Board of Visitors minutes :: February 20, 1960 :: University of Virginia Library

SECTION 2.01. Pursuant to the authority contained in Chapter 3, Title 23 of the Code
of Virginia, 1950, as amended, and pursuant to the Loan Agreement, there are hereby authorized
to be issued One Hundred Fifty Thousand Dollars ($150,000) principal amount of "Clinch Valley
College Faculty Housing Bonds of 1958" of The Rector and Visitors of the University of Virginia,
to finance the Costs of the Development of the Project. Except as provided in Section 2.02
hereof, said Bonds shall be Coupon Bonds in the denomination of One Thousand Dollars ($1,000)
each, numbered from M1 to M150, inclusive, registrable as to principal only, dated November 1,
1958, and shall mature serially in numerical order on November 1 in each of the years and in
the amounts as follows

Years	Annual Amount
1960 to 1965, inclusive	$2,000
1966 to 1977, inclusive	3,000
1978 to 1986, inclusive	4,000
1987 to 1992, inclusive	5,000
1993 to 1998, inclusive	6,000

Said Coupon Bonds shall bear such rate or rates of interest, payable semi-annually on
May 1 and November 1 in each year, as shall be hereafter determined by the Treasury Board upon
the sale of the Bonds, pursuant to the provisions of Section 10.04 hereof.

Principal of, the premiums, if any, and the interest on the said Coupon Bonds shall be
payable at the principal office of the Treasury Board of the State of Virginia, Richmond, Virginia,
or, at the option of the Holder, at The Chase Manhattan Bank, in the Borough of Manhattan,
City and State of New York, in any coin or currency which, on the respective dates of payment of
such principal, interest and redemption premium, if any, is legal tender for the payment of
debts due the United States of America.

SECTION 2.02. In the event that the Government shall purchase all or any part of the
Bonds, the Board, at the option of the Government, or at the option of other purchasers, if
any, shall issue, through the Treasury Board, in lieu of Coupon Bonds, Registered Bonds with
face values in the amount of the respective purchases. Such Registered Bonds shall be numbered
from R1 upwards, and shall be dated November 1, 1958. Interest upon the principal amount of
said Registered Bonds, or upon the balance of the said principal amount from time to time remaining
unpaid, shall be payable semi-annually on May 1 and November 1 in each year at such
rate or rates as shall hereafter be determined by the Treasury Board upon the sale of the Bonds
pursuant to the provisions of Section 10.04 hereof.

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The Principal of, or any installment of the principal of, Registered Bonds, the premium
thereon, if any, and the interest thereon shall be payable at such place and in such manner as shall
be directed by the purchaser. Such payments, except the final payment, shall be made by the Board
through the Treasury Board without presentation or surrender of the Registered Bond to any Paying
Agent, but such payment shall be noted upon the Registered Bond by the owner thereof, or by any
other authorized designee of the owner, on the Payment Record attached to and made a part of the
said Registered Bond, provided, however, that if the owner of a Registered Bond originally issued
pursuant to the preceding paragraph shall assign the same, the assignee shall surrender same to
the Treasury Board either for exchange for a new Registered Bond in the unpaid principal amount of
the Registered Bond, or for a verification of the payments noted upon the said Payment Record, and
thereafter all payments of principal, premiums, if any, and interest on such Registered Bond shall
be made only upon the surrender thereof to the Treasury Board for the notation of said payments upon
the said Payment Record.

Before any Registered Bond shall be issued pursuant to this Section 2.02, evidence of the
non-liability of the Board for payment of accrued interest for the period prior to the interest payment
date next preceding the date of delivery of the Registered Bond shall be noted by the Treasury
Board upon the Payment Record attached to and forming a part of the Registered Bond.

The Board hereby covenants and agrees that it will, at its sole expense, upon ninety (90)
days' written request from the Registered Owner of any Registered Bond, to the Treasury Board, and,
upon the surrender thereof to the Treasury Board, deliver in exchange for such Registered Bond
Coupon Bonds payable to bearer, registrable as to principal only, in the denomination of One
Thousand Dollars ($1,000) each, in an aggregate principal amount equal to the principal amount,
then unpaid, of any such Registered Bond and having maturities corresponding to the maturities of
the principal installments, then unpaid, of the Registered Bond and having annexed thereto coupons
maturing after the date to which interest on such Registered Bond has been fully paid, in the form
hereinafter in this Resolution set forth.

SECTION 2.03. All Bonds issued hereunder shall be executed in the name of the Board by
its President, and the corporate seal of the Board shall be thereunto affixed and attested to by
the Secretary of the Board. The coupons to be attached to the Coupon Bonds shall be authenticated
by the facsimile signature of the said President. In case any of the officers who shall have
signed, attested or sealed any of the Bonds or interest coupons shall cease to be such officer
before the Bonds and interest coupons so signed, attested or sealed shall have been actually issued
and delivered, such bonds and interest coupons shall be valid, nevertheless, and may be issued by
the Board through the Treasury Board to the same effect as though the person who signed, attested
or sealed such bonds or interest coupons had not ceased to be such officer. Such officers may sign the
Bonds, or the facsimile signature of any President of the Board may authenticate the interest coupons
appertaining to the Coupon Bonds, although said Bonds are dated prior to their or his assumption of
office.

SECTION 2.04. The proceeds derived from the sale of the Bonds shall be disbursed by the
State Treasurer as follows

(1) There shall be deposited in the Project Revenue Fund Account for allocation to the
Bond and Interest Sinking Fund Account, created under Article IV hereof, the amount equal to
the accrued interest received upon the sale of the Bonds.

(2) After making the deposit directed in the preceding paragraph, the balance of said proceeds
shall be applied by the State Treasurer to the payment of that certain note of the Board
of Visitors, University of Virginia, dated May 12, 1958, and payable to the State Treasury,
said note evidencing a loan from the Commonwealth to the University for the purpose of advancing
funds with which to pay the Costs of the Development of the Project.

(3) If the Costs of the Development of the Project are less than $150,000. then in such
event the difference between the Costs of the Development of the Project and $150,000. shall
be promptly transmitted to the State Treasurer and shall (to the extent that such amount shall
be sufficient to redeem or prepay multiples of $1,000. principal amount of the Bonds) be
promptly applied by the State Treasurer to the redemption of Bonds or prepayment of portions
of fully registered Bonds then outstanding at the principal amount thereof and accrued interest
to date of redemption or prepayment. Any such balance in an amount less than $1,000. shall be
deposited in the Bond and Interest Sinking Fund Account created under Article IV.

SECTION 2.05. The Board shall cause to be kept, at the principal office of the Treasury
Board, books for the registration and transfer of Bonds in the manner provided therein so long as
any of the Bonds shall remain outstanding. The Board and the Treasury Board may treat the bearer
of any coupon, the bearer of any Bond which shall be registered to bearer, or which shall not at
the time be registered, and the Registered Owner of any Bond which shall at the time be registered
other than to bearer, as the absolute owner of such coupon or Bond for all purposes, and neither
the Board nor the Treasury Board shall be affected by any notice to the contrary.