• Search Search Please fill out this field.

What Is a Capital Project?

Understanding capital projects, examples of capital projects, capital project funding, what are capital projects in government, what is a noncapital project, what makes a capital project successful.

  • Corporate Finance
  • Corporate Finance Basics

Capital Project: Definition, Examples, and How Funding Works

capital projects policy

Yurle Villegas / Investopedia

A capital project is a long-term, capital-intensive investment to build upon, add to, or improve a capital asset . Capital projects are defined by their large scale and large cost relative to other investments that involve less planning and resources.

Key Takeaways

  • A capital project is an often-pricey, long-term project to expand, maintain, or improve upon a significant piece of property.
  • A capital project is distinct from other company projects as it is large in scale, high-cost, and requires considerable planning relative to other investments.
  • Capital projects often refer to infrastructure, like roads or railways, or, in the case of a corporation, the development of a manufacturing plant or office.

A capital project is a large-scale project with a high cost that is capitalized or depreciated .

Regular capital investments, such as new facilities, structures, or systems, may be necessary to accelerate growth within a company or government—for example, if a company wants to build a new warehouse or purchase new manufacturing equipment to increase efficiency on the factory line.

Capital projects typically consist of the public sector building or maintaining infrastructure, such as roads, railways, and dams, and companies upgrading, expanding, or replacing their facilities and equipment.

Capital projects must be managed appropriately, for they require a significant commitment of company resources and time. The project assumes a calculated risk with the expectation that the capital asset pays off. Management of risk is a key driver of successful project development and delivery of a capital project.

The most common examples of capital projects are infrastructure projects such as railways, roads, and dams. In addition, these projects include  assets such as subways, pipelines, refineries, power plants, land, and buildings.

Capital projects are also common in corporations . Corporations allocate large amounts of resources ( financial and human capital ) to build or maintain capital assets, such as equipment or a new manufacturing project. In both cases, capital projects are typically planned and discussed at length to decide the most efficient and resourceful plan of execution.

Capital projects are big investments and, therefore, face a lot of scrutiny, especially when paid for with public funds or the money of a publicly traded company . The goal is for these investments to pay off, but sometimes they are poorly planned and executed and end up losing significant capital . 

These projects are big, take time to complete, and can cost a lot of money, meaning it is often necessary to obtain equity or debt financing to make them happen. To receive funding, capital projects are obligated to prove how the investment provides an improvement (additional capacity), new useful feature, or benefit (reduced costs).

Additional funding sources for these projects include bonds , grants , bank loans , existing cash reserves , company operation budgets , and private funding. These projects may require debt financing to secure funding. Debt financing may also be required for infrastructure, such as bridges. However, the bridge cannot be seized if the builder defaults on the loan. Debt financing ensures that the financier can recover funds if the builder defaults on the loan.

Economic conditions and regulatory changes can affect the start or completion of capital projects, as in the case of  Brexit , which caused the cancellation or delays of some projects in Britain.

In the United States, Congress is responsible for funding public capital projects, such as roads, power lines, bridges, and dams.

Government capital projects are large-scale, costly projects to maintain or improve public assets, such as parks, roads, and schools.

Most public offices set thresholds for what qualifies as a capital project. For example, in the Commonwealth of Virginia, a capital project is defined as a project that creates at least 5,000 gross square feet of building space or exceeds $3 million in total project cost. Projects that fall under each jurisdiction’s thresholds, which can also include life expectancy, may instead be called noncapital projects.

Careful planning and realistic estimates do. Affordable funding needs to be secured, costs need to be managed well, and the project must have a very good chance of becoming profitable. One or two setbacks could turn a capital project into a financial disaster.

The Bottom Line

Capital assets are key revenue generators and the backbone of many companies. Those wishing to expand and become more profitable will need to invest in capital projects and do so in the most cost-effective way possible. Over time, it is smart, well-executed investments that separate the good stocks from the weak ones.

Marwan Mohamed, Erika Anneli Pärn, and David J. Edwards, via ResearchGate. “ Brexit: Measuring the Impact Upon Skilled Labour in the UK Construction Industry .” International Journal of Building Pathology and Adaptation , Vol. 35, No. 3, Pages 264–279.

Construction Products Association. “ Brexit—Impact on Construction Products .”

Industrial Engineering and Operations Management Society. “ BREXIT: Assessing the Impact on the UK Construction Industry & Mitigating Identified Risks .”

U.S. Capitol Visitor Center, via Internet Archive. “ What Congress Does .”

Virginia Tech, Division of Campus Planning, Infrastructure, and Facilities. “ Understanding Capital vs. Non-Capital Projects .”

capital projects policy

  • Terms of Service
  • Editorial Policy
  • Privacy Policy
  • Your Privacy Choices
  • FINANCIAL SERVICES HOME

Search form

  • Budgets Home
  • Capital Projects & Budgeting
  • Capital Project Procedures

Capital Construction Project Guidelines

I. introduction.

This document outlines the policies and procedures governing capital construction projects, real estate leases including leasehold improvements and capital equipment or lease purchases at Duke University. The Board of Trustees (BOT), which approves the capital budget, endorsed these guidelines to create an orderly, efficient and coordinated system. These guidelines do not apply to Duke University Health System, which operates under separate policies. 

II. Project Approvals, Phases and Committees

a. Tier I Capital Projects

  • Cost:  Less than $1.0 million
  • Required approvals:   Dean, Director, or Department Head, Management Center, and Capital Budget Office.
  • Funding sources: Departmental reserves, central reserves, internal loans, or gifts/grants.
  • Budgeting: The BOT approves these projects in the annual capital budget. 

b.  Tier II Capital Projects

  • Cost:  $1.0 million to $10.0 million
  • Required funding approvals: Dean, Director, or Department Head, Management Center, Capital Budget Office, and EVP.
  • Funding sources: Departmental reserves, central reserves, internal loans, gifts/grants, or external debt.  BOT approval is required for projects financed with external debt.
  • Budgeting: The BOT approves these projects in the annual capital budget.

c. Tier III Capital Projects

  • Cost: greater than $10.0 million
  • Required funding approvals: Director, or Department Head, Management Center, Capital Budget Office, EVP, Capital Subcommittee, Resources Committee, and Board of Trustees.   
  • Funding sources: Departmental reserves, central reserves, internal loans, gifts/grants or external debt.  BOT approval is required for projects financed with external debt. 
  • Budgeting: The BOT approves these projects in aggregate in the annual capital budget.

For purposes of project continuity, the EVP, in consultation with other executive leaders, is authorized to approve the following expenditures for Tier 3 Projects without the approval of governing bodies (Capital Subcommittee, Resources Committee, and the Board):

For any Tier 3 Project not included in the Capital Budget, the EVP has authority to approve the expenditure of up to $250,000 for feasibility study and planning costs; provided that notice must be provided by leadership to the Capital Subcommittee and the Resources Committee prior to the University incurring such expenses.

For any Tier 3 Project in the Capital Budget, the EVP has authority to expend for feasibility, planning, design, and construction an amount up to $2,500,000.

For any Tier 3 Project in the Capital Budget that is awaiting approval from governing bodies to proceed to the next phase, the EVP has authority to authorize up to $250,000 in expenditures under the phase awaiting approval.

For any Tier 3 Project in the Capital Budget, the EVP has authority to authorize up to $2,500,000 for the procurement of long-lead time items.

a. Feasibility Study – For all Tier 3 Projects and for any other capital project designated by the EVP for a feasibility study, the programmatic need, scope of work, site location, expected total project costs, and preliminary funding plan (including philanthropy commitments) is presented to the Resources Committee.

b. Project Initiation – When a project is ready to begin the design phase, a request for project initiation is required. The request for initiation follows an approved feasibility study. Approval of initiation authorizes the project to proceed into the formal design phase.

c. Design Approval – When a project's design and associated cost estimate have been completed to a sufficient level (typically design development (DD) level), the project will seek approval of the design. Design approval identifies the architectural/engineering solution, estimated total project cost, and includes the funding plan for the project and the proposing school/unit’s ability to afford the upfront and ongoing costs related to the project. Any significant changes to budget or scope will be revisited with the BOT as a formal approval.

d. Construction & Financing – When a sufficient level of design has been completed, the request for construction & funding may occur. At this point, the funding plan evaluated at the design approval phase would be re-evaluated prior to allowing a project to move forward.

e. Acceptance – The last phase is for the University to officially accept the project. Project acceptance typically occurs approximately 12 months from the date of substantial construction completion.

f. Scope Changes – Programmatic scope changes are defined as changes developed and initiated by the department or project champion. Owner controlled scope changes are those proposed by contractors, consultants and/or FMD or FPDC. These may occur as new construction-related ideas and opportunities arise that reduce costs or improve outcomes, such as new materials or processes. All significant programmatic and owner controlled scope changes that occur during the design or construction phase and which significantly impact the contingency or total project budget must be approved by the appropriate body based on project tier. 

g. Budget Modifications – Requests to increase a project budget must be appropriately approved prior to funds being spent or committed.  In addition, budget overages must be approved by the appropriate body based on project tier.

Committees:

a. Capital Subcommittee:   Supports the Resources Committee in the execution of its responsibilities by reviewing and recommending to the Resources Committee approval of University capital projects over $10.0 million, including, but not limited to construction of new buildings, renovations or alterations of existing buildings, major landscaping alterations, purchases of improved or unimproved property that is to be used for University purposes, and information technology or equipment investments.  Capital Subcommittee membership consists of the following:

  • Trustee (3-4)
  • Faculty (1)
  • Student (1)

     Ex-Offico:

  • Executive Vice Presidnet (non-voting)
  • Provost or their designee (non-voting)

b. Resource Committee (RC):   Exercises oversight to ensure the University has the physical plant necessary to support the mission and priorities of the University, including facilities and land leased by the University. The Committee is responsible for the oversight of the University master plan and capital projects greater than $10.0 million. RC membership consists of the following membership:

  • Trustees (8)
  • Faculty (2)
  • Students (2)

     Ex-Officio:

  • Audit & Compliance Committee Chair
  • Executive Vice Provost (non-voting)
  • Vice President for Finance (non-voting)

c. Board of Trustees:   Responsible for approving the annual capital budget and University master plan.  The BOT must approve construction for projects greater than $10.0 million and funding approval for projects financed with long-term bonds.

III. Procedure for Requesting a Capital Project

  • A school or department may propose a capital project by first consulting with Facilities Management Department (FMD) for University projects or Facility Planning, Design and Construction (FPDC) for SOM/SON projects. A project manager will be assigned to assist the school or department in determining the scope, feasibility, budget and schedule of the project based upon the programmatic need including completion of a capital project request form (CPRF).

IV. Development of a Project Budget

a. All project budgets are developed by FMD or FPDC project managers.

b. Project budgets evolve over time and solidify as the design progresses.

c. The total project budget includes: construction costs, consulting expenses, project management fees, the initial complement of furniture and fixtures, expenses related to relocation of utilities and non-utility infrastructure, and any other major expense.

d. New capital project opportunities that relate to previously approved projects should be carefully examined to determine if a second project is warranted or if budget modification to the existing project is required.

e. The building project budget includes utility relocations caused by the siting of a new building.

f. Each project budget must include a contingency budget line regardless of type or tier.  The project contingency amount is determined by FMD or FPDC. 

g. Each construction project request must include an estimate of on-going operational expenses such as maintenance and other operating expenses.

h. The Capital Budget Office (CBO) will regularly distribute to senior administration a capital projects financial report, to include approved budgets, actual-to-date information, and cost projections.

