Connecticut Seal

General Assembly

 

Governor's Bill No. 30

February Session, 2014

 

LCO No. 504

 

*00504__________*

Referred to Committee on HIGHER EDUCATION AND EMPLOYMENT ADVANCEMENT

 

Introduced by:

 

SEN. WILLIAMS, 29th Dist.

SEN. LOONEY, 11th Dist.

REP. SHARKEY, 88th Dist.

REP. ARESIMOWICZ, 30th Dist.

 

AN ACT CONCERNING THE BOARD OF REGENTS FOR HIGHER EDUCATION INFRASTRUCTURE ACT.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 10a-91a of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

Sections 10a-91a to 10a-91h, inclusive, as amended by this act, are known and may be cited as ["The Connecticut State University System Infrastructure Act"] "The Board of Regents for Higher Education Infrastructure Act".

Sec. 2. Section 10a-91b of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

The purpose of [The Connecticut State University System Infrastructure Act] The Board of Regents for Higher Education Infrastructure Act is to enhance the intellectual capacity of the state by providing the infrastructure needed to prepare this state's present and future workforce, to contribute to the increased competitiveness of this state's businesses and to have a positive impact on economic development within this state, through a special capital improvement program established for the regional community-technical colleges, the Connecticut State University System and Charter Oak State College that assures a state commitment to support the financing of the acquisition, construction, reconstruction, improvement and equipping of facilities, structures and related systems for the benefit of this state and the regional community-technical colleges, the Connecticut State University System and Charter Oak State College, all to the public benefit and good, and the exercise of the powers, to the extent and manner provided in [The Connecticut State University System Infrastructure Act] The Board of Regents for Higher Education Infrastructure Act, is declared to be for a public purpose and to be the exercise of an essential government function. Sections 10a-91c to 10a-91h, inclusive, as amended by this act, being necessary for the welfare of this state and its inhabitants, shall be liberally construed to effect the purposes thereof.

Sec. 3. Section 10a-91c of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

As used in this section and sections 10a-91d to 10a-91h, inclusive, as amended by this act, unless the context otherwise indicates, the following terms have the following meanings:

[(1) "Act" means The Connecticut State University System Infrastructure Act.

(2) "Board of trustees" means the Board of Trustees of the Connecticut State University System.]

(1) "Board of regents" means the Board of Regents for Higher Education.

[(3)] (2) "Cost", as applied to a project or any portion of a project, includes, but is not limited to: The purchase price or acquisition cost of any such project; the cost of planning, designing, constructing, building, altering, enlarging, reconstructing, renovating, improving, equipping and remodeling; the cost of all labor, materials, building systems, machinery and equipment; the cost of all lands, structures, real or personal property, rights, easements and franchises acquired; the cost of all utility extensions, access roads, site developments, financing charges, premiums for insurance; the cost of working capital related to a project, including the cost of Department of Administrative Services administrative functions provided for in subsection (d) of section 10a-91d, as amended by this act; the cost of plans and specifications, surveys and estimates of cost and of revenues; the cost of accountants, audits, engineering, feasibility studies, legal and other professional consulting or technical services; the cost of all other expenses necessary or incident to determining the feasibility or practicability of such construction; and administrative and operating expenses and such other expenses as may be necessary or incidental to the financing authorized by sections 10a-91c to 10a-91h, inclusive, as amended by this act. "Cost" does not include the cost of administrative functions provided by the system pursuant to sections 10a-91a to 10a-91h, inclusive, as amended by this act.

[(4) "CSUS 2020"] (3) "CSCU 2020" means the projects at the [system] Connecticut state colleges and universities system and system-wide identified in the facilities [plan] and academic plans necessary to modernize, rehabilitate, renew, expand and otherwise stabilize the physical plant and technology infrastructure of the system so as to provide a concentrated, accelerated and cooperative effort for the benefit of the educational and economic development needs of this state and the system in an efficient, cost effective and timely manner and to assure that the system continues to compete successfully for students, faculty and staff.

