Central Utilities Funding Agreement

Executive Summary

This agreement between the Division of Facilities Development & Management (DFDM) and the University of Wisconsin System Administration (UWSA) applies to central utility projects approved under the Capital Budget All Agency Projects Program, including the Small Projects Program. All central campus utility projects (except as noted elsewhere in this document or as approved by the State Building Commission (SBC)) and/or those projects that are approved using the Utilities Repair & Renovation funding source, shall be funded based on the percentage of General Purpose Revenue (GPR) and Program Revenue (PR) gross square feet (GSF) connected to and/or benefitting from the central utility(ies) included in the approved project.

Utilities Repair & Renovation funding applies to the expansion, extension, maintenance, renovation, repair, and replacement of central utility components, equipment, and systems in the central heating and chilling plants, central and site utility distribution systems, and site improvements.

Due to the wide discrepancy of buildings connected to different central utility systems, the percentages of GPR and PR GSF connected to central utilities will be maintained in two distinct categories: Chilled Water Systems and Steam/Condensate Systems. The Steam/Condensate System funding percentages will be used for all utility projects that are not solely Chilled Water System work. Projects including chilled water system utilities with other central utilities will use the funding percentages from whichever category has the lower GPR percentage.

Definitions

Utilities Repair & Renovation (currently account codes [Z080] and [Z090]) and the Road Maintenance (currently account code [Z240]) funds are used for the expansion, extension, maintenance, renovation, repair, and replacement of central utility components, equipment, and systems in the central heating and chilling plants, central and site utility distribution systems, district utility plants, and site improvements. Projects include repairs other than minor routine inspections, calibrations, or lubrication of heating plant boiler, cooling, water treatment systems and ancillary systems equipment. This includes primary service of systems exterior of building walls with the exception of the central heating and chilling plants. This category, and the term "central utility" for the purposes of this agreement, is further defined as follows.

I. Central Heating and Chilling Plants include the following...

a)  chilled water and refrigeration
b)  communications and data distribution
c)  compressed air
d)  electrical substations
e)  energy management systems
f)  fuel distribution and storage
g)  natural gas substations
h)  steam generation and production

II. Central and Site Utilities include the following...

a)  chilled water
b)  communications and data distribution
c)  compressed air
d)  domestic water
e)  electrical power and lighting
f)  fire protection
g)  fuel distribution and storage
h)  irrigation
i)  natural gas
j)  sanitary sewer and waste water
k)  steam and condensate
l)  storm water
m)  site utility access and enclosing structures

III. Site Improvements include the following...

a)  assessable improvements
b)  athletics and recreational surfaces
c)  fencing
d)  kiosks and signage
e)  landscaping
f)  pedestrian pavements and structures
g)  retaining walls
h)  vehicular pavements and structures

Implementation

GPR and PR GSF Connected to Central Utilities Data

UW System shall maintain building summary data which at a minimum includes the following data elements:

a)  Building ID
b)  Building Name
c)  Area, Gross
d)  Area, GPR %
e)  Area, PR %
f)  Utility, Chilled Water Connection
g)  Utility, Steam & Condensate Connection

At the start of each biennium, UWSA shall provide DFDM each institution's building summary data with associated analysis and tracking for any changes compared to the previous biennium data for review and comment and to establish the GPR and PR percentages connected to central utilities for the current biennium. The data will include only those building records that are online and occupied at the start of the biennium (July of odd numbered years).

Maintenance of existing central utility infrastructure will be funded as per the institutional GSF percentages connected to the central utility(ies) included in the approved project. New construction, capacity increases, and expansion of existing central utility infrastructure will be funded as per the GSF benefitting from the project.

All Agency Projects

When central utility and/or Utility Repair & Renovation projects are submitted to the State Building Commission (SBC), the funding will be prorated based upon the institution's percentage of PR space that is either connected to (A) the central steam and condensate system or (B) the central or district chilled water system. The GPR and PR GSF and associated percentages connected to central utilities are summarized in Attachment A and detailed in Attachment B. When an All Agency project is proposed and approved, the Agency Request document and the All Agency Project Request document will show the appropriate GPR and PR funding amounts based on the percentages shown in Attachment A.

Chilled Water system projects will apply the Chilled Water system GPR and PR percentages. All other central and site utility and site improvement projects will apply the Steam and Condensate system GPR and PR percentages. Projects that combine Chilled Water system items and other central and site utility and/or site improvement items will not be estimated nor funded based on the anticipated work for the unique funding categories. Projects that combine the Chilled Water system with other central and site utility and/or site improvements will apply the GPR and PR percentages for whichever category has the lower GPR percentage for the entire project cost.

