Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the University Endowment Custody topic
No spam. Unsubscribe anytime.
House committee hears bill to move custody of long-standing University of Missouri seminary fund to the university
Summary
A Missouri House committee held a public hearing on House Bill 1172, which would remove the Seminary Fund from current statutory custody arrangements and allow the University of Missouri to hold and administer the fund while preserving existing distribution limits.
A Missouri House committee on Monday held a public hearing on House Bill 1172, a measure sponsored by Representative Wilbert Haley that would remove the Seminary Fund from existing statutory custody arrangements and allow the University of Missouri to take custody and administer the fund.
Representative Wilbert Haley, sponsor of House Bill 1172, told the committee that the measure "is a short bill that will remove the seminary fund from the from our statutes that has to do with the University of Missouri." Haley said the change is intended to simplify administration because the fund’s statutory structure dates to the 1800s.
Sarah Anderson, managing director at the University of Missouri, told the committee the Seminary Fund "is created in the 18 hundreds. It is funded from proceeds from the sale of land grant that was initially delivered to the university in support of the creation of the university." Anderson said current practice splits custody and investment duties—custody held by the state treasurer’s office while the university directs investments—and the bill would simplify that arrangement by placing custody and investment administration with the university. Anderson said the university would continue to provide an annual report to the treasurer’s office so the treasurer can retain oversight.
Committee members focused on the fund’s size and restrictions. Representative Bromley asked, "Can you give us a magnitude of how much money is in this fund? If, what is the fund currently used for?" Anderson replied that the principal is fixed at $4,000,000 and that "all we can distribute is the income from it," adding that distribution amounts are set and cannot be changed. She also said the endowments supported by the fund are "mostly agricultural based endowments" and offered to provide a detailed list to committee members.
Representative Bridal asked for the additional information as well, saying the committee would likely see the bill again and that members would appreciate the breakdown.
No formal motion or vote occurred during the hearing. After witnesses finished, the committee chair closed the hearing on House Bill 1172.
The committee also noted one bill on next week’s calendar and indicated that, if no Senate bills are referred, hearings may be light next week.
