it was ordered that the minutes of the
meeting of January 31, 1984, be approved.
84-71
Upon motion of Regent Cullum, seconded by Regent Jackson, with
all members voting aye, it was ordered that the minutes of the
meeting of March 19, 1984, be approved.
84-72
Upon motion of Regent Bryce, seconded by Regent Murphy, with
all members voting aye, it was ordered that the faculty and
staff appointments for 1984-85, as submitted under separate
cover, be approved.
84-73
Upon motion of Regent Cullum, seconded by Regent Jackson, with
all members voting aye, it was ordered that the following
individuals be employed for the positions, dates, and salaries
indicated:
1. Applied Studies
Ms. Sarah Nelle Richardson, Lecturer, at a salary rate of
$5,250 for 75% time, effective spring semester, 1984, only.
2. Department of Administrative Services
Dr. Elizabeth Ryan Brice, 26, J.D. (South Texas College
of Law), Lecturer in Administrative Services, at a salary
rate of $1,500 for 25% tiire for the spring semester, 1984,
only.
Ms. Marie Elizabeth McClure, 51, M.Ed. (Stephen F. Austin
State University), Lecturer in Administrative Services
at a salary rate of $1,500 for 25% time for the sprinq
semester, 1984, only.
Dr. Nancy J. Wilmeth, Lecturer in Administrative Services,
at a salary rate of $4,878 for 75% time for the spring
semester, 1984, only.
3. Department of Elementary Education
Ms. Annelle Barbin, Lecturer in Elementary Education,
at a salary rate of $1,500 for 25% time for the sprinq
semester, 1984, only.
Ms. Brenda Bowman, Lecturer in Elementary Education,
at a salary rate of $1,500 for 25% time for the sprinq
semester, 1984, only.
Ms. Margie Redmon Coats, 54, M.Ed. (Stephen F. Austin
State University), Lecturer in Elementary Education,
at a salary rate of $1,500 for 25% time for the spring
semester, 19 84, only.
Dr. Newel Gene Holland, Lecturer in Elementary Education,
at a salary rate of $1,736 for 25% time for the spring
semester, 1984, only.
Ms. Charlotte Olds Kennemer, 39, M.Ed. (Stephen F. Austin
State University), Lecturer in Elementary Education,
at a salary rate of $4,000 for 100% time for the spring
semester, 19 84, only.
Ms. Keira Lorenz, Lecturer in Elementary Education,
at a salary rate of $4,500 for 75% time for the spring
semester, 1984, only.
Ms. Deanna Chicola Petty, 46, M.Ed. (Stephen F. Austin
State University, Lecturer in Elementary Education,
at a salary rate of $l;500 for 25% time for the spring
semester, 1984, only.
Ms. Mary Jane Ward, 38, M.A. (Stephen F. Austin State
University), Lecturer in Elementary Education, at a
salary rate of $1,500 for 25% time for the spring
semester, 1984, only.
Ms. Leta Ann Weaver, 38, M.Ed. (Stephen F. Austin State
University), Lecturer in Elementary Education, at a
salary rate of $2,500 for 50% time for the spring
semester, 1984, only.
4. Department of English and Philosophy
Dr. Diane H. Corbin, Lecturer in English, at a salary
rate of $lf736 for 25% time for the spring semester,
1984, only.
Ms. Annette S. Dawson, Lecturer in English, at a salary
rate of $3,720 for 50% time, for the spring semester,
1984, only.
Ms. Mary Rose Devine, Lecturer in English, at a salary
rate of $1,625 for 25% time, for the spring semester,
1984, only.
Mr. William Dale Hearell, Lecturer in English (50% time)
and Academic Opportunity Adviser (50% time) at a salary
rate of $6,500 for 100% time for the spring semester,
1984, only.
Ms. JoAnne C. Howard, Lecturer in English, at a salary
rate of $1,628 for 25% time, for the spring semester,
1984, only.
Ms. Molly Abel Travis, Lecturer in English, at a salary
rate of $3,256 for 50% time, for the spring semester,
1984, only.
Ms. Deborah Thompson Yarrow, Lecturer in English, at
a salary rate of $1,625 for 25% time for the spring
semester, 1984, only.
5. School of Forestry
Dr. Richard N. Conner, Lecturer in Forestry, at a salary
rate of $1,750 for 25% time for the spring semester,
1984, only.
6. Department of Health and Physical Education
Mr. Tom Fleming, Lecturer in Health and Physical
Education, at a salary rate of $2,362.50 for 50% time
for the spring semester, 1984, only.
Mr. E. K. Sowell, Lecturer in Health and Physical
Education, at a salary rate of $2,756.25 for 60% time,
for the spring semester, 1984, only.
Mr. Steve White, Lecturer in Health and Physical
Education, at a salary rate of $900 for 25% time for
the spring semester, 1984, only.
7. Department of History
Ms. Hazel Abernethy, Lecturer in History, at a salary
rate of $1,800 for 25% time, for the spring semester,
1984, only.
8. Department of Home Economics
Ms. Jan Hensarlmg, 37, B.S.He. (Stephen P. Austin State
University), Lecturer in Home Economics, at a salary
rate of $100 per week beginning March 19, 1984, and
not to exceed eight weeks. Ms. Hensarling will assume
instructional responsibility for Home Economics 33 2
during Mr. Hoyet Williams1 sick leave.
Ms. Janie Owens Kenner, Lecturer in Home Economics,
at a salary rate of $200 per week beginning March 19,
1984, and not to exceed eight weeks. Ms. Kenner will
assume instructional responsibility for Home Economics
460 and Home Economics 117 during Mr. Hoyet Williams1
sick leave.
Ms. Kim Bass Slack, Lecturer in Home Economics, at a
salary rate of $100 per week beginning March 19, 1984,
and not to exceed eight weeks. Ms. Slack will assume
instructional responsibility for Home Economics 419
during Mr. Hoyet Williams1 sick leave.
9. Department of Management and Marketing
Ms. Kelley Ann Morrison, 24, M.B.A. (Stephen F. Austin
State University), Lecturer in Management, at a salary
rate of $6,000 for 100% time for the spring semester,
1984, only.
10. Department of Mathematics and Statistics
Dr. Robert R. Fleet, Lecturer in Mathematics, at a salary
rate of $5,400 for 75% time, for the spring semester,
1984, only.
Ms. Julie L. Gaylord, Lecturer in Mathematics, at a
salary rate of $5,400 for 75% time for the spring
semester, 1984, only.
Mr. Gary Lynn Hefley, B. S. (Stephen F. Austin State
University), Lecturer in Mathematics at a salary rate
of $3,543.75 for the spring semester, 1984, only.
Mr. Mohammed Hossein Hosseinpour, Lecturer in Mathematics,
at a salary rate of $5,824 for 100% time for the spring
semester, 1984, only. *
Ms. Vicky Lymbery, Lecturer in Mathematics, at a salary
f^ 9f $1,800 for 25% time for the spring semester,
, only. '
11. Department of Music
Mr. Randall R. Leifeste, Lecturer in Music, at a salary
rate of $1,350 for 22.5% time for the spring semester,
1984 only.
12. Department of Psychology
Dr. Randolph K. Sanders, 32, Ph.D. (Fuller Theological
Seminary), Lecturer in Psychology, at a salary "rate
of $2,000 for 25% time for the spring semester, 1984,
only.
13. Department of Secondary Education
Dr. Billy Randal Bowman, Lecturer in Secondary Education,
at a salary rate of $1,000 for 15% time for the spring
semester, 1984, only.
Dr. Allan Gordon Cannon, Lecturer in Secondary Education,
at a salary rate of $4,000 for 50% time for the spring
semester, 1984, only.
Ms. Dorothy King Coleman, Lecturer in Secondary Education,
at a salary rate of $1,000 for 15% time for the spring
semester, 1984, only.
Dr. Clyde L. Iglinsky, Lecturer in Secondary Education,
at a salary rate of $2,000 for 20% time, for the spring
semester,1 1984, only.
Dr. Sandra Tillman -Lowery, Lecturer in Secondary
Education, at a salary rate of $2,000 for 20% time,
for the spring semester, 1984, only.
Dr. Arnold P. Payne, Lecturer in Secondary Education,
at a salary rate of $1,000 for 15% time, for the spring
semester, 1984, only.
Ms. Christine Seago, Lecturer in Secondary Education,
at a salary rate of $1,000 for 15% time, for the spring
semester, 1984, only.
14. Department of Sociology
Mr. Ray Lynn Darville, 29, M.A. (Stephen F. Austin State
University), Visiting Assistant Professor of Sociology,
at a salary rate of $20,000 for 100% time for nine months,
effective September 1, 1984. (The rank and salary are
contingent upon Mr. Darville having the Ph.D. in hand
by September 1, 1984.)
15. Applied Arts and Sciences
The following individuals are employed to teach off-campus
at the locations and for the amounts indicated for the
spring semester, 1984:
Mary Appleberry
John C. Austin
Arthur W. Benoy
B. Duke Brannen
Leonard Cheever
Timothy W. Clipson
Ralph Eddins
Donald Evans
Linda Freiman
Charles Gardner
Donald Graham
Donald Gregory
Vivian Gruber
William C. Heeney
Harold Hill
Harry Hoechten
Jerry L. Irons
Mary Ella Lowe
Samir Maamary
Morgan Moses
Milton Payne
H. Douglas Prewitt
Kay Rayborn
Douglas Raymond
Jesse Richardson
Elvia Rodriguez
Jose Rodriguez
Stephen N. Smith
Dudley M. Stewart
John Thornton
William Weber
Grady Willingham
Tenaha $1,288.00
Humble 1,440.00
Humble 1,440.00
Fairfield 1,388.00
Beto Unit 786.00
Coffield/Beto Units 1,136.00
Jasper 1,347.00
Longview 636.00
Longview 886.00
Coffield Unit 1,016.00
Coffield Unit 1,016.00
Coffield Unit 1,016.00
Longview 1,336.00
Longview 1,836.00
Fairfield 1,388.00
Coffield Unit 2,516.00
Humble 1,440.00
Longview 1,336.00
Humble 74 0.00
Longview 1,336.00
Fairfieid 1,388.00
Humble 1,440.00
Humble 1,440.00
Coffield Unit 2,266.00
Coffield/Beto Units 1,386.00
Longview 1,336.00
Longview 1,336.00
Coffield Unit 1,016.00
Longview 636.00
Jasper 1,347.00
Coffield Unit 1,016.00
Longview 1,336.00
16. University Library-
Ms. Martha D. Crain, M.L.S. (Indiana University),
Librarian I at a salary rate of $16,300 for 100% time
tor nine months, effective January 11, 1984.
17. Office of Development
Dr. Nancy Speck, Interim Director of Development to
Director of Development, effective April 17, 1984.
18 University Affairs
r«.-,no MaPles' Head Resident II, at a salary rate
of $10,299 for twelve months, effective March 22, 1984.
Mr. Steve McCarty, Men's Intercollegiate Associate
Athletic Director, at a salary rate of $40,000 for
twelve months, effective January 23, 1984. Source
of salary: Intercollegiate Athletics for Men - $28,000
(70%); Lumberjack Club - $12,000 (30%).
Arthur Watson, Jr., M.D., University Physician, at
a salary rate of $44,816 for ten and one-half months,
effective January 9, 1984.
19. Administrative and Fiscal Affairs
Mr. Ernesto Rodriguez, Director of Stenographic Bureau,
at a salary rate of $28,500 for twelve months, effective
March 12, 1984.
20. Computer Center
Ms. Patricia Ann Imhoff, Programmer II, at a salary
at?0f $16'078 for twelve months, effective April
84-74
Upon motion of Regent Justice, seconded by Regent Bowen,
with all members voting aye, it was ordered that the following
changes in status be approved:
1. Department of Elementary Education
Ms. Keira Q. Lorenz, Lecturer in Elementary Education,
froir. 75% time at a salary rate of $4,500 to 75% time
at a salary rate of $5,100 for the spring semester,
1984, only. Ms. Lorenz will assist Dr. Payne with
laboratory-type activities in the outdoor education
clats.
2. Department of English and Philosophy
Mr. Cydney W. Adams f Lecturer in English, from 25% time
at a salary rate of $1,628 to 50% time at a salary rate
of $3,256 for the spring semester, 1984, only. Mr.
Adams will teach an additional section of English.
3. Department of History
Dr. Robert N. Mathis, Associate Professor of History,
to Associate Professor of History and Chairman of the
Department of History, at a salary of $39,325 for eleven
months, effective August 22, 1984.
4. Department of Mathematics and Statistics
Mr. John Michael Garner, Lecturer in Mathematics, from
50% time at a salary rate of $2,352.52 to 75% time at
a salary rate of $3,453.73 for the spring semester,
1984, only. Mr. Garner will teach an additional section
of Mathematics.
Ms. Peggy Lee Kaisershot, Lecturer in Mathematics, from
50% time at a salary rate of $2,352.52 to 75% time at
a salary rate of $3,453.73 for the spring semester,
1984, only. Ms. Kaisershot will teach an" additional
section of Mathematics.
Mr. Steven Arthur Shandro, Lecturer in Mathematics,
from 50% time at a salary rate of $2,352.52 to 75% time
at a salary rate of $3,453.73 for the spring semester,
1984, only. Mr. Shandro will teach an additional section
of Mathematics.
5. Social Work Program
Ms. Kathleen Sonja Brantley, Assistant Professor of
Social Work and Interim Project Director, In-Home
Educational Services, from a salary rate of $8,775 for
100% time for the spring semester, 1984, to a salary
rate of $23,400 for 100% time for nine months. This
is to correct the original appointment.
6. University Library
Ms. Marthea Turnage, Assistant Reader Services Librarian,
from a salary rate of $15,225 for 100% time for nine
months to a salary rate of $16,500 for 100% time for
nine months, effective January 11, 1984. This is to
adjust salary proportionate to other librarians.
