PROJECT COST INCREASE/SCOPE CHANGE S.C.R. 48: FLOOR ANALYSIS






Senate Concurrent Resolution 48 (as reported without amendment)
Sponsor: Senator Ron Jelinek
Committee: Appropriations

CONTENT
The Department of Management and Budget, on behalf of Southwestern Michigan College, is requesting a project cost increase and scope change to the Information Technology Center/Renovation project at Southwestern Michigan College. The entire project cost increase is to be paid for by Southwestern Michigan College.


The project was initially authorized for construction in Public Act 297 of 2005 with a total project cost of $4.5 million funded half by the college and half by the State. Since bids for the project came in higher than the authorized cost, the college has elected to eliminate the addition to the M-Tec facility for the welding program, while maintaining the scope of the Information Technology Certification Center. This change will reduce the project cost by $695,000, which still would require an increase in the project's total authorization of $547,700 (12.2%). There is no requested change in the State's portion of project financing.


Fund Source Current
Authorization		 Requested
Change		 Revised
Authorization
  State $2,250,000 $ 0 $2,250,000
Institution $2,250,000 $547,700 $2,797,700
  Totals $4,500,000 $547,700 $5,047,700
FISCAL IMPACT
There would be no fiscal impact on State government, as the college will be financing the entire cost increase from its own revenue.


Date Completed: 6-8-06 Fiscal Analyst: Michael Hansen




floor\scr48 Analysis available @ http://www.michiganlegislature.org
 This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.

Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. scr48/0506