Robert A. Weygand, Vice President Division of Administration and Finance

Slide 1

PresentationPresentationto theto the

Strategic Budget & Planning CouncilStrategic Budget & Planning Council

June 16, 2010June 16, 2010

PresentationPresentationto theto the

Strategic Budget & Planning CouncilStrategic Budget & Planning Council

June 16, 2010June 16, 2010

Slide 2

Divisional Mission and Goals

Slide 3

Divisional Mission

Slide 4

a.Developing and supporting innovative solutions to challenging problems through sound financial planning and management practices,

b.Enabling the development and enhancement of effective and innovative business practices and systems

c.Ensuring proper planning, design, construction, maintenance, and operation of the university physical assets and providing a sustainable and attractive campus environment,

Divisional GoalsWe are committed to

Slide 5

d. Assuring a safe and supportive campus environment complying with all public safety regulations

e. Providing essential human resource functions and support which recognizes complex work life issues and promotes an inclusive and diverse workplace

f. Providing efficient accounting and auditing processes in strict compliance with government practices and highest ethical stds.

g. Promoting collaborative efforts between the University, other educational entities and private and non-profit enterprises

Divisional Goals

Slide 6

Strategic Issues

Slide 7Budget & Financial Planning OfficeBudget & Financial Planning OfficeFY10 Allocation Organizational ChartFY10 Allocation Organizational Chart

Organizational Chart

ADMINISTRATION & FINANCE

Slide 8Budget & Financial Planning OfficeBudget & Financial Planning OfficeFY10 Allocation Organizational ChartFY10 Allocation Organizational Chart

ADMINISTRATION & FINANCE (continued)

Slide 9Budget & Financial Planning OfficeBudget & Financial Planning OfficeFY10 Allocation Organizational ChartFY10 Allocation Organizational Chart

ADMINISTRATION & FINANCE (continued)

Slide 10

Streamlining Improvements

P- Cards

Limited Value Purchase Orders

On-line HR applications

Student Refund –through Higher One

Payroll – Overtime transfers

Cell Phone Stipend

On-line Travel Booking

On-line Requisitions

Slide 11

Streamlining and Cost ReductionStreamlining and Cost Reduction

July-December

2008

July-December

2009

Increase

2008 to 2009

% Increase

08-09

P-Cards 125 263 138 210.4%

Transactions 2,056 4628 2,572 225.1%

Total dollars $ 441,256 $ 1,020,517 $ 579, 261 231.3%

Slide 12

Controller’s Office FTEs (all funds)Controller’s Office FTEs (all funds)

Department FY 2004 FY 2011 Difference

Controller 2 2

Financial Systems 2 4 2

Financial Reporting, Treasury & Student Loan 11 10 (1)

Accounting Operations - GSO & Kingston 26 22 (4)

Grants & Contract Accounting - GSO & 19 16 (3)

Payroll 14 14

Graduate Students 0.75 (0.75)

Total Employees 74.75 68 (6.75)

Slide 13

Controller’s Office Overtime –Fund 100 only Controller’s Office Overtime –Fund 100 only

Department Actual FY2004

Budget FY2011

Difference

Controller/ Financial Reporting9,468 0 ( 9,468)

Accounting Operations 138,861 20,000 (118,861)

Student Loan4,286 0 ( 4,286)

Payroll 45,909 21,500 (24,409)

Total Overtime - Fund 100198,524 41,500 (157,024)

Slide 14

Internal AuditInternal Audit

Institution Budget Staff

University of Rhode Island $140,730 1.5

University of Vermont Undisclosed 5.0

University of Delaware $569,000 5.0

University of NH System $663,000 5.0

Slide 15

Campus Planning and DesignCampus Planning and Design

Work Item URI Peer Institutions

Major projects/manager 25 6.5

Total Project Value/ manager $225 M $25 M

Project Managers/office 1 6

Slide 16

Facilities

Cleaning Staffing Levels 

APPA Standards

Level 1 - Orderly SpotlessnessLevel 2 - Ordinary TidinessLevel 3 - Casual InattentionLevel 4 - Moderate DinginessLevel 5 - Unkempt Neglect

University of Rhode Island = Level 3.25 +/-

Slide 17

Facilities

Composite staffing metrics snapshotAll data shown is FY09

Benchmark Peer Average FY09 Divisional Metrics FY09

Maintenance Staffing GSF/FTE 72,895 82,612

Maintenance Supervision FTE/Super 8.4 15.6

Maintenance Materials $/FTE $13,604 $19,267

General Repair/Impression Index 3.8 3.9

Custodial Staffing GSF/FTE 32,172 37,584

Custodial Supervision FTE/Super 16.1 13.5

Custodial Materials $/FTE 3,582 $4,027

Cleanliness Inspection Index 4.2 4.3

Grounds Staffing Acres/FTE 33.2 27.0

Grounds Supervision FTE/Super 9.4 14.8

Grounds Materials $/FTE 7,192 $7,933

Grounds Inspection Index 3.7 4.1

M&R: Acad/Admin, Athletics, HRL

Custodial: Acad/Admin, Athletics

Grounds: Acad/Admin, Athletics, HRL, Auxiliaries

Divisions

University of Rhode Island

August 6, 2008

ROPASM Return on Physical Assets

Slide 19

Comparison Institutions

Comparative Considerations

Size, technical complexity, region, geographic location, and setting are all factors included in the selection of peer institutions

