Final
STAFF SUMMARY OF MEETING

COMMITTEE ON CAPITAL DEVELOPMENT

Date:03/01/2012
ATTENDANCE
Time:07:35 AM to 09:02 AM
Brown
X
King K.
X
Place:SCR 356
Schwartz
X
Vigil
X
This Meeting was called to order by
Sonnenberg
X
Senator Bacon
Bacon
X
This Report was prepared by
Bo Pogue
X = Present, E = Excused, A = Absent, * = Present after roll call
Bills Addressed: Action Taken:
Prioritization of FY 2012-13 Capital RequestsWitness Testimony and/or Committee Discussion Only


07:35 AM -- Prioritization of FY 2012-13 Capital Requests

The committee was called to order. A quorum was present. Senator Bacon provided background on the capital construction prioritization process. The committee received a packet of information, including a transmittal memorandum explaining the contents of the packet (Attachment A), information on the Cumbres and Toltec Scenic Railroad Passenger Car Rehabilitation capital construction request (Attachment 1), a table showing prior funding and request histories for the state-funded capital requests before the committee (Attachment 2), a memorandum categorizing the state-funded requests before the committee (Attachment 3), a written description of the Demolish Naval and Marine Corps Reserve Building controlled maintenance request (Attachment 4), a fact sheet on federal mineral lease moneys available for capital construction (Attachment 5), and supporting documents for the Department of Corrections' FY 2012-13 Level I controlled maintenance requests (Attachment 7). Ms. Kori Donaldson, Legislative Council Staff, briefed the committee on the information in the attachments. Ms. Donaldson explained changes made to the FY 2012-13 Capital Requests Ordered by OSPB Priority list (Attachment B) from a previous iteration. Committee members also received an updated memorandum providing an overview of FY 2012-13 capital construction requests and revenue projected for capital construction (Attachment C). Mr. Karl Spiecker, Director of Finance and Administration, and Mr. Richard Markovich, Director of Facilities Management, Department of Corrections (DOC), briefed the committee on the department's Level I controlled maintenance requests (see Attachment 7). Mr. Markovich explained the need for each request.

120301AttachA.pdf120301AttachB.pdf120301AttachC.pdf


07:49 AM

Mr. Markovich continued to brief the committee on the DOC's FY 2012-13 Level I controlled maintenance requests. Discussion ensued regarding the need for controlled maintenance at the DOC's facilities in light of the fact that the department's inmate populations are declining. Mr. Markovich responded to questions regarding specific improvements to be made at the Colorado Territorial Correctional Facility under two controlled maintenance requests. Discussion returned to the impact of declining inmate populations on the DOC's controlled maintenance needs, as well as its impact on facilities utilization. Mr. Spiecker responded to questions regarding the state's contracted arrangements with private prisons for housing inmates, and the classification of differing types of inmates.

08:02 AM

Mr. Spiecker offered to provide information about the state's inmate population, broken down by inmate class. Mr. Spiecker responded to questions regarding the potential for operating the Buena Vista Correctional Complex at a lower security classification to avoid the need to spend capital moneys on the Improve Perimeter Security controlled maintenance request. Mr. Spiecker responded to further questions regarding which inmate classifications may be housed in private prisons, and options for avoiding the costs associated with the Improve Fixtures and Showers, Cellhouse 1, Colorado Territorial Correctional Facility controlled maintenance request. Discussion ensued regarding additional options for alleviating the need to fund the DOC's Level I controlled maintenance requests.

08:11 AM

Mr. Dan Love, Commissioner, Cumbres and Toltec Scenic Railroad, briefed the committee on the railroad's FY 2012-13 capital requests, with particular attention paid to the Passenger Car Rehabilitation (Wheel Replacement) request (see Attachment 1). He explained the need for this request, and responded to questions regarding the potential for grant funding to cover part of the request. Discussion ensued regarding the economic impact of the railroad on southern Colorado. Mr. Love responded to questions regarding the various funding sources for the Passenger Car Rehabilitation project, and the potential impact of not funding the project.

08:22 AM

Mr. Love responded to questions regarding the railroad's yearly revenue, as compared to the amount of funding provided to the railroad by Colorado and New Mexico. His response included information on the railroad's mission and future plans for financial independence. Discussion ensued regarding the potential for privatizing the railroad. Mr. Love responded to questions regarding the contractor currently operating the railroad.

08:33 AM

Mr. Chris Wiseman, General Manager, and Mr. Joe Dean, Facilities Director, Colorado State Fair, briefed the committee on the Demolish Naval and Marine Reserve Corps Building Level I controlled maintenance request. Mr. Wiseman provided background on the building, and efforts to address its demolition. Discussion ensued regarding the chain of ownership of the building. Representative Pace provided input on the building's ownership. Mr. Dean discussed concerns associated with the building, and future use of the property. Mr. Wiseman responded to questions regarding the history of the U.S. Navy's use of the facility, and the arrangement between the federal government and Colorado for the property's use. Discussion ensued regarding the Navy's handing over of the facilities on the property to the state. Representative Swerdfeger discussed the contamination on the property, and disagreement between the state and the federal government over cleanup of the site.


08:44 AM

Representative Pace provided background on how the Naval and Marine Building issue came to the committee, and discussed the need to remove the building. Discussion ensued regarding the potential for using future parking revenue derived from the building's site to pay for the building's removal. Mr. Larry Friedberg, State Architect, responded to questions regarding the controlled maintenance scoring of the Naval and Marine Building project relative to other controlled maintenance requests, and the number of controlled maintenance requests submitted by the Department of Agriculture for FY 2012-13. Mr. Dean and Mr. Wiseman responded to questions regarding the reasons the request has not been submitted through the normal controlled maintenance process.

08:55 AM

Discussion ensued regarding the potential for renovating the Naval and Marine Building. Mr. Dean responded to questions regarding the basis for costs associated with demolishing the building. Mr. Friedberg discussed the process associated with abating hazardous substances on the site. Mr. Erick Scheminske, Office of State Planning and Budgeting (OSPB), provided input regarding OSPB's position on the project, and funding sources for the project. Discussion ensued regarding how to proceed with prioritizing the project. Representative Pace discussed the potential for the city of Pueblo to provide some matching funding for the project. Discussion followed regarding how to best secure the property on which the Naval and Marine Building sits. The committee discussed the committee's future meeting schedule.

09:02 AM

The committee adjourned.