University of Minnesota asks state for $500 million to fix old buildings

Eddy Hall on the University of Minnesota's Twin Cities campus has been sitting vacant for nearly a decade, with peeling paint, water leaks and mechanical issues in need of repair.

Buildings on the Crookston and Duluth campuses need heating and electrical upgrades. And the Multi-Ethnic Resource Center at Morris needs an elevator and restroom changes, in part to ensure more students can access the building.

The university estimates it will need $6 billion over the next decade to cover repairs and upgrades for aging buildings, and on Friday regents approved a plan to ask the state to provide $500 million.

The U is attempting to take a "bold new approach" to its capital request this year, asking only for funding to preserve existing buildings and not for new projects, Vice President of University Services Alice Roberts-Davis told regents in a public meeting earlier this fall.

"We hear from legislators across the state that it's more important to take care of what we have than to ask for something new," she said, "and our message to the Legislature this year will be: 'We heard you.'"

But on Friday, both Republican and DFL lawmakers said they would need more from the U to consider granting its request, if they even have the money to entertain additional asks this year. The university has presented a six-year plan for addressing building needs but hasn't yet specified which projects would be covered by that $500 million.

"That's a classic university proposal," said Rep. Gene Pelowski, DFL-Winona, chair of the House higher education committee. "They never want to tell us what their priorities are. They just want the money."

The request comes on the heels of another legislative session during which multiple lawmakers, including Pelowski, openly criticized U administrators for not providing more detail to support their budget requests and for not being more present at the State Capitol.

The university has been trying to repair its strained relationships with state politicians: Interim President Jeff Ettinger has been meeting with lawmakers. The U hired Roberts-Davis, who previously served as commissioner of the Minnesota Department of Administration, and it recently brought on former Democratic Senate Minority Leader Melisa López Franzen to serve as its chief lobbyist.

López Franzen, who has been on the job for a little under two months, said she's still working to learn the university systems and when various data will be available, but she's committed to getting lawmakers the information they need.

She said university officials often create multiple projections and their plans are "in flux" because "it's also what we get from the Legislature that matters in determining the end result."

In addition to the funding for repairs, the U is also planning to ask lawmakers for $45 million to supports its "core mission," money that could go to a variety of efforts such as limiting tuition increases, promoting research or expanding services for students. The U is currently on track to receive about $720 million from the state to support its operations next year.

It's not yet clear whether the state will consider additional funding requests. In off-cycle budget years, Gov. Tim Walz typically waits until updated financial forecasts come out in November to make major budget updates.

Pelowski said that if they do a bonding bill, for which the repairs might be theoretically eligible, "I don't think 500 million [dollars] is going to go to any one entity."

Lawmakers are likely to ask the U to prioritize its projects in more detail, and Pelowski anticipates that many will want to know how the university amassed such a large backlog. University administrators told regents in public meetings that they have received "irregular and insufficient" capital funding from the state.

Sen. Zach Duckworth, R-Lakeville, the ranking Republican on the Senate higher education committee, said lawmakers will try to find a way to support students while also ensuring that the university is spending its money responsibly.

"Our focus should always be on students and their educational needs while providing them access to the maximum higher education opportunities possible," he said in a statement, adding that limiting their costs should be a priority. "A comprehensive audit of buildings and facilities to determine their impact on student academic success is critical to ensure wise and justified investments."