Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Recommendation Summaries
FY 2014
Maintenance Level Request (Total)
1 Initiative 732 Salary Increases
2 Facilities Maintenance & Operations- State Funded
3 Restore Operating Maintenance & Operations Funding
4 Lease and Assessment Increases
5 Technical Corrections to CFL
6 Balancing State Appropriations Across Fiscal Years
FY 2015
2013-15
$31,137,000
$40,604,000
$71,741,000
$12,400,000
$24,800,000
$37,200,000
$1,037,000
$2,611,000
$3,648,000
$11,400,000
$11,400,000
$22,800,000
$856,000
$783,000
$1,639,000
$5,944,000
$510,000
$6,453,000
-$500,000
$500,000
$0
Initiative 732 Salary Increases
FY 2014
$12,400,000
FY 2015
$24,800,000
Total
$37,200,000
The State Board for Community and Technical Colleges requests $37.2 million for I-732 salary increases
for community and technical college faculty and technical college classified staff as required by statute
(RCW 28B.50.465 and 28B.50.468). Employees covered under I-732 receive a cost-of-living allocation
sufficient to increase employee salaries, including mandatory salary-related benefits, by the rate of the
yearly increase of the cost-of-living index, the Seattle CPI (Federal BLS). The rates for the 2013-15 costof-living increase are 2.08 percent in 2014 and 2.05 percent in 2015. As these inflation numbers are
adjusted in subsequent forecasts, the State Board requests corresponding adjustments to the funding
request levels.
Facilities Maintenance & Operations- State Funded
FY 2014
$1,037,000
FY 2015
$2,611,000
Total
$3,648,000
The State Board for Community and Technical Colleges requests $3.6 million for the maintenance and
operation (M&O) of new permanent facilities scheduled to be occupied before July 1, 2015. M&O
funding covers utilities, custodial, and routine maintenance. This M&O funding request is for
permanent state-owned space constructed or expanded with direct financial support from the state.
This request does not include locally funded projects or COP financed projects.
Restore Operating Maintenance &Operations Funding
FY 2014
FY 2015
Total
$11,400,000
$11,400,000
$22,800,000
The State Board for Community and Technical Colleges requests $22.8 million for the maintenance and
operation (M&O) of existing permanent state-owned facilities that were funded in the 2011-13 capital
budget. Since 2005-07, the Legislature has shifted $22.8 million of facility maintenance expenditures
Maintenance Level Request
Page 1
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Recommendation Summaries
from General Fund-State in the operating budget to the capital budget. These funds do not
automatically carry forward in the operating budget or the capital budget.
Lease and Assessment Increases
FY 2014
$856,000
FY 2015
$783,000
Total
$1,639,000
The State Board for Community and Technical Colleges requests $1.6 million to cover the cost of new
and increased leases and assessments across the community and technical college system effective prior
to July 1, 2015.
Technical Corrections to CFL
FY 2014
$5,944,000
FY 2015
$510,000
Total
$6,453,000
The fiscal impact of each policy decision from the previous budget cycle is updated to reflect a full
biennial impact for the future biennium in a development level called carry-forward (CFL). Two items
authorized in the 2012 Supplemental Budget were inadvertently omitted from the SBCTC 2013-15
CFL. The first provided funding for Maintenance and Operations for state funded buildings purchased
with state bonds, while the second authorized a debt service payment from the CTC Capital Projects
Account for state authorized certificates of participation. The State Board for Community and Technical
Colleges requests $6.5m to make technical adjustments to correct carry-forward level (CFL).
Balancing State Appropriations Across Fiscal Years
FY 2014
-$500,000
FY 2015
$500,000
Total
$0
The State Board for Community and Technical Colleges requests that first year General Fund-State
appropriations be reduced by $500,000 and second year General Fund-State appropriations be
increased by $500,000 to balance state appropriations across the fiscal years.
Maintenance Level Request
Page 2
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Initiative 732 Salary Increases
Brief Description:
The State Board for Community and Technical Colleges requests $37.2 million for I-732 salary increases for
community and technical college faculty and technical college classified staff as required by statute (RCW
28B.50.465 and 28B.50.468). Employees covered under I-732 receive a cost-of-living allocation sufficient to
increase employee salaries, including mandatory salary-related benefits, by the rate of the yearly increase of the
cost-of-living index, the Seattle CPI (Federal BLS). The rates for the 2013-15 cost-of-living increase are 2.08
percent in 2014 and 2.05 percent in 2015. As these inflation numbers are adjusted in subsequent forecasts, the
State Board requests corresponding adjustments to the funding request levels.
