2009 Performance Accountability Report Vol. 2 - Maryland Higher ...

COST CONTAINMENT
Cost containment efforts are pervasive throughout the college with the tone set by the president
and vice presidents. During the budget process, cost center managers identify and report cost
containment efforts for the prior year using a form provided in the “Guide for Budgeting for
Institutional Effectiveness.” The college continually reviews current operations to identify areas
where costs can be reduced and administrative processes made more efficient. Through
purchasing initiatives such as competitive bidding and strategic preferred contract supplier
relationships, the college saved approximately $494,000 during FY2009. As part of the on-going
review of its operations, changes to existing processes generated approximately $ 290,000 in
savings. During FY2009, the college’s sustainability initiative generated savings of
approximately $43,000 by improving energy efficiency.
Estimated
FY 2009 Savings
Renegotiated contract cost savings: $ 601,263
Purchasing product & service savings initiative 493,563
Comparative shopping savings 2,200
Utilization of open end furniture agreement 40,000
Postal permit change for schedule & catalog mailings 55,000
Savings in recruitment ads 5,500
Open end agreement for landscaping with vendor supplying design 5,000
Cost Savings strategies integrated into the budgetary process: $ 4,052,255
Frozen positions turnover 1,269,878
Reclassification of two positions to improve program efficiency 186,871
College-wide budget rescissions 2,435,506
Utilization of grant funds for IT purchases 160,000
Cost savings from administrative process changes/improvements: $ 289,861
Printing cost efficiencies 7,811
Redesign of college publications & schedules 6,000
Software substitution 1,050
In house management of construction function
Cost savings from environmentally friendly process
275,000
improvements/actions: $ 43,480
Automatic shut down of PCs & monitors in Labs 12,000
Replacement of CRTS with flat panel (less energy) 30,000
Energy conservation measures in renovations projects 1,480
$ 4,986,859
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