The Battalion. (College Station, Tex.) 1893-current, May 02, 1979, Image 8

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Page 8 I Hfc CJA I I ALIUPM WEDNESDAY, MAY 2, 1979 ROBERT HALSELL TRAVEL SERVICE AIRLINE SCHEDULE INFORMATION FARES AND TICKETS DOMESTIC AND INTERNATIONAL CALL 822-3737 1016 Texas Avenue — Brvan PUF landed rich Introducing the JCPenney Garden Party. By LIZ NEWLIN Battalion Staff Harvard has more ivy on its walls, but UT and Texas A&M have more money in their lands. That land is held by the Perma nent University Fund (PUF), the endowment for the University of Texas and Texas A&M University systems. Last summer, its total cash as securities — stocks and bonds — were valued at $1,043 billion. Har vard University’s endowment then was worth $1.4 billion, according to Esquire magazine. However, not included in the PUF total was the value of the actual real estate that creates the endow ment — 2.1 million acres of West Texas that last year and the year be fore gushed more than $76 million in oil and gas royalties. So it can be argued that the PUF now makes the UT and Texas A&M systems the most richly endowed in the country. (See table.) And prospects for the future are bright. The UT Office of Invest ments, Trusts and Lands — the fund manager — conservatively estimates that investments will rise to $1.7 bil lion by 1988. But it still seems that the college in If you have money to invest Optional Retirement Plan Tax Sheltered Annuity Deferred Compensation Financial Planning Call Hays Glover GUGGENHEIM GLOVER, ASSOCIATES 779-5555 Cambridge, with its 200-year head start, should be ahead of the Texas schools. Two factors help ex plain the difference: —state grants of 2.1 million acres in West Texas to finance a “univer sity of the first class,” and —Santa Rita, an oil field on that land that came into production in 1921 According to the 1978 annual investment report, oil and natual gas finds have been the backbone of the fund, providing about $705 million in royalties since the fund began. As of Aug. 31, 1978, other total PUF receipts (rounded off) were: —$3.6 million, water royalties and rentals, —$12 million, rentals on mineral leases, —$1.9 million, miscellaneous, —$44.5 million, gains on sales of securities, and —$295 million, bonuses on min eral leases, or what oil and gas pro ducers have been willing to pay for the option to drill on the land. As oil and gas prices went up, especially in the early 1970s, the bonuses also went up. Those incomes form the $1,043 billion in the Permanent University Fund, almost all of which is invested. FOR A SUGAR FREE LUNCH Come to the most complete salad bar in Texas in the Sbisa Dining Cen ter Basement. Quality First Open 10:30 a.m.-1:30 p.m. Monday thru Friday You’re invited to our Summer Garden Party. Blossoming with the freshest picked fashions around. In dresses, coordinates, and active or casual sportswear. Ter rific new textures and summer colors for juniors, misses and half sizes. And special surprises each Saturday! 8.99 The slide-summer’s hottest fashion trend. High-step ping, vampy wood- bottom solid or perforated leather slides are great with jeans or slit skirts In basic fashion tones. Ear piercing clinic Saturday in Fine Jewelry. JCPenney Garden Party Manor East Mall, Bryan • 779-4710 Sun Theatres 333 University 84t The only movie in town Double-Feature Every Week Open 10 a.m.-2 a.m. Mon.-Sat. 12 Noon - 12 Midnight Sun No one under 18 Ladies Discount With This Coupon BOOK STORE & 25c PEEP SHOWS 846-9808 The systems may not spend^ any of the fund itself, the “corpus.” Instead, they may issue construc tion bonds guaranteed by the PUF, and they may spend the profit from investment of the PUF, which is called the Available University Fund (AUF). The AUF also repays the PUF bonds, plus interest. The Texas Constitution mandates that the bonds be issued for con structing, equipping, or acquiring buildings or other permanent im provements at System institutions specified. In the Texas A&M Sys tem, that means Moody College in Galveston cannot receive bond money — it was created after the latest amendment that lists which parts of the