Education Funding

School Building Projects Face Fiscal Uncertainty

By Joetta L. Sack — January 15, 2003 4 min read
  • Save to favorites
  • Print

Arizona’s school construction problems may get worse before they get better. The state faces a looming court-ordered deadline to repair or replace hundreds of schools identified as structurally inadequate for student learning. But shrinking revenues have left the agency charged with doing that work almost broke.

The Arizona School Facilities Board is hoping the cash-strapped legislature will allow the board to raise enough money through bonds to help it complete the job. Meanwhile, the board is also hoping for state money to sue contractors who left districts with shoddy work and materials.

To finish the repairs ordered by a state superior court as part of a school finance case, the board needs some $330 million. That includes $280 million to finish work on more than 6,000 repair projects, a task that will cost a total of $1.3 billion, about $100 million more than expected. Unrelated to the court order, the board is overseeing 88 new schools to house the state’s fast-growing student population, and may need another $50 million to finish that job.

Created by the legislature nearly five years ago, the facilities board oversees school construction and repairs that are paid for with state funding, including revenue from sales taxes that were increased for the facilities initiative.

Now, the board proposes that the state issue school construction bonds to finish the work, which under the 1998 settlement approved by the court must be contracted for by this June, and then completed by June 2004. The board’s executive director, Edward E. Boot, said he was “95 percent confident” that the legislature would allow the board to authorize the bonds. If not, he acknowledged, the work likely will be halted—and another lawsuit filed.

The board has not been without controversy. Some say it has made great improvements to a school construction system with many flaws. At the local level, though, some district leaders have expressed qualms about giving up so much control over their projects. Others say that the effort was not needed and contend that it has been too expensive.

“We couldn’t afford it” in 1998, said Randall Gnant, a Republican and the outgoing Senate president, who argued for a cheaper way to meet the court order.

In the midst of the current fiscal crisis, which includes a projected budget deficit of about $1 billion for fiscal 2004, the legislature will have an even tougher time finding the funds for the board’s projects.

Building Pressure

But Timothy M. Hogan, the executive director of the Phoenix- based Arizona Center for Law in the Public Interest, who represented the districts that won the original settlement, said the legislature must find a solution, or risk another lawsuit.

“This program is required under the state constitution, and they can’t just decide when they don’t have the money that they’re not going to comply with the state constitution,” Mr. Hogan said. “We’ve got a first lien on the state treasury.”

And those districts that were unable to raise enough property-tax revenue to build and remodel schools appreciate the board’s work.

“We’re happy with what’s going on,” said Gary Knox, superintendent of the 5,800-student Crane Elementary district in Yuma, Ariz., where the board is rebuilding one school, building additions to others, and putting new roofs on its eight facilities.

At the same time, the facilities board is also trying to locate communities in which shoddy work has been performed on schools, and wants the legislature to give it money to hire a lawyer to sue the contractors responsible for the faulty work.

Mr. Boot said the number of targeted construction sites is relatively small—fewer than two dozen out of the more than 6,000 projects—and the repairs mainly deal with leaky roofs, air conditioning and duct problems, and other mechanical issues.

Still, he added, “there are numerous cases where school districts received work that was inferior, and we’re going to try to collect on that.”

All of those jobs were finished five to eight years ago, before the facilities board was formed to oversee such projects. The board does not have an estimate for how much money might be recouped. “We’re asking that the legislature address the issue of funding for the purpose of hiring counsel to bring action against contractors,” said Kathleen English, the board’s spokeswoman.

Some districts have routinely looked to the state to come back and repair contractors’ poor work, rather than take action against the contractors, she said.

The board could run into problems getting districts to cooperate with its proposed lawsuits, Ms. English acknowledged, because many rural districts had only one or two contractors to choose from for their renovation projects. Also, in small towns, school officials are reluctant to bring lawsuits against people they know.

Events

This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Achievement Webinar
How To Tackle The Biggest Hurdles To Effective Tutoring
Learn how districts overcome the three biggest challenges to implementing high-impact tutoring with fidelity: time, talent, and funding.
Content provided by Saga Education
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Student Well-Being Webinar
Reframing Behavior: Neuroscience-Based Practices for Positive Support
Reframing Behavior helps teachers see the “why” of behavior through a neuroscience lens and provides practices that fit into a school day.
Content provided by Crisis Prevention Institute
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Mathematics Webinar
Math for All: Strategies for Inclusive Instruction and Student Success
Looking for ways to make math matter for all your students? Gain strategies that help them make the connection as well as the grade.
Content provided by NMSI

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Education Funding Explainer How Can Districts Get More Time to Spend ESSER Dollars? An Explainer
Districts can get up to 14 additional months to spend ESSER dollars on contracts—if their state and the federal government both approve.
4 min read
Illustration of woman turning back hands on clock.
Education Week + iStock / Getty Images Plus Week
Education Funding Education Dept. Sees Small Cut in Funding Package That Averted Government Shutdown
The Education Department will see a reduction even as the funding package provides for small increases to key K-12 programs.
3 min read
President Joe Biden delivers a speech about healthcare at an event in Raleigh, N.C., on March 26, 2024.
President Joe Biden delivers a speech about health care at an event in Raleigh, N.C., on March 26. Biden signed a funding package into law over the weekend that keeps the federal government open through September but includes a slight decrease in the Education Department's budget.
Matt Kelley/AP
Education Funding Biden's Budget Proposes Smaller Bump to Education Spending
The president requested increases to Title I and IDEA, and funding to expand preschool access in his 2025 budget proposal.
7 min read
President Joe Biden delivers remarks on lowering prices for American families during an event at the YMCA Allard Center on March 11, 2024, in Goffstown, N.H.
President Joe Biden delivers remarks on lowering prices for American families during an event at the YMCA Allard Center on March 11, 2024, in Goffstown, N.H. Biden's administration released its 2025 budget proposal, which includes a modest spending increase for the Education Department.
Evan Vucci/AP
Education Funding States Are Pulling Back on K-12 Spending. How Hard Will Schools Get Hit?
Some states are trimming education investments as financial forecasts suggest boom times may be over.
6 min read
Collage illustration of California state house and U.S. currency background.
F. Sheehan for Education Week / Getty