University of Virginia Library

EXHIBIT A
PROCEDURES FOR ACQUISITION AND DISPOSITION OF REAL ESTATE
AS ENDOWMENT ASSETS

I. ACQUISITION OF REAL PROPERTY FOR THE ENDOWMENT[2]

1. By gift

• (a) Before accepting a gift or real estate, the Vice President for Business and Finance will:
  
  • (1) Obtain two appraisals of the property.
  • (2) Decide whether the property should be placed in the endowment, accepted for other purposes or rejected.
  • (3) Develop a written plan for retention or disposition of the property, which plan, as it may be revised from time to time, will accompany the recommendations that follow.
• (b) The recommendation of the Vice President for Business and Finance, with the advice of the Legal Adviser, will be submitted to the President for approval.
• (c) The President's recommendation will be submitted to the Finance Committee of the Board for its review and recommendation to the Board of Visitors for approval.
• (d) The Board of Visitors' decision, if to accept the gift, will be submitted to the Division of Engineering and Buildings for its review, and for approval by the Governor or his delegate under Section 2.1-507 of the Code of Virginia.

2. By devise

• (a) After receiving a devise of real estate, the Vice President for Business and Finance will:
  
  • (1) Obtain two appraisals of the property.
  • (2) Decide whether the property should be placed in the endowment or retained for other purposes.
  • (3) Develop a written plan for retention or disposition of the property, which plan, as it may be revised from time to time, will accompany the recommendations that follow.
• (b) The recommendation of the Vice President for Business and Finance, with the advice of the Legal Adviser, will be submitted to the President for approval.
• (c) The President's recommendation will be submitted to the Finance Committee of the Board for its review and recommendation to the Board of Visitors for approval.
• (d) The Board of Visitors' decision, if to retain the devise, will be submitted to the Division of Engineering and Buildings for its review, and if the Governor so directs, the devise will be disclaimed pursuant to the appropriate statutes.

3. By purchase

• (a) Before purchasing real estate as endowment assets, the Vice President for Business and Finance will:
  
  • (1) Obtain expert advice as to whether the real estate should be acquired and to assist in the University's development of a written plan for management of the property. The plan, as it may be revised from time to time, will accompany the

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    recommendations that follow.
  • (2) Obtain two appraisals of the property.
• (b) The recommendation of the Vice President for Business and Finance, with the advice of the Legal Adviser, will be submitted to the President for approval.
• (c) The President's recommendation will be submitted to the Finance Committee of the Board for its review and recommendation to the Board of Visitors for approval.
• (d) The Board of Visitors' decision, if to purchase the property, will be submitted to the Division of Engineering and Buildings for its review, and for approval by the Governor or his delegate under Section 2.1-507 of the Code of Virginia.

II. DISPOSITION OF REAL PROPERTY IN THE ENDOWMENT

1. Before disposing of real property, two appraisals will be obtained and the University will obtain expert advice as to whether the property should be disposed of, and for assistance in the University's development of a written plan for disposition of the property. This plan will examine different alternatives (including, e.g., sealed bids, public auction, listing with realtors, and negotiation) and their suitability for the proposed disposition. The plan, as it may be revised from time to time, will accompany the recommendations that follow.

2. The recommendation of the Vice President for Business and Finance, with the advice of the Legal Adviser, will be submitted to the President for approval.

3. The President's recommendation, if to dispose of the property, will be submitted to the Finance Committee of the Board for its review and recommendation to the Board of Visitors for approval.

4. The University's acceptance of any offer for the purchase of the property shall be contingent upon review by the Division of Engineering and Buildings and approval by the Governor. Any offer which the University accepts for the purchase of the property shall be reviewed by the Division of Engineering and Buildings and approved by the Governor. Any deed executed by the University shall be submitted for review by the Division of Engineering and Buildings and for approval by the Governor, pursuant to Section 23-77.1 of the Code of Virginia.