System are eligible to use PUF bonfa bill now in the Texas Legislature would let Moody and similar UT insititutions into the fund. (See story on Page 1 for details of the legislation.) The restrictions also mean that the bonds may not be used to pay teachers’ salaries or repair facilities. The value of the bonds may not ex ceed 20 percent of the value of PUF, excluding real estate. On Feb. 28, that value was $1.09 billion. Bonds are sold jointly for both i Texas A&M and UT in Austin each July. W.C. Freeman, executive vice chancellor for administration at Texas A&M, expects the bond sale to reach about $33 million, the exact figure depends on how much the PUF is worth that day. Texas A&M’s share of the sale will be about $10-11 million. The bonds sold each year are a combination of bonds paid off and new bonds issued against the in creased value of the PUF. According to Howard Vestal, Texas A&M vice president for busi ness affairs, the bonds to be sold in July are committed to finance a med ical sciences building and projects at Prairie View A&M University. From its share of the AUF this year, Texas A&M will use about $8 million to support PUF bonds. Another $8 million will be used for construction projects here, includ ing the PE facilities in Kyle Field, the veterinary medicine clinical facil ity and the Academic and Agency Building. Changes brew for $1 billion fui (Continued from Page 1.) Robert C. Cherry, Texas A&M's legislative liaison, wouldn’t com ment Tuesday. $37.5 million for Texas A&M; there after, the yearly bond issues would be increased from about $10 million to $15 million. The bill would also change the name of Moody to “Texas A&M Uni versity at Galveston.” Miller Tuesday would not com ment on that, either. He did say the challenge brought for Prairie View by Rep. Senfronia Thompson, D-Houston, was founded on too narrow a basis. Her argument, pursued since |l mer, is that the Texas A«t(J has discriminated against J dominantly black college ij its building program. Miller counters that by o| sures — notably CoordinatL studies of available classroil and requirements — Prairief better off than the Collegfl campus. He also says, and TfcJ seems to agree, that whall View needs now is moneytiiiiii rt n«i and rehabilitate (R&R) its ” Fortunate 500 ‘Tbe fortunate 500" might be the label attached to the 500 uni versities and colleges that have endowments exceeding $3 mil lion. According to Esqxiire magazine, only half of these in stitutions have funds in excess of $10 million. Texas A&M Univer sity and the University of Texas share an endowment — the Per manent University Fund (PUF). Listed below are the top 15, as of last summer; Harvard Permanent Fund Stanford Yale Columbia Princeton MIT U. of Rochester Cornell Northwestern U. of Chicago Rice NYU Washington U. Johns Hopkins No other Texas the top 40. $1,392,639,862 U. 1,043,320,989 550.000,000 545,000. (XX) 475,000,000 423,462,000 409,528,000 308,129,000 296,000.000 284,000,000 280,500, (XX) 251,000,000 250,000.000 231,000,000 191,000,000 schools were in Under current law, thePUfj be used to finance that kind SJ R 7 would also change bond money could be used more purposes: —library books and matj| —capital equipment foiHS tional purposes (not definedK. —repairs and alterations^ The Texas House also m agree on the need for R&nllj waiting for the amendment month it appropriated $6mfl the school to upgrade itsS The appropriation must stilE the Senate and Gov. BillClE however. But Thompson calls thekl “a drop in the bucket.” (fl restoration would cost $ 7sH she says. The problem isS old, Thompson contendB Prairie View suffers from l«fl| neglect. J “It’s not my intent tobrinfi’ View up to a first class univefl Texas A&M,” she saidinatiil interview last week. But sB Prarie View facilities shouldl class, as well as academic■ tion. A PROFESSIONAL MANAGEMENT AGENCY PRESENTS NOW LEASING FOR SUMMER & FALL ONLY PRIVATE BUS Docix Chene also has tennis and bcekettHtfl courts ana • swimming pool with a luxuriously furmshod deck PLANNED ACTIVITIES THROUGHOUT THE YEAR WITH ENTERTAINMENT. REFRESHMENTS AND PRIZES ALL YEARLONG NOT JUST ONCE A YEAR' Doux Chene oflers all this plus the nicest staff m town So do yourself a favor Stop by the Doux Chene Apert ments. and win all year round 693-1907 693-1906 WE’RE TRAVELIN YOURWAY! SE-hbr fed doux chene Apartments APARTMENTS N 2 bdrm, 1 bath. Some with fenced backyards. Washer/Dry er connections. Located on the Shuttle Bus Route. Walking distance to A&M. Now leasing for Summer and Fall. For Leasing Information Call 693-5196 Free Pregnancy Testing Pregnancy Terminations West Loop Clinic 2909 West Loop South 610 Houston, Texas 622-2170 Be The challenge from out 20 state in part seeks to guarai!