Schedule  3

Lamar State College - Orange

Quarterly Investment Report

For the Quarter Ended May 31, 2004

Purchase

Maturity

Book Balance

Additions

Deductions

Book Balance

Market Balance

Investment Income

Agency/Description

Date

Date

2/29/2004

Purchases

Earnings

Returns

5/31/2004

5/31/2004

Current Quarter

FY-to-Date

Short-Term Investments (less than 1 year):

Pooled Investments

Discount Note - At Cost

Discount Note - At Market

TexPool - at Cost

2/29/2004

OPEN

$    6,038,897.48

$                   -

$    15,582.11

$   6,054,479.59

$    15,582.11

$       46,473.08

TexPool - at Market

$    6,038,897.48

$  6,054,479.59

Total Short-Term Investments

At Cost

$    6,038,897.48

$                   -

$    15,582.11

$                 -

$   6,054,479.59

$    15,582.11

$       46,473.08

At Market

$    6,038,897.48

$  6,054,479.59

Average Earnings Rate

1.05%

Benchmark Rate (See Note A)

0.81%

Over/Under Realization

0.23%

Note A:  The Benchmark Rate is 95% of the average 30-day T-bill rate,

on the first day of each month of the Quarter (from the Wall Street Journal)

Note B:   Balance of Fund 2 (0285-Local E & G) in State Treasury as of:

11/30/2003                    $ 1,399,004.94

02/28/2004                     $1,919,938.98

05/31/2004                    $ 1,874,979.98

08/31/2004