Operations 105, Class 8The Facilities

Director

Guest Lecturer

For the last ten years, Gary has been the Facilities Director of The Chapel in Akron, Ohio.  There he oversees the facilities and grounds of three campuses and a camp.  The Chapel has over 380,000 square feet under roof on over 450 acres of land.  After graduating from Purdue University, Gary spent 17 years in heavy industry in manufacturing and plant engineering. For 20 years, Gary and his wife owned and operated three retail stores in shopping malls in the Cleveland area.

Class 8—The Facilities Director

Facilities Director is the grease to make it all happen.  What are the aspects to a great relationship with a FD?  How can an XP help a FD, what questions can the XP ask that are beneficial and what can the XP do to frustrate the FD?  What are the characteristics of a great Facilities Director?  What are the common challenges to the FD role? A good FD always examines both maintenance and preventive maintenance, keeping an eye on utility costs and dealing with outside vendors and contractors.   This session will end with a focus on a 10-year capital expenditures budget.  Often overlooked by church leaders, the Facilities budget has enormous implications on future spending for new and replacement of expensive capital items.

Akron Campus: • 210,000 sq. ft. • 1800 seat Worship Center• 77 Roof Top Units+250 ton Chiller• 13 Acres in down town Akron • Open 8:00AM – 10:00P 7days/week

Green Campus: • 145,000 sq. ft. • 1800 seat Worship Center• 30 Roof Top Units• 83 Acres in small township near

Akron• 0pen 8:00AM – 10:00P

6 days /week + Sunday

Wadsworth Campus: • 35,000 sq. ft. • 500 seat All Purpose Room• 7 Roof Top Units• 30 Acres in small town near Akron• 0pen 9:00AM – 5:00P 4 days /week +

SundayCamp Carl: • 350 Acres • Pool, Gym, Conference

facilities, cabins• 25 horse stable• 2 wells and sewage

treatment plant• Open year-round

Director of Facilities

Campus Coordinator Ak.Kathy S.

Campus CoordinatorGreen

Maintenance SupervisorAkron-Green-Wadsworth

Maintenance Tech. FT

Maintenance Tech. PT

Maintenance Tech. PT

Maintenance Tech. PT

Maintenance Tech. PT

Maintenance Tech. FT

Maintenance Tech. PT

Maintenance Tech. PT

Maintenance Tech. Wadsworth

Maintenance SupervisorGreen

Custodians• 3 Full time • 7 Part time

Custodians • 5 Part Time:

Custodial Supervisor 2nd

Custodians • 4 Part Time • 3 Full Time

Custodial Supervisor 1st

Custodian PT

Maintenance Tech. PT

XP – FD relationship

• What can an XP do to help the FD?• What questions can the XP ask that are helpful to the FD?• What can the XP do that is likely to frustrate the FD?• What are the characteristics of a great FD?• What is a good background to look for in a FD?• Challenges the FD faces in his role • Suggestions to the XP regarding facilities

In this sessio

n

Long Range Capital Budget

• Developing a Long Range Capital Budgeto Repair and replaceo Technology upgradeo New initiatives

• The LRCB drives the capital reserve• Capital reserve can act as catastrophic reserve• Balancing annual funding requirements• Annual review

In this sessio

n

XP – FD relationshipWhat can an XP do to help the FD?

• Realize the Facilities Department is actually part of the ministry of the church and should be included in ministry planning

• Define a philosophy of ministry for the church as it relates to use of facilitieso Anyone can do anything, the facilities are here to be usedo Protect our God given gifts from careless and thoughtless

abuseo We schedule the use of facilities to insure that all users

have what they need when they arrive to do ministryo Ministry happens spontaneously, you can’t schedule the

leading of the Holy Spirit

XP – FD relationshipWhat can an XP do to help the FD?

• Clearly define the role and responsibility of the Facilities Director

• Empower the Facilities Director with the authority required to execute his responsibilities

• Develop a mutually agreed upon purpose statement for the Facilities Department

• Have a long range ministry plan that drives a long range facilities plan

• Take time to understand the breadth of the Facilities Director’s job, and the work of the Facilities Department; then make sure the rest of the staff understands as well

XP – FD relationshipWhat questions can the XP ask that are helpful?

• “What do you think?”… get the Facilities Director’s opinion• What’s on your calendar … heavy equipment during VBS• Ask ministry staff

o What’s the plano How are you going to execute your evento Who is in chargeo How will it affect other ministry going on in the building at

that timeo Have you talked to Facilities

XP – FD relationshipWhat can the XP do that is likely to frustrate the FD?

• Not careo Help the Facilities Director set meaningful goals and

projects that support the purpose and mission of the church• Not listen

o Don’t ask for the same information over and over• Not inform

o Let the Facilities Director know about ministry events well in advance

• Not understando “make it happen” mentality

XP – FD relationshipWhat can the XP do that is likely to frustrate the FD?

• Micro manageo Be clear about the expected outcomes, then let it goo Periodic updates, not daily briefing

• Ignore established policy, practice, procedureo We have them for a reasono Usually born out of painful experience

• Overturn decisions on a regular basiso Effective responsibility requires actual authority

• Have the same prioritieso Does painting the men’s rest room come before painting

the nursery hallway

XP – FD relationshipWhat are some characteristics of a great FD?  

