Board of Regents

Physical Planning and Funding Committee - October 2006

Minutes
Physical Planning and Funding Committee
Thursday, October 5, 2006


Committee Chair Regent Salas convened the joint meeting of the Physical Planning and Funding Committee and the Business, Finance, and Audit Committee at 12:45 p.m. in the Platteville Rooms of the Pioneer Student Center at UW-Platteville. Present were Regents Salas, Bartell, Burmaster, Connolly-Keesler, McPike, Pruitt, Randall, Rosenzweig and Smith.

I.3.a. UW-Platteville: Campus Plan – Now and the Future

Vice-Chancellor for Administrative Services Steve Zielke discussed current and future projects at the campus and their funding sources. Zielke stated that UW-Platteville enrollment has grown by 20 percent over the past ten years and the campus plans to increase it's enrollment by another 1800 students over the next seven to eight years. He said the campus is working to develop a facility plan that coincides with their enrollment growth. Zielke added that recent construction related to the Pioneer Student Center, Ullrich Hall, the Southwest Residence Hall and a Stadium Turf project have provided great benefits to the campus such as greater usage of space offering more opportunities for community partnerships, an impressive growth of student center sales and better facilities to support twenty-first century learning.

Zielke spoke briefly about current campus building projects, Ullsvik Hall, the new Engineering Building, the Glenview Commons Expansion, Williams Fieldhouse Expansion, and the Art Building and said the UW-Platteville has funded $33 M of the $53 necessary for Ullsvik Hall and the new Engineering Facility.

Zielke stated that the campus needs a new engineering facility to support the growth in the engineering program. When asked by Regent Pruitt if there were any unintended consequences of the Tri State Initiative program, Chancellor Markee mentioned that the program was proceeding more slowly than expected.

I.3.b. Development and Fundraising Challenges at a Comprehensive Institution

UW-Platteville Foundation Director of University Relations Dennis Cooley discussed the development and fundraising challenges at a comprehensive institution and how UW Platteville has made positive strides in it's fund raising efforts over the past three years. He spoke about the need to increase endowments at the comprehensive universities to provide permanent funding solutions that will help solve the crisis created by cuts in State funding. Cooley said that growth of UW-Platteville endowments has remained somewhat stagnant because the strong support key donors have recently provided has been committed for building projects. Those substantial donations would normally have generated a significant annual income for long term campus support.

Cooley spoke about special projects the foundation has undertaken to generate financial support. One project focused on the sale of steps of the Platteville Mound, another provided student scholarship funds, another was tailored to the particular interests of the donors. The foundation seeks to find innovative ways for providing interesting opportunities for financial donors of the university.

The joint meeting was adjourned at 1:45 p.m.

Committee Chair Regent Salas convened the meeting of the Physical Planning and Funding Committee at 1:55 p.m. in the Mound Room of the Pioneer Student Center. Present were Regents Salas, Bartell, and McPike.

I.3.c. Approval of the Minutes of the August 17, 2006 Meeting of the Physical Planning and Funding Committee

Upon the motion of Regent McPike and the second of Regent Bartell, the minutes of the August 17 2006 meeting of the Physical Planning and Funding Committee were approved as presented.

I.3.d. UW Colleges: Annual Report: UW Colleges Vice Chancellor Steve Wildeck reported to the Committee that UW Colleges received about nine million dollars of support last year from counties and municipalities. Wildeck said that most campuses draw students from multi-county areas. When asked to comment on the interest regarding the construction of residence halls at UW College campuses, Wildeck used UW Baraboo as an example by explaining that there is local interest for that type of facility on the Baraboo campus. Wildeck said the county has provided some planning funding to study that possibility and added that the next step is to do a professional, independent market survey to determine if there is a real student need for a residence hall and what students would be willing to pay for a 100 bed facility. Wildeck continued by saying that a residence hall construction project would need to be gift funded.

Regent McPike asked if anyone had researched methods other institutions had used to construct residence facilities such as involving professionals in the community who would be willing to construct the facility and rent it back to the campus. Wildeck responded that Fox Valley had investigated that model when it was investigating ways to provide a residence facility.

Regent Salas commented that UW colleges should include the chancellors of those institutions contiguous to their campuses when they consider the possible operation of a residence hall. David Miller added that each college campus has specific needs and should be considered individually and that UW System will also need to consider those college campus plans and their relationship to the campus plans of the larger four-year institutions.

I.3.e. UW-Madison: Authority to Accept a Gift-In-Kind of Land to Enlarge the UW-Madison Arboretum, Finnerud Forest

This item requested approval to accept a gift-in-kind of land in the Town of Minocqua, Oneida County, to enlarge the Finnerud Forest portion of the University of Wisconsin-Madison Arboretum. The value of this gift-in-kind from the University of Wisconsin Foundation is approximately $80,000.

Mary Barbara Annan of Fairbanks, Alaska, donated the property to the foundation in memory of her father and a small pond on the property will be named Annan Pond after him. The gift includes 31.70 acre parcel of undeveloped land adjacent to the south side of the forest and located approximately four miles southwest of the Minocqua business district.

The arboretum's management of this additional property will be integrated with that of the Finnerud Forest. An environmental assessment of the parcel showed no adverse conditions.

Upon the motion of Regent McPike and the second of Regent Bartell, the Committee approved Resolution I.3.e.

