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CORVALLIS, Ore. – The Oregon State University Board of Trustees Friday approved a 10-year, $1.667 billion forecast of potential new university facilities and improvements to existing buildings around the state.

The forecast supports OSU’s Strategic Plan 4.0 goals for 2019-23 to serve the university’s education, research and outreach mission, and invests in capital renewal of older university buildings to improve seismic resilience, accessibility and life safety.

Trustees also approved issuing $140 million in revenue bonds this year and another $78 million of revenue bonds during the 2025-26 fiscal year to fund the cost of future construction projects. University leaders proposed the bond approval at this time to take advantage of attractive current bond interest rates. Proceeds from these bonds would be used for future capital construction planned by OSU and would be supplemented with revenues from state bonds, fund-raising contributions from donors, university funds and other revenues, such as resources from possible public-private partnerships.

At Oregon State’s Corvallis campus, the 10-year capital plan includes investing in 13 building renovations, and the construction of two new STEM education and research buildings, an arts and education complex, the Oregon Quality Food and Beverage Center, and several housing and athletics projects, including improvements to the softball complex.

At OSU-Cascades in Bend, the plan calls for land reclamation and campus development work, including construction of three academic/research buildings, a student housing building, a physical plant facility, a solar energy farm, and a health and recreation center.

Along the coast, the plan calls for investments in a wave energy test facility that OSU is developing between Newport and Waldport and that is funded by a $40 million federal grant and additional state funds.

In other action Friday, the board:

• Approved metrics for tracking the university’s progress in carrying out Strategic Plan 4.0, which will guide the university’s priority initiatives through 2023.
• Approved a 6 percent pay raise for OSU President Ed Ray, which brings Ray’s annual compensation, effective Jan. 1, to $809,988. Going forward, the university will pay Ray $355,686 while the OSU Foundation pays the balance. As he has done in previous years, Ray committed Friday that he will donate the pay increase to OSU student scholarships and student success programs. The increase follows a positive review of Ray’s annual performance. Earlier in January, the university provided merit compensation increases to faculty and professional faculty that ranged from 1.8 percent to 6 percent and averaged 3 percent.
• Approved amendments to the board’s policy guiding university investments to manage risk; provide for liquidity of OSU cash assets used to run the university; and provide for a suitable return on investments.
• Discussed three key topics, including risks in today’s higher education landscape; the work of the Oregon State Foundation and Alumni Association; and OSU150, the university’s recently concluded celebration of its 150th anniversary.

Additionally, the board’s Finance & Administration Committee Thursday heard a report about OSU’s budget planning and a preliminary tuition outlook for the 2019-20 fiscal year. The report outlined future challenges the university faces due to uncertainty in state funding beginning July 1; increases in the cost of state employee benefits; and anticipated declines in undergraduate student enrollment in Corvallis.