Joint Committee Committee on Capital Development (03/04/2010)

Final
STAFF SUMMARY OF MEETING

COMMITTEE ON CAPITAL DEVELOPMENT

Date:	03/04/2010	ATTENDANCE

Time:	08:03 AM to 08:33 AM	Kopp	X
		McFadyen	*
Place:	SCR 356	Schwartz	X
		Sonnenberg	X
This Meeting was called to order by		Riesberg	X
	Senator Bacon	Bacon	X

This Report was prepared by
	Kori Donaldson
		X = Present, E = Excused, A = Absent, * = Present after roll call

Bills Addressed:		Action Taken:
Mesa State College Cash-Funded Requests Prioritization of FY 2010-11 Capital Requests		Pass Pass

08:03 AM -- Mesa State College Cash-Funded Requests

The committee was called to order. A quorum was present. Mr. Patrick Doyle, Vice President for Finance and Administration, Mesa State College, presented four cash-funded requests including: (1) FY 2010-11 Revised Two-Year Projection of Cash Need; (2) W.W. Campbell College Center (202 Project); (3) Houston Hall Renovation and Expansion; and (4) Student Residence Hall Complex. Committee members received a summary of the requests, prepared by Legislative Council Staff (Attachments A, B, C, and D, respectively). Mr. Doyle addressed questions about available on-campus housing and student enrollment. Prior to the vote, discussion ensued about the use of American Recovery and Reinvestment Act of 2009 Build America Bonds.


BILL:	Mesa State College
TIME:	08:06:42 AM
MOVED:	Riesberg
MOTION:	Approve cash funds spending authority ($82,804,883 CF) for the FY 2010-11 Revised Two-Year Projection of Cash Need (Attachment A). The motion carried on a vote of 5-0-1.
SECONDED:
		VOTE
	Kopp	Yes
	McFadyen	Excused
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 5 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

08:08 AM

Mr. Doyle next presented a supplemental request for additional cash funds spending authority. In response to a question about the source of cash funds for the project, Mr. Doyle explained that the project will be financed with Build America Bonds and consolidated with other bond issues.


BILL:	Mesa State College
TIME:	08:09:51 AM
MOVED:	Schwartz
MOTION:	Approve the supplemental request for additional cash funds spending authority ($4,373,434 CF) for the W.W. Campbell College Center project. The motion carried on a vote of 5-0-1.
SECONDED:
		VOTE
	Kopp	Yes
	McFadyen	Excused
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 5 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

08:10 AM

Mr. Doyle briefly summarized the request for cash funds spending authority for the Houston Hall project.


BILL:	Mesa State College
TIME:	08:11:23 AM
MOVED:	Riesberg
MOTION:	Approve cash funds spending authority ($18,819,865 CF) for the Houston Hall Renovation and Expansion project. The motion carried on a vote of 4-1-1.
SECONDED:
		VOTE
	Kopp	No
	McFadyen	Excused
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 4 NO: 1 EXC: 1 ABS: 0 FINAL ACTION: PASS

08:12 AM

Mr. Doyle briefly summarized the request for cash funds spending authority for the Student Residence Hall project.


BILL:	Mesa State College
TIME:	08:12:54 AM
MOVED:	Riesberg
MOTION:	Approve cash funds spending authority ($34,617,796 CF) for the Student Residence Hall Complex project. The motion carried on a vote of 5-0-1.
SECONDED:
		VOTE
	Kopp	Yes
	McFadyen	Excused
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 5 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS

08:13 AM -- Prioritization of FY 2010-11 Capital Requests

Committee members received a list of FY 2010-11 state-funded capital requests and a list of FY 2010-11 cash-funded requests, prepared by Legislative Council Staff (Attachments E and F, respectively). Committee members also received a summary of the proposed sources of revenue to fund the first five projects listed in Attachment E, prepared by Legislative Council Staff (Attachment G).

Ms. Lisa Esgar, Deputy Director, Governor's Office of State Planning and Budgeting (OSPB), came to the table to address a question about House Bill 10-1072, which converts the General Fund Reserve into a State Budget Stabilization Fund and identifies the amount required to be set aside in the fund. Senator Schwartz commented on the placement of the Adams State College, Richardson Hall Renovation project on Attachment E, and reminded the committee that this project was included in the list of projects prioritized in House Joint Resolution 08-1042. Ms. Esgar told the committee that the higher education projects below the line on Attachment E were prioritized by the Colorado Commission on Higher Education (CCHE). She added that the only change OSPB made the CCHE priorities was to move the Western State College, Quigley Hall Renovation project up on the list (OSPB priority #6) because it is a life safety project. Ms. Esgar then told the committee that OSPB plans to again limit the number of state-funded requests submitted for FY 2011-12. She also addressed questions about the various prioritization lists submitted by OSPB and CCHE.

08:23 AM

Mr. Dan Krug, Financial and Compliance Analyst, Department of Higher Education, came to the table to address questions about the prioritization lists submitted by CCHE.


BILL:	Prioritization of FY 2010-11 Capital Requests
TIME:	08:25:49 AM
MOVED:	Riesberg
MOTION:	Recommend funding for projects #1 through #5 on Attachment E and make the balance of Level I Controlled Maintenance (20 projects, scores 8 through 10) priority #6, and recommend funding priority #6 in the event additional revenue becomes available. Forward the entire FY 2010-11 state-funded request list, as amended, to the Joint Budget Committee. The motion carried on a vote of 6-0.
SECONDED:
		VOTE
	Kopp	Yes
	McFadyen	Yes
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS


BILL:	Prioritization of FY 2010-11 Capital Requests
TIME:	08:30:33 AM
MOVED:	Riesberg
MOTION:	Recommend cash funds spending authority for the 21 projects included on the FY 2010-11 Cash-Funded Capital Requests list (Attachment F). The motion carried on a vote of 5-0-1.
SECONDED:
		VOTE
	Kopp	Excused
	McFadyen	Yes
	Schwartz	Yes
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 5 NO: 0 EXC: 1 ABS: 0 FINAL ACTION: PASS


BILL:	Division of Wildlife
TIME:	08:31:53 AM
MOVED:	Riesberg
MOTION:	Approve the request to waive the six month encumbrance deadline for two FY 2010-11 cash-funded requests (see Attachment F), including; (1) Land and Water Acquisitions; and (2) Motorboat Access on Lakes and Streams. The motion carried on a vote of 4-0-2.
SECONDED:
		VOTE
	Kopp	Excused
	McFadyen	Yes
	Schwartz	Excused
	Sonnenberg	Yes
	Riesberg	Yes
	Bacon	Yes
Final YES: 4 NO: 0 EXC: 2 ABS: 0 FINAL ACTION: PASS

08:33 AM

The committee adjourned.