Institution Location

Miami University Oxford, OH

Rutgers University – New Brunswick Campus New Brunswick, NJ

University of Maine – Composite Campus Orono, ME

University of Maryland – College Park College Park, MD

University of Massachusetts- Amherst Amherst, MA

University of Massachusetts - Dartmouth Dartmouth, MA

University of New Hampshire Durham, NH

University of Vermont Burlington, VT

West Chester University West Chester, PA

Slide 20

Kingston Campus Profile – FY07 153 Buildings – 4.1M GSF

Kingston Campus: Renovation and Construction Ages

0

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

Under 10 10 to 25 25 to 50 Over 50

Construction Age Renovation Age

GSF•Renovations since 1980 have modestly shifted the age profile. Nonetheless, 74% of campus space is still over 25 years old.

Slide 21

URI Kingston Campus Profile – FY07 153 Buildings – 4.1M GSF

•The age distribution across URI’s departments is varied, with Athletics having the youngest profile and the Academic/Administrative space having the oldest profile.

Slide 22

17.36

20.16

13.02

7.05

2.082.22

1.801.35

2.711.55

3.881.31

$0

$5

$10

$15

$20

$25

$30

$35

$40

Life CycleModel

Func. Obsol.Model

2004 2005 2006 2007

Envelope/Mech Space/Program

Setting Goals to Arrest the Rate of Asset Deterioration Annual Deferral Increases Reinvestment Need

Unintentional

Deferral

Intentional

Deferral

Annual Stewardship Calculation Includes:• Funds designated as recurring capital: Asset Protection and Fund Balance (Auxiliaries & Housing) Expenditures• Planned Maintenance spending within the operating budget

Equilibrium Need

Target Need

Total $(in Millions)

Totals: $37.51M $20.07M $4.30M $3.15M $4.26M $5.19M

FY07: $14.9

M

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Chasing a Moving TargetRecurring Funding Is Not Keeping Pace with Campus Growth & Inflation

With $5.2M of recurring funding in FY08, URI will

fund only 17% of the target needs on campus.

FY2007

Sightlines Database Average= 35.4%

Slide 24

Total Campus Asset Reinvestment Backlog FY07

$101M

Asset Reinvestment Backlog

• Total Building Need estimates are based on 3 year average deferral rate to Equilibrium.

$2$25

$420 - $450

$210 - $225

$18$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

Maintenance &Modernization

Backlog

Priority Need Projected Investment

Mil

lio

ns

Slide 25Budget & Financial Planning OfficeBudget & Financial Planning OfficeFY10 Allocation Organizational ChartFY10 Allocation Organizational Chart

Total Campus Backlog Compared to PeersEstimated Asset Reinvestment Backlog

FY2007

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0

5

10

15

20

25

2004 2005 2006 2007 2008

Target Actual

$12.4M

Chasing a Moving TargetRecurring Funding Has Not Keep Pace with Campus Growth & Inflation

Total $(in Millions)

Annual Deferral increases Backlog of repair needs on campus

$16.7M$14.9M

Since FY2004, the addition of new facilities and inflation has increased the stewardship need by 21%

Slide 27

Strategic InitiativesFY 2012 Requests

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Goal - Enabling the development and enhancement of effective and innovative business practices

Strategic Initiatives:

Electronic Payroll System $250,000

PeopleSoft Billing /Receivable Module $125,000

On-Line Payment System $ 10,000

Slide 29

Goal - Ensuring proper planning, design, construction, maintenance, and operation of the university physical assets.

Strategic Initiatives:

Capital Project Management $ 265,000

New Building Janitorial/Maintenance $ 383,000

Roosevelt Hall $3,400,000

Slide 30

Goal - Assuring a safe and supportive campus environment complying with governmental, environmental and public safety regulations. Strategic Initiatives

Bio-Safety Management $117,000

Slide 31

Goal - Providing efficient accounting and auditing processes in strict compliance with state and federal government practices and requirements and based on the highest ethical practices and standards

 Strategic Initiatives

Senior Auditor $112,000

Slide 32

Goal –Providing essential human resource functions and support which recognizes complex work life issues and promotes an inclusive and diverse workplace.

Strategic Initiatives:

Employee Specialists $106,000

Employee Wellness Program $10,000

Professional Development $16,000

Slide 33

Priorities

1.Building Janitorial and Maintenance $ 383,0002.PeopleSoft Billing/Receivable Module $ 125,0003.Electronic Payroll System $ 250,0004.Auditor $ 112,0005.Capital Project Management $ 265,0006.Bio-Safety Management $ 117,0007.Employee Specialists $ 106,0008.Employee Wellness Program $ 10,0009.Professional Development $ 16,00010.On-Line Payment System $ 20,000Total $ 1,404,000

Robert A. Weygand, Vice President Division of Administration and Finance

Slide 34

PresentationPresentationto theto the

Strategic Budget & Planning CouncilStrategic Budget & Planning Council

June 16, 2010June 16, 2010

PresentationPresentationto theto the

Strategic Budget & Planning CouncilStrategic Budget & Planning Council

June 16, 2010June 16, 2010