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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
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]
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1. Investment Company Act File Number: Date examination completed:
811-6404, 811-6640, 811-7444, 811-7838 April 7, 2000
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2. State identification Number:
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AL AK AZ AR CA CO
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CT DE DC FL GA HI
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ID IL IN IA KS KY
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LA ME MD MA MI MN
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MS MO MT NE NV NH
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NJ NM NY NC ND OH
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OK OR PA RI SC SD
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TN TX UT VT VA WA
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WV WI WY PUERTO RICO
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Other (specify): N/A - These are closed-end funds and are traded on an exchange
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3. Exact name of investment company as specified in registration statement:
American Strategic Income Portfolio Inc.
American Strategic Income Portfolio Inc. II
American Strategic Income Portfolio Inc. III
American Select Portfolio Inc.
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4. Address of principal executive office (number, street, city, state, zip code):
601 Second Ave South
Minneapolis, MN 55402
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INSTRUCTIONS
This Form must be completed by 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
SEC 2198 (11-91)
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Report of Independent Accountants
To the Board of Directors of
First American Closed-End Funds
We have examined management's assertion, included in the accompanying "Report of
Management on Compliance with Rule 17f-2 of the Investment Company Act of 1940,"
that the:
MUNICIPAL BOND FUNDS - American Municipal Term Trust, Inc., American
Municipal Term Trust, Inc. II, American Municipal Term Trust, Inc. III,
Minnesota Municipal Term Trust, Inc., Minnesota Municipal Term Trust, Inc.
II, American Municipal Income Portfolio, Inc. and Minnesota Municipal
Income Portfolio, Inc.
of First American Closed-End Funds (referred to collectively as "the Funds")
complied with the requirements of subsections (b) and (c) of Rule 17f-2 of the
Investment Company Act of 1940 ("the Act") as of December 31, 1999 with respect
to securities and similar investments reflected in the investment accounts of
the Funds. Management is responsible for the Funds' compliance with those
requirements. Our responsibility is to express an opinion on the Funds'
compliance based on our examination.
Our examination was conducted in accordance with attestation standards
established by the American Institute of Certified Public Accountants and,
accordingly, included examining, on a test basis, evidence about the Funds'
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 December 31, 1999, and with respect to
agreement of security and similar investment purchases and sales or maturities,
for the period from November 1, 1999 (the date of last examination) through
December 31, 1999:
- Confirmation of all securities and similar investments held by
institutions in book entry form (Federal Reserve Bank of Minneapolis);
- Reconciliation of confirmation results as to all such securities and
investments to the books and records of the Funds and the Custodian;
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- Agreement of five investment purchases and five investment sales or
maturities since our last examination from the books and records of
the Funds to broker confirmations.
We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Funds' compliance with
specified requirements.
In our opinion, the Funds complied, in all material respects, with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of December 31, 1999, with respect to securities and similar
investments reflected in the investment accounts of the Funds.
This report is intended solely for the information and use of the board of
directors and management of the First American Closed-End Funds and the
Securities and Exchange Commission and is not intended to be and should not be
used by anyone other than these specified parties.
/s/ Ernst & Young LLP
Minneapolis, Minnesota
April 7, 2000
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REPORT OF MANAGEMENT ON COMPLIANCE WITH RULE 17F-2
OF THE INVESTMENT COMPANY ACT OF 1940
April 7, 2000
We, as members of management of the:
MUNICIPAL BOND FUNDS - American Municipal Term Trust, Inc., American
Municipal Term Trust, Inc. II, American Municipal Term Trust, Inc. III,
Minnesota Municipal Term Trust, Inc., Minnesota Municipal Term Trust, Inc.
II, American Municipal Income Portfolio, Inc. and Minnesota Municipal
Income Portfolio, Inc.
of the First American Closed-End Funds (referred to collectively as "the
Funds"), 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 control over
compliance with those requirements. We have performed an evaluation of the
Funds' compliance with the requirements of subsections (b) and (c) of Rule 17f-2
as of December 31, 1999.
Based on this evaluation, we assert that the Funds were in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of December 31, 1999, with respect to securities and similar
investments reflected in the investment accounts of the Funds.
First American Closed-End Funds
By:/s/Thomas E. Plumb
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Thomas E. Plumb
Chief Executive Officer
Institutional Financial Services
