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<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>It is time to collect any projects you may
wish to submit the first series 2007 of REAL PROPERTY Projects.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Business Officers,<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Attached is the application packet for submission of <i><u><span
style='font-style:italic'>real property</span></u></i> projects to be financed
under the expanded Master Lease Program authority created by the State
Legislature in May of 2005. You will recall that the parameters authorized
in the legislation state that projects must be valued at a minimum of $50,000
up to a maximum of $25 million and have a useful life of no more than 30 years.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>We will be collecting your submissions beginning <font
color=navy><span style='color:navy'>February </span></font>1st through <font
color=navy><span style='color:navy'>February</span></font> 15<sup>th</sup>.
Bond Counsel will then analyze your information and determine eligibility of
your projects for participation in the submission to the State Regents at their
<font color=navy><span style='color:navy'>March 28th</span></font>
meeting. It is expected that funding would be available in <font
color=navy><span style='color:navy'>late May</span></font>.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The next round of Real Property submissions is tentatively
scheduled for the January timeframe with funding available in May. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Bond Counsel will analyze carefully all the factors that
could impact an issuance and may require additional information based upon your
initial application questionnaire. If this is necessary we will be in
contact with you.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Please let me know if you have additional questions and
please return an application worksheet(s) for any real property projects you
wish to submit for consideration before or by <font color=navy><span
style='color:navy'>February 15</span></font>, 200<font color=navy><span
style='color:navy'>7</span></font>.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The attached appendix is to provide additional information
to help educate you to the aspects of private use/management contracts and
research agreements and their impact on bond issuances. This is included
for informational purposes only.<o:p></o:p></span></font></p>
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