Office for Capital
Facilities - SUNY PPAA
Community College
Conference
December 2012
12/6/12
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Agenda
 Office for Capital Facilities (OCF)
 Mission/Org Chart
 OCF Energy Services
 Physical Space Inventory/Private Use Survey
 OCF Community College Capital
 CC Capital – Program Requirements
 Sponsor Funding
 Capital Restrictions
 Approval/Funding Process
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SUNY Office for Capital Facilities
 Mission – Provide guidance, tools, data, oversight
and technical expertise for the care, custody,
control and management of Campus facilities in
the following core areas:
Environmental Health and Safety
Energy
Residential Facility Capital
State Operated
Community Colleges
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Community College Capital
Campus Let Procurement
Sustainability
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SUNY OCF Org Chart
Vice Chancellor for Capital
Facilities – Robert Haelen
Director – Karren Bee-Donohoe
Energy – Kathy Slusher
Environmental Health and Safety
– Barbara Boyle
Campus Let Procurement –
Jessica Miller
Community College Capital –
Rebecca Goldstein
Res Hall Capital – David Ferrari
Sustainability –
Deborah Howard
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SUNY Energy Buying Group
 SUNY Energy Buying Group (EBG) is an electricity
provider
 Electricity is purchased from the NYISO (NY
independent system operator) and supplied to the
colleges at cost
 A small chargeback funds the staff but this is much
less than the profit margin of for-profit suppliers
 $9.2 Million saved for system over past 5 years
 The OCF Energy office also provides natural gas
purchasing services
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CCs in the Energy Buying Group
 Currently 7 community colleges participate
in Energy Buying Group
 Adirondack
 Herkimer
 Columbia-Greene
 Jefferson
 Corning
 Sullivan
 Finger Lakes
 If interested in more information contact
Kathy Slusher 518-320-1658
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Physical Space Inventory (PSI)
 New system allows for continual updates –
however late completion by some
campuses/colleges kept the system locked
 This Fall the deadline will be strictly enforced
– Last Friday of December – this year
December 28, 2012
 Survey Results show need for major
improvement of this system
12/6/12
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% Respondents - Currently or Would Use PSI for Each item
100%
1 Building Data
2 Space Studies
97%
3 Departmental Space
89%
4 Functional Space Types
90%
84%
5 Facilities Master Planning
79%
80%
6 Private Use Survey
7 Property Control System
70%
8 Building Condition Assessment
64%
9 Station Utilization
% of all ressponses
58%
60%
57% 56%
10 Energy Management
52% 51%
50%
11 AutoCAD Drawing Connection
47% 47%
12 Maintenance Management Systems
42%
13 Research Foundation, indirect costs
40%
31% 31%
30%
14 IPEDS Reporting
29%
15 R25, or similar scheduling software
26% 26%
23%
20%
16 Fire Alarm System Programming
20%
15%
17 Student Information Systems
18 Building Modeling
10%
19 Chemical Inventories
20 Telephone Programming
0%
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8
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10 11 12 13 14 15 16 17 18 19 20 21
21 Mail Delivery Information
Potential Uses
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Would a new centralized BCI/PSI system
compatible with other database systems
be useful to your campus?
