Archive for Health Science Building

YAVAPAI COMMUNITY COLLEGE FOUNDATION SETS GOAL OF RAISING $5 MILLION FOR PRESCOTT VALLEY HEALTH SCIENCE CENTER

Creates  a number of naming opportunities for potential donors

The Yavapai Community College Foundation has established a target of approximately $5 million to help fund construction of the Health Science Center on the Prescott Valley campus. As part of its fundraising efforts, the Foundation has devised various naming opportunities for potential donors.

For those interested in contributing to the development of this new facility, there is additional information below.

 It is important to note that, in response to challenges securing expected state or federal funding, the College’s District Governing Board, at the College’s request, has postponed the construction timeline from fall 2024 to around 2026-2027. The College has indicated that it remains committed to continue to explore state and federal avenues for potential support for the project.

ANTICIPATED CONSTRUCTION ON ESTIMATED THIRTY-NINE MILLION DOLLAR HEALTH SCIENCES CENTER COMES TO SCREECHING HALT; PROJECT UNEXPECTEDLY MOVED TO 2027

Two-thirds of funding sources have backed away from project; State budgetary problems receive most of blame; College to complete design stage with hope it will assist in raising future funding for the project

The Yavapai Community College District Governing Board approved the concept of a Health Sciences Center at  its November 2022 meeting. The facility would be constructed at the Community College’s Prescott Valley campus. Following the November meeting,  over the next few months the College began to  unveil its plans for the  Center. Eventually, it announced that construction on the facility would begin in August 2024. Apparently, that will not happen. It appears that about two-thirds of expected funding for the project has disappeared.

Timeline now has to be changed:

According to the presentation made by Community College Vice President Clint Ewell at the February 20, 2024 Community College District Board meeting, construction plans must be placed on hold as expected state and federal funding did not materialize. Absent quickly finding new funding sources, the start time for constructing the project will be delayed until at least  2027. 

It is noteworthy that at various times since the Center was approved in concept,  the College made somewhat vague public suggestions that it would obtain financial assistance from the state and federal governments to construct the Center.  At the Tuesday, February 20, 2024  District Governing Board meeting, Vice President of Community Relations & Student Development Rodney Jenkins appeared to lay most of the blame for the construction setback on the state of Arizona’s budgetary shortfall.  He said that while the Community College had support for the project from local legislators, the current state of Arizona’s budget caused the Governor to claw back funding for projects like the Health Science Center.

Mr. Jenkins seemed to dangle a remote possibility that the state might yet come to the rescue of the project, although prospects appeared dim. 

Absent a major change in obtaining funds for the project, it appears that the project will be delayed to 2027 when the District Governing Board approves the final budget for 2024-25 at its May meeting.  But stayed tuned.  Things seem to change overnight at the Community College.

It is noteworthy to recall that back in 2010-11 the Community College was working on a tentative plan with Northern Arizona University that appears to mirror the current Health Science Center project.  That effort eventually collapsed because of lack of funding. 

 

 

THIRTY-NINE MILLION DOLLAR HEALTH SCIENCES BUILDING PLANS MOVING AHEAD

Project in full design stage; College may avoid County taxpayer scrutiny and approval by using Revenue bond scheme for portion of construction

Yavapai Community College is moving forward with its plans to construct a Health Sciences Building at its Prescott Valley Center. Estimates place the total cost of such a facility, including a potential third-floor auditorium of sorts, at around $39 million.

The Community College executives and District Board members have available to them a scheme to fund portions of the building without relying on taxpayer funds or grants. This scheme involves creating what are called “revenue bonds” to  finance a portion of the project. Since revenue bonds are not directly repaid with tax dollars, the Community College can legally do this. The scheme has been used in other Yavapai Community College projects such as the renovation of the Prescott Campus residence halls.

To repay the revenue bonds over an extended period, the Community College must take funds only from tuition and other income producing sources, excluding property taxes. However, to replenish the funds drawn from these sources, it may, and most likely will, necessitate an increase in the County property tax rate, a decision requiring only three votes from the five-member District Governing Board. The public cannot block the tax rate increase once a majority on the Board approves it.

As a consequence, taxpayers  may end up ultimately indirectly repaying the Community College for the cash used to pay for the revenue bonds via the increased tax rate. Overall, this strategy serves to mitigate potential significant challenges from the community for a project of this scale. It is another tool in the obfuscation toolbox of the College and the Governing Board that often keeps valuable information well hidden from public view and prevents serious public scrutiny  from ever occurring.

Note: The following information as shown below was obtained from the Yavapai Community College Facilities Management newsletter of December, 2023.