Board of Regents

Capital Planning and Budget Committee - June 2013

Minutes
Capital Planning and Budget Committee
Thursday, June 6, 2013

 
The meeting of the Capital Planning and Budget Committee was called to order at 1:20 p.m. by Committee Chair Regent Jeffrey Bartell in Room 339 of the Cartwright Center on the UW-Milwaukee campus.  Regents Edmund Manydeeds, John Behling, Tony Evers, Regina Millner, Katherine Pointer, Gary Roberts, and José Vásquez were in attendance.

I.3.a.    Approval of the Minutes of the April 4, 2013 Meeting of the Capital Planning and Budget Committee

Upon the motion of Regent Behling, and the second of Regent Manydeeds, the minutes of the April 4, 2013, meeting of the Capital Planning and Budget Committee were approved as presented. 

I.3.b.   UW-La Crosse Presentation:  Campus Master Plan Update
 
The committee heard a presentation by Interim Vice Chancellor Robin Van Harpen for Finance and Administrative Affairs that provided an overview of the implementation of the campus master plan to date.  Vice Chancellor Van Harpen also outlined the challenges that UW-Milwaukee encountered when aligning its physical needs with the academic mission of the university.  One of the strategies used to address these challenges was conducting a retreat with academic leadership to essentially provide a short course on space planning to help better engage participants in integrated planning.

Vice Chancellor Van Harpen and Associate Vice Chancellor Geoff Hurtado entertained questions following the presentation.  Regent Bartell inquired about potential bottlenecks in science labs that are potentially impacting student time to graduation.  Associate Vice Chancellor Hurtado responded that at this time there is extremely high utilization of science labs into the evenings and courses rapidly fill, but there has not yet been a general need for students to defer graduation based on lab shortages.  He also indicated that a study of the campus’ Southwest Quadrant is underway and it will specifically investigate science lab quality, quantity and use level in addition to other facility needs.  Vice Chancellor Van Harpen also indicated that a program of “Sharing for Success” is being implemented to promote more effective use of space campus-wide.

In response to a question from Regent Vasquez concerning whether evaluations were being made to determine whether it was better to raze deteriorated buildings and build new versus renovation or adaptive reuse, Associate Vice Chancellor Hurtado clarified that this type of cost benefit analysis is contained within the studies being undertaken.

In response to a question from Regent Roberts regarding whether the studies are also addressing the potential decreasing need for classrooms on campus given the rise in internet-based teaching, Associate Vice Chancellor Hurtado clarified that this shift of instructional methods is being carefully examined.  He elaborated that indeed as early adopters of the Flex Degree they are keenly interested in whether this would be the case, but at this point in time there is no indication that the current need for classrooms is declining.  In fact, utilization is so high at UW-Milwaukee that they are essentially operating a two-shift operation to accommodate demand for instructional space.

I.3.c.    UW System:  Authority to Construct All Agency Maintenance and Repair Projects

This item requested authority to construct the maintenance and repair projects listed below.
MSN – Nielsen Tennis Stadium Roof Replacement ($257,600
MSN – Sullivan Hall Fire Sprinkler System Retrofit and Lobby Renovation ($379,000)
MSN – Dayton Street Central Utility Renovations, Phase II ($2,829,000)
SUP – Steam Distribution System Repair/Replacement, Phase III ($3,990,000)

Due to the straightforward nature of the requests, discussion of the slate of All Agency projects was limited. 

Upon the motion of Regent Vásquez, and the second of Regent Roberts, the Committee approved Resolution I.3.c.

Resolution I.3.c.

That, upon the recommendation of the President of the University of Wisconsin System, authority be granted to construct various maintenance and repair projects at an estimated total cost of $7,455,600 ($4,987,000 General Fund Supported Borrowing; $1,197,000 Program Revenue Supported Borrowing; and $1,271,600 Program Revenue-Cash).

I.3.d.   Report of the Associate Vice President

Building Commission Actions  -  Associate Vice President Miller reported on April and May Building Commission actions and said that in April the Building Commission deferred six of the Board of Regents approved all agency projects pending more discussion and that those same six projects were approved in May.  Regarding the Capital Budget discussions, Associate Vice President Miller addressed two key pending issues that would potentially affect the UW System, namely the reduction in bonding and the sale of assets.  Associate Vice President Miller clarified that the UW portion of the Capital Budget will comprise approximately $837 million of the $1.1 billion.  Regarding the anticipated reduction in bonding of $250 million, he clarified that the Division of Facilities Development would seek to implement this reduction without harming construction projects. 

Regarding the anticipated shift in policy related to the sale of assets, Associate Vice President Miller commented that the legislature added criteria, which would increase transparency of any potential future sale.  Furthermore, the net proceeds from any sale of UW assets would first be attributed to debt associated with the fund of that property. However, primary authority for the sale of UW property would be placed with the legislature rather than the UW System Board of Regents.            

I.3.e.    Closed session for purposes of considering personal histories, as permitted by s.19.85(1)(f), Wis. Stats., related to the naming of facilities at UW-Madison

Upon the motion of Regent Millner and the second of Regent Pointer, the Capital Planning and Budget Committee adjourned to closed session at 2:05 p.m.  Present were Regents Bartell, Manydeeds, Behling, Evers, Millner, Pointer, Roberts, and Vásquez.

The closed session concluded at 2:15 p.m., at which time the meeting was adjourned.