University capital outlay bill clears House

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HB 7149 passed through the House by a vote of 105-12, making various changes to how state universities regard fixed capital outlay, eliminating the requirement that universities enter into campus development agreements with local government, and increasing the cap for university capital improvement fees from 10 percent of tuition to 20 percent of tuition and tuition differential.

The bill further increases the amount of athletic fees that may be used to pay and secure revenue bonds, allows academic facilities that are part of multi-purpose capital outlay to be bonded without legislative approval of the project, and doubles the amount that universities may spend for building or renovation projects.

According to staff analysis, by eliminating the requirement that universities enter into campus development agreements with local governments, local governments will see a reduction in revenue collections – however future Legislatures will see some cost avoidance in the process.

Although the this measure has successfully cleared the House, it has no formal Senate companion.