AUDIT OF DEFERRED MAINTENANCE
Definitions
New Definitions:
Deferred Maintenance occurs when the facility owner leaves unperformed planned
maintenance, repairs, replacement, and renewal projects due to a lack of resources or
perceived low priority and deferral of the activity results in a progressive deterioration of the
facility condition or performance. The cost of the deterioration including capital costs,
operating costs, and productivity losses is expected to increase if the activity continues to be
deferred.
Deferred Maintenance Backlog is the total dollar amount of deferred maintenance deficiencies
identified by a comprehensive facilities condition assessment of facilities and their integral
systems and equipment.
Four Levels of Maintenance:
Operational Maintenance is the day-to-day operations of a facility to maintain its
functionality. This would include security, janitorial, housekeeping and other cleaning
services, utilities, snow removal, infrastructure and landscaping functions. These
activities do not affect the useful life of an asset.
Continuous Maintenance is the preserving of facilities and their components from failure or
deterioration, which is necessary to realize its originally anticipated useful life. These
activities include preventive maintenance; cyclic maintenance; repairs; painting;
resurfacing; periodic inspection, adjustment lubrication, and cleaning (non-janitorial) of
equipment; special safety inspections; periodic condition assessments; and other actions
to assure continuing service and to prevent breakdown. Examples include changing belts,
inspecting roofs, and replacing filters.
Capital Renewal is the planned repair and replacement of facility systems and components
having a life less than the life of the facility so the systems and components will last as
long as the anticipated life of the facility. Such projects could include the repair or
replacement of damaged or inoperable equipment, components of a plant, or existing
utility systems; correction of deficiencies in property and plant that are required to
conform with building and safety codes or those regulations associated with hazardous
condition correction; or correction of deficiencies in fire protection, energy conservation,
and handicapped access. Examples include replacing a roof or heating system that has a
useful life of 20 years in a building with a useful life of 40 years.
Capital Improvement and Renovation is the rebuilding or restoring of facilities through
additions or alterations so they can be used more efficiently and effectively and better
meet programmatic needs. These improvements and renovations will extend the useful
life and preserve the useable condition of the facilities, components, and systems.
Types of Maintenance Activities:
Preventive is the periodic scheduling and planning of maintenance activities that extends and
controls deterioration of permanent equipment and plant facilities. This includes
repetitive and anticipated work planned to perform inspections, provide adjustments,
continuous cleaning, and minor repairs of building systems and equipment.
Routine is the unscheduled, simple maintenance activities, which occur day-to-day and can
be accomplished within a reasonable time frame.
Corrective is maintenance performed on malfunctioning equipment or building systems and
components whose failure does not jeopardize personnel, equipment, or significant
agency services.
Emergency is the repair or replacement of property requiring immediate attention because
the functioning of a critical system is impaired, or because health, safety, security of life
or property is endangered.
Current Replacement Value (CRV) is the cost to replace the facility with the cost of
replacement defined as the requirement to duplicate the internal and external building
envelope providing the same level of functionality based upon accurate local labor and
material costs (design, program management etc.)
Facility Condition Assessments (FCA) are physical periodic inspections by qualified personnel
to fully determine and document the condition of a facility or item of equipment and to
identify repair, rehabilitation, and replacement needs and costs.
Facility Condition Index (FCI) is a ratio comparing the deferred maintenance deficiencies to the
current replacement value of the facility or equipment item to measure the condition of the
facility or equipment item at a specific time. The higher the ratio, the worse the condition of
the building is.
Master Plan is the translation of an agency’s or an institution’s mission into a capital outlay plan.
The master plan will include the prioritization of short and long-term programmatic needs
that translate into site improvements, property acquisition, building expansions, renovations,
and preservation type projects. The components of a typical master plan include information
such as: user demographics, economic and regional issues, regional and state demographics,
planning processes, master planning, analysis of existing facilities, proposed facilities
improvements, analysis of existing site, proposed site improvements, project implementation,
funding strategies, and master plan updating strategy.
Life Cycle Analysis is a structured approach or methodology to establish life cycle costs. This
involves an evaluation of funding options, programmatic needs, economic impact, and space
availability. This approach includes options to buy, lease, build, sell, renovate, or demolish.
Life Cycle Costs are the anticipated expenditures for each stage in the life of a facility and its
components. Life cycle costs will include capital investment costs, financing, operations and
maintenance, repair and replacement, salvage costs, facility alterations and improvements,
and functional use costs.
Facility is any purchased or constructed roofed or walled structure that is built, installed, or
established.
Campus includes the grounds and all facilities at one specified location or within an area.
Established Definitions:
Capital Outlay Project is the acquisition of real property (including buildings or plant) or
machinery or equipment, new construction, and improvements related to state-owned real
property, buildings, plant, machinery or equipment (including plans therefore). It shall
include any improvements to real property leased for use by a state agency, and not owned by
the Commonwealth, when such improvements are financed by public funds and become state
property upon the expiration of the lease.
Maintenance Reserve Project is a single effort undertaking which involves major repair or
replacement to plant, property or equipment, normally costing from $25,000 to $500,000.
Maintenance Reserve Projects include the repair or replacement of damaged or inoperable
equipment, components of a plant, or existing utility systems; correction of deficiencies in
property and plant that are required to conform with building and safety codes or those
regulations associated with hazardous condition corrections; or correction of deficiencies in
fire protection, energy conservation, and handicapped access.