Trustees meet, approve real estate deal

The University Board of Trustees approved the acquisition of 16 properties north of campus at its monthly meeting Friday. The properties -- located on the 3900 block of Chestnut Street, the 3900 and 4000 blocks of Sansom Street and the 100 block of S. 39th Street -- include 115 residential units and three commercial units, according to Executive Vice President John Fry. The University will maintain the buildings as residences, turning management over to a realty company. Current owners Arnold and Constance Pagano will give the properties to the University in exchange for a gift annuity totaling $1,950,000. The annuity will provide the Paganos with a specific amount of money each year. The acquisition will be funded by internal University resources and the assumption of outstanding mortgage loans from some of the properties, according to a report by Board of Trustees Vice Chairperson Susan Catherwood. The Trustees also approved a resolution to establish the positions of lecturer and senior lecturer in the foreign language departments of the School of Arts and Sciences. The positions are designed to slow the turnover rate of language teaching staff and allow for the naming of a larger number of teachers in the departments. The resolution marks the end of a debate between the Faculty Senate and SAS about the hiring of non-standing faculty for continuous service. During Friday's meeting, the Trustees also approved a $200,000 grant from the Fannie E. Ripple Foundation to be used by the Medical Center and Health System toward the institution of a Photodynamic Therapy of Ovarian Cancer research program. At the Trustee Committee on Budget and Finance meeting earlier Friday, Vice President for Finance Stephen Golding reported that the University spent $115 million on capital projects and equipment during the 1995-1996 fiscal year. He said the University received $4.2 million less than the budgeted amount for graduate student tuition because fewer students than planners had expected to enroll did so. But investment income yielded $3.3 million more than the budgeted amount, due to better interest rates and higher balances than planned. At the end of the fiscal year, the University recorded a debt of $935 million -- $281 million incurred by the University and $653 by Health Services, Golding said. A full financial report will be presented at the Trustees' stated meeting in November, according to Fry, who said current financial statements indicate "better than break-even performance." The Trustees met with University President Judith Rodin and Provost Stanley Chodorow in closed meetings Wednesday and Thursday, where they were briefed on the five-year Agenda for Excellence program. Board of Trustees Chairperson Roy Vagelos said the Trustees "received the plan enthusiastically." Daily Pennsylvanian staff writers Scott Lanman and Ali Feen contributed to this report.

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