UCCSN Board of Regents' Meeting Minutes
December 15-16, 1934

Volume 5 - Pages 147-151

                       REGENTS MEETING
                      December 15, 1934

The Board of Regents met in the Office of President Clark at 10
o'clock Saturday morning December 15th.  There were present Judge
George S. Brown, Chairman, Silas E. Ross, Vice Chairman, Mr.
Williams and Dr. Olmsted.  Absent:  Mr. Wingfield.

On motion of Mr. Williams the minutes of the September 22, 1934
meeting were approved by the following vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

The President presented the letter of Dr. Lough thanking the
Board for its action concerning him at the last meeting.

The President recommended that the request of the Superintendent
Lynch that members of this Buildings and Grounds staff, who have
qualified by having been in the employ of the University for at
leave 5 years of effective, full-time service, whenever serving
as night watchmen, shall receive $110 instead of the present $100
per month, whenever Superintendent Lynch recommends these persons
to the President for such positions.

Mr. Ross moved the adoption of this recommendation.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

The President recommended the approval of Superintendent Lynch's
transfer of Mullen from Nighwatchman to Heating Plant Operator
and of Williams from Heating Plant Operator to Nightwatchman,
Mullen to receive $4 per day and Williams to receive $110 per

Mr. Williams moved the adoption of this recommendation.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

On the recommendation of Dr. Wood, President Clark recommended
the election of Dr. Deane Montgomery to be Assistant Professor of
Mathematics from August 1, 1935, vice Mr. Searcy, resigned, at a
salary of $1600 for his initial year and, if he remains a 2nd
year, the salary is to be increased to $1750 per year.  (B. A.,
Hamline, 1929; M. S., Iowa, 1930; Ph. D., Iowa, 1933; National
Research Fellow, Harvard, 1933-34; National Research Fellow,
Princeton, 1934-35.)

Mr. Williams moved the adoption of this recommendation.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

Comptroller Gorman presented the following statement on the mat-
ter of co-insurance from Vice Chairman Ross and himself, the
Committee appointed by the Regents to deal with this matter:

1.  As a prerequisite to co-insurance a proper appraisal of the
    University buildings is absolutely necessary.  It is esti-
    mated that the appraisal will cost from $1500 to $2000. The
    State Controller, who is ex-officio Insurance Commissioner
    for the State, advises that he has no funds available to
    make this appraisal.

2.  If co-insurance is taken, the buildings must be insured for
    80% of the appraised valuation.  In the case of the Mackay
    Science Hall, for instance, this would require insurance to
    the amount of $320,000, whereas we feel that no loss by fire
    in this building could possibly exceed $20,000.

3.  As the newly elected State officials take office soon after
    January 1, 1935, it is felt that this matter of co-insurance
    should be deferred for the present and referred to the new
    State Controller.  It is possible that the new State Control-
    ler may desire legislative authority before making this dras-
    tic change in policy for the protection of State property.

Dr. Olmstead moved the statement be accepted and Messrs. Ross and
Gorman be continued as a Committee to take this matter up with
the new Controller.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

Mr. Gorman presented the following statement concerning a ruling
of the Controller General of the United States:

    Sometime over a year ago the Controller General of the United
    States ruled that all Federal appropriations to the Univer-
    sity should be kept in separate bank accounts.  In conformity
    with this ruling, your Comptroller asked for and received au-
    thority from the Board of Regents to open a separate account
    in the First National Bank in Reno in which all Federal ap-
    propriations were deposited.  This action of the Board of
    Regents was reported to the Departments in Washington when
    the annual reports were rendered covering the expenditure of
    these Funds.  We are now advised that we must keep a separate
    bank account for each Division, namely, Experiment Station
    Funds, one account; Agricultural Extension Funds, one ac-
    count, and Morrison Nelson Fund, one account.  In view of
    the above will you kindly authorize the Comptroller to com-
    ply with the above ruling giving him authority to open the
    required bank accounts and to secure the necessary vouchers,
    etc., for the expenditures of these Funds.

Mr. Ross moved the granting of the Comptroller's request.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

Comptroller Gorman presented the following Resolution concerning
funds in the closed banks:

    WHEREAS, on October 31, 1932 there was $33,019.25 in the
    closed Banks in Reno, representing balances to the credit
    of various Departments of the University of Nevada, exclusive
    of Federal Funds, and

    WHEREAS, the appropriation of $88,200 for the further support
    of the University of Nevada made by the Legislature of 1933
    (Chapter 85 Stats. Nev. 1933) included $33,000 to replace the
    funds in the closed Banks, and

    WHEREAS, the Act making the appropriation (Chapter 85, Stats.
    Nev. 1933) failed to authorize the State Controller and State
    Treasurer to remit the said $33,000 to the Board of Regents,
    which would have enabled the Regents to directly replace the
    money in the closed Banks, but required that claims for the
    support of the University of Nevada be filed against this
    appropriation, and

    WHEREAS, claims aggregating $33,000 against this appropria-
    tion for the support of the University were filed and paid,
    thereby giving the University of Nevada the use and benefit
    of said $33,000, and

    WHEREAS, the payment of these claims from the State Appropri-
    ation did not affect the balances as represented by the money
    in the closed Banks,

    NOW, THEREFORE, IT IS RESOLVED that the Comptroller of the
    University be authorized and directed to transfer to the
    Regents Contingent Fund on or before February 1, 1935 from
    the funds of the University that would have been used for
    the support of the University if the State Appropriation had
    been remitted directly to the Board of Regents and to reduce
    in aggregate Departmental balances a corresponding amount.

