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building alteration and modification costs requested in the Repair and Restoration account.

The Repair and Restoration account itself was cut $19,165,000. As noted, $3,200,000 was shifted to Construction, and of the $2,000,000 requested for administrative support, approximately $1,300,000 was shifted to Salaries and Expenses. Details on the priorities for use of the Repair and Restoration and Construction accounts can be found elsewhere in the Regents' agenda.

House budget hearings were held on March 22, 1988 and Senate budget hearings were held on March 30, 1988. At the House hearing, there was extensive discussion of affirmative action and wider audience issues, with each bureau director called upon to make a status report, and considerable dialogue concerning the future of the Anacostia Museum. Chairman Yates requested that the Secretary report on developments surrounding these issues in approximately six months. The Senate hearing was relatively brief and focussed on facilities development, maintenance and security issues.

[[underlined]] -- Nonappropriated Trust Funds: [[/underlined]] No adjustments have been made to the fiscal year 1989 budget previously approved by the Regents. Of note, as potentially affecting projections, is the award of a matching grant from the Andrew W. Mellon Foundation to the Center for Asian Art. The total award amount is $300,000; it requires a two-to-one match. Funds would be used to establish an endowment for scholarly publications.

[[underlined]] Other Matters [[/underlined]]

[[underlined]] -- National Museum of African Art Properties: [[/underlined]] A hearing will be held on May 18, 1988 before the Board of zoning Adjustment. The Board will be deciding whether to approve the request by the National Association for Home Care for the special exception needed to use four of the nine buildings as offices. The National Association for Home Care has a contract with the Smithsonian Institution for purchase of the aforementioned properties contingent upon zoning approval. Their request fits within the technical requirements for a special exception under zoning laws and regulations which allow some nonprofit office use within residential areas. A decision is expected in June or July.

[[underlined]] -- National Zoological Park Front Royal Properties: [[/underlined]] As approved by the Regents at their September 1986 meeting, negotiations on the purchase of two parcels of land which fall within the natural boundaries of the existing Front Royal (NZP) property have been completed. A contract for the purchase of the larger parcel (approximately five acres and a house) has been signed with Dennis Stanford, a Smithsonian employee, and his former wife, owners of the property. The purchase price is $130,000. Funds were previously earmarked for this purpose. The settlement date will be no later than May 31, 1988. Closing on the smaller parcel, also owned by a Smithsonian staff member, occurred in December 1987 at a cost of just under $14,000.