LEGISLATIVE UPDATE - SUMMER 2010

North Carolina

Legislature Approves Nearly $1 Billion Toward Construction Funding Before Adjourning: Before wrapping up the short session at 5:32 a.m. on July 10, 2010, the NC General Assembly approved a number of bills that mark good news for the construction industry, including nearly $1 billion mostly for construction projects, including:

In Senate Bill 1154 (UNC Unappropriated Capital Projects), lawmakers approved more than $543.8 million, mostly for construction, such as these projects:

Appalachian State University:
Steam and Chilled Water Tunnel Serving the Center for Student Leadership and Development:
$2,752,000
Plemmons Student Union Expansion: $20,619,000
Center for Student Leadership and Development Honors Residence Hall: $32,887,000
Steam Distribution System Improvements - Phase IV-A $2,492,000
Winkler and Belk Residence Halls Fire Suppression Sprinkler System Installations $1,162,000

East Carolina University:
Clement and Greene Residence Halls Fire Suppression Sprinkler System Installations $2,910,600

North Carolina A & T University:
Aggie Stadium Press Box Renovation and Expansion: $3,200,000

North Carolina State University:
Talley Student Center Renovation and Expansion: $120,000,000
Greek Village Townhouses: $25,000,000

The University of North Carolina at Asheville:
Governors Village Renovation and Expansion: $24,917,000

The University of North Carolina at Chapel Hill:
Carolina North Infrastructure Improvements: $5,000,000
Graham Student Union Renovations: $7,500,000
Kenan Stadium Improvements, Phase 2 - Carolina Student Athlete Center for Excellence:
$55,000,000
Lenoir Hall Renovations: $5,000,000
Woollen Gymnasium Renovations, Phase 2: $7,100,000

The University of North Carolina at Charlotte:
Football Complex: $45,394,000
Parking Deck I:  $28,080,000

The University of North Carolina at Greensboro:
Quad Residence Halls Comprehensive Renovation and Expansion: $52,500,000
Dining Hall Comprehensive Renovation: $31,500,000
Ragsdale and Mendenhall Residence Hall Fire Suppression Sprinkler Installations: $1,700,000

Western Carolina University:
Residence Halls Renovation: $4,735,300

UNC Hospitals:
Ambulatory Care Center (ACC) Expansion and Renovation: $26,777,000
Imaging and Outpatient Center: $21,871,000
General Internal Hospital Renovations and Equipment: $6,000,000

In addition, lawmakers approved using non-General Fund money for these projects:

The University of North Carolina at Charlotte:
New Residence Hall Phase X:  $5,156,500
Residence Dining Hall Renovations/Replacement: $2,033,000
Parking Deck J: $ 2,741,800

The University of North Carolina at Pembroke:
Student Health Services Comprehensive Renovation and Addition: $390,052

In Senate Bill 897, the budget bill, legislators authorized more than $397 million for construction, as well as some land acquisition and equipment, including:

• $113.8 million from the Education Lottery Fund for Public School Building Capital Fund. 
• $9.1 million from the Water Resources Development Project Funds, including $2 million for Wilmington Harbor Maintenance.
• $16.1 million from the Non-General Fund Capital Improvement Authorizations, including $1.3 million from the Department of Agriculture and Consumer Services for Markets/Southeast NC Ag Center - Multipurpose Pavilion and $1.5 million for Markets/Southeast NC Ag Center - Associated Development Around Multipurpose Pavilion. Also included is $3.6 million from the Wildlife Resources Commission for Statewide Boating Access Areas *BAA) Renovations.
• $283.2 million from the Wildlife Resources Commission Non-General Fund Capital Improvement Authorizations such as $9.3 million from the Department of Crime Control and Public Safety for Additions and Renovations to Armories, $1.1 million for Gastonia Armory Renovation and Expansion, and $6.7 million for Tactical Unmanned Aerial Systems Facility. Also included is $4 million from the Wildlife Resources Commission for Marion Hatchery and Depot Renovation and $3.5 million for Statewide Emergency Repair and Renovation.
• $120 million for UNC and State Agency repair and renovations (50-50 split).
• $55 million to finance the capital facility costs of acquiring equipment and completing related capital improvements for use by the University of North Carolina System and the North Carolina Community College System.

NC Mobility Fund: CAGC -- along with the NC Department of Transportation, the Office of the Governor, and other industry associations - helped obtain NC DOT funding in the 2010-11 budget for the NC Mobility Fund. This was extremely significant in that it accomplished several basic objectives that CAGC had pursued.

1. It provided a progressive funding increase of $31 million in 2011-2012, $45 million in 2012-2013, and $58 million in 2013-2014, which would then continue for all future years. This additional funding would be used for mobility and congestion-relief projects of regional or statewide significance. The initial project utilization will be for the northern roadway work associated with the replacement of the Yadkin River Bridge.
2. In order to provide the needed funds, it progressively eliminates all transfers from the highway trust fund to the general fund, which has been a political issue cited by the public and General Assembly as why they opposed additional funding for transportation. It was used as a convenient excuse why not to deal with the real problem of an underfunded need for transportation infrastructure.
3. It provides the framework for lobbying for additional revenues to be placed in this fund once NC DOT develops criteria by which projects could utilize this funding source.

For information, contact Dave Simpson, NC Building Director at dsimpson@carolinasagc.org, or Berry Jenkins, NC Highway-Heavy Director, at bjenkins@carolinasagc.org.