V. Accounting, Reporting and Control

a. All appropriate project approvals are required prior to spending or committing funds or overspending previously approved budgets. 

b. The requesting department is responsible for ensuring that adequate funding is available and transferred to the project code to prevent overdrafts. For projects funded from multiple sources, funding details must be clearly documented and understood by all parties with clear agreement as to the timing, amount and person responsible for such funding transfers.

c. Capital projects must have a project code, to be monitored by the project manager, the financial owner and the CBO. Large projects should not be split into several smaller projects in order to avoid approval requirements.

d. Financial information is taken from the University accounting system R/3, Duke University's official ledger of record. The project manager projects expenditures; the appropriate development officer projects gifts and pledges; Financial Services projects other funding; and the Treasurer/Associate Treasurer projects financing costs.

e. Direct salaries should never be charged to capital construction projects. Typically, project management fees are recorded as internal professional fees, not as payroll expense. Only project expenses within the approved budget may be charged to the project.

f. Without prior approval, projects should not run in overdraft. Departmental reserves are the first source of funding for any unauthorized overdrafts. Projects that are funded by external debt will run in overdraft until the external debt is placed/sold.

g. Project interest charges – unauthorized overdrafts are assessed a penalty interest rate. Capital construction projects that are funded by approved internal loans are charged the blended interest rate, which is calculated annually by the Treasury division within Financial Services.

h. Sales tax – As a nonprofit organization, Duke University is eligible for a refund of sales taxes paid. Vendors are contractually obligated to provide Duke with information required to request this refund.

i. Project managers maintain the total project budget and track expenditures, prepare projections and account for the use of contingencies. The project manager reviews project estimates with the Director of Project Management or FPDC before submitting to the CBO.

j. University project contingency funds should be tightly controlled to deal with unexpected project developments. All significant programmatic and owner-controlled scope changes that occur during the design or construction phase and which significantly impact contingency or total project budget must be approved by the appropriate body based on project tier. The project manager will track all uses of project contingencies.

VI. Real Estate Leases and Leasehold Improvements

Includes any lease (operating or capital) for space, as well as up-front costs of tenant up-fit, leasehold improvements, and fixed equipment.

a. The Office of the Associate Vice President for Capital Assets and Real Estate processes requests for new real estate leases and lease renewals.

b. The present value of future lease payments (net of the operating expense portion) is calculated using a discount rate of 5.5% (consistent with University internal borrowing rate).  Add the up-front costs of tenant up-fit, leasehold improvement, and fixed equipment to arrive at a value for the lease.

c. Required approvals:  The Committee reviews, considers and makes recommendations to the Board relating to leases by the University as lessor or lessee of real property involving a total expenditure of greater than $10.0M per lease.  Any amount under $10.0M requires the approval of the EVP or his designee.

d. Negotiated lease extensions are treated as new leases.

e. Leasehold improvements projects initiated subsequent to the initial approval of the operating lease are considered normal capital construction projects.

f. Budgeting: An aggregate amount (by financial responsibility) will be included for approval in the annual capital budget. The lease payments themselves are included in University operating budgets.

Procedure for Requesting Approval of a Lease:

a. Needs for leased space must be requested through the Office of the Associate Vice President for Capital Assets and Real Estate. Requests for leasehold improvements and/or tenant upfit improvements are requested through the office of Project Management or FPDC.

b. The Office of the Associate Vice President for Capital Assets and Real Estate is responsible for including but not limited to a copy of the proposed lease agreement, present value calculation, and any other information to justify the lease.  Annual O&M costs should also be disclosed in the documentation. All appropriate approvals are required to be in place prior to signing the lease. 

 VII. Closeout

Once the project manager declares the project substantially complete, a Capital Project Financial Close Out form will be processed and submitted to the CBO for code closure in R/3.

 VIII. Capital Equipment and Lease Purchases

Includes any capital equipment or lease purchase greater than $100,000.  Approvals follow similar guidelines as capital projects.

  • Tier I:   Purchases costing less than $1.0 million require Dean, Director, or Department Head and Management Center Budget Official approval.*
  • Tier II:   Purchases costing $1.0 million but less than $10.0 million require Dean, Director, or Department Head, Management Center Budget Official, Capital Budget Office, and EVP approval.  BOT approval also required if funded with external debt.*
  • Tier III:    Purchases costing $10.0 million and greater require Dean, Director, or Department Head, Management Center Budget Official, Capital Budget Office, EVP, Capital Subcommittee, and RC/BOT approval.*

* For equipment purchases only, required documentation includes the following: CAMC Expense Approval Form including short justification explaining the need for the equipment, how/where it will be used, funding source(s), and any associated space modifications. Include any related capital costs necessary to support equipment installation.

  • Member Communities
  • Learning Dashboard
  • Materials Library
  • Best Practices

Master Plans and Capital Improvement Planning

Governments should consider multiple important elements of master plans during its capital improvement planning..

Many governments establish long-range strategies focused on community development and sustainability through the use of Master Plans. 1 As blueprints for the future, these plans identify economic, land use, and infrastructure development and/or redevelopment, which may include transportation, housing, and public facilities. Master Plans, most frequently coordinated by the local government’s planning department with broad community participation, identify jurisdictional needs ten to twenty-five years into the future. Regular updates to these plans are imperative to ascertain development or infrastructure needs as local conditions change.

Master Plans are the foundation for:

  • the development of physical plans for sub-areas of the jurisdiction;
  • the study of subdivision regulations, zoning standards and maps;
  • the location and design of thoroughfares and other major transportation facilities;
  • the identification of areas in need of utility development or extensions;
  • the acquisition and development of community facility sites;
  • the acquisition and protection of open space;
  • the identification of economic development areas;
  • the incorporation of environmental conservation;
  • the evaluation of short-range plans (zoning requests, subdivision review, site plan analysis) and day-today decisions with regard to long-range jurisdictional benefit; and
  • the alignment of local jurisdictional plans with regional plans.

In addition to a long-range Master Plan, governments utilize Capital Improvement Plans (CIP) to identify present and future needs requiring capital infrastructure. Such plans operate for a shorter duration, often three-to-five years, and list the projects and capital programs planned for the community with corresponding revenues and financing sources. Paying attention to financial factors during the development of master plans allows for a smoother transition of long-range plans to implementation and lessens the impact on the CIP and future operating budgets. Subsequently, to adequately guide the fiscal, operating, and land use needs of the community, finance officers should use Master Plans as a framework for capital project requests that go into the CIP.

GFOA recognizes the role of Master Plans as one of the CIP’s important elements and recommends that governments consider the following:

1. Master Plans should provide a vision for capital project plans and investments . Master Plans provide a vision for the government that should be supported by realistic planning documents, solid financial policies targeted for the implementation of stated goals, and trends on the government’s accomplishments and progress toward these goals. Such plans forecast the outlook for the government, illustrating the lignment between demand generators, capital improvement programs, and funding policies. In doing so, Master Plans help address the management factors that are critical in rating analysis and investor communication.

2. Governments should make capital project investment decisions that are aligned to their long-range Master Plans . The list of potential projects for inclusion in the CIP comes from a variety of sources, including department requests, plans for facility construction and renovations, long-term capital replacement programs, citizen requests, neighborhood plans and projects for which grant funds are available. These projects should always be reviewed for consistency with the government’s Master Plan(s). The CIP should be viewed as a financial blueprint that helps prioritize needs to achieve implementation of the public improvements identified in the Master Plan. The level of funding in the CIP defines the financial capacity to reach the desired goals set forth in the Master Plan.

3. The finance officer should play an active role in the early planning process . Master Plans can be useful for projecting long-range service demand generators, facility capacity needs, and stakeholder communication. Knowledge of facility capacity needs coupled with financial policies and revenue comparisons allows for the development of a more fiscally prudent Master Plan. It is important that Master Plans strike a balance between stakeholder vision and the government’s financial capacity in order to reach the desired goals. This balance can be accomplished by considering financial implications during the development phase of a Master Plan.

4. Financial factors should be considered as part of the development of Master Plans . The master planning process should be an in-depth analysis, incorporating the financial factors that bridge the gap between planners and finance officials. When integrating plans with financial policies, governments should consider both the costs and revenue streams. Possible revenue streams include bond programs, pay as you go alternatives, grants, impact fees, and public private partnership alternatives. Reviewing the revenue generating potential under the plan assumptions will help identify the capability to finance needed capital projects as well as any gaps in the ability to do so. Moreover, the plan’s vision should be balanced between the financial capacities to meet the stated goals, or at a minimum, should clearly identify the financial implications of a vision that may conflict with the jurisdiction’s financial policies and capacity. Planning documents should incorporate scenario testing during development and the jurisdiction should, at a minimum, understand the plan cost drivers, alternative scenario outcomes (from both a need and revenue generating potential) and options for meeting the desired goals.

1 Jurisdictions may refer to Master Plans by various names, including Comprehensive Plans or General Plans. This Recommended Practice utilizes the title Master Plans to denote the long-range plans (10 - 25 years) that act as a framework for capital project requests that direct the Capital Improvement Plan.

References: 

  • Capital Budgeting and Finance: A Guide for Local Governments , International City/County Management Association, 2004.
  • GFOA Best Practice, “Multi-Year Capital Planning,” 2006.
  • Board approval date: Thursday, February 28, 2008

U.S. Department of the Treasury

Inflation reduction act.

On August 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law, marking one of the largest investments in the American economy, energy security, and climate that Congress has made in the nation’s history.

Across the economy, the IRA is creating opportunities to build projects, hire workers, and manufacture equipment needed to strengthen domestic supply chains, lower household energy costs while reducing greenhouse gas emissions, and pay good wages for those efforts. In this all-of-government effort, the U.S. Department of the Treasury is responsible for implementing major elements of the law, including tax incentives that spur investment in clean energy and manufacturing and that lower healthcare costs, corporate tax code reforms that enhance economic fairness, and Internal Revenue Service’s (IRS) efforts to dramatically improve customer service, modernize technology, and ensure the wealthy and large corporations pay the taxes they legally owe.

Treasury’s Office of Tax Policy and the IRS develop tax regulations and guidance to implement the IRA’s energy credits and other tax law changes . In addition, Treasury provides the American public informational resources about the law’s incentives, programs, and policies and tells the story of its impact.

Informational Resources

The Inflation Reduction Act enhanced or created more than 20 tax incentives for clean energy and manufacturing. For many of these incentives, it created additional bonuses to enhance investments in communities and workers as well as mechanisms that will increase private sector investment and—for the first time—open access to certain clean energy tax incentives to tax-exempt entities, like state, local, and Tribal governments, rural electric cooperatives, and many more. It also created requirements in the incentives that strengthen supply chains for materials and equipment.

Find out more information about how the IRA’s incentives may help you using tools and analysis in our Taxpayer Resource Hub .