Requested Funding by Fiscal Year
FY 2014
FY 2015
Total
$12,400,000
$24,800,000
$37,200,000
Support for Request:
Dedicated, well-trained faculty and staff are essential to the community and technical colleges’ ability to fulfill
their mission and continue being responsive to the educational and economic needs of their communities.
Community and technical colleges have an excellent track record of responding to the changing needs of the
state and its economy. Much of this success is due to the skills and dedication of faculty and staff.
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 3
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Facilities Maintenance & Operations - State Funded
Brief Description:
The State Board for Community and Technical Colleges requests $3.6 million for the maintenance and operation
(M&O) of new permanent facilities scheduled to be occupied before July 1, 2015. M&O funding covers utilities,
custodial, and routine maintenance. This M&O funding request is for permanent state-owned space
constructed or expanded with direct financial support from the state. This request does not include locally
funded projects or COP financed projects.
Requested Funding by Fiscal Year
FY 2014
$1,037,000
FY 2015
$2,611,000
Total
$3,648,000
Support for Request:
Predictable and stable M&O funding adds to the useful life of buildings and ultimately reduces capital costs to
the state. As stated in the Joint Legislative Audit and Review Committee (JLARC) Higher Education Facilities and
Preservation Study presented to the Senate Ways and Means Committee in 2003: “ongoing and preventative
maintenance funding in institutional operating budgets can reduce demand for major repairs and
replacements.”
The 2002 House Capital Committee Interim Workgroup on Higher Education Facilities Report (January 2003),
found the community and technical colleges utilize their physical space well above recognized standards. The
report compared the Higher Education Coordinating Board (HECB) classroom seat use standard of 22 hours per
week to the utilization rate of the community and technical colleges. Counting only state-supported FTES, twoyear colleges are using physical space at a rate of 32 hours per week, substantially higher than other higher
education institutions in the State. When including Running Start and other contract students, the utilization
rate increases, as facilities experience heavy use from early morning to late evening and weekends. This level of
use increases demand for janitorial services and maintenance for community and technical college facilities.
New construction M&O funding is calculated at a rate of $6.54 per gross square foot for FY 2014 and $6.70 per
gross square foot for FY 2015. The new rate is calculated using 2011-13 funding rate adjusted for inflation.
M&O costs are based on the total of utilities, custodial, and routine maintenance. A summary of the M&O
funding request by district follows.
College
Bates Technical College
Bellevue Community College
Bellingham Technical College
Clark College
Lower Columbia College
Lower Columbia College
Seattle District
Seattle District
Maintenance Level Request
Facility Name
GSF
Communications Technology Center
Health Science Building
Perry Center
Health & Advanced Technology Building
Health & Sciences Building
Fitness Center / Gymnasium
Wood Construction Center
Technology Building Renewal
53,009
70,646
8,000
70,000
69,935
21,239
61,050
50,975
2013-15 Funding
Request
$88,790
$236,664
$47,361
$39,083
$621,261
$67,000
$291,703
$215,252
Page 4
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Facilities Maintenance & Operations - State Funded
Skagit Valley College
South Puget Sound
Spokane District
Spokane District
Tacoma Community College
Yakima Valley Community College
Lewis Hall
Learning Resource Center
Classroom Building
Early Learning Center
Health Career Center
Palmer Martin Building
72,800
89,000
47,497
16,000
69,715
43,988
$559,797
$159,068
$577,089
$176,960
$505,086
$62,699
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 5
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Restore Operating Maintenance & Operations Funding
Brief Description:
The State Board for Community and Technical Colleges requests $22.8 million for the maintenance and
operation (M&O) of existing permanent state-owned facilities that were funded in the 2011-13 capital budget.
Since 2005-07, the Legislature has shifted $22.8 million of facility maintenance expenditures from General FundState in the operating budget to the capital budget. These funds do not automatically carry forward in the
operating budget or the capital budget.
Requested Funding by Fiscal Year
FY 2014
FY 2015
Total
$11,400,000
$11,400,000
$22,800,000
Support for Request:
The community and technical college system’s plant expenditures include salaries and benefits for permanent
employees dedicated to maintaining state-owned facilities. Facilities maintenance preservation program relies
on stable and predictable funding that should be provided for in the operating budget.
