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Charging Local Governments for Services

Charging Local Governments for Services. Michael Dougherty WVU Extension Service LGET Webinar April 21, 20111. Why Charge. LGs/officials equate cost with value Free perceived as no or little value Payment requires investment of resources Results in desire to benefits from costs.

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Charging Local Governments for Services

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  1. Charging Local Governments for Services Michael Dougherty WVU Extension Service LGET Webinar April 21, 20111

  2. Why Charge • LGs/officials equate cost with value • Free perceived as no or little value • Payment requires investment of resources • Results in desire to benefits from costs

  3. Who to Charge • External clients • Local governments • Development authorities • Special districts • School boards • Non-profit organizations

  4. When to Charge • Long-term relationships • Multiple activities • Multiple/subsequent projects • Multiple months (years)

  5. Who/When NOT to Charge • Internal clients • Special cases/invitations • Initial visits • Single events • Follow-up services • Corrective activities

  6. What to Charge • Direct expenses • Travel (reimbursement eligible) • Materials (consumables) • Production (photocopying, presentations) • Shipping (postage, freight) • Communications (mailings, phone calls) • Data/research items (specific to project) • Interns (contractors)

  7. What to Charge • Indirect (overhead) expenses allowance • Supplies (reusable items) • Technology (computers, projectors) • Professional development • General operations costs

  8. What NOT to Charge • Salary (regular or extra) • Unjustified items • “Luxuries”

  9. How to Charge • Work within state and system rules • Be up-front, get agreement • Use a “contract” (type) document

  10. Questions? • Michael Dougherty, Professor & Specialist • WVU Extension Service • 2104 Ag. Sciences, PO Box 6108 • Morgantown, WV 26506-6108 • 304-293-2559 • Michael.Dougherty@mail.wvu.edu

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