Even with five new schools on the horizon, district officials said Conroe ISD is ready for rising construction costs associated with projects from last November’s $487 million bond referendum.
Easy Foster, CISD director of planning and construction, said the district expected to see a 1 percent monthly increase in construction costs following approval of the bond.
“The good news is we planned our bond with an escalation factor each year,” Foster said. “We tried to anticipate what the rise [would] be. So far, our budgets have fallen within our contingency amounts.”
Due to proactive planning, Foster said no projects in CISD would need to be moved up or put off as a direct result of increased construction costs.
“The worst thing you can do, from a public entity standpoint, is build something that’s not needed,” Foster said. “If we move something up just to save some money, it might sit empty for a year. Economically [that] might make sense, but when we’re dealing with the general public and the voter’s public funds, it may not be the most appropriate use of funding because there’s so many parts involved in building a school.”
Snyder Elementary in Birnham Woods opened in 2013 and cost $166 per square foot to build, according to Chris Hines, CISD deputy superintendent of operations. Flex 17 elementary school is slated to open in the Oak Ridge High School feeder zone in 2017 and its estimated cost is $204.99 per square foot.
Foster said cost estimates are not always completely accurate. However, the process helps determine a timeline for district projects.
“Looking forward into year two, year three and beyond, we feel like we have accurately estimated [increased construction costs],” Foster said. “Our industry partners, our contractors and people [who] come in and interview for projects … have a common voice at this point saying we feel like we’re at the top of the wave.”
CISD trustee Melanie Bush said construction and material costs were already rising when the board was planning for the 2015 bond. To combat this, the board factored in an inflation rate of 10 percent annually on all construction projects.
“One of the things that we try to factor in is when a school is going to hit 125 percent capacity and whether or not they are at regional capacity,” Bush said. “If one campus is at 125 [percent], but another campus is closer to 80 [percent], then we don’t really need a school, we need to reallocate some students and rezone.”
In the Oak Ridge High School feeder zone, many elementary schools are either already at capacity or will be within the next year or two, Bush said.
It is estimated that elementary schools in the Oak Ridge area meant to serve 3,000 students will hold up to 5,000 students in the next four years.
“I know that the board has really made a big effort to keep us financially responsible but continuing to take care of our students needs,” Bush said. “That is a delicate balance, and I hope that we continue to do so in the future.”
Foster said CISD will see normal cost of living adjustments, but the overall growth pattern is at its peak and seems to be leveling out.
“We’re constantly looking ahead trying to forecast not just this year or next year but looking 10, 15, 20 years down the road,” Foster said.
