Capital Planning Module

Gary R. Schaecher Founder, TMA Systems, LLC

Capital Planning Module

Providing Answers to Important Questions • • • • • • What is the current condition of your facility?

How much money do you need?

Is your level of funding appropriate?

Given a capital budget, what will happen to the condition of your assets over time?

What needs to be worked on first?

What is the baseline of your facility?

Capital Planning Module

• • • • • Provides current replacement value of each asset.

Determines if current funding levels are adequate.

Helps forecast the impact of various funding levels.

Helps prioritize what should be funded first based on your needs.

Aligns your capital improvement plan with a facilities mission and fiscal goals.

Capital Planning Timeline

• • • • • Phase I (2014 target for completion) Release Capital Planning Module BMAR database w/Estimating & Condition Assessment Facility Improvements database w/Estimating Life Cycle Renewal database w/Estimating FCI Calculations & Analysis Push Analysis data to Excel Worksheets What-if-scenarios possible 10-Year Plan Backlog Reduction Plan Reports & Graphs

• •

Phase II Timeline

Phase II (Timeline Undermined) Mobile solution for collecting assessment data (iPad) Integrate Capital Planning Data to Projects Provides: Moving of CP Projects to Projects module Project Components Meeting Minutes Finance Forms Integration Time Management Contract Management Integration Change Orders, Punch Lists, Change Directives, etc.

Invoicing & Payments Consultants and Contractors

Basic Assumptions

• • • • • It’s always easier to fund a problem that is specific & current. (Example: Roof leaks – past tense) Data in Backlog of Maintenance & Repairs • Planned needs (future) are harder to fund.

Data in Cyclic Renewal Items (Boilers, chillers, etc.) You will never reduce your backlog unless you keep it from getting worse.

The solution is to fund your Backlog (Your Problems) with input from Cyclic Renewal (Your Plan).

Basic Assumptions (cont’d)

• • • If Backlog data is not separated from your improvement items, the clarity of problems becomes clouded.

By separating the Backlog items from improvements, you have better control of your funding requests.

When necessary, you can still combine the two. Improvements are program driven.

National Standards for Estimates

• • • • • Our Elements table is Uniformat II.

This provides unique sorting capabilities.

The estimating breakdown format is a format familiar to budgeting managers.

You can analyze your building conditions down to major component levels. (Rollups) Estimates of costs can be inflated over time.

Facility Condition Index

• •

Facilities Condition Index (FCI) = Backlog of Maintenance & Repair / Current Replacement Values (CRV) The recognized FCI rating from this calculation is:

0 - 5% = Good Condition rating 5% - 10% = Fair Condition rating > 10% = Poor Condition rating > 20% = Red Flag Condition rating

CP Schema (Simplified) Graphs 6 Worksheets Reports FCI 10 Year Plan BMAR Improvements Cyclic Renewal Classify By: Uniformat Groups Capital $’s Work Areas Work Reason Markups Work Impact Funding Grps

Building Condition Browse

Building Condition (FCI) Browse

Five Software Components

1. Backlog of Maintenance & Repair Form/Browse 2. Cyclic Renewal Items Form/Browse 3. Facility Improvements Form/Browse 4. Conclusions: Excel worksheets & graphs • Interactive : What-if scenarios can be created.

• • Funding Needed worksheet Strategic Plan worksheet 5. 10-Year Backlog Reduction Plan • Tool to select groups of projects and prioritize them.

The 10 Processes

1. Load all of your data.

2. Update Backlog, Improvements, and Renewal records through facility audits. 3. Level Cyclic Renewal items to find the annual future need for your facilities.

4. Use the Excel “Backlog/Improvement" worksheet to analyze your Backlog Reduction Strategic Plan.

5. Develop a strategic plan to meet to your needs. Use the six Excel worksheets.

6. Test your plan.

The 10 Processes (cont’d)

7. Select individual work projects for funding for the next biennium and annual budget period.

8. Complete the preparation of a 10 year plan.

9. Print your results.

10.Start over with the next funding periods – Repeat Capital Planning Process.

Capital Planning Lookups

12 New Lookups to Classify: 1. BMAR 2. Facility Improvement Items 3. Cyclic Renewal Items

Capital Planning Menu

3 New tables for tracking: 1.

2.

3.

Backlog of Maintenance & Repair Facility Improvement Items Life Cycle Renewal Records

Estimating Create Estimates by Craft, Unit Cost, or Lump Sum

Powerful Browse & Query Capabilities

BMAR Browse Form

Graph BMAR/Facility Improvements Data

10-Year Plan Form

Six Excel Worksheets for What-if-Scenarios

Pushing CP Data to Excel Is Automated

Display Data in Understandable Formats

Large Selection of Reports & Graphs (50+)

Questions and Comments?

Thank You!

Suggestions: [email protected]