CAMPUS BENEFITS/COMMITMENTS WITH CETI

As of 1/22/98

	Upfront Capital Investment		Operating/Ongoing CETI Contributions
			(1)	(2)	(3)	(4)
Campus	Infrastructure InvestmentIncl. Messaging 4CNet & Contingency	6.5% 10 year Annual Debt Service Cost on Capital Invest.	Annual Refresh Value	Annual Infrastructure Support	4CNet Recurring Costs	Training &Help Desk	CETI Contributed Annualized Value One-time + Ongoing	1996/97 Campus Reported Expenditures	Total Campus Benefit
Bakersfield	5,655,760	786,743	375,075	200,675	236,250	111,125	1,709,867	1,221,000	2,930,867
Channel Islands	156,687	21,796	1,067	0	236,250	111,125	370,237	0	370,237
Chico	15,406,525	2,143,120	546,791	390,018	236,250	111,125	3,427,304	4,347,000	7,774,304
Dominguez Hills	10,360,735	1,441,227	361,209	215,047	236,250	111,125	2,364,858	1,568,550	3,933,408
Fresno	21,939,320	3,051,862	1,152,599	254,478	236,250	111,125	4,806,314	5,512,300	10,318,614
Fullerton	6,655,272	925,780	415,604	216,689	236,250	111,125	1,905,448	4,948,300	6,853,748
Hayward	13,501,618	1,878,138	445,112	395,532	236,250	111,125	3,066,157	4,248,500	7,314,657
Humboldt	14,190,194	1,973,922	346,988	190,964	236,250	111,125	2,859,250	1,550,000	4,409,250
Long Beach	20,628,003	2,869,452	1,140,867	258,777	236,250	111,125	4,616,471	5,778,600	10,395,071
Los Angeles	14,469,282	2,012,745	560,301	234,776	236,250	111,125	3,155,198	5,769,360	8,924,558
Maritime Academy	4,679,123	650,888	254,909	304,916	236,250	111,125	1,558,087	512,500	2,070,587
Monterey Bay	14,835,472	2,063,684	223,623	188,715	236,250	111,125	2,823,397	2,757,800	5,581,197
Northridge	15,142,477	2,106,390	770,770	500,520	236,250	111,125	3,725,054	7,914,400	11,639,454
Pomona	10,095,672	1,404,355	559,946	224,320	236,250	111,125	2,535,996	2,598,000	5,133,996
Sacramento	20,091,422	2,794,811	599,764	219,439	236,250	111,125	3,961,389	4,021,900	7,983,289
San Bernardino	11,354,723	1,579,495	534,348	214,995	236,250	111,125	2,676,214	2,882,000	5,558,214
San Diego	19,490,621	2,711,237	1,246,812	255,373	236,250	111,125	4,560,797	6,583,000	11,143,797
San Francisco	15,880,297	2,209,024	869,249	257,585	236,250	111,125	3,683,232	5,843,300	9,526,532
San Jose	19,035,875	2,647,979	964,528	283,101	236,250	111,125	4,242,984	7,113,430	11,356,414
San Luis Obispo	21,514,009	2,992,700	820,898	252,153	236,250	111,125	4,413,125	9,278,700	13,691,825
San Marcos	3,448,311	479,676	287,261	322,221	236,250	111,125	1,436,533	2,015,000	3,451,533
Sonoma	7,659,810	1,065,516	424,137	194,577	236,250	111,125	2,031,605	2,520,000	4,551,605
Stanislaus	12,586,995	1,750,910	301,126	341,197	236,250	111,125	2,740,608	977,000	3,717,608
Chancellor's Office	1,221,796	169,958	90,302	268,631	236,250	111,125	876,266	5,085,000	5,961,266

Totals	300,000,000	41,731,407	13,293,286	6,184,700	5,670,000	2,667,000	69,546,393	95,045,640	164,592,033
							CETI Annual contributions include Annual Debt Service Costs + Operating Cost Contributions	What CSU already spends for the goods and services that CETI would provide at the same or better levels of service and price. Any margin on these dollars does contribute to the Csu annual benefit but is only a small portion of the total.

ALLOCATION ASSUMPTIONS:

(1) Refresh investment allocated on ratio of new infrastructure terminal resources

(2) Warranty value on Voice, Data and Video from cost estimates; Unified messaging allocated by headcount

(3) 4CNet operations support contribution allocated equally across 24 entities

(4) Training and Help Desk support contribution allocated equally across 24 entities.

Explanation/Sources for Campus Benefits Numbers:

Column 1:

Estimated cost of baseline infrastructure buildout, including a messaging provision.

*Column 2:

Annual debt service cost, principle and interest.

*Column 3:

Total refresh investment of $93 million in years 4 - 10 is allocated to each campus based on prorate costs of new terminal

resource equipment as per the current infrastructure investment estimates. Terminal resources are defined as the electronics required for

required for campus connection to the backbone OC3 network including items such as routers, hubs and data ports; video and satellite

downlinks. Tax and freight costs are also included. Seven years is used as the divisor in this column, so annual benefits begin in year 4.

*Column 4:

Annual Infrastructure Support is for extended warranties/operational support for the new expanded infrastructure to mitigate

future anticipated support costs and potential unfunded liabilities for the CSU in this area. The estimates for

these costs were developed by the Infrastructure Team by campus. In addition, $4,400,000 in Unified Messaging warranty costs

were added to the campus estimates based on total headcount (faculty, staff and student).

*Column 5:

4CNet recurring monthly costs (10 year total of $56,700,000 million) were allocated equally to each of the 24 entities.

*Column 6:

IT professional development support of up to $1,667,000 annually and $1,000,000 annual contribution toward help desk

and support activities is allocated equally across all 24 entities in this analysis. Actual benefits by campus might differ.

*Column 7:

This column is the sum of columns 2 through 5 (debt service costs in column 2 plus all ongoing annual contribution estimates).

*Column 8:

Expenditures by campus for the fiscal year 1996/97 as reported in an August 1997 survey which

was then refined in November 1997. This is a one-year snapshot - no surveys were conducted for prior years in this detail.

* These are the estimated financial value of equipment and services, not an actual allocation.