10
7. Office of the Vice President for Academic Affairs
Dr. William J. Brophy, Professor of History and Chairman
of the Department of History, to Professor of History
and Associate Vice President for Academic Affairs,
effective April 17, 1984.
8. University Affairs
Ms. Bonita Jacobs, Resident Hall Coordinator at a salary
rate of $18,088 for twelve months, returning full time
from leave of absence, effective January 3, 1984.
Ms. Judy Sherohman, from Police Officer II in University
Police at a salary rate of $15,895 to Parking Manager
at a salary rate of $17,261, effective March 1, 1984.
Mr. William Wells, from Storeroom Supervisor at $4.79
per hour to Acting Manager of the Hungry Jack Inn at
a salary rate of $15,538, effective February 1, 1984.
Mr, Lee Whitaker, from Cook I at $4.38 per hour to Acting
Assistant Food Production Supervisor I at a salary rate
of $12,730.
84-75
Upon motion of Regent Bowen, seconded by Regent Murphy,
with all members voting aye, it was ordered that the following
resignations be accepted:
1. Department of Computer Science
Mr. William P. Herman, Instructor in Computer Science,
effective May 31, 1984.
2. University Affairs
Ms. Carolyn Barnett, Head Track Coach for Women, effective
May 31, 1984.
Mr. Mike Pirtle, Head Resident II, effective March 14,
1984.
Mr. Curtis Bradshaw, Director of Financial Aid, effective
April 9, 1984.
11
84-76
Upon motion of Regent Murphy, seconded by Regent Bryce,
with all members voting aye, it was ordered that the following
requests for leave of absence be honored:
1. Early Childhood Laboratory
Ms. Vikki Branch Boatman, Lead Kindergarten Teacher,
effective March 21, 1984, through May 18, 1984. Ms.
Boatman is requesting maternity leave.
2. Department of Home Economics
Mr. Hoyet Williams, Assistant Instructor in Home
Economics, effective March 19, 1984. Mr. Williams is
requesting medical leave of absence.
3. Department of Management and Marketing
Ms. Margaret White, Instructor in Management and
Marketing, effective September 1, 19 84, through August
31, 1985. Ms. White is enrolled in a doctoral program
at Texas A&M University and she wishes to continue her
studies.
84-77
Upon motion of Regent Jackson, seconded by Regent Cullum,
with all members voting aye, it was ordered that the followinq
retirements be honored:
1. Department of Accounting
Dr. John D. Whitt, Professor of Accounting, effective
July 31, 1984.
2. Department of Communication
Dr. Mary Francine Hoffman, Associate Professor of
Communication, effective May 31, 1984.
3. Criminal Justice Program
Mr. William T. Toney, Assistant Professor of Criminal
Justice, effective May 31, 1984.
4. Department of Geology
Mr. Martin J. Deuth, Assistant Professor of Geclogy,
effective August 31, 1984.
12
5. University Library
Ms. Cleo Kelly, Assistant Humanitier Librarian, effective
July 3, 1984,
6. University Affairs
Mr. Wilburn Brandon, Manager of the Hungry Jack Inn,
effective January 31, 1984.
Mr. Charles Henry, Food Production Supervisor II,
effective February 2, 1984.
Mr. Sidney Jones, Traffic and Parking Coordinator,
effective March 1, 1984.
7. Administrative and Fiscal Affairs
William Harlan Hamilton, Building Trades Supervisor,
effective January 15, 1984.
Basil C. Barbee, Electronics Foreperson, effective January
31, 1984.
84-78
Upon motion of Regent Bowen, seconded by Regent Justice,
with all members voting aye, it was ordered that the following
promotions be awarded:
To Professor Emeritus:
Dr. M. B. Wade, Sociology
To Professor:
Dr. Ronnie Barra, Health and Physical Education
Dr. William Heeney, Secondary
Education
Mr. Charles Jones, Art
Dr. Patricia-Russell, English and
Philosophy
Dr. Carroll Schoenewolf, English
and Philosophy
Dr. Leon Hallman, Political Science
and Geography
Dr. Wayne Boring, Chemistry
Dr. Thomas Callaway, Physics
13
To Associate Professor;
Mr. William Syersr Social Work
Dr. James Howard, Forestry
Dr. David Kulhavy, Forestry
Dr. Douglas McMillan, History
Dr. Richard Hurzelerf Sociology
Dr. Norman Markworth, Physics
84-79
Upon motion of Regent Brycef seconded by Regent Justice,
with all members voting aye, it was ordered that the following
awards of tenure be approved:
Dr. J. R. Saunders, Criminal Justice
Dr. Susan Ormsby, Accounting
Dr. George Dailey, Computer Science
Dr. Joe Ballenger, Management and Marketing
Dr. Joseph Ormsby, Management and Marketing
Dr. Carol Saunders, Management and Marketing
Dr. Michael Fountain, Forestry
Dr. David Kulhavy, Forestry
84-80
Upon motion of Regent Bowen, seconded by Regent Cullum,
with all members voting aye, it was ordered that the following
faculty members be appointed as Regents1 Professors for
1984-85:
Mr. William Arscott, Department of Art
Regesnts' Professor for Teaching
Dr. Alfred Shivers, Department of English and Philosophy
Regents1 Professor for Research
84-81
Upon motion of Regent Murphy, seconded by Regent Cullum,
with all members voting aye, it was ordered that the President
of the University be authorized to select recipients of
university scholarships.
14
84-82
Upon motion of Regent Justice, seconded by Regent Brvce
Account No, Account Name Explanation Amount
1. 5615
2. 5020
3. 1201
Soutce of Funds
4. 1402-9300
5. 1401
6. 1817
7. 1201
U.C.Programs
Intercolleg.
Ath./Men
Physical Plant
Gen.Services
Transfer income gene- $15,000
rated by U.C.Progms.
into expenditure acct.
Renovate athletic 18,195
training rm.-$2400;
refurnish & renovate
Coach Miller's office-
$8,595;furnish and reno
vate Assoc.Athletic
Director1s off.-$7,200
One-half of replace- 13,000
ment cost for 2 vans
in rental fleet
Pledged Property Surplus
Comptroller
Computer
Center
University
Development
Physical Plant
Gen.Services
Expenses not antici- 1,000
pated
Purchase remote front- 57,350
end processor for
McGee Computing Lab to
correct a shortage of
entry ports into main
computer
Salary for add. secre- 3,037
tarial position for
remainder of fiscal year
One-half of replace- 13,000
ment cost for 2 vans
in rental fleet
Source of Funds: Education and General Surplus
84-83
Upon motion of Regent Bowen, seconded by Regent Murphy,
with all members voting aye, it was ordered that the 19 8 4
Summer Budget, as submitted under separate cover, be approved.
15
84-84
Upon motion of Regent Bryce, seconded by Regent Cullum,
with all members voting aye, it was ordered that the Annual
Operating Budget for FY8 5 be approved as submitted under
separate cover. The annual budget provides for a total
current fund revenue of $51,720,262 and a total current
fund expenditure of $49,016,157.
84-85
Upon motion of Regent Jackson, seconded by Regent Bowen,
with all members voting aye, it was ordered that the
administration be authorized to request appropriations from
the 69i:h Legislature for the following major improvement
and repair items:
1. Renovation of the Rusk Building
2. New roofs
3. Replacement of roof and windows for Austin Building
84-86
Upon motion of Regent Bowen, seconded by Regent Murphy,
with all members voting aye, it was ordered that the
University be authorized to request appropriations from
the 69th Legislature for the following new special item:
Instructional capital equipment $300,000
84-87
Upon motion of Regent Justice, seconded by Regent Bowen,
with all members voting aye, it was ordered that the
administration be authorized to sell the $4,100,000 Stephen
F. Austin State University Housing System Revenue Bonds,
Series 1984 to the lowest qualified bidder, and that the
Chairman of the Board be authorized to sign the documents
related to the bond issue as prepared by McCall, Parkhurst
and Horton of Dallas, Texas, with the assistance of Rotan
Mosle, incorporated of San Antonio, Texas.
84-88
Upon motion of Regent Justice, seconded by Regent Cullum,
with all members voting aye, it was ordered that the student
service fee be increased $10.00 for each long semester and
$5.00 for each summer term, effective with the fall semester,
1984.
16
84-89
Upon motion of Regent Bowen, seconded by Regent Jackson,
with all members voting aye, it was ordered that the contract
in the amount of $4,544,600 (base bid plus alternates 7
and 10) with Utley-James of Austin, Texas, for the
construction of Dormitory 20 be approved and the Chairman
of the Board be authorized to sign the contract. (See page 57)
84-90
Upon motion of Regent Bowen, seconded by Regent Jackson,
with all members voting aye, it was ordered that the budget
for the construction of Dormitory 2 0 be approved as follows:
Contractor (Utley-James) $4,544,600
($50,000 Contingency in Contract)
Architectural fees (6%) 271,464
Movable equipment 27 5,000
Administrative cost 45,000
Bond issuance expenses 30 ,000
Total $5,166,064
Source of Funds:
Sale of Bonds $4,100,000
Pledged Property Surplus 1,066,064
Total $5,166,064
84-91
Upon motion of Regent Cullum, seconded by Regent Bowen,
with all members voting aye, it was ordered that the contract
in the amount of $591,977 (base bid plus alternates 1 and
2) with Allied Industries, 2829 Clinton Drive, Houston,
Texas, for the Re-roofing 1984 Project, be approved and
the Chairman of the Board be authorized to sign the contract.
(See page.76)
84-92
Upon motion of Regent Murphy, seconded by Regent Justice,
with all members voting aye, it was ordered that the budget
on the Re-roofing 1984 Project be approved as; follows:
Contractor (Allied Industries) $ 591,977
($60,000 Contingency in Contract)
Architectural fees 39,733
Administrative cost 10 , QQQ
Total $ 641,710
Source of Funds:
Pledged Property Surplus $ 462,603
Unexpended Plant Funds 17 9 ,107
Total $ 6 41,710
17
84-93
Upon motion of Regent Murphy, seconded by Regent Justice,
with all members voting aye- it was ordered that the contract
in the amount of $746,517 (base bid plus alternates 3 and
4) with T. G. Evans Construction Company of Nacogdoches,
Texas, for the Dormitory Repairs 1984 Project, be approved
and the Chairman of the Board be authorized to sign the
contract. (See page 96)
84-94
Upon motion of Regent Murphy, seconded by Regent Justice,
with all members voting aye, it was ordered that the budget
on the Dormitory Repairs 1984 Project be approved as follows:
Contractor (T. G. Evans) $ 746,517
($60,000 Contingency in Contract) 50,110
Architectural fees lp,qqq
Total $ 806,627
Source of Funds: Pledged Property Surplus
84-95
Upon motion of Regent Bcwen, seconded by Regent Jackson,
with all members voting aye, it was ordered that the contract
in the amount of $83,676 (base bid plus alternates 1 and
2) with T. G. Evans Construction Company of Nacogdoches,
Texas, for the Mays Hall Repairs 1984 Project be approved
and the Chairman of the Board be authorized to sign the
contract. (See page 116)
84-96
Upon motion of Regent Bowen, seconded by Regent Jackson,
with all members voting aye, it was ordered that the budget
on the Mays Hall Repairs 1984 Project be approved as follows:
Contractor $ 83,676
($8,00 0 Contingency in Contract)
Architectural fees 5,622
Administrative cost 5,000
Total $ 94,298
Source of Funds: Pledged Property Surplus
18
84-97
Upon motion of Regent Justice, seconded by Regent Cullum,
with all members voting aye, it was ordered that the contract
in the amount of $3,388,200 (base bid plus alternates 1,
t 1, •}-, WX Cecil Pond Construction Company, Box 194 6,
Jacksonville, Texas 75766, on the Griffith Pine Arts
Renovation Project, be approved and the Chairman of the
Board be authorized to sign the contract. (See page 136)
84-98
Upon motion of Regent Justice, seconded by Regent Cullum,
£ ?fS?£J ^°ting ayS Lt dd h
egent Justice, seconded by Regent Cullum,
on" t£ r?ayS' WaS ordered th^t the budget
as follows? tS Renovation Project be approved
Contractor (Cecil Pond Const.) $ 3,388,200
Contingency 160,000
Architectural fees 404,400
Furnishings and equipment 238^8 00
Administrative cost 80 000
Total $ 4,271^400
Revised Project Estimate $4,700,000
Balance of Funds 428,600
84-99
w??h TiV011 °k R6gent Justice' seconded by Regent Murphy,
with all members voting aye, it was ordered that the
administration be authorized to accept bids for the painting
he lllllrt^T^ residence halls **d that the Preside"?
el f^l^ ^LV""**" d ^
84-100
Upon motion of Regent Bowen, seconded by Regent Cullum,
w^h< . all members votin9 ave' it was ordered that' the
administration be authorized to take bids on a chair lif?
system for the handicapped for the Birdwell Building and
the Chairman, or Vice Chairman, be authorized to approve
the low bid subject to ratification at the July Board meSting?
84-101
Upon motion of Regent Jackson, seconded by Regent Justice,
Order ii members voting aye, it was ordered that change
uraer No. 2 in the amount of $19,905 on the Motor Pool
Building Project be approved and the Chairman of the Board
be authorized to sign the Change Order.
CHANGE
ORDER
AIA DOCUMENT C701
19
PROJECT: Motor Pool Building CHANGE ORDER NUMBER: TWO (2)
(name, address) Stephen F . Austin State University
TO (Contractor): INITIAT,ON DATE: 4/17/84
J 1 ARCHITECT'S PROJECT NO: 4404
J. E. Kingham Construction Co., Inc -CONTRACT FOR: General Contract Work
P.O. Box 632
Nacogdcches, Texas 75961
CONTRACT DATE: 5/12/83
You are directed to make the following changes in this Contract:
Provide asphalt paving and base, curb and gutter,
concrete entrance drives and concrete walks in
Area "B".
