HomeMy WebLinkAbout2002-04-08 02-167 ORDINANCEItem No. 02-167
Date: April S. 2002
Item/Subject: ORDINANCE, Amending the Code of the City of Bangor, § 45-9 -- Sophia
Kirstein Student Loan Fund
Responsible Departmal Legal
In 1926 the Kirstein family created the Sophia Klrstein Student Loan Fund, giRing $10,000 to the City of
Bangor for the fund. The City Council accepted the gHt and enacted what is new § 45-9 of the Code of
the City of Bangor, Sophia Klrsteln Student Loan Fund.
The ordinance provided that the money from the fund would be loaned to worthy boys and girls of the
City of Bangor to help finance their education. A Board of Trustee; was appointed to manage the fund.
At the March 11, 2002 meeting of the Board of Tn6tees, it was unanimously voted to ask the City to
amend the ordinance to change It from a loan fund to a scholarship fund. Because of the ones Involved
in colleNan loans, Me Board of Trustees has determined that it is net financially feasible to operate the
fund as a student loan fund. The current balance of the fund Is approximately $124,000.
The Board will continue to use the same cdteda for the granting of scholarships as trey did for the
granting of loans.
D
Managers Comments: I N^a^U
City Manager
Associated Information:
Budget Approval:
Finance Director
Inuced for
vassage
First Reading page 1 of 3
Refemal
02-162
ro
Anigned ro Councilor Treble April 8, 2002
aN
CITY OF BANGOR
(TITLE.) ORDINANCE, Amending the Code of the Civ of Rancor. S 45-9
-- Sophia K'rstein Student Loan Fund
Be If Gid~ by th MyClaunc9affae Cffyrle` a ,, asl;Pha :
WHEREAS, in 1926 the City Council of the City of Bangor accepted a gift of $10,000 from the
Kniumin family for the Sophia Kirstein Student Loan Fwd; and
WHEREAS, pursuant to the wishes of the Kirstein family, the fund has been used to give loans
to students of the City of Bangor or help finance their education; and
WHEREAS, because of costs involved in collecting loans Ne Board of Trustees of the Sophia
Khania Student Loan Fund bas determined that it is no longer financially feasible; and
WHEREAS, the Board of Trustees of the Sophia Kustem Student Loon Fund has requested that
it be permitted in give scholarships from the fund, rather than loans,
NOW, THEREFORE, the Code of the City of Bangor, § 45-9 is amended as follows:
§45-9. Sophia Khstein Student loan Scholarship Fund
The fond of $10,000 heretofore donated for the creation of a memorial to
Sophia Kirstein, and to be known and designated as the "Sophia Kirstein
Student faen Scholarship Fund', shell he forever held in trust by said city
in the manner and for the objects hereinafter provided.
A. Use of hand. The principal and interest of this fund is to be leas,A
used for scholarships to worthy boys and girls of the Cityof Bangorm help
finance theta education. stay boy or girl who has been a resident of the City
of Bangor for three years prior to time application for lean a scholarship is
made and who is a resident of said city at the time he or she makes application
may apply to the Trustees for a leen scholarship from this fund.
B. Administration and reinvestment of fond. The administration and
reinvestment of this fund is left entirely to the Trustees, subject to certain rules
and regulations which have been submitted by the donors and which have been
ratified by ation of the City Council.
C. Council members not eligible for board membership. No member of
the City Council shall be eligible to the office of a member of this Brand, and
02-16)
the election to the City Council ofarry member of the Trustees shell
create a vacancy in said (bard, and arty sensory arising in said Board
shall, for fro unexpired term, be filled in the mmmr above presented by
the City Council.
D. Trustees swom in office. The Trustees shall be swom to the
fa'thful performance of their duties under the limit and shall receive no
compensation therefor.
E. Charter provisions. Trustees shall be appointed as provided for
by Section 13, Article V of the City Charter.
F. Approval of Trustees for investments. The City Treasurer shall
make no investments of or expenditures of my portion of said income
without the approval of said lord of Trustees.
G. Chair appointed. Upon appointment, said Trustees will elect from
their number one member as Chair for a term not in exceed sic years. Said
Trustees are in have power to receive funds or property, an be held in trust,
from any source where such funds or property is given for the advancement
of education or for my city improvement or betterment. (See down's
suggestion filed in office of the City Clerk)
H. Annualreportto CityCouncil: Said BoardofTrusteesshall
annually present to the City Council, at the close of the municipal year, a
report of its action muter said tmst, with a specific statement of all receipts
and disbursements on ancient of said principal income for the year ending,
hrofar as said statement can be made wiNout disclosing the mares of the
borrowers.
Note: Deletionsarelinedfirrengh andaddtionsveunderlined.
IN Gin cOYNCIL
April N. 2002
First gassing
Referred to
Finance Comittee
I CLNBH
IN CITY CrAll
April 22, 2002
Motion Made and Seconded
for Passage
Vote: 9 yes
Councilors voting yes: Allen.
Haldacci. gravity. Farah®.
Farrington, Nealley. Palmer.
foramen S Tremble
Passed
CLTY CLIuuK V
# 02-167
O ROINANCR
(TITLE,) Amending the Code of the City of
Rangor. §45-9—Sophia Kirstein Studeast
Loan Fund (First Reading)
Assigned! to Councilor _