Financial Analysis Subcommittee & Charter
The Financial Analysis Subcommittee is to assist the Capital Projects Review Committee and the originating department / college by reviewing proposed capital projects using a variety of financial assessments, including:
- Relevant project cost components and statistics such as cost per square foot or in the case of housing cost per bed.
- Extraordinary factors such as equipment cost, specialized environmental needs such as heating and air conditioning, etc.
- Impact on University infrastructure systems such as water, utilities, information systems.
- Impact on other University units or stakeholders. For example, will project affect utility rates charged to University users? In particular must assess impact of cost of education to students.
- Unusual bidding factors such as availability of sub contractors, competitively priced labor and materials markets.
- Project budget, sources of revenue (including funding from gifts, UI Foundation and grants) along with anticipated cash flow management.
- Appropriate sensitivity analysis.
- If debt financing is required, an analysis of amount of debt and its impact on the University’s balance sheet and cash flow. Coverage tests must be met. Timing of debt and related cash flows must be reviewed along with the terms of a bond issuance. Such analysis must be conducted from both the perspective of the enterprises finances and operations along with the overall affect on the University’s finances in aggregate.
- Other project-specific assessments deemed appropriate by the Financial Analysis Team or Project Review Steering Committee.
Committee:
Terry Johnson (Assistant Vice President & Controller), Chair
Susan Klatt (Director, Financial Management & Budget)
Rod Lehnertz (Director, Planning, Design & Construction)
Financial Specialists, as required
