BUSINESS BUILDING FACES UPHILL BATTLE; UNIVERSITY: PROJECT STILL A TOP PRIORITY

Southeast Missouri State University's new $15 million College of Business Administration building looks great on paper. But turning it into reality may take some time.

University officials aren't ready to throw in the towel when it comes to the possibility of state funding for the project this year. But state construction money for the project was not included in Gov. Mel Carnahan's recommended budget for the 1994 fiscal year, which begins July 1.

"I'm not saying we are not going to be making a run at it," said Art Wallhausen, assistant to the president at Southeast. "But the climate in Jefferson City is such that it will be an uphill battle to get it in this year."

Ken Dobbins, vice president for finance and administration at Southeast, said state funding for higher education in general is currently taking a back seat in the legislative session, with lawmakers focused on the issue of funding for elementary and secondary schools.

"I think it is up in the air because of the elementary and secondary (schools) formula issue," he said.

The legislature was recently ordered by a circuit judge to rewrite the formula used to distribute $1 billion in state funds to Missouri's public school districts.

Dobbins said university officials will try to make their case for funding at budget hearings in Jefferson City.

But Rep. Mark Richardson, R-Poplar Bluff, a member of the appropriations committee for education and public safety, said there are simply no funds available this year for capital improvements.

"As a practical matter, I think it is safe to assume that for those of us in Southeast Missouri, we have two chances of getting the business building in the budget: slim and none," said Richardson.

Last year former senator John Dennis was successful in getting some planning money added to the budget, even though the governor and the Coordinating Board for Higher Education had left it out. But the funds were vetoed by then-governor John Ashcroft because they were not part of the original budget proposal.

Dobbins said that this year for the first time the coordinating board has recommended lawmakers appropriate construction money for the project. "I think that is a significant plus," he said.

Two years ago Southeast received $100,000 in state money for planning work on the project.

After additional planning funding was vetoed by Ashcroft last year, the Southeast Missouri University Foundation agreed to provide about $300,000 to allow Sverdrup Corp. of St. Louis to continue with architectural and engineering planning for the project.

"We are not finished with the construction documents; we have it on hold right now," said Dobbins.

But he said if state funding is secured this legislative session the plans could be completed quickly and actual construction started by early fall.

Southeast, through the foundation and its capital campaign, has already secured private funding of $2.85 million in donations and pledges for the project.

The future of the project now rests with the governor and the legislature. "We raised our part. We are ready," said Dobbins.

The state is being asked to pay for the lion's share of the project $12.12 million.

Dobbins said current estimates place the project cost at just over $15 million, with actual construction costing $13.11 million. Other costs include $850,000 for fixtures and furniture, $940,000 for architectural and engineering services and $170,000 for administrative costs.

Those cost estimates are based on starting construction this fall. It's anticipated that the total cost will increase if the project is delayed for another year or more, he said.

"Right now we are in a real good construction period," said Dobbins.

Plans call for construction of an approximately 100,000-square-foot structure near the corner of Henderson and New Madrid streets. The front of the building would face to the northeast.

The corporate-looking structure would consist of three floors and a half-basement storage area.

The building would have two wings, joined together by a multi-story atrium at the main entrance. The facility would include a 400-seat auditorium.

Much of the first two floors would be devoted to classrooms. The Small Business Development Center also would be housed in the building. Faculty and administrative offices for the college would be on the third floor.

Although the structure's exterior would include a lot of glass, Dobbins said the building is designed to be both energy efficient and practical. As now designed, about 80 percent of the building space would be usable, Dobbins said.

Deborah Beard, chairperson of the accounting and finance department, also praised the design. "We tried to plan as economical and efficient a building as possible (and one) with the right image."

The project remains the university's top capital improvement priority.

Dobbins and Beard said the building is badly needed.

Southeast is the only public institution in Missouri with a College of Business but no clearly defined business building, they said.

The college currently is spread out. The management and marketing departments are in Dempster Hall, a converted apartment building. The office of the dean and the administrative services and accounting departments are on the third floor of Academic Hall. The economics department is squeezed into the basement of Academic Hall.

Dobbins said the business building would free up space in Academic and Dempster halls that could then be used by other departments.

Beard said the business building would provide more than classrooms. It could help both the university and the community, providing a suitable site for business conferences, she said.

Beard said the building is also vital to securing national accreditation for the business school.

The business program at Southeast has grown dramatically, from less than 200 declared majors in 1960 to about 1,200 today.

(Some information for this story was provided by Political Editor Jim Grebing.)