Read the latest guidance for the IRA’s tax incentives and related policies .

Impact and Stories

The Inflation Reduction Act’s investments are already making positive impacts on the lives of everyday Americans by creating good-paying jobs, strengthening our energy security, tackling climate change, and improving services that the IRS provides to taxpayers.

Read the latest analysis and stories about the impacts of the IRA.

Press Releases

November 2023.

The Inflation Reduction Act: A Place-Based Analysis

The Inflation Reduction Act: Pro-Growth Climate Policy

October 2023

The Inflation Reduction Act: Benefits for Builders of Multifamily Housing

FACT SHEET: How the Inflation Reduction Act’s Tax Incentives Are Ensuring All Americans Benefit from the Growth of the Clean Energy Economy

August 2023

The Inflation Reduction Act and U.S. Business Investment

The Low-Income Communities Bonus Credit Program: Our Approach to an Inclusive Clean Energy Economy

Unpacking the Boom in U.S. Construction of Manufacturing Facilities

Highlighted Resources

The Federal Government offers a variety of resources and incentives under the Inflation Reduction Act.

  • IRS.gov Tax Incentives in the Inflation Reduction Act
  • White House: Investing in America
  • Dept. of Energy – Energy Savings Hub
  • IRS.gov: Prevailing Wage & Registered Apprenticeship Overview
  • IRS.gov: Elective Pay

format_list_bulleted Topic Overview

Capital projects.

A capital project is a project to construct new facilities or make significant, long-term renewal improvements to existing ones. Capital projects include new construction, renovations, landscape projects, and infrastructure projects, and typically utilize a blend of funding sources.

Capital Projects Defined

Buildings, facilities, and infrastructure construction projects on the Stanford University campus are under the purview of the Land, Buildings, and Real Estate department (LBRE). To manage these projects, they are divided into two categories:

  • Those that require a jurisdictional permit and plan check.
  • Those that are routine, general maintenance projects and non-capital projects.

Regardless of size, cost, or funding source, projects that require a jurisdictional permit and plan check must follow the Form 1 request process. Examples of these projects include new construction, building demolitions, and building renovations. For a detailed list of project types requiring a Form I and an explanation of the process, refer to  Form 1 Project Initiation .

While construction is in process, these projects are accounted for as capital projects in the university's financial system to capture related expenditures. This treatment allows the university to categorize expenditures as capital assets or expenses and to collect expenditures in a way that supports indirect cost recovery, service center rate development, and financial reporting. Administrative Guide Policy 3.1.2: University Funds  provides further guidance.

Routine general maintenance projects, such as interior painting and carpet replacement, may not require the Form 1 process and are managed either by a department or Facilities Operations. Non-capital projects, typically defined as those with a budget under $50,000 and/or a lifespan of less than one year, fall outside the scope of capital projects. Refer to  Capital/Non-Capital Project Decision Tree  to understand the criteria for capitalization. 

Key Roles and Responsibilities

The Land, Buildings, and Real Estate department  is responsible for developing, designing, and administering major capital projects. Each project has a project manager responsible for coordinating all aspects of the project. Some other areas, such as Residential and Dining Enterprises, Utilities, and Facilities Operations independently manage their projects. 

User group is the faculty, staff, and students or other group identifying the need for a new facility. Generally led by school or department facilities representatives, these groups articulate the project vision, expectations, and program requirements, providing input throughout the entire process.

Support groups include:

  • Development , if donors are involved
  • Procurement , for assistance with contracts and vendor relationships
  • The Controller's Office, primarily Capital Accounting , for project setup, vendor payments, and financial controls
  • Office of the Treasury , for debt management

Capital Projects Process

The complete process is explained in the Project Delivery Process . The information below summarizes the financial aspects of the process.

Project Planning and Approvals

Facilities Project Initiation Policy (Form 1) outlines the requirements for project initiation and approvals. In summary, the planning and approval process is as follows:

  • Facilities Projects are initiated by individuals in schools or departments who submit online Form 1 to Land, Buildings, and Real Estate to indicate interest.
  • Refer to Funding Guidelines for Capital Projects
  • Refer to Administrative Guide Policy 8.3.1: Capital Projects
  • Approvals are obtained per the Policy. Refer to Capital Project Approval Process  for an outline of the approval process.

Then, if the project is approved, project setup commences.

Project Setup in Oracle Financials

  • For capital projects that have an approved Form 1, Capital Accounting will review the form for compliance, set up the PTA in Oracle Financials, and transfer the funds.   
  • For capital projects that do not require a Form 1, such as fixed equipment & modular furniture and software purchases/costs that exceed $1 million, the initiator can request a capital project PTA by using PTA Manager Capital (PTAC). Refer to Topic Overview: Request New Account (PTA)  for more information.
  • Capital Planning also sets up the project in its database to allow the project manager to track actual and projected expenditures against approved budgets.
  • Capital Accounting sends an authorization memo to the appropriate individuals so they can grant signature authority.
  • Refer to the Capital Project Sub-Task Configurations  used when capital projects are set up.

Managing the Project during Construction (Project Controls)

  • Contracts are established in accordance with Procurement guidelines.
  • As work is done, vendor invoices are received and reviewed by Cost Planning and Management (CP&M) and/or other responsible departments, and then end-routed to Capital Accounting for final review and approval. These invoices are paid and recorded through Oracle Financials.
  • Refer to Capital Project Sub-tasks/Expenditure Type Transaction Controls  for which expenditure types are eligible for capital project sub-tasks when creating iJournals and iProcurement transactions. 
  • Refer to Resource: Capital Project vs. Non-Capitalizable Costs for cost guidelines to determine which costs can be capitalizable or must be expensed.
  • The capital project administrator initiates a capital project PTA closeout or cancellation request via PTA Manager. Capital Accounting reconciles outstanding commitments, closes the project and award, and returns unused funds in accordance with the Funding Guidelines . To request the closeout or cancellation of a capital project PTA, please see the PTA Close Requirements and Contacts table of Topic Overview: Close PTAs .
  • Administrative Guide Policy 5.2.1: Financing of Purchases  explains loan terms, amortization schedules, and asset categories and lives.

Announcement Sep 20, 2023 PTA Manager Enhancement: Capital Projects Closeout and Cancellation

Announcement Jun 29, 2023 Continuous Improvements to Fingate

Newsletter Jun 22, 2023 Excellence in Financial Stewardship | Issue 8

Capital Project Accounting Email

Stanford University

© Stanford University , Stanford , California 94305 .

You are now leaving our website.

We may not have control over the content or functionality of the website you are navigating to.

Would you like to continue?

Print logo

Capital Planning and Capital Projects Policy [Oct 28, 2021]

University of Toronto Governing Council

Capital Planning and Capital Projects Policy

October 28, 2021

To request an official copy of this policy, contact:

The Office of the Governing Council Room 106, Simcoe Hall 27 King’s College Circle University of Toronto Toronto , Ontario M5S 1A1

Phone: 416-978-6576 Fax: 416-978-8182 E-mail: [email protected] Website: http://www.governingcouncil.utoronto.ca/

The University of Toronto’s three campuses encompass an extraordinary variety of architectural styles, landscapes and surroundings; in response, its physical resources must be contextually appropriate. The standards for design excellence should be no less exacting than those established in pursuit of the University’s academic goals and overall mission; the commitment to inspirational design must align with the University’s highest academic aspirations. The University must demonstrate leadership through the design and construction of well-planned buildings that enhance the campus environment while respecting the site and its setting; the stewardship of its heritage properties and its landscapes; and a commitment to sustainable practices, place-making and innovation.

The University’s development of its physical assets is guided by a best practices approach to enhancing campus accessibility consistent with the Accessibility Standards for the Built Environment and the University’s Barrier Free Design Standards . All of this while adhering to principles of value for money; efficient design and thoughtful use of materials, and technology; and leading-edge practices. In some instances, the University may acquire property, enter into Capital Leases, and/or enter into Real Estate Partnerships to fulfill this vision across its three campuses.

This policy provides the basis for the governance review and approval of Capital Projects. It is intended to (a.) ensure an institutionally integrated, consistent, and transparent process for evaluating and making strategic decisions on capital projects, and (b.) provide an appropriate level of governance oversight.

APPLICATION/SCOPE

This policy applies to all University of Toronto Capital Projects as defined herein.

ROLES AND RESPONSIBILITIES

General authority for the planning, development and construction of Capital Projects across the three campuses, in addition to Property Acquisitions, Capital Leases, and Real Estate Partnerships, is delegated to the President, who in turn delegates it to the appropriate senior officer(s) of the University; currently, the Vice-President, Operations and Real Estate Partnerships.

DEFINITIONS

Administration: University officer with delegated authority from the President of the University; currently, the Vice-President, Operations and Real Estate Partnerships or his or her designate.

Approval Levels:

Level 1 Capital Project: A Capital Project with a cost up to $10 million.

Level 2 Capital Project: A Capital Project with a cost between $10 million and $50 million.

Level 3 Capital Project: A Capital Project with a cost in excess of $50 million.

Capital Leases: Capital Leases are defined as leases that normally transfer substantially all of the benefits and risks of ownership to the lessee when, at the inception of the lease, one or more of the following conditions are present:

  • There is reasonable assurance that the lessee will obtain ownership of the leased property by the end of the lease term or when the lease provides for a bargain purchase option.
  • The lease term exceeds 75% of the economic life of the leased property.
  • The present value of the minimum lease payments for the initial term exceeds 90% of the fair value of the leased property using the lower of the lessee’s incremental borrowing rate and the interest rate implicit in the lease.

Campus Master Plan: These are Master Plans for each of the University of Toronto campuses that provide a framework for future development as further described in 1.a.

Capital Priorities List: A list maintained by the Administration of the major Capital Projects across all University of Toronto to which the University has assigned priority for a specified period of time.

Capital Projects: Capital Projects include development and construction of new buildings and physical infrastructure to support University facilities, construction of Leasehold Improvements, Property Acquisitions, Real Estate Partnerships, Capital Leases, and/or renovations other than Deferred Maintenance. Capital Projects are further defined as follows:

Academic Capital Projects are those capital projects used primarily in the delivery of the University’s academic mission, such as instructional and research facilities. They are the outcome of the University’s academic planning process, to which the University has assigned priority, as derived from the space requirements identified by divisions in support of academic and administrative programs.

Four Corners (“4C”) Projects are academic and non-academic capital projects that have combined objectives of supporting the academic mission and enhancing the student experience, while at the same time contributing a positive financial return for the University. 4C Projects include, but are not limited to the following uses:

  • Housing for faculty, staff, students;
  • Retail uses serving the campus community’s needs while contributing to a vibrant urban environment;
  • Innovation space for the University and its partners to support their research and commercialization efforts; and
  • Other ancillary uses such as parking.

Infrastructure Projects are new physical plant assets necessary to support new or existing capital assets. This may include new physical plant assets required to support Academic and 4C Projects, such as roadways, heating and cooling facilities, data and telecommunications infrastructure and other shared utilities.

Property Acquisitions, Real Estate Partnerships, Capital Leases as defined herein to deliver a capital project. Unlike other capital projects, these do not require a Project Planning Committee, Project Planning Report or Project Completion Report.

