Baird, Kurtz & Dobson
City Center Square
1100 Main Street, Suite 2700
Kansas City, MO 64105-2112
816-221-6300 Fax 816-221-6380
www.bkd.com
Independent Accountants
To the Board of Directors of
UMB Scout Bond Fund, Inc.
and
the Securities and Exchange Commission:
RE: UMB Scout Bond Fund, Inc.
Form N-17f-2
File Number 811-3558
We have examined management's assertion about UMB SCOUT BOND FUND,
INC.'s (the "Company's") compliance with the requirements of
subsections (b) and (c) of Rule 17f-2 under the Investment Company Act
of 1940 (the "Act") as of January 31, 2000, included in the
accompanying Management Statement Regarding Compliance with Certain
Provisions of the Investment Company Act of 1940. Management is
responsible for the Company's compliance with those requirements. Our
responsibility is to express an opinion on management's assertion
about the Company's compliance based on our examination.
Our examination was made in accordance with standards established
by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about the
Company's compliance with those requirements and performing such other
procedures as we considered necessary in the circumstances. Included
among our procedures were the following tests performed as of January
31, 2000, with respect to securities of UMB SCOUT BOND FUND, INC.,
without prior notice to management:
- - Confirmation of all securities held by the Federal Reserve Bank
of Kansas City, The Depository Trust Company, Participants
Trust Company, Brown Brothers Harriman & Co. and Euroclear in
book entry form;
- - Reconciliation of all such securities to the books and records
of the Company and the Custodian;
- - Confirmation of all repurchase agreements with brokers/banks
and agreement of underlying collateral with custodian records.
We believe that our examination provides a reasonable basis for our
opinion. Our examination does not provide a legal determination on
the Company's compliance with specified requirements.
In our opinion, management's assertion that UMB SCOUT BOND FUND,
INC. was in compliance with the requirements of subsections (b) and
(c) of Rule 17f-2 of the Investment Company Act of 1940 as of January
31, 2000 with respect to securities reflected in the investment
account of the Company is fairly stated, in all material respects.
This report is intended solely for the information and use of
management UMB SCOUT BOND FUND, INC. and the Securities and Exchange
Commission and is not intended to be and should not be used by anyone
other than these specified parties.
BAIRD, KURTZ & DOBSON
Kansas City, Missouri
April 10, 2000
Member of
Moores
Rowland
International
<PAGE>
Washington, D.C. 20549
FORM N-17f-2
Certificate of Accounting of Securities and Similar Investments
in the Custody of Management Investment Companies
Pursuant to Rule 17f-2 [17 CFR 270.17f-2]
1. Investment Company Act File Number: Date examination completed:
811-3558 January 31, 2000
2. State Identification Number:
AL *
AK 00 02060
AZ S-
0033492-QUAL
AR 85-
MO995-01
CA 504-
5891
CO IC-91-
02-933
CT SI45570
DE 8680
DC *
FL *
GA 56-
002876
HI *
ID 48841
IL 9944102
IN 85-0449
IC
IA I-19076
KS
83S000
0725
KY M34790
LA 66063
ME 0-6827
MD SM980019
MA 989277
MI 227117
MN R-
28089.1
MS MF-98-
01-006
MO Q-MT-
1289
MT 9201
NE 30298
NV *
NH *
NJ *
NM 695881
NY S 27 53
22
NC *
ND U557
OH 15243
OK SE-
321697
OR 98-0080
PA 87-08-
114MF
RI *
SC
MF1122
5
SD 10195
TN RM98-
3641
TX C 39434
UT 006-6364-
13
VT
1/16/98
- -21
VA 2610
WA C-
57911-e
WV MF-24125
WI 341390-
03
WY 20517
PUERTO
RICO
Other (specify):
*Indicates Fund is registered in state but state does not issue
identification numbers
Securities in the UMB Scout Funds Combined Prospectus included on
one Notice Filing (Balanced Fund, Bond Fund, Capital Preservation
Fund, Kansas Tax-Exempt Bond Fund, Money Market Fund, Regional
Fund, Stock Fund, Stock Select Fund, Tax-Free Money Market Fund,
Worldwide Fund, Worldwide Select Fund)
3. Exact name of investment company as specified in registration
statement:
UMB Scout Bond Fund, Inc.
4. Address of principal executive office: (number, street, city, state,
zip code)
700 Karnes Boulevard, BMA Tower, Kansas City, Missouri 64108
INSTRUCTIONS
This Form must be completed by the investment companies that have
custody of securities or similar investments.
Investment Company
1. All items must be completed by the investment company.
2. Give this Form to the independent public accountant who, in
compliance with Rule 17f-2 under the Act and applicable state law,
examines securities and similar investments in the custody of the
investment company.
Accountant
3. Submit this Form to the Securities and Exchange Commission and
appropriate state securities administrators when filing the
certificate of accounting required by Rule 17f-2 under the Act and
applicable state law. File the original and one copy with the
Securities and Exchange Commission's principal office in
Washington, D.C., one copy with the regional office for the region
in which the investment company's principal business operations are
conducted, and one copy with the appropriate state
administrator(s), if applicable.
THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT
Note: The estimated average burden hours are made solely for purposes
of the Paperwork Reduction Act, and are not derived from a
comprehensive or even a representative survey or study of the costs
of SEC rules and forms. Direct any comments concerning the accuracy
of the estimated average burden hours for compliance with SEC rules
and forms to Kenneth A. Fogash, Deputy Executive Director, U.S.
Securities and Exchange Commission, 450 Fifth Street, N.W.,
Washington, D.C. 20549 and Gary Waxman, Clearance Officer, Office of
Management and Budget, Room 3208 New Executive Office Building,
Washington, D.C. 20503.
<PAGE>
Management Statement Regarding Compliance with
Certain Provisions of the Investment Company Act of 1940
We, as members of management of UMB Scout Bond Fund, Inc. (the
"Company"), are responsible for complying with the requirements
of subsections (b) and (c) of Rule 17F-2, "Custody of Investments
by Registered Management Investment Companies," of the Investment
Company Act of 1940. We are also responsible for establishing
and maintaining effective internal controls over compliance with
those requirements. We have performed an evaluation of the
Company's compliance with the requirements of subsections (b) and
(c) of Rule 17f-2 as of January 31, 2000 and from June 30, 1999
through January 31, 2000.
Based on this evaluation, we assert that the Company was in
compliance with the requirements of subsections (b) and (c) of
Rule 17f-2 of the Investment Company Act of 1940 as of January
31, 2000 and from June 30, 1999 through January 31, 2000, with
respect to securities reflected in the investment account of the
Company.
UMB SCOUT BOND FUND, INC.
By /s/Ralph R. Santoro
Ralph R. Santoro, Senior Vice President