[(5) "CSUS 2020 Fund"] (4) "CSCU 2020 Fund" means the fund created under section 10a-91d, as amended by this act, which shall be a general obligation bond fund held and administered by the Treasurer separate and apart from all other general obligation bond funds and accounts of this state and into which the proceeds of the bonds authorized by section 10a-91e, as amended by this act, shall be deposited.

[(6) "Facilities plan" means] (5) "Facilities and academic plans" means the long-term capital improvement [plan] plans approved by the board of [trustees] regents biennially and updated from time to time.

[(7)] (6) "Project" means (A) any structure designed for use as an academic building, administrative facility, library, classroom building, faculty facility, office facility, athletic or recreation facility, health care or wellness facility, laboratory facility, auditorium, public safety facility, parking facility, residence hall or other housing facility, dining facility, student center, maintenance, storage or utility facility or other building or structure essential, necessary or useful for the operation of a university and the system; (B) any multipurpose structure designed to combine two or more of the functions performed by the types of structures enumerated in this definition, including, without limitation, improvements, reconstruction, replacements, additions and equipment acquired in connection with a project or in connection with the operation of any facilities of the system; [existing on July 1, 2008;] (C) all real and personal property, lands, improvements, driveways, roads, approaches, pedestrian access roads, parking lots, parking facilities, rights-of-way, utilities, easements and other interests in land, machinery and equipment, and all appurtenances and facilities either on, above or under the ground that are used or usable in connection with any of the structures included in this definition; and (D) landscaping, site preparation, furniture, machinery, equipment and other similar items essential, necessary or useful for the operation of a particular facility or structure in the manner for which its use is intended, but does not include items that are customarily under applicable accounting principles considered as a current operating charge, unless the category and maximum amount thereof is specifically included by a determination of the board of [trustees] regents in order to preserve the excludability of the interest on the bonds issued therefor from federal taxation under the applicable provisions of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States as from time to time amended. [Notwithstanding the preceding sentence, "project" may include] "Project" includes any residential [or] and other auxiliary [service] facility, as defined in subsection (a) of section 10a-89c, and any state facility used for the programs of the system.

[(8)] (7) "System" means the regional community-technical colleges, the Connecticut State University System [, a constituent unit of the state system of higher education comprised of Western Connecticut State University, Southern Connecticut State University, Eastern Connecticut State University and Central Connecticut State University] and Charter Oak State College, constituent units of the state system of higher education, established pursuant to sections [10a-87] 10a-71 to 10a-101, inclusive, as amended by this act, and sections 10a-143 to 10a-143b, inclusive.

[(9)] (8) "Treasurer" means the State Treasurer or the Deputy State Treasurer appointed pursuant to section 3-12.

[(10) "University" means any one of Western Connecticut State University, Southern Connecticut State University, Eastern Connecticut State University or Central Connecticut State University.]

Sec. 4. Section 10a-91d of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

(a) It is hereby determined and found to be in the best interest of this state and the system to establish [CSUS] CSCU 2020 as the efficient and cost-effective course to achieve the objective of renewing, modernizing, enhancing, expanding, acquiring and maintaining the infrastructure of the system, the particular project or projects, each being hereby approved as a project of [CSUS] CSCU 2020, and the presently estimated cost thereof being as follows:

T1

 

Phase I

Phase II

Phase III

T2

 

Fiscal Years

Fiscal Years

Fiscal Years

T3

 

Ending

Ending

Ending

T4

 

June 30,

June 30,

June 30,

T5

 

2009-2011

2012-2014

[2015-2018]

T6

     

2015-2019

T7

Central Connecticut State

     

T8

University

     

T9

Code Compliance/

     

T10

Infrastructure Improvements

18,146,445

6,704,000

[5,000,000]

T11

Renovate/Expand Willard

     

T12

and DiLoreto Halls

     

T13

(design/construction)

 

57,737,000

 