Capital Project and Space Allocation Committee (“CaPS”): An administrative committee appointed by the Vice-President, Operations and Real Estate Partnerships and as set out in the CaPS Terms of Reference attached as Appendix A, that is responsible for the monitoring, review and approval of all capital and infrastructure projects on the St. George campus, and other off-campus University properties, with the exception of UTM and UTSC campuses. CaPS is further responsible for reviewing and assessing all applications for space allocations, reorganization or change of use for the St. George Campus.

CaPS Executive: An administrative committee composed of the institutional offices responsible for the financing, planning, implementation and maintenance of facilities, as well as, the appropriate academic and divisional representation, as set out in the CaPS Terms of Reference attached as Appendix A, which receives, reviews and approves the membership and Terms of Reference for Project Planning Committees.

Cardinal Deviation: A major programmatic change to a Capital Project that does not align with the original purpose, nature or intent of the approved project as described in the Project Planning Report. This could include a significant change in the desired functional requirements and /or special facilities consistent with the academic priorities requirements such as significant changes to key elements of the project (site, space program, overall project cost and source of funding).

Completion Report: A written report to University governance bodies that confirms the practical completion of a Capital Project and final determination of financial costs together with a summary of budget and schedule variances.

Deferred Maintenance: Represents capital expenditures that are necessary to maintain the functionality of existing capital assets over their expected life. For further clarity, deferred maintenance projects that are required to maintain the functionality of existing capital assets do not fall within this policy as they are approved annually via the University budget process.

Design Review Committee (“DRC”): An advisory body to the Administration appointed in accordance with the Design Review Committee Terms of Reference attached as Appendix D, comprised of leaders in architecture, landscape design, and the design profession.

Execution of Project: Refers to the granting of necessary approvals to University staff and third parties to proceed with construction of a Capital Project.

Financing: Represents the portion of funding costs that are borrowed from (a) lenders other than the University, or (b) from University resources such as Expendable Funds Investment Pool, and which are expected to be repaid within a defined period of time together with borrowing costs including interest and fees.

Leasehold Improvements : Modifications made by the property owner or the leaseholder to render the space more useful or appealing for the tenant (also know as tenant improvements or build-outs).

Project Planning Committee (“PPC”): Formed at the outset of planning for a Capital Project and will include representatives of the project’s users, the staff responsible for campus and facilities planning, the staff responsible for project development and the staff responsible for building operations.

Project Completion : When all physical construction is complete, the project is ready for use and all material financial costs have been incurred and finalized.

Project Planning Report (“PPR”): A report prepared for all individual Capital Projects for which a Project Planning Committee is established.

Property Acquisition: the acquisition of a legal interest in real property.

Real Estate Partnership: A binding agreement between the University and a third-party real estate developer and/or investor with the mutual goal of planning, designing, constructing, leasing, acquiring, disposing, and/or financing a Capital Project, among other potential objectives.

Status Report: An update of the actual project schedule and costs compared to planned and approved costs, to be prepared on a bi-yearly basis, or quarterly when specifically requested.

Total Project Costs : all hard and soft costs and expenses required for the construction and delivery of a Capital Project, and shall include any transaction costs or incidental expenses including but not limited to Financing costs.

UTM Space Planning and Management Committee: An administrative committee, as appointed by the Vice-President and Principal, University of Toronto Mississauga (“UTM”), with authority to approve Capital Projects on the UTM campus with a value less than $10 million, as set out in the Terms of Reference attached as Appendix B. All Capital Projects at UTM that fall within this category are to be reported annually to CaPS for information.

UTSC Campus Design and Development Committee: An administrative committee, as appointed by the Vice-President and Principal, University of Toronto Scarborough (“UTSC”), with authority to approve Capital Projects on the UTSC campus with a value less than $10 million, as set out in the Terms of Reference attached as Appendix C . All Capital Projects at UTSC that fall within this category are to be reported annually to CaPS for information.

  • Campus Master Plans (“Master Plans”) The Master Plans for the University of Toronto campuses provide a framework for future development. They identify development potential within the defined boundaries of each campus while building on their strengths and drawing from unique campus environments in order to ensure high quality buildings and open space. The Governing Council, on the recommendation of the relevant governance bodies, shall adopt campus Master Plans for the University’s St. George, Mississauga and Scarborough campuses, as well as for other University-owned properties as required. Normally, Master Plans will be reviewed every 10-15 years.
  • Capital Priorities List A presentation of Capital Projects prioritized for the year in response to existing and anticipated program needs, will be made annually at the first meeting of the relevant governance bodies. This presentation will set out the strategic importance of prioritized Capital Projects as part of the University’s strategic and operational planning process so as to provide context for the Capital Projects expected to be coming forward to governance bodies in that year.
  • Design Review Committee (“DRC”) The DRC advises the President or designate, currently the Vice-President Operations and Real Estate Partnerships, on the development of campus built form environments, in order to enable the President to implement the University’s commitment to a level of excellence in this area comparable to that established of its academic activities. The DRC uses high standards in discharging its duties with respect to design review and the interplay of design issues with other planning considerations. Capital Projects shall be reviewed by the DRC where the project:
  • Is Level 2 or 3, excluding Property Acquisitions, Capital Leases and Real Estate Partnerships ;
  • Has a significant exterior design component or impact on public and open spaces; or
  • Includes historically listed or designated buildings. All Capital Projects are assessed within the context of approved Master Plans, which will also be reviewed from time to time by the DRC.
  • Project Planning Committee (“PPC”) A PPC shall be formed at the outset of planning for all Capital Projects, except for Capital Leases, Real Estate Partnerships, Property Acquisitions, and Infrastructure Projects. The PPC will include representatives of the project’s users, the staff responsible for campus and facilities planning, the staff responsible for project execution and the staff responsible for building operations. The membership of the PPC will be assembled by the Vice-President and Provost (or designate) with input from the Dean(s), Principal(s) of the relevant academic divisions and or sectors for whom the project is undertaken. All PPC’s will include faculty, staff and student representation and may include the Dean/Principal or designate, as appropriate. The Vice-President and Provost (or designate) will designate a representative from each of these constituencies to serve on a working project executive committee. The Vice-President and Provost (or designate) will appoint the Chair of the Project Committee from among the members of the project executive committee. The PPC will continue to meet until the completion of a Capital Project. Note that when a Capital Project moves into implementation (in design), the PPC continues to meet, but membership may change to reflect the nature of the project; in addition, further committees may be struck to manage particular aspects of the Capital Project.
  • the program and/or activities to be accommodated in the space;
  • the project’s conformity with the University’s overall physical planning principles, including the applicable Master Plan and Capital Priorities List;
  • reference to the quality standards anticipated for the particular project;
  • the special needs of the Capital Project, e.g., exceptionally durable materials, architecturally significant exterior components, unique landscaping elements, etc., which should be identified for costing purposes. The PPR will have two parts. One part that contains information for consideration in open session and a second part for consideration in closed session. The specific elements of each are as follows: Part One (Open Session):
  • Vision Statement
  • Project Background
  • Statement of Academic Plan
  • Space Requirements, Program & Functional Plan
  • Building Considerations & Sustainability
  • Campus Infrastructure Considerations
  • Secondary effects
  • Funding Sources Part Two ( In Camera Session)
  • Total Project Costs: provisional estimates of the cost of the project (the project budget), as supported by the inclusion of a Total Project Cost (TPC) document.
  • Rationale to support the appropriateness and feasibility of costs based on current market conditions and benchmark projects.
  • In the case of 4C Projects, the net financial return and the details of a projected cash flow analysis with respect to both revenues and expenditures. Details of any Real Estate Partnership(s) associated with the Capital Project including a summary of any binding agreements between parties and/or any external financing sources such as equity or debt contributed by the partner(s) as part of the Real Estate Partnership.

Approval of a Level 1 Capital Project, excluding Property Acquisitions, Capital Leases and Real Estate Partnerships, is delegated to CaPS .

  • Project Implementation Once execution has been approved, the relevant authority as designated by the President proceeds with the Capital Project in accordance with the PPR, or in the case of Property Acquisitions, Capital Leases and Real Estate Partnerships, proposed key terms of the applicable agreements. Governance bodies will be kept informed through Status Reports and certain matters will be brought before them for further approval as set forth in Section 3.
  • For all Academic Capital Projects to the Academic Board and to the Business Board.
  • For all Four Corners Projects, to the Academic Board and to the Business Board.
  • For all Infrastructure Projects, to the Business Board. The purpose of the PCR is to confirm financial closure of the Capital Project has occurred and to identify any budget and schedule variances, positive or negative. For Property Acquisitions, Real Estate Partnerships, and Capital Leases, key information will be presented to Business Board, including (but not limited to) the following for each type of transaction:
  • Property Acquisition : proposed use (e.g. academic, 4C, other), negotiated price, comparable transactions, due diligence findings, and sources of funding.
  • Real Estate Partnerships : key terms found in binding letter of intent (LOI) including but not limited to proposed purpose, ownership interests, anticipated sources of financing, transaction structure, and key decision-making protocol.
  • Capital Leases : key terms found in binding offer to lease or similar agreement including, but not limited to, use, size, term, rental rates, operating expenses, extension and termination rights, and other key rights and obligations.
  • Annual Reports Annual reports are provided to the relevant body of governance by the CaPS Executive, the UTM Space Planning and Management Committee and the UTSC Campus Design and Development Committee, as applicable.
  • Projects requiring Design Review Committee review
  • A new campus building
  • A significant building addition, including major landscape initiatives
  • Projects involving complex heritage restoration and/or alterations Authority to approve Level 1 Capital Projects, excluding Property Acquisitions, Capital Leases and Real Estate Partnerships, on the UTM and UTSC campuses are delegated to the UTM Space Planning and Management Committees and the UTSC Campus Design and Development Committee . Level 1 Capital Projects that are Property Acquisitions, Capital Leases or Real Estate Partnerships , and which do not require Financing, are delegated to the Administration.
  • Level 2 Capital Projects Level 2 Capital Projects on the St. George campus are initially considered by the Planning & Budget Committee and by the respective Campus Affairs Committees and Campus Councils in the case of projects on the UTM and UTSC campuses. If considered appropriate, these bodies will recommend approval to the Academic Board. Such projects will be confirmed by the Executive Committee of the Governing Council on the recommendation of the Academic Board.
  • Level 3 Capital Projects Level 3 Capital Projects will follow the same approval process as Level 2 Capital Projects with the additional requirement that the Executive Committee of the Governing Council endorses and forwards such projects to the Governing Council for approval.
  • Level 2 Capital Projects are considered by Business Board in addition to the consideration by Academic Board described above. Business Board will recommend approval to the Executive Committee of the Governing Council.
  • Level 3 Capital Projects will follow the same approval process as Level 2 Capital Projects with the additional requirement that the Executive Committee of the Governing Council endorses and forwards such projects to the Governing Council for approval.
  • Property Acquisitions, Capital Leases, and Real Estate Partnerships Business Board approval is required for all Level 2 and Level 3 Capital Projects, or any Level 1 Capital Project that requires Financing.
  • Non-Academic Projects Notwithstanding the foregoing, student residences and other student-oriented Capital Projects will require additional oversight by the University Affairs Board.
  • Financing Any Financing will be approved by the Business Board. The role of the Business Board in this instance is exclusively to consider the financial impact in the context of the University’s debt capacity.
  • Execution of Project Approval of Execution of Project grants authority to the Vice-President, Operations and Real Estate Partnerships to sign the necessary agreements and other relevant documents on behalf of the University for the Capital Project to proceed. The Execution of Projects includes the call and approval of tenders within cost limits, and the establishment and charge of authorized expenditures within approved limits.
  • Changes in Scope The President or designate, currently the Vice-President Operations and Real Estate Partnerships, has the authority to approve minor scope changes falling within the stated intent and purpose of the approved Capital Project as described in the PPR. In the case of a Cardinal Deviation, a meeting will be held of the Chairs and Vice-Chairs of the applicable governance bodies (Committees, Campus Councils, Boards) that recommended the Capital Project for approval. This ad hoc body has authority to determine whether a revised PPR should be brought back through the full governance path for approval or to approve the change in scope. The decision of this ad hoc body will be reported for information to the next meeting of the Executive Committee of the Governing Council.
  • Governance Approval not Required Approval of cumulative project budget increases up to 10% of the original Total Project Cost, to a maximum of $30 million, are within the authority of the Vice-President, Operations and Real Estate Partnerships. For cumulative budget increases over 10% of the original Total Project Cost or over $30 million, to a maximum of $50 million, a meeting will be held of the Chairs and Vice-Chairs of the applicable governance bodies (Committees, Campus Councils, Boards) that recommended the Capital Project for approval. This ad hoc body has authority to determine whether the revised Total Project Cost should be brought back through the full governance path for approval or to approve the project budget increase. The decision of this ad hoc body will be reported for information to the next meeting of the Executive Committee of the Governing Council.
  • For Level 1 Capital Projects Cumulative budget increases that increase the Total Project Cost over the Level 1 Capital Project approval threshold will not require additional governance approval, provided such increases are up to 10% of the original Total Project Cost. Should the cumulative budget increases exceed 10% of the original Total Project Cost and exceed the Level 1 Capital Project approval threshold, the Capital Project will require the approval as outlined for a Level 2 Capital Project.
  • For Level 2 Capital Projects Cumulative budget increases that increase the Total Project Cost over the Level 2 Capital Project approval threshold will not require additional governance approval, provided such increases are up to 10% of the original Total Project Cost. Should the cumulative budget increases exceed 10% of the original Total Project Cost and exceed the Level 2 Capital Project approval threshold, the Capital Project will require the approval as outlined for a Level 3 Capital Project.
  • For Level 3 Capital Projects Cumulative budget increases that are less than 10% of the original Total Project Cost will not require additional governance approval. Should the cumulative budget increases exceed 10% of the original Total Project Cost the Capital Project will require a revised Level 3 Capital Project approval.
  • Property Acquisitions, Capital Leases and Real Estate Partnerships Notwithstanding the foregoing, for Property Acquisitions, Capital Leases and Real Estate Partnerships, Business Board approval is required for any increase in Total Project Cost that falls within Level 2 or Level 3 thresholds.

