STATE OF COLORADO DEPARTMENT OF HIGHER EDUCATION
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1 STATE OF COLORADO DEPARTMENT OF HIGHER EDUCATION FY CAPITAL CONSTRUCTION/CAPITAL RENEWAL PROJECT REQUEST- NARRATIVE (CC_CR-N)* A Capital Construction Fund Amount (CCF): $1,393,800 Cash Fund Amount (CF): $0 B Funding Type State Funded Intercept Program Request? Yes/No No C (1) Institution Name: Otero Junior College (2) Name & Title of L. Patrick Malott, CPA Preparer: Vice Pres. Of Admin Services D (1) Project Title Agriculture/Science Remodel (Phase_of_): Phase 1 of 1 (2) of Preparer: Pat.malott@ojc.edu E (1) Project Type: X Capital Construction (CC) (2) State Controller Project Capital Renewal (CR) No. (if applicable): N/A F (1) Year First Requested: FY 20_14 - _15 (2) Institution Signature Approval: Date G (1) Priority Number: _1_ OF _1_ (2) CDHE Signature Approval: Date * Accompanies CC_CR-C Form A. PROJECT SUMMARY: Otero Junior College is requesting $1,393,800 for expansion of our Agriculture Science Facility to include renovating 3,000 square feet in McDivitt Hall plus the addition of 2,400 square feet. The Ag Science program was created in with funding from a U.S. Department of Education Title III STEM Grant and is currently housed in the old fitness center facility in McDivitt Hall on our La Junta, Colorado campus. The Ag Science program has been steadily growing over the past 5 years with Spring 2017 enrollment over 40 students in agriculture related coursework. This project has, in addition to this request for State capital construction funding, $400,000 allocated from the STEM Grant specifically to be used for construction of a greenhouse to support our crop science program. The STEM Grant funding was scheduled to expire in September, 2016 and we would have lost this funding if not entirely spent by this date. As a result, the College began construction of the greenhouse facility in the fall of 2015 with completion of this portion of the project in May, The total cost of the greenhouse portion of the project came to $508,000 funded with the $400,000 in grant funding with the balance funded from Otero Junior College cash fund reserves. B. PROJECT DESCRIPTION: The project will renovate approximately 3,000 square feet of existing space in McDivitt Hall and add an approximately 2,400 square foot addition to the facility for our Agricultural Science Programs. The facility will house two modern classrooms of 1,100 square feet each, two general purpose laboratories at 1,000 square feet each, two faculty offices, a reception area and restroom facilities. The project will afford OJC Ag Science and general study students with a modern learning facility and the most current equipment used in the field. Page 1
2 C. PROGRAM INFORMATION: The classrooms and laboratory facilities will be multi-purpose in that not only will Ag Science students have use of the improvements, most other academic disciplines on campus will have the lecture and laboratory areas available for activities as the need arises. Depending on enrollments, we can have additional need for lecture rooms and lab facilities if general science, biology, chemistry, and physics courses fill to capacity. These improvements and additional space will assist with accommodating students in a comfortable environment conducive to learning. D. JUSTIFICATION: In 2012, Otero Junior College was awarded a U.S. Department of Education Title III STEM grant to expand programs in science, technology, engineering and math. A portion of this funding was used to stand up a full-scale Agriculture Science Program in cooperation with CSU-Fort Collins. This program was based on area need and offers OJC students the opportunity to receive transfer degrees in one or more of three tracks Animal Science, Soil and Crop Science or Agriculture Business. In its first year, the program far exceeded the enrollment goal with 24 full-time students. OJC projects having 45 students enrolled within the next two years. The program is currently housed in OJC s former Fitness Center in McDivitt Hall. This facility was built in 1975 and partially remodeled in 2004 to accommodate our Cosmetology program. A portion of McDivitt hall that has not been remodeled or upgraded is temporally housing the Agriculture Programs with makeshift classrooms and no laboratory or office space. Otero Junior College has no option but to house the program in this inadequate space because it is the only excess space on campus large enough to accommodate the courses. The time constraints of the grant and the emphasis from the Federal and State levels for increased STEM capacity made this move a necessity requiring the College to step up and meet these challenges. As OJC s service area is primarily an agricultural-based economy, this program is providing much needed training for area students, many of whom do not have the resources to leave the area for an education. It is both the timing and the program need that is driving the urgency of this facility request for the rural Arkansas Valley. The mission of Otero Junior College is predicated on providing quality higher education that is accessible, transforms lives, expands employment opportunities, enriches our communities, promotes individual and global culture diversity and fosters economic development. The improvements accomplished by the funding of this project will assist the College in providing a first class agricultural science program to our students giving them the basis for a successful career in any one of a number of agriculture occupational fields. The College s strategic plan priority goals include: Student Success, Access, Retention and Completion; Fiscal Stability; Facilities Planning / Campus Environment/Campus Safety & Security; and Institutional Effectiveness. The renovation and expansion of the McDivitt Hall facility will enhance our students opportunity for success in the new agricultural programs offered. The modern, up-to-date facilities will contribute to increased retention and completion of program degrees and/or certificates. We anticipate increased enrollment in agriculture courses will contribute to the College s fiscal stability as well as the overall effectiveness of the institution. The renovated laboratory and lecture facilities will not only improve Page 2
