Final
STAFF SUMMARY OF MEETING
COMMITTEE ON
CAPITAL DEVELOPMENT
Date:
08/25/2005
ATTENDANCE
Time:
07:53 AM
to
08:35 AM
Berens
X
McElhany
X
Place:
Pueblo
Riesberg
X
Windels
X
This Meeting was called to order by
Bacon
X
Senator
Bacon
McFadyen
*
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
State Parks Transit Mix Property Transaction
Wildlife Property Transactions
Referred to Committee on Joint Budget Committee
Witness Testimony Only
Witness Testimony Only
7:55 AM -- Mesa State College New Residence Hall 202 Request
Tim Foster, President of Mesa State College (Mesa), provided the committee with background on the new residence hall. See Attachment A for the staff write-up of this request. Mesa requests $19.2 million in cash funds exempt (CDFE) spending authority to build a new residence hall consisting of 267 beds near the corners of College Place and Bunting Avenue in Grand Junction. According to Mr. Foster, details such as room configurations and type of construction will be determined after a construction manager/general contractor is selected. Mesa has provided committee members with preliminary floor plans and elevations for the project.
The residence hall will not include dining facilities, but rather, existing dining facilities located about two blocks from the proposed site of the new residence hall will be remodeled to accommodate additional residents. Mr. Foster explained that since overall project costs have been revised downward, costs for the parking component of the project have been revised from $3 million to $6 or $7 million. Plans for parking now include a the construction of a parking structure. Mesa plans to break ground in September 2005 with occupancy in August of 2006.
This request is a 202 project, meaning that the facility will be designed, constructed, and operated with nonstate funds.
Mr. Foster responded to questions from the committee members.
BILL:
Mesa State College New Residence Hall 202 Request
TIME:
08:17:00 AM
MOVED:
McFadyen
MOTION:
Moved to refer the Mesa State College SB 92-202 request for $19,200,000 CFE for its New Residence Hall 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
8:18 AM -- State Parks Transit Mix Property Transaction
Mr. Larry Kramer, Deputy Director of Colorado State Parks, and Tom Ready, Chairman of the Colorado State Parks Board, presented the Transit Mix property transaction request to the committee. See Attachment B for the staff write-up of this request. According to Mr. Kramer, the purpose of the project is to acquire the property to enhance a larger State Parks (Parks) parcel below the Lake Pueblo dam on the Arkansas River. Mr. Kramer stated that if the property is sold to a private party, the property could be put into a highly incompatible use with the surrounding property already owned by Parks. Mr. Kramer told the committee that Parks may choose to use an existing building on the property for a work and maintenance center for Parks employees and to store equipment and materials used on the existing Parks parcel.
The property is a former processing site for a sand and gravel mining operation adjacent to the 257-acre Valco property. The Valco property was purchased by Parks in May 2004. The CDC approved this property transaction request on March 9, 2004. According Mr. Kramer, Valco had leased the mining area to Transit Mix, and Transit Mix had purchased the processing site in fee title. The mining operation is now complete and the land is under reclamation.
Parks has been negotiating with Transit Mix regarding the purchase of the property for about a year and the parties have recently come to an agreement on the sales price. The negotiated purchase price is $330,000, $30,000 more than the Parks appraisal of $300,000. According to Mr. Ready, it is unusual for Parks to pay above appraised value, but the division feels that the property is valuable enough given the adjoining publicly owned land and conservation value, that a price 10 percent above the appraised value is still fair.
Mr. Kramer and Mr. Ready responded to questions from the committee.
BILL:
State Parks Transit Mix Property Transaction
TIME:
8:25 AM
MOVED:
McFadyen
MOTION:
Moved to send a letter to the State Board of Parks and Outdoor Recreation in support of the Transit Mix Parcel property transaction with a cost of $330,000. 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
8:26 AM -- Wildlife Property Transactions
Mr. Tom Nesler, Wildlife Conservation Section Manager with the Division of Wildlife (Wildlife), and Ms. Linda Whittaker, Lands Unit Supervisor with the division, presented the Lowe Ranch Perpetual Conservation Easement and the State Land Board Public Access Program Lease property transactions to the committee. See Attachment C for the staff write-up of this request.
According to Mr. Nesler, the purpose of the Lowe Ranch conservation easement is to preserve native habitat for short grass and sand sage prairie species of wildlife. He stated that the Lowe Ranch provides essential habitat for the Lesser Prairie Chicken. Wildlife intends to purchase the 1,280 acre easement for $125,000. The term of the easement will be in perpetuity.
Mr. Nesler explained the Division of Wildlife/State Land Board Public Access Program Lease request to the committee. The purpose of the Public Access Program is to continue to preserve properties within the program for a variety of species for wildlife-related recreation. Many tracts within the program provide for, or improve access to, adjacent state wildlife areas, Bureau of Land Management properties, and U.S. Forest Service properties. In 1876, the federal government gave the state 3 million acres of land known as the State Trust Lands. In the past, most of this land was closed to the public. In 1993, the State Land Board and Wildlife entered into a memorandum of understanding (MOU). The MOU provided for the ten-year lease by Wildlife from the State Land Board of about 533,734 acres of State Trust Lands with the best wildlife-related recreation values. Mr. Nesler explained that Wildlife and the State Land Board wish to continue the program by replacing the MOU with the proposed ten-year lease. The lease will contain all the provisions contained in the MOU, except for those provisions deemed to be redundant by both agencies.
Mr. Nesler told the committee that Wildlife wishes to lease the property at a 2005 cost of $1.42 per acre with a total annual cost of $758,421. Of this amount, 75 percent ($568,816) is a rental cost and 25 percent ($189,605) is paid to an enhancement account for certain enhancement projects on State Land Board land. Mr. Nesler said that additional costs include development costs of $30,000 for materials such as signs and other equipment, and labor. Annual operations costs include $120,000 for maintenance, supplies, equipment, and labor. Mr. Nesler stated that future years within the lease term may increase based on the consumer price index (CPI). The Wildlife Commission approved the project on July 14, 2005, contingent on CDC consideration.
Mr. Nesler and Ms. Whittaker responded to questions from the committee.
BILL:
Division of Wildlife
TIME:
8:35 AM
MOVED:
Riesberg
MOTION:
To send a letter to the Wildlife Commission in support of the Lowe Ranch conservation easement with a purchase price of $125,000 and the Division of Wildlife/State Land Board Public Access Program Lease with a total annual lease cost of $908,421. 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
8:35 AM
The committee adjourned.