Table of Contents:

I. UCONN 2000: THE CONTEXT
II. UCONN 2000: ACTIVITIES UNDERWAY

• PLANNING, DESIGN AND MANAGEMENT
• CONSTRUCTION
• FINANCE
• PRIVATE FINANCIAL SUPPORT

III. UCONN 2000: A REVIEW OF THE LAW

• PURPOSES
• CAPITAL PROJECTS
• PROJECT FUNDING
• CAPITAL PROJECT MANAGEMENT
• FLEXIBILITY AUTHORITY
• PRIVATE DONATIONS AND MATCHING GRANT
• ACCOUNTABILITY AND OVERSIGHT

LIST OF ATTACHMENTS

The University of Connecticut aspires to be the outstanding public university in the nation…a center for lifelong learning which excels in both teaching and research…a diverse community whose values promote mutual respect, inspire intellectual curiosity and encourage service to society…an environment that fosters academic and artistic achievement as well as productive and responsible student life…an institution with a global perspective that recognizes its special obligation to enhance the quality of life and economic well-being of Connecticut.The Trustees’ blueprint, the Strategic Plan, sets the University on the road to educational pre-eminence.

The General Assembly’s blueprint is Public Act 95-230, An Act to Enhance the Infrastructure of the University of Connecticut, the law that has come to be known as UCONN 2000. UCONN 2000 represents the $1 billion, as well as the responsibility and accountability, that Connecticut’s citizens decided to invest in the University in the coming decade.

The University will undergo many changes as it pursues the strategic goals adopted by the Board of Trustees. (Attachment A) While it is the Board’s vision of renewal for the University that sets the context and direction for the capital rebuilding program, it is the legislature’s supp ort that turns the vision into the bricks and mortar of lecture halls, researc h labs, and dormitories. Neither blueprint can become reality without the other.

The year 1995 has brought another piece of good news to the University: early numbers indicate enrollment for the freshman class is up by almost ten percent this fall, with 2,000 students entering as the Class of 1999 – the last class of the 20th century. Admissions officials say that most comments from applicants and their parents indicate that the news of UCONN 2000 was — remarkably — even more of a factor in their decision to attend the University than the increased visibility occasioned by our Big East champion men’s and our national championship women’s basketball teams.

These enrollment figures are even more important than one might assume at first blush: for years, surveys of students who chose not to attend UConn said the physical condition of the campus was a primary reason for going elsewhere. The quality of on-campus academic and housing facilities is consistently rated low, a view which undermines prospective student confidence in the academic program. This is especially true in the case of higher-achieving students , who are a target audience critical to the future of our state. If this state is to stop the “brain drain,” its flagship university must compete aggressively for students in the marketplace. UCONN 2000 is essential to this effort.

Finally, lest there be any doubt, the University community is fully mindful of the fact that it is an active partner in this endeavor. At the University Convocation on September 5, 1995, Provost Mark A. Emmert explained this partnership as follows:

…we should always remember the social contract we share with the good citizens of Connecticut. The University of Connecticut is a public trust, an organization established over a century ago by the people of the state for the betterment of their heirs and the broader society. This year the State of Connecticut reconfirmed its commitment to this public trust through the passage of UCONN 2000. For years, citizens have provided tax support and students have paid tuition knowing that the University of Connecticut would add value to their investment.

We within the University must clearly understand this relationship with our citizens and our supporters. It is incumbent upon us to demonstrate that their support is well placed. We must make every effort to organize ourselves intelligently, to invest our resources strategically, and to provide teaching, research, and outreach of the highest quality and rigor. It is imperative that we show clearly and unequivocally that the University of Connecticut is upholding its end of the bargain.

On June 22, 1995, Governor John G. Rowland signed the UCONN 2000 bill at a ceremony in front of Babbidge Library, the symbol of the University’s crumbling infrastructure. In the short time that has passed since the signing ceremony, the University has already begun to move forward on a host of activities designed to meet the timetables and expectations of the General Assembly and the Board of Trustees.

Please note that, while most of the activities mentioned in this report are projects specified in the UCONN 2000 legislation, some are supported by other funding sources. All significant projects underway are presented in this report, however, for two reasons.

