Press Release

Efficient Management Of 1998 Bond Yields Tenth New School

Efficient Management Of 1998 Bond Yields Tenth New School

Strong management of the bond approved by voters in 1998 will allow Denver Public Schools to build a tenth new school under the district's ongoing $305 million program, Mike Langley, Executive Director of Facility Management, announced today.

"Essentially, this tenth school is free to taxpayers and voters - there are no additional costs to the general fund or to the taxpayers who are backing the bonds," said Langley.

"There are many variables at play in building so many large projects, but our team worked hard to estimate those variables and budget them. That process has minimized surprises and left us with sufficient cash to plan for this tenth school," said Langley.

"It's a rare occasion when a bond program of this magnitude is on track. Usually we hear about cost overruns," Board of Education president Elaine Gantz Berman.

Jean Abney, a member of the Citizens Committee on Bond Expenditures, a group overseeing the bond program, applauded the announcement. "The fact that DPS can get another school out of this shows the district is working extremely hard for the citizens of Denver," Abney said.

Nine schools were promised at the time the bond was approved by voters.

Superintendent Bernadette Seick called the announcement a "significant gift to taxpayers" in Denver.

"The fact that a tenth school will be built within the existing bond budget is a reflection of the attitude taken by the Department of Facility Management toward the public investment. That attitude is one of care and respect for those dollars," said Superintendent Seick.

Voters approved the proposed five-year bond project in 1998.

The $305 million was scheduled to build six new elementary schools and three new secondary schools.

The first of those schools, Green Valley Elementary, opened its doors September 5. Groundbreaking on another school in Montbello was held last week. Another project, the new elementary school in Grant Ranch, is being prepared for opening day of the 2001-2002 school year.

Berman, noting that bond funds can by law only be spent for construction projects, said: "As quickly as we build these schools, we're finding they're at capacity or above."

The bond was also programmed to pay for 15 major elementary school additions, five secondary school additions, five school renovations, the modernization of two middle schools, and a host of school repairs and safety improvements.

Langley said all bond projects are on track.

Langley attributed the savings to aggressive work in estimating costs for all projects. Costs that were carefully watched, said Langley, include special site conditions, demolition needs, code upgrades, tap fees, personnel for program and project management, and hazardous material abatement. Inflation was also budgeted.

Pre-qualifying architects with school experience, using prototype designs, and negotiating bids with contractors who had worked with those designs realized other cost savings.

Langley also said savings were found by selecting and notifying successful contractors months in advance in order to be included on their bid schedule.

Other cost savings steps include:

• Providing insurance to contractor and sub-contractors through less costly self-insurance (Rolling Owners Controlled Insurance Program);
• Hiring firms with school experience to manage the selection, purchase, delivery and set-up of all furniture, fixtures, and equipment.
• Scheduling projects as early as possible to minimize impact of inflation.

Pending official Board of Education approval, Langley said the tenth school would likely be built in the Monbello/Parkfield area where a new middle school will begin construction in early 2001. An architect, the Royal Corporation, has been contracted to begin design work.