*|“ Prairie View, and other b!fi leges, have not been treatefl ond class institutions iniB first-class system. Last summer Thompsona® Justice Department to join® tigation by the HEW in: (15 education in the state, spedT* - probe PUF policies. The legislator won’t say«® the HEW-Justice report, oiB she knows for sure. But earm legislative session she filed® four hills that would change® tion of the PUF in favor oijl0 View. She has not asked tliillf them be scheduled for heat® PRESCRIPTION STEREO 3602 OLD COLLEGE ROAD BRVAN. TEXAS 77801 "I have not pushed thoseIH cause the investigation repoi® in,” she said last week, WIH released, she hinted, theB government will be a much® position to change things. 0® office aides says that releastl|- be soon. President Miller saidTuei all he knows about the HE" is what he reads in the newsj _ Jhj “GRADUATION SPECTACULAR” All Jensen Speakers & Sanyo Tape Decks In Stock ON SALE! Monaco I (under new management and ownership) Magnificent, easy living can be found at Monaco I, with a swimming pool for a refreshing swim and balconies for a private visit with friehds. Monaco i also has efficiency, 1, 2, & 3 BR with a laundry room for your convenience. The apartments have electric range, refrigerator, disposal and dishwasher and are fully carpeted. For further information call 693-2614. All bills are paid. Installations Now Up To 66% OFF! For Installations, Call For Appointment 846-1393 But judging from what HI done in other states and tip guidelines, he is not optima “ We re going to have protl. Texas, he said. “I think it si®®® 35 40 4! assume they’re going to say® have enough blacks here, ar.:|k View doesn’t have enoughgrapl The only other problemsliceived by in duplication of programs, aversity Ft He would not predict »|g as an j s Texas would fight an unfayo® , port, as North Carolina isdoi® “Our position is we re goif* 13 * ende hold our standards and inltpotice th: an institution. If HEWrequbars on tJ instance, that the College ds, they ju neering or the medical schojj to Prairie View, then Texas® Miller didn’t know ho#R might affect construction pB the System, or the budget:^ “We don’t know yet, hes jgg&B? will take a great deal ofsti- board will have to evaluatetjT atTarelton, Prairie View anal services that are broughl R&R.“ Monaco II Beautiful Cedar Ridge A Nice Place To Live (under new management and ownership) Here's the spacious apartment you've been looking for. You'll like our 1 & 2 bedrooms, complete with electric range, refrigerator, disposal and dishwasher. Each apartment is fully carpeted and has fenced patio. We are located Vi block from campus and on the shuttle bus route. Call us today 693-2614. All Bills are paid. Now leasing for summer & fall. Posada (unaer new management and ownership) Quiet living with Spanish flair describes Posada Del Rey's atmosphere. You will find an apartment that is close to campus and on the shuttle bus route. For an afternoon swim or a relaxing evening on ■ the balcony, you'll like Posada Del Rey. We have 1, 2, and 3 bedrooms with gas ranges, refrigerators and dishwashers. Call us, 693-9364. All bills are paid. Pool and Laundry. RENT BY THE MONTH WE OFFER YOU Q'i4wayemmt jon/at/iuui' A “RoanTiq Ccnum " 2 Bdrm Unfurnished, All Built-Ins including Dish washer, Laundry Hook-Ups, $240. K Brand New Units Located on Finfeather Rd. North of Villa Maria. Convenient to TAMU tc the Bryan Golf Course, as well as the B- C t Business & Industrial area. ^ Just & BRY-CAL A PROFESSIONAL MANAGEMENT CO 846-3733 24 Hours BRYAN-COLLEGE STATION AUSTIN-PLEASANTON