ASSOCIATED GUIDELINES/PROCEDURES

Campus Planning Principles

Campus Master Plans

Design Standards – Part One, Part Two

UTSC Urban Design Guidelines

UTM Design standards [LINK TO BE INSERTED]

Typical Project Planning Report Outline and Template

RELATED DOCUMENTS

Appendix A – Capital Project and Space Allocation Committee (CaPS) Terms of Reference

Appendix B - UTM Capital Projects and Space Allocation Committee (MCaPS) Terms of Reference

Appendix C - UTSC Campus Design and Development Committee Terms of Reference (September 2023)

Appendix D – Design Review Committee Terms of Reference (Updated – August, 2021)

Should a link fail, please contact [email protected]

REVISION HISTORY AND UPDATES

KEYWORD INDEX

See definitions above.

[ 1 ] Complete documentation will be made publicly available on the Governing Council website once the bids for the project are received and finalized, and the Governing Council Office is notified. Updates will be made twice a year.

  • Meeting Schedule
  • Elected Members' Terms of Office 2023-2024 to 2025-2026
  • Terms of Reference
  • Academic Board Calendar of Business
  • Meeting Agendas and Reports
  • Previous Meeting Agendas and Reports (Before 2019 - 2020)
  • Additional Reports to Academic Board
  • Agenda Committee Calendar of Business
  • Audit Committee Calendar of Business
  • Business Board Calendar of Business
  • Constitution
  • Member's Position Description
  • Guidelines for the Committee for Honorary Degrees
  • Instructions for Honorary Degree Nominations
  • Honorary Degree Nomination Form
  • List of Honorary Degree Recipients, Alphabetical order
  • List of Honorary Degree Recipients, Chronological order
  • AP&P Calendar of Business
  • Elections Committee Calendar of Business
  • Executive Committee Calendar of Business
  • Additional Reports Required by Policy or Terms of Reference
  • Biographies of the Members of the Governing Council
  • Members of the Governing Council Listed by Estate
  • Governing Council Members' Terms 2023 - 2024
  • Governance Bodies Organizational Chart
  • University of Toronto Act, 1971
  • Meeting Agendas and Reports (After the 2018 - 2019 Academic Year)
  • Planning and Budget Committee Calendar of Business
  • Regulation #1
  • Presidential Contract
  • University Affairs Board Calendar of Business
  • Previous Meeting Agendas and Reports
  • Commitment to Equity, Diversity and Inclusion
  • Student Definitions
  • Important Dates for 2024
  • Available Student Seats
  • Find Your Constituency
  • Nomination Process
  • Campaigning
  • Another Way to Get Involved
  • Principles of Good Governance and Equity, Diversity and Inclusion
  • Teaching Staff Definition
  • Available Teaching Staff Seats
  • Administrative Staff and Librarian Definitions
  • Available Seats
  • Available Administrative Staff Seats
  • Available Librarian Seats
  • Administrative Staff Seats
  • Librarian Seats
  • Frequently Asked Questions
  • Presidential Searches
  • Vice-Presidential Searches
  • Other Searches
  • Chairman's Advisory Committee on Governance 1988
  • Towards 2030 Task Force on Governance
  • Announcements
  • Meeting Dates
  • Overview Videos
  • Request to Speak at a Meeting
  • Room Bookings

LAO Logo

Translate Our Website

This Google ™ translation feature provided on the Legislative Analyst's Office (LAO) website is for informational purposes only.

The LAO is unable to guarantee the accuracy of this translation and is therefore not liable for any inaccurate information resulting from the translation application tool.

Choose your language:

Lao products.

  • Publications
  • Ballot/Initiative Analyses
  • Economy & Taxes Blog

Recurring Reports

  • Analysis of the Budget
  • Overview of the Governor's Budget
  • Overview of the May Revision
  • Supplemental Language Report
  • State Spending Plan
  • Fiscal Outlook

The 2024-25 Budget: California State University

Description: In this brief, we analyze the Governor’s budget proposals for the California State University (CSU). We also revisit recent CSU one-time initiatives and capital projects.

Reports by Policy Area

  • Capital Outlay, Infrastructure
  • Criminal Justice
  • Economy and Taxes
  • Environment and Natural Resources
  • Health and Human Services
  • Local Government
  • State Budget Condition
  • Transportation
  • Other Government Areas
  • Lawyers and Staff
  • Office Contact
  • Mission, Values, and Services
  • Referral Protocols
  • UBC Stewardship Statement
  • Career Opportunities
  • Access and Privacy
  • Conflict of Interest and Commitment
  • Contracts and Signing Authority
  • Repository of Board of Governors Policies, Procedures, Rules, and Guidelines
  • Revised Identification System for Board Policies
  • Open Policy Consultations
  • Understanding the University Act
  • Student Discipline
  • Related Sites
  • Promotional Games
  • Criminal Record Checks
  • News and Updates

Capital Projects Policy (FM11)

EXPLANATORY NOTES REGARDING THE CAPITAL PROJECTS POLICY  Issued May 2022 by the Office of the University Counsel

The Office of the University Counsel has issued these Explanatory Notes to provide information regarding the Capital Projects Policy and any associated Procedures, Rules, or Guidelines. 

Pursuant to the regulatory framework policy (ga2), the policy and any associated procedure and rules set out requirements that must be adhered to by members of the ubc community. however, guidelines are non-binding and are merely intended to provide guidance to the ubc community. guidelines may include illustrative examples, best practices, or recommendations. similarly, these explanatory notes are informational only and do not have any regulatory effect., the responsible executive(s) have primary responsibility for the implementation and administration of the policy and any associated procedures and rules. any questions regarding implementation and administration should be directed to the responsible executive(s). any questions regarding the interpretation of the policy and any associated procedures and rules may be directed to the office of the university counsel., (if you wish to link to the current version of the capital projects policy or any associated procedures, rules, or guidelines, please link to this page (i.e., these explanatory notes). this will always provide access to the most current version of those documents. please do not make a copy of the documents themselves or their direct links, since they may change from time to time.).

Policy Short Title: Capital Projects Policy Policy Long Title: Capital Projects, Capital Purchases & Internal Loans Policy Number: FM11

View the Capital Projects Policy and Related Documents: Capital Projects Policy and Associated Procedures

Policy Date: July 2019 Procedures Date: April 2021

Responsible Executive(s): Vice-President, Finance and Operations

Responsible Board Committee: Property Committee

Related Policies: Purchasing Policy (FM2) Retained Risk Policy (FM10) Regulatory Framework Policy (GA2) Land Use Policy (UP12)

Related Legislation:   University Act (R.S.B.C. 1996, c. 468)

8.3.1 Capital Projects

Formerly Known As Policy Number: 83

This Guide Memo describes Stanford University policy on initiating academic facilities and infrastructure projects under the authority of Land, Buildings,and Real Estate (LBRE), including specific information on the allocation, siting and management of modular buildings, trailers and storage containers on campus. This Guide Memo also addresses University funding of capital projects, including the application of the Stanford Infrastructure Program (SIP) assessment and the General Use Permit (GUP) Entitlement Fee to fund mitigation costs arising from the approval of the December 2000 Community Plan and the General Use Permit.

Applicability:

This policy applies to all University capital projects.

1. Facilities Project Initiation

A. form 1 required for capital projects.

All requests for academic facilities and infrastructure projects on the Stanford University campus, where Stanford occupies or leases buildings off the campus are required to be submitted electronically on a Form 1 prior to the project's start. 

The Form 1 is required, but not limited, to the following types of academic projects, regardless of size, cost or funding source.  A detailed list of project types requiring a Form 1 is available on the  Land, Buildings and Real Estate  website.