3 the delivery and effectiveness of agriculture programs, students in other disciplines such as sciences will reap the benefits of state of the art facilities that are safe and efficient. E. CONSEQUENCES IF NOT FUNDED: This renovation and expansion project is necessary to enable the Ag Sciences program at OJC to expand. If funding is not received, the Agriculture Science Program will continue to meet in a substandard facility in our old fitness center. This facility is lacking lab space so students would be forced to find outside space in which to perform lab work. This could include other OJC laboratories, which would present scheduling issues with existing classes. In addition, purchases of much of the equipment needed for the program would have to be delayed or purchased over a longer term period of time, again cutting into the quality of students education. Students will not have access to the current technology needed for a program transferring students to some of the best four-year agriculture colleges. OJC s enrollment will suffer in this program because of the lack of modern facilities and equipment. Students in our service area who want the most current and up-to-date training will have to bear the cost of getting an education out of the service area and most of these students will not have the resources to do it. F. LIFE CYCLE COST (LCC)/COMPARATIVE ANALYSIS: The alternative we used for comparison is a substantially scaled back project in comparison to the project as proposed. The project as submitted includes a complete renovation of 3,000 square feet and an addition of 2,400 square feet. The alternative would totally eliminate the addition, add only one laboratory and just address mainly life/safety issues in the current facility. In essence we would be forced to run a full blown Agriculture/Science program in about 2,300 assignable square feet. This is really one of the only alternatives we have because the space is so inferior at this time that to do nothing would be an injustice to students. The alternative has many ramifications that would not be good for the program including: Putting substantial money into a facility that still will give a substandard educational experience. Not providing the type of educational experience expected from transfer institutions Using STEM grant funds from the federal government to cover mainly life/safety issues in the facility and not really providing new innovative technology. Since expectations of students are for a quality education in a quality facility the new Agriculture/Science Program will have little chance of long term growth and therefore sustainability. This will force area students to once again have to attend another college and bear substantially more cost to obtain a quality educational experience in Agriculture/Science. Making students attend classes at all hours of the day and evening due to classroom and laboratory availability. G. ASSUMPTIONS FOR CALCULATIONS: The cost for this alternative is as follows: Page 3
4 The difference in the life cycle costs for the two programs is $1,365,951 over the twenty-year span. Based upon our current funding level this would equate to approximately 10 students per year in FTE production over the twenty-year period. Our feeling is that a new state-of-art facility will attract a minimum of 10 students per grade level (freshman/sophomore) or around 20 more total students per year into the program. Not only will we attract more students but the quality of the educational experience will be at a much higher level. This will serve these students well as they transfer to other institutions and lift the overall transfer and success rates. H. SUSTAINABILITY: This project will assist Otero Junior College in achieving performance goals as set forth by the Colorado Commission on Higher Education. The facility improvements will allow OJC to offer additional certificates and transfer opportunities to our students. The new agricultural programs will enhance educational opportunities for students that we hope will lead to increased enrollment, retention, and graduation/transfer leading to well-paying employment for successful individuals. Increased enrollment coupled with additional state funding will allow Otero Junior College to meet the demands of our students and provide affordability, accessibility and efficiency in the educational environment of Southeastern Colorado. I. OPERATING BUDGET IMPACT: Otero Junior College has had grant funding to cover the start-up and initial operating cost of this program including the greenhouse facility cost. We are confident FTE will be sufficient that by the program will be self-sustaining. J. PROJECT SCHEDULE: Summary of Total Present Values of Project Costs Alternative Phase Start Date Completion Date Pre-Design September 2018 December 2018 Present Value Initial Costs $660,000 Software Costs $10,000 Finance Costs $0 Program Costs $1,807,613 Operational Costs $90,362 Maintenance and Repair Costs $127,655 Environmental Costs $22,316 Replacement Cost $0 Annual Energy Costs $133,141 Municipal Service and Other Costs $0 Residual and Salvage $0 Total Life Cycle Cost $2,851,087 Page 4
5 Design January 2019 May 2019 Construction August 2019 March 2020 FF&E /Other April 2020 June 2020 Occupancy August 2020 K. ADDITIONAL INFORMATION: Please indicate if three-year roll forward spending authority is required. X Yes No Date of project s most recent program plan: Exemption Requested Project < $2,000,000 Please provide the link to the program plan or attach the N/A document: Request 6-month encumbrance waiver? Yes X No New construction or renovation? New X Renovation X Expansion Capital Renewal Total Estimated Square Footage 4,800_ ASF 5,400_ GSF Is this a continuation of a project appropriated in a prior year? Yes X No If this is a continuation project, what is the State Controller Project Number? N/A Page 5
6 June 30, 2017 Colorado Department of Higher Education 1380 Lawrence, Suite 1200 Denver, CO To Whom it May Concern, Pursuant to CCHE program plan instructions, we are requesting a program plan waiver for the OJC Agriculture Science Remodel Project. The estimated cost of the project is $1,393, which is below the $2,000, threshold for program plans. The project is straightforward and cost estimates were derived by using RS Means pricing and our local knowledge of the construction market. We have handled projects of this size and nature in the past and feel we have adequate knowledge to fulfill program needs without a program plan. Gross square footage is 5,400 and the assignable square footage is 4,800. We anticipate a slight increase in the operation and maintenance costs, but increased FTE in the new Agriculture Science Program will more than pay for the increased cost. I appreciate your consideration of the request. Feel free to contact me if you have questions. Sincerely, L. Patrick Malott, CPA Vice President of Administrative Services Otero Junior College
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