Resolution I.3.e.

That, upon the recommendation of the UW-Madison Chancellor and the President of the University of Wisconsin System, authority be granted to accept a gift-in-kind of land in the Town of Minocqua, Oneida County, to enlarge the University of Wisconsin-Madison Arboretum’s Finnerud Forest. The value of this gift-in-kind from the University of Wisconsin Foundation is approximately $80,000.

I.3.f. UW-Madison: Authority to Lease Space on Behalf of the University of Wisconsin School of Medicine and Public Health, Department of Family Medicine – Wausau Family Medicine Residency Facility

This item requested authority to lease 21,148 square feet of space at a facility located on Wind Ridge Drive, Wausau, Wisconsin, on behalf of the School of Medicine and Public Health’s Department of Family Medicine – Wausau Family Medicine Residency facility (Wausau Clinic). The Lessor will be Aspirus Wausau Hospital of Wausau, Wisconsin and the lease rental will be financed with department program revenue.

The Wausau Clinic is an educational facility that provides training for family medicine residents, medical students, and physician assistant students while providing care for patients from the Wausau area.

This lease covers 21,148 square feet of space for patient care and office use at the Aspirus Wausau Hospital for use by the Wausau Clinic. The lease period will run from August 1, 2007 (or date of occupancy) through July 31, 2022, at an initial annual rate of $521,087. The rate includes an annual base rental rate of $444,108 ($21/GSF) and estimated annual operating expenses of $76,979, not including janitorial expenses or real estate taxes. The lease includes multiple five-year renewal options. The Aspirus Foundation will increase its contribution to the UW Residency Program by $340,740 annually. The hospital expects this property to remain tax exempt, but if property taxes were to be assessed, the Department of Family Medicine will be responsible for a prorated share estimated at $99,859.

In response to a question from Regent Salas, David Miller explained that this item received approval from the building commission the day before it was brought to the committee because the unusual scheduling of the commission meeting when the September and October building commission meetings were combined.

Regent Bartel asked if there was an expectation of a greater number of physicians because of the increased space. Miller responded that the main purpose of leasing the space is to colocate with the hospital and relieve cramped space and that the clinic expects to serve a greater number of patients with this new space. Regent Bartel asked if the space had any potential for perimeter expansion and Miller answered that any expansion would require additional building.

Upon the motion of Regent Bartell and the second of Regent McPike, the Committee approved Resolution I.3.f.

Resolution I.3.f.

That, upon the recommendation of the UW-Madison Chancellor and the President of the University of Wisconsin System, authority be granted to lease 21,148 square feet of space at a facility on Wind Ridge Drive, Wausau, Wisconsin, on behalf of the School of Medicine and Public Health’s Department of Family Medicine - Wausau Clinic.

I.3.g. Report of the Assistant Vice President

Assistant Vice President David Miller reported that the Building Commission approved about $10.6 M for projects at their June and July/August meetings. The funding breakdown for those projects is $6.4M General Fund Supported Borrowing, $2.8M Program Revenue, and $1.4M Gift and Grant Funds. (For more detail about those projects, please see the chart at the end of these minutes.)

David Miller added that the building commission granted approval for the sale of the chancellor's residence in Milwaukee and that the Wisconsin Historical Society will soon determine if a historical covenant is required for that property.

Miller reported that the governor's Energy Independence Initiative will involve four campuses: UW-Green Bay, UW-Oshkosh, UW-Stevens Point and UW-River Falls. Miller continued by saying that meetings have begun with utility providers to determine what opportunities might exist to provide alternative forms of energy. Miller said that more information would be provided about the potential and costs of this initiative at the November joint meeting of the Physical Planning and Funding Committee and the Business, Finance and Audit Committee.

Regent Bartell asked for a comment on the development of dormitory space at UW-Milwaukee and Regent Salas responded by explaining that all the Regents had gotten quite a bit of electronic mail about that matter and that he and Regent Pruitt had met with all five of the neighborhood associations. Salas stated they had met at Councilman D'Amato's office about this issue and that County Supervisor Broderick had also been present at the meeting. Regent Bartell inquired if there were law enforcement representatives at the meeting and Regent Salas responded no, he said, however, that Director of the UWM University Architects/Planning and Transportation Office Claude Shuttey had attended and addressed law enforcement issues.

Regent Salas continued by saying that he, Regent Davis, and Regent Pruitt attended a student meeting where he was asked if he would support changes in Chapter 17 (Wisconsin Administrative Code UWS Chapter 17 – Student Nonacademic and Disciplinary Procedures). Salas stated that he would need to see more information regarding details of the alleged misconduct allegations before he makes a decision.

i.3.x. Additional items that may be presented to the Committee with its approval

No additional items were presented to the Committee.

I.3.z. Closed session to consider personal histories, as permitted by s.19.85(1)(f) Wis. Stats., related to the naming of a facility at UW-Green Bay

Upon the motion of Regent Bartell and the second of Regent McPike the Physical Planning and Funding Committee adjourned into closed session at 3:00 p.m. Present were Regents Salas, McPike, and Bartell.

The closed session concluded at 3:07 p.m., at which time the meeting of the Physical Planning and Funding Committee was adjourned.

September 2006 SBC Actions on Projects for October 2006 PPF Committee Meeting [DOC]