First, we wish to ensure that all major capital activities are developed, implemented and reported in a comprehensive manner. Second — and most important — UCONN 2000 is more than a capital construction finance statute. The flexibility and management authority conferred on the University by UCONN 2000 has already made a dramatic change in terms of UConn’s ability to move projects forward in a planned, deliberate and timely fashion. Every project described has benefitted from the provisions of the new law; every aspect of overseeing the renewal of the University’s physical plant has been fortified by UCONN 2000.

• The management of all projects that have not yet reached the construct ion stage has been officially transferred from the State Department of Public Works to the University of Connecticut. The total value of these projects is $378 million. For capital projects already underway, the transfer of d esign contracts, project fund balances and other accounting information is in pr ocess.
• A group representing the academic, student life, administrative and op erational divisions of the University has almost completed the review and prioritization of all projects originally proposed in UCONN 2000. This review was undertaken to determine the adjustments necessary to accommodate the level of funding authorized by Public Act 95-230. The proposed list will be submitted to the Board of Trustees for review and approval prior to submission to the Bond Commission. The law requires the approval of the General Assembly if the Board recommends the deletion or addition of any project.
• Policies for selecting design consultants and prequalifying contracto rs were adopted by the University Board of Trustees on September 8, 1995. (Attachment B) Prequalification will ensure that contractors meet specific criteria regarding financial, quality and performance standards prior to being allowed to bid on a University project.
• A comprehensive list of deferred maintenance projects to be accomplished in Year One of UCONN 2000 has been completed.
• The University has begun developing a master schedule for all new instructional, research, library, support and telecommunications equipment to be funded out of UCONN 2000.
• The University has retained Dr. Harvey Kaiser, a nationally respected expert in higher education facilities management, to consult with Trustees and s taff on overall campus planning and design issues.
• Design funds for the new Agricultural Biotechnology building have bee n allocated and design is underway. Approximately half of the design costs are federally funded.
• A Policies And Procedures Manual is under development. This document provides in-depth information on project management, project reporting, financial reporting, construction standards and other “how-to” information on all aspects of UCONN 2000.

• The $18 million authorized for repairs to Babbidge Library has been allocated by the State Bond Commission and construction is underway.The planned completion date for the Babbidge Library, dubbed the “Poster Child” of UCONN 2000, is December 1996. The entire University community eagerly awaits the removal of the plastic sheeting that surrounds the library; Babbidge will be “unwrapped” later this fall.
• Demolition of the South Campus residence halls has been completed, making way for a new, multi-building South Campus that will permit a variety of student living arrangements and will incorporate current national standards for residence halls. The new management authority granted by UCONN 2000 permitted UConn to accomplish the demolition project in rapid fashion. Demolition began on August 21st and the last of the debris was being carted away as this report went to print. Groundbreaking is scheduled for next spring; students will move into the brand new buildings in the fall of 1997. The bricks from the demolition have become a hot consumer property, soon to be used in fundraising efforts!
• The Towers dormitories project, which involves new roofs, facades and windows for 16 residence halls, started in May 1995, and will be completed in August 1996. Exterior work, it goes without saying, must be completed before interior work can begin. The cost of the exterior project is born e by a combination of low interest federal loan funds and state self-liquidati ng bonds. The interior renovation is part of the second phase of UCONN 2000.
• Over the past summer the Andre Schenker and the Torrey Life Science lecture halls, as well as several classrooms in other buildings, underwent complete renovation. These facilities are among the most heavily used rooms on campus and their refurbishing has been a priority for students as well as faculty. Renovations include air conditioning, new seating, and the latest in instructional media equipment and technological capability. The classroom and laboratory renovation program is a multi-year commitment which has been expedited with the passage of UCONN 2000.
• The Field House renovation has gone out to bid. The project is slate d to begin in May 1996, a timetable designed to minimize impact on students. The 18-month shutdown means that some reduction in program will be unavoidable, but most activities will be offered elsewhere. The Field Hou se was built at a time when the University’s enrollment was only one-third of what it is today; predating Title IX, the original design simply cannot accommodate expanded women’s athletic programs and the growth in intramural and recreational activities.
• Physical enhancements are taking place university-wide, with the inst allation of sidewalks, paving stones, durable granite curbing and other site improvements across the campus.

