Inflation was figured into original estimate for Christopher
High School, but skyrocketing cost of materials and land adds extra
$66 million
Gilroy – A dramatic spike in land costs and construction materials, two significant developments that weren’t factored into the original estimate for the new high school, has resulted in a $29 million hole or an extra $66 million in the Christopher High School budget, if a list of options aren’t realized.
The school district figured inflation into the equation, but even then the initial $39 million estimate for the first phase of the school’s construction is nowhere near the new projection of $105 million.
“Nobody anticipated the way land costs just skyrocketed and construction costs,” District Superintendent Edwin Diaz said.
Still, Diaz doesn’t want the community to fret. Even in the face of such a large shortfall, he insists the high school will become a reality.
“It will be a viable high school for 900 students,” he said.
In December, the district tacked on an extra $8 million to the project, bringing the total to $47 million. But no one imagined that the cost of the 40-acre plot of land would rise from $6 million to a new estimate of $19 million. Assistant Superintendent Steve Brinkman emphasized even the new inflated cost of land is not concrete.
The remaining difference is the result of increasing construction costs, specifically materials, partly caused by Hurricane Katrina and the fact that the district changed the scope of the project. The initial estimate wasn’t specific enough, Brinkman said.
“We’re just going to have to figure out how to reduce costs by deferring certain parts of the project,” Brinkman said.
That may mean delaying the practice gym and reducing off-site improvements, such as the roads surrounding the school, he said.
Paul Bunton, president of Bunton Clifford Associates, Inc, the firm building the new school, made the announcement at the end of Thursday’s board meeting. The large funding shortfall exists even with the district’s assumption that the city will approve a special exception to expedite the sale of the Las Animas Elementary School site.
The district hopes to sell the plot of land, since the new elementary school will be built in southwest Gilroy, and add the cash to the Christopher High project. Measure I, a $69 million bond approved by voters in 2002, will only contribute $15 million to the new high school.
The district sold the bond to the community by guaranteeing it would fund the first phase or room for 900 students, of the new high school. During Bunton’s presentation he went over a detailed list of possible options that could bridge the gap.
Two of the major cash flows are completely dependent on the nod of city council. School officials are positive the city will partner up on the construction of a joint-use aquatics center but they’re not so sure the practice gym will pan out.
“I have a lot of confidence that that project is going to happen,” Diaz said.
For both entities, the proposal is a win-win situation. The city had already budgeted nearly $14 million for a public swim center but under a 50-50 deal with GUSD, the upfront cost will be $4.4 million a piece.
City Administrator Jay Baksa said the aquatics center has been a part of the city’s master plan for years and was slated as one of the public facilities projects to complete within the decade.
“Anytime we can try to coordinate with another agency it reduces the cost and everybody wins,” he said.
Mayor Al Pinheiro also likes the idea of a joint-use facility but he’s more receptive to the swimming center than a practice gym. Pinheiro said the idea has been tossed around at council meetings and is definitely something they would “entertain.”
“The bottom line is we as a city like to partner with the school district as much as possible,” he said.