Facility maintenance programs are on-going operational costs that are better funded through the organization’s
operating budget, as opposed to using the one-time resources such as capital budgets. If the M&O funding is
not restored in the operating budget, then it is imperative the funds be reauthorized in the capital budget for
2013-15.
Objects of Expenditure:
FY 2014
FTE Staff
FY 2015
Total
0.0
0.0
0.0
By Object
A
Salaries
$5,860,000
$5,860,000
$11,720,000
B
Benefits
$1,930,000
$1,930,000
$3,860,000
E
Goods & Services
$3,525,000
$3,525,000
$7,050,000
G
Travel
$42,000
$42,000
$84,000
J
Equipment
$43,000
$43,000
$86,000
$11,400,000
$11,400,000
$22,800,000
Total
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 6
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Lease and Assessment Increases
Brief Description:
The State Board for Community and Technical Colleges requests $1.6 million to cover the cost of new and
increased leases and assessments across the community and technical college system effective prior to July 1,
2015.
Requested Funding by Fiscal Year
FY 2014
$856,000
FY 2015
$783,000
Total
$1,639,000
Support for Request:
Funding is requested to cover new and increased facility lease rates. These contractual obligations take two
forms: (1) inflationary increases required by the landlord/building owner, and; (2) tenant/leasehold
improvements required to maintain state standards and operational efficiencies of the building. The system’s
total request for new and increased leases is $721,800 for the biennium. A summary of the leases funding
request by district follows.
College
Bellingham Technical College
Centralia College
Everett Community College
Highline Community College
Skagit Valley College
Skagit Valley College
Spokane District
Spokane District
Walla Walla Community College
Walla Walla Community College
FY 14 FUNDING
REQUEST
$300
$55,000
$254,200
$200
$5,000
$7,700
$1,900
$900
$0
$3,500
FY 15 FUNDING
REQUEST
$1,600
$110,000
$254,200
$300
$5,000
$7,700
$3,900
$1,800
$5,100
$3,500
The new or increased assessments represent unavoidable costs imposed by local jurisdictions including storm
water, surface water, sewer and wastewater management, and for fire protection services experienced by the
community and technical colleges. These assessments are typically mandated by municipalities, local
jurisdictions, or through LIDS (Local Improvement Districts). The system’s total request for increased
assessments is $916,600 for the biennium. A summary of the assessments funding request by district follows.
College
Bellingham Technical College
Clark College
Edmonds Community College
Everett Community College
Green River Community College
Pierce District
Shoreline Community College
Skagit Valley College
Walla Walla Community College
Maintenance Level Request
FY 14 FUNDING
REQUEST
$27,300
$4,700
$74,100
$8,400
$45,900
$147,100
$1,300
$209,000
$9,300
FY 15 FUNDING
REQUEST
$28,700
$4,700
$143,600
$8,400
$46,000
$147,100
$1,300
$0
$9,700
Page 7
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Lease and Assessment Increases
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 8
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Technical Corrections to CFL
Brief Description:
The fiscal impact of each policy decision from the previous budget cycle is updated to reflect a full biennial
impact for the future biennium in a development level called carry-forward (CFL). Two items authorized in the
2012 Supplemental Budget were inadvertently omitted from the SBCTC 2013-15 CFL. The first provided funding
for Maintenance and Operations for state funded buildings purchased with state bonds, while the second
authorized a debt service payment from the CTC Capital Projects Account for state authorized certificates of
participation. The State Board for Community and Technical Colleges requests $6.5m to make technical
adjustments to correct carry-forward level (CFL).
Requested Funding by Fiscal Year
FUND
FY 2014
FY 2015
Total
001-1
1,189,000
$510,000
$1,698,000
060-1
$4,755,000
0
$4,755,000
TOTAL
$5,944,000
$510,000
$6,453,000
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 9
Washington State Board for Community and Technical Colleges
2013-15 Operating Budget Maintenance Level Request
Balancing State Appropriations Across Fiscal Years
Brief Description:
The State Board for Community and Technical Colleges requests that first year General Fund-State
appropriations be reduced by $500,000 and second year General Fund-State appropriations be increased by
$500,000 to balance state appropriations across the fiscal years.
Requested Funding by Fiscal Year
FUND
001-1
FY 2014
-$500,000
FY 2015
$500,000
Total
$0
Ongoing vs. One-Time Costs:
These costs are all ongoing.
Maintenance Level Request
Page 10