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April 18, 2002

2 legislators say they will look into additional costs for Petersen center

Two state legislators plan to press Pitt's administration for more details on financing of the Petersen Events Center, following reports that the University is seeking an additional $10 million on top of the $53 million that the state already has committed to the project.

Pitt had hoped to inaugurate "The Pete" by holding April 28's commencement convocation there, but the ceremony was moved back to the Mellon Arena when it became clear that the new facility would not be ready in time.

State representatives Don Walko (D-North Side) and Bill Robinson (D-Hill District) said they need to know more about Pitt's plans for funding the events center.

"I don't want to make a mountain out of a molehill, and I absolutely support Pitt and I support the [Petersen] center," Rep. Don Walko told the University Times yesterday. "But when I was asked for information by a reporter last week and I didn't know the answers, I felt there was a lack of communication between Pitt and the legislature. I just want to understand what's happening. I was asked why we appropriated $15 million [more], and I said, 'No, we didn't.' I think there was some sort of disconnect in communication there.

"Now, as I understand it, Pitt is asking for $10 million more, whether it's for a food court or a fitness center or whatever," Walko said.

He said he expects to clarify specifics on Pitt's request at a scheduled meeting tomorrow, April 19, with Jerome Cochran, Pitt's executive vice chancellor.

Rep. Robinson said he introduced a bill, supported in the State House and currently under consideration in the State Senate, that would establish a board to oversee capital projects that exceed $4 million. He said he supported such a board regardless of issues surrounding the Petersen Center. "I'd like to see a governor-appointed bi-partisan board that gives legislators a role they previously have not had to review requests to the governor's office regarding the release of capital funds. The governor would retain the power to decide what funds to release, but legislators could review and make recommendations on the requests."

Cost of the Petersen Center is expected to exceed $96 million, up from the projected $52 million cost reported in 1997. At the time of the June 2000 ground-breaking, Pitt and state officials had adjusted estimates of the cost to $79 million.

To date, $83 million has been spent on construction and other costs, according to the state's Department of General Services.

In January, Pitt requested permission from the governor's office to use $15 million of this fiscal year's $20 million state capital project appropriation toward the cost of the events center, which the governor's office approved, according to Pitt spokesperson Robert Hill.

Last week, Pitt requested an additional $10 million in new funding from the state legislature for the events center project, Hill said. "We are projecting that we will need another $6.2 million," he explained. "That is related to moving some activity from Trees Hall to the Petersen Center in this expanded recreation facility. We have asked for $10 million in case we need more than the $6.2 million. If we do not, the remainder would go to offset other projects where the costs are greater than what the projected costs were." Hill declined to specify those projects.

Rep. Walko said of his interest in the Petersen center funding: "I don't want to make this seem negative. I just think it's our fiduciary responsibility to see where money for capital projects is going. We just need to keep a closer eye on things. I think maybe this is a weakness we have at the General Assembly."

Walko said he supports the bill introduced by Robinson to establish a state board to oversee large capital projects.

"There are policy issues here as well: job creation goals, aesthetics in the neighborhood where capital projects are going up, minority and women goals [for construction opportunities]," Walko said. "I just think it's our duty to keep on top of these projects all the way through the process, when we appropriate money and while the projects are underway."

Robinson said he fully supported the building of the campus center. "I'm a big Pitt supporter, including their athletic teams, and Pitt had a legitimate need for the center to be competitive in the Big East."

Pitt's basketball teams will begin play this fall in the Petersen's 12,500-seat arena.

But Robinson insisted that higher education institutions, including Pitt, are driven by athletic, rather than academic, priorities, creating what he called a "sportsocracy," a term coined by a Temple University professor, he said.

"We need a new relationship between athletics and academics," Robinson said. "You only have to look at when Pitt brought back Johnny Majors as football coach and upon his arrival he was making way more than the chancellor of the university," Robinson said. "Sports programs are driving college campuses."

Robinson acknowledged, but dismissed, Pitt's position that the Petersen Center is more than a basketball arena and will serve students in a wide range of ways.

"I don't agree with Pitt on that," Robinson said. "I'm uneasy with the budget situation, where it appears Pitt will increase tuition, but also is asking the state for more money for its athletic facilities. The Petersen family gave money for naming rights, but in terms of the whole project, it was a small amount. They get their name plastered on this building, and I'm sure the University will be selling naming rights to sections inside the building, and I think the state should get a cut of that. I think the state should have a better business relationship in the public-private deals where so much taxpayer money is involved."

Robinson said he intends to meet with Chancellor Mark Nordenberg during the next few weeks to discuss Petersen Center finances.

–Peter Hart and Bruce Steele


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