+ $19,905.00
Not valid until signed by both the Owner and Architect.
Signature, of the Contractor indicates his agreement herewith, including any adjustment in the Contract Sum or Contract Time.
The original (Contract Sum) (Guaranteed "Maximum Cost) was $ 464, 620 . 00
Net change by previously authorized Change Orders ' 5 112 850 00
The (Contract Sum) (Guaranteed Maximum Coot) prior to this Change Order was .......... $ 577 '470 00
The (Contract Sum) (Guaranteed Maximum Coot) will be (increased) (^rrnnd) Q—hnnmd) ' ~ '
by this Change Order ::.....'... $ 19 905 00
The new (Contract Sum) (Guaranteed Maximum CujI) including this Change Order will be ... $ 597' 375 ' 00
The Contract Time will be (increased) (docroaood) (unchanged) by ' ' (
The Date of Substantial Completion as of the date of this Change Order therefore is
) Days.
v Authorized:
Kent-Marsellos-Scott, Architects- J. E. Kingham Const. Co.. Inr . Stephen F. Austin State Univ
architect Engineers contractor
P.O. Box 33f)9 P. o. tw A*?
Address
Lufkin, Texas 75901
Address
Nacogdoche.'s, Texas 75961
Address
Nacogdoches, Texas
DATE 4/17/84
4/17/84
BY. ^
DATE 4/17/84
AIA DOCUMENT G701 • CHANGE ORDER • APRIL 1978 EDITION • AIA® • © 1978
THE AMERICAN INSTITUTE OF ARCHITECTS, 1735 NEW YORK AVE., N.W., WASHINGTON, D.C. 20006 G701—1978
20
84-102
Upon motion of Regent Bryce, seconded by Regent Murphy,
with all members voting aye, it was ordered that the
Resolution of Appreciation to Ted Bowen be approved and
placed in the minutes, as follows: (See following page
for Resolution.j
Meeting adjourned at 10:30 a.m.
Information: The next meeting of the Board will be held at
Huxley Bayf Texas July 23, 1984.
21
BOARD OF REGENTS
OF
STEPHEN F. AUSTIN STATE UNIVERSITY
Nacogdoches, Texas 75962
April 17, 1984
TED BOWEN: RESOLUTION OF APPRECIATION
WHEREAS, Ted Bowen graduated in 1941 with a Bachelor of Science degree from
Stephen F« Austin State College (now University);
WHEREAS, from 1947 to the present, Mr. Bowen engaged in a distinguished career in
hospital administration, work for which he prepared by earning a Master's degree in 1946 from the
Washington University School of Medicine and in which he served from 1948 to the present in various
capacities, including President and Chief Elective Officer and now as Consultant to the Board of Direc
tors for the Methodist Hospital in Houston;
WHEREAS, in recognition of Mr. Bowen'* outstanding service in hospital sdmlnistra-tion,
the American College of Hospital Administrator:! elected him a Fellow; the American Hospital
Association appointed him to the chairmanship of impotent committees and elected him to the House of
Delegates; and the Texas Hospital Association likewise appointed him to the chairmanship of important
committees and elected him a Trustee
WHEREAS, Mr. Bowen actively served his church and community in leadership roles;
WHEREAS, in view of his many outstanding activities, Mr. Bowen was honored by the
American College of Hospital Administrators, which established the Ted Bowen Educational Fund to
train other administrators; the Texas Hospital Association conferred upon him the third annual Earl M.
Collier Award for distinguished hospital administration; Southwestern University conferred upon him an
honorary Doctor of Humane Letters degree; the Washington University School of Medicine elected him a
distinguished alumnui; and Stephen F. Austin State University elected him to iu Hall of Fame;
WHEREAS, in 1979, Mr. Bowen was appointed to the Board of Regent* of Stephen F.
Austin State University;
WHEREAS, Mr. Bowen served with such distinction on the Board that he was elected
Chairman for 1983-84;
WHEREAS, as Chairman Mr. Bowen provided inspired leadership so that the University
experienced one of it* most successful years; and
WHEREAS, Mr. Bowen's term as Chairman has expired;
NOW THEREFORE BE IT RESOLVED by the Board of RegenU of Stephen F. Austin
State University, in meeting assembled this seventeenth day of April 1984, that appreciation be express
ed to Mr. Bowen for his outstanding service and that be it wishes be extended to him in his continued ser
vice on the Board; and
BE IT FURTHER RESOLVED that a copy of this resolution be spread upon the minutes
of the Board meeting and that a copy be presented to Mr. Bowen.
THE BOARD OF REGENTS, STEPHEN F..AUSTIN STATE UNIVERSITY
Fletcher Garner, Chairman
Larry Jackson, Vice Chairman Homer Bryce
Attest: Mrs. George P. Cullum, Jr.
Luke S. Honea
Glenn Justice
Willia B. Murphy
Don L. Henry, Secretary to the Board Phil Simpson
CERTIFICATE FOR RESOLUTION !
AUTHORIZING THE ISSUANCE OF BOARD OF REGENTS OF j
STEPHEN F. AUSTIN STATE UNIVERSITY !
STUDENT HOUSING SYSTEM REVENUE BONDS, SERIES 1984 !
THE STATE OF TEXAS : |
STEPHEN F. AUSTIN STATE UNIVERSITY : j
\
We, the undersigned officers of the Board of Regents of j
said University, hereby certify as follows: j
1. The Board of Regents of said University convened in
REGULAR MEETING ON THE 17TH DAY OF APRIL, 1984, at the regular
designated meeting place, and the roll was called of the duly j
constituted officers and members of said Board, to-wit: j
I
William Fletcher Garner, Jr., Chairman Ted Bowen j
Larry Jackson, Vice Chairman Glenn Justice |
Homer Bryce Ms. Willia B. Murphy
Mrs. George Cullum, Jr. Phil Simpson
Luke S. Hone a
Don L. Henry,
Secretary j
i
and all of said persons were present, except the following
absentees: t Luke S. Honea
thus constituting a quorum. Whereupon, among other business,
the following was transacted at said Meeting: a written
RESOLUTION
AUTHORIZING THE ISSUANCE OF BOARD OF REGENTS OF STEPHEN F.
AUSTIN STATE UNIVERSITY STUDENT HOUSING SYSTEM REVENUE BONDS
was duly introduced for the consideration of said Board and
duly read. It was then duly moved and seconded that said
Resolution be adopted; and, after due discussion, said motion,
carrying with it the adoption of said Resolution, prevailed and
carried by the following vote:
AYES: All members of said Board shown
present above voted "Aye".
NOES: None.
2. That a true, full., and correct copy of the aforesaid
Resolution adopted at the Meeting described in the above and
foregoing paragraph is attached to and follows this Certifi
cate; that said Resolution has been duly recorded in said
Board's minutes of said Meeting; that the above and foregoing
paragraph is a true, full, and correct excerpt from said
Board's minutes of said Meeting pertaining to the adoption of
said Resolution; that the persons named in the above and
foregoing paragraph are the duly chosen, qualified, and acting
officers and members of said Board as indicated therein; and
that each of the officers and members of said Board was duly
and sufficiently notified officially and personally, in ad
vance, of the time, place, and purpose of the aforesaid Meet
ing, and that said Resolution would be introduced and con
sidered for adoption at said Meeting; and that said Meeting was
open to the public, and public notice of the time, place, and
purpose of said Meeting was given, all as required by Vemcn's
Ann. Civ St. Article 6252-17.
SIG^SD ANP SEALED the 17th day of April, 1984.
e
(SEAL)
Boarder Regents Chairman, Board of Re^ehts
23
RESOLUTION
AUTHORIZING THE ISSUANCE OF BOARD OF REGENTS Or
ewmp STEPHEN F. AUSTIN STATE UNIVERSITY
STUDENT HOUSING SYSTEM REVENUE BONDS, SERIES 1934
THE STATE OF TEXAS
COUNTY OF NACOGDOCHES '.
STEPHEN F. AUSTIN STATE UNIVERSITY i
"»
E.
24
bonds, without interest coupons, having serial maturities, and
in the denomination or denominations of $5,000 or any integral
multiple of *5,000, all in the manner hereinafter provided.
The term Bonds" as used in this Resolution shall mean and
include collectively the Initial Bond and all substitute bonds
exchanged therefor, as well as all other substitute bonds and
replacement bonds issued pursuant hereto, and the term "Bond"
shall mean any of the Bonds.
Section 3. INITIAL DATE, DENOMINATION, NUMBER, MATURI
TIES, INITIAL REGISTERED OWNER, AND CHARACTERISTICS OF THE
INITIAL BOND. (a) The Initial Bond is hereby authorized to be
issued, sold, and delivered hereunder as a single fully
registered Bond, without interest coupons, dated April 1, 1984,
in the denomination and aggregate principal amount of
$4,100,000, numbered R-l, payable in annual 'installments of
principal to the initial registered owner thereof, to-wit:
Dean Witter Reynolds, Inc. and Associates, or to any registered
assignee or assignees of said Bond or any portion or portions
thereof (in each case, the "registered owner"), with the annual
installments of principal of the Initial Bond to be payable on
the dates, respectively, and in the principal amounts, respec
tively, stated in the FORM OF INITIAL BOND set forth in this
Resolution.
(b) The Initial Bond (i) may be prepaid or redeemed prior
to the respective scheduled due dates of installments of
principal thereof, (ii) may be assigned and transferred, (iii)
nteiy be converted and exchanged for other Bonds, (iv) shall have
the characteristics, and (v) shall be signed and sealed, and
the principal of and interest on the Initial Bond shall be
p&yable, all as provided, and in the manner required or indi
cted, in the FORM OF INITIAL BOND set forth in this Resolu
tion.
Section 4. INTEREST. The unpaid principal balance of the
Initial Bond shall bear interest from' the date of the Initial
Bond to the respective scheduled due dates, or to the respec
tive dates of prepayment or redemption, of the installments of
principal of the Initial Bond, and said interest shall be
payable, all in the manner provided and at the rates and on the
dates stated in the FORM OF INITIAL BOND set forth in this
Resolution.
Section 5. FORM OF INITIAL BOND. The form of the Initial
Bond, including the form of Registration Certificate of the
Comptroller of Public Accounts of the State of Texas to be
endorsed on the Initial Bond, shall be substantially as fol
lows:
FORM OF INITIAL BOND
NO. R-l $4,100,000
UNITED STATES OF AMERICA
STATE OF TEXAS
BOARD OF REGENTS OF STEPHEN F. AUSTIN STATE UNIVERSITY
STUDENT HOUSING SYSTEM REVENUE BOND
SERIES 1984
BOARD OF REGENTS OF STEPHEN F. AUSTIN STATE UNIVERSITY,
for and on behalf of Stephen F. Austin State University (the
Issuer"), being an institution of higher education of the
State of Texas, hereby promises to pay to
DEAN WITTER REYNOLDS, INC.
25
or to the registered assignee or assignees of this Bond or any
portion or portions hereof (in each case, the "registered
owner ) the aggregate principal amount of
FOUR MILLION ONE HUNDRED THOUSAND DOLLARS
in annual installments of principal due and payable on October
1 in each of the years, and in the respective principal
amounts, as set forth in the following schedule:
YEAR AMOUNT YEAR AMOUNT
and to pay interest, from the date of this Bond hereinafter
stated, on the balance of each such installment of principal,
respectively, from time to time remaining unpaid, at the rates
as follows:
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.75% per annum on the above installment of
principal due and payable on October 1,
11.50% per annum on the above installment of
principal due and payable on October 1,
9.25% per annum on the above installment of
principal due and payable on October 1,
9.40% per annum on the above installment of
principal due and payable on October 1,
9.50% per annum on the above installment of
principal due and payable on October 1,
9.60% per annum on the above installment of
principal due and payable on October 1,
9.70% per annum on the above installment of
principal due and payable on October 1,
9.80% per annum on the above installment of
principal due and payable on October 1,
9.85% per annum on the above installment of
principal due and payable on October 1,
9.90% per annum on the above installment of
principal due and payable on October 1,
9.25% per annum on the above installment of
principal due and payable on October 1,
I960;
198V;
198B;
1989;
1990;
1991;
1992;
1993;
1994;
199J5;
199i5;
1997;
199B;
1999;
2000;
2001;
2002;
2003;
2004;
26
with said interest being payable on October 1, 1984, and
semiannually on each April 1 and October 1 thereafter while
this Bond or any portion hereof is outstanding and unpaid.
THE INSTALLMENTS OF PRINCIPAL OF AND THE INTEREST ON this
Bond are payable in lawful money of the United States of
America, without exchange or collection charges. The install
ments of principal and the interest on this Bond are payable to
the registered owner hereof through the services of Texas
Commerce Bank, N.A., Houston, Texas, which is the "Paying
Agent/Registrar" for this Bond. Payment of all principal of
and interest on this Bond shall be made by the Paying Agent/
Registrar to the registered owner hereof on each principal
and/or interest payment date by check or draft, dated as of
such date, drawn,by the Paying Agent/Registrar on, and payable
solely from, funds of the Issuer required by the Resolution
authorizing the issuance of this Bond (the "Bond Resolution")
to be on deposit with the Paying Agent/ Registrar for such
purpose as hereinafter provided; and such check or draft shall
be sent by the Paying Agent/Registrar by United States mail,
first-class postage prepaid, en each such principal and/or
interest payment date, to the registered owner hereof, at the
address of the registered owner, as it appeared on the 15th day
of the month next preceding each such date (the "Record Date")
on the Registration Books kept by the Paying Agent/Registrar,
as hereinafter described. The Issuer covenants with the
registered owner of this Bond that on or before each principal
and/or interest payment date for this Bond it will make
available to the Paying Agent/Registrar, from the "Interest and
Sinking Fund" created by the Bond Resolution, the amounts
required to provide for the payment, in immediately available
funds, of all principal of and interest on this Bond, when due.
