Expansion despite cash crunch

Massive capital expansions of Winnipeg's public university campuses are underway -- but how that could affect the crisis in their operating budgets is a government secret.

The Department of Advanced Education has rejected requests filed by the Free Press under the Freedom of Information and Protection of Privacy Act to release any internal government reports on the implications for future operating grants of the enormous capital expansions now underway at the University of Winnipeg and University of Manitoba.

The department says universities provide information about their financial situation to the province in confidence, and the schools expect that information to be kept private.

Both U of W and U of M are facing operating budget crises this spring, with significant cuts expected because provincial grants will likely fall far short of the money the institutions need to maintain the status quo.

If the two universities don't have enough money to pay the bills on the current buildings and land they own, how can they pay the bills on new buildings and new land?

That's secret, says the Selinger government.

But Bill Balan, U of W vice-president of finance, had no problem talking about it.

U of W is building a science complex two blocks west of the main campus that will receive up to $25 million in provincial capital grants. U of W has told the province since day one that the university will need more provincial money to run that science complex, Balan said.

"Right from the outset, we've informed the provincial government that we'll be coming to them for an increase in the operating grant," he said. "We couldn't take on 150,000 square feet without an increase in operating costs."

He expects the costs to be less than the normal operating costs on campus -- $9.50 per square foot.

Balan expects to have a firm figure about a year from now, when the complex should be near completion and ready for classes in September of 2011.

He said the university does not expect an increase in operating costs related to the four-storey Buhler Centre being built on the former army surplus store site on Portage Avenue, or the conversion of the former bus depot on Portage Avenue into campus space.

The university portion of both buildings will contain programs and services now operating in leased spaces throughout downtown, the Exchange District and the North End, so the university's operating costs will stay the same or possibly go down, Balan said.

The bus depot -- now officially the AnX (annex) -- "basically is a student and community service mall," he said. "Our tenants are all rent-paying."

And the new McFeetors Hall residence behind the science complex covers all its operating bills through student rent, Balan said.

Meanwhile, U of M has $47 million in provincial capital funding for its Project Domino, a campus-wide refurbishing, renewal, and renovation that will see a splendid new music faculty building, a new residence that will be the tallest building on campus, and shifting of programs and faculties from one refurbished space to another.

U of M will soon start planning what to do with the former Southwood golf course land it now owns.

U of M public affairs director John Danakas said the university plans its operating budgets and grants requests year-by-year, and has no idea yet what or when it will build on the golf course land.

nick.martin@freepress.mb.ca

Sorry, that's

confidential

THE Free Press asked, under the Freedom of Information and Protection of Privacy Act, for internal Manitoba government reports on the implications for future provincial operating grants of hundreds of millions of dollars in capital projects and new land acquisitions at the University of Winnipeg and University of Manitoba.

Here's what the Department of Advanced Education said, in rejecting our request:

"The department considers university budget requests as confidential. The universities provide the information to us in confidence and our practice is to treat the information as confidential.

"Universities are local public bodies as defined (in legislation) and therefore certain information received from them can be, and is occasionally expected to be, protected from disclosure.

"The department 'globally funds' the institutions' operating expenses, meaning we don't dictate how they can allocate the funding, it's up to the institution to decide that.

"Any analyses conducted in order to advise the minister on an issue would be withheld using (legislation) because the information may reveal advice, opinions, recommendations, or analytical alternatives and are based on consultations with employees of the department."

1. Spence Street

2. Wesley Hall

3. Science Complex and Richardson

College for the Environment

4. Canwest Centre for Theatre and Film

5. Duckworth Centre

6. Portage Commons

7. Campus Commons

8. Great Hall Learning Commons

9. Spence Street Storefronts

10. Renewed Academic Space

11. Housing Options

12. Boundary Streetscape

13. Infrastructure Upgrades

14. 491 Portage Avenue Complex

Partnership

15. Community Initiatives

16. Interior Pedestrian Streets

and Gateways

17. Buhler Centre

Republished from the Winnipeg Free Press print edition March 22, 2010 B1