The Board of Trustees at Ohio State University authorized release of $925 million for design, construction, and construction management contracts related to the OSU Medical Center’s ProjectONE.
The project is one of three in a pilot program the General Assembly authorized to test alternative methods of managing public construction in the state.
“I am grateful that Ohio State has the opportunity, through ProjectONE, to demonstrate the efficiencies that are sure to come by removing the burden of antiquated, mandatory construction processes,” President Gee said.
The $1 billion medical tower is being financed with money borrowed through university bond sales, and $75 million in development funds.
Trustee action came as Governor Ted Strickland, OSU President Gordon Gee, Columbus Mayor Michael Coleman and others broke ground for the expansion that is expected to result in creation of 10,000 full-time jobs.
Mr. Strickland said the project would provide an immediate economic boost to central Ohio by creating 5,000 new construction jobs while transforming the center into a worldwide leader in innovation.
“But the project will also have a long-term impact on central Ohio’s economy by attracting the best students, doctors and scientists to fill some of the 10,000 permanent jobs that will be created here,” the governor said.
“The result will be faster and greater job-creation, more path-breaking medical research, and better care for patients and their families,” he said.
OSU said 6,000 of the full-time jobs created over the course of the project would be at the medical center. At least 4,000 indirect, full-time jobs would be generated throughout the region from spending by the university, its faculty, staff and visitors.
By 2015, ProjectONE is forecast to pump $4.1 billion annually into the Ohio economy.
Included is construction of a central, single tower that will house a new Arthur G. James Cancer Hospital and Richard J. Solove Research Institute, along with a new critical care building, integrated spaces for research, education and patient care, and upgrades to existing facilities.