FISCAL NOTE

House Bill 220 as passed the House of Representatives (1) provides authority to manage the construction and renovation of property of educational institutions and certain state educational institutions to the governing boards of each respective instition; and (2) removes this authority from the Division of Construction Management (DCM) within the Department of Finance.

This bill would increase the obligations of the Alabama Community College System (ACCS) by an estimated range of $730,000 to $4.1 million annually, as estimated by ACCS and the DCM, respectively, which could be covered, at least in part, through construction fee arrangements with the colleges.

This bill would decrease the current fee obligations of educational institutions and certain state educational institutions for (1) capital improvement projects with a certified cost estimate not more than $500,000; and (2) repairs or maintenance of heating, ventilation, and air conditioning (HVAC) systems; or roof repairs or maintenance that would no longer require approval by DCM. In addition, this bill would increase the administrative obligations of DCM to report to the Legislature the plans and projects submitted for proposals for public K-12 schools. This increase in obligations would be offset partly by reduced administrative obligations associated with the transfer of authority from DCM to these entities, and user fee receipts to the DCM by an undetermined amount.