Nearly one year since securing the contract to study LSU’s facilities and operations and identify potential improvements, KPMG is close to finalizing its document of proposed reforms for the unit, which comprises more than 10% of the university’s institutional budget.
That’s according to the most recent update from the public accounting firm, delivered by KPMG’s Dan Feitelberg at a September LSU Board of Supervisors meeting that largely flew under the radar. Two months after Feitelberg’s “mid-stream update,” LSU spokesman Ernie Ballard says work is still being done.
“Our ultimate goal is to develop an actionable strategy that will enable LSU to effectively maintain a physical environment that nurtures research excellence, fosters student success and promotes economic vitality throughout the state,” Feitelberg told the Board of Supervisors.
It’s being carried out in four phases, the first of which is complete. During the “current state assessment” phase, KPMG discovered, through focus groups and stakeholder sessions, that deferred maintenance—which currently has a $500 million backlog—could become a $1 billion challenge by 2026 if nothing changes.
They’ve also preliminarily concluded, through Phase II, that there are opportunities for both the LSU Central Utility Plant and LSU Skilled and Regulated Trades to maximize efficiency and revenue.
Feitelberg said LSU could invest in a data-driven central plant and distribution system for its Central Utility Plant, which provides heat, cooling and utilities to classrooms, offices and labs. Doing so would significantly reduce the quantity of energy LSU would need to buy, he said.
Regarding skilled and regulated trades (the staff that operates, maintains and repairs LSU’s buildings, facilities and grounds), Feitelberg said KPMG is working to develop an “internal reform roadmap” for best practices to improve service.
It’s uncertain whether LSU will follow all recommendations to be provided by KPMG.
“We have not settled on a particular course of action with any of our services pending our analysis of the results,” Ballard says in a text message.