5.7%
94.3%
Yes
12/6/12
No
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Private Use Survey
 Why Required – to meet tax law related to use
of tax exempt bonds
 This year asked colleges to do comprehensive
survey for the entire college
 Improved/clarified the instructions and forms
 Next year, Colleges will be provided with data
from last year’ survey, just need to update
 Future will be part of the PSI update
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OCF CC Capital
Morrison Hall - Orange
County Community College
Student Union – Rockland
Community College
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Community College Capital
Program – State Requirements
 Regulated by Part 603 of the NY Code of Rules and
Regulations See:
 Under the Financial Section – find the link to Capital
Projects Part 603.3
 These Regulations are based on Section 2304 of New
York’s Education Law
 For all Capital projects the local sponsor share must be
at least 50% of the projects cost
 NYS’s 50% share requires State appropriation authority
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Source of Local Sponsor Share
 County capital appropriations
 Gifts – must be recognized by the county and
SUNY Board
 May be monetary, real property, services in kind
 Must be well documented
 Grants - recognized by the county
 Capital chargeback revenue from your
students from other counties
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Chargeback Capital
 Chargeback Capital rate - maximum of $300
per non-resident student, in effect since 1976
 Per §603.7 may be used as follows:
 As the sponsor share for acquisition of real
property, construction or rehabilitation
 To reduce indebtedness of the sponsor
 To pay sponsor’s cost of financing debt
 For sponsor’s share of other purposes permitted
within an approved capital budget
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Chargeback Capital (Cont)
 May be used for 50% share of equipment
meeting the following :
 Tangible asset
 Useful life of at least 2 years
 Unit cost of at least $1000
 If purchased in quantity unit cost of at least $500
and aggregate cost of $10,000 or more
 Equipment purchased by Capital Chargeback
does not qualify for State Operating Aid
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Appropriate Capital Budget Items
 Real property acquisition
 Professional services for site selection, surveys,
appraisals, relocation planning, demolition,
facility design for new or renovations,
construction supervision, identification and
specifications for capital equipment
 Construction – new or renovation
 Equipment acquisition and installation
 Moving Expenses where appropriate
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Rules for Real Property
 Acquisition of real property requires a
minimum of two appraisals – State will match
the lowest – Requires SUNY Board approval
with some exceptions such as < $1M
 Capital may be expended in leased facilities
provided that:
 The facility lease is in place before any
expenditure of capital
 The lease is long enough for bond funds to be fully
paid – generally 25 year minimum lease term
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Difference Between Repair and
Capital
 Building maintenance and repairs may not be
included in Capital Budgets
 Per §602.4 (d) (5) Repairs are maintenance
actions to keep facility in operating condition.
Repairs do not significantly add to facility
value nor prolong useful life.
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Project Approval & Financing Steps
1. Capital budget request – each Fall
 Must include sponsor resolutions
2. Project initiation form
 Can be submitted at time of annual request
3.
4.
5.
6.
12/6/12
State Budget Appropriation – April
SUNY Approval – Chancellor’s designee
Financing application – DASNY approval
Reimbursement request
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1 - SUNY Capital Budget Request
 Annually SUNY issues a “budget call letter” asking
the Community Colleges to identify projects with
local sponsor support which do not yet have
corresponding State support or which need increases
 All projects submitted with Sponsor resolutions are
included in a comprehensive SUNY capital budget
request, following SUNY Board approval
 The deadline for submitting projects is usually on or
before October 30th for consideration at the
November SUNY Board meeting
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SUNY Capital Budget Request (cont)
 SUNY’s budget request is submitted to the
New York State Division of Budget (DoB) for
consideration in the State’s Executive budget
 The Capital Appropriations need to be
approved in the State’s final enacted budget
 The Start of the State’s fiscal year is April 1
 The State’s funding share requires bond
financing through DASNY
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2012 CC Capital Budget Request
 SUNY Requested 5-Year Project List
 10-Year Plans requested from all State Agencies
 NY Works Task Force/NYS Division of Budget
 CC 10-Year Plan used 5-Year ask and annual
renewal needs/50% CM backlog reduction
 SUNY anticipates this information being used for
planning and not holding agencies to the requests
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2012 CC Capital Budget Request (cont.)
 This year’s request $81M State Support
 Resolutions still required for Div of the Budget
 1-5 year total $496.5M state support based on
plans submitted by colleges
 Years 6-10 total state support $498.1M based
on needs shown in the Building Condition
Assessment Survey from 2009
 10 year total of $994.6M
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Overall SUNY Capital Plan
Community
Colleges
14%
Residence Halls
10%
Hospitals
6%
Educational
Facilities
70%
Totaling $19.149B
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2 – Project Initiation Form
Project Initiation Form
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2 – Project Initiation Form (cont.)
