Board of Regents

Physical Planning and Funding Committee - December 2007

Minutes
Physical Planning and Funding Committee
Thursday, December 6, 2007

Committee Chair Regent Bartell convened the meeting of the Physical Planning and Funding Committee at 2:10 p.m. in Room 1511 of Van Hise Hall on the UW-Madison campus.  Present were Regents Bartell, Falbo, and Walsh.  Regent McPike was absent.

I.3.a.    Approval of the Minutes of the November 8, 2007 Meeting of the Physical Planning and Funding Committee

Upon the motion of Regent Bartell and the second of Regent Walsh, the minutes of the November 8, 2007 meeting of the Physical Planning and Funding Committee were approved as presented.

I.3.b.    Report of The Assistant Vice President

  1. Assistant Vice President David Miller reported that the Division of State Facilities did not recommend using Building Trust Funds for demolition for the Bio Chemistry project at UW-Madison. Additional funds were raised by campus, so the budget stayed at $116.5 M, which the Building Commission approved, and the demolition funds will be taken out of the budget.
  2. The committee discussed Facilities and Food Contracts in regard to questions raised to approve funding for remodeling of the food service area by UW-Eau Claire. Ruth Anderson and Rich Lampe from UW System Administration joined the meeting to talk about food service renovation contracts.  After questions from the Regents, Anderson and Lampe outlined the food service contracts and how they vary by campus.

I.3.c.    UW-Parkside:  Approval of the Design Report and Authority to Construct the Suite Style Residence Hall Project

This item requested approval of the Design Report and authority to construct the Suite Style Residence Hall project for a total estimated cost of $17,740,000 Program Revenue Supported Borrowing.

The Board of Regents recommended that the Residence Hall project be submitted as part of the UW System 2007-09 Capital Budget request at an estimated total project cost of $17,013,000 Program Revenue Supported Borrowing.  The project was subsequently enumerated at $17,740,000 Program Revenue Supported Borrowing.

The Suite Style Residence Hall project will construct a 71,345 ASF/93,180 GSF, 250-bed residence hall, the first of two project phases that could eventually total 376 beds.  The building, which will primarily house freshmen, provides units that are clustered around central lounge and study spaces to form 11 “houses,” each comprised of 17 to 28 students and one resident assistant.  A total of 30, four-occupant units will each contain two double-occupancy rooms and 26, five occupant units will each contain two double-occupancy and one single-occupancy room.  Each unit will contain one private bathroom with separate lavatory, toilet, and shower spaces.

This project will be designed to accommodate a future phase of an additional 126 beds.  The project's utilities, building infrastructure, and support spaces have been sized to accommodate both the current project and the future phase.

This project will be funded by an increase in room rates.  Thirty-year bonding is being requested to reduce the annual cost of debt service.  A phased increase in room rates will support this project.

Regent Bartell questioned the benefit of this style of housing to the campus, if no UW campus has done this type of housing before.  Steve McLaughlin, from UW Parkside answered that because UW Parkside is not an urban campus, the students can intermingle more with this type of housing.

Upon the motion of Regent Walsh and the second of Regent Falbo, the Committee unanimously approved Resolution I.3.b.

Resolution I.3.c.

That, upon the recommendation of the UW-Parkside Chancellor and the President of the University of Wisconsin System, the Design Report be approved and authority be granted to construct the Suite Style Residence Hall project for a total estimated cost of $17,740,000 Program Revenue Supported Borrowing.

I.3.d.    UW- Stout:  Approval of the Design Report and Authority to Adjust the Project Budget and Construct the Jarvis Hall Science Wing Renovation and Addition Project

Requests approval of the Design Report and authority to: (a) increase the project budget by $8,075,000 existing General Fund Supported Borrowing and (b) construct the Jarvis Hall Science Wing Renovation and Addition project at an estimated project cost of $43,171,000 ($35,096,000 General Fund Supported Borrowing and $8,075,000 existing General Fund Supported Borrowing).

In 1998, this project was submitted as part of the UW System 1999-2001 Capital Budget request at an estimated cost of $4,200,000 General Fund Supported Borrowing–WISTAR.  The project was enumerated at that level and funding source, however, it was not implemented.  In 2000, the project was submitted for planning as part of the UW System 2001-03 Capital Budget request at an estimated cost of $33,651,000 General Fund Supported Borrowing, however, the Department of Administration did not support the planning of this project in that biennium.  In 2004, this project was submitted as part of the UW System 2005-07 Capital Budget request at an estimated cost of $45,215,000 General Fund Supported Borrowing.  It was subsequently enumerated at $40,637,000.  In response to an overall capital funding level, the project budget was later reduced to $35,096,000.

This project is necessary in order to replace obsolete science laboratories in Jarvis Hall, which was constructed in the late 1960s.  The project completely remodels 66,400 GSF of the three-story Jarvis Hall Science Wing and constructs a three-story 90,900 GSF addition.  The project includes space for science instruction, related research, general assignment classrooms, the relocation of the Mathematics, Statistics and Computer Science (MSCS) department into the building.  An 11,400 GSF one-story wing that contains obsolete classrooms will be demolished.  The project completely renews the plumbing, ventilation, electrical, and telecommunications infrastructure in the existing building, abates hazardous materials, updates life safety systems, and provides accessibility for those with disabilities.

Regent Walsh asked if the increase in the budget was necessary to complete the project, to which David Miller answered that campus is requesting to build Jarvis Science Wing as designed because the labs and classrooms are needed to meet the current academic program.

Upon the motion of Regent Bartell and the second of Regent Walsh, the Committee unanimously approved Resolution I.3.d.

Resolution I.3.d.

