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Post Info TOPIC: Physical Plant outsourcing...again.


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Physical Plant outsourcing...again.
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Is anyone willing to divulge the facts in this matter? Aramark, among other companies, are making proposals to take control of Physical Plant Operations, under the guise of an "Energy Management" performance contract.

We've heard various rumors about the scope of the proposals. It's no suprise that Aramark "appears to be the front runner, by a longshot." The likely story is that Aramark wants to take over much more than just Energy Management, and that has been all but confirmed through various channels (none offical, other than my eyes on the proposal).In addition,  Aramark is currently listing career opportunities in South Mississippi in "Facilities Management," on a "major University campus." Our best guess is that Aramark will manage Physical Plant Operations, and assume complete control of all personnel within 1-2 years. These events may be occurring as soon as August.

As this progresses, one must ask--is the new administration REALLY more open than the previous? We've had NO official word from Dr. Saunders administration. I'm disappointed, to say the least..not only from a standpoint of being dumped by the university that I love and have dedicated years to, but also from the standpoint of another (possibly, anyway) closed administration.

Someone please shed some light on this situation.



-- Edited by USMphys at 17:32, 2008-05-05

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It's hard to believe that any administration would not want to maintain control of its physical assets. One can only assume that Dr. Saunders is not getting good advice. One faculty member who is thoroughly familiar with this issue is Myron Henry. The president would be well advised to invite him in for a chat.

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I thought the IHL Board stopped the Thames administration from outsourcing by initiating a system wide study of physical plant outsourcing.  That study may now be complete and the IHL may be making the decision for the whole IHL system.  I don't know this to be true, but I'm just speculating that the USM administration may not be the one pushing this. 


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LeftASAP wrote:

 

I thought the IHL Board stopped the Thames administration from outsourcing by initiating a system wide study of physical plant outsourcing. That study may now be complete and the IHL may be making the decision for the whole IHL system. I don't know this to be true, but I'm just speculating that the USM administration may not be the one pushing this.

 



That could be what's behind this push. Regardless, someone in the administration should be forthcoming with details. So far, about all we've been told is to shut up.

But from what I understand, according to a couple of sources, some IHL members are not amused by this attempt. We need to know what's going on!

 



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When I was involved in the AAUP, a couple of us had a long conversation with Joe Morgan about physical plant outsourcing, and he was clearly a big proponent of this type of financial arrangement. Given that he is still CFO, if this is coming to the fore again primarily at USM, Joe is probably the guy to ask about it. Stephen Judd is also pretty knowledgeable about this--if he is not in the loop (if there is a loop to be in), he should probably be filled in. However, the posts above seem speculative.

Mitch

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Godless Liberal wrote:

When I was involved in the AAUP, a couple of us had a long conversation with Joe Morgan about physical plant outsourcing, and he was clearly a big proponent of this type of financial arrangement. Given that he is still CFO, if this is coming to the fore again primarily at USM, Joe is probably the guy to ask about it. Stephen Judd is also pretty knowledgeable about this--if he is not in the loop (if there is a loop to be in), he should probably be filled in. However, the posts above seem speculative.

Mitch



 Morgan's office is defintely pushing this attempt, as they have coordinated visits from prospective outsourcing contractors. No one knows how much of a part Dr. Saunders is playing in this attempt--therein lies part of the problem.

This is not speculation! I have seen the proposal from Aramark personally.

 Here's a direct link to a job posting on Aramark's Careers website:

http://www.aramark.com/jobSearchTemplate.aspx?PostingID=358&ChannelID=201

Location is listed as MS, but a quick email to Aramark will reveal the location. Guess where it's at?

Representatives from Johnson Controls EMS/Facilities were on campus earlier this week with regard to their proposal.

By allowing events to unfold in a manner such as this, the administration is sapping employee morale (as if it was'nt already pretty low). Most of us felt like we'd be "sold down the river" at some point, but not by Dr. Saunders. Some straight answers would be nice!

 



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I'm working on this story now for the Hattiesburg American. Sorry it took me so long to get to it.

Anyone who wants to talk can call me at (601) 584-3025 or e-mail me at vlwells@hattiesburgamerican.com.


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Story:

http://www.hattiesburgamerican.com/apps/pbcs.dll/article?AID=/20080515/NEWS01/805150317/-1/NEWSFRONT2

Feedback? Tell me what I missed or what I should look at next.

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Hi Valerie Wells:

Just one correction to your very good story. The committee I served on
in spring 2006 was the university wide committee that reviewed all
proposals that were in response to the RFP to outsource all Physical
Plant services. Although this committee was not chaired by Joe Morgan,
he was on it and in my judgment really "managed" the committee. Several
people who reported through Joe Morgan were also on the committee. As
Faculty Senate representative to the committee, I believe I was the lone
faculty member on the committee. There were two formal votes in the last
month of the committee's activities. The first was a 10-1 vote favoring
negotiations with Aramark. (I was the lone no voter). The second vote
was to recommend to the president that Aramark be the outside vendor to
provide Physical Plant services. That vote resulted in a 6-5 margin
for Aramark. This vote change was gratifying to me, especially
considering the number of committee members who reported through Joe
Morgan or who were administrators subject to pressure from the Thames
Administration. The Board of Trustees ultimately elected to defer
action on contracting Aramark to provide physical plant services at USM.

As for as your interview with Joe Morgan, several things come to mind.
First, an Aramark proposal will likely include considerable up front
money for immediate "improvements." So my question would be, how could
current USM physical plant managers be expected to come up with a great
deal of front end resources in their "proposal?" These employees just
cannot complete with an Aramark type, which can essentially "buy" the
contract with big time, short term, infusions of money into the university.

In exchange for large infusions of cash, an outside vendor such as
Aramark would probably request a long-term contract with automatic
annual increases. The university would have to honor the contract even
in years when the university budget is reduced by the state or is flat
(which happens too regularly in MS). Another point is that an
outsourcing contract probably would be for much more than just the
salaries of ten or so management personnel. It would no doubt involve a
great deal of money for operations and maintenance (non-personnel
costs). In all of this, one must remember that an outside vendor such as
Aramark is a for profit company, and front end infusions of cash and
other "incentives" from an outside vendor are figured into their longer
term, for profit scenario.

Finally, whenever one announces to members of the USM family that
proposals are being sought to outsource what they do, morale sinks fast.
No doubt that is the case here. That is one reason why in my judgment
there ought to have been a broad based committee reviewing the pros and
cons of even issuing an RFP. Instead, apparently Aramark was invited by
Joe Morgan to make a presentation to the few. And in 2006, the issuance
of a major RFP was not preceded by a committee study either. Quoting
that famous philosopher Yogi Berra (a former Yankee baseball catcher),
its déjà vu all over again. Finally, you quote Joe Morgan as having
stated that "... outside management of physical plant should not be
called outsourcing." Many of us mostly follow the age old principle that
if it looks like a duck, walks like a duck, and quacks like a duck, then
it is a duck. This duck IS outsourcing. Thanks for your interest in this
important matter.

Myron Henry

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One would hope that the short term philosophy of selling university enterprises for one time money would have ended with the departure of the Thames administration. Apparently, some members of that administration remain in important positions.

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THANK YOU Myron Henry, and all others, for your support. There are still some in the university community with some common sense!

Some good Physical Plant employees are leaving because of this new outsourcing attempt. Several good tradesmen with decades of combined experience in their fields will be gone by June.

Sadly enough, manpower was on the cusp of recovering from the last outsourcing attempt when it all started again.

Morale is LOW--even lower than the last time. At this rate, Aramark will have VERY few employees to manage-if any at all.






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