• Meetings have been held with State Treasurer Christopher Burnham to p lan bond sales and related activities. The University has participated with t he Treasurer’s Office in interviewing bond managers, with a selection for UCONN 2000 to be made shortly.
• The timing of the appointment of bond counsel and bond managers is suc h that it is likely that the Master Indenture will be ready for action by t he Bond Commission by late fall. This schedule fits well with the timetable for o ther state bond sales planned for early fall. The Treasurer’s Office and the University remain committed to the first UConn bond sales upon Bond Commission approval of the form of the Master Indenture.
• The firm of Hawkins, Delafield & Wood has been selected by the Treasur er as bond counsel for the UCONN 2000 program to assist with the sale of ssecurities and related issues.

 

• As part of its commitment to the General Assembly to pursue aggressive ly other sources of financial support, the University has significantly expan ded its institutional advancement program. For the first time, ambitious goa ls have been set to increase overall giving to the University, and early resu lts show promise. Giving in 1993-94 totalled $6.8 million in cash and pledges . In 1994-95, giving increased by 20% to $8.2 million. This increase is especially impressive because the $8.2 million represents cash only (no pledges) due to a recent policy change to measure results by annual cash receipts. (Pledges promised, but not yet received, will no longer be calculated in annual tallies.) Even more ambitious goals have been set for the future: $12-$15 million in Fiscal Year 1995-96, and $25 million by 1997. In addition, the University plans to initiate a multi-year $250-$300 million capital campaign during Fiscal Year 1997-98. The University will soon complete staffing its operations to meet these goals. Our new advancement program will feature sophisticated annual fund, deferred giving, major donor, alumni and corporate and foundation fundraising capabilities.These capabilities will be supported in the context of a complete institutional advancement program featuring research, public relations, marketing and constituency development programs. The goal: a University that will compete effectively for private contributions.
• In July, the Board of Trustees approved guidelines governing the elig ibility of private donations for the $20 million state matching funds made availab le under UCONN 2000. Generally, state matching funds will be applied on a dollar for dollar basis to all private gifts and pledges of $25,000 to $2,000,000 which either create new endowments or add to existing endowments and are received in calendar years 1996, 1997 and 1998. (State matching grants will be paid in Fiscal Years 1998, 1999 and 2000). By targeting investment to endowments, the matching program will encourage new and existing donors to support the University’s long-term needs and assist the University in achieving the extra margin for excellen ce. Please see Attachment C for the complete guidelines.

 

The law known as UCONN 2000 is Public Act 95-230, An Act to Enhance the Infrastructure of the University of Connecticut. UCONN 2000 establishes a structured 10-year program to rebuild the University’s crumbling infrastructure at the Storrs campus, as well as to construct and equip academic and research facilities in Storrs and at the regional campuses. The law also establishes a matching grants program, similar to those of other public universities, designed to encourage and reward UConn efforts to increase substantially the level of private donations from alumni, corporations and others. Finally, UCONN 2000 makes the University accountable for the state of its facilities by authorizing it to manage all its capital projects. This grant of authority is intended to increase management flexibility, decrease bureaucratic red tape, reduce project costs and significantly improve the quality and timeliness of capital projects and ongoing maintenance.

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The provisions of Public Act 95-230 are summarized as follows:

PURPOSES

Defines the purposes of “The University of Connecticut 2000 Act” as:

• improving educational opportunities in Connecticut;
• establishing a special capital improvement program for UConn;
• enabling UConn to borrow money and enter into financial transactions o n behalf of the state;
• authorizing UConn to manage its capital projects; and
• assuring a state financial commitment to support these activities.

 

CAPITAL PROJECTS

Authorizes UConn to administer, manage, schedule, finance, design and construct the projects enumerated in the act to modernize, rehabilitate, renew, expand and otherwise stabilize the University’s physical plant.Those projects include:

• deferred maintenance,
• renovations and adaptations,
• new buildings and additions,
• equipment replacement and upgrades,
• library equipment and collections,
• transportation and parking, roads and walks, and
• residence halls.

 

Specifies each project authorized, including its estimated cost and its placement in either Phase I or Phase II of the program. Phase I is for Fiscal Years 1996-1999 and totals $382 million, and Phase II is for Fiscal Years 2000-2005 and totals $868 million. The total project cost of $1.25 billion must be reduced to $980 million by reducing the cost of Phase II projects. (The $980 million represents the $962 million authorized by UConn 2000 plus the $18 million for Babbidge Library authorized in Public Act 95-270.) UConn is required to file its revised list of Phase II projects with the State Bond Commission when it submits the form of the master indenture to the Commission.

