Final
STAFF SUMMARY OF MEETING

COMMITTEE ON CAPITAL DEVELOPMENT

Date:03/02/2006
ATTENDANCE
Time:07:39 AM to 08:58 AM
Berens
X
McElhany
X
Place:SCR 356
Riesberg
X
Windels
X
This Meeting was called to order by
McFadyen
*
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:
Overview of FY 2006-07 Requests
Overview of Capital Construction Funding
Committee Discussion		Staff presentation only
Staff presentation only
None

07:40 AM -- Overview of FY 2006-07 Capital Construction Requests and Future Capital Needs

The committee came to order. Mr. Bo Pogue, Legislative Council Staff, described the FY 2006-07 requests and five-year capital construction needs, including capital construction, capital renewal, controlled maintenance, and certificates of participation (COP) projects. Mr. Pogue referenced a memorandum prepared by Legislative Council Staff that describes current and future capital construction needs (Attachment A). He responded to questions from the committee regarding the deadline for submitting capital requests.

07:49 AM -- Overview of Capital Construction Funding Scenarios

Ms. Jennifer Moe, Legislative Council Staff, presented hypothetical scenarios for funding capital construction needs for FY 2006-07 and the next five years. Ms. Moe referenced a memorandum prepared by Legislative Council Staff, along with a number of attachments to the memorandum, how much revenue is needed to fund capital needs over the next five years and how need will grow if unfunded (Attachment B). Ms. Moe responded to questions regarding a request from the Transportation Commission. Ms. Moe explained various funding sources for meeting the growth of capital needs.


08:00 AM

Ms. Moe continued to brief the committee on capital construction funding, focusing on the future growth of capital need. Ms. Moe clarified the source of funding for COPs and responded to other questions. A discussion ensued regarding methods by which capital needs could be funded.

08:12 AM

The committee began discussing the short- and long-term capital construction funding outlook. The committee first considered the idea of issuing additional COPs to pay for a portion of capital needs. The committee then discussed funding for a project to build a new Colorado Bureau of Investigations (CBI) forensics facility on the Western Slope, and the square footage of the proposed facility.

08:24 AM

Discussion continued regarding the CBI facility and whether it should remain a lease-purchase project to funded with operating money.
BILL:Committee Discussion
TIME: 8:26:07 AM
MOVED:McFadyen
MOTION:Request that the Joint Budget Committee (JBC) use $853,494 in General Fund monies, in addition to the current lease line of $112,000, to fund the construction of the Colorado Bureau of Investigations (CBI) Western Slope office relocation in FY 2006-07. Also, request the JBC to fund annually for a period of 27.5 years the lease purchase of the CBI office relocation at a rate of $748,000, in addition to the current lease line of $112,000. The motion passed on a 5-1 vote.
SECONDED:
VOTE
Berens
Yes
McElhany
No
Riesberg
Yes
Windels
Yes
McFadyen
Yes
Bacon
Yes
Final YES: 5 NO: 1 EXC: 0 ABS: 0 FINAL ACTION: PASS


Prior to the vote, the committee considered the impact on CBI's mission of reducing the square footage of the proposed CBI facility and the time frame for approving the facility.
BILL:Committee Discussion
TIME: 08:28:08 AM
MOVED:McElhany
MOTION:Prior to approval of the previous motion, moved to amend the previous motion to reduce the $748,000 annual payment for a period of 27.5 years for the lease purchase of the CBI Western Slope facility to $600,000 for a period of 20 years. The motion was withdrawn.
SECONDED:
VOTE
Berens
McElhany
Riesberg
Windels
McFadyen
Bacon
Not Final YES: 0 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: TIE

08:40 AM

Senator Bacon briefed the committee on a recent meeting with JBC members regarding projected revenue available for capital projects. The committee discussed the outlook for receiving additional one-time funding being made available for higher education projects from the JBC.


08:46 AM

Senator McElhany initiated a discussion regarding the funding prioritization for capital construction projects. Senator McElhany referenced two priority lists, one detailing the Senator's priorities (Attachment C) and one prepared by Legislative Council Staff (Attachment D). Senator McElhany explained the priorities on Attachment C. Discussion ensued regarding the proper source of funding for large information technology projects. Ms. Moe explained how the staff priority list was prepared by Legislative Council. Discussion then returned to the issuance of additional COPs for capital construction.

08:56 AM

The committee adjourned.