IF THE DATE for the payment of the principal of or inter
est on this Bond shall be a Saturday, Sunday, a legal holiday,
or a day on which banking institutions in the City where the
Paying Agent/Registrar is located are authorized by law or
executive order to close, then the date for such payment shall
be the next succeeding day which is not such a Saturday,
Sunday, legal holiday, or day on which banking institutions are
authorized to close; and payment on such date shall have the
same force and effect as if made on the original date payment
was due.
THIS BOND has been authorized in accordance with the
Constitution and laws of the State of Texas for the purpose of
providing funds to finance additional housing for and on behalf
of the Issuer on its campus at Nacogdoches, Texas, to-wit:
construct and equip a dormitory to house approximately 416
students.
ON OCTOBER !., 1994, or on any interest payment date
thereafter, the unpaid installments of principal of this Bond
may be prepaid or redeemed prior to their scheduled due dates,
at the option of the Issuer, with funds derived from any
available source, as a whole, or in part, and, if in part, the
particular portion of this Bond to be prepaid or redeemed shall
be selected and designated by the Issuer (provided that a
portion of this Bond may be redeemed only in an integral
multiple of $5,000), at the prepayment or redemption price
(expressed as a percentage of principal amount) applicable to
the date of redemption, as set forth in the following
scheduled, plus accrued interest to the date fixed for prepay
ment or redemption:
27
Redemption Dates
October 1, 1994 through April 1, 1996
October 1, 1996 through April 1, 1997
October 1, 1997 through April 1, 1998
October 1, 1998 through April 1, 1999
October 1, 1999 and thereafter
Redemption Price
2%
1%
hot 1%
o%
AT LEAST 30 days prior to the date fixed for any such
prepayment or redemption a written notice of such prepayment or
redemption shall be mailed by the Paying Agent/Registrar to the
registered owner hereof. By the date fixed for any such
prepayment or redemption due provision shall be made by the
Issuer with the Paying Agent/Registrar for the payment of the
required prepayment or redemption price for this Bond or the
portion hereof which is to be so prepaid or redeemed, plus
accrued interest thereon to the date fixed for prepayment or
redemption. If such written notice of prepayment or redemption
is given, and if due provision for such payment is made, all as
provided above, this Bond, or the portion thereof which is to
be so prepaid or redeemed, thereby automatically shall be
treated as prepaid or redeemed prior to its scheduled due date,
and shall not bear interest after the date fixed for its
prepayment or redemption, and shall not be regarded as being
outstanding except for the right of the registered owner to
receive the prepayment or redemption price plus accrued inter
est to the date fixed for prepayment or redemption from the
Paying Agent/Registrar out of the funds provided for such
payment. The Paying Agent/Registrar shall record in the
Registration Books all such prepayments or redemptions of
principal of this Bond or any portion hereof.
THIS BOND, to the extent of the unpaid or unredeemed
principal balance hereof, or any unpaid and unredeemed portion
hereof in any integral multiple of $5,000, may be assigned by
the initial registered owner hereof and shall be transferred
only in the Registration Books of the Issuer kept by the Paying
Agent/Registrar acting in the capacity of registrar for the
Bonds, upon the terms and conditions set forth in the Bond
Resolution. Among other requirements for such transfer, this
Bond must be presented and surrendered to the Paying Agent/Reg
istrar for cancellation, together with proper instruments of
assignment, in form and with guarantee of signatures satisfac
tory to the Paying Agent/Registrar, evidencing assignment by
the initial registered owner of this Bond, or any portion or
portions hereof in any integral multiple of $5,000, to the
assignee or assignees in whose name or names this Bond or axiy
such portion or portions hereof is or are to be transferred and
registered. Any instrument or instruments of assignment
satisfactory to the Paying Agent/Registrar may be used to
evidence the assignment of this Bond or any such portion or
portions hereof by the initial registered owner hereof. A new
bond or bonds payable to such assignee or assignees (which then
will be the new registered owner or owners of such new Bond or
Bonds) or to the initial registered owner as to any portion of
this Bond which is not being assigned and transferred by the
initial registered owner, shall be delivered by the Paying
Agent/Registrar in conversion of and exchange for this Bond or
any portion or portions hereof, but solely in the form and
manner as provided in the next paragraph hereof for the conver
sion and exchange of this Bond or any portion hereof. The
registered owner of this Bond shall be deemed and treated by
the Issuer and the Paying Agent/Registrar as the absolute owner
hereof for all purposes, including payment and discharge of
liability upon this Bond to the extent of such payment, and the
Issuer and the Paying Agent/Registrar shall not be affected by
any notice to the contrary.
28
AS PROVIDED above and in the Bond Resolution, this Bond,
to the extent of the unpaid or xanredeemed principal balance
hereof, may be converted into and exchanged for a like aggre
gate principal amount of fully registered bonds, without
interest coupons, payable to the assignee or assignees duly
designated in writing by the initial registered owner hereof,
or to the initial registered owner as to any portion of this
Bond which is not being assigned and transferred by the initial
registered owner, in any denomination or denominations in any
integral multiple of $5,000 (subject to the requirement here
inafter stated that each substitute bond issued in exchange for
any portion of this Bond shall have a single stated principal
maturity date), upon surrender of this Bond to the Paying
Agent/Registrar for cancellation, all in accordance with the
form and procedures set forth in the Bond Resolution. If this
Bond or any portion hereof is assigned and transferred or
converted each bond issued in exchange for any portion hereof
shall have a single stated principal maturity date correspond
ing to the due date of the installment of principal of this
Bond or portion hereof for which the substitute bond is being
exchanged, and shall bear interest at the rate applicable to
and borne by such installment of principal or portion thereof
Such bonds, respectively, shall be subject to redemption prior
to maturity on the same dates and for the same prices as the
corresponding installment of principal of this Bond or portion
hereof for which they are being exchanged. No such bond shall
be payable in installments, but shall have only one stated
principal maturity date. AS PROVIDED IN THE BOND RESOLUTION
THIS BOND IN ITS PRESENT FORM MAY 3E ASSIGNED AND TRANSFERRED
OR CONVERTED ONCE ONLY, and to one or more assignees, but the
bonds issued and delivered in exchange for this Bond or any
portion hereof may be assigned and transferred, and converted,
subsequently, as provided in the Bond Resolution. The Issuer
shall pay the Paying Agent/Registr-ar' s standard or customary
fees and charges for transferring, converting, and exchanging
this Bond or any portion thereof, but the one requesting such
transfer, conversion, and exchange shall pay any taxes or
governmental charges required to be paid with respect thereto.
The Paying Agent/Registrar shall not be required to make any
such assignment, conversion, or exchange (i) during the period
commencing with the close of business on any Record Date and
ending with the opening of business on the next following
principal or interest payment date, or, (ii) with respect to
any Bond or portion thereof called for prepayment or redemption
prior to maturity, within 30 days prior to its prepayment or
redemption date.
IN THE EVENT any Paying Agent/Registrar for this Bond is
changed by. the Issuer, resigns, or otherwise ceases to act as
such, the Issuer has covenanted in rJhe Bond Resolution that it
promptly will appoint a competent and legally qualified sub
stitute therefor, and promptly will cause" written notice
thereof to be mailed to the registered owner of this Bond.
IT IS HEREBY certified, recited, and covenanted that this
Bond has been duly and validly authorized, issued, sold, and
delivered; that all acts, conditions, and things required or
proper to be performed, exist, and be done precedent to or in
the authorization, issuance, and delivery of this Bond have
been performed, existed, and been done in accordance with law;
that this Bond is a special obligation of the Issuer, and that
the principal of and interest on the Bond and the series of
which it is a part, together with other outstanding revenue
bonds, are secured by and payable from a first lien on and
pledge of the Net Revenues of the Student Housing System and a
lien on and pledge of the Other Pledged Revenues from the
Encumbered Facilities junior and subordinate to the Encumbered
Facilities Bonds all as more specifically described in the Bond
Resolution.
BY BECOMING the registered owner of this Bond, the regis
tered owner thereby acknowledges all of the terms and provi
sions of the Bond Resolution, agrees to be bound by such terms
md provisions, acknowledges that the Bond Resolution is duly
recorded and available for inspection in the official minutes
md records of the governing body of the Issuer, and agrees
:hat the terms and provisions of this Bond and the Bond
Resolution constitute a contract between the registered owner
hereof and the Issuer.
SAID BOARD has reserved the right, subject to the
restrictions stated in the Resolution authorizing this Series
>.£ Bonds, to issue additional parity revenue bonds which also
nay be made payable from, and secured by a lien on and pledge
>f, the aforesaid pledged revenues.
THE HOLDER HEREOF shall never have the right to demand
payment of this obligation out of any funds raised or to be
raised by taxation.
IN WITNESS WHEREOF, the Issuer has caused this Bond to be
3igned with the manual signature of the Chairman of the Board
Df Regents of the Issuer and countersigned with the manual
signature of the Secretary of the Board of Regents of the
Issuer, has caused the official seal of the Issuer to be duly
.^pressed on this Bond, and has caused this Bond to be dated
kpril 1, 1984.
29
Secretary,
•oard of Regents
UNIVERSITY SEAL)
Chairman,
Board of Regents
FORM OF REGISTRATION CERTIFICATE OF THE
COMPTROLLER OF PUBLIC ACCOUNTS;
COMPTROLLER* S REGISTRATION CERTIFICATE: REGISTER NO.
I hereby certify that this Bond has been examined, certi
fied as to validity, and approved by the Attorney General of
the State of Texas, and that this Bond has been registered by
the Comptroller of Public Accounts of the State of Texas.
Witness my signature and seal this
xxxxxxxx
Comptroller of Public Accounts
of the State of Texas
COMPTROLLER'S SEAL)
Section 6. ADDITIONAL CHARACTERISTICS OF THE BONDS.
Registration and Transfer, (a) The Issuer shall keep or cause
to be kept at the principal corporate trust office of Texas
Commerce Bank, N.A., Houston, Texas (the "Paying Agent/Regis-rar")
books or records of the registration and transfer of the
onds (the "Registration Books"), and the Issuer hereby ap-oints
the Paying Agent/ Registrar as its registrar and trans-er
agent to keep such books or records and make such transfers
nd registrations under such reasonable regulations as the
ssuer and Paying Agent/Registrar may prescribe; and the Paying
.gent/Registrar shall make such transfers and registrations as
erein provided. The Paying Agent/Registrar shall obtain and
ecord in the Registration Books the address of the registered
•\»ner of each Bond to which payments with respect to the Bonds
hall be mailed, as herein provided; but it shall be the duty
30
of each registered owner to notify the Paying Agent/Registrar
in writing of the address to which payments shall be mailed
and such interest payments shall not be mailed unless such
notice has been given. The Issuer shall nave the right to
inspect the Registration Books during regular business hours of
the Paying Agent/Registrar, but otherwise the Paying Agent/Reg
istrar shall keep the Registration Books confidential and
unless otherwise required by law, shall not permit their
inspection by any other entity. Registration of eacth Bond may
be transferred in the Registration Books only upon presentation
and surrender of such Bond to the Paying Agent/Registrar for
transfer of registration and cancellation, together with proper
written instruments of assignment, in form and with guarantee
of signatures satisfactory to the Paying Agent/Registrar, (i)
evidencing the assignment of the Bond, or any portion thereof
in any integral multiple of $5,000, to the assignee or assign
ees thereof, and (ii) the right of such assignee or assignees
to have the Bond or any such portion thereof registered in the
name of such assignee or assignees. Upon the assignment and
transfer of any Bond or any portion thereof, a new substitute
Bond or Bonds shall be issued in conversion and exchange
therefor in the manner herein provided. The Initial Bond to
the extent of the unpaid or unredeemed principal balance
thereof, may be assigned and transferred by the initial regis
tered owner thereof once only, and to one or more assignees
designated in writing by the initial registered own«:r thereof.
All Bonds issued and delivered in conversion of and exchange
for the Initial Bond shall be in any denomination or denomina
tions of any integral multiple of $5,000 (subject to the
requirement hereinafter stated that each substitute Bond shall
have a single stated principal maturity date), shall be in the
form prescribed in the FORM OF SUBSTITUTE BOND sei: forth in
this Resolution, and shall have the characteristics, and may be
assigned, transferred, and converted as hereinafter provided
If the Initial Bond or any portion thereof is assigned and
transferred or converted the Initial Bond must be surrendered
to the Paying Agent/Registrar for cancellation, and each Bond
issued in exchange for any portion of the Initial Bond shai^
[have a single stated principal maturity date, and shall not be
payable in installments; and each such Bond shaLl have a
principal maturity date corresponding to the due date of the
installment of principal or portion thereof for which the
substitute Bond is being exchanged; and each such 3ond shall
bear interest at the single rate applicable to and borne by
such installment of principal or portion thereof for which it
is being exchanged. If only a portion of the Initial Bond is
assigned and transferred, there shall be delivered to and
registered in the name of the initial registered owner substi
tute Bonds in exchange for the unassigned balance of the
Initial Bond in the same manner as if the initial registered
owner were the assignee thereof. If any Bond cr portion
thereof other than the Initial Bond is assigned and transferred
or converted each Bond issued in exchange therefor shall have
the same principal maturity date and bear interest at the same
rate as the Bond for which it is exchanged. A form of assign
ment shall be printed or.endorsed on each Bond, excspting the
Initial Bond, which shall be executed by the registered owner
or its duly authorized attorney or representative to evidence
an assignment thereof. Upon surrender of any Bonds or any
portion or portions thereof for transfer of registration an
authorized representative of the Paying Agent/Registrar shall
make such transfer in the Registration Books, and shall deliver
a new fully registered substitute Bond or Bonds, having the
characteristics herein described, payable to such assignee or
assignees (which then will be the registered owner or owners of
such new Bond or Bonds), or to the previous registered owner in
case only a portion of a Bond is being assigned iind trans
ferred, all in conversion of and exchange for said assigned
Bond or Bonds or any portion or portions thereof, in the sane
8
31
!2rt*«n A/£?m!r; ^ Wit^ the Sdme effect< as provided in Section 6(d), below, for the conversion and exchange of Bonds
by any registered owner of a Bend. The Issuer shall pay the
Paying Agent/Registrar's standard or customary fees and charges
for making such transfer and delivery of a substitute Bond or
Bonds, but the one requesting such transfer shall pay any taxes
II Ot]?er ^overnmental charges required to be paid with respect
thereto. The Paying Agent/Registrar shall not be required tc
make transfers of registration of any Bond or any portion
thereof (i) during the period commencing with the close o^
business on any Record Date and ending with the opening o*
business on the next following principal or interest parent
if'* *' ( 1 h resPect to ar>y Bond or any portion thereof
called for redemption prior to maturity, within 45 days prior
to its redemption date.
u . (b) Ownership of Bonds. The entity in whose name any
S fi w -. registered in the Registration Books at any time
shall be deemed and treated as the absolute owner thereof for
all purposes of this Resolution, whether or not such Bond shall
sLi^n^V anc* the issuer and the Paying Agent/ Registrar
shall not be affected by any notice to the contrary; and
payment of, or on account of, the principal of, premium, if
any, and interest on any such Bond shall be made only to such
registered owner. All such payments shall be valid and effec
tual to satisfy and discharge the liability upon such Bond to
tne extent of the sum or sums so paid.