Enables the UConn Board of Trustees to make material revisions in projects. Project additions or deletions can only occur upon the approval of the Board of Trustees and the General Assembly. Revisions, additions or deletions do not reduce the amount of the state’s debt service commitment.

Authorizes the University to determine the timing and sequencing of projects, and project cost revisions and reallocations.

Requires the University to report all actions involving project revisions, additions, deletions and project cost revisions and reallocations as part of the semi-annual reports to the General Assembly.

PROJECT FUNDING

Provides that the State, through the state debt service commitment, will fund the debt service costs of the securities issued for UConn.

Authorizes the University to issue securities in the name of the University on behalf of the State to finance UCONN 2000.

Limits the amount of securities the Board of Trustees may issue to the following specified amounts in each fiscal year of the program. ( P lease note that the amount specified for Fiscal Year 1996 does not reflect the $18 million for Babbidge Library authorized in Public Act 95-270.)

 

Permits the Board to carry forward to the succeeding fiscal year a ny portion of a year’s capped amount which is not used. The financing transacti on costs may be added to the capped amounts.

Authorizes UConn to issue securities under an indenture of trust o r a bond resolution and requires the securities to be general obligations of t he University, backed by its full faith and credit, unless they are spec ified as special obligations payable from special revenues in the indenture or resolution.

Requires the Board of Trustees to submit to the State Bond Commiss ion for its approval the form of the master indenture or resolution when the Board submits its revised list of Phase II projects.

Provides that the State Treasurer is responsible for the sale of t he UConn securities needed to fund UCONN 2000 and for setting the terms and provisions of each sale in conjunction with UConn.

Prohibits the University from securing funds from any other state agency or quasi-public agency to lease, finance or lease-finance any land or bu ilding outside the Storrs campus that requires an annual expenditure of more than $50,000 per year during the period when UCONN 2000 securities are issued.

Provides that the securities issued by the University are to be tax exempt.

Makes provisions similar to those provided for other state bonds with regard to liens and mortgages, interest rate agreements, trust funds, remedies, and securities refunding

CAPITAL PROJECT MANAGEMENT

Grants to the University, upon filing a request with the Commissioner of Public Works, the authority to design, plan, acquire, remodel, alter, repair, enlarge or demolish any real asset or other UCONN 2000 project at the University. This authority may be extended to any other capital project already underway at the discretion of the University.

Requires the University to prepare construction standards for all projects and prepare detailed plans and specifications for each project.

Authorizes the University to contract with a design professional, a general contractor and one or more prime trade contractors for any construction work.

Establishes the public bidding processes for construction contracts inc luding bidder prequalification.

Requires the University to award each construction contract to the responsible qualified bidder submitting the lowest bid in compliance with the bid requirements.

Deems each UCONN 2000 project to be a state public works project making each project subject to state laws with regard to preferences for sta te workers, wages and hours, occupational safety and health, and contrac tor disqualification.

Expedites the licensing, permitting and other administrative processes, including any judicial appeal of a pertinent administrative action.

Prevents local zoning regulations from barring a UCONN 2000 project in an area zoned to allow commercial buildings.

Deems UCONN 2000 projects to be part of the state plan of conservation and development.

Exempts any UCONN 2000 project which involves converting an existing office or commercial use building to an educational use from an environmental impact evaluation, from review and comment by the Council on Environmental Quality, and from the Department of Environmental Protection regulations concerning flood plains.

FLEXIBILITY AUTHORITY

Grants specific powers to the University pertinent to fulfilling its responsibilities under the act, including powers related to issuing securities, leasing, contracting with or employing architects, accountants, engineers, legal and securities counsel, and other professional and technical expertise.

Enables the University to establish funds and accounts, in addition to those already authorized by statute, needed to implement the provisions of the act.

Authorizes the University to indemnify and be sued with respect to financing contracts.

Authorizes the University to acquire and dispose of real property, and permits the University to accept gifts of real property without obtaining the approval of the Department of Public Works or the State Properties Re view Board.

Enables the University to lease land under its control with the approval of the Governor and the Secretary of the Office of Policy and Management; su ch authority had been limited to leases to private developers for the construction of dormitories. (NOTE: This change may be inconsistent with leasing authority granted in other statutes.)

