53H-9-504. Funding request for capital development project -- Legislative approval -- Board prioritization, approval, and review.

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Effective 5/6/2026

(1)In accordance with this section, a degree-granting institution is required to receive legislative approval in an appropriations act for a dedicated project or a nondedicated project.

(2)A degree-granting institution shall:

(a)submit to the board a proposal for a funding request for each dedicated project or nondedicated project for which the institution seeks legislative approval; and

(b)ensure that the proposal described in Subsection (2)(a) includes:

(i)the name of the project;

(ii)a specification of the intent of the project as a dedicated project or a non-dedicated project;

(iii)the projected cost of the project and the sources of funding, including internal funds, requested legislative appropriations, matching funds, or debt;

(iv)a budget for the project, including:

(A)any land cost;

(B)architecture and engineering costs;

(C)any impact fees;

(D)horizontal development costs, including infrastructure and site work;

(E)vertical construction costs;

(F)furniture costs;

(G)any plan to fund future operations, maintenance, and staffing costs;

(H)financing costs;

(I)construction management, project management, or other administrative costs; and

(J)costs associated with the demolition or remodeling of existing space;

(v)a rendering of the project;

(vi)a narrative explaining the use of the facility, including the facility's expected life span;

(vii)a facility utilization analysis demonstrating that the existing facilities are inadequate to serve the program or function for which the institution is seeking funding; and

(viii)the amount of square feet of the project, including a breakdown of the uses of the space by square footage, including any:

(A)classroom space;

(B)lab space;

(C)office space;

(D)meeting room space;

(E)entertainment space;

(F)residential space;

(G)garage or storage space;

(H)mechanical space; and

(I)common areas, including any atrium, stairway, restroom, or commons.

(3)The board shall:

(a)review each proposal submitted under Subsection

(2)to ensure the proposal:

(i)is cost effective and an efficient use of resources;

(ii)is consistent with the degree-granting institution's mission and master plan; and

(iii)fulfills a critical institutional facility need;

(b)based on the results of the board's review under Subsection (3)(a) , create:

(i)a list of approved dedicated projects; and

(ii)a list of approved nondedicated projects, prioritized in accordance with Subsection

(5); and

(c)submit the lists described in Subsection (3)(b) , including the relevant proposals, to:

(i)the governor;

(ii)the Higher Education Appropriations Subcommittee; and

(iii)the Division of Facilities Construction and Management for a:

(A)recommendation, for the list described in Subsection (3)(b)(i) ; or

(B)recommendation and prioritization, for the list described in Subsection (3)(b)(ii) .

(4)A dedicated project:

(a)is subject to the recommendation of the Division of Facilities Construction and Management as described in Section 63A-5b-403 ; and

(b)is not subject to the prioritization of the Division of Facilities Construction and Management as described in Section 63A-5b-403 .

(a)Subject to Subsection

(6), the board shall prioritize institution requests for funding for nondedicated projects based on:

(i)capital facility need;

(ii)utilization of facilities;

(iii)maintenance and condition of facilities; and

(iv)any other factor determined by the board.

(b)The board shall establish how the board will prioritize institution requests for funding for nondedicated projects, including:

(i)how the board will measure each factor described in Subsection (5)(a) ; and

(ii)procedures for prioritizing requests.

(a)Subject to Subsection (6)(b) , and in accordance with Subsection

(5), the board may annually prioritize:

(i)up to three nondedicated projects if the ongoing appropriation to the fund is less than $50,000,000;

(ii)up to two nondedicated projects if the ongoing appropriation to the fund is at least $50,000,000 but less than $100,000,000; or

(iii)one nondedicated project if the ongoing appropriation to the fund is at least $100,000,000.

(b)For each calendar year, the dollar amounts described in Subsection (6)(a) shall be adjusted by an amount equal to the percentage difference between:

(i)the Consumer Price Index for the 2019 calendar year; and

(ii)the Consumer Price Index for the previous calendar year.

(a)A degree-granting institution may request operations and maintenance funds for a capital development project approved under this section.

(b)A degree-granting institution shall make the request described in Subsection (7)(a) at the same time the degree-granting institution submits the proposal described in Subsection

(2).

(c)The Legislature shall consider a degree-granting institution's request described in Subsection (7)(a) .

(8)After a degree-granting institution completes a capital development project described in this section, the board shall review the capital development project, including the costs and design of the capital development project.

Amended by Chapter 473 , 2026 General Session