The Higher Education Coordinating Commission and university leaders told the Joint Capital Construction Committee of Ways and Means on May 2 that the governor's recommended budget would boost the Capital Improvement and Renewal (CINR) fund to $200,000,000 in Article 11‑Q bonds to pay for roofs, HVAC upgrades, ADA improvements and other smaller renewal projects across the state university system.

Ben Cannon, executive director of the Higher Education Coordinating Commission, said the CINR fund is intended for smaller renewal and improvement work rather than whole‑building replacements or new construction. "This is a fund that we administer on a formula basis for universities to make upgrades to HVAC systems, roofs, ADA accessibility, or other deferred maintenance needs," Cannon said.

The recommendation would raise the fund well above recent levels: Cannon said CINR had previously peaked at about $110,000,000 in a prior biennium and that the governor's proposal would leave less room in the budget for individual, legislatively‑named projects. University officials described a different, lower request. "Our campuses would request $120,000,000 in Article 11‑Q bonds to maintain a steady level of CI&R funding," Jamie Moffitt, senior vice president for finance and administration at the University of Oregon, told the committee.

Why it matters: CINR distributes state bond dollars by formula to campuses so institutions can select and reimburse many smaller projects that address deferred maintenance and operational needs. Cannon and university leaders emphasized that CINR projects are typically smaller (examples cited in testimony ranged from several hundred thousand dollars to a few million dollars) and are chosen by campuses; the legislature sets the total pot.

Context and supporting details: Cannon said statewide facility‑condition metrics have improved as a result of sustained investment. He told the committee the universities' facilities condition index declined to about 9.8% by 2024 and that the average functional age of major facilities fell from roughly 54 years to about 21 years since 2019. The universities said preserving that progress requires ongoing CI&R funding while also balancing a handful of larger projects that need separate, project‑level bonds.

Discussion points recorded at the hearing included questions about how CINR allocations are distributed to each university and whether newer campuses such as OSU Cascades would receive substantial CI&R dollars. Cannon said allocations use a formula that accounts for space at all campuses and acknowledged newer campuses often qualify for less CINR funding. Kevin Neely, interim executive director of the Oregon Council of Presidents, said the universities' $120,000,000 request reflected an attempt to balance smaller renewal needs with larger, named projects.

What was not decided: The committee heard testimony and questions but took no formal votes at the May 2 public hearing on Senate Bill 5506. Any change to the governor's recommendation would require committee or legislative action in later budget work sessions.

Ending note: Officials provided ranked project lists and rubrics in the hearing materials and offered to supply campus‑level CINR allocation details on request.