FY 2010-11 CAPITAL OUTLAY APPROPRIATION S.B. 1150 (S-2): SENATE APPROPRIATIONS REC.
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Senate Bill 1150 (Substitute S-2 as reported)
Sponsor: Senator Michelle A. McManus
Senate Committee: Appropriations
Date Completed: 11-9-10
Senate Bill 1150 (S-2) includes new State Building Authority (SBA) construction projects totaling $630.9 million, with a State share of $326.8 million. A $9.0 million General Fund grant (not funded through the SBA) is included for the construction of a new heavy aircraft capable maintenance hangar at the Oscoda-Wurtsmith Airport. The bill also includes a cost increase authorization (Sec. 605) for the Oakland University Human Health Building project, and a construction authorization for the Henry Ford Community College Science Building Improvements Project (planning authorization included in Public Act 278 of 2008).
The House Appropriations Committee reported its own version of the FY 2010-11 Capital Outlay appropriation bill (H.B. 5858) on September 23, 2010. That bill is currently on the House floor. Details regarding funding for institutions and a comparison to H.B. 5858 are included on the attached table.
The bill would result in additional State costs funded through new SBA bond debt obligations of $326.8 million. Annual General Fund rental payments to the SBA are estimated at $22.9 million to $29.4 million annually until the bonds are retired (approximately 15 to 17 years). Annual rental (debt service) payments to the SBA appropriated in the FY 2010-11 General Government appropriation bill total $241.9 million.
Senate Bill 1150 (S-2) also includes an appropriation of $9.0 million GF/GP grant for the Oscoda-Wurtsmith Airport.
Fiscal Analyst: Bill Bowerman