T14

Renovate/Expand Willard and

     

T15

DiLoreto Halls

     

T16

(equipment)

   

3,348,000

T17

New Classroom Office Building

[33,978,000]

   

T18

 

29,821,000

   

T19

[East Campus Infrastructure

     

T20

Development] Renovate

     

T21

Barnard Hall

[13,244,000]

 

22,000,000

T22

[Burritt Library Expansion

     

T23

(design/construction)] New

     

T24

Engineering Building

   

[96,262,000]

T25

     

62,700,000

T26

Burritt Library Renovation

     

T27

[(design)] and Addition

   

[11,387,000]

T28

     

16,500,000

T29

New Maintenance/Salt Shed

     

T30

Facility

2,503,000

   

T31

Renovate Kaiser Hall and

     

T32

Annex

   

24,850,000

T33

Eastern Connecticut State

     

T34

University

     

T35

Code Compliance/

     

T36

Infrastructure Improvements

[8,255,113]

5,825,000

[5,000,000]

T37

 

8,938,849

   

T38

Fine Arts Instructional Center

     

T39

(design)

12,000,000

   

T40

Fine Arts Instructional Center

     

T41

(construction)

 

71,556,000

 

T42

Fine Arts Instructional Center

     

T43

(equipment)

   

4,115,000

T44

Goddard Hall Renovation

     

T45

(design/construction)

 

19,239,000

 

T46

Goddard Hall Renovation

     

T47

(equipment)

   

1,095,000

T48

Sports Center Addition and

     

T49

Renovation (design)

   

11,048,000

T50

Outdoor Track-Phase II

[1,816,000]

   

T51

 

1,506,396

   

T52

Athletic Support Building

1,921,000

   

T53

New Warehouse

[2,269,000]

   

T54

 

1,894,868

   

T55

Southern Connecticut State

     

T56

University

     

T57

Code Compliance/

     

T58

Infrastructure Improvements

16,955,915

8,637,000

[5,000,000]

T59

New Academic Laboratory

     

T60

Building/Parking Garage

     

T61

(construct garage,

     

T62

design academic laboratory

     

T63

building, demolish Seabury

     

T64

Hall)

8,944,000

   

T65

New Academic Laboratory

     

T66

Building/Parking Garage

     

T67

(construct academic laboratory

     

T68

building)

 

63,171,000

 

T69

Health and Human Services

     

T70

Building

   

60,412,000

T71

Additions and Renovations to

     

T72

Buley Library

16,386,585

   

T73

Fine Arts Instructional Center

   

70,929,000

T74

       

T75

Western Connecticut State

     

T76

University Code

     

T77

Compliance/ Infrastructure

     

T78

Improvements

7,658,330

4,323,000

[7,212,000]

T79

Fine Arts Instructional Center

     

T80

(construction)

80,605,000

   

T81

Fine Arts Instructional Center

     

T82

(equipment)

 

4,666,000

 

T83

Higgins Hall Renovations

     

T84

(design)

 

2,982,000

 

T85

Higgins Hall Renovations

     

T86

(construction/equipment)

   

31,594,000

T87

Berkshire Hall Renovations

     

T88

(design)

   

4,797,000

T89

University Police Department

     

T90

Building (design)

500,000

   

T91

University Police Department

     

T92

Building (construction)

 

4,245,000

 

T93

Midtown Campus Mini-Chiller

     

T94

Plant

   

1,957,000

T95

[State University System] Board of Regents for Higher Education

     

T96

New and Replacement

     

T97

Equipment, Smart Classroom

     

T98

Technology and Technology

     

T99

Upgrades

26,895,000

14,500,000

[31,844,000]

T100

     

61,844,000

T101

Alterations/Improvements:

     

T102

Auxiliary Service Facilities

18,672,422

15,000,000

20,000,000

T103

Telecommunications

     

T104

Infrastructure Upgrade

10,000,000

3,415,000

5,000,000

T105

Land and Property Acquisition

4,250,190

3,000,000

[4,000,000]

