Physical Plant Carries Heavy Deficit

VOLUME Llll, NUMBER 2 DREXEL TRIANGLE, PHILADELPHIA, PA. FRIDAY, OCTOBER 3,1975 Fire Damages Drexel Lodge Faulty Repair Worli Blamed By Olena Stercho The Drexel Lodge, located on West Chester Pike in Square Fire Dept, commented, ‘‘It was lucky the Newtown Square, sustained $2.000-$3,000 damage in a caretaker was home. If another ten minutes tiad gone basement fire on September 21. The fires was caused by, the building would have been burned to the by a faulty seal on the fuel pump in the oil burner, ground.” The lodge is a 50 year old wooden structure. which permitted the fuel to leak. The burner backfired, Fortunately, the Newtown Square fire truck con setting off the fire alarm at 8:56 PM. The caretaker, tained enough water to put out the blaze. The nearest John Moniot, and his wife were on the premises and fire hydrant is a mile away, which fits legal called the Newtown Square Fire Department, which specifications since the lodge is located in a rural zone. was assisted by the Broomall Fire Department. According to the Newtown Square Fire Department, water could be pumped from the pond on the property According to Moniot, the fire took two hours to quell in the event of a serious blaze. However, a pump would because heavy smoke had to be released from the have to be set up at water’s edge, since the pond is building before firemen could enter the structure. John located some 500 ft. from the building at a 35 ft. drop. Lucke, Manager of Custodial Activities, Physical The Newtown Square Fire chief remarked that a Plant, reported that the basement suffered extensive hydrant in the lodge grounds would be good smoke damage while the rest of the building was precautionary measure, particularly since the pond is spared substantial damage. A recreational area and a drained during the winter months to discourage ice shop, along with storage space for maintenance skaters. equipment are located in the cellar. Lucke, whose department oversees the lodge’s A repairman from Smith and Boyd had been at the physical maintenance, said that he expected it to open lodge the same afternoon to fix the defective pump on by the end of the week. The building and surrounding the burner. Apparently, it had not been sealed properly. property are frequently used for faculty, student and According to Lucke, the university is expected to file administration functions. It can be rented by con claim with the company’s insurance carrier for the tacting Col. Lewis Conway, Director of the Creese extent of damages incurred. Smith and Boyd also Student Center. Incidentally rental fees just went up. services Drexel’s on-campus buildings. According to Lucke, “The lodge hasn’t paid for itsdf Cleaning up in kitchen of Drexel Lodge The fire alarm system had been installed in the lodge and even with the raised rates it isn’t going to. I don’t six months ago. However, it does not connect to any know how much longer the university will be able to after fire erupts in basement on Sunday. central location. A spokesman from the Newtown maintain it.” Drexe/'s Budget Physical Plant Carries Heavy Deficit is that it is a long term contract mortgages, $700,000 is short term by Karl Schaeffer obligation for buildings that an bank loans and $1.6 million owed The latest in a series of organization is paying for. The internally. President’s meetings on the budget capital debt is the money still The Creese Student Center, Kelly concerned the subject of Drexel’s owed on buildings whether it be Hall and Calhoun Hall were capital debt. The purpose of these mortgage bonds or long term state financed by long term bonds. The amount payed yearly on these series of meetings is to explain leases. bonds is about $244,000. Nesbitt is what goes into the making of Drexel’s capital debt is not financed by a mortgage which is Drexel’s operating budget from considered part of the operating paid monthly but in a year’s time year to year. The meetings are budget, but has to be considered in totals to about $236,000. The bonds attended by various administrators the overall financial planning from and mortgages were financed at a 3 year to year, since it is money that Parking Garage proves to be a loss to Drexel has to be paid out. 1/ 2% interest rate. Drexel’s physical plant is carried ' In addition to the facilities in on the accounts with a cost of $37 Drexel’s account the University million. This includes equipment, utilizes several General State Garage Looses ‘75,000 $1.5 million in leases, $5.4 million in Authority buildings. These land and $0.5 million in other assets. buildings are valued at $26.7 The $21.9 million figure for the million. The GSA leases are 30 buildings is the “aquisition cost” or years in length, at the end of 30 Term Fee Rises To *50 the price it cost to put up the years Drexel owns the buildings. By Olena Stercho rise, before it is financially un building. If the cost of the buildings Annual contractual payments are feasible for students to purchase were listed at current market required on 3 GSA buildings which As the result of annually reoc stickers. Myers added that car value, it would probably be in the total $1.6 million. These buildings curing losses on the Drexel parking purchases are few because of both range of $100 million. are the Garage, the EAC, and the garage, the fee for a term sticker students’ and faculty schedules. new gym. These buildings are has risen to $50, effective today. For some, it simply does not pay to As of June 30, 1975, the liabilities financed by state bonds at an 8% According to Harold Myers, Vice- buy a sticker, since its value will Harold Myers against the physical plant were interest rate. The other three GSA President and Treasurer, the not be fully used, while it may be about $1.6 million. $7.3 million and the deans of the colleges. Continued on page 18 garage has not been paying for worthwhile to purchase tokens for a consisted of long term bonds and A basic definistion of capital debt itself, producing the university a daily fee of $1. $75,000 loss last year. The garage, constructed three The parking facility has been years ago, is currently under lease Proposed ExpMsion Brings Ldwsuit experiencing increasingly declining to Drexel by the General State neighborhood, despite the op residents position may be a key usage by card holders. Only 38 Authority (GSA). At the end of 28 By Dennis Myers parking stickers have reportedly years, the GSA will turn over the position of residents. factor in the judges decision. been sold this term, while two years facility to the university. In the The EPCR first filed an ad The suit is only a part of the long Drexel’s fight with the East ago, 242 were purchased during the meantime, Drexel must make ministrative complaint with HUD, battle the residents have oeen Howelton Concerned Residents same period. Myers pointed out, annual debt amortization payments charging that federal law and waging against Drexel and the iKPCH) is now in Federal District however, that although there has of $305,000 to cover the garage’s regulations^ had not been followed, HDA. The citizens don’t believe that Court. In July of this year Drexel been a marked decrease in sticker 3.846 million dollar cost of con because there had been no citizen there is justification for Drexel’s lx‘titioned to become a defendant in sales, day-to-day token usage has struction. Myers commented that participation in the planning for the plan to demolish all the homes in suit brought by the EPCR against risen. inflation has ironically eased the community. This complamt was the area. Some of the residents are U.S. Department of Housing “ 1 don’t anticipate an increase in burden of these amortization made in 1972, but after waitmg for a the original owners although the ‘‘iid Urban Development and the the purchase of term cards,” Myers payments, since they stay at the year and a half for action the RDA owns them now and HUD l*liiladelphia Kedevelopinent said, “ In fact, I wouldn’t be sur same level despite inflationary citizen group filed suit in federal provides funds for urban expansion. authority. The suit involves the courtin 1974. This is the same su. in Back in 1970 an injunction was prised if sales fell.” He believes pressure. pai cel of land extending from 33rd that the gross underutilization of To offset some of the losses on the which Drexel is now involved. It is issued restraining the resident from :Hlh street, from Chestnut to the 475-car capacity garage is due parrking structure, Drexel has been scheduled to be decided in blocking the demolition of 10 homes 1'owi‘lton Avenue. This is a key to a marketing problem. The ad selling stickers to Unicoll em November of this year. An en in the 3300 block of Lancaster ministration is now testing how ployees for $65 a term. Myers area in Drexel expansion plans for vironmental impact study done by Avenue. The new gymnasium now high the fee can be permitted to a new dormitory. Drexel plans to h u d which is supposed to favor the occupies this site. Continued on page 18 ‘U'lnolish all the homes in this DREXEL TRIANGLE Pige 2 - OctobfT 3, 1975 ANNOUNCEMENTS Maya will have a nice meeting, refresh Hillel ments will be served.

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