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NewsDecember 15, 2009

As the Cape Girardeau School District moves toward a bond issue, board members continue to raise issues with the increased costs generated by the district construction and renovation plan. The school board met Monday with the district's professional team, which has been working on cost estimates and prioritizing projects in the facilities plan. ...

As the Cape Girardeau School District moves toward a bond issue, board members continue to raise issues with the increased costs generated by the district construction and renovation plan.

The school board met Monday with the district's professional team, which has been working on cost estimates and prioritizing projects in the facilities plan. There were representatives from McCarthy Building Cos., the district's construction management firm; Stifel Nicholas, the district's bonding agency; engineer Mark Strickland; architect Phillip Smith and architects from the Bond Wolf, a St. Louis firm.

Board members asked the representatives questions about how to proceed with its nearly $40 million proposal.

Board member Dr. Steve Trautwein said the district has a credibility issue because projects were cut when the high school was built in 2002. The projected costs of the current plan include a 12 percent cushion for possible shifts in labor costs and material prices. Trautwein asked about increasing that cushion to safeguard against presenting a list to voters that will not be completed.

"In general, there will also be the perception among the electorate that we promised one thing and we were not able to deliver on that promise," he said.

Board member Tony Smee said he was concerned about offsetting the increased cost of utilities, insurance and maintenance.

"I haven't been presented with information to make me feel comfortable," Smee said.

Because the district has been using reserve funds to balance the budget in recent years, Smee said, the funds are not built up enough to account for an upswing in costs.

Board members said they agree the work is necessary but are worried the projects will create a budget deficit.

"The operational costs put us in a bind," said board member Paul Nenninger.

The board will meet with the team again in January to consider cost figures associated with the increased costs.

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The districtwide plan includes millions in deferred maintenance, including roof replacements at Alma Schrader, Jefferson and Clippard elementary schools, $2.28 million in mechanical work and about $655,000 in electrical upgrades.

"If we don't do this now, what are we going to do to take care of these needs?" said board president Kyle McDonald.

Strickland said the district's annual utility costs will decrease by at least $25,000 with the upgrades.

Despite the savings of completing deferred projects and increasing energy efficiency, Smee said he wanted more cost analysis before moving forward.

"We need to have a net operational saving in what we're doing," he said.

The $39.98 million plan also includes additions and security upgrades in eight of the district's buildings. It outlines a $10 million new Franklin Elementary School and, at the high school, a 16-classroom addition, a 750-seat auditorium and an events stadium. There is a prioritized list of other projects that will be added if money becomes available, including additions to the events stadium, floor tile replacements and gym improvements districtwide.

The board will meet Jan. 5 to go over more information regarding the bond issue. It will meet Jan. 13 to vote on the possibility of presenting a no-tax-rate-increase bond issue to voters.

abusch@semissourian.com

388-3627

Pertinent address:

301 N. Clark Ave., Cape Girardeau, MO

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