Meeting - October 26, 2022


October 26, 2022
Video Conference
10:30 PM – 12:00 PM

Approval of the Minutes – Arden (5 Minutes)

Consent Agenda (No Item(s) – Arden (0 Minutes)

Action Items

1. 2023-2029 Biennial Six-Year Capital Plan – Staff Support (20 Minutes)

  • Info Item 22.03

2. BTEC Annex Lab Space Keystone Science Center, Strategic Lease – L. Van Roekel (10 Minutes)

  • Space Request #22-23

Information / Discussion Items

1. Physical Master Plan (2020), Call for Projects and Prioritization Process, (Info Item 21.07) – L. Johnson (15 Minutes)

  • Enrollment Growth Planning (Related to Info Item 22.04 2022 Academic Space Analysis)
  • COE Growth

2. DH Hill Library Comprehensive Study – S. Jones-Humienny (10 Minutes)

  • Info Item 22.05

Next Meeting: Friday, November 9, 2022, 10:30 PM – 12:00 PM



Wednesday, October 26, 2022
Holladay Hall, Conference Room 18
10:30 PM – 12:00 PM

Attendance and Distribution
Members present: Margery Overton and Katherin Stewart as delegates for Warwick Arden; Charles Maimone; Mladen Vouk
Staff Support present: Cameron Smith; Don Hunt; Doug Morton; Jonathan Horowitz; Lisa Johnson; Lisa Van Roekel; Liz Moore; Margery Overton; Sumayya Jones-Humienny
Staff Support absent: Adrian Day; Alicia Knight; Christopher Ross; Jessie Askew
Guests present: Barbara Moses; David Rainer; Katherine Stewart
Guests not present: Adam Brueggermann; Catherine Phillips; Lor Johnson

Approval of the Minutes
The minutes of the September 30, 2022 meeting were approved and have been posted.

Approval of the Consent Agenda

  1. 2023-2029 Biennial Six Year Capital Plan (Info Item 22.03)): Lisa Johnson presented the “NC State_FY23-29 Six-Year Plan 22.03 DRAFT 2022-10-26” proposed list of projects and “FY2023-29 Six-Year Capital Budget Request 22.03” categories of projects and reviewed the following:
    1.   State Capital and Infrastructure Fund (SCIF) Major Repair and Renovation (R&R) Projects:
      The top priority is to complete underfunded projects already underway. Proposed additional projects are the top-ranked ones from the Integrated Priority List (IPL) within the $2M – $10M range.
    2. SCIF Minor (Maintenance) R&R Projects: These traditional R&R projects can be completed in a single year with a project budget typically less than $4M. Facilities is in process of completing the list of FY2021-22 projects already allocated a total of $9.8M. The following grouping of projects, also pulled from the IPL, requests another $9.8M appropriated funding tranche for FY2022-23 through FY2028-29. D. Morton noted that with this new consistent funding model, NC State could plan more effectively.
    3. Named and New Appropriated Capital Improvement Projects: These comprehensive renovation/new construction projects in white were previously awarded a total of $110M and are underway with designer selections/design. Those in blue need additional funding to complete building and program requirements or to support new requirements for new programs that cannot be accommodated in existing buildings.
      1. The College of Veterinary Medicine’s (CVM’s) top priority is the new Equine Hospital. CVM plans to use its quasi-trust fund account combined with fundraising but has a limit of $50M total. The committee stated the university’s debt capacity cannot accommodate a 50-50% split for the total of $120M, which includes $20M for plant expansion to support the new hospital; therefore, the appropriations request must total $70M. The other smaller CVM projects should be moved further down the priority list or removed.
      2. The committee observed the Small Ruminant Metabolism Education project’s cost increased significantly due to escalation, but the request should be for $15M total. If that full amount is not awarded, then the project budget will be limited to $10M.
      3. D. Morton noted the emphasis is on improving facilities for STEM programs in Mann, Dabney, and Polk Halls. $34M of funding has been pulled together to improve Mann for intermediate College of Engineering (COE) growth, but the three buildings together need an additional $173M of comprehensive renovations. The additional $30M for Mann should complete programmatic, building system, and code compliance renovations.
      4. The committee questioned where the university stands with respect to capacity/space needs met. Staff Support responded that the SmithGroup, who is facilitating the new Physical Master Plan, is looking at that information. The committee noted that Mann, Dabney, and Polk are part of the strategy for the intermediate growth of COE, but not the full build-out for long-term growth projected by 2030. The biennial request recurs every 2 years and the university needs to articulate its capacity constraints and growth needs more definitively; therefore, the COE growth projects, which will require a very large amount of funding, will be deferred until the next biennial request. Furthermore, the utilization of space on campus and policies needed for better utilization must be addressed.
      5. The committee stated that metrics are needed for research productivity and lab space utilization as numerous labs appear to be underutilized. They recommended a study be done. Staff Support noted an internal study was done about 10 years ago on peer institutions but would need to be updated. The committee requested that this study be shared with them.
    4. Non-appropriated Major R&R and New Capital Improvement Projects: These include self-liquidating projects that are financed by the university and will go before the Board of Trustees for authority approval.
    5. Non-appropriated Minor R&R Projects: These traditional R&R projects are typically less than $4M and will also go before the Board of Trustees for authority approval.
    6. The committee agreed with Staff Support that NC State University’s memo to accompany the Capital Plan Request to the UNC System Office should indicate that we continue to work on the priority of COE growth and are implementing the first phase with funding allocated to date. In addition, we anticipate including the associated major construction projects in the next biennial request. The committee approved the project list for the capital plan request with the edits and notes as discussed.
    7. [Subsequent to the meeting, the determinations were made to rename the “Small Ruminant and Metabolism Facility” to the “Small Animal and Metabolism Facility” and reduce the project cost from $15M to $10M. It was also determined that the Cates West Student Housing and Dining Phase I project should be removed from this biennial request cycle and added to the next.]
  2. Biomanufacturing Training and Education Center (BTEC) Annex Lab Space, Keystone Science Center, Strategic Lease Space Request #22-23: L. Van Roekel presented the space lease request for renewal opportunities with the building’s new landlord. BTEC plans to grow in the future and would like to allow enough time to leverage new terms. NC State is the primary tenant in this building. The committee approved moving forward with negotiations and requested Staff Support return with a proposal.