T106

     

3,000,000

T107

Deferred Maintenance/Code

     

T108

Compliance Infrastructure

     

T109

Improvements

   

47, 212,000

T110

Strategic Master Plan of

     

T111

Academic Programs

   

3,000,000

T112

Consolidation and Upgrade of

     

T113

System Student and Financial

     

T114

Information Technology

     

T115

Systems

   

20,000,000

T116

Advanced Manufacturing

     

T117

Center at Asnuntuck

     

T118

Community College

   

25,500,000

T119

Totals

    [285,000,000]

285,000,000

[380,000,000]

T120

 

    267,599,000

 

500,901,000

(b) The plan of funding [CSUS] CSCU 2020 shall be from the proceeds of general obligation bonds of the state in an amount authorized pursuant to subsection (a) of section 10a-91e, as amended by this act. The proceeds of the general obligation bonds issued pursuant to section 10a-91e, as amended by this act, shall be deposited into the [CSUS] CSCU 2020 Fund.

(c) With respect to [CSUS] CSCU 2020 and within the authorized funding amount, the board of [trustees] regents may, from time to time, and shall, whenever appropriate or necessary, revise, delete or add a particular project or projects, provided (1) a formal approving vote of the board of [trustees] regents shall be needed for (A) a revision that deviates from the estimated costs of projects pursuant to subsection (a) of this section in an amount that is less than (i) ten per cent of such costs for a project with an estimated cost of one million dollars or lower, or (ii) five per cent of such costs for a project with an estimated cost of more than one million dollars, provided such change in the costs does not include changes in the costs of materials, (B) a deletion, or (C) an addition dictated by a change in system planning as determined by the board of [trustees] regents or otherwise necessary because of reasons beyond the control of the system, (2) any revision shall be subject only to such formal approval of the board of [trustees] regents as long as the board of [trustees] regents finds and determines that such revision is consistent with the intent or purpose of the original project, and (3) (A) a revision that deviates from the estimated costs of projects pursuant to subsection (a) of this section in an amount that is equal to or greater than (i) ten per cent of such costs for a project with an estimated cost of one million dollars or lower, or (ii) five per cent of such costs for a project with an estimated cost of more than one million dollars, provided such change in the costs does not include changes in the costs of materials, (B) an addition, or (C) a deletion shall be conditioned not only upon such formal approval of the board of [trustees] regents but also upon a request by the board of [trustees] regents for, and enactment of, a subsequent public or special act approving such addition or deletion, if such addition is to add a project not outlined in subsection (a) of this section or the deletion is the deletion of a project outlined in subsection (a) of this section. Furthermore, with respect to [CSUS] CSCU 2020 and subject to the limitations in the authorized funding amount, the board of [trustees] regents may determine the sequencing and timing of such project or projects, revise estimates of cost and reallocate from any amounts estimated in subsection (a) of this section, for one or more projects to one or more other projects then constituting a component of [CSUS] CSCU 2020 as long as, at the time of such reallocation, it has found that any such project to which a reallocation is made has been revised or added in accordance with this section and such project from which a reallocation is made either has been so revised or added and can be completed within the amounts remaining allocated to it, or has been so deleted. The board of [trustees'] regents' actions under this section shall be included in reports to the Governor and the General Assembly under section 10a-91f, as amended by this act. If the board of [trustees] regents requests a revision, addition or deletion pursuant to subdivision (3) of this subsection, the board of [trustees] regents shall submit such request to the Governor at the same time that the request is submitted to the General Assembly.

(d) (1) In accordance with the provisions of chapters 59 and 60, the Commissioner of Administrative Services shall be responsible for the duties [as] specified in said provisions, and, on a quarterly basis, the commissioner shall provide the system with information needed for compliance with sections 10a-91a to 10a-91h, inclusive, as amended by this act, including, but not limited to, costs, timeliness of completion of projects and any issues that have developed in implementation of any project under the commissioner's jurisdiction.

