6355-S AMH DUNS SNEL 041
SSB 6355 - H AMD 1267
By Representative Dunshee
ADOPTED 3/02/2010
On page 10, after line 18, insert the following:
"Sec. 9. RCW 43.88D.010 and 2008 c 205 s 2 are each amended to read as follows:
(1) By October 15th of each even-numbered year, the
office of financial management shall complete an objective analysis and scoring
of all capital budget projects proposed by the public four-year institutions of
higher education and submit the results of the scoring process to the
legislative fiscal committees, the higher education coordinating board, and the
four-year institutions((, except that, for 2008, the office of financial
management shall complete the objective analysis and scoring by November 1st)).
Each project must be reviewed and scored within one of the following
categories, according to the project's principal purpose. Each project may be
scored in only one category. The categories are:
(a) Access‑related projects to accommodate enrollment growth at main and branch campuses, at existing or new university centers, or through distance learning. Growth projects should provide significant additional student capacity. Proposed projects must demonstrate that they are based on solid enrollment demand projections, more cost‑effectively provide enrollment access than alternatives such as university centers and distance learning, and make cost‑effective use of existing and proposed new space;
(b) Projects that replace failing permanent buildings ((or
renovate facilities to restore building life and upgrade space to meet current
program requirements)). Facilities that cannot be economically renovated
are considered replacement projects. ((Renovation projects should represent
a complete renovation of a total facility or an isolated wing of a facility. A
reasonable renovation project should cost between sixty to eighty percent of
current replacement value and restore the renovated area to at least
twenty-five years of useful life.)) New space may be programmed for the
same or a different use than the space being replaced or renovated and may
include additions to improve access and enhance the relationship of program or support
space;
(c) Projects that renovate facilities to restore
building life and upgrade space to meet current program requirements.
Renovation projects should represent a complete renovation of a total facility
or an isolated wing of a facility. A reasonable renovation project should cost
between sixty to eighty percent of current replacement value and restore the
renovated area to at least twenty-five years of useful life. New space may be
programmed for the same or a different use than the space being renovated and
may include additions to improve access and enhance the relationship of program
or support space;
(d) Major stand-alone campus infrastructure projects;
(((d)))(e) Projects that promote economic
growth and innovation through expanded research activity. The acquisition and
installation of specialized equipment is authorized under this category; and
(((e)))(f) Other project categories as
determined by the office of financial management in consultation with the
legislative fiscal committees.
(2) The office of financial management, in consultation
with the legislative fiscal committees ((and the joint legislative audit and
review committee)), shall establish a scoring system and process for each
four-year project category that is based on the framework used in the community
and technical college system of prioritization. Staff from the state board for
community and technical colleges, the higher education coordinating board, and
the four-year institutions shall provide technical assistance on the
development of a scoring system and process.
(3) The office of financial management shall consult
with the legislative fiscal committees in the scoring of four-year institution
project proposals, and may also solicit participation by ((the joint
legislative audit and review committee and)) independent experts.
(a) For each four-year project category, the scoring system must, at a minimum, include an evaluation of enrollment trends, reasonableness of cost, the ability of the project to enhance specific strategic master plan goals, age and condition of the facility if applicable, and impact on space utilization.
(b) Each four-year project category may include projects at the predesign, design, or construction funding phase.
(c) To the extent possible, the objective analysis and scoring system of all capital budget projects shall occur within the context of any and all performance agreements between the office of financial management and the governing board of a public, four-year institution of higher education that aligns goals, priorities, desired outcomes, flexibility, institutional mission, accountability, and levels of resources.
(4) In evaluating and scoring four-year institution projects, the office of financial management shall take into consideration project schedules that result in realistic, balanced, and predictable expenditure patterns over the ensuing three biennia.
(5) The office of financial management shall distribute
common definitions, the scoring system, and other information required for the
project proposal and scoring process as part of its biennial budget
instructions((, except that, for the 2009-2011 budget development cycle,
this information must be distributed by July 1, 2008)). The office of
financial management, in consultation with the legislative fiscal committees ((and
the joint legislative audit and review committee)), shall develop common
definitions that four-year institutions must use in developing their project
proposals and lists under this section.
(6) In developing any scoring system for capital projects proposed by the four-year institutions, the office of financial management:
(a) Shall be provided with all required information by the four-year institutions as deemed necessary by the office of financial management;
(b) May utilize independent services to verify, sample, or evaluate information provided to the office of financial management by the four-year institutions; and
(c) Shall have full access to all data maintained by the higher education coordinating board and the joint legislative audit and review committee concerning the condition of higher education facilities.
(7) By August 15th of each even-numbered year((,
beginning in 2008,)) each public four-year higher education institution
shall prepare and submit prioritized lists of the individual projects proposed
by the institution for the ensuing six-year period in each category. ((On a
pilot basis, the office of financial management shall require one research
university to prepare two separate prioritized lists for each category, one for
the main campus, and one covering all of the institution's branch campuses.
The office of financial management shall report to the legislative fiscal
committees by December 1, 2009, on the effect of this pilot project on capital
project financing for all branch campuses.)) The lists must be submitted
to the office of financial management and the legislative fiscal committees.
The four-year institutions may aggregate minor works project proposals by
primary purpose for ranking purposes. Proposed minor works projects must be
prioritized within the aggregated proposal, and supporting documentation,
including project descriptions and cost estimates, must be provided to the
office of financial management and the legislative fiscal committees.
(8) The office of financial management shall convene
a group by August 15th of each even-numbered year to rank projects in priority
order in a single list to be submitted to the legislature for the ensuing
biennium. The group shall consist of one representative of the higher
education coordinating board, two representatives of the council of presidents,
two representatives of the office of financial management, and one
representative of the Washington state economic development commission. The
council of presidents' representatives must rotate every two years, with each
four-year public baccalaureate research institution representing the council
of presidents once every two biennia and each four-year public baccalaureate
nonresearch institution representing the council of presidents once every four
biennia. The Washington state economic development representative shall be
appointed by the governor and will change every two years. The governor
or a designee may participate in determining the prioritized list.
(9) The priorities set by the group shall consider policies for the
state's higher education system to achieve growth and manage existing assets in
a responsible manner, biennial budget projections for capital expenditures, and
biennial budget projections for student full-time equivalent growth."
Correct the title.
EFFECT: Requires the Office of Financial Management to convene a group to rank higher education projects in single list by priority order.
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