Mr. Ross moved the adoption of this Resolution and the granting
of the request contained therein.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

Comptroller Gorman presented the following letter concerning
dividends from the closed Reno Banks:

    I am handing you herewith for the signature of the Chairman
    of the Board of Regents, Check No. 4346 in favor of the
    State Treasurer of Nevada for $1,533.14 covering Dividend
    No. 4 from the Riverside Bank, 16 2/3% of balance, $9,198.89.
    Also Check No. 4347 in favor of the State Treasurer of Nevada
    for $5,438.82 covering Dividend No. 1 from the United Nevada
    Bank, 30% of deposit, $18,129.41.  These dividends must be
    sent to the State Treasurer of Nevada under the provisions
    of Chapter 116, Statutes of Nevada, 1933.

    For your information I am handing you herewith a statement of
    dividends received to date from the closed Banks in Reno.

                     Dividends Paid to Date

    Bank              No. of Div.     Div. Amount      Balance

    United Nevada         1           $ 5,436.82     $12,690.59
    Riverside             4             5,110.48
                             Total     12,775.20*      7,665.75
    Reno National         0                           66,471.68
    Nevada S & T          1               155.05       2,892.36
        Total Received                $18,370.07**   $89,720.38

               (should be  *12,776.20 and **18,368.07)

The President presented his budget estimates for the biennium be-
ginning July 1, 1935, as follows:

                                          December 15, 1934
To the Honorable
The Board of Regents of the
University of Nevada


    I submit herewith a preliminary statement and summary of ex-
penditures and income for the General and Departmental and Public
Service Divisions of this University of Nevada as estimated for
the Biennium beginning January 1, 1935:


     A.  Preliminary Statement

         The Budget herewith presented is a balanced budget for
         the two years beginning July 1, 1935, but based upon the
         following conditions:

         1.  Present salary cuts to remain in force throughout
             this period.

         2.  No Summer Sessions either year of the biennium.

         3.  Continuation of present personnel, which is serious-
             ly reduced in many Departments.

         4.  Continuance of no grants for Departmental repairs,
             improvements or new equipment.

         5.  Continuance of no Library book allowances to the
             several Departments.

         6.  Continuance of very inadequate grants for repairs
             and improvements on Buildings and Grounds.

     B.  Income Summary

         In Summary, continuing to run the University on a bare
         existence basis, the following Budget Balance is pre-

         1.  State Tax of 9 cents:

             Assume $187,500,000 total value State
             Property 9 cents on $187,500,000 for
             2 years                                $337,500.00
             Less estimated 5% delinquency            16,875.00

             Add 2 times the actual delinquent tax
             paid in during year 1934 ($11,817.44)    23,634.88
                                         (Est. #1)  $344,259.88

             Or, take twice actual receipts for 1934
             from 9 cent tax and delinquent payments,
             which total was $177,427.18 (Est. #2)  $354,854.36
             Average of these 2 gives    (Est. #3)  $349,557.12

         2.  Fees and Tuition

             Total of these for University year
             1933-34 was $29,941.10
             Assume 5 less tuition reducing $750
             Assume 20 more in dorms at $80 adding
             $1600 = $850 net addition x 2 years    $ 61,582.20
             Total estimated receipts from taxes,
             fees and tuition                       $411,139.32
             Reimbursements from Public Service
             Departments on heat, light, power
             and water                                 5,600.00

                          GRAND TOTAL RECEIPTS      $416,739.32

     C.  Expenditures from State Tax, Fees and Tuition

         1.  Administrative                         $ 39,960.00
         2.  Buildings and Grounds                    77,211.24
         3.  General Expenses                         35,695.00
         4.  Expenditures of the 33 Departments of
             the U. including dorms                  261,589.50

                          GRAND TOTAL EXPENDITURES  $416,739.32

                          Apparent Working Margin   $  2,283.58


     A.  Estimated Expenditures

         Net cost to be met during the Biennium
         beginning July 1, 1935 in accord with
         estimated budgets for the 6 Public
         Service Departments                        $ 73,144.38

     B.  Estimated Income

         To be received from Public Service 2 cent
         tax based on assumed $187,500,000 State
         valuation with estimated net annual loss
         of 2% in tax delinquency                   $ 73,500.00

         Giving an apparent net margin of safety    $    355.67

    I have the honor to submit the above as the working budget
for the University of Nevada for the Biennium beginning July 1,
1935 for all Departmental and general expenditures to be met
from the 9 cent State tax and from receipts from all tuition and
fees and for all expenditures for the Public Service Departments
to be met from the 2 cent Public Service tax.

                             Respectfully submitted,

                             Walter E. Clark

Regent Ross moved the approval of the budget as proposed and Dr.
Olmsted asked that copies of the preliminary statement and the
summarized pages of this budget as presented by the President
be submitted to the individual Board members together with their
copies of the minutes.  Vote:

    Judge Brown          Aye
    Dr. Olmsted          Aye
    Mr. Williams         Aye
    Mr. Ross             Aye

The Secretary was instructed to write a letter to Mr. Mackay ex-
pressing the Board's appreciation of the letter of December to
President Clark, containing statement of his hope again to do
constructive things on this University Campus.

The reorganization meeting was set for January 31, 1935.


                             George S. Brown

Carolyn M. Beckwith