COST COMPARISON FORM
	STATE VS. CONTRACT PERFORMANCE
		YEAR	YEAR	YEAR	YEAR	YEAR
	CONTRACT PERFORMANCE COSTS	ONE	TWO	THREE	FOUR	FIVE	TOTAL
10	CONTRACT PRICE	550,000	550,000	600,000	600,000	650,000	$2,950,000
11	CONTRACT ADMINISTRATION &	10,000	10,000	10,000	10,000	10,000	$50,000
	SUPPORT COSTS
12	ADDITIONAL COSTS	1,000					$1,000
13	PROJECTED SEVERANCE COSTS	20,000					$20,000
14	ONE-TIME CONVERSION COSTS	500					$500
15	(GAIN) OR LOSS ON DISPOSAL/
	TRANSFER OF ASSETS	(1,000)	(0)	(0)	(0)	(0)	(1,000)
16	LESS: TAXES/OTHER (1)	(2,500)	(0)	(0)	(0)	(0)	(2,500)
17	TOTAL CONTRACT COSTS	$578,000	$560,000	$610,000	$610,000	$660,000	$3,018,000
18	CONVERSION DIFFERENTIAL PERCENTAGE					10%	$265,471
19	TOTAL (LINE 17 & 18)						$3,283,471
20	COST COMPARISON LINE: CONTRACT PERFORMANCE COSTS
	LESS: STATE PERFORMANCE COSTS (LINE 19 LESS LINE 9)						($171,515)
(1)	- Includes State income taxes, sales taxes and other revenues generated by contract.
	NOTES:
	A - Cost comparison is calculated on the total column irrespective of the number of performance periods.
	B - A positive result on line 20 supports a decision to accomplish function with State agency.
	C - A negative result on line 20 supports a decision to accomplish function by contract.
	TOTAL STATE PERSONNEL COSTS - FOR THE PERFORMANCE PERIOD		$2,654,709
		PERSONNEL	CONVERSION
	CONVERSION DIFFERENTIAL:	COSTS	DIFFERENTIAL
	(Differential is applied to total personnel costs in Lines 1&2)	0	2%
		250,001	4%
		500,001	6%
		1,000,001	8%
		1,500,001	10%
	CONTRACT ADMINISTRATION FACTORS
	Most Efficient Organization State Staffing	Contract Administration Staffing
	Estimate of Function or activity (in FTE's)	Requirements in FTE's
	10 or less	0.5
	11-20	1
	21-50	2
	51-75	3
	76-100	4
	101-120	5
	121-150	6
	151-200	7
	201-250	8
	251-300	9
	301-350	10
	351-450	11
	451 and above	2.5 percent of state MEO staffing estimate