Makes the University responsible for establishing and maintaining control of personal property and equipment.

Exempts the University from obtaining printing and stationery needs through the Commissioner of Administrative Services.

PRIVATE DONATIONS AND MATCHING GRANT

Establishes a permanent endowment fund to encourage private donations to support professorships, scholarships or program enhancements. (Section9)

Establishes a three-year (Fiscal Years 1998, 1999 and 2000) state match ing grant program to encourage private donations. The state will match up to $20 million over the three years with a maximum match of $10 million in any one fiscal year. UConn is required to certify to the Secretary of th e Office of Policy and Management the amount of the eligible gifts it received fo r its endowment during calendar years 1996, 1997 and 1998. The certification is to occur by February 15th of each subsequent year. The General Assembly is to appropriate an amount equal to the amount reported or, if not appropriated, said amount is deemed to be authorized as general obligation bonds. Each state matching grant is to be deposited into the endowment fund.

Provides that in the event the University receives more than $10 million in eligible gifts in any calendar year, the amount in excess of $10 million is to be carried forward and be eligible for a matching state grant in the next succeeding fiscal year.

Requires the UConn Board of Trustees to adopt guidelines governing the solicitation of endowment fund eligible gifts.

Establishes a special external gift fund to encourage private donations in furtherance of UCONN 2000.

 

ACCOUNTABILITY AND OVERSIGHT

Requires the University to submit to the State Bond Commission for its approval the form of the master indenture prior to the initial issuance of UConn securities. At such time, the University must submit a revised list of Phase II . Any substantive amendments to the master indenture form must be approved by the State Bond Commission.

Requires the Board of Trustees to submit each resolution for the issuance of securities to the Governor with a summary of the estimated costs of projects which will not be completed within the issuance. The resolution is deemed approved unless the Governor, within 30 days after receipt, disapproves a resolution by so notifying the Board in writing, including the reasons for such disapproval.

Requires the University to submit semi-annual reports on the status and progress of UCONN 2000 to the Governor and the Education, Finance, Revenue and Bonding, and Appropriations Committees of the General Assembly beginning October 1, 1995.

Each report must include:

• information on the number of projects and securities authorized, approved and issued, including project costs, timeliness of completion, any problems which have developed, and a schedule of remaining projects and their expected costs;
• revenue available for the remaining projects and expected receipts for the next year;
• information regarding money raised from private sources for the capital and endowment programs and progress made in developing and implementing the fundraising program; and
• any cooperative activities begun in the preceding six months with other higher education institutions.

 

Requires that each such report specify, for the preceding six-month period:

• the moneys credited to such fund on account of, or derived from, each source of state and federal revenue;
• the amount of investment earnings from the fund; and
• the moneys from such fund applied and expended for
  • the payment of debt service requirements,
  • the payment of principal and interest on securities issued and general obligation bonds issued for University capital improvement purposes, and
  • each budgeted account under the annual budget appropriation made to the University.

 

Requires the University to submit on January 15, 1999, a four-year UCONN 2000 performance review report to the Governor and the Education and Finance, Revenue and Bonding Committees of the General Assembly. The report must provide for each project undertaken the progress made and the actual expenditures compared to the original cost estimates. The report must also include a summary of cooperative activities with other higher education institutions. Within 60 calendar days of receipt of the report, the Education and Finance, Revenue and Bonding Committees are to consider the report and determine whether there has been insufficient progress or significant cost increases as a result of actions taken by the University. If so, the committees may make recommendations to the University and the General Assembly for appropriate action.

Requires the Board of Trustees to approve the relocation of the West Hartford regional campus prior to any authorization for funds to implement such relocation, provided the Board may expend funds for the Hartford relocation feasibility study prior to such approval. The Board is to submit recommendations for alternative uses of the West Hartford campus to the Office of Policy and Management. (Note: See Public Act 95-270, Section 10 which amends this section.)

Requires the Board of Trustees, prior to undertaking any UCONN 2000 project at a regional campus, to find and determine that the University considered opportunities for coordinating and sharing programs and facilities with other higher education institutions. The findings and determinations are to be included in the semi-annual and four-year performance review reports.

Effective Date: Upon passage (June 7, 1995).