<c) Payment of Bonds and Interest. The Issuer hereby
further appoints the Paying Agent/Registrar to act as the
paying agent for paying the principal of and interest on tht
Bonds, and to act as its agent to convert and exchange or
(replace Bonds, all as provided in this Resolution. The Paying
Agent/Registrar shall keep proper records of all paynents made
by the Issuer and the Paying Agent/Registrar with respect to
the Bonds, and of all conversions and exchanges of Bonds, and
all replacements of Bonds, as provided in this Resolution.
, _ <d> Conversion and Exchange or Replacement- Auth^nH-cation.
Each Bond issued and delivered pursuant to—this
Resolution, to the extent of the unpaid or unredeemed principal
balance or principal amount thereof, may, upon surrender of
such Bond at the principal corporate trust office of the Paying
Agent/Registrar, together with a written request therefor duly
executed by the registered owner or the assignee or assignees
thereof, or its or their duly authorized attorneys or
representatives, with guarantee of signatures satisfactory to
the Paying, Agent/Registrar, may, at the option of the regis?
tered owner or such assignee or assignees, as appropriate be
£!S^e?^int°«. &nd exchan*ed *or.fuljLy registered bonds,
RnSSritTiS 2£m coupons' in the form prescribed in the FORM OF
SUBSTITUTE BOND set forth in this Resolution, in the denomina
tion of. $5,000, or any integral multiple of $5,000 (imbiect to
the requirement hereinafter stated that .each substitute Bond
!!!fir htVe ' a ®ingle state^ maturity date), as requested in
writing by such registered owner or such assignee or assignees
in an^ aggregate principal amount -equal to the unpaid or unre
deemed principal balance" or principal amount of any -Bond-or
Bonds so surrendered, and payable to the appropriate registered
?U?2fiaSB12nef' °r assifnees< as t*e case may be. If the
£ Jfi - « J assi*ned and transferred or converted each
Initial B^nd * n'T* in eXfhan*e for a*y Portion of the
££ hi? if ^aVe a slngle s^ted principal maturity
l« 2' n?iSv nOt be Payftble in installments; and each such
ond shall have a principal maturity date corresponding to the
S! t X ^e installment of principal or portion thereof for
foZ S v ?, substitute Bond is being exchanged; and each such
Bond shall bear interest at the single rate applicable to and
borne by such installment of principal or portion thereof for
32
which it is being exchanged. If a portion of any Bond (other
than the Initial Bond) shall be redeemed prior to its scheduled
maturity as provided herein, a substitute Bond or Bonds having
the same maturity date, bearing interest at the same rate, in
the denomination or denominations of any integral multiple of
$5,000 at the request of the registered owner, and in aggregate
principal amount equal to the unredeemed portion thereof, will
be issued to the registered owner upon surrender thereof for
cancellation. If any Bond or portion thereof (other than the
Initial Bond) is assigned and transferred or converted, each
Bond issued in exchange therefor shall have the same principal
maturity date and bear interest at the same rate as the Bond
for which it is being exchanged. Each substitute Bond shall
bear a letter and/or number to distinguish it from each other
Bond. The Paying Agent/Registrar shall convert and exchange or
replace Bonds as provided herein, and each fully registered
bond delivered in conversion of and exchange for or replacement
of any Bond or portion thereof as permitted or required by any
provision of this Resolution shall constitute one of the Bonds
for all purposes of this Resolution, and may again be converted
and exchanged or replaced. It is specifically provided that
any Bond authenticated in conversion of and exchange for or re
placement of another Bond on or prior to the first scheduled
Record Date for the Initial Bond shall bear interest from the
date of the Initial Bond, but each substitute Bond so authenti
cated after such first scheduled Record Date shall bear inter
est from the interest payment date next preceding the date on
which such substitute Bond was so authenticated, unless such
Bond is authenticated after any Record Date but on or before
the next following interest payment date, in which case it
shall bear interest from such next following interest payment
date; provided, however, that if at the time of delivery of any
substitute Bond the interest on the Bond for which it is being
exchanged is due but has not been paid, then such Bond shall
bear interest from the date to which such interest has been
paid in full. THE INITIAL BOND issued and delivered pursuant
to this Resolution is not required to be, and shall not be,
authenticated by the Paying Agent/Registrar, but on each
substitute Bond issued in conversion of and exchange for or
replacement of any Bond or Bonds issued under this Resolution
there shall be printed a certificate, in the form substantially
as follows:
"PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
It is hereby certified that this Bond has been issued
under the provisions of the Bond Resolution described on the
face- of this Bond; and that this Bond has been issued in
conversion of and exchange for or replacement of a bond, bonds,
or a portion of a bond or bonds of an issue which originally
was approved by th« Attorney General of. the State of Texas and
registered by the Comptroller of Public Accounts of the State
of Texas.
Paying Agent/Registrar
Dated BY
Authorized Representative"
An authorized representative of the Paying Agent/Registrar
shall, before the delivery of any such Bond, date and manually
sign the above Certificate, and no such Bond shall be deemed to
be issued or outstanding unless such Certificate is so ex
ecuted. The Paying Agent/Registrar promptly shall cancel all
Bonds surrendered for conversion and exchange or replacement.
No additional ordinances, orders, or resolutions need be passed
or adopted by the governing body of the Issuer or any other
body or person so .is to accomplish the foregoing conversion and
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33
exchange or replacement of any Bond or portion thereof, and the
Paying Agent/Registrar shall provide for the printing, execu
tion, and delivery of the substitute Bonds in the manner
prescribed herein, and said Bonds shall be of type composition
printed on paper with lithographed or steel engraved borders of
customary weight and strength. Pursuant to Vernon's Ann. Tex.
Civ. St. Art. 717k-6, and particularly Section 6 thereof, the
duty of conversion and exchange or replacement of Bonds as
aforesaid is hereby imposed upon the Paying Agent/Registrar,
and, upon the execution of the above Paying Agent/Registrar's
Authentication Certificate, the converted and exchanged or
replaced Bond shall be valid, incontestable, and enforceable in
the same manner and with the same effect as the Initial Bond
which originally was issued pursuant to this Resolution, ap
proved by the Attorney General, and registered by the Comptrol
ler of Public Accounts. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for
transferring, converting, and exchanging any Bond or any
portion thereof, but the one requesting any such transfer,
conversion, and exchange shall pay any taxes or governmental
charges required to be paid with respect thereto as a condition
precedent to the exercise of such privilege of conversion and
exchange. The Paying Agent/Registrar shall not be required to
make any such conversion and exchange or replacement of Bonds
or any portion thereof (i) during the period commencing with
the close of business on any Record Date and ending with the
opening of business on the next following principal or interest
payment date, or, (ii) with respect to any Bond or portion
thereof called for redemption prior to maturity, within 45 days
prior to its redemption date.
(e) In General. All Bonds issued in conversion and
exchange or replacement of any other Bond or portion thereof,
(i) shall be issued in fully registered form, without interest
coupons, with the principal of and interest on such Bonds to be
payable only to the registered owners thereof, (ii) may be
redeemed prior to their scheduled maturities, (iii) may be
transferred and assigned, (iv) may be converted and exchanged
for other Bonds, (v) shall have the characteristics, (vi) shall
be signed and sealed, and (vii) the principal of and interest
on the Bonds shall be payable, all as provided, and in the
manner required or indicated, in the FORM OF- SUBSTITUTE BOND
set forth in this Resolution.
(f) Payment of Fees and Charges. The Issuer hereby
covenants with the registered owners of the Bonds that it will
(i) pay the standard or customary fees and charges of the
Paying Agent/Registrar for its services with respect to the
payment of the principal of and interest on the Bonds, when
due, and (ii) pay the fees and charges of the Paying Agent/Reg
istrar for services with respect to the transfer of registra
tion of Bonds, and with respect to the conversion and exchange
of Bonds solely to the extent above provided in this Resolu
tion.
<g) Substitute Paving Agent/Registrar. The Issuer
covenants with the registered owners of the Bonds that at all
times while the Bonds are outstanding the Issuer will provide a
:ompetent and legally qualified bank, trust company, financial
.restitution, or other agency to act as and perform the services
>f Paying Agent/Registrar for the Bonds under this Resolution
ind that the Paying Agent/Registrar will be one entity. The
Issuer reserves the right to, and may, at its option, change
zne Faying Agent/Registrar upon not less than 120 days written
notice to the Paying Agent/Registrar, to be effective not later
than 60 days prior to the next principal or interest payment
date after such notice. In the event that the entity at any
:ime acting as Paying Agent/Registrar (or its successor by
lerger, acquisition, or other method) should resign or
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34-
otherwise cease to act as such, the Issuer covenants that
promptly it will appoint a competent and legally qualified
bank, trust company, financial institution, or other agency to
act as Paying Agent/Registrar under this Resolution. Upon any
change in the Paying Agent/Registrar, the previous Paying
Agent/Registrar promptly shall transfer and deliver the
Registration Books (or a copy thereof), along with all other
pertinent books and records relating to the Bonds, to the new
Paying Agent/Registrar designated and appointed by the Issuer
Upon any change in the Paying Agent/Registrar, the Issuer
promptly will cause a written notice thereof to be sent by the
new Paying Agent/Registrar to each registered owner of the
Bonds, by United States mail, first-class postage prepaid,
which notice also shall give the address of the new Paying
Agent/Registrar. By accepting the position and performing as
such, each Paying Agent/Registrar shall be deemed to have
agreed to the provisions of this Resolution, and a certified
copy of this Resolution shall be delivered to each Paying
Agent/Registrar. *
Section 7. FORM OF SUBSTITUTE BONDS. The form of all
Bonds issued in conversion and exchange or replacement of any
other Bond or portion thereof, including the form of Paying
Agent/Registrar's Certificate to be printed on each of such
Bonds, and the Form of Assignment to be printed on each of the
Bonds, shall be, respectively, substantially as follows, with
such appropriate variations, omissions, or insertions as are
permitted or required by this Resolution.
NO.
INTEREST RATE
FORM OF SUBSTITUTE BOND
UNITED STATES OF AMERICA
STATE OF TEXAS
BOARD OF REGENTS OF
STEPHEN F. AUSTIN STATE UNIVERSITY
STUDENT HOUSING SYSTEM REVENUE BOND
SERIES 1984
MATURITY DATE
PRINCIPAL
AMOUNT
CUSIP NO.
ON THE MATURITY DATE specified above, BOARD OF REGENTS OF
STEPHEN F. AUSTIN STATE UNIVERSITY (the "Issuer"), being an
institute of higher education of the State of Texas, hereby
promises to pay to J
^V^ festered assignee hereof (either bTiZg hereinafter
called the "registered owner") the principal amount of
fnd to pay interest thereon from April 1, 1984, and semiannual
ly on each October 1 and April 1 following the date of authen
tication of this Bond, until and to the maturity date specified
above, or the date of redemption prior to maturity, at the
interest rate per annum specified above; except that if the
?Qo^ °f au^hentication of-this Bond is later than September 15,
1984, such principal amount shall bear interest from the
interest payment date next preceding the date of authentica
tion, unless such date of authentication is after any Record
Date (hereinafter defined) but on cr before the next following
£*??"â– £* P*/"1*11* date' in which case such principal amount
shall bear interest from such next following interest payment
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in
lawful money of the United States of America, without exchange
or collection charges. The principal of this Bond shall be
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35
paid to the registered owner hereof upon presentation and
surrender of this Bond at maturity or upon the date fixed for
its redemption prior to maturity, at the principal corporate
trust office of Texas Commerce Bank N.A., Houston, Texas, which
is the "Paying Agent/Registrar" for this Bond. The payment of
interest on this Bond shall be made by the Paying
Agent/Registrar to the registered owner hereof on each interest
payment date by check or draft, dated as of such interest
payment date, drawn by the Paying Agent/Registrar on, and
payable solely from, funds of the Issuer required by the
Resolution^ authorizing the issuance of the Bonds (the "Bond
Resolution") to be on deposit with the Paying Agent/Registrar
for such purpose as hereinafter provided; and such check or
draft shall be sent by the Paying Agent/Registrar by United
States mail, first-class postage prepaid, on each such interest
payment date, to the registered owner hereof, at the address of
the registered owner, as it appeared on the 15th day of the
month next preceding each such date (the "Record Date11) on the
Registration Books kept by the Paying Agent/Registrar, as
hereinafter described. Any accrued interest due upon the
redemption of this Bond prior to maturity as provided herein
shall be paid to the registered owner at the principal corpor
ate trust office of the Paying Agent/Registrar upon presen
tation and surrender of this Bond for redemption and payment at
the principal corporate trust office of the Paying Agent/Regis
trar. The Issuer covenants with the registered owner of this
Bond that on or before each principal payment date, interest
payment date, and accrued interest payment date for this Bond
it will make available to the Paying Agent/Registrar, from the
"Interest and Sinking Fund" created by the Bond Resolution, the
amounts required to provide for the payment, in immediately
available funds, of all principal of and interest on the Bonds,
when due.