  • New construction, including construction or placement of temporary buildings intended for personnel occupancy
  • Building demolitions
  • Interior building changes
  • Projects that affect building exteriors
  • Surge and relocation projects associated with a capital project
  • Landscape projects and reconfigurations
  • Land use projects
  • Projects requiring a jurisdictional permit and plan check. Projects requiring only over-the-counter permits may not require a Form 1
  • Projects undertaken and/or funded by Capital Utilities Program (CUP), (GUP) Entitlement Fee Program, Capital Facilities Fund (CFF), Facilities Reserve, and debt

The Form 1 applicability list is not exhaustive but is intended to capture a wide range of activities that are closely monitored by Stanford. In cases where ambiguity exists, with respect to Form 1 applicability and/or capitalization rules, it is the responsibility of the project initiator to seek clarification.

The following types of projects are exempted from the Form 1 process:

  • Properties and land designated for income production by the Board of Trustees
  • Non-capital and/or Board of Trustee approved capital projects managed by Stanford Health Care and SLAC National Accelerator Laboratory unless University funding or facilities are involved
  • Commercial and residential ground leases
  • Faculty staff housing rental purchases
  • Maintenance projects that do not include a capitalized component, and do not qualify under any of the criteria mentioned above

The Form 1 request process enables Land, Buildings, and Real Estate to:

  • Determine whether Board of Trustees approval is applicable
  • Evaluate program scope, justification and priority
  • Assess and confirm the funding resources that are available (through the Controller's Office)
  • Ensure that campus planning, code, architectural and aesthetic considerations are reviewed
  • Ensure that Stanford's Project Delivery Process is followed (see Project Delivery Process  for detailed information on the process) 
  • Request a PTA (Project/Task/Award) setup in Oracle allowing contracts and expenditures to commence

The Form 1 process is initiated by authorized local facilities representatives before a project begins, is then approved within the School/Department, and is finally submitted electronically on the Land, Buildings, and Real Estate website. Detailed approval guidelines, at various project cost levels, are outlined in detail on the Form 1 website .

2. Modular Buildings and Trailers

A. new modulars and trailers.

For reasons of cost effectiveness, sustainability and campus aesthetics, modulars and trailers are generally discouraged as a Stanford University building type. However, there are times when modulars are appropriate for temporary use on campus.

Proposals to install new modulars and trailers need to be submitted using Capital Planning's Space Request Form  and approved by the Provost. This form is required prior to initiating the Form 1 process, regardless of modular or trailer size, proposed length of use, purpose, cost, location, or source of funding. The cost and installation of new modulars and trailers generally are the responsibility of the local area.

Siting of all modulars and trailers must be approved by the Stanford University Architect/Planning Office .

Detailed policies on modular buildings and trailers can be found on the Capital Planning website.

3. Storage Containers

A. definition.

Storage containers are freestanding metal boxes used for a variety of stored materials. They are centrally located in the storage container yard and adjacent area on Stock Farm Road. Locating containers in other areas of the campus must be approved in advance by the Stanford University Architect/Planning Office.

Proposals for the installation of new containers and moving existing storage containers need to be submitted on Capital Planning's Space Request Form  for approval by the Provost. This form is required prior to initiating the Form 1 process, regardless of container size, cost, proposed length of use or source of funding. The cost and installation of new containers is the responsibility of the local area. Units wishing to relinquish or move containers also must inform Capital Planning in advance. The cost and removal of containers is the responsibility of the local area.

Siting of all storage containers must be approved by the Stanford University Architect/Planning Office .

Detailed policies on storage containers can be found on the Capital Planning website.

4. Stanford Infrastructure Program (SIP) Assessment

The Stanford Infrastructure Program (SIP) consists of campus planning and transportation projects and programs for the improvement and general support of the University's academic community, hospitals, and its physical plant. Program funding is generated by an internal fee levied on monthly expenditures of all academic and hospital capital projects, as described below. The program facilitates the construction of bicycle and pedestrian paths, lighting, outdoor art, campus transit, roads and parking lot infrastructure, connective elements, and other site improvements that  directly supports the academic missions of teaching and research and the overall vitality of the institution. This infrastructure will be developed as necessary to improve public safety and service, and to promote conservation in land use and resources.

a. Assessment

A 4.6% SIP assessment is applied on all expenditures (excluding fees for SIP, GUP Entitlement, Below Market Rate Housing (BMR), and the Palo Alto Unified School District (PAUSD)) for capital projects  (including new buildings, renovations, deferred maintenance and the CUP), regardless of amount, funding or management. 

For Stanford Health Care and Welch Road academic tenants in the City of Palo Alto, the SIP assessment is 2.3% on all expenditures (excluding fees for SIP, GUP Entitlement, Below Market Rate Housing (BMR), Palo Alto Union School District (PAUSD), computer hardware and software, medical equipment and furniture, and off-campus capital projects) for capital projects (including new buildings, renovations, deferred maintenance and CUP), regardless of amount, funding or management. The SIP percentage is lower for the aforementioned entities as they are required to provide and fund parking for their properties in the City of Palo Alto (i.e. SIP funds are unavailable in the City of Palo Alto).

No assessments will be taken on SIP-funded or GUP Entitlement Fee funded projects, or software application programs.

b. Project Eligibility

Any academic or auxiliary program may identify a need for a potential SIP project and seek SIP funding by submitting a project request to either the University Architect/Planning & Design office (SIP-C) or the Stanford Transportation office (SIP-T) as appropriate. Each request must represent a project that will provide benefits to more than a single campus user, group, or building and each will be evaluated against the following general criteria:

  • Improves the overall quality of the campus environment
  • Satisfies a particular academic or auxiliary program need
  • Reduces total capital and operating budget expenses
  • Fulfills a safety and/or security need
  • Relates to and supports campus planning objectives
  • Provides a renewal of a deteriorating infrastructure asset(s)
  • Responds to governmental agency requirements

c. More information

Detailed guidelines regarding SIP  can be found in the Document Library on the LBRE website.

5. General Use Permit (GUP) Entitlement Fee

The GUP Entitlement Fee provides funding for the mitigation of projects and programs (Conditions of Approval) required by Santa Clara County as a result of the December 2000 Community Plan and GUP approval. The projects and programs required include infrastructure and environmental resource studies, a comprehensive water conservation program, transportation demand management, habitat conservation, and consultant monitoring of mitigation compliance. Additionally, GUP Entitlement Fees fund the cost of roadway expansions, new parking, and expanded childcare facilities.

A GUP Entitlement Fee is assessed on increases in School/Department gross square footage on the Stanford campus regardless of total project value. Housing units are required as a component of the GUP and are thus excluded from the GUP Entitlement Fee.

The entitlement fee structure is based upon the present net value of projected mitigation costs, as described above. The fee will be set on a rolling three-year basis consistent with the Capital Plan and may be revised periodically. The forecasted rates for current and future GUP Entitlement Fees can be accessed on the Capital Projects Fees table .

b. Space Audit

Although increases in School/Department square footage typically result from the construction of a new building, a variety of other factors may impact the square footage calculation to derive net incremental program growth. Any project that results in additional square footage will be subject to a space audit to determine the total amount of growth. The audit will consider a combination of space movements, including, but not limited to, space demolitions, vacated and reassigned space, and inherited space.

All space changes are subject to the approval of the Provost.

6. Funding Policy

All capital projects, regardless of total project budget, must have funding in hand or an approved backstopping plan prior to commencing construction. All capital project funding requests are initiated via the Form 1 process. Funding is transferred to an account established by the Controller’s Office. Form 1s may be approved by the Vice President of LBRE, or the Associate Vice President, Land and Buildings Academic Projects and Operations (up to a total project cost of $10 million). If the project was not approved in the Capital Plan and/or GUP square feet, central funding or centrally funded debt are requested, and were not previously allocated, the Form 1 must be routed to the Provost for approval. 

a. Capital Projects under $25 million

  • Capital projects that have a total capital project cost up to $15 million must obtain Concept and Construction Approval from the Vice President of LBRE.
  • Capital projects that have a total capital project up to $25 million must obtain Concept and Construction Approval from the Provost.
  • Capital projects presented to the Provost or the Vice President LBRE must have a final Funding Plan prior to the request for Concept Approval, and a final Funding Agreement prior to the request for Construction Approval.

The detailed Capital Project Approval Process and Related Funding Documentation Policy for capital projects less than $25 million can be found in the Document Library  on the LBRE website.

b. Capital Projects over $25 million

If any of the following criteria are met, the project must go to the Board of Trustees for approval:

  • Construction, renovation or building improvements projects for academic use, on or within University-owned land, that have a financial commitment greater than $25 million;
  • are for the creation of new development on a previously undeveloped site;
  • or will result in the change in use of an existing site must obtain several levels of approval from the Committee on Land and Buildings of the Board of Trustees.

As documented in the Project Delivery Process , a percentage of the total project budget is transferred to the account by the Controller’s Office at each Board-required approval.  Approval levels include Concept, Project, and Construction for building renovations; and Concept/Site, Design, and Construction for renovations, and Concept and Site, Design, and Construction for new buildings. All projects presented to the Committee on Land and Buildings must have an executed Funding Plan prior to the request for Concept Approval, and an executed Funding Agreement no later than the request for Construction Approval.

Infrastructure programs with program funding identified (e.g., the CUP, SIP, GUP Entitlement Fee program) generally do not need separate funding plans and agreements; however, individual projects exceeding $25 million may require approval from the Board of Trustees.

The Funding Plan outlines the benchmarked project budget, the planned funding sources, and the estimated amounts from each funding source; addresses the budget responsibility for finance charges during construction, as well as debt servicing or gift backstopping provisions after construction completion; addresses restrictions on the use of tax-exempt debt; documents O&M impacts and unit responsible, and  stipulates if a project is subject to a GUP Entitlement Fee.  Funding Plans are subject to revision if the project experiences significant changes in project scope or budget during the design phase.

The Funding Agreement supersedes the Funding Plan when the project returns to the Committee on Land and Buildings of the Board of Trustees for Construction Approval documenting final components listed in the previous paragraph.

The detailed Capital Project Funding Plans and Agreements Policy  can be found in the Document Library on the LBRE website.

7. Sources of More Information

  • Land and Buildings' website at  http://lbre.stanford.edu/
  • Land and Buildings' Online  Form 1 System
  • Capital Planning  website, includes Project Delivery Process and Space Request Form
  • Administrative  Guide Memo 5.2.1 : Financing of Purchases

Related Policies

5.2.1 financing of purchases.

  • Policy Manual
  • Section 9: Campus Operations and Facilities

Capital Projects and Space Management (Policy 9280)

University policy 9280.

Download a Printable Version of Policy 9280

Effective Date

December 20, 2021

Responsible Party

Associate Vice President for Campus Operations, (208) 426-1249

Scope and Audience

This policy applies to all academic, auxiliary, and administrative departments seeking Space allocations, new Capital Projects, remodels and/or renovations.

Additional Authority

  • Idaho Code § 67-5710B
  • State Board of Education Policy, Section V.K.
  • University Policy 1100 (Use of University Space)

1. Policy Purpose

To provide a consistent, transparent process for prioritization and approval of Space allocations and Capital Projects.

2. Policy Statement

Boise State University is committed to the thoughtful organization and assignment of Space with the goal of creating synergistic environments that enhance collaborations, creative activity, research, and education. The University, not any specific department, is ultimately responsible for all capital assets, campus buildings, and property. The process of prioritizing Space allocations and Capital Projects is complex and ongoing. This policy guides the prioritization and approval process for Space allocations and Capital Projects.