 

 

STRATEGIC GOALS

 

STRATEGIC GOAL 1: Provide a challenging and supportive learning environment that fosters achievement and intellectual interaction among undergraduates, graduate students and faculty members and promotes excellence in research, scholarship and artistic creativity.

STRATEGIC GOAL 2: Recruit and retain outstanding students, faculty and staff.

STRATEGIC GOAL 3: Create a physical environment that reflects our expectation of excellence and encourages a strong sense of pride and ownership.

STRATEGIC GOAL 4: Enhance our sense of community by increasing and valuing interaction while developing a strong sense of pride and ownership.

STRATEGIC GOAL 5: Allocate and develop resources on the basis of mission value and performance.

STRATEGIC GOAL 6: Streamline administrative functions.

STRATEGIC GOAL 7: Promote the University’s role in fulfilling the needs of the state, its citizens and its economic institutions.

STRATEGIC GOAL 8: Foster a sense of partnership with the state.

 

Policies: Selection and Acquisition of Professional Services

Section 14(b)(3), Section 14 (b)(4) and Section 14 (c)(1) of Public Act 95-230 authorize the University to contract with professionals to plan, design and supervise UCONN 2000 projects and other capital projects.

1. The Vice President for Finance and Administration has the responsibility for the administration of these policies. Authority for their implementation may be delegated to appropriate operating departments.
2. A selection board shall be appointed to select professional services for each project.
3. Rating criteria shall be developed by the selection board.The contract shall be negotiated by the Vice President for Finance and
4. Administration or by the Executive Director of Facilities Management as designee.
5. The contract shall be approved by the Vice President for Finance and Administration or the Executive Director of Facilities Management by delegated authority, and the Office of the Attorney General.
6. Changes in scope that affect the cost of the project must be approved by the Vice President for Finance andAdministration or by the Executive Director of Facilities Management as designee.

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Policies: Prequalification and Selection of Contractors

Section 14(b)(4), Section 14 (c)(2), Section 14 (3) and Section 14 (c)(4) of Public Act 95-230 authorize the University to contract with construction firms for the building of UCONN 2000 projects and other capital projects.

1. The Vice President for Finance and Administration has the responsibility for the administration of these policies. Implementing authority may be delegated to appropriate operating departments.
2. Prequalification shall be required of all bidders for projects over $100,000.
3. Objective written criteria for prequalification of firms shall be developed.
4. A list of prequalified contractors shall be developed on an annual basis. Firms will be evaluated on written criteria, including but not limited to: (1) the firm’s previous experience with similar projects, (2) the firm’s financial ability to complete the project, (3) the firm’s ability to post surety bonds, (4) evaluation of the firm’s integrity and (5) a determination that the firm has no conflict of interest in connection with the project.
5. Prequalified firms shall be invited to bid upon a specific contract. Contracts shall be awarded to the lowest responsible bidder who conforms to the University’s standards for the project.
6. Upon completion of the bidding process, all bids may be rejected and negotiations may be entered with any three firms on the bidding list.
7. If it is in the best interest of the University and the State of Connecticut, all bids may be rejected and the contracting process reopened.

 

 

 

The following guidelines are proposed:

• The matching program and this policy apply to all University of Connecticut schools, colleges, and campuses.
• The match will apply to all pledges and gifts of $25,000 or more which either create new endowments or add to an existing endowments.
• The maximum amount of matching funds applied to any single pledge or gift will be $2,000,000
• All gifts and pledges will be matched on a one-to-one basis.
• Pledges must be documented by a signed agreement from the donor in which payments to be received during the matching period are specified.
• Gifts and properly documented pledges will be matched in the order they are received. However, properly documented pledges will reserve matching funds during the period of the match and they will not be displaced by gifts received later.
• Gifts of property will be eligible for the match provided that they are converted to cash during the match period.
• Life income and other deferred gifts will not be eligible for the match.
• Bequests and charitable remainders received during the matching period will be matched only if funds are available at the end of each year.
• Gifts and properly documented pledges received from reunion and memorial gift campaigns will be eligible for matching with the approval of the Vice President for Institutional Advancement.
• Exceptions to these guidelines may be granted by the President, Provost, Vice President and Provost for Health Affairs and Vice President for Institutional Advancement. All exceptions are to be reported to the Board of Trustees.

 

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