Scope
This policy outlines the approval process and authorization necessary to sign contracts related to capital projects solely managed by the UW System on behalf of the Board of Regents (“capital projects”) and reporting requirements.
General signature authority for contracts not related to real property or construction is outlined in Regent Policy Document 13-1, “General Contract Approval, Signature Authority, and Reporting.”
Signature authority for real-property contracts is outlined in Regent Policy Document 13-2, “Real Property Contracts: Signature Authority and Approval.”
Purpose
The purpose of this policy is to establish that Board of Regents approval is required for all capital projects costing more than $5,000,000, to establish semi-annual reporting requirements to the Board of Regents for such projects, and to delegate authority to sign contracts associated with these projects.
Policy Statement
It is the policy of the Board of Regents to ensure that capital projects deliver high-quality, timely and cost-efficient outcomes. Through this policy, the Board of Regents exercises its stewardship and oversight responsibilities over capital projects on the lands under its control.
Additionally, the execution of contracts related to capital projects is delegated to ensure efficiency and accountability in management and administration. Those signing contracts are expected to have the requisite level of judgment and expertise to represent the Board of Regents.
Capital Project Approval
Board of Regents approval is required for any capital project that costs more than $5,000,000. Approval by the Board of Regents must be sought at or before 25 percent of design being completed. Additional Board of Regents approval is required for capital projects that cost more than $5,000,000 when there is:
- An increase to the budget of a capital project that exceeds the budget previously authorized by the Board of Regents by 10 percent or more; or
- A material alteration to the scope of a project from when authorization was initially provided by the Board of Regents.
Capital projects of $5,000,000 or less may be approved by a chancellor, or an employee delegated authority by the chancellor, subject to policies and procedures governing capital projects established by the UW System President. A chancellor may not delegate such authority without consulting with the UW System Office of Capital Planning and Budget and receiving written approval from the UW System President.
Capital Project Contract Signature Authority
The Board of Regents delegates to the UW System President the authority to execute contracts related to capital projects, including design and construction contracts (“capital project contracts”). For projects costing more than $5,000,000, the UW System President may not authorize design and construction work beyond the 25 percent design completion phase without obtaining Board of Regents approval for the project.
The UW System President may delegate capital project contract signature authority under this policy to other UW System Administration senior officials and chancellors. The UW System President shall establish the conditions under which a chancellor may delegate capital project contract signature authority. Any delegation for capital project contract signature authority made by the UW System President or a chancellor must be made in writing and filed in the Office of the President.
Reporting
The Office of Capital Planning and Budget will provide a report to the Board of Regents on a semi-annual basis for capital projects covered by this policy.
Oversight, Roles, and Responsibilities
The Office of the President is responsible for maintaining a current list of delegations made under this policy and for ensuring appropriate levels of oversight are maintained over the use of any such delegations.
The Office of Capital Planning and Budget will assist the UW System President in developing and maintaining policies, procedures, and reporting to oversee capital projects solely managed by the UW System.
Related Regent Policies and Applicable Laws
- Regent Policy Document 13-1, General Contract Approval, Signature Authority, and Reporting
- Regent Policy Document 13-2, Real Property Contracts: Signature Authority and Approval
- Section 16.855, Wis. Stats., Construction Project Contracts
History: Res. 10708, adopted 06/10/2016, created Regent Policy Document 13-5. Res. 11995, adopted 02/10/2023, amended Regent Policy Document 13-5.