(2) Not later than January 1, 2009, and annually thereafter, the Commissioner of Administrative Services shall, in accordance with section 11-4a, report to the Governor and the General Assembly on any (A) construction management services costs, (B) administrative services costs, and (C) costs of fees associated with [CSUS] CSCU 2020.

(e) The Commissioner of Administrative Services and the system shall enter into and maintain a memorandum of understanding that shall provide for the assignment of personnel from the Department of Administrative Services to ensure that buildings or projects that are part of the [CSUS] CSCU 2020 program are designed and constructed in compliance with the Fire Safety Code and the State Building Code with respect to buildings or building projects that (1) are part of [CSUS] CSCU 2020, as authorized by sections 10a-91a to 10a-91h, inclusive, as amended by this act, (2) do not meet the threshold limits, as defined in section 29-276b, and (3) construction of which is initiated during the period of time in which the memorandum is in effect.

[(f) The board of trustees shall request, in writing, approval from the Department of Administrative Services for any acquisition or purchase of equipment, furniture or personal property using funds provided pursuant to sections 10a-91a to 10a-91h, inclusive. Such purchases or acquisitions shall require specific approval by the Commissioner of Administrative Services, or shall be deemed approved not later than thirty days after such request for approval, if the commissioner has not rejected the request.]

Sec. 5. Section 10a-91e of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

(a) The State Bond Commission shall approve the [CSUS] CSCU 2020 program and authorize the issuance of bonds of the state in principal amounts not exceeding in the aggregate [nine hundred fifty million dollars] one billion fifty-three million five hundred thousand dollars. The amount provided for the issuance and sale of bonds in accordance with this section shall be capped in each fiscal year in the following amounts, provided, to the extent the board of [trustees] regents does not provide for the issuance of all or a portion of such amount in a fiscal year, or the Governor disapproves the request for issuance of all or a portion of the amount of the bonds as provided in subsection (d) of this section, any amount not provided for or disapproved, as the case may be, shall be carried forward and added to the capped amount for [the next succeeding] a subsequent fiscal year, but not later than the fiscal year ending June 30, 2019, and provided further, the costs of issuance and capitalized interest, if any, may be added to the capped amount in each fiscal year, and each of the authorized amounts shall be effective on July first of the fiscal year indicated as follows:

T121

Fiscal Year Ending June 30

Amount

T122

   

T123

2009

95,000,000

T124

2010

95,000,000

T125

2011

95,000,000

T126

2012

95,000,000

T127

2013

95,000,000

T128

2014

95,000,000

T129

2015

[95,000,000] 175,000,000

T130

2016

[95,000,000] 118,500,000

T131

2017

95,000,000

T132

2018

95,000,000

T133

Total

[$950,000,000] $1,053,500,000

(b) The State Bond Commission shall approve a memorandum of understanding between the board of [trustees] regents and the state, acting by and through the Secretary of the Office of Policy and Management and the Treasurer, providing for the issuance of said bonds for the purposes of sections 10a-91a to 10a-91h, inclusive, as amended by this act, including provisions regarding the extent to which federal, private or other moneys then available or thereafter to be made available for costs should be added to the proceeds of the bonds authorized pursuant to sections 10a-91a to 10a-91h, inclusive, as amended by this act, for such project or projects. The memorandum of understanding shall be deemed to satisfy the provisions of section 3-20 and the exercise of any right or power granted thereby which is not inconsistent with the provisions of sections 10a-91a to 10a-91h, inclusive, as amended by this act.

(c) All bonds issued pursuant to sections 10a-91a to 10a-91h, inclusive, as amended by this act, shall be general obligations of the state and the full faith and credit of the state of Connecticut are pledged for the payment of the principal of and interest on said bonds as the same become due, and accordingly and as part of the contract of the state with the holders of said bonds, appropriation of all amounts necessary for punctual payment of such principal and interest is hereby made, and the Treasurer shall pay such principal and interest as the same become due.

