Budget Model Basics

Budget Model Overview Division of Budget and Planning Budget Model Principles and Decisions Building Care expenses will be paid by units on full-time equivalent (FTE) assigned per facility plus materials and supplies. Maintenance expenses will be paid by units having assigned space in a facility. All space will be charged by square foot and technical complexity. Costs will be spread using a Common Space Factor (CSF method) for each facility. This charge will reflect averaged costs for the entire campus, not actual costs for individual buildings. Utilities will be billed per building based on metering, and spread among building occupants based on assigned space.

Common Space Factor (CSF) Method Common Space are areas in a facility not attributable to any department, e.g. restrooms, hallways, stairwells. Codes included are: 010 Custodial Area 011 Fallout Shelter 020 Circulation Area 021 Stairs 022 Elevator 023 Ramps (retired code – last time utilized FY 2013 Certified Space Inventory) 024 Lobby 029 Elevator Machine Room (new code for FY 2014 Certified Space Inventory) 030 Mechanical Area (unless building is 100% coded as 030, typically utility buildings) 031 Public Toilet 032 Private Toilet 035 Shaft Area

Common Space Factor (CSF) Method Develop Common Space Factor for each facility code Determine total net space for each facility code Subtract common space area Apply that factor to net area in each assignable room Certified Inventory Space CSF Budget Model Space Facility Net Area 50,000 Common Space of Facility (10,000) Assignable Net Area / CSF 40,000 1.25 Sum of factored net area equals total net area in facility

Space Costing Model Overview Certified Space Inventory Data FY 2015 Assessments driven by FY 2013 Certified Space Data The two year lag is understood by Senior Administration. Data is maintained by colleges and division as part of their compliance with University Policy 2.7, Reporting the Use of Facilities. Audit and process management by the: Office of Cost and Capital Assets Facilities Inventory Office Space Planning Office All Models Use Common Space Factor (CSF) Method

Space Costing Model Overview, continued Models include: Building Care Planned Maintenance (excludes SUNY facilities) Preventive and Corrective Maintenance Utilities Stewardship (Maintenance & Utilities)

Building Care & Maintenance Assessment Levels Original (FY 2014) Assessment Based on: FY 2014 Cost Per Maintenance Point Included facility codes maintained by current central allocation List supplied by FM Maintenance Management May include buildings outside of site 29 Buildings that were not maintained by allocation Added buildings not covered by appropriation within site 29 Value based on stewardship level of appropriation Current Year (FY 2015) Assessment Based on: FY 2015 Cost Per Maintenance Point FY 2014 Assessment Base Increase for union / non-union SIP / Benefits / new space Statler – BC – refunded as they are specialized unit and care for their own facility (Hotel)

Building Care Model Overview FY 2013 Facilities Inventory Data Only facility codes and room types that Building Care cleans List supplied by Building Care No fee for service activity is included Common Space Factor Method with FTE Effort Points based method Use actual FTE’s assigned to each facility code by Building Care Apply CSF by facility to Custodial Load factor (FTE) for each facility Allocate costs based on total points CSF nuance: basically CSF of cleanable space * FTE

Building Care Cost Calculation Net Area X Common Space Factor (CSF) ---------------------------------------------------------------------------- = CSF Net Area X Custodial Load Factor (FTE’s assigned to facility) = Custodial Points X Labor Factor (factors in fringe benefit costs for endowed) = Labor Factor Custodial Points X Cost Per Custodial Point ----------------------------------------------------------------------------- = Assessment Charge For Custodial Points