That, upon the recommendation of the UW-Stout Chancellor and the President of the University of Wisconsin System, the Design Report be approved and authority be granted to: (a) increase the project budget by $8,075,000 existing General Fund Supported Borrowing and (b) construct the Jarvis Hall Science Wing Renovation and Addition project at an estimated project cost of $43,171,000 ($35,096,000 General Fund Supported Borrowing and $8,075,000 existing General Fund Supported Borrowing).

I.3.e.    UW System:  Criteria for Ranking 2009-11 General Fund Major Projects

              This item requested authorization of the use of criteria as defined in

APPENDIX A

 The University of Wisconsin System Administration Major Capital Projects Evaluation Criteria for evaluating 2009-11major capital projects that are funded by General Fund Supported Borrowing for enumerated planning or construction.  The criteria reflect current systemwide initiatives, priorities, and goals of the Board of Regents.

The need for academic facility improvements at UW institutions far exceeds the amount of available state funding support each biennium, therefore, The UW System and the Board of Regents must prioritize the capital projects requested by our institutions.  Only projects that require enumeration with general fund supported borrowing are scored and ranked using this prioritization process.  There is no restriction on program revenue supported borrowing funding, therefore, all program revenue projects that meet long-range plan guidelines are submitted for enumeration.  Other maintenance or remodeling projects may be constructed through the statewide All Agency fund.  Those projects are also screened and prioritized before submission to the Division of State Facilities and the State Building Commission.

The intended use of these criteria is to create a priority list that addresses the greatest needs, highest academic priorities, and most cost-effective solutions to established facility deficiencies.

Regent Falbo wanted a more clear understanding of the ranking process and subsequent information about project status after ranking.  David Miller stated that at the February meeting there could be further discussion as to his questions.

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

Resolution I.3.e.

That, upon the recommendation of the President of the University of Wisconsin System, the 2009-11 Major Capital Projects Evaluation Criteria be adopted as the basis for prioritizing major capital projects funded by General Fund Supported Borrowing (GFSB) for inclusion in UW System capital budget requests.

I.3.f.    UW System:  Authority to Seek Enumeration of Program Revenue Funds for a Residence Hall at UW-LaCrosse, and Gift Funds for a Facility that will House a Tomotherapy Treatment System at the UW-Madison Veterinary School.

This item requested authority to seek enumeration of two additional major capital projects which are:  (1) UW-La Crosse:  New Residence Hall Project at an estimated cost of $28,000,000 Program Revenue Supported Borrowing, and (2) UW-Madison:  School of Veterinary Medicine TomoTherapy Addition Project at an estimated total cost of $2,546,000 Gift Funds.

These two projects were brought forward since the 2007-09 Capital Budget recommendations were considered by the Board of Regents in August of 2006.  These projects have received an appropriate level of campus review and are now ready to proceed forward for enumeration.

UW-La Crosse:  New Residence Hall Phase I - This project will construct an approximately 120,000 GSF residence hall facility that will house about 250 students and a residence life office complex.  It will also include planning for a second project phase for which enumeration will be sought in the 2009-11 Capital Budget.  This hall will replace two old residence halls (Baird and Trowbridge) that are being demolished as part of the new academic building project.  The new residence hall will provide double occupancy dwelling units clustered around shared bathrooms with common study, general use, and living areas.  

This project will be financed by and operated through residence hall fees charged to students.  The cost of this hall will be spread across all university housing.  This will result in an increase of approximately $450 on suites and $450 on double occupancy rooms, including this facility.

Regent Falbo asked if this project would generate enough money in revenue to service the debt.  Regent Bartell also asked if it saves money to build on campus rather than a building off campus.  Matt Lewis – UW LaCrosse, answered that the price of student housing is going to increase due to building modern residence halls on campus, and that it would cost more money per bed for off campus housing.  Regent Walsh asked if there would be a problem raising rates on student housing on campus.  Chancellor Gow from UW LaCrosse stated that the students want housing on campus, also it is important to the culture on campus to have modern student housing such as this proposal.

UW-Madison:  School of Veterinary Medicine TomoTherapy Addition - This project will construct a 3,570 ASF/5,200 GSF addition to the School of Veterinary Medicine to house a gift-funded veterinary TomoTherapy Treatment System.  The addition will include space for the TomoTherapy unit, a control area where veterinarians and technicians manage the operation of the unit, an area to prepare animals for the procedures, a conference room, and mechanical space.  The campus originally planned to install the TomoTherapy unit into an existing structure, however, that structure could not accommodate all the lead shielding required for the unit.

Upon the motion of Regent Falbo and the second of Regent Walsh, the Committee approved Resolution I.3.f.

Resolution I.3.f.

That, upon the recommendation of the President of the University of Wisconsin System, authority be granted to seek enumeration of two additional major capital projects which are:

  1. UW-La Crosse:  New Residence Hall Project at an estimated cost of $28,000,000 Program Revenue Supported Borrowing, and
  2. UW-Madison: School of Veterinary Medicine TomoTherapy Addition Project at an estimated total cost of $2,546,000 Gift Funds.

I.3.g.    UW System Strategic Framework:  Discussion of Operational Excellence

The committee took part in a discussion of Operational Excellence to offer its input into the work of the think tank teams.  The goal of the discussion was to consider and share thoughts on the work of one of Advantage Wisconsin’s think tank teams.  The think tank will deliberate how the University might advance operational excellence by becoming more flexible, nimble, responsive, and cost efficient.

Regent Falbo suggested that a joint task force be formed to streamline the process and look into working with DOA on project approval.  David Miller stated that Regent Falbo’s idea may work to move projects along in a timely manner.  Miller also stated that single prime bidding, which is a standard bidding process used by many other states, should be explored by the UW.

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

No additional items were presented to the Committee.

Upon the motion of Regent Walsh and the second of Regent Bartell the Physical Planning and Funding Committee adjourned at 2:10 p.m.