Budgeting for a Building Project
Francis Conte, University of Dayton

I. Relationship between Vision for Future, Space and Budget

A. Should you/have you developed a Legal Profession, Legal Education, and/or Law School (Technology?) of the Future Vision (Statement/Discussion)?

B. Should you/have you reviewed space requirements and developed a comprehensive space requirements plan?

1. Current space and space configurations and relationshipsmeeting current needs? meeting future needs?

2. Have you reviewed and/or visited recently constructed law buildings?

3.Have you developed an "optimal" space requirements and relationships plan/model, including

a. people needs

b. function needs

c. future size of student body, staff, faculty?

d. Optimal space for each area- classrooms, faculty offices, students, student orgs, courtroom, public spaces, library, conference rooms, administrative spaces, storage areas, room to grow, furniture and equipment space ?

4. Should you create both an optimal and an "acceptable" space requirements model/spreadshheet/workbook?

D. Should you develop a "preliminary" draft of current key principles and assumptions for new law building?

E. Will you need a strategic capital fundraising campaign planfor yet unplanned building?( subject of another conference?)

F. Can you, from above, develop estimated current year costs for design and construction of your space, furnishings and property "needs"?

G. Need to develop strategy to negotiate with University regarding general and particular space needs and square footage?

II. Creating a Budget Planning and Analysis Model

A. What key assumptions, variables, initial premises should you include? ( Date of completion, occupation?; Total square feet? Site development/property purchase costs? Annual rate of construction cost increases? Estimated furnishings and Tech costs, and annual rates of increase? Tuition, law school expenditure and financial aid rates of increase, if surcharge to be used? Period of amortization of const. costs?Annual interest rate of debt? Annual debt service reserve interest earnings? Budgeted enrollment over period of financing? Fundraising contributions? Other Income?

B. Funding Assumptions?

1. Tax surcharge?How long? %?

2. Restricted and unrestricted fundraising?- totals, how and when distributed?

C. Develop Projected financial operating state of the law school spreadsheet from current year til end of financing?

D. Develop Costs of Construction Statement by elements ( facilities, site development, furnishings, arch. and eng., consultant's fees, property purchases etc.?)

E. Develop Payment or Loan Repayment Statement/Modelincluding

1. Law School restricted fundraising

2. Law School unrestricted fundraising

3. Post-completion annual fundraising

4. Annual L.S. Surcharge (tuition?)

5. University Contributions

LESS

6. Estimated Annual Debt Service