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Sightlines LLCFY2012 Facilities MB&A Start-Up Executive Committee PresentationCentral Connecticut State University

Date: 1/29/2013Presented by: Jim Kadamus & Dan Willman

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Sightlines profileServing over 380 campuses in 41 states and Canada

• 12 year old company based in Guilford, CT•Database of 23,500 buildings and 1.2 Billion GSF• Sightlines’ process used at 17 ConnSCU campuses

•Also used by eight other state systems

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Asset Reinvestment

The measure of service process, the maintenance quality of space and systems, and the customers opinion of service delivery

The effectiveness of the facilities operating budget, staffing, supervision, and energy management

The accumulated backlog of repair and modernization needs and the definition of resource capacity to correct them “Catch-Up Costs”

The annual investment needed to ensure buildings will properly perform and reach their useful life “Keep-Up Costs”

A vocabulary for measurementThe Return on Physical Assets – ROPASM

Annual Stewardship

Operational Effectiveness Service

Asset Value Change Operations Success

Capital Operations

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Core observations

• CCSU has a slightly older campus than peers with 60 % of space greater than 25 years old, the age when major systems begin to reach the end of their lifecycles

• The campus has a high density factor (usage) compared with peers, affecting facility operations and conditions

Space Profile

• Total spending on existing facilities has been less than peers• Stewardship spending (keep up) exceeds peer levels while asset reinvestment (catch

up) has lagged behind peers • The estimated backlog of building needs is less than peers but highest among the

ConnSCU four year institutions

Capital

• Facilities operations costs are slightly higher than peers but the same as in 2007• Electric and fossil energy consumptions are optimized to affect low utility costs• Customer satisfaction is rated highest among peers

Operations

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Space Profile

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Peer group

Institution

East Stroudsburg University of PA*

Eastern Connecticut State University

George Mason University*

Keene State College

Plymouth State University

Shippensburg University of PA

Southern Connecticut State University

University of Massachusetts- Dartmouth*

University of Southern Maine*

Western Connecticut State University

Westfield State University

Comparative Considerations

Size, technical complexity, region, geographic location, and setting are all factors included in

the selection of peer institutions

* Indicates CCSU suggested peer

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CCSU Peers0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

15%

30%

25%

21%

41%

36%

19%12%

Under 10 10 to 2525 to 50 50 and Above

CCSU has more GSF in higher risk category than peers

65%

% of Space by Age Category

Buildings Under 10Little work .“Honeymoon” period.

Low Risk

Buildings 10 to 25Lower cost space renewal updates and

initial signs of program pressures Medium Risk

Buildings 25 to 50Life cycles are coming due in envelope and mechanical

systems. Functional obsolescence prevalent.Higher Risk

Buildings over 50Life cycles of major building components are past due. Failures

are possible. Core modernization cycles are missed.Highest risk

Higher RiskHigher Risk

Discounted CCSU large garage space to normalize with peers

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Drivers of facilities maintenance needs

Peer Average

Density Impacts:• Custodial Needs• Wear and Tear on Campus Facilities• Life Cycles of Building Components

Tech Rating Impacts:• Maintenance Skill Level• Building Component Cost• Energy Consumption

Four Year CT School Average

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Capital

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Total Capital SpendingCCSU invested over $55M into facilities over the past 6 years

FY2007 FY2008 FY2009 FY2010 FY2011 FY2012$0.0

$5,000,000.0

$10,000,000.0

$15,000,000.0

$20,000,000.0

$25,000,000.0

Total Capital Investment

Existing Space New Space Non Facilities

$16.8M

$33.7M

$6.1M

Capital InvestmentFY07-12

CCSU Average: $9.4M

New Academic Building

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Not reaching target has resulted in an increased backlog

2007 2008 2009 2010 2011 2012$0.0

$2,000,000.0

$4,000,000.0

$6,000,000.0

$8,000,000.0

$10,000,000.0

$12,000,000.0

$14,000,000.0

Annual Stewardship Asset Reinvestment Target Need

Increasing Backlog

Existing space spending vs. target

Target Need: $13.0M

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Peers are spending more than CCSU in existing facilities

Four Year CT School Average

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Campus backlog vs. peersCCSU backlog less than peers but highest among CT four year institutions

Four Year CT School Average

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Operations

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CCSU operating budget actual spendingCampus age and backlog drive up operating costs

Four Year CT School Average

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Total energy consumptionRegionalized peer group

Regional Energy Peers: Connecticut College, Eastern Connecticut State University, Framingham State University, Keene State University, Plymouth State University, Southern Connecticut State University, University of Hartford, University of Massachusetts- Dartmouth, Western Connecticut State University, Westfield State University

Four Year CT School Average

10% Decrease13% Decrease

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Energy unit cost has decreased by 18% The introduction of the fuel cell has contributed to the decrease

Regional Energy Peers: Connecticut College, Eastern Connecticut State University, Framingham State University, Keene State University, Plymouth State University, Southern Connecticut State University, University of Hartford, University of Massachusetts- Dartmouth, Western Connecticut State University, Westfield State University

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Maintenance coverage levelsMaintenance GSF/FTE has increased each year since FY09

CCSU Peers Database

General Repair Score 3.7 3.8 3.9

Four Year CT School Average

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Customer satisfaction survey resultsCCSU customer satisfaction is highest among peers

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Conclusion

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Summary Comments

Space Profile

• CCSU’s aging campus places high demands on capital and operations needs• The high density and building usage results in more wear and tear on buildings

Capital

• The backlog of campus needs is higher than other ConnSCU four year institutions and lower than peers’

• Increased stewardship and asset reinvestment spending will be required to meet capital targets

Operations

• The age of buildings, backlog of building needs and high maintenance coverage ratios present challenges for maintenance operations

• The implementation of the fuel cell has lowered energy costs• Customer satisfaction is highest among peers