kerry leider every building new or like new
TRANSCRIPT
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• Major challenges • No money • No plan • Socio-‐economic and geographic challenges • Previous plans focused just on school closings and no las;ng buy-‐in
• Assessments • Over $400 million in needs • Average building age 55 years old • 30% more space than needed and not where students were located • Demographic student decline
• Plan Development/Financial Solu;ons/Public Engagement • Tax and budget analysis • Communica;ons & governmental rela;ons • Ci;zen’s group community outreach • $5.3 million in savings analysis • 120 public mee;ngs • Public informa;on survey
Duluth Schools Long-‐Range Facili;es Plan Background and Planning Considera;ons
� A Need to Do Our Best for Our Children – During more than 100 mee;ngs with ci;zens throughout the community in the past years while developing the plan, in addi;on to calls, leYers and e-‐mails to the school district, we’ve learned that ci;zens overwhelmingly support making the changes necessary to improve educa;onal facili;es in the most logical, future-‐looking, and cost-‐effec;ve manner.
� A Need For Stability – Without a long-‐range plan, ques;ons come up about facili;es every year, and every year someone may have a different idea about what to do. A long-‐range facili;es plan lets people know what’s going to happen in the school district years into the future, and helps those who maintain facili;es use district resources wisely.
� A Need for Equity – Some students go to school in older buildings that don’t meet today’s educa;onal needs, while some go to school in newer buildings that do. A long-‐range facili;es plan will provide equity across the district.
� A Need to Address Aging Infrastructure – Facili;es Management worked with 40 analysts from 18 firms over a 6-‐month period to conduct a thorough analysis of all schools, averaging 54 years old, and iden;fied 1,600 deficiencies related to such areas as air and water quality, accessibility, building code compliance and more.
� A Need To Improve EducaConal Adequacy of Buildings – During a six-‐month period, mul;ple experts spent 500 hours inspec;ng all school buildings, reviewing the ability of each building to meet current educa;onal programs and needs. All but four of the Duluth Public Schools were found to need some upgrades. District-‐wide, 78 areas were iden;fied as “not acceptable.” Twenty-‐two of the not acceptable rankings were in the three high schools; the other 56 were spread among Duluth’s other 15 schools.
� A Need to Address Declining Enrollment – Former state demographer Hazel Reinhardt created an in-‐depth analysis of Duluth’s enrollment. K-‐12 enrollment has declined throughout the state and na;on due in large part to Genera;on X being smaller than previous genera;ons. In Duluth, K-‐12 enrollment declined 25 percent during the past 10 years to today’s enrollment of 10,140. This trend will con;nue un;l 2013, when enrollment will stabilize between 8,998 and 9,329. From 2013 to 2022, enrollment is projected to increase modestly and fluctuate at around 9,600 students.
� A Need to Address Overcapacity – Duluth’s schools have space to accommodate 13,478 students. That means, based on today’s enrollment, the district was opera;ng buildings with 30 percent more space than it needed.
Why Long Range Plan?
Long Range Plan Summary Pre-‐Plan: Long Range Plan 18 school buildings 13 school buildings 11 elementary & 1 K-‐8 9 elementary schools 3 middle & 1 K-‐8 2 middle schools 3 high schools 2 high schools 3 administra;ve buildings 2 administra;ve buildings 5 unused proper;es 0 unused proper;es
RED OPTION
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Financial Solu;on
Proceeds From Surplus Properties: $ 25,000,000 Annual Savings: $5,300,000 x 20 years: $106,000,000
$131,000,000
Plan amount: $257 million in 2007 dollars ($296 million with five years of construcCon inflaCon)
In lieu of bond referendum, the financing strategy for Duluth Public School District’s long-range facilities plan utilized the following Minnesota statutes: Alternative Facilities Bonding (123B.59), Lease Levy (126C.40, subdivision 6), and Lease Purchase (465.71).
