Current POM documents (FY 2012) - Financial Planning & Analysis

October 13, 2011Basic QuestionsDo colleges and support units get billed/reimbursed when they add/subtract space?A college or support unit is billed/reimbursed for the entire amount when it adds/subtracts space (notjust the marginal increase).Is unoccupied space included in POM rates?The rates were calculated based on ASF numbers and POM costs for all space receiving POM services.This includes 650,000 to 700,000 ASF that is classified as General University. This is mostly classroompool, inactive, and alteration space. POM for this space is paid centrally, by Resource Planning. It is notcharged to the colleges and support units.Why does some space receive only one or two of the three POM services?Most space receives all three services, but there are some exceptions, mostly in buildings that housesomething other than the usual mix of classrooms and office space. For examples, storage buildingsmay have limited or no space that receives utilities or custodial service. Food service areas that areoperated as departmental earnings operations (e.g., Wexner Café) or animal housing facilities in ULARmay have unique custodial needs that may be best met by someone other than FOD.What are the POM surcharges?Because the projected utilities costs per assignable square foot for the Biomedical Research Tower aremore than 10% in excess of the rate for the rest of the university, BRT occupants pay utilities surchargesin addition to the physical plant assessment. BRT utilities costs for FY 2012 were forecast to be 27% (or$2.15 per ASF) in excess of PPA. Surcharges for higher-than-average physical plant costs are also usedfor utilities in the McCorkle Aquatic Facility and RPAC. Two new ones were proposed in FY 2012 but notapproved by CDS: Scott Lab and the Physics Research Building.What is the New Facilities component of the Physical Plant rate?For space changes that reflect actual increases/decreases in POM space that occurred during the 12-month period prior to the December 31 cutoff for space data used in calculation of the physical plantrate (and thus are included in the ASF numbers used for the calculation and on the Schedule As), FODoperating costs and major Repair and Renovation costs are built into the New Facilities component ofthe rate. (This actually shows up on the spreadsheet split among the utilities, maintenance, andcustodial cost pools.) After the budget process, these amounts are transferred into the FOD operatingbudgets and the central Repair and Renovation program. The cost of new space is already built into thebudget projections for central utilities costs (e.g., Gas, Fuel Oil, Purchased Power).2