IF THE DATE for the payment of the principal of or inter
est on this Bond shall be a Saturday, Sunday, a legal holiday,
or a day on which banking institutions in the City where the
Paying Agent/Registrar is located are authorized by law or
executive order to close, then the date for such payment shall
be the next succeeding day which is not such a Saturday,
Sunday, legal holiday, or day on which banking institutions are
authorized to close; and payment on such date shall have the
same force and effect as if made on the original date payment
*rais due.
THIS BOND is one of an issue of Bonds initially dated
:ril 1, 1984, authorized in accordance with the Constitution
and laws of the State of Texas in the original principal amount
of $4,100,000, for the purpose of providing funds to finance
additional housing for and on behalf of the Issuer on its
campus at Nacogdoches, Texas, to-wit: construct and equip a
dormitory housing approximately 416 students.
ON OCTOBER 1, 1994, or on any interest payment date
thereafter, the unpaid installments of principal on this Bonci
nay be prepaid prior to their scheduled dates, at the option of.
the Issuer, with funds derived from any available and lawful
source, as a whole, or in part, and, if in part, the particular
portion of this Bond to be prepaid or redeemed shall be selec
ted and designated by the Issuer (provided that a portion of a
Bond may be redeemed only in an integral multiple of $5,000),
at the prepayment or redemption price (expressed as a percent
age of principal amount) applicable to the date of redemption,
as set forth in the following schedule, plus accrued interest
to the date fixed for redemption:
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36
Redemption Dates
October 1, 1994 through April 1, 1996
October 1, 1996 through April 1, 1997
October 1, 1997 through April 1, 1998
October 1, 1998 through April 1, 1999
October 1, 1999 and thereafter
Redemption Price
2%
1%
h of 1%
0%
AT LEAST 30 days prior to the date fixed for any redemp
tion of Bonds or portions thereof prior to maturity a written
notice of such redemption shall be published once in a finan
cial publication, journal, or reporter of general circulation
among securities dealers in the City of New York, New York
(including, but not limited to, The Bond Buyer and The Wall
Street Journal), or in the State of Texas (including, but not
limited to, The Texas Bond Reporter). Such notice also shall
be sent by the Paying Agent/Registrar by United States mail,
first-class postage prepaid, not loss than 30 days prior to the
date fixed for any such redemption, to the registered owner of
each Bond to be redeemed at its address as it appeared on the
30th day prior to such redemption date; provided, however, that
the failure to send, mail, or receive such notice, or any
defect therein or in the sending or mailing thereof, shall not
affect the validity or effectiveness of the proceedings for the
redemption of any Bond, and it is hereby specifically provided
that the publication of such notice as required above shall be
the only notice actually required in connection with or as a
prerequisite to the redemption of any Bonds *or portions there
of. By the date fixed for any such redemption due provision
shall be made with the Paying Agent/Registrar for the payment
of the required redemption price for the Bonds or portions
thereof which are to be so redeemed, plue accrued interest
thereon to the date fixed for redemption. If such written
notice of redemption is published and if due provision for such
payment is made, all as provided above, the Bonds or portions
thereof which are to be so redeemed thereby automatically shall
be treated as redeemed prior to their scheduled maturities, and
they shall not bear interest after the date fixed for redemp
tion, and they shall not be regarded as being outstanding
except for the right of the registered owner to receive the
redemption price plus accrued interest from the Paying Agent/-
Regist.rar out of the funds provided for such payment. If a
portion of any Bond shall be redeemed a substitute Bond or
Bonds having the same maturity date, bearing interest at the
same rate, in any denomination or denominations in any integral
multiple of $5,000, at the written request of the registered
owner, and in aggregate principal amount equal to the unre
deemed portion thereof, will be issued to the registered owner
upon the surrender thereof for cancellation, at the expense of
the Issuer, all as provided in the Bo:.id Resolution.
THIS BOND OR ANY PORTION OR PORTIONS HEREOF IN ANY INTE
GRAL MULTIPLE OF $5,000 may be assigned and shall be trans
ferred only in the Registration Books of the Issuer kept by the
Paying Agent/Registrar acting in the capacity of registrar for
the Bonds, upon the terms and conditions set forth in the Bond
Resolution. Among other requirements for such assignment and
transfer, this Bond must be presented and surrendered to the
Paying Agent/Registrar, together with proper instruments of
assignment, in form and with guarantee of signatures satisfac
tory to the Paying Agent/Registrar, evidencing assignment of
this Bond or any portion or portions hereof in any integral
multiple of $5,000 to the assignee or assignees in whose name
or names this Bond or any such portion or portions hereof is or
are to be transferred and registered. The form of Assignment
printed or endorsed on this Bond shall be executed by the
registered owner, or its duly authorized attorney or represen
tative, to evidence the assignment hereof. A new Bond or Bonds
payable to such assignee or assignees (which then will be the
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37
I
new registered owner or owners of such new Bond or Bonds), or
to the previous registered owner in the case of the assignment
and transfer of only a portion of this Bond, may be delivered
by the Paying Agent/Registrar in conversion of and exchange for
this Bond, all in the form and manner as provided in the next
paragraph hereof for the conversion and exchange of other
Bonds. The Issuer shall pay the Paying Agent/Registrar's
standard or customary fees and charges for making such trans
fer, but the one requesting such transfer shall pay any taxes
or other governmental charges required to be paid with respect
thereto. The Paying Agent/Registrar shall not be required to
make transfers of registration of this Bond or any portion
hereof (i) during the period commencing with the close of
business on any Record Date and ending with the opening of
business on the next following principal or interest payment
date, or, (ii) with respect to any Bond or any portion thereof
called for redemption prior to maturity, within 45 days prior
to its redemption date. The registered owner of this Bond
shall be deemed and treated by the Issuer and the Paying
Agent/Registrar as the absolute owner hereof for all purposes,
including payment and discharge of liability upon this Bond to
the extent of such payment, and the Issuer and the Paying
Agent/Registrar shall not be affected by any notice to the
contrary.
ALL BONDS. OF THIS SERIES are issuable solely as fully
registered bonds, without interest coupons, in the denomination
of any integral multiple of $5,000. As provided in the Bond
Resolution, this Bond, or any unredeemed portion hereof, may,
at the request of the registered owner or the assignee or as
signees hereof, be converted into and exchanged for a like
aggregate principal amount of fully registered bonds, without
interest coupons, payable to the appropriate registered owner,
assignee, or assignees, as the case may be, having the same
maturity date, and bearing interest at the same rate, in any
denomination or denominations in any integral multiple of
$5,000 as requested in writing by the appropriate registered
owner, assignee, or assignees, as the case may be, upon sur
render of this Bond to the Paying Agent/Registrar for cancella
tion, all in accordance with the form and procedures set forth
in the Bond Resolution. The Issuer shall pay the Paying
Agent/Registrar's standard or customary fees and charges for
transferring, converting, and ' exchanging any Bond or any
portion thereof, but the one requesting such transfer, conver
sion, and exchange shall pay any taxes or governmental charges
required to be paid with respect thereto as a condition prece
dent to the exercise of such privilege of conversion and
exchange. The Paying Agent/Registrar shall not be required to
make any such conversion and exchange (i) during the period
commencing with the close of business on any Record Date and
ending with the opening of business on the next following
principal or interest payment date, or, (ii) with respect to
any Bond or portion thereof called for redemption prior to
maturity, within 45 days prior to its redemption date.
IN THE EVENT any Paying Agent/Registrar for the Bonds is
changed by the Issuer, resigns, or otherwise ceases to act as
I such, the Issuer has covenanted in the Bond Resolution that it
promptly will appoint a competent and legally qualified substi
tute therefor, and promptly will cause written notice thereof
to be mailed to the registered owners of the Bonds.
IT IS HEREBY certified, recited, and covenanted that this
Bond has been duly and validly authorized, issued, sold, and
delivered; that all acts, conditions, and things required or
proper to be performed, exist, and be done precedent to or in
the. authorization, issuance, and delivery of this Bond have
been performed, existed, and been done in accordance with law;
that this Bond is a special obligation of the Issuer, and that
15
the principal of and interest on the Bonds ard the series of
which it is a part, together with other outstanding revenue
bonds, are secured by and payable from a first lien on an*
pledge of the Net Revenues of the Student Housing System and a
lien on and pledge of the Other Pledged Revenues from the
Encumbered Facilities junior and subordinate to the Encumbered
Facilities Bonds all as more specifically described in the Bond
Resolution.
BY BECOMING the registered owner of this Bond, the regis
tered owner thereby acknowledges all of the terms and provi
sions of zhe Bond Resolution, agrees to be bound by such terms
and provisions, acknowledges that the Bond Resolution is duly
recorded and available for inspection in the official minutes
and records of the governing body of the Issuer, and agrees
that the terms and provisions of this Bond and the Eond
Resolution constitute a contract between each registered owne^
hereof and the Issuer.
SAID ISSUER has reserved the right, subject to the
restrictions stated in the Resolution authorizing this Series
of Bonds, to issue additional parity revenue bonds which also
may be made payable from, and secured by a first lien on and
pledge of, the aforesaid pledged revenues.
THE HOLDER HEREOF shall never have the right to demand
payment of this obligation out of any funds raised or to be
raised by taxation.
IN WITNESS WHEREOF, the Issuer has caused this Bond to be
signed with the facsimile signature of the Chairman of the
Board of Regents of the Issuer and countersigned with the
facsimile signature of the Secretary of the Board of Regents of
the Issuer, and has caused the official seal of the Issuer to
be duly impressed, or placed in facsimile, on this Bond.
(facsimile signature)
Secretary
Board of Regents
(UNIVERSITY SEAL)
(facsimile signature)
Chairman
Board of Regents
FORM OF PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
It is hereby certified that this Bond has been issued
under the provisions of the Bond Resolution described on the
face of this Bond; and that this. Bond has been issued in
conversion of and exchange for or replacement of a bond, bonds,
or a portion of a bond or bonds of an issue which originally
was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the State
of Texas.
Dated Paying Agent/Registrar
By _
Authorized Representative
38
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FORM OF ASSIGNMENT:
ASSIGNMENT
For value received, the undersigned registered owner of this
Bond, or duly authorized representative or attorney thereof,
hereby assigns this Bond to
(print or type the name and
address of the assignee and
any other relevant information)
and authorizes the Paying Agent/Registrar to transfer the
registration of this Bond in the Registration Books.
Dated
Registered Owner
(Notice: The signature above must correspond with the
name of the Registered Owner as it appears upon the front of
this Bond in every particular, without alteration or
enlargement of any change whatsoever. )
Signature Guaranteed:
(Notice: Signature(s) must be guaranteed by a member firm
of the New York Stock Exchange or a commercial bank or trust
company.)
Section 8. STUDENT HOUSING SYSTEM. That the Project,
when constructed, shall be designated and officially known as
"Eormitory" and shall be part of the Student Housing System,
created and established by the board for and on behalf of
Stephen F. Austin State University in the resolution adopted on
May 19, 1967, authorizing the issuance of its Stephen F. Austin
State College Building Revenue Bonds of 1965, Series "A* and
Series "BM, dated October 1, 1965. That said Housing System so
created and established by the Board is comprised of:
(a) The Project and existing facilities known as
Dormitory No. 17, Dormitory No. 18, Garner Apartments (formerly
Dormitory No. 19), University Woods Apartments, and East
College Cafeteria; together with all additions and improvements
thereto, and replacements thereof, hereafter constructed or
acquired; and '
(b) Such additional facilities as may, at some future
dute, be added to the Student Housing System.
Section 9. DEFINITIONS. That throughout this Resolution,
the following terms as*used herein shall have the meanings set
forth below, unless the text hereof specifically indicates
otherwise:
The term "Additional Bonds" shall mean the additional
parity revenue bonds which the Board has the right to issue
under the terms and conditions stated in the resolutions
authorizing the issuance of the parity bonds.
The term "Board" and/or "Board of Regents" shall mean the
Board of Regents of Stephen F. Austin State University,
formerly Board of Regents, State Senior Colleges.
The term "Bonds" shall mean the $4,100,000 Board of
Ragents of Stephen F. Austin State University Student Housing
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40
System Revenue Bonds, Series 1984, dated April 1, 1984, au
thorized by this Resolution.
The term "Coupons" shall mean the interest coupons at
tached to the outstanding bonds (does not apply to the Bonds).
The term "Current Expenses" when used with reference to
the Student Housing System, the Encumbered Facilities, and/or
the Established System, shall include all necessary operating
expenses, current maintenance charges, expenses of reasonable
upkeep and repairs, cost of food served, properly allocated
share of charges for insurance and all other expenses incident
to the operation of such Student Housing System and/or Encum
bered Facilities and/or Established System, but shall exclude
depreciation, all general administrative expenses of the
University, and payments required to be made into the 1965
System Repair and Replacement Reserve Account and any Repair
and Replacement Reserve accounts created and established by the
Bonds in connection with the issuance of any of the Encumbered
Facilities Bonds.
The term "Encumbered Facilities" shall mean and include
collectively the following facilities now owned and operated by
the University: (a) Dormitories Nos. 1 through 3, 5, and 7
through 16; (b) Apartments Nos. 1 through 70, Apartments No. 73
through 96 (these apartments have been abandoned by the Issuer
pursuant to Board Resolution on January 31, 1984); Apartments
Nos. 127 through 166, and Apartments Nos. 200 through 299; (c)
Faculty Apartments Nos. 1 through 16; (d) Student Activity and
Central Dining Hall Building, together with all extensions,
additions and improvements thereto, and replacements thereof,
hereafter constructed or acquired. (The Men's Gymnasium was
removed from the Encumbered Facilities by the refunding of the
Building Revenue Bonds, Series 1959 and Dormitory No. 4 and No.
