Policy Title: Construction Project Approvals	Category: Administration
Owner: Vice President for University Operations	Policy ID#: 5-6030-001
Contact: Facilities Management-Dispatch Web: https://www.fm.colostate.edu/ Email: fac_pg_shared_dispatch@mail.colostate.edu Phone: (970) 491-0077	Original Effective Date: 8/30/2011 Last Revision: 4/19/2019

PURPOSE OF THIS POLICY

Colorado law requires that public entities conform to specific statutory and regulatory requirements for funding, initiating, performing, bidding, insuring, bonding, and contracting for any type of construction, including small projects and remodels. All construction activities must be undertaken pursuant to the authority of the State Architect, who has delegated authority to the CSU Architect as primary delegate to sign contracts, authorize work, and oversee project management. Selection of contractors and other professionals requires specific procedures that must be followed. Plan approvals, code compliance inspections, and other aspects of construction planning and performance must also be managed by Facilities Management to avoid risks to the University and individuals. The purpose of this policy is to inform the campus community of the requirements for approval of construction projects, including program plans.

APPLICATION OF THIS POLICY

This policy applies to all CSU academic and business units and all CSU employees.

EXEMPTIONS FROM THIS POLICY

The Department of Housing and Dining Services, the Lory Student Center, the Department of Telecommunications and the Colorado State Forest Service have limited authorization to perform maintenance work, to the extent authorized by an Memorandum of Understanding (MOU) with Facilities covering maintenance work performed by trained in-house staff. Professional services subject to C.R.S. §24-30-1403, et seq. are described in the MOU and are not within the scope of this exemption.

DEFINITIONS USED IN THIS POLICY

Construction or Construction Project: Any construction, alteration, repair, demolition, renovation or improvement of any land, building, structure, facility, road, highway, bridge, or other public improvement for use by or for the University, and maintenance of such facilities.  This includes, without limitation:   

1. Purchase of land, regardless of the value thereof;
2. Purchase, construction, remodeling, renovation, or demolition of buildings or other physical facilities, including utilities, to make physical changes for any reason, including, but not limited to, making programmatic changes, to meet standards required by applicable codes, to correct conditions hazardous to the health and safety of persons which are not covered by codes, to effect conservation of energy resources, to effect cost savings for staffing, operations, or maintenance of the facility, or to improve appearance;
3. Site improvement or development;
4. Purchase and installation of the fixed and movable equipment necessary for the operation of new, remodeled, or renovated buildings and other physical facilities and for the conduct of programs initially housed therein upon completion of the new construction, remodeling, or renovation;
5. Contracting for or performance of building trades and services, including, but not limited to, electrical, plumbing, painting, flooring, installation or removal of mechanical systems, paving, concrete work; and
6. Purchase of the services of architects, engineers, land surveyors, industrial hygienists, landscape architects, and other consultants to prepare plans, program documents, life-cycle cost studies, energy analyses, and other studies associated with any construction project, and/or to supervise construction or execution of such capital construction projects.

Professional Services: As used herein, “professional services” has the meaning set forth in C.R.S. § 24-30-1403(6) and includes all services within the scope of the practice of architecture, engineering, professional land surveying, landscape architecture, and industrial hygiene (which includes hazardous material consulting and surveys).

POLICY STATEMENT

All University departments/units desiring to initiate any construction project (as defined above) are required to contact Facilities Management prior to commencing any work, retaining any contractor, soliciting any bid or quote, or otherwise commencing the project, regardless of the project cost. Departments may not independently retain the services of contractors or hire or use existing employees, students, or anyone else to perform construction without prior approval from Associate Vice President Facilities Management.

POLICY PROVISIONS

Construction Project Approvals

The Department Head or other representative of any campus unit desiring to undertake any construction project is responsible for contacting Facilities Management to discuss the need for the project, funding, projected timeline, and other aspects of the project before any work is undertaken or any contractor is consulted.

Facilities Management will determine what reviews and approvals may be required for a proposed project (e.g., Master Plan Committee, Board of Governors, State Legislature, State Buildings Programs, or other official or body); advise the unit representative regarding the processes for requesting and obtaining any required approvals; and assist the unit in the planning, bidding, contracting and performing the work. The approval of the Operations Committee of the Cabinet is required for all projects with an estimated total cost of $150,000 or more.

