Ways and Means backs $22.8 million for NSHE planning; chair removes bond sweep after fiscal concerns

The Assembly Ways and Means Committee approved Senate Bill 427, a bill that provides $22.8 million in state funding for planning and maintenance projects across the Nevada System of Higher Education (NSHE), and amended the measure to remove a proposed transfer from the consolidated bond interest and redemption fund.

Under the bill as amended, the committee approved: - $6,200,000 in state planning funds for a life‑sciences building at the University of Nevada, Reno (UNR), matched by institutional funds; - $6,200,000 in planning funds for a new business building for the UNLV Lee Business School, matched by UNLV institutional funds; - $4,600,000 to Great Basin College for equipment replacement and related work; - $3,500,000 to Truckee Meadows Community College for exterior repairs and window/roof replacements to the Red Mountain building; - $1,200,000 to the Desert Research Institute for fire sprinkler installation in older buildings; and - $1,100,000 to Western Nevada College for Jack C. Davis Observatory improvements.

The work‑session amendment deleted section 2.5, which originally would have directed the state controller to transfer $22,809,302 from the consolidated bond interest and redemption fund. Chair Monroe Moreno said she was uncomfortable using that fund given statewide fiscal pressures and opted to replace the transfer with general‑fund appropriations and an additional $300,000 appropriation for the College of Southern Nevada for project updates at its Northwest campus, including the Center for Excellence in Public Safety.

UNR President Brian Sandoval described the UNR life‑sciences project as replacing a building constructed in 1957 and said modern facilities will support pre‑nursing, biology, agriculture, biotechnology and other programs that feed the state's workforce pipeline. Sandoval estimated total construction costs for the life‑sciences building near $123 million in today's dollars and said the university will use student fees and financing to cover the construction gap after planning is complete.

UNLV’s representative to the committee (identified in the hearing as Chris Seavey) said the Lee School project will likely cost in the $120 million to $150 million range and that UNLV intends to pursue philanthropic fundraising and internal bonding capacity to help build the new facility. Both institutions said they expect to match the state planning funds with institutional dollars for design completion.

Patricia (Patty) Charlton, speaking for NSHE, outlined a number of one‑time maintenance projects for community colleges and the Desert Research Institute, citing aging HVAC systems that require refrigerant no longer supported and buildings in need of life‑safety upgrades. Andrew Klinger, UNR vice president for administration and finance, walked members through the treasurer’s debt‑capacity schedule and said the consolidated bond interest and redemption fund is projected to have about $331.6 million on hand at the end of fiscal year 2026, with roughly $300 million of obligations in fiscal 2027 — leaving about $31 million above the policy percentage. Klinger said the proposed transfer would take about $22.8 million from that surplus, a step committee members questioned.

Committee members said the bond‑fund transfer raised concerns because the consolidated fund has been used in the past to preserve state fiscal stability; the chair responded by offering and adopting the amendment to delete the transfer language and seek general‑fund alternatives. The universities confirmed that UNR has a memorandum of understanding with labor and that UNLV will follow UNR’s lead as it negotiates a project labor agreement.

Support testimony came from construction trades, chambers of commerce, higher education leaders and local governments. Desert Research Institute representatives said the sprinkler funds would protect irreplaceable collections and research facilities; Truckee Meadows Community College detailed the Red Mountain building’s history and deferred maintenance needs.

In the work session the committee adopted the chair’s amendment deleting section 2.5 and voted to amend and do pass SB 427. The motion to amend and do pass was made by Assemblymember Steve Bacchus and seconded by Assemblymember Watts; the motion carried. The committee record shows the bill will move forward to the next legislative stage with the amendment deleting the proposed bond transfer.