What are the current capitalization guidelines?
Currently the capitalization of any construction project is anything that exceeds $249,999; or is greater than 25% of the building value; or is new space.
What is a quick response project?
A quick response project is a construction request that does not meet the capitalization threshold, is only one vendor, and does not require an architect.
When can we use Education and General (E&G) funding sources (UF fund codes 101-109 and 175 APPROP)?
The Board of Governors has approved the use of E&G funding sources in various circumstances.
Link to the Regulations can be found here: https://www.fa.ufl.edu/wp-content/uploads/2021/01/BOG-Regs-update-for-01272021_Brenda-Harrell.pdf
Current E&G Funding
- Can be used for projects that must be less than $1,000,000 in total project costs; maintenance, repair, renovation, remodeling, and demolition of existing educational facilities and general site improvement OR campus infrastructure to improve compliance.
- Can NOT be used for New Space.
Carryforward E&G Funding
- Minor Carryforward projects – Can be used for projects that are less than $2,000,000 total project costs; maintenance, repair, renovation, remodeling, and demolition of existing educational facilities and general site improvement OR campus infrastructure to improve compliance; as well as replacement of facilities that are less than 10,000 gross square feet.
- Major Carryforward projects – Can be used for projects that exceed $2,000,000 in these specific criteria: can complete a PECO funded project; A renovation, repair, or maintenance project with a total cost between $2 million and $5 million; A remodeling or infrastructure project, including a developmental research school, with a total cost between $2 million and $10 million; Repair or replacement of facilities due to damage caused by a natural disaster.
- Can NOT be used for New Space unless it is approved by the BOG for the completion of a PECO funded project.
What funding sources require prior approval to be used for construction projects?
The below funding sources requires prior approval to be used for construction purposes:
UF Funds 211 (Indirect Cost) and 212 (Contracts and Grants Residual Funds)
- Approval Required by Tiffany Schmidt email@example.com
UF Fund Code 213 (UFRF Allocations Royalty) and 275 (UF Strategic Fund)
- Approval Required by Julie Rhee firstname.lastname@example.org
UF Fund Code 143 (Department of Continuing Education)
- Approval Required by Barbara Bennett email@example.com
UF Fund Code 201 (Federal Sponsored Contracts and Grants); 209 (Non-Federal Sponsored Contracts and Grants); and 214 (Clinical Trial Sponsored Grants)
- Approval Required by the appropriate Contracts and Grants Accountant http://research.ufl.edu/about/contact.html
UF Funds 212 (Germplasm Royalties), 221, 222, and 223
- Approval Required by Kat Carter-Finn firstname.lastname@example.org
Can I use account code 787000 (Construction Work In Progress)?
No. This account code is restricted to Construction Accounting funds only (UF Fund Codes 500-599).
Is Window Cleaning Building Repairs and Maintenance?
No. Window cleaning is not repairing a building. Please use account code 719100 (Custodial Services).
Should furniture be included as part of the construction project?
Unless the project is supported by state appropriated funding source (PECO), furniture should not be included as part of the construction project.
Should art be included as part of the construction project?
No. Unless the art is part of the building, art should not be included as part of the construction project. If this is a new building, art that is not part of the building should be coded to 789100 (Art and Museum Artifacts if more than $4,999) or 732900 (Office Equip & Furniture less than $5,000).