Information / Discussion Items

  1. Physical Master Plan (PMP) (2020), Call for Projects and Prioritization Process (Info Item 21.07):
    1. Enrollment Growth Planning (Related to Info Item 22.04 2022 Academic Space Analysis):
      1. Lisa Johnson reviewed the “Prioritization Process” handout outlined by the SmithGroup. All projects will land on the IPL for qualitative and quantitative scoring for prioritization in one of three categories:
        1. Annual Spend Plan for projects less than $300K
        2. R&R for projects between $300K up to $4M
        3. Physical Master Plan process for projects $4M and over
      2. Project requestors will have to take a PMP course to be trained and credentialed for submitting projects in the future. Further discussion is needed, but the call for projects will be on a one- to two-year continuous cycle.
      3. A PMP committee/triage team will assess needs and help define the scopes of the projects.
      4. The authority for this process is the USC, which may be renamed more appropriately for the breadth of its responsibilities.
      5. The process will continue to be transparent and involve stakeholders from across campus for scoring.
      6. The committee indicated this is a great process but needs to include University Advancement for fundraising efforts and prioritization.
    2. COE Growth (Related to Info Item 22.04 2022 Academic Space Analysis):
      1. The Provost Office shared “2030 Estimates for Physical Master Planning” dated 2022-10-25 but noted that the Enrollment Planning Committee will begin work in 2022 to refine the estimates for enrollment management purposes.
      2. The same ratios should apply for undergraduate, graduate, and Ph.D. student growth.
      3. CVM will grow 8 students per year for the next five years and then they complete their growth
        for the foreseeable future.
      4. Staff Support noted that the PMP will be taken to the BOT in February for their approval; however, with delays in enrollment growth projections, Staff Support is evaluating the impacts on the schedule.
      5. For impacts on COE, other colleges, housing, dining, transportation, etc., the committee advised that a straight-line enrollment growth projection (except for CVM) be used with the caveat that this exercise is for high-level planning purposes only until the Enrollment Planning Committee can parse out more detail.
      6. The committee stated that Poole College of Management’s (PCOM’s) growth aspirations must also factor in funding and risk for that growth and associated hires and debt. USC must look holistically at the university’s overall growth plans in conjunction with this effort.
      7. [Subsequent to the meeting, it was determined that the projected enrollment growth number for COE differs from the deep dive effort that the SmithGroup and COE produced. Three affiliated engineering programs, the Department of Biological and Agricultural Engineering, the Department of Forest Biomaterials, and the Department of Textile Engineering, Chemistry, and Science fall under other colleges and were accounted for in SmithGroup’s and COE’s previous version. However, they are not accounted for with this latest version from the Provost’s Office; therefore, more follow-up is needed.]

Other Business

Next Meeting:
Wednesday, December 7, 2022, 10:30 AM – 12:00 PM

Meeting Adjourned at 12:00 PM