Facilities

PPM Chargeback Rates

PPM chargeback rates for non-maintenance related work have not been increased since 2004 and a recent Facilities Management Audit (#17-43) by the California State University Office of Audit & Advisory Services found this does not meet the intent of Executive Order (EO) 847.  EO 847 requires reimbursement for actual direct costs plus indirect costs associated with requested non-maintenance services.  The rates set in 2004 do not reflect actual labor or indirect costs required by EO 847.

Chargeback Labor Rate Summary

Class/Shop

2004 Hourly Rate

2018 Hourly Rate

2018 Overtime Rate

Grounds

$27

$38.71

$52.75

Trades

$40

$52.20

$73.04

Custodial

$22

$33.89

$46.31

Material Transportation

$24

$29.07

$40.77

Supervisors Rate

$45

$62.16

$87.62

Implementation

Recognizing budget impacts for scheduled/estimated project work and existing Memorandums of Understanding (MOUs), PPM will implement the chargeback rate increase as follows:

  • All chargeback work requested, scoped, and estimated by November 30, 2017 will be billed at the 2004 estimated rate if completed before June 30, 2018.
  • 2017-18 fiscal year MOUs will be billed at the 2004 estimated rate.
  • New chargeback work requested after December 1, 2017 will be estimated and billed at the new rates regardless of completion dates.
  • All MOU and chargeback work occurring after July 1, 2018 will be billed at the new rates.

 Moving forward, PPM actual labor rates will be reviewed in December of each year and used to establish chargeback rates to be instituted the next fiscal year (July 1) with rates published on the PPM website in January.