Maintenance Model Overview FY 2013 Facilities Inventory Data used for FY 2015 Assessments All facilities within site 29 plus legacy off campus facilities maintained Common Space Factor (CSF) Method Premium for age and technical complexity Review of CU Data by Sightlines Maintenance Models vary with regards to facilities included: Preventive / Corrective Model: Endowed and Contract Colleges (includes SUNY) Planned Model: Endowed and Contract Colleges (does NOT include SUNY) Stewardship: Endowed and Contract Colleges (includes SUNY) PM/ CM and Planned model there are some refunds: SAS – Greeks & Co-Op’s – refunded as the fraternities / sororities / cooperatives pay their maintenance costs at the level they define – SAS didn’t want to pay an assessment and have to turn around and collect from them. (they have no custodians assigned so there is not adjustment in BC model.) They do pay for Stewardship model costs. Statler – refunded for PM/CM and BC as they maintain their own space and have a specialized function (Hotel). They pay full freight on Planned and Stewardship.

Maintenance Model Overview, continued Data Metrics and Sources Building technical complexity rating (scale of 1 to 5) Source: Sightlines, via Facilities Services – largely focused on heating and cooling, building air movement, and use intensity. The chart below reflects a cost comparison to reflect impact of technical rating. Tech Level Cost/Sq Ft % Differential 1 $0.57 100% 2 $0.64 113% 3 $0.74 131% 4 $0.87 155% 5 $0.99 175%

Technical Ratings

Maintenance Cost Calculation Net Area X Common Space Factor (CSF) ---------------------------------------------------------------------------- = CSF Net Area X Facility Technical Rating Factor = Maintenance Points X Labor Factor (factors in fringe benefit costs for endowed) = Labor Factor Maintenance Points X Cost Per Maintenance Point ----------------------------------------------------------------------------- = Assessment Charge For Net Area

Stewardship Model Overview Costs of shared resources assessed to all occupied space within the boundaries of the Ithaca Main Campus as defined by the Campus Master plan of 2008 (site 29) Maintenance examples: Custodial and maintenance costs for Barton and Bailey Halls Planned maintenance for institutional resources Appropriations for institutional wide functions performed by Facilities Services Utility examples: Street and public space lighting Utility costs for Barton and Bailey Halls Potable water for public areas Examples of institutional resources: paving projects, roads, sidewalks, bridges Examples of institutional wide functions performed by Facilities Services: Emergency light testing and fire extinguisher program, stewardship function within Facilities Engineering (required design standards and reviews) and Project Services Group (intake function)

Utilities Model Overview Separate Model for each commodity Chilled Water Electric Fuel Oil Natural Gas Potable Water Propane Steam Waste Water Includes campus generated utilities plus outside vendor utilities that are processed through Facilities Services (in legacy these were Academic and Contract Colleges utilities – paid by central administration)

Utilities Model Overview Facilities Engineering develops consumption numbers by facility. Only includes facilities for which cost and consumption is recorded in the utility billing data base (EBS) Two models – one for commodities affected by weather , one for all the rest. Steam, Chilled Water, Natural Gas, Propane, Fuel Oil are effected by the weather. Each commodity consumption is spread by building to the occupants of the building Common Space Factor (CSF) Method Steam & Chilled Water Develops a regression equation for each building, i.e., “How does the building see the weather” This regression equation is applied to a five year weather average which gives the consumption estimates. Any known deductions, e.g., energy conservation and increases, e.g., renovations are applied. Adjustments are made for buildings that are NEW and may not be fully utilized. Other Commodities Examine monthly historical behavior Typically utilize most current behavior for estimate. **Reaches out directly to Wilson lab for their estimated electrical use**

Utilities Model Overview, continued Commodity rates applied Campus is provided estimated utility costs for budget guidance Actual cost driven by metered data Common Space Factor (CSF) Method Steam & Chilled Water Develops a regression equation for each building, i.e., “How does the building see the weather” This regression equation is applied to a five year weather average which gives the consumption estimates. Any known deductions, e.g., energy conservation and increases, e.g., renovations are applied. Adjustments are made for buildings that are NEW and may not be fully utilized. Other Commodities Examine monthly historical behavior Typically utilize most current behavior for estimate. **Reaches out directly to Wilson lab for their estimated electrical use**

Questions