EXHIBIT (8)(c)
1/97
FIRST AMERICAN INVESTMENT FUNDS, INC.
COMPENSATION AGREEMENT DATED AS OF JANUARY 31, 1997
PURSUANT TO CUSTODIAN AGREEMENT
WHEREAS, First American Investment Funds, Inc., a Maryland corporation
(hereinafter called the "Fund"), and First Trust National Association, a
national banking association organized and existing under the laws of the United
States of America with its principal place of business at Minneapolis, Minnesota
(hereinafter called the "Custodian"), previously entered into that Custodian
Agreement dated September 20, 1993 (the "Custodian Agreement"); and
WHEREAS, Article 12 of the Custodian Agreement provides that the
Custodian shall be paid compensation at such rates and at such times as may from
time to time be agreed on in writing by the parties thereto; and
WHEREAS, the Fund and the Custodian previously entered into that
Compensation Agreement dated as of January 31, 1996, for such purpose with
respect to the then-existing series of the Fund; and
WHEREAS, the Fund and the Custodian wish to amend and restate such
compensation agreement in order to change the rate of compensation with respect
to Stock Fund, Equity Index Fund, Balanced Fund, Asset Allocation Fund, Regional
Equity Fund, Special Equity Fund, Limited Term Income Fund, Intermediate Term
Income Fund, Fixed Income Fund, and Intermediate Government Bond Fund.
NOW, THEREFORE, the Fund and the Custodian agree as follows:
1. The compensation payable to the Custodian pursuant to the Custodian
Agreement with respect to the respective series of the Fund shall be payable
monthly at the following annual rates as percentages of the respective series'
average daily net assets: Stock Fund, Equity Index Fund, Balanced Fund, Asset
Allocation Fund, Regional Equity Fund, Special Equity Fund, Limited Term Income
Fund, Intermediate Term Income Fund, Fixed Income Fund, Intermediate Government
Bond Fund, Health Sciences Fund, Real Estate Securities Fund, Equity Income
Fund, Diversified Growth Fund, Emerging Growth Fund, Technology Fund,
Intermediate Tax Free Fund, Minnesota Insured Intermediate Tax Free Fund, and
Colorado Intermediate Tax Free Fund, 0.03%; and International Fund, 0.25%. The
Custodian shall pay subcustodian fees with respect to International Fund out of
the compensation payable to the Custodian with respect to such fund as set forth
above. The Fund shall reimburse the Custodian for all other out-of-pocket
expenses incurred by the Custodian in connection with the performance of the
Custodian's services under the Custodian Agreement.
2. This Compensation Agreement restates and supersedes all prior
compensation agreements pursuant to Article 12 of the Custodian Agreement.
IN WITNESS WHEREOF, the Fund and the Custodian have caused this
instrument to be executed in duplicate as of the date first above written by
their duly authorized officers.
FIRST AMERICAN INVESTMENT
FUNDS, INC.
By
Its
FIRST TRUST NATIONAL
ASSOCIATION
By
Its