(d) (1) On or before the first day of March in each year, the board of [trustees] regents shall submit to the Governor, the Treasurer and the Secretary of the Office of Policy and Management, the most recently approved facilities [plan] and academic plans and the amount of bonds required for the [CSUS] CSCU 2020 program for the fiscal year beginning on July first of that year. The Governor may, not later than thirty days after such submission, approve or disapprove all or a portion of such amount of bonding submitted by the board of [trustees] regents by notifying the board of [trustees] regents, in writing, of such decision and the reasons for it. If the Governor does not act within such thirty-day period, the issuance of bonds for the [CSUS] CSCU 2020 program for the fiscal year beginning on July first of that year is deemed approved.

(2) Subject to the amount of limitations of such capping provisions in subsection (a) of this section and following the approval or deemed approval of the request to issue bonds as provided in subdivision (1) of this subsection, the principal amount of the bonds authorized under this section shall be deemed to be an appropriation and allocation of such amount, and such approval of such request shall be deemed the allotment by the Governor of such capital outlays within the meaning of section 4-85.

Sec. 6. Subsection (a) of section 10a-91f of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

(a) Not later than January 1, [2010] 2015, and semiannually thereafter, the system shall, in accordance with the provisions of section 11-4a, report to the Governor and the General Assembly on the status and progress of [CSUS] CSCU 2020. Each report shall include, but not be limited to: (1) Information on the number of projects authorized and approved hereunder including, relative to such projects, project costs, timeliness of completion and any problems which have developed in implementation, and a schedule of projects remaining and their expected costs; and (2) the amount of money raised from private sources for the capital and endowment programs. For purposes of preparing each report, upon request of the board of trustees, the Treasurer shall promptly provide information concerning bonds authorized, approved and issued under sections 10a-91a to 10a-91h, inclusive, as amended by this act.

Sec. 7. Section 10a-91g of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

On January 1, 2014, and January 1, 2019, the system shall, in accordance with the provisions of section 11-4a, submit to the Governor and to the General Assembly, a five-year [CSUS] CSCU 2020 performance review report detailing for each project undertaken to date under the program the progress made and the actual expenditures compared to original estimated costs. Not later than sixty calendar days after receipt of said report, the Governor and the General Assembly shall consider the report and determine whether there has been insufficient progress in implementation of [CSUS] CSCU 2020 or whether there have been significant cost increases over original estimates as a result of actions taken by the system. If so, the Governor or the General Assembly may make recommendations for appropriate action to the system and for action by the General Assembly.

Sec. 8. Section 10a-9h of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2014):

The board of trustees shall select and appoint independent auditors, as defined in subdivision (7) of section 4-230, to annually conduct an audit of any project of [CSUS 2020, as defined in subdivision (4) of section 10a-91c] CSCU 2020. Such audit shall review invoices, expenditures, cost allocations and other appropriate documentation in order to reconcile project costs and verify conformance with project budgets, cost allocation agreements and applicable contracts, and shall be submitted to the Governor and the General Assembly in accordance with section 11-4a. The board of trustees shall ensure that the auditors have unfettered access to any documentation the auditors need to review any such project. The auditors appointed pursuant to this section may serve in such capacity for five consecutive years and shall not be reappointed at the expiration of such period. Any such auditor appointed pursuant to this section shall not perform any nonaudit services for the system during such period.

This act shall take effect as follows and shall amend the following sections:

Section 1

July 1, 2014

10a-91a

Sec. 2

July 1, 2014

10a-91b

Sec. 3

July 1, 2014

10a-91c

Sec. 4

July 1, 2014

10a-91d

Sec. 5

July 1, 2014

10a-91e

Sec. 6

July 1, 2014

10a-91f(a)

Sec. 7

July 1, 2014

10a-91g

Sec. 8

July 1, 2014

10a-9h

Statement of Purpose:

To implement the Governor's budget recommendations.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]