Small Projects

When central utility, road and walkway maintenance, and Utility Repair & Renovation projects are submitted to DFDM, the funding will be approved as per the campus funding percentages detailed below. Small projects which are entered by UWSA or a Campus should use the appropriate funding sources and percentages as defined in the definitions section of this MOU.

Exceptions/Exclusions

1)  Athletics and Recreational Surfaces: Maintenance and replacement-in-kind of existing surfaces will be funded 85% GFSB and 15% Program Revenue funding (cash or bonding). Enhancements, expansions, reconfigurations, and relocations will be funded fully from non-GPR sources.
2)  Emergency Power is not considered to be a central utility system. Emergency power generation equipment serving more than one building will be funded based on the percentage of GPR GSF and PR GSF connected to the equipment.
3)  Off Campus/Remote Locations utility work will have a unique funding split determined on a case by case basis. The funding split for non-contiguous utility(ies) work will follow the same principles as those defined for the central utilities located on the main campus.
4)  Signage for buildings, attached or detached, will be funded based on the GPR ASF and PR ASF occupancy percentages of the building. Signage for parking lots will be funded from non-GPR sources. Signage including advertising, brand names, and marquees will be funded from non-GPR sources.

Amendments

The Memorandum of Understanding and/or the associated attachments may be amended by agreement of both parties. The tables below summarize and compare the previous central utility GPR and PR percentages (%) and GSF established in the last biennium with updated figures for the current biennium.

Benchmark Comparison by Percentage (%)

 2013-15
2017-192017-19 vs. 2013-15
 CHILLED WATERSTEAM and CONDENSATECHILLED WATERSTEAM and CONDENSATECHILLED WATERSTEAM and CONDENSATE
 GPRPRGPRPRGPRPRGPRPRGPRPRGPRPR
EAU71%29%56%44%74%26%59%41%3%(3%)3%(3%)
GBY81%19%81%19%81%19%81%19%0%0%0%0%
LAX60%40%55%45%55%45%51%49%(5%)5%(4%)4%
MIL84%16%77%23%85%15%78%22%0%0%1%(1%)
MSN78%22%73%27%75%25%69%31%(3%)3%(4%)4%
OSH72%28%51%49%72%28%51%49%0%0%0%0%
PKS76%24%83%17%76%24%83%17%0%0%0%0%
PLT100%0%56%44%100%0%56%44%0%0%0%0%
RVF63%37%51%49%68%32%51%49%5%(5%)0%0%
STO86%14%61%39%83%17%59%41%(3%)3%(1%)1%
STP70%30%59%41%70%30%59%41%0%0%0%0%
SUP85%15%70%30%85%15%67%33%0%0%(3%)3%
WTW73%27%57%43%73%27%57%43%0%0%0%0%
    AVERAGE  77%23%63%37%    

 Benchmark Comparison by Gross Square Feet (GSF)

 2013-152017-192013-15 vs. 2011-13
 CHILLED WATERSTEAM and CONDENSATECHILLED WATERSTEAM and CONDENSATECHILLED WATERSTEAM and CONDENSATE
 GPRPRGPRPRGPRPRGPRPRGPRPRGPRPR
EAU1.2670.5111.3791.0691.4490.5111.5651.0690.18200.1870
GBY1.1230.2631.0970.2631.1230.2631.0970.2630000
LAX1.2050.7991.4721.2221.2201.0071.4741.4290.0150.2070.0020.207
MIL3.7800.7084.0111.1693.9110.7084.1421.1690.13200.1320
MSN15.1494.22316.3836.07615.5265.09116.5337.4790.3770.8680.1501.404
OSH1.1470.4551.6461.5731.1470.4551.6461.5730000
PKS1.0280.3161.0590.2191.0280.3161.0590.2190000
PLT0.36601.2440.9960.36801.2480.9980.00200.0400.002
RVF0.3960.2310.9020.8650.4820.2310.9020.8650.085000
STO1.1370.1891.4750.9591.1010.2251.4400.995(0.036)0.036(0.036)0.036
STP1.4450.6261.5551.0751.4450.6261.5551.0750000
SUP0.4920.0850.8240.3550.4940.0850.7400.3670.0030(0.084)0.013
WTW1.3350.4861.6791.2531.3350.5011.6791.26900.01600.016
.016    AVERAGE  2.3560.7712.6981.4440.0580.0870.0270.129
Note: All Gross Square Foot (GSF) values are shown in millions