Savings Overview
Project Management Work Scope - 6 years and 13 schools
Projects Type of School Size
2 High School 1,500 -1,700 2 Middle School 950 - 1,100 9 Elementary School 350 - 550
17 Professional Services Agreements 500 Construction Contracts
8000 Payments Processed
Contracts per High School 70
Contracts per Middle School 45
Contracts per Elementary School 40
High School Average Payments 1,100 Middle School Average Payments 850
Elementary School Average Payments 675
Property acquisitions – 64 total including (58 residential homes)
• Willing sellers with negotiated terms including relocation expenses • Premium pricing = less opposition = favorable community opinion • Eminent domain (only required for one critical property)
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Duluth’s 21st
• Robust, High Quality Curriculum
• Computerized Smart Boards and State-Of-The-Art Classroom Technologies
• Equitable Facility Conditions across District
• Enhanced Safety & Security
• Healthy, Efficient, “Green”
• Designed for Use By Community Members of All Ages
• Long-Term Stability – Right sized
PLAN GOALS
Communica;ons: 120 Public Mee;ngs
Facility CondiCon
Deferred Maint. U;lity Expense Repair Needs IAQ Concerns
Structure/Envelope ADA Compliance Lots/Walks/Fields Mech/Electrical Savings Poten;als
Our Homework Phase I: Assessment Educational Adequacy
Programming Security/Safety Bldg. Capacity
Spatial Relationship Alternative Uses Instructional Aids Classroom Size
Physical Attributes Technology
District Demographics Historic Trends
Projections Ethnic Diversity
School Locations Housing Starts
Competition Economic Study School Locations
Boundaries
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Note difference between graduating students vs. kindergarten students
DULUTH PUBLIC SCHOOLS 2006-‐2025
86008800
900092009400
96009800
1000010200
2006 2009 2012 2015 2018 2021 2024
Duluth
Former state demographer Hazel Reinhardt created an in-depth analysis of Duluth’s enrollment future.
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9 10 11 1223 33 19 22 28 102Geo. Zone
GradeGrand Total
Facility Assessment Team
Duluth Public Schools
1,600 pages estimating near $400M in total cost
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School Breakdown by Dollars
Duluth Public Schools
Educa;onal Adequacy Preview
Duluth Public Schools
Communica;ons Team
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Boundaries
One (Blue) or Two (Red & White) High Schools
2007 Duluth Public Schools Study
Decision Resources, Ltd.
One HS/Strongly5%
One HS4%
Two HS56%
Two HS/Strongly24%
Unsure11%
RED Option Western High School Remodel & Expand Denfeld
1500 Students
Eastern HS Remodel & Expand Ordean
1500 Students
New Western MS Site TBD
1100 Students
Eastern MS Remodel East HS
1100 Students
Lowell Elementary Renew
450 Students
Grant Elementary Remodel & Expand
500 Students
Congdon Elementary Renew
500 Students
New Laura MacArthur On Existing Site
500 Students
New Lincoln/Piedmont Site TBD
450 Students
Stowe Elementary Renew
450 Students
Homecroft Elementary Renew
450 Students
Lakewood Elementary Renew
350 Students
New Lester Park On Existing Site
500 Students
So Far Fair Sailing?
Central HS
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• The Board consciously elected to forgo a referendum based on detailed reports that contained the results of a public opinion survey (sta;s;cally accurate within +/-‐ 5.5%)
• 78% of the public reports awareness of the long-‐range discussions
• Residents and parents decisively favored the “Red Op;on”
• By very solid 69%-‐24% margin, residents favored the District issuing bonds to finance the cost of new construc;on and renova;on
• Nearly 8 of 10 residents report the lack of an elecCon has very liGle impact on their support levels for issuing bonds.
Public Information Survey
How determined and how vocal are the 2 of 10 residents who feel the lack of an election has much to do with their support for issuing bonds?
How determined and how vocal are the Central HS Alumni, Parents and Students who wanted to save their school?
How determined and how vocal are the not in my back yard residents?
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What Students are Saying
“It’s all new. It
’s
absolutely gorgeous.
I’m actually excited to
go here now and to be
in this school”
It’s Godly amazing”
“The whole school, it’s really phenomenal.”