6 were removed from the Encumbered Facilities pursuant to
Section 20 of the resolution which authorized the Bonds).
The term "Encumbered Facilities Bonds" shall mean and
include the following outstanding Stephen F. Austin State
College Revenue Bonds, namely: Housing System Revenue Bonds of
1962, Series "A", Series "B" and Series "D" dated October 1,
1962; Housing System Revenue Bonds of 1963, Series "A11 dated
October 1, 1963; and Housing System Revenue Bonds, Series 1964
dated October 1, 1964.
The term "Established System" shall mean and include all
of the Student Housing System which has been completed and
available for use and occupancy for not less than one full
fiscal year.
The term "Holder" shall mean i:he bearer or the registered
owner as the case may be.
The term "Net Revenues" as applied to the Student Housing
System shall mean the gross revenues derived from the operation
and/or ownership thereof after deduction therefrom of only the
Current Expenses of said System.
The term "Other Pledged Revenues" shall mean the gross
revenues derived from the operation and/or ownership of the
Encumbered Facilities, including the revenues derived from the
levy and collection, without limitation as to rate or amount,
of a Student Activity Building Use Fee, after deduction from
said revenues of only the Current Expenses of said Encumbered
Facilities and the amounts to pay tne principal of and interest
on,- and provide the required reserves for, the Encumbered
Facilities Bonds payable therefrom.
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41
The term "Paying Agent/Registrar" shall mean Texas
Commerce Bank, N.A., Houston, Texas.
The term "Parity Bonds" shall mean collectively: (a) the
Bonds; (b) Stephen F. Austin State College Building Revenue
Bonds of 1965, Series A, dated October 1, 1965; (c) Stephen F.
Austin State College Building Revenue Bonds of 1965, Series B,
dated October 1, 1965; (d) Stephen F. Austin State College
Student Housing System Revenue Bonds of 1967, dated April 1,
1967; (e) Stephen F. Austin State College Student Housing
System Revenue Bonds of 1968, dated June 1, 1968 and (f)
Stephen F. Austin State University Student Housing System
Revenue Bonds, Series 1979, dated April 1, 1979.
The term "Project" shall mean the dormitory to be con
structed and equipped on the campus of the University with the
proceeds of the Bonds to house approximately 416 students.
The term "Register" shall mean the book of registration
kept by the Paying Agent/Registrar in which are mentioned the
names and addresses and principal amount registered to each
owner of the Bonds.
The term "Student Housing System" shall mean the Student
Housing System created and established for and on behalf of
Stephen F. Austin State College in the resolution adopted by
the Board on May 19, 1967, authorizing the issuance of its
Stephen F. Austin State College Building Revenue Bonds of 1965,
Series "A" and Series "B", dated October 1, 1965, and as
further defined in Section 8 of this Resolution.
The term "Student Housing System Bonds" shall mean
collectively the Parity Bonds and the Additional Bonds.
The term "1965 System Revenue Fund Account", 1965 System
Bond and Interest and Sinking Fund Account" and 1965 System
Repair and Replacement Reserve Account" shall mean respectively
ths special accounts which the Board in said resolution of May
19, 1967, authorizing the issuance of its Stephen F. Austin
State College Building Revenue Bonds of 1965, Series "A" and
Series "B", created and ordered to be established and main
tained for the payment of (1) Current Expenses of the Student
Housing System; (2) the principal of and the interest on bonds
outstanding against the Student Housing System; and (3) certain
charges not paid as part of the ordinary and normal expense of
the Student Housing System operation.
The tex-m "University" shall mean Stephen F. Austin State
University, formerly known as Stephen F. Austin State College.
Section 10. CUMULATIVE EFFECT OF BOND RESOLUTION. That
.the Bonds are Additional Bonds issued pursuant to the terms and
conditions as stated • in the resolutions authorizing the
•issuance of the Parity Bonds and that the following sections of
this Bond Resolution substantially restate and are supplemental
to and cumulative of the like sections in the Resolutions that
authorized the Parity Bonds so that Sections 11 through 21 of
the Bond Resolution will be applicable to all of the Parity
Bonds, Bonds and any Additional Bonds and that the payment of
and interest thereon, together with other revenue bonds of the
Issuer are secured by and payable from an irrevocable first
lien on and pledge of the Net Revenues of the Student Housing
System and a lien on and pledge of the Other Pledged Revenues
from the Encumbered Facilities junior and subordinate to rhe
Encumbered Facilities Bonds all as more specifically described
iu. the Bond Resolution.
Section 11. PLEDGE OF REVENUES. It is hereby covenanted
ar.d agreed and so ordered by the Board that the Bonds, Series
: 19
42
1965-A Bonds, Series 1965-B Bonds, Series 1967 Bonds, Series
1968 Bonds, Series 1979 Bonds, and any Additional Bonds shall
be equally and ratably secured by and payable from:
(i) a first lien on and pledge of the net revenues
derived from the operation and/or ownership of the Student
Housing System consisting of (a) Dormitory Nos. 17 and 18,
Garner Apartments (formerly Dormitory No. 19), University
Woods Apartments, the Project Dormitory, and East College
Cafeteria, together with all additions and improvements
thereto, and replacements thereof, hereafter constructed
or acquired; and (b) such additional facilities as may, at
some future date, be added to the Student Housing System.
(ii) a lien on and pledge of the net revenues derived
from the operation and/or ownership of the facilities now
comprising the College's Housing System 1962, being part
of the Encumbered Facilities, to-wit: Dormitories Nos. 7,
9, 10, 12, 13, 14 15 and 16, Apartments Nos. 55 through 70
(16 student apartments); Apartments Nos. 200 through 299
(100 student apartments); and Faculty Apartments Nos. 1
through 16 (16 apartments), together with all additions
and improvements thereto, and replacements thereof,
hereafter constructed or acquired, subject only to the
existing liens thereon to secure the following outstanding
bonds of Stephen F. Austin State College: Housing System
Revenue Bonds of 1962, Series A, Series B and Series D,
dated October 1, 1962; Housing System-Revenue Bonds of
1963, Series A, dated October 1, 1963 and Housing System
Revenue Bonds, Series 1964, dated October 1, 1964 (herein
after sometimes collectively called the "Housing System
1962 Bonds").
(iii) a lien on and pledge of the net revenues
derived from the operation and/or ownership of the facil
ities being a part of the Encumbered Facilities:
(a) Dormitory Nos. 1, 2, 5, 8, and 11, Apart
ments Nos. 1 through 54, Apartments Nos. 73 through
96 (these apartments have been abandoned by the
University pursuant to Board Resolution dated January
31, 1984), Apartments Nos. 127 through 165, and the
Student Activity and' Central Dining Hall Building,
together with all extensions, additions and improve
ments thereto, and replacements thereof, hereafter
constructed or acquired, without limitation as to
rate or amount, of a Student Activity Building Use
Fee, subject, only to the existing liens thereon to
secure the outstanding Housing System 1962 Bends.
(b) Dormitory No. 3, together with all addi
tions and improvements thereto, and replacement
. • thereof, hereafter constructed or acquired, subject
only to the existing liens thereon to rsecure the
outstanding Housing System 1962 Bonds.
That such liens and pledges are hereby irrevocably created and
made according to the terms of this Resolution', and the Board,
its officers and employees, shall execute, perform and carry
out the terms thereof in strict conformity with the provisions
of this Resolution.
Section 12. BONDS TO CONSTITUTE SPECIAL OBLIGATIONS.
That the Bonds, and the interest thereon, shall constitute
special obligations of the Board, payable solely from the net
revenues herein pledged, and such obligations shall rot consti
tute an indebtedness of the State of Texas or the Issuer.
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Section 13. COVENANTS WITH RESPECT TO ENCUMBERED FACIL-TIES
AND EXISTING LIENS. The Board covenants and agrees, and
t is the intention of and required by this Resolution and the
•esolutions heretofore adopted by the Board authorizing the
Issuance of its bonds now outstanding against the Student
Sousing System that:
(a) during the existence of any prior liens and pledges
n connection with the Encumbered Facilities Bonds, only the
unencumbered surplus or excess net revenues (herein sometimes
referred to as "Other Pledged Revenues") shall be deposited to
the extent required into the 1965 System Bond and Interest
Sinking Fund Account and the 1965 System Repair and Replacement
Reserve Account; provided, however, that when the Board's
outstanding Stephen F. Austin State College Housing System
Revenue Bonds of 1962, Series A, Series B and Series D, dated
October 1, 1962; Housing System Revenue Bonds of 1963, Series
A, dated October 1, 1963; and the Housing System Revenue Bonds,
Series 1964, dated October 1, 1964, have been paid in full tc
both principal and interest or refunded on a parity with all
bonds then outstanding against the Student Housing System, all
facilities now comprising the College's Housing System 1952,
to-wit: Dormitory Nos. 1, 9, 10, 12, 13 14, 15 and 16, Apart
ments Nos. 55 through 70, Apartments Nos. 200 through 299, and
Faculty Apartments Nos. 1 through 16, ,shall be incorporated
into the Student Housing System, and all rentals, charges,
income and revenue derived from the operation and/or ownership
thereof shall be commingled with and applied and the net
revenues derived from the operation and/or ownership of said
facilities shall be pledged along with the other net revenues
of the Student Housing System as a first lien towards payment
of the Student Housing System Bonds.
(b) After either of such occurrence, Dormitory Nos. 1, 2,
3, 5, 7 and 11, Apartments Nos. 1 through 54, Apartment Nos. 73
through 96 (these apartments have been abandoned by the
University pursuant to Board Resolution dated January 31,
1984), and Apartments Nos. 127 through 166, the Student Activ
ity and Central Dining Hall Building shall be incorporated into
the Student Housing System as such time as the Stephen F.
Austin State College Housing System Revenue Bonds of 1962,
Series A, Series B and Series D, dated October 1, 1962, Housing
System Revenue Bonds of 1963, Series A, dated October 1, 1953,
and Housing System Revenue Bonds, Series 1964, dated October 1,
1964, have been paid in full as to both principal and interest
or refunded on a parity with bonds then outstanding against the
Student Housing System, and all rentals, charges, income and
revenue derived from the operation and/or ownership of said
facilities shall be pledged along with the other net revenues
of the Student Housing System as a first lien towards payment
of the Student Housing System Bonds.
(c) Notwithstanding provisions pertaining to the issuance
of additional parity bonds as contained in the resolutions
which authorized the issuance of Stephen F. Austin State
College Housing System Revenue .Bonds of 1962, Series "A",
Series MB", Series "CM and Series "D", dated October 1, 1S62,
Housing System Revenue Bonds of 1963, Series A, dated Octcber
1, 1963, and Housing System Revenue Bonds, Series 1964, dated
October 1, 1964, r.o such additional parity bonds shall ever be
issued by the Board and the open-end 1962 Housing System is
permanently closed.
Section 14. 1965 SYSTEM REVENUE FUND ACCOUNT. That as
soon as any portion of the Project becomes revenue-producing,
all rentals, charges, income and revenue arising from the
operation and/or ownership of the Project shall be deposited as
received to the c::edit of the 1965 System Revenue Fund Account
already established); that said 1965 System Revenue Fund
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Account shall be held in the custody of the Board, separate and
apart from all other funds, and shall be maintained so long as
any of the Parity Bonds are outstanding in a bank which is a
member of the Federal Deposit Insurance Corporation; and that
all current expenses of the Student Housing System shall be
payable as a first charge from the 1965 System Revenue Fund
Account.
Section 15. 1965 SYSTEM BOND AND INTEREST SINKING FUND
ACCOUNT. That concurrently with the delivery of the Bonds to
the purchasers, there shall be placed in the 1965 System Bond
and Interest Sinking Fund Account (already established), so
much of the proceeds from the sale of the Bonds as represents
accrued interest paid thereon, and further, that the Board
will, after providing for the payment of Current Expenses of
the Student Housing System, transfer from the 1965 System
Revenue Fund Account and other pledged revenues and deposit to
the credit of the 1965 System Bond and Interest Sinking Fund
Account, the following amounts in addition to the payments and
deposits otherwise required to be made therein.
(1) On or before September 15, 1984, an amount of money
sufficient to pay the interest to become due on rhe
Bonds on October 1, 1984;
(2) On or before March 15, 1985, and on or before each
succeeding September 15 and March 15, until the Bonds
are no longer outstanding, an amount of money which,
when added to other funds therein, and available for
such purpose, equal to the next maturing interest
payment on the Bonds;
(3) On or before March 15, 1985, and on or before each
succeeding September 15 and March 15 until the Bonds
are no longer outstanding, an amount of money which,
when added to other funds therein, and available for
such purpose, equal to one-half of the next maturing
principal payment on the Bonds;
(4) On or before September 15, 1984, and on or before
each March 15 and September 15 thereafter, a sum of
money equal to one-eighth of the average annual debt
service on the Bonds' until a total of eight such
payments have been made, and thereafter, such sums
annually as may be necessary to maintain the required
reserve on the Parity Bonds.
Section 16. 1965 SYSTEM REPAIR AND REPLACEMENT RESERVE
ACCOUNT. .That as soon as the additional reserve hereinabove
provided for has been established in the 1965 System Bond and
Interest Sinking Fund Account, the Board shall increase the
annual deposits into the 1965 System Repair and Replacement
Reserve Account, already established by the sum of $30,000
annually, until the fund and/or investments therein shall
aggregate $700,000, and thereafter, such sums but not more than
$70,000 annually as may be required to restore and maintain the
balance of $700,000. The Board shall have the right to draw on
and use the monies in the 1965 System Repair and Replacement
Reserve Account for the purpose of paying the cost of unusual
.or extraordinary maintenance or repairs, renewals or replace
ments, and the renovating or replacement of the furniture and
equipment not paid as part of the ordinary and normal expense
of the Student Housing System operations; provided, however,
that in the event the funds and investments in the 1965 System
Bond and Interest Sinking Fund Account shall ever be reduced
below the required debt service reserve, funds on deposit in
the 1965 System Repair and Replacement Reserve Account shall be
transferred to the 1965 System Bond and Interest Sinking Fund
22
45
Account to the extant required to eliminate the deficiency in
that Account.
