STATE OF TENNESSEE December 2016 Monthly Report 1/21/2017

Agenda Financials Operations Energy Management Recycling Data KPI Summary Success Stories

Financial Performance

Financial Performance – December YTD (excluding 501.02) Description Actual Budget Variance % Gen Business Consulting Services $3,076,903 $3,957,736 $880,833 22.3% Insurance $315,923 $329,000 $13,077 4.0% Janitorial & Maintenance Supplies $171,839 $162,733 -$9,106 -5.6% Janitorial/Custodial Services $2,831,319 $3,196,380 $365,061 11.4% Maintenance of Grounds $548,007 $769,269 $221,262 28.8% Operational Supplies $109,788 $101,666 -$8,122 -8.0% Other $138,673 $222,918 $84,245 37.8% Other Maintenance & Services Building $953,394 $1,446,886 $493,492 34.1% Security Services $2,156,126 $2,419,058 $262,932 10.9% Waste Removal $160,321 $171,208 $10,887 6.4%   Total $10,462,293 $12,776,854 $2,314,561 18.1%

Financial Performance – December YTD (501.02 only) Description Actual Budget Variance % Gen Business Consulting Srvcs $0 0.0% Insurance Janitorial & Maint Supplies $15,561 -$15,561 Janitorial/Custodial Services $93,741 $13,533 -$80,208 -592.7% Maintenance of Grounds NonSt Operational Supplies Other Other Maint & Srvcs Bld NonSt $321,241 $514,244 $193,003 37.5% Security Services 100.0% Waste Removal Total $430,543 $541,310 $110,767 20.5%

Operations

Preventive Maintenance: On-Time Completion, December 2016 Volume Percent 98.8% On-Time Completion in December KPI Requirement for On-Time Completion

Reactive Maintenance: On-Time Completion, December 2016 Volume Percent 97% On-Time Completion in December KPI Requirement for On-Time Completion

Customer Satisfaction, December 2016 Reactive Work Orders: Customer Satisfaction, December 2016 Volume Percent 97.6% in December KPI Requirement for Customer Satisfaction

Customer Survey Responses Customer Requests Response Rate # of Requests are Customer-initiated and don’t include JLL-initiated work orders

Call Center Statistics Industry Benchmark for Abandoned Rate

Recycling

Waste Stream *YTD Dec. 2015 –Nov. 2016

Waste Stream Trend *YTD Dec. 2015 –Nov. 2016

Waste Type Data by Building *YTD Dec. 2015 –Nov. 2016

Environmental Impact *YTD Dec. 2015 –Nov. 2016

Energy Management

DGS-FRF Owned FM Total Energy Consumption

James K. Polk Building Historical Utility Trend Electrical utility costs at the building have been on a continuous decrease since 2013 All savings have been accomplished without capital funding JLL staff generated 65 low-cost/ no-cost energy conservation initiatives over 4-year period Summary of Initiatives: Converted inefficient lighting to LED during normal maintenance routines Synced building equipment run time with building occupancy trends Installed occupancy sensors for lighting control Replaced 13 chilled water and hot water pumps with new, high-efficiency models

Key Performance Indicators

Key Performance Indicators – December 2016 (using revised metrics for FY 17) Category KPI Weighting Goal Result Financial 50%   Savings Creation Operational 30% Reduce operational costs (501.01 and 501.02) by $560k or 1.92% 18.2% below plan Savings Creation Utilities 15% 50 new energy conservation initiatives with estimated annual savings of at least $1,000 will be submitted • 20 ECFs signed by State • 10 ECFs in State review Diversity Spend Goal 5% 25% of annual managed vendor spend 39% Facility Management Efficiency/ Reliability Reactive Maintenance Completion 12.5% 90% completed on-time within SLA 97% Preventative Maintenance Completion (Standard Equipment) 90% compliant based on monthly cycle 98.8% Equipment up time/down time for "Critical Building" systems Unplanned downtime of systems in "Critical Buildings“ within JLL control  0 Customer Satisfaction 20% Tenant Satisfaction 10% 90% Satisfaction ("satisfied or highly satisfied") 97.7% Client Satisfaction (Annual) 89% Satisfaction ("satisfied or highly satisfied") TBD 

Diversity Spend – December 2016 Name of Sub-contractor(s) Business Ethnic Code M/W/S Total Diversity Spend December Diversity Spend Walden Security WBE $2,454,380.63 $403,237.86 General Building Maintenance I SBE $1,604,156.83 $244,262.29 Two Rivers Roofing Inc $38,940.00 $6,690.00 Mayer Electric Supply Co Inc $8,627.70 $4,914.52 SDP $10,566.00 $0.00 DPM of Nashville $6,493.00 $1,150.00 Wilson Brothers Disposal $1,497.34 $230.36 Leland Inc SDVBE Seal Co Inc MBE Air Quest America   $4,124,661.50 $660,485.03 19% 39% YTD Diversity Spend

Success Stories

TLETA Backflow Preventer Replacement Situation Due to extensive corrosion, a 2-inch backflow preventer was leaking, indicating failed gaskets and seats. A full replacement of the apparatus, along with additional adjacent piping that was failing, was necessary. Outcome Bradley Adams and Jim Gallacher* self-performed the replacement of the entire assembly (and in one day) so water service could be restored as quickly as possible to the building. This self-performance resulted in $3,300 in savings and minimized downtime at the facility. *Jim Gallacher had just completed backflow training and is State certified to rebuild these!

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