Board of Governors - APPENDIX II - June 28, 2001

REPORT OF THE PROPERTY AND FINANCE COMMITTEE

FOR APPROVAL

1. Dental Kit Fees

Recommended: That the Board of Governors approve the Dental Kit Fees for 2001-02 as shown below:

Background:

Dental kit fees apply to each of the four years of the DDS program and the two years of the Qualifying program. The kits are retained by students and meet MTCU guidelines of non-tuition related ancillary fees.

In addition, the cost of these kits are averaged over each of the years in the respective programs. As a result of this averaging we are seeing significant cost increases for kits in years 3 and 4 of the DDS program in order to compensate for lower fees paid by those students in the previous 2 years.

FOR INFORMATION

1. Siting - Advanced Technology Centre

At its meeting of June 18, 2001, the Property and Finance Committee approved the siting of the Advanced Technology Centre as shown on Annex 1, adjacent to the Boundary Layer Wind Tunnel, as well as an addition to the Engineering Science Building for four general university classrooms.

2. Siting of New Residence (BG.01-038)

On May 3, 2001, the Board of Governors approved two proposed sites for the new residence in the area of Althouse College and authorized the President, Vice-President (Administration), Chair of the Board and Vice-Chair of the Board to make the final decision following the open public meeting held on April 30 and the Senate meeting on May 18, 2001. The site chosen is the one on the west side of Western Road, in front of Althouse College.

3. Utility Infrastructure Project in Support of SuperBuild

The Property & Finance Committee has approved the utilities infrastructure project in support of SuperBuild at an estimated cost of $6 million. A consultant report prepared this year by Chorley and Bisset Ltd. identified shortcomings with the existing central steam and chilled water production at the Campus Power Plant. The consultant's findings are as follows:

1. The boilers and chillers are aging. Two of the four boilers will soon be 40 years old. Two of the four chillers in the South Chiller Plant are already 35 years old. All four of these chillers use Refrigerant R11. Production of R11 was totally phased out more than five years ago.
2. Additional boiler and chiller capacities are needed to meet both current and anticipated SuperBuild building loads and to provide minimal redundancy to support operations. There is no space in the existing Power House for any additional equipment.
3. About $17 million needs to be invested in the Power House to add the required steam and chilled water capacities, and to replace the aging equipment. This amount is made up as follows:

   Power House Addition - $1.1 million

   Boilers - $8.0 million

   Chillers and Primary-Secondary Pumping - $8.3 million

   Total $17.4 million

   In addition, two chillers in the north campus will need to be replaced.

4. The upgrading work could be done in stages. There are a number of approaches that can be taken. The recommendation is to add a chiller and a boiler to meet expect utility demand from SuperBuild. It is a low cost option and partially moves us towards the needed complete rehab. of the plant. At least $5 million would need to be allocated for the initial construction work. This part of the work would include:

   Power House Addition - $1.1 million

   New Boiler - $1.9 million

   New Chiller - $2.0 million

   Total $5.0 million

The following is a total project construction estimate:

Estimated Cost:

Construction - $4,500,000.00

Fees - $450,000.00

$5,000,000.00

Contingencies $500,000.00

Other Costs (incl. levies, inspections, approvals, tests, $500,000.00 project management)

Total Project $6,000,000.00

Financing:

UWO Contribution - $5,600,000.00

Benefitting Partners / LHSC - Robarts - $400,000.00

Total $6,000,000.00

Some funding will be provided by LHSC and RRI to cover the capital costs associated with the supply of steam to the proposed robotics addition at UH (LHSC) and the addition to RRI.

Source of UWO funds for the project will come from SuperBuild and deferred maintenance allocations in the Capital Budget.

Completion of the project is scheduled for Fall 2003.

4. Quarterly Financial Report (Operating and Ancillary Budgets)

See Annex 2.

5. Report on Investments

See Annex 3.