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State looks at higher ed bond $500 million to repair and improve buildings would be voted on in November of 2003 The Associated Press EUGENE - The Oregon University System may seek one of its biggest single funding measures ever next year: $500 million to catch up on a 40-year backlog of maintenance on campus buildings statewide. But rather than try to get the money from the general fund, the state would put a bond measure before voters in November 2003. A decision is expected when the State Board of Higher Education meets Feb. 15 in Eugene. It would allow all seven state university campuses to tackle a backlog of projects that have gone undone because of funding shortfalls. Marilyn Lanier, deputy vice chancellor for finance and administration, said the biggest need is upgrades to electrical equipment, which account for 27 percent of a maintenance backlog that now totals $488 million. After that comes heating, ventilation and air conditioning systems at 23 percent of the total, plumbing at 14 percent and built-in equipment at 13 percent. Campus buildings statewide have a replacement value of more than $3 billion, and catching up with the maintenance backlog is seen as a way to extend their life rather than spend more to replace them. Lanier said almost half of the square footage on university campuses was built between 1960 and 1975 to accommodate baby boomers. Those buildings are now pushing 40 years old. But maintenance budgets haven't kept up, Lanier said. For the past four legislative sessions, the university system has received about $12 million a year for building upkeep but has needed more than $40 million annually to stay current. Upgrades are needed throughout the university system, and Oregon State University leads the pack with about a third of the total, or approximately $161 million. Portland State University is second with more than $136 million in needs, followed by the University of Oregon with a $122 million list. Garry Fritz, a project manager at the UO, said one of the biggest needs on campus is for seismic upgrades to help buildings withstand an earthquake. "The only good thing to say is there has been some progress. We're not falling behind as fast as we were before, but it's still a problem," he said. "We're still not holding our own, and that means the backlog is growing." Under the proposal the authority to sell bonds would expire after 10 years and the bonds would be paid off over terms ranging from 15 to 30 years. The state board would decide how to divide the revenue among the seven campuses. The bonds would be part of the state's general obligation debt pool, with repayment coming from general state revenue rather than the university system budget. The size of the payments would depend on bond interest rates. No estimate of payments was available. Only education and administrative buildings would be covered. Residence halls, student unions and other buildings that are supported by separate fees would not qualify, and bond proceeds could not be used for new construction. If the board approves the measure it will go to the state Department of Administrative Services for review. It would then go to the Legislature in 2003, and, if lawmakers approve, voters would decide in November of that year. Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2001 Mail Tribune, Inc.