KU seeks reductions by cutting red tape

Schools could save money by hadling centralized tasks, Regents study says

Kansas University spends $400,000 per year on computer printer cartridges, but could save $52,000 if it could cut red tape required by the state, KU officials say.

With their budget already slashed by $18.8 million this year and prospects grim for increases next year, KU officials are compiling a list of state policies they’d like to avoid to save the university hundreds of thousands of dollars.

“We’re taking a close look at a lot of hidden, unnecessary costs from state agencies that don’t need to be there,” Chancellor Robert Hemenway said. “State agencies are charging each other for services.”

Hemenway said KU officials still were determining which policies should be eliminated, how much the university could save and whether changing policies would require legislation or administrative action from incoming Gov. Kathleen Sebelius.

But a report compiled by chief business officers of state universities for the Kansas Board of Regents found universities could save money by handling many tasks now centralized in Topeka.

One is the state’s policy on purchasing, which requires state approval on purchases of more than $25,000 and requires universities to purchase certain items through contractors that have agreements with the state. The Division of Purchases also charges a 0.5 percent processing fee on those purchases.

That includes not just printer cartridges but floor polish and stripper, on which KU could save $5,725 per year if the purchases could be made locally, according to the regents’ report.

The report also says KU could have saved $397,181 last year by eliminating state architecture fees. The Department of Administration charges universities to review plans for buildings.

The business officers wrote that most of the services were “duplicative” and “add limited or no value.”

The changes also would affect what KU does with surplus property. Universities are required to submit inventory paperwork to the state on surplus working items worth more than $75 and nonworking items worth more than $2,000.

The state’s Surplus Property Center then sells some of the items, charging commissions from 14 percent to 40 percent. Last year, KU sold 2,356 items on the list, compared with 29 items sold by the Surplus Property Center.

Janet Murguia, KU’s executive vice chancellor for university relations, said some of the suggestions in the regents’ report had been forwarded to Sebelius, who has pledged a top-to-bottom review of state government.

“We’re very intrigued by the notion there could be efficiency and cost savings generated if we’d be allowed to go outside some of the burdensome regulations and some of the red tape,” she said.

A spokeswoman for Sebelius said Friday the governor-elect would let her education task force, which hasn’t met, discuss the administrative issues before making any determinations.

Murguia said she expected KU to work with other regents universities on the issue and introduce legislation if it was needed. Jack Wempe, chairman of the Board of Regents, said he wasn’t sure how likely the changes would be.

“We’d like to be relieved of that administrative burden,” he said. “Of course, it’s got to be done in the context of the entire state and what impact it has on other departments. I don’t think there’s any question we could save some money. Every little bit helps.”