Small-dollar projects (those under $150,000 total estimated cost) that can be performed by Facilities Management staff shall be estimated by Facilities Management before any contract is solicited. If Facilities cannot perform the work, or the campus unit desires to use an outside contractor, Facilities is responsible for conducting the construction procurement and administering the contract. Facilities requires that either the Dean’s or Vice President’s office of the appropriate college or department is notified on all requests that are initiated directly by those within the unit or department heads and directors.

In the event of a disagreement between a campus unit and Facilities Management as to project oversight, management, timing of performing services, or use of in-house vs. contract labor, the Dean or Director responsible for the unit and the Associate Vice President Facilities will meet and confer. If the disagreement cannot be resolved, the parties will inform the Vice President for University Operations of the circumstances for a determination.

Project Approvals and Program Plans

New Buildings, Additions and Major Revisions

All new buildings, additions and major renovations must be reviewed and approved by the University Master Plan and Space Committees.

Cash Funded Projects Less Than $2M

All projects must be approved by the Associate Vice President of Facilities Management, and if greater than $150,000 they must also be approved by the CSU Operations Committee. 

Cash Funded Projects Greater Than $2M Grants, Donations, Department Funds

Capital construction projects over two million dollars must be listed on the 2-year cash list approved by the Board of Governors and the State of Colorado Capital Development Committee (CDC). This list is updated every year and included in the annual Capital Construction Budget Request in July. The list can be amended at any time of the year, if cash funds become available for a project. A Board of Governors approved program plan is required. 

Bond Funds

Projects over two million dollars that will be funded through bond sales must be listed on the 2-year cash list approved by the Board of Governors and the State of Colorado Capital Development Committee. This list is formally updated every year and included in the annual Capital Construction Budget Request in July. The list can be amended at any time of the year, if bond funds become available for a project. Program plans are required and must be approved by the Board of Governors and the Department of Higher Education.

State Funded Projects

Projects requesting state funds (even if matched with cash funds) must be on either the 5-year state funded capital construction list approved by the Board of Governors, or part of the Controlled Maintenance Request. Requests for state funding are reviewed and prioritized during the legislative session, and out-of-cycle submissions are not accepted. Funding decisions are published in the Long Bill, with funds available at the start of the next fiscal year. Additionally, program plans are required for projects over $2M and must be approved by the Board of Governors and the Department of Higher Education.

Program Plan Process

A Program Plan Committee is formed in order to develop the project. This committee is responsible for gathering data and developing a plan consistent with the Campus Master Plan and the University Strategic Plan. An architectural firm may be hired to steer this process and produce the final document. The cost is generally paid by the department or college that will use the facility. The program planning team consults with the Facilities Management and appropriate deans and department heads during this process.

COMPLIANCE

Compliance with this policy is required. For assistance with interpretation of this policy, contact Facilities Management Planning. Failure to comply with this Policy may result in immediate suspension of any work and termination of any unauthorized contract. Pursuant to C.R.S. § 24-30-202(3), individuals who sign contracts or incur obligations on behalf of the University without the proper authority are personally liable for that contract or obligation.

REFERENCES

Board of Governors Resolution dated Dec.5, 2007

C.R.S. § 23-1-106 et seq., State Buildings Programs

C.R.S. §§ 24-30-1303(1)(z), (3)(a), (5)(a),(b),(c) (delegations to agencies/institutions)

C.R.S. § 24-30-1401-1403 (negotiation of consultants’ contracts/professional services)

C.R.S. §§ 24-92-101, et seq., Construction Bidding for Public Projects

C.R.S. §§ 24-105-101, et seq., Construction Contracts

State Buildings Programs/Office of the State Architect Delegation Letter dated August 24, 2012

MOU between Facilities Management, Housing and Dining Services, Lory Student Center and Colorado State Forest Service dated and signed May 2018

Board of Governors Resolution

APPROVALS

APPROVED by: Anthony A. Frank, President Aug. 30, 2011 

Revision approved April 19, 2019 by Lynn Johnson, Vice President for University Operations