A strong education system is a critical component of a successful business climate in Colorado. Without it, Colorado lacks the competitive edge we need in today’s global economy. That said, Colorado’s current fiscal design means that our slowing economy creates challenges for adequately funding our two- and four-year institutions of higher education.

Recognizing that there is no easy answer to higher education’s funding challenges, we applaud the bipartisan leadership of Gov. Bill Ritter, Sens. Gail Schwartz and Josh Penry, and Reps. Bernie Buescher and David Balmer, for introducing Senate Bill 218. This bill modifies the way Federal Mineral Lease (FML) revenues are allocated by establishing a permanent fund to set aside millions of dollars from oil and gas drilling to fund capital projects for our higher education institutions, in addition to supporting the infrastructure in communities directly impacted by oil and gas development.

Colorado has seen at least five major natural-resource booms over the last 100 years, but has never fully capitalized on these energy developments to the benefit of our entire state. This legislative proposal establishes a unique way to invest FML revenues received through bonus payments and royalties from the federal government for energy development on U.S.-owned lands within Colorado. By using FML royalties to bolster the state’s higher-education capital construction needs, we are ensuring that these institutions — and the communities they serve across Colorado — can continue to successfully educate future entrepreneurs and business leaders.

Federal mineral lease revenues are projected to provide Colorado with as much as $2.7 billion during the next decade. If SB 218 is implemented, more than $650 million in new funding for higher education would be available, allowing the state to invest in building new classrooms and improving facilitates at institutions like Mesa State, Western State, Adams State, Colorado Northwestern Community College and the Auraria Campus.

Federal mineral lease resources are available for development, and the time is now for Colorado and its citizens to benefit, both today and for years to come.

WALTER ISENBERG, Chairman
Colorado Concern
JOHN IKARD, Chairman of the Board
Denver Metro Chamber of Commerce
Denver

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