District 150’s estimates wildly divergent

Peoria Public Schools logoOne has to wonder how District 150 is estimating the cost to build a new school.

Clare Jellick reported Tuesday on the school board’s plan to build a new school to replace Harrison. Their original plans were too big and too expensive, so now they’ve reduced the square footage and the estimated costs:

Construction costs came in over budget last year when the original design, at 120,000 square feet, was estimated to cost as much as $21.6 million. The building was first estimated to cost $15 million.

The proposed space would be about 18,000 square feet smaller than the original design and cost about $19.7 million.

There are three estimates in those two paragraphs, plus there’s one more estimate that wasn’t listed. That estimate is the one that STS Consultants made that justified replacing the building instead of renovating it in the first place.

STS Consultants was hired to conduct the district’s 10-year “Health Life Safety” report on several schools including Harrison and Glen Oak. This report has direct bearing on how much money the school can obtain through Health Life Safety bonds for maintenance or replacement of school buildings. STS told the Illinois State Board of Education in December 2006 — just five months ago — that the cost to replace the current 102,396-square-foot facility would be only $11,812,158, about $165,000 less than it would cost to renovate the building to bring it up to code.

Just so we can compare apples to apples, here’s how all these estimates break down in cost per square foot:

Estimate Total Cost Total ft.² Cost per ft.²
8/05 Estimate $15,000,000 120,000 SF $125.00/SF
8/06 Estimate $21,600,000 120,000 SF $180.00/SF
12/06 Estimate (STS) $11,812,158 102,396 SF $115.36/SF
5/07 Estimate $19,700,000 102,000 SF $193.14/SF

Anyone remember that song from Sesame Street that goes, “One of these things is not like the other”? That STS Consultants estimate really sticks out, doesn’t it? Yet that was the estimate that was used to “prove” that it would cost less to replace the school building than to renovate it.

STS Consultants used the RS Means Building Construction Cost Data (2006 Edition) to do their estimate. RS Means provides a complicated formula that takes into account the fact that square footage costs vary depending on the size of the structure and the city in which it’s built. However, it’s pretty clear to me that RS Means’ estimates are considerably lower than reality. Notice the dates in the above table — even up to a year and a half before STS’s estimate was done, the district was figuring it would cost more than $115 per square foot to build a new school.

The district didn’t question STS Consultants’ estimate even though it was obviously too low and unrealistic. Why? Could it be because the school board and administration want to replace the buildings, and STS’s numbers provided the justification they wanted?

This calls into question something else: the cost to replace Glen Oak School. STS Consultants’ study on that school concluded the cost to renovate the building ($8.36 million) would be more than the cost to replace it ($7.95 million). But their cost of replacement was based on $119.08 per square foot for the 66,791-square-foot building. Now that we know the real cost is closer to $190+ per square foot, the decision to replace the building needs to be reconsidered.

20 thoughts on “District 150’s estimates wildly divergent”

  1. C.J.

    Welcome to the wonderful world of fuzzy math brought to district 150 by King Hinton and his court jester Cahill. Yes, a world where truth need not play a part in a decision as long as the King and the PJS want something done their way. Gosh folks, now that the BOE rushed to extend Hinton’s contract you just need to get accustomed to these past and future practices. ^oo^~

  2. Do the cost per square foot estimates include the cost of land acquisition plus construction costs or are they construction costs only? Since the earlier estimates were based on the premise of a “land swap” with the PHA, the estimates may not include the land.

    Hinton is getting ready to make a counter-offer on the PHA site. The site is appraised at $178K and the PHA is asking $800K to defray demolition expense. Based on past performance, it is a safe bet that Hinton will counter with an offer much closer to the $800K ask than the $178K appraised value, so if they offer somewhere around $650K or so, that would be an additional $6.50 per sq. ft., taking the estimated price per sq. ft. to right around $200.

    After spending $877,500 on the Prospect Road properties, where will they get the money to pay the PHA?

    We don’t really know what the proposed facility will look like – there have been no plans reproduced in the PJS. $200/sq.ft. sounds pretty rich and once construction begins, cost over runs are likely.

    Recently, Matheson chastised Hinton and Cahill for missing the application deadline for HLS bonds for the SSA building and now they are looking at moving the proposed program, originally slated for that site, to White School (with an associated renovation expense, of course).

