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Facilities Management by Joel D. Levitt

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15

Budgeting for Maintenance of Buildings, Facilities, and Equipment

The use of buildings and facilities creates a need for maintenance investment. This need is driven by the size, usage, and conditions of the asset. Without investment, the asset will inevitably deteriorate.

15.0 Budgeting the Maintenance Department

Many organizations squeeze their maintenance departments, reducing their dollars every year. Every reduction below the level of the asset’s base need must be covered by increases in efficiency or productivity, or will result in deterioration. This formula includes all direct maintenance labor, materials, and overhead. It does not include janitorial services.

15.0.1 Simplified formula for maintenance budget development

(Lewis 1999) ...

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