not obligate the University to pay all of Protiviti's listed fees; they are only estimates, and the University will only incur fees for work approved of and actually performed.

According to Protiviti's Amended Statements of Work, the University can expect to incur additional fees totaling $208,390 for “Audit Readiness Support,” $57,750 for “Finance and Accounting Support,” and $45,476 for “Accounts Reconciliations Support.” However, Ms. Tonya Walker, the University's Controller, has notified administration that Protiviti now believes the University will incur additional fees of $274,290 for the “Audit Readiness Support” project, $57,750 for the “Finance and Accounting Support” project, and $61,600 for the “Accounts Reconciliations Support” project. Ms. Walker also provided an update on the amounts remaining in the original budgets for each Statement of Work, advising that $65,971.69 remain in the “Audit Readiness Support” budget, that $16,124.40 remain in the “Accounts Reconciliations Support” budget, and that there is an overage of $2,777.50 on the “Finance and Accounting Support” budget.

Accordingly, when taking into account the original budget balances, the estimated total additional fees of $393,640 can be reduced by the net amount of $79,318.59. Therefore, the University requests the Executive Committee to approve additional expenditures of $314,321.41. The University intends to use E&G funds to pay for the $106,003.10 in additional fees incurred for work performed relating to the “Finance and Accounting Support” and “Accounts Reconciliations Support” projects. The University intends to use funds from remaining proceeds of the $23,000,000 loan provided by Commonwealth to pay for the $208,318.31 in additional fees incurred for work performed relating to the “Audit Readiness Support” project.

Protiviti shall invoice Kentucky State University on a monthly basis for actual hours worked at an hourly rate not to exceed the rate contained in the Contract between the General Services Administration and Protiviti. Any out-of-pocket-expenses will be billed upon the actual amounts incurred. The total cost of the additional work shall not exceed $314,321.41.

Interim President Ronald A. Johnson recommends that the Executive Committee of the Kentucky State University Board of Regents approves the Amended Statements of Work.

Approve the Amended Statements of Work tendered by Protiviti Government Services, Inc.