    The funding for the construction of Harrison School is dependent on the issuance of HLS bonds. Can we trust Hinton & Cahill to do their jobs this time and follow through and meet the application deadline for the bonds? Or will they once again drop the ball? If they drop the ball again, will Peoria taxpayers have to bail Hinton out?

    If the HLS bonds do not cover the entire cost for building a replacement Harrison School, how will the shortfall be covered?

    Can Peoria really afford to finance “Hinton’s dream (or folly)?”

  3. C.J. there is a risk involved with trying to figure out – based on the sketchy information provided by #150 – what the real costs will be and how the district will pay for them.

    Hinton, Cahill and Walvoord are masters of orchestrating the release of information bit-by-bit. They do not put all of the information on the table at once. Without a CPA advising you and looking at the whole thing, you have no way of knowing (until perhaps 6 months or a year later) what really has happened.

    If they are seeking to marginalize the voices of the opposition, this is a great tactic to employ because they can time the release of information to discredit their opponents.

  4. Figures lie and liars figure. If you are in charge you can make whatever case you want. Heck fire its only our tax money they want to spend.Cahill stated they could afford the scaled down school,with property sales. Is that the sale of White School? How about the sale of the Prospect folly land purchase?

  5. Martin, White School has been removed from the equation. Since Hinton & Cahill missed the filing deadline for their application for HLS bonds for the SSA building, they are looking to move the program scheduled to open at the SSA building to White, requiring the addition of approximately $70K of renovations to White.

    They spend taxpayer money like it grows on trees!

  6. PrairieCelt, I thought White school was a run down school that they did not want and did not want to spend any $$$ on, Now it is a building worth renovating for use? It just demostrates that Hinton & Cahill dont know what to do.Great planning. Its sad but funny also.

  7. I have nothing to say. Except, why don’t you guys run the District and build the school or revamp the old one or whatever?

  8. C.J., Emtronics – the coup d’etat is not a bad idea! What do you recommend – a mayoral takeover ala Chicago or something else?

    Martin – yes, that is correct, at least based on some of the recently published reports. I think you are very generous with Hinton & Cahill in your assessment of the situation. My opinion – simple incompetence or complex duplicity. Take your pick . . .

  9. What I find interesting is that just a few years ago these same things would be happening, and surely were, but no-one probably noticed or had any kind of highly visible forum to bring these facts to light. People would chat amongst themselves at a backyard bbq and that would be the end of it.

    Local blogs CAN make a difference. The local media is picking up on it. I think Ken Hinton, Bonnie Noble and “insert public official name here” choose to stick their heads in the sand and ignore that there is a groundswell building of people who do care, are vocal, can crunch the numbers, and have a means to express their findings to a larger audience.

    They can’t just hope the Journal Star doesn’t pick up on what they’re doing anymore. The Journal Star and other media outlets are also watching the blogs and picking up on newsworthy items.

    We are in the midst of a great shift of how news is reported and our officials need to realize that they will be under greater scrutiny from the public and some people might actually crunch the numbers.

    I’m proud to be part of the new media (albeit a small one). Kudos to CJ and the others who keep our official’s feet to the fire.

  10. Bingo, PI.

    I’m sure whoever that guy was who wanted Butler to speak at graduation was given a heads up by someone who reads the locals (my name for local blogs, go ahead and use it) or someone who reads the comment section of the JStar. Plenty of people wanting to know why she was still scheduled to speak. Even after he said he was a man of his word, the next day presto…..new speaker.

  11. Mazr you are correct about the principal and the matter of his integrity. Don’t forget to include the high-level administrators at #150 who didn’t want Butler to address the graduates – they can bring a lot of pressure to bear.

  12. Mazr: Yet with all the shenanigans how is the change in speakers much different?

    Where will the money from the recent D150 property sales be purchasing?

    The D150 excess property listing is supposed to be extensive … anyone have a list?

  13. Martin, earlier I tried to post the link to an article on Jellick’s blog entitled “Matheson lets loose at administration”, but the post didn’t go through. Clare’s article is about the missed deadlines for the HLS bonds to renovate the SSA site and how the district would have to move the program from the SSA site to White School. You might want to take a look at the article.

  14. Mr. Simmons, principal at Peoria High, is a man of integrity,there is no doubt of that. He has that school under control, unlike the administration at 150; time for a change at the top.

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