97-07-11 Trustees Approve Budget & Construction

TRUSTEES APPROVE BUDGETS AND CONSTRUCTION WORK

     COLUMBUS -- The Ohio State University Board of Trustees on
Friday (7/11) approved the university’s 1997-98 current funds
budget and a request for the fiscal year 1999-2000 capital
budget.  The board also approved construction contracts and
authorized design, and conducted other business.

Trustees approve 1997-98 current funds budget

     With the state budget newly approved and instructional
subsidies just having been released by the Ohio Board of Regents,
trustees authorized a spending plan for the university.  Some
details of the plan, however, won’t be firmed up until the
board’s September meeting.

     General fund revenues and expenditures are anticipated to be
$641.4 million this year, an increase of 4.3 percent over the
current year.  The university’s total budget, including income
and expenses at University Hospitals and other auxiliary units,
is more than $1.5 billion.  Of that, $297.3 million is the
instructional subsidy from the new state budget, an increase of 5
percent over last year, released earlier this month by the
Regents.

     General fund spending is projected to increase 4.3 percent,
which includes additional funding for academic computing, a new
financial aid system, increases in high-demand courses and
improvements in academic programs.

     Last month, trustees had voted to continue operations from
the July 1 start of the new fiscal year until Friday’s meeting.
Now, with state funds in hand and next year’s tuition set, they
were able to authorize expenditures within projected income
levels.

Trustees approve capital budget recommendations

     Trustees gave their approval to fiscal year 1999-2000
capital budget recommendations.  The board will must submit the
recommendations to the Ohio Board of Regents next month.

     Funding for basic renovations was the first priority, and
was recommended at $15.6 million.  The university uses those
funds as the primary source to help pay for deferred maintenance
problems, an area that has been deemed a high funding priority by
the trustees and other university officials.

     Recommendations were made for $87.9 million in projects,
including phase one of a physical sciences building ($20
million), renovation of Hagerty Hall ($18.5 million), completion
of the Heart and Lung Institute ($5.4 million), replacement of
Sisson Hall ($17.6 million), and a building for the School of
Architecture ($9 million).

     The Physical Sciences Research Building will house the
Department of Physics in a $50 million facility on the site of
the Welding Engineering Laboratory on West 19th Avenue.

     The renovation of Hagerty Hall is made possible by the move
of the Fisher College of Business to new facilities. 
Recommendations are for the College of Humanities to use the
facility to consolidate its language instruction, said William J.
Shkurti, vice president for finance.

     The $5.4 million for the Heart and Lung Institute, on the
site of Upham Hall on West 12th Avenue, will allow that project
to be completed on schedule.  Another $6.3 million will be paid
by the College of Medicine for two additional floors for
anticipated research growth.

     The replacement of Sisson Hall is necessary to improve the
poor condition of space used by the College of Veterinary
Medicine and to meet accreditation requirements, Shkurti said.

     The new building for the School of Architecture was
partially funded in the previous capital budget, but $8 million
was transferred to speed construction of the Heart and Lung
Institute project when it became clear that the funds could not
be spent during this biennium.  The project could be completed by
2000.  It will be built on the site of Ives Hall and will free
the site of Architecture’s current home at Brown Hall for other
uses.

     Another $17.4 million was recommended for several other
projects, including supplemental renovations; planning for
renovation of Page Hall, the Botany and Zoology Building, Larkins
Hall and Robinson Laboratory; and replacement of barns at Don
Scott Field for the College of Food, Agricultural and
Environmental Sciences.

Trustees authorize construction bids, award contracts

     As work progresses on phase I of the Fisher College of
Business on West Woodruff Avenue, trustees have authorized the
university to proceed with construction of phase II -- the
undergraduate programs building, a resource center and an
executive education facility.

     Design, construction and utilities contracts were awarded to
firms to begin work on the three buildings.  Schoenbaum Hall for
undergraduate programs, Pfahl Hall for executive education and
the resource center are expected to be completed by June 1999.

     Nearing completion are Fisher Hall for offices and
administration and Gerlach Hall for graduate programs.  Still
proposed, but not yet part of a construction phase, is the
executive residence facility.

     The total cost of phase II is $42.4 million, which is coming
from the state and gifts to the university.  The complex was made
possible by a $25 million gift from businessman Max M. Fisher.

     Trustees also authorized the university to seek design firms
and construction bids for the Alumni House, a playground at the
Child Care Center, lighting at the Davis Baseball Stadium, and
surgical units in Doan Hall.

     The $8.7 million, three-story Alumni House will be built on
the south end of the Fawcett Center parking lot along the
Olentangy River.  The project is being paid by gifts to the
university and Alumni Association.

     The Child Care Center plans to renovate playground
equipment, paths, storage sheds, surface areas and fences.  The
$250,000 cost is being split by the Ohio Board of Regents and the
center.

     New field lighting at the Davis Baseball Stadium will
include eight lighting towers, controls and underground wiring.
The Department of Athletics is paying the $341,000 cost.

     At University Hospitals, plans are to convert three rooms in
the surgical suite at Doan Hall for operating use.  University
Hospitals is paying the $750,000 cost.

Miscellaneous business

     In other matters, trustees:

     -- Authorized spending $9.5 million to complete
implementation of the human resources and general ledger portions
of the Administrative Resources Management System (ARMS).  The
board also authorized spending $6.5 million to complete work on
the ARMS procurement system.  The systems are designed to
streamline administrative processes within the university.

     -- Authorized the university to establish a tax-deferred
payroll deduction plan for faculty members who are members of the
State Teachers Retirement System.  The plan will allow faculty to
purchase past service credits with pre-tax dollars.  A similar
plan already is in place for university staff with the Public
Employees Retirement System.

     -- Approved 170 contracts totaling $12.4 million for
research projects funded in May.

     -- Allocated the university’s share of proceeds from an
Affinity Card agreement with First USA Inc. to the Department of
Athletics and Campus Collaborative, with the remainder in
reserve.

                            #

Contacts: William J. Shkurti, vice president for finance,
          614-292-7232
          Jill Morelli, university architect, 614-292-4458

Written by David Bhaerman, University Communications, 614-
292-8422


[Submitted by: Von Vargas  (vargas.12@osu.edu)
               
Fri, 11 Jul 1997 15:20:21 -0400 (EDT)]
All documents are the responsibility of their originator.