06/19/12
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Changes to Capital Project Budgets
 If a project budget must be increased, both a revised
resolution from the College sponsor plus a resolution
from the College Board are required.
 College provides an updated Project initiation form.
 Upon review and determination of available
appropriation SUNY will issue an approval of the
revised project budget.
 If appropriation is not available the additional
funding will be included in the next annual budget
request.
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3 - Project Appropriation
 Appropriation is approved as part of the State
budget approval
 Appropriation is for the 50% State Share
 Generally appropriation is lined out by College
and project
 Developing broad project descriptions
provides greatest flexibility
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4 – SUNY Project Approval
 Prior to January 2011 all projects had to be
approved by SUNY Board of Trustees
 Resolution approved in January 2011 provides
for Chancellor’s designee to approve projects
 Vice Chancellor for Capital Facilities, Bob
Haelen is the current designee
 SUNY Approval is sent to College VP with
instructions for next step
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5 - Financing Application
 Following approval by Chancellor’s designee
College must submit financing application
which includes tuition and fees test
 SUNY OCF sends completed financing
application to DASNY
 DASNY reviews useful life, private use, status of
SEQR and ultimately provides approval to OCF.
 OCF contacts campus that reimbursements may
proceed
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Financing Application Cover Letter
06/19/12
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Financing Application Tuition & Fees Test
06/19/12
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Financing Application Excel Portion
06/19/12
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Bonding - Disbursement Financing
 Prior to 2010 Bonds were issued for each project.
 2010 NYS Division of the Budget required SUNY
Community College program to move to cash
disbursement bonding
 Desire by the State to use existing bond proceeds
and appropriations
 Future bond sales will be sized based on anticipated
12-18 months reimbursements
 OCF needs accurate project information and updates
to appropriately estimate bonding levels
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6 - Reimbursement
 Follow your sponsor’s procurement
regulations to engage with architectural and
engineering consultants and contractors
 County may hold contracts
 College may hold contracts
 May use DASNY with approval of SUNY BoT
 College/Sponsor must expend funds in the
first instance
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6 – Reimbursement (cont)
 Once financing application has been approved
College may apply for reimbursement
 Reimbursement request is made directly to
DASNY and must be within 18 months of
project completion
 SUNY OCF will be encouraging regular
reimbursement requests to help better predict
cash flow
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Community College Capital –
Statistics
Stafford Center - Clinton
Community College
Conable Technology Building
Genesee Community College
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Community College Capital Needs
 Capital reinvestment study completed in 2009
 Significant backlog of $411 million in deferred-capital
maintenance
 Deferred maintenance is expected to grow to $807
million by 2014 and $1.3 billion by 2019
 Inability to secure the required 50% local match is
the single largest impediment to the program
 Growth in CC enrollment compounds the facility
dilemma as more students use increasingly
deteriorating facilities
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CC Building Construction by Year
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Historic Community College Capital Funding ($M)
450
390
400
350
300
250
210
200
150
0
100
86
82
0
87
46
50
22
0
03/04
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04/05
05/06
06/07
07/08
08/09
09/10
10/11
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11/12
12/13
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OCF – Community College Capital
Community College Capital –
Rebecca Goldstein
Annual Call for CC Capital Plan
Update Process and Procedures
Develop Annual Bond and
Appropriation Requests
Manage Appropriation
SUNY Project Approval Process
Projecting Cash Flow
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OCF Community College Services
 Provide services for capital planning and
financing
 Provide clear procedures, forms & checklists
 Work with colleges to secure State funding for
community college capital project needs
 Enhance reporting in light of change to cash
flow bond financing
 One on one working sessions with Colleges
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06/19/12
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We’re here to help!!
 Karren Bee-Donohoe, Director of the Office for
Capital Facilities, 518-320-1894,
 Rebecca Goldstein, Community College Capital
Program Manager, 518-320-1501,
12/6/12
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