Section 17, USE OF SURPLUS FUNDS. The money in the 1965
System Revenue Fund Account at the close of each school term in
excess of sums needed for the payment of Current Expenses of
the Student Housing System and for all payments and deposits
required to be made into the 1965 System Bond and Interest
Sinking Fund Account and the 1965 System Repair and Replacement
Reserve Account may be used by the Board for:
(1) The redemption of outstanding Parity Bonds on the
next interest payment date, in accordance with the call provi
sions of the respective bond series, and in amounts of not less
than $5,000 par value at one time; or
(2) Any expenditures, including the payment of debt
service in improving or restoring any existing housing and
dining facilities or providing any such additional facilities;
or
(3) Any lawful purpose.
Section 18. ISSUANCE OF ADDITIONAL PARITY REVENUE BONDS.
The Board reserves and shall have the right to issue one or
more additional series of bonds, notwithstanding the provisions
of the bond resolution that authorized the outstanding Student
Housing System Bonds, to finance the construction or acquisi
tion of additional housing, dining and related auxiliary
facilities to refund indebtedness previously incurred to
finance the construction or acquisition of such additional
facilities, to be secured by a parity lien on and ratably
payable from the revenues pledged to the Parity Bonds, provided
in each instance that:
(a) The Board is then in full compliance with all coven
ants and undertakings in connection with all of its Parity
Bonds then outstanding and payable from the revenues of the
Student Housing System or any part thereof;
(b) The revenues of the facility or facilities to be
built and financed from the proceeds of the Additional Bonds,
and other revenues added as security, if any, for the Addition
al Bonds, are pledged as additional security for the Additional
Bonds and Parity Bonds. Notwithstanding the foregoing, the
Board may issue Additional Bonds to finance the construction of
additions to facilities of the University which were construc
ted or under construction at the time the Series 1984 Bonds are
issued, provided that the revenues derived from such addition
or additions are pledged directly or indirectly (first lien or
subordinate lien) as additional security for all bonds
outstanding against; the Student Housing System and provisions
are made for the ultimate inclusion of the facilities into the
Student Housing System as soon as the related prior liens have
been eliminated.
(c) The annual Net Revenues, defined as gross revenues
less Current Exper.ses of the Established System, plus Other
Pledged Revenues, if any, for the fiscal year next preceding
the issuance of the Additional Bonds are certified by an
independent (certified or licensed) public accountant, employed
by the Board or by the State Auditor of Texas, to have been
equal to at least one and twenty-five hundredths (1.25) times
the combined average annual requirements for principal and
interest on all bonds outstanding against the Student Housing
System which were issued to construct or acquire the
Established System; and
23
(d) the estimated pledged revenues of the facility or
facilities to be constructed or financed with the proceeds of
such Additional Bonds, when added to the estimated annual Net
Revenues of the Student Housing System, including facilities
under construction, plus Other Pledged Revenues, if any, shall
equal at least one and twenty-five hundredths (1.25) times the
combined average annual debt service requirements for principal
and interest on the Parity Bonds and on the Additional Bonds
authorized or then to be issued. Computation of the future Net
Revenues of the then existing Student Housing System, together
with the facilities to be financed with the proceeds of the
Additional Bonds and other pledged revenues, shall be based on
actual net income for the fiscal year next preceding the
issuance of the Additional Bonds, as may be adjusted, to
reflect the schedule of rates and charges to become effective
when the additional facilities become revenue-producing but
excluding revenues derived from over-occupancy in relation to
designed capacity, and after giving recognition to anticipated-changes
in Current Expenses of the Student Housing System.
Computation of the estimated Net Revenues of the facility or
facilities under construction or to be constructed or acquired
shall be predicated upon an assumed utilization rate of not
more than 90%. The computation of estimates shall be made by
the Chief Financial Officer of the University and shall be
approved by the President of the University and by the Board of
Regents.
The term "average annual debt service" as 6f any date shall
mean, to each series of Bonds, the aggregate of all future
principal and interest to become due on the bonds of such
series in all years in which principal is to mature in
accordance with the scheduled maturities thereof, divided by
the number of such years. The term "combined average annual
debt service" shall mean the aggregate of the average annual
debt service for each separate series.
Section 19. USE OF MONEY IN 1965 SYSTEM BOND AND INTEREST
AND SINKING FUND ACCOUNT; OTHER COVENANTS WITH RESPECT TO
ISSUANCE OF ADDITIONAL BONDS. The money in the 1965 System
Bond and Interest Sinking Fund Account shall be used solely for
the payment of principal of and interest on the Parity Bonds,
and on all subsequently issued Additional Bonds secured equally
with the Parity Bonds, as to which there would be a default if
the money were not so used.
The Board covenants and agrees that in the event Additional
Bonds are issued on a parity with the Bonds, as provided in
this Resolution, the Bond Resolution authorizing such
Additional Bonds shall provide:
(a) For an identical Flow of 'Funds as prescribed in the
Resolution authorizing the issuance of the Parity Bonds and
that all revenues deposited in the special funds and accounts
already established be commingled;
(b) For payment of principal of such Additional Bonds on
October 1st of the appropriate year or years and for payment of
interest on such bonds on April 1st and October 1st of each
year;
(c) For an increase in the debt service reserve of not
less than the average annual debt service requirements of such
Additional Bonds, either by depositing into the 1965 System
Bond and Interest Sinking Fund Account in cash at the time of
the delivery of such Additional Bonds, as an additional re
serve, such sums equal to not less than the average annual debt
service requirements of the Additional Bonds, or to be accumu
lated in not less than that amount in four equal annual pay
ments, beginning at the end of the first school year in which
24
47
the University has had use of the additional facilities. It is
agreed and understood that the maximum required debt service
reserve for all bonds outstanding against the Student Housing
System shall be an amount equal to the sum total of the average
annual debt service of each individual issue of outstanding
bonds.
(d) That as soon as the required additional reserve is
accumulated, the amount required to be deposited annually into
the 1965 System Repair and Replacement Reserve Account shall be
increased by 10% of the estimated cost of the movable equipment
and furnishings installed in the additional facilities so
constructed or acquired with the proceeds from the Additional
Bonds, and that the accumulated total shall be increased by
100% of said estimated cost and in addition provide for a
reasonable reserve for extraordinary maintenance or repairs.
The Board covenants and agrees to increase the annual deposits
into the 1965 System Repair and Replacement Reserve Account,
above and beyond those which are required by the Resolutions
authorizing the Parity Bonds, when facilities are added to the
Student Housing System independent of, or not connected with,
the issuance of Additional Bonds. Notwithstanding the fore
going, it is agreed and understood that the required sum total
of all deposits into the 1965 System Bond and Interest and
Sinking Fund Account and the 1965 Repair and Replacement
Reserve Account shall not exceed an amount equal to 1.25 times
the sum total of the average annual debt service (as defined in
Section 18 of this Resolution) of all outstanding Student
Housing System Bonds.
The Board covenants and agrees that so long as any of the Bonds
are outstanding and unpaid, either as to principal or interest,
it will not issue, except as provided in this Resolution, any
additional obligations payable from the revenues of the Student
Housing System and/or Encumbered Facilities unless the lien of
such obligations payable from such revenues is made junior and
subordinate in all respects to the lien of the Bonds.
Section 20. PRIOR REDEMPTION OF BONDS. The Board further
covenants and agrees that if in any subsequently issued series
of bonds secured by a parity lien on the revenues of the
Student Housing System, it is provided that excess revenues in
the 1965 System Revenue Fund Account shall be used to redeem
bonds in advance of scheduled maturity, or if the Board at its
option undertakes to redeem outstanding bonds in advance of
scheduled maturity, that (a) calls of bonds will be applied to
each series of outstanding bonds on an approximate egual pro
rata basis reflecting the proportion of the original amount of
each series of bonds outstanding at the time of such call, and
(b) calls of bonds for each series of bonds will be in accord
ance with call provisions of the respective bond series.
However, the Board shall have the right to call, subject to the
call provisions of the respective bond series, any or all
outstanding bonds which may be called at par plus accrued
nterest prior to calling bonds that are callable at a premium.
Section 21. CONDITIONS UNDER WHICH STUDENT HOUSING SYSTEM
FACILITIES MAY BE SOLD OR OTHERWISE DISPOSED OF BY THE BOARD.
The Board covenants and agrees that so long as any Student
Housing System Bonds are outstanding, it will not (except as
lereinafter provided) sell or otherwise dispose of any of the
Student Housing System facilities, or any part thereof, and,
ixcept as provided for in this Resolution it*will not create or
>ermit to be created any charge or lien on the revenues thereof
•anking equal or prior to the charge of lien of the Bonds.
fotwithstanding the foregoing, the Board may at any time
>ermanently abandon the use of, or sell at fair market value,
my of its Student Housing System facilities, provided that:
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the University has had use of the additional facilities. It is
agreed and understood that the maximum required debt service
reserve for all bonds outstanding against the Student Housing
System shall be an amount equal to the sum total of the average
annual debt service of each individual issue of outstanding
bonds.
(d) That as soon as the required additional reserve is
accumulated, the amount required to be deposited annually into
the 1965 System Repair and Replacement Reserve Account shall be
increased by 10% of the estimated cost of the movable equipment
and furnishings installed in the additional facilities so
constructed or acquired with the proceeds from the Additional
Bonds, and that the accumulated total shall be increased by
100% of said estimated cost and in addition provide for a
reasonable reserve for extraordinary maintenance or repairs.
The Board covenants and agrees to increase the annual deposits
into the 1965 System Repair and Replacement Reserve Account,
above and beyond those which are required by the Resolutions
authorizing the Parity Bonds, when facilities are added to the
Student Housing System independent of, or not connected with,
the issuance of Additional Bonds. Notwithstanding the fore
going, it is agreed and understood that the required sum total
of all deposits into the 1965 System Bond and Interest and
Sinking Fund Account and the 1965 Repair and Replacement
Reserve Account shall not exceed an amount equal to 1.25 times
the sum total of the average annual debt service (as defined in
Section 18 of this Resolution) of all outstanding Student
Housing System Bonds.
The Board covenants and agrees that so long as any of the Bonds
are outstanding and unpaid, either as to principal or interest,
it will not issue, except as provided in this Resolution, any
additional obligations payable from the revenues of the Student
Housing System and/or Encumbered Facilities unless the lien of
such obligations payable from such revenues is made junior and
subordinate in all respects to the lien of the Bonds.
Section 20. PRIOR REDEMPTION OF BONDS. The Board further
covenants and agrees that if in any subsequently issued series
of bonds secured by a parity lien on the revenues of the
S'cudent Housing System, it is provided that excess revenues in
the 1965 System Revenue Fund Account shall be used to redeem
bonds in advance of scheduled maturity, or if the Board at its
option undertakes to redeem outstanding bonds in advance of
scheduled maturity, that (a) calls of bonds will be applied to
each series of outstanding bonds on an approximate equal pro
rata basis reflecting the proportion of the original amount of
each series of bonds outstanding at the time of such call, and
(!d) calls of bonds for each series of bonds will be in accord
ance with call provisions of the respective bond series.
However, the Board shall have the right to call, subject to the
call provisions of the respective bond series, any or all
outstanding bonds which may be called at par plus accrued
interest prior to calling bonds that are callable at a premium.
Section 21. CONDITIONS UNDER WHICH STUDENT HOUSING SYSTEM
FACILITIES MAY BE SOLD OR OTHERWISE DISPOSED OF BY THE BOARD.
The Board covenants and agrees that so long as any Student
Housing System Bonds are outstanding, it will not (except as
hereinafter provided) sell or otherwise dispose of any of the
Student Housing System facilities, or any part thereof, and,
except as provided for in this Resolution it will not create or
permit to be created any charge or lien on the revenues thereof
ranking equal or prior to the charge of lien of the Bonds.
Notwithstanding the foregoing, the Board may at any time
permanently abandon the use of, or sell at fair market value,
any of its Student Housing System facilities, provided that:
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(a) It is in full compliance with all covenants and
undertaking in connection with all of its bonds outstanding and
payable from the revenues of the Student Housing System or any
part thereof;
(b) It will, in the event of sale, apply the proceeds to
either (1) redemption of outstanding Bonds in accordance with
the provisions governing prepayment of Bonds in advance of
maturity, or (2) replacement of the facility so disposed of by
another facility which shall be incorporated into the Student
Housing System;
(c) It certifies, prior to any abandonment of use, that
the facility to be abandoned is no longer economically feasible
of producing Net Revenues; and
(d) it certifies that the estimated Net Revenues of the
remaining Student Housing System for the then succeeding fiscal
year (and any other revenues pledged as security) plus the
estimated Net Revenues of the facility, if any, to be added to
the Student Housing System satisfy the earning test
hereinbefore provided in this Resolution governing the issuance
of Additional Bonds.
Section 22. CONDITIONS UNDER WHICH CERTAIN OF THE
ENCUMBERED FACILITIES MAY BE DISPOSED OF BY THE BO/.RD. It is
hereby agreed and understood, and it is so provided in the
Resolutions of the Board authorizing the issuance of the bonds
now outstanding against the Student Housing System, that the
Board reserves and shall have the right to dismantle* Dormitory
No. 4 and Dormitory No. 6, which right has already been
exercised, and Apartments Nos. 127 through 166, to provide a
site or sites for any other University purposes, providing that
such dismantling does not violate any prevailing covenants of
the Board and that the remaining pledged revenues will be
sufficient to allow t
