Joint Committee Committee on Capital Development (07/19/2005)

Final
STAFF SUMMARY OF MEETING

COMMITTEE ON CAPITAL DEVELOPMENT

Date:	07/19/2005	ATTENDANCE

Time:	08:40 AM to 09:35 AM	Berens	X
		McElhany	X
Place:	Greeley, CO	Riesberg	X
		Windels	X
This Meeting was called to order by		Bacon	X
	Representative McFadyen	McFadyen	X

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

Bills Addressed:		Action Taken:
Mesa State College New Residence Hall 202 Request UNC Campus Recreation Facilities 202 Request Mines Recreation Center 202 Request Parks Strojny Property Transaction Request		Witness Testimony Only Referred to Committee on Joint Budget Committee Referred to Committee on Joint Budget Committee Referred to Committee on Joint Budget Committee

08:40 AM -- Mesa State College New Residence Hall 202 Request

Mr. Jake Zambrano, Phase Line Strategies and representing Mesa State College presented the request to the committee. Mesa State College requests $19,200,000 in cash funds exempt (CFE) spending authority to design and construct a new residence hall. The facility will include 250-300 beds. The requests includes funding for parking. See Attachment A for the staff write-up for this request.

The project is a SB 92-202 request, meaning that the facility will be designed, constructed, and operated with non-state funds. The project will be funded using proceeds from the sale of housing bonds. The project will be financed over a 25-year period at an approximate interest rate of 4.5 percent. Student rents will repay the bonds.

Committee members had several questions for Mr. Zambrano. Most of the questions solicited additional information on the design of the facility and the projected rents paid by students for housing in the new facility. Mr. Zambrano replied that many details have not been determined yet as the project will be constructed using a design/build model. He stated that designs cannot be completed until Mesa has spending authority to procure a contractor. He told the committee that the college would try to have answers to these questions in September when the committee visits the college.

Representative McFadyen took the request off the table and the committee plans to revisit the request during their September 14-17 tour of the western slope.

09:00 AM -- University of Northern Colorado Campus Recreation Facilities 202 Request

Dr. Bob Hetzel, representing the University of Northern Colorado (UNC), presented the request to the committee. UNC requests cash funds exempt (CFE) spending authority to make various improvements to recreation and athletic facilities on the UNC campus. See Attachment B for the staff write-up for this request. According to Dr. Hetzel, UNC has completed a study of its recreation and athletic facilities and has identified and prioritized improvements to its campus recreation center, recreation and sports fields, and shared athletic facilities. Dr. Hetzel stated that the improvements are necessary to meet demand for the facilities and to meet requirements of the university's new Division I athletics status.

The project is a SB 92-202 request, meaning that the facilities will be designed, constructed, and operated with non-state funds. The project will be funded using proceeds from the sale of bonds. In April of 2005, students approved a fee increase of $44 per semester. The student fee will be used to pay the principle and interest on the bond financing. Dr. Hetzel responded to questions from the committee.


BILL:	UNC Campus Recreation Facilities 202 Request
TIME:	09:10 AM
MOVED:	Bacon
MOTION:	Moved to refer the University of Northern Colorado's SB 92-202 request for $15,798,442 (CFE) for campus recreation facilities to the Joint Budget Committee with a favorable recommendation. The motion passed 6-0.
SECONDED:
		VOTE
	Berens	Yes
	McElhany	Yes
	Riesberg	Yes
	Windels	Yes
	Bacon	Yes
	McFadyen	Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS

9:15 AM -- Colorado School of Mines Recreation Center 202 Request

Mr. Robert Moore, representing the Colorado School of Mines (Mines) presented the request. Mines requests $6,904,652 in cash funds exempt (CFE) spending authority to add an aquatics program to the scope of its recreation center project. According to Mr. Moore, the committee originally approved $18,095,348 CFE for the project on September 14, 2004. Since that time, Mines has been able to raise additional funds to add a pool to the project. See Attachment C for the staff write-up for this request.

The original request was to build an 84,500 gross square foot recreation center. Mr. Moore told the committee that the new recreation center is necessary since the original recreation center was built in 1958. Since that time, the student body at Mines has grown from 1,000 students to 3,200 students, including an increase in female students from none to about 800. This is a SB 92-202 project, meaning the facility will be designed, constructed, operated, and maintained solely from non-state funds. Mr. Moore responded to questions from the committee.


BILL:	Mines Recreation Center 202 Request
TIME:	09:20:00 AM
MOVED:	Windels
MOTION:	Moved to refer the Colorado School of Mines SB 92-202 request for $6,904,652 CFE for its recreation center to the Joint Budget Committee with a favorable recommendation. The motion passed 6-0.
SECONDED:
		VOTE
	Berens	Yes
	McElhany	Yes
	Riesberg	Yes
	Windels	Yes
	Bacon	Yes
	McFadyen	Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS

9:25 AM -- Department of Natural Resources, Colorado State Parks Strojny Property Transaction Request

Mr. Larry Kramer, representing Colorado State Parks (Parks), presented the request to the committee. Parks requests a favorable recommendation from the committee to the Parks board to acquire the Green Ranch Inholding/Strojny property within Golden Gate Canyon State Park. Mr. Kramer stated that the property is 35 acres and includes a house. The home is in good condition and Parks intends to include it in its facility rental program. See Attachment D for the staff write-up for this request.

Mr. Kramer told the committee that Parks will purchase the property using lottery funds appropriated to the Saint Vrain State Park in FY 2005-06. Parks intends to divert the funds from that line item due to the urgency of the opportunity and because the Saint Vrain project has been delayed. Mr. Kramer state that Parks has constitutional authority to do this. Mr. Kramer responded to questions from the committee.


BILL:	Parks Strojny Property Transaction Request
TIME:	09:31:00 AM
MOVED:	Berens
MOTION:	Moved that Parks request to purchase the Strojny property for $1,000,000 be approved with a favorable recommendation to the Colorado State Parks Board. The motion passed 6-0.
SECONDED:
		VOTE
	Berens	Yes
	McElhany	Yes
	Riesberg	Yes
	Windels	Yes
	Bacon	Yes
	McFadyen	Yes
Final YES: 6 NO: 0 EXC: 0 ABS: 0 FINAL ACTION: PASS

9:35 AM

The committee adjourned.