Biosciences board should take note of construction savings
Earlier this week, University Research and Development Corp. officials announced a construction contract had been awarded to Turner Construction of Kansas City, Mo., to build the new Biomedical Research Center at the Kansas University Medical Center.
This is good news because it represents another positive development in meeting the objectives outlined nearly three years ago at a joint meeting of Kansas House and Senate members at Kansas State University.
Out of that precedent-setting meeting emerged the University Research and Development Enhancement Act, which ended up with a financial framework and plans to build a life sciences facility at the Med Center, a bioterrorism facility at KSU and an aviation research facility at Wichita State University.
This was a first for Kansas, and two of the individuals who played a major role in putting this visionary plan into action were Rep. Kenny Wilk, R-Lansing, and Clay Blair, a Kansas City businessman who then was chairman of the Kansas Board of Regents.
A corporation to oversee implementation of the plan and make sure money was spent as prudently as possible was set up with Blair as chairman. From the outset, it was obvious Blair and his corporation associates took very seriously their responsibility to represent the state in this endeavor.
Just because state construction projects may have been handled a certain way in the past was no reason out-of-date procedures should be continued. Blair and his associates made it clear from the outset that things would be different, starting with the manner in which architects would determine their fees for these costly projects. Millions of dollars were saved as a result of this single change.
Kansas taxpayers and Kansas legislators should have been thrilled when news of the Med Center project contract was announced. The winning bid of $42.2 million to build the structure was substantially below the estimated construction cost of $56.3 million.
This is a tremendous savings, and it came about, Blair explained, because corporation members were “looking outside the box in order to streamline state practices and save taxpayer dollars.” A $14 million savings on this single project is a significant achievement.
The corporation also is overseeing a $40 million bioterrorism project at KSU and a $10 million aviation research facility at WSU. In addition, there will be a $5 million structural biology building at the Med Center.
Groundbreaking has taken place for the KSU project, and Blair makes it clear similar efforts will be made to bring all three buildings in under cost estimates.
It is interesting to note that some KU officials believe the savings on the biomedical building should be handed over to KU to spend as it wishes. However, Blair and his corporation associates point out that the money does not belong to KU or the Med Center, but to the state. The savings from KU’s project may be used in several ways such as paying for any costs that exceed original estimates for the KSU or WSU projects.
Some at the Med Center have said they didn’t see why they didn’t have the authority to OK other expenditures for the research facility, but corporation officials said further requests for funding would continue to be funneled through the corporation.
The funding plan for the three projects calls for the state to provide the money for the first five years, but then the universities — KU, KSU and WSU — are expected to generate sufficient revenue to maintain the facilities. This means university officials must do a good job of identifying projects to be housed in these buildings so the necessary revenue is generated.
The overall project is moving ahead just as those who proposed the plan had hoped. There may be some bumps along the way, but the manner in which this project has evolved should enthuse and excite those now putting together a massive bioscience and job-creation package for the state.
Kansas legislators have approved this new plan, and various groups across the state now are trying to put together proposals to obtain funding. Here again, rather than having money pass directly to a university, a community or a tax-increment financing district for specific projects, an independent 11-member board will be appointed to decide who will receive funding.
Based on the excellent example set by members of the University Research and Development Corp. board in controlling costs and expenses, there is reason to believe an equally motivated biosciences authority board will be able to get the maximum benefit out of every dollar.
This is good news, and taxpayers and those eager to see Kansas move ahead in its efforts to attract more bioscience and life sciences projects — with the accompanying increase in job opportunities and tax revenue — should congratulate and thank Blair and his corporation associates.
It would seem Blair would be an ideal member of the Kansas Biosciences Authority board.

