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To: Business Managers

From: Anna Wu, Associate Vice Chancellor for Facilities Services

Facilities Services billing rates are adjusted annually effective with the end of the June billing cycle. The materials and contract rates will remain unchanged. The overtime billing rate will also remain unchanged at a 20% markup over the standard shop billing rate. The labor and fixed charge billing rate changes are shown in Attachments A and B of the Facilities Services Fiscal Year Rates.

Please note that Facilities Services will be transitioning some labor rates from the current hourly rate structure to a percentage-based model effective Sept. 1. The new rate model will apply to project management, architectural and engineering services, interior design services, and contract administration. This new structure will more appropriately reflect the costs associated with these services and is consistent with peer universities and industry practices. Facilities Services will be meeting with campus stakeholders in August to provide an overview of the new rate structure and to address questions or concerns.

Please share this information with the appropriate personnel in your department. Please contact Anna Wu at annaw@fac.unc.edu or Carly Perin at carly.perin@unc.edu with any questions.

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