HB 2547 Summary

• Appropriates $13.4-13.5 million annually to Arizona State University, $14.2-14.3 million to University of Arizona, and $4.8-5.9 million to Northern Arizona University for fiscal years 2017-2018 through 2030-2031 for lease-purchase capital financing of research infrastructure.

• Creates a capital infrastructure fund for each university with continuous appropriations beginning in fiscal year 2018-2019: $11.9 million to ASU, $10.6 million to U of A, and $4.5 million to NAU, with annual adjustments based on GDP price deflator or 2% growth, whichever is less.

• Requires universities to deposit 20-25% of income from licensure, royalty payments, and intellectual property sales to the state general fund, with new agreements entered after April 30, 2017 subject to different net income and gross revenue calculation methods.

• Limits use of capital infrastructure fund monies to capital projects and debt service payments; prohibits use for professional sports facilities, operating expenditures, or projects reviewed before April 15, 2017.

• Authorizes Arizona Board of Regents to issue up to $1 billion in debt financing secured by capital infrastructure funds, subject to joint committee on capital review approval and university matching contributions from their own funds.