PASBO 55 th Annual Conference 2010 Are You Defending Your Facilities Budget? Presented by: Scott Hair Regional Manager SchoolDude.com March 10, 2010

PASBO 55 th Annual Conference 2010 Times are tough Next year could be worse Expectations are changing When the going gets tough, the tough get going – Peer best practices – Leadership – Solutions

PASBO 55 th Annual Conference 2010 March 2009 The percentage of schools deferring maintenance increased from 21 percent 33 percent (FY ) Seventy‐two percent of respondents said their district had to eliminate positions in FY ARRA funding priorities: Technology (57%), school repair (54), safety/security (40), connectivity (39), professional development (37)

PASBO 55 th Annual Conference 2010 M&O: Budgets and Staffing Have Not Kept Up

PASBO 55 th Annual Conference 2010 Before students stepped foot in your doors this year, there was a $5,400 per student backlog of problems you needed to fix. Source: “Repair for Success: An Analysis of the Need and Possibilities for a Federal Investment in PK-12 School Maintenance and Repair” Prepared by the 21st Century School Fund November 16, 2009

PASBO 55 th Annual Conference 2010 “The Condition of America’s Schools: A National Disgrace” $266.1 Billion Unmet Funding Need for “School Infrastructure” – Addresses new construction and additions needed for adequacy. – Includes deferred maintenance This is more than twice the 1995 GAO Report of $112B Over $5,000 per student needed just to address infrastructure needs. School Business Affairs – December 2002 cited from Journal of Education Finance Report

PASBO 55 th Annual Conference 2010 Rick says stats too high. Blue start at.05, orange end at.45 I modified slightly. Orange is at.45 in For every $1 of maintenance you defer, it takes $3-4 to fix Deferred Maintenance Potential

PASBO 55 th Annual Conference 2010 What You Face Along with Budget Limits “Everyone blames me when things break down and decay, even though my requests have been denied.” “My _______ does not understand what it costs to keep these facilities going.” “I need strong support to articulate the need.”

PASBO 55 th Annual Conference 2010 Improve Your Professional Image – The Perception Gap Perception Gap What you do What others think you do Funding Gap?

PASBO 55 th Annual Conference Key Ways to Defend Your Budget 1.Improve your image 2.Establish a respected methodology 3.Educate the decision makers and decision influencers 4.Present your request for staff and money

PASBO 55 th Annual Conference 2010 Making the case Fact based reports – Deferred maintenance in man-hours – Completed work orders by site/person – Capital renewal/replacement schedule – Manpower budgets based on benchmarks – Long range plans Link M&O to the mission

PASBO 55 th Annual Conference 2010 Educating your Stakeholders Tell the organization what you do Setup a M&O website Know how your compare to other districts; best practices Set expectations Get in the paper/newsletter (with good news) Create a departmental newsletter Insert articles in the Superintendent newsletter

PASBO 55 th Annual Conference 2010

Collaboration Platform Facilities Team StudentsFacultyAdministrationContractorsSuppliersSystemsCommunity

PASBO 55 th Annual Conference 2010 Examples: Marketing M&O Build a M&O web Mission statement Department information How to ask for services Services provided Web work order request Tools: MS Front page and web builder sites.

PASBO 55 th Annual Conference 2010

What Can You Benchmark? Staffing Headcount per square foot or acre maintained Budget Cost per square foot and student Deferred Maintenance Facility Condition Index Customer Satisfaction Percent satisfied or very satisfied Response Times Average completion time for high, medium and low priority work orders

PASBO 55 th Annual Conference 2010 Facilities Annual Report Past Year Accomplishments – Scope – Acres, square footage, assets – Customer surveys and letters – Work orders closed by department – Challenges Upcoming needs – Current replacement value of buildings – 5 year capital requirements – Cost of not doing repairs – Staffing needs

PASBO 55 th Annual Conference 2010 Major Opportunities for Marketing your M&O Case You must be proactive – don’t wait for the “powers above” to understand your problems Data driven decision making – information is power “Make them an offer they can’t refuse”

PASBO 55 th Annual Conference 2010 What’s Required….. Leadership – Vision of the future and possibilities – Inspire people to change Management – Continuous Process Improvement – Master of Change Technology – Decreasing in cost – Locks in benefits

PASBO 55 th Annual Conference 2010 Google in 1999

PASBO 55 th Annual Conference 2010 The World in 1999 No high speed Internet at home No Blackberries, Treos, or iPods No Digital Cameras, USB keys, or flash memory No WiFi No wireless “grid” No Google

PASBO 55 th Annual Conference 2010 Summary M&O must proactively communicate to the organization M&O must analyze operation financially M&O must be a high user of technology

PASBO 55 th Annual Conference 2010 Questions?