3. Definitions

3.1 capital project.

Any project including one or more of the following and as defined as “public works” per Idaho Code § 67-5710B:

  • Any new building, alteration, repair, demolition or improvement of any land, building or structure, including utilities, or remodeling or renovation of existing buildings, or other physical facilities, to make physical changes necessitated by changes in the program, to meet standards required applicable codes, to correct other conditions hazardous to health and safety of persons which are not covered by codes, or to effect a permanent improvement to the facility for any reason including aesthetics or appearance;
  • Site improvement or developments that constitute permanent improvement to real property;
  • Purchase and installation of fixed equipment or cubicle style furniture necessary for the operation of new, remodeled, or renovated buildings and other physical facilities to include any equipment that is made a permanent fixture of the building; and/or
  • Purchase of services of architects, engineers, and other consultants to prepare plans, program documents, life cycle cost studies, energy analysis, and other studies associated with any new building, alteration, repair, demolition or improvement and to supervise the construction or execution of such projects.

3.2 Preventative Maintenance

In accordance with Idaho Code § 67-5710B, corrective repairs or replacements used for existing state-owned, or state-operated facilities, which result from a systematic program in which wear, tear, and change are anticipated, and continuous corrective actions are required to ensure peak efficiency and to minimize deterioration.

3.3 Project Manager

The staff person assigned a project ready for implementation. The Project Manager is responsible for collecting estimates, selecting contractors to conduct work, and conducting general project oversight. Only Project Managers assigned and authorized by Campus Operations are allowed to manage and coordinate Capital Projects.

An area, usually interior and defined by some form of constructed boundary, structure, or building. All Space constructed or acquired by the University belongs to the University and may be assigned or reassigned by the University regardless of the initial reason or funding source for construction or acquisition.

4. Facilities Planning Council

The Facilities Planning Council (FPC) is responsible for Capital Project and Space allocation policy and governance. The FPC is ultimately responsible (subject to presidential review as appropriate) for all Capital Projects and all Space allocations. The FPC consists of the University vice presidents.

5. Facilities and Space Planning Advisory Committee

The Facilities and Space Planning Advisory Committee (FSPA) is an administrative committee that advises the Facilities Planning Council on matters related to Capital Project planning and Space management. Meetings will be organized and administered by staff in Campus Operations. Specifically, the Committee will review Capital Project requests and rank order projects for completion; review Space requests and make recommendations for Space assignments; and provide recommendations for policies and processes related to Capital Projects and planning and Space management.

The FSPA Committee is comprised the following members, or designees:

  • Associate Vice President for Campus Operations
  • Vice Provost for Academic Planning
  • Associate Vice President for Student Affairs
  • Associate Vice President for Research & Economic Development
  • Associate Vice President for Public Safety
  • Associate Vice President and Chief Information Officer
  • Associate Vice President for University Advancement
  • Associate Vice President for Finance & Administration
  • Two Academic Deans (appointed by the Provost)
  • Staff member experts, as deemed necessary and appropriate by the Associate Vice President for Campus Operations

6. Capital Project Procedures

a. Campus Operations staff will develop an annual timeline and process for receiving, reviewing, and ranking Capital Project requests and communicating such to the campus community.

b. Solicitation for outside gifts or grants to fund Capital Projects should not proceed without first submitting information through the Capital Project/Space Request Form .

c. Campus Operations staff will compile submissions for review by the FSPA and ultimately approval by the FPC.

d. Only projects ranked as “high priority” through this process will be placed in the queue for assignment. Projects not ranked as high priority and not placed in the queue may be revisited in a future year.

e. Approved projects will either be placed on the request list for state of Idaho Permanent Building Funds; be entered into the project assignment workflow; be considered for central funding (through a process determined by the CFO); be submitted for funding from another external funding agent; or be considered by the Capital Project Funding Council for donor solicitation.

7. Exceptions to Capital Project Procedures

The following types of projects are generally exempt from the annual Capital Project Procedures and Approval process. These projects, if deemed eligible for exemption by the Associate Vice President for Campus Operation, will enter the project assignment workflow.

a. A Capital Project meeting the definition of Preventative Maintenance, as outlined in this policy, and if funding is secured.

b. A Capital Project that has funding secured and is estimated to cost less than $50,000; however, a detailed estimate coordinated by a Project Manager is required prior to providing this exemption and a Capital Project Request Form must be submitted to allow tracking and to assign a Project Manager.

c. Capital Projects deemed emergencies or time sensitive. This includes projects that address imminent life/safety issues, or projects that are subject to time-sensitive gifts or grants.

d. Project studies, including cost estimation, engineering and/or architectural analysis, or general feasibility studies. Funding must be secured to conduct the work to receive the exemption. A Capital Project/Space Request Form must be submitted to allow tracking and to assign a Project Manager.

8. Capital Projects Additional Approvals

Before a Capital Project may officially begin, certain additional approvals may be required. Campus Operations will provide assistance with the preparation of the materials outlined below.

a. The President may approve or deny major Capital Projects recommended by the FPC that are $500,000 or greater. The Chief Financial and Operating Officer and Vice President for Finance and Operations will submit the request for approval to the SBOE per their policy requirements.

b. The Department of Public Works (DPW) and the Permanent Building Fund Advisory Council (PBFAC) must approve and may manage projects estimated at $100,000 or greater. Projects utilizing Permanent Building Funds must be approved and may be managed by the DPW and PBFAC regardless of project amount.

9. Space Allocation Principles and Procedures

a. Campus Operations staff will develop a process for receiving and reviewing Space requests and communicate such to the campus community.

b. Campus Operations staff is responsible for maintaining, reviewing, and evaluating Space allocation data. Each campus unit is responsible for providing updates on Space usage and assignments upon request.

c. Space is allocated based on strategic priorities and programmatic needs in accordance with the University Space Guidelines.

d. Existing Space allocations must be utilized as fully as possible before additional allocations are made.

e. Space already allocated to a unit may be managed at the unit level unless identified as underutilized in the yearly Space audit. Units have the authority to reassign Space already allocated to them without review by the FPC so long as the assignments are consistent with University Space Guidelines and do not reduce instructional Space, require resources beyond the unit’s control, and/or change the permitted use of the Space (converting a storage room to an office). Regardless, units are responsible for notifying Campus Operations of Space reassignments so that Space assignments can be tracked.

f. All units and employees are responsible for making efficient use of Space assigned to them. Inefficient use of Space, Space hoarding, and/or failing to report vacated Space to Campus Operations is prohibited.

g. As a result of a physical move, a college, administrative unit, or department wishing to retain vacated Space must submit a request for that Space.

10. Exceptions to Space Allocation Procedures

The Associate Vice President for Campus Operations may make temporary, emergency, or de minimus Space allocations as necessary.

Capital Project/Space Request Form https://www.boisestate.edu/operations/request/

Office of Institutional Compliance and Ethics

  • Capital Projects and Planning
  • Policies & Procedures
  • 580 Capital Projects Management Policy
  • 581 In-House Construction-Maintenance Projects Policy
  • 582 Acquisition & Disposal of Real Property Policy
  • 583 Lease Procurement Policy & Procedures
  • Request Form
  • Example Projects
  • Designer's Manual
  • Projects Requiring Designers
  • Construction Bid List
  • Projects in Design
  • RFPs & RFQs
  • Capital Budget
  • Disclosed Projects
  • Campus Development Information
  • Campus Construction
  • PFI Documents
  • Master Plan

Experience Tech For Yourself

Visit us to see what sets us apart.

Quick Links

  • Tech at a Glance
  • Majors & Concentrations
  • Colleges & Schools
  • Student Life
  • Research at Tech
  • Tech Express
  • Current Students
  • Faculty & Staff
  • Mission and Vision
  • Facts about Tech
  • University Rankings
  • Accreditation & Memberships
  • Maps & Directions
  • Board of Trustees
  • Office of the President
  • Strategic Plan
  • History of Tech
  • Parents & Family
  • International
  • Military & Veteran Affairs
  • Tuition & Fees
  • Financial Aid
  • Visit Campus
  • Scholarships
  • Dual Enrollment
  • Request Information
  • Office of the Provost
  • Academic Calendar
  • Undergraduate Catalog
  • Graduate Catalog
  • Volpe Library
  • Student Success Centers
  • Honors Program
  • Study Abroad
  • Living On Campus
  • Health & Wellness
  • Get Involved
  • Student Organizations
  • Safety & Security
  • Services for Students
  • Upcoming Events
  • Diversity Resources
  • Student Affairs
  • Featured Researchers
  • Research Centers
  • ttusports.com
  • Social Media
  • Student Resources
  • Faculty & Staff Resources
  • Bookstore/Dining/Parking
  • Pay Online - Eagle Pay
  • IT Help Desk
  • Strategic Planning
  • Office of IARE
  • Student Complaints

Find your Senator and share your views on important issues.

New York State Senate Capital Grants Programs Project Nominations

NY State and Municipal Facilities Program Project Nomination

Published On: February 14, 2024

Date Range of Report: February 14, 2024 To February 14, 2024

Share this Open Data

We've detected unusual activity from your computer network

To continue, please click the box below to let us know you're not a robot.

Why did this happen?

Please make sure your browser supports JavaScript and cookies and that you are not blocking them from loading. For more information you can review our Terms of Service and Cookie Policy .

For inquiries related to this message please contact our support team and provide the reference ID below.

Applications for 2024 Columbia Summer Session programs are now open!

Alumni - February 16, 2024

Actuarial Science Alum Shares How the SPS Program Has Been Critical to His Success

  • Actuarial Science

Ranked among the top three actuarial science master's programs in the world, the  M.S. in Actuarial Science at Columbia University School of Professional Studies (SPS) offers students the opportunity to get mentored by industry leaders as they master essential actuarial skills in industries such as insurance, finance, and risk management.

Alumnus Kyle Cai (’17SPS, Actuarial Science) was one of those students.

We recently spoke with Kyle about his experience in the program. He shared tools and insights that he acquired as an SPS student, the surprising link he learned between actuarial science and storytelling, and how his final project at the program became a major talking point in job interviews.

Tell us a little bit about your current role and how your time at SPS has informed your work. I’m currently working as a senior data analyst with a healthcare insurer. The analytical mindset and problem-solving skills I picked up as a student in the Actuarial Science program have proved to be critical to my day-to-day work. Several of the classes included projects that involved model building in Excel to apply theories learned in class. Projects like these gave me hands-on experience and, more importantly, a developed approach to similar problems at work. Is there anything about actuarial science that might surprise someone new to the field?

Actuarial science is more than just understanding how to calculate insurance premiums. It’s a fascinating field that involves diverse applications of math, statistics, finance, and risk management in various fields like pensions, investments, government, and health care to help entities manage financial risks.

Having a rigorous mathematical background is necessary, as the majority of the work relies on complicated analytical models, but being successful in the actuarial science field is not just about number crunching. While accurate results are the basis for analysis, having excellent communication skills is indispensable, as one must be able to convey complex financial concepts and model outputs to non-experts. As my current director once told me: From the model outputs, you must always have a story to tell that ends with a punchline.