• Commitment to Christ, the word and growing in their walk• Commitment to the ministry of the church• A good juggler – able to keep at least six balls in the air• Able to establish priority in keeping with ministry objectives• Sense of urgency – know when to run and when to walk• Planner – think ahead with a calendar in one hand and an eraser

in the other

XP – FD relationshipWhat are some characteristics of a great FD?  

• Creative solutions – think outside the box, a little• Communicate well with all positions in the organization, from

grounds crew to Senior Pastor • Detailed – attention to detail is what separates the nice facilities

from the excellent facilities• Personable - Striving to meet the needs of the constituents • Able to say no with a smile and have people walk away

understanding• Self-motivated – proactive

XP – FD relationshipWhat are some abilities of a great FD?  

• Management experience – must be able to understand the churches equivalent of a P/L statement

• Supervisory savvy • Technical understanding of all the areas in his prevue• Financially astute, keen sense of responsible stewardship • Adept at preparing and implementing budgets• Experience in purchasing, contract negotiation and

management• Proficient in the use of a crystal ball or similar devices for

telling the future

XP – FD relationshipWhat is a good background to look for in a FD

• Mid-level management• Small business owner or manager

o Hiring, firing, and making payrollo Making a profito Satisfying customers

• Rolled up sleeves, dirty hands and a laptop o Experience actually doing the work of running a business

or organization, not just directing it• A General Contractor not an Architect

XP – FD relationshipSuggestions for the XP regarding facilities

• Communicate like the people of Chicago vote - early and ofteno Keep a good line of communication open with the

Facilities Department.o Get their input early in the game o Let them know the expectations at the onset

• Ask for input on “ministry” activitieso Often the Facilities Director has his ear to the ground

regarding what is actually happening in ministry activitieso Facilities Department’s past experience with similar events

can help avoid unexpected problems• Include the FD in long range planning

Challenges in the role of Facilities Director

• Pay scales - hiring entry level people• Working in an environment that thinks it is unchristian to let

anyone go• The demands of the people of the church

o The entitlement generationo The lack of respect for “the help”o Red Riding Hood syndrome (also known as the whine list)

It’s too hot, it’s too cold, it’s too hard, it’s too soft• Volunteers who are incompetent but really nice people• Communication between ministry and facilities

o Planning, Notification, Expectation

Long Range Capital Budget • Why Develop a Long Range Capital Budgeto It is essential for financial planning; • It normalize year to year funding requirements• Planned replacements are less disruptive and less expensive

than emergencies• Accrue for rather than borrow• Identify when a capital campaign may be needed

o Helps balance prioritieso Forces you to look at and evaluate all the elements of your

facility; eg: masonry, roofs, exterior steel, concrete and paving, exterior paint, signs, vehicles and equipment, electrical distribution, IT equipment and infrastructure, worship dept. technology, etc., etc.

Long Range Capital Budget • Who develops the Long Range Capital Budgeto Lead by the Facilities Director, or whoever is responsible for

the capital budgeto Requires input from IT Director, Communications Director,

Worship Director, Finance Director, any ministry Directors with long range plans and needs, Executive Pastor

o Each of these individuals must understand the purpose and function of the LRCB

• Who sees the LRCBo The participantso The Senior Pastoro The Trustees or financial Elders of the church

Long Range Capital Budget • What is included in the Long Range Capital Budgeto Items that are typically rebuild or replace

• Everything has a useful life; some we know, some we don’t

• Philosophy of replacementwhen it fails - or – when it is likely to fail

o Technology Upgrade • Technology replacement philosophy

End of life - Leading edge - Bleeding edgeo Baseline annual spending

Typical but unidentified replacements, motors, compressors, circuit boards, small equipment, furniture

o New initiatives (perhaps)

Long Range Capital Budget • How to determine the LRCB funding requirements o Outlay• Specify the size of each large projects that will be included

($100,000+)• Determine likely year of replacement• Populate the “Reserve Funds Needed For This Year”

portion of the LRCB spreadsheet

o Funding• Determine accrual period for each project • Based on implementation year, enter capital fund requirements

on the funding portion of spreadsheet• Add the baseline annual spending to the funding needed

Long Range Capital Budget • How does an LRCB worko Outlay• Specify the size of each large projects that will be

included ($75,000+)• Determine likely year of replacement• Determine baseline annual spending• Populate the expenditure portion of the spreadsheet

o Funds Required For Reserve• Determine accrual period for each large project • Based on implementation year, determine the capital

fund reserve requirements for each year

Long Range Capital Budget• How does LRCB leveling worko Capital Budget Balancing• Sum the funds needed for capital and reserve each year• Deduct the funds available from the reserve• Yields net funds needed from contributions

• Determine the Capital Fund Ending Balance for each year• Determine if you want a minimum reserve and how large

you want that reserve to be• Adjust “Funds Required to Fund Long Range Capital

Reserve” for each year to smooth “Net Funds Needed for Capital” while paying attention to ending fund balances

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024$0

$200,000

$400,000

$600,000

$800,000

$1,000,000

$1,200,000

$1,400,000

Capital Funding Requirements

Capital Require-ments

Capital Require-ments Plus Savings