The following is from the Fee Impact Committee Co-Chairs from their January 17th meeting.

Collection:

A fixed amount of, $48 F/W/S and $36 summer from the Student Facilities Improvement Fee (collection began Spring 2012).

The $48 fee: How much is accumulating?

(See Excel Sheet Fund 199994 for details)

What expenses are being paid out of the fund?

The $48 Student Facilities Improvement Fee is managed by the AABC on a daily, monthly, quarterly, and annual basis.  The MU Director, MU Construction team, University Facilities Services, and the Fee Impact Committee also have a hand in oversight and management of this fund and expenses related to these projects.  It is with great collaboration from many different departments, student leaders, and university staff leading to the success of this project being managed in a cash positive manner. The funds being collected in the Student Facilities Improvement Fund 199994 for the SEC & MU projects are being used to pay for design and development expenses, internal bank loan interest, future furniture, fixtures and equipment expenses (FF&E) for the SEC building, and future annual debt service payments after bonds are sold in spring of 2014. The design and development phase is complete and we are now in the construction phase with funding covered by an internal bank loan from OUS. The internal bank loan was used as a means to begin construction prior to a bond sale and benefit from a lower interest rate of 2% for a period of time. Fund 199994 is being used to cover the interest charges of this internal loan. As bonds are sold in spring of 2014, the internal bank loan will move to permanent financing over 30 years and 20 years for the SEC and MU projects respectively. The interest rate on the permanent financing will adjust up to 5.25% at this time. The annual projected debt service on this financing is $3,606,600. This annual amount will be posted to the MU fund 110111 to a debt service index with subsequent transfer from fund 199994 to cover the debt.