“This is going to be the best
year ever.”
“It’s unfathomable, all of
this. It’s really amazing”
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Project Tours Photo slides
removed from handout due to size but will be
shown at presentation
Do it Again? – Do Differently? • Referendum = single funding source • Longer ;meframe to implement • District internal organiza;on and capacity to manage development and implementa;on of LRFP • Develop more project detail prior to locking in the cost of the plan • Proceeds from sale of buildings in financing strategy • Would it have goYen done?? • Program/Construc;on Management Approaches • Media – Managing the Message • MDE – Review and Comment Process • Quality Consultants and Program Advisors • City or local building officials zoning and building safety • Local poli;cians and regula;ng en;;es • MPCA, MDH, MNDOA, DNR, Army Corp of Engineers, others • Be prepared for opposi;on to the plan or aspects of it – plan responses • Ini;al support can waiver when it his home with impacts on homes and students • Consider new technologies for photo documenta;on of construc;on progress linked to plans (Contracted Service?)
Do it Again? – Do Differently? Planning and Construc;on Budget – consider a process similar to State and University. • Promote the need for a long-‐range facili;es plan (LRFP) (Hire firm to help advocate and
communicate reasons?)
• Define and develop a broad scope LRFP (Hire firm to assess condi;ons and deficiencies of exis;ng buildings and gather other data they will use in defining a solu;on/s)
• Obtain approval of the broad scope LRFP solu;on (Number of schools, loca;on, size and grade configura;on, new, renovated, addi;ons). (Conserva;ve es;mates of total cost based on ini;al project concepts.)
• Obtain approval of financing for designing projects through design development stage. (Will need to hire firm/s to create schema;c designs and to develop designs of building projects and confirm property acquisi;ons and regula;on impacts.) (Plan for these firm/s to be involved all the way through comple;ng the construc;on documents and through construc;on administra;on.) (Should consider hiring construc;on manager or general contractor at this point to assist with construc;on es;ma;ng and value engineering.)
• Stages of design: Concept, Schema;c, Design Development, Construc;on Documents)
• Obtain reliable construc;on cost es;mates based on developed plans/designs (Architect/engineers/construc;on managers, prepare reliable es;mates of total cost based on fully developed project designs.) (This is the budget that will be financed and serve as basis for Review and Comment.)
• Seek Final Board and Community Approval/Referendum of the LRFP financing to fully implement the approved LRFP. (Complete construc;on documents, close on property acquisi;ons, construc;on document approvals and permits, construc;on bidding, construc;on contracts and agreements.
• Assure es;mates include appropriate budget con;ngencies and define in advance how any construc;on con;ngencies will be returned to taxpayers if not needed to complete the approved and defined scope of work.
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Do it Again? – Do Differently? • Have conversa;ons with School Board to confirm process and mee;ngs for award of bids. • Resolu;on for approval of change orders – Prepare Board for this reality and probability and also
the impact of approval ;ming. • Specifically authorize Superintendent or Director of Business Services to award contracts (Up to
project budget?) What limits? How the Board should be kept informed of changes in construc;on/to contracts approved and their impact on overall budget or con;ngency amounts planned.
• What role does the Board or members have in developing and approving plans and at what step in the design process. Need to define for the Board the planning and design process and the standard milestone points in the design process that must be approved before proceeding with the next phase.
• Who keeps the official record of construc;on contracts and agreements? Who reviews and approves contracts and agreements? Should you develop standard amendments to AIA forms for both professional services and construc;on contracts? Should you have legal counsel help drat or review agreement standard amendments, or legal review of every agreement. Who signs the agreements and changes?
• Advance conversa;ons with school board and community about ongoing maintenance and repair of buildings. What will it require to adequately preserve the LRFP assets. Make sure there is real and clear perspec;ve and what type of investment is required for ongoing preserva;on and upda;ng.
Do it Again? – Do Differently? • Collec;on of Building M&R Cost Profile data –
• Require as part of construc;on contracts and architectural and engineering agreements
The following pages are provided with permission of Whitestone Research Copy Right Whitestone Research
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