From the University Budget website: "Capital budgeting is the planning of long-term projects. Management must allocate the University's limited resources between competing opportunities (projects), which is one of the main focuses of capital budgeting. Capital budgeting projects may include a wide variety of investments, including but not limited to, minor roof repairs, whole building renovations, repairs to existing infrastructure, and new construction. Because the amount of capital resources available at any given time for projects is limited, management needs to use capital budgeting techniques to determine which projects will be advanced over time.
"Board of Regents policy directs the administration to prepare an annual capital improvement budget and a six year capital plan."