What has been your biggest takeaway from the program? Was there a class you loved or skills you gained that you have found particularly useful?

Columbia’s Actuarial Science program not only prepared me for my exams, but also equipped me as a practical problem solver with a rigorous analytical mind.

In addition to the core classes, I found that many of my favorite classes were electives. In the Risk Management in P&C (Property and Casualty) class, we had two professors who were industry leaders in the P&C field. The class not only equipped us with the corresponding industry knowledge but also presented us with actual cases to work through. And the ProSeminar provided me a platform to meet industry leaders and experts in my areas of interest, and gave me countless opportunities to engage with them both during and after seminars to help develop my career network.

Were you involved in a project during your time in the Actuarial Science program that you found particularly meaningful?

Columbia’s brand, New York City’s location, and the program’s rigorous academic requirements all made for a memorable experience, but the integrated project I worked on during summer break really stands out. I had the opportunity to work with Society of Actuaries fellow Rebecca Owen and fellow student Joy Gao on a healthcare issue related to opioid overdoses. The project used publicly available data to examine opioid prescribing patterns and create models to find opioid prescribing outliers.

During the 10-week project, we learned how to apply the analytical skills we had acquired in the program on actual data, build a model using reasonable assumptions, and come up with observations and recommendations. The project ended up being published as a research paper and became one of the highlights and talking points in my job search after graduation.

Views and opinions expressed here are those of the authors, and do not necessarily reflect the official position of Columbia University.

About the Program

The Master of Science in Actuarial Science program at Columbia University is internationally renowned for its breakthrough curriculum and esteemed faculty. The program equips students with the tools, skills, and knowledge to excel in today’s rapidly evolving actuarial and related workplaces, with a course of study designed to anticipate and exceed industry needs. Students are prepared to assume leadership positions and meet ever-expanding opportunities. Columbia’s location in New York City, the financial and actuarial capital of the world, allows students access to the world’s foremost practitioners and leaders.

Related News

Sustainability management alum among 2024 sxsw innovation awards finalists co-founded by sps alumni jeff prosserman and luke mairo, the ev-charging platform has been recognized at this year's sxsw innovation awards for urban design. alumni how the human capital management program helped a recent grad be a more effective hr professional hcm alum jennifer minerva on how the program enhanced her career, her favorite sps course, and advice for current students. alumni, school celebrating graduating students and welcoming them to the alumni family check out some photos from last december's 150 days 'til graduation event. all news footer social links.

203 Lewisohn Hall 2970 Broadway, MC 4119 New York, NY, 10027

© Copyright 2019 Columbia University School of Professional Studies. Privacy Policy

IMAGES

  1. Capital Project Proposal Template

    capital projects policy

  2. What is a capital project? Definition and examples

    capital projects policy

  3. Capital Project Proposal

    capital projects policy

  4. Capital Project Proposal

    capital projects policy

  5. Improving Capital Project Planning and Execution

    capital projects policy

  6. Best Practices for Managing Capital Projects

    capital projects policy

COMMENTS

  1. Capital Projects Fund

    The ACP helps ensure that households can afford the broadband they need for work, school, healthcare, and more by providing a discount of up to $30 per month. The FCC estimates that about 48 million families are eligible for the program — nearly 40% of US households.

  2. Capital Planning Policies

    Rather, capital planning policies establish a framework in which stakeholders understand their roles, responsibilities, and expectations for the process and an end result. 1 Ideally, such policies also include guidelines for coordinating capital projects and promoting sound, long-term operational and capital financing strategies.

  3. Capital Projects Guidelines, Plans and Policies

    Carey Needham Director, Capital Facilities Capital Projects Guidelines, Plans and Policies View the guidelines, plans and policies that drive Capital Projects. CAPITAL IMPROVEMENT PROGRAM The Capital Improvement Program (CIP) is the County's five-year roadmap for creating, maintaining and funding present and future infrastructure requirements.

  4. PDF Where is your capital project governance?

    Where is your capital project governance? Ask board members and C-suite executives if their company has a strong governance and assurance structure in place for mega-projects, and the answer is invariably "yes."

  5. PDF 1 December 2022

    CPF is administered by the U.S. Department of the Treasury (Treasury) and provides grants to States, territories, freely associated states, and Tribal governments to carry out critical Capital Projects directly enabling work, education, and health monitoring, including remote options, in response to the public health emergency with respect to th...

  6. Capital Project: Definition, Examples, and How Funding Works

    A capital project is a long-term, capital-intensive investment to build upon, add to, or improve a capital asset. Capital projects are defined by their large scale and large cost relative...

  7. PDF Capital project excellence

    Capital project excellence: How to improve performance and reduce risk in complex projects - PwC. This report explores the challenges and best practices of managing large-scale capital projects, based on a survey of over 100 senior executives from various industries. It also provides a framework for assessing and improving project performance and governance.

  8. Funding Guidelines for Capital Projects

    Policy: Funding Guidelines for Capital Projects assignment_turned_in Policy Funding Guidelines for Capital Projects These guidelines are to be followed by the Capital Accounting department when funding capital projects, as well as by schools and departments when managing a capital project . The purpose of the guidelines is to

  9. Capital Construction Project Guidelines

    This document outlines the policies and procedures governing capital construction projects, real estate leases including leasehold improvements and capital equipment or lease purchases at Duke University. The Board of Trustees (BOT), which approves the capital budget, endorsed these guidelines to create an orderly, efficient and coordinated system.

  10. Master Plans and Capital Improvement Planning

    1. Master Plans should provide a vision for capital project plans and investments.Master Plans provide a vision for the government that should be supported by realistic planning documents, solid financial policies targeted for the implementation of stated goals, and trends on the government s accomplishments and progress toward these goals.

  11. Capital Project Approval Process

    The purpose of this policy is to: Provide for consistent documentation of capital project proposals, which defines the purpose, scope, budget, funding source, operating budget impact, schedule and other project details Establish appropriate levels of approval for capital projects Primary Guidance to which this Policy Responds

  12. Inflation Reduction Act

    On August 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law, marking one of the largest investments in the American economy, energy security, and climate that Congress has made in the nation's history.Across the economy, the IRA is creating opportunities to build projects, hire workers, and manufacture equipment needed to strengthen domestic supply chains, lower ...

  13. Ultimate Primer On Capital Project Management & How It Works

    The global construction industry (read: capital project industry) is set to grow 85% to reach a value of $15.5 trillion by 2030. There's a whole lot of opportunity out there and in this ultimate primer, I'll explore everything you need to know about capital project management, from planning to execution. What Is Capital Project Management?

  14. Policy

    Board of Regents Policy: Board Operations and Agenda Guidelines requires the annual approval of an all funds Capital Budget, including both a Six-Year Capital Plan and an all funds Capital Improvement Budget. All University capital projects, system-wide and regardless of funding source, that meet or exceed the approval thresholds as defined in ...

  15. Capital Projects

    Key Roles and Responsibilities Capital Projects Process Last Updated: Dec 22, 2023 Submit feedback about this page A capital project is a project to construct new facilities or make significant, long-term renewal improvements to existing ones.

  16. Capital Planning and Capital Projects Policy [Oct 28, 2021]

    Capital Planning and Capital Projects Policy PREAMBLE The University of Toronto's three campuses encompass an extraordinary variety of architectural styles, landscapes and surroundings; in response, its physical resources must be contextually appropriate.

  17. The MTA will put all future capital projects on hold until congestion

    According to Torres-Springer, "100% of the funding from congestion pricing" will be capitalized, making up 50% of the remaining funds in the MTA's current capital program, of over $15 billion. Until litigation is resolved, most of the MTA's future projects remain at a standstill, inconveniencing commuters and the city at large.

  18. PDF Capital Projects Handbook

    The purpose of the Capital Projects Handbook is to document and communicate the work processes and other important information needed to effectively complete capital projects at Yale University.

  19. The 2024-25 Budget: California State University

    We also revisit recent CSU one-time initiatives and capital projects. Reports by Policy Area. Capital Outlay, Infrastructure; Criminal Justice; Economy and Taxes; Education; Environment and Natural Resources; Health and Human Services ... The California Legislature's Nonpartisan Fiscal and Policy Advisor 925 L Street, Suite 1000 Sacramento, CA ...

  20. Capital Projects Policy (FM11)

    Policy Long Title: Capital Projects, Capital Purchases & Internal Loans Policy Number: FM11. View the Capital Projects Policy and Related Documents: Capital Projects Policy and Associated Procedures. Policy Date: July 2019 Procedures Date: April 2021. Responsible Executive(s): Vice-President, Finance and Operations. Responsible Board Committee ...

  21. 8.3.1 Capital Projects

    Formerly Known As Policy Number: 83 This Guide Memo describes Stanford University policy on initiating academic facilities and infrastructure projects under the authority of Land, Buildings,and Real Estate (LBRE), including specific information on the allocation, siting and management of modular buildings, trailers and storage containers on campus.

  22. Capital Projects and Space Management (Policy 9280)

    1. Policy Purpose. To provide a consistent, transparent process for prioritization and approval of Space allocations and Capital Projects. 2. Policy Statement. Boise State University is committed to the thoughtful organization and assignment of Space with the goal of creating synergistic environments that enhance collaborations, creative ...

  23. 1.2 Accounting for capital projects

    Definition from ASC 360-10-20 Activities: The term activities is to be construed broadly. It encompasses physical construction of the asset. In addition, it includes all the steps required to prepare the asset for its intended use.

  24. PDF Capital Projects Policy

    This policy applies to all capital projects and new infrastructure development relating to new build, extension, road utility, and ICT infrastructure, and anything that does not qualify as maintenance works. This policy excludes the purchase of equipment and research projects. C. Principles Capital Projects Policy is guided by the following ...

  25. Capital Projects and Planning

    Policies & Procedures. 580 Capital Projects Management Policy. 581 In-House Construction-Maintenance Projects Policy. 582 Acquisition & Disposal of Real Property Policy. 583 Lease Procurement Policy & Procedures. Schedule Your Visit.

  26. Public Works and Environmental Services

    Project No. - WW-000009-018; Project Engineer - Tony Dawood; Scope - See Invitation to Bid Bid Due Date - Friday, April 5, 2024, until 2:00 p.m., prevailing local time. A non-mandatory virtual pre-bid conference will be held on February 22, 2024, from 10:00 a.m. till 12:00 p.m.The meeting can be accessed with this information:

  27. New York State Senate Capital Grants Programs Project Nominations

    New York State Senate Capital Grants Programs Project Nominations NY State and Municipal Facilities Program Project Nomination Published On: February 14, 2024 Date Range of Report: February 14, 2024 To February 14, 2024

  28. Barclays to Halt Direct Financing of New Oil, Gas Projects

    Barclays Plc plans to halt the direct financing of new oil and gas projects, as the UK bank expands the scope of assets that will find it harder to gain access to capital in future.. The plan ...

  29. Actuarial Science Alum Shares How the SPS Program Has Been Critical to

    The project used publicly available data to examine opioid prescribing patterns and create models to find opioid prescribing outliers. During the 10-week project, we learned how to apply the analytical skills we had acquired in the program on actual data, build a model using reasonable assumptions, and come up with observations and recommendations.