Five years ago it was going to cost $50 million to build a combined middle and high school in Lakeland. Fast forward to today? The cost will likely be north of $60 million as a final cost for both schools.
This is according to the Lakeland School System (LSS) Superintendent who was asked at tonight’s (1.14.19) LSB (Lakeland School Board) for updated school construction costs by LSB member Geoff Hicks. Mr. Hicks also asked how much money the School System could comfortably give to the City to help fund the school.
The request comes on the heels of high school funding costs being discussed at the two most recent BOC (Board of Commission) meetings initiated by Vice Mayor Josh Roman.
The Lakeland School System (LSS) has two schools which serve grades PK-8 on two campuses. High school students attend Arlington High School through an interlocal between the two cities until a high school is built in Lakeland. LMPS opened in August of 2017.
In 2014 there was a plan to build a middle and high school campus on the current Lakeland Middle Preparatory School (LMPS). Funding for the combined schools was voted down in a 2015 bond referendum.
Dr. Ted Horrell said he expects the cost of adding a high school to the Lakeland Middle Preparatory School (LMPS) campus any time soon will cost between $35-40 million. “Five years is quite a long time,” said Dr. Horrell. “Education trends change, other schools are built (in other municipalities) with new ideas,” he said.
“Five years ago we said we could build a combined middle school and high school for $50 million. The plan was to serve the middle school and high school until the high school population squeezed out the middle school students.”
He said using the fund balance and capital funds for the building of future schools was a big part of the initial plan. It would have allowed the LSS to put aside money for another elementary school and ask for less money from the funding body (BOC).
“We could have built the entire campus for $50 million. But once it was voted down, we had the fallback plan to build the middle school,” he said. This was because of overcrowding at Arlington Middle School where Lakeland students attended grades 6-8.
What are the differences today, noted Dr. Horrell?
- Construction costs have increased 19%+ in four years, according to an industry leader.
- The LMPS land was virgin terrain so builders could start early, stay late. It’s a different project now.
- There were no students, no arrivals, no dismissals.
- We didn’t benefit from doing it all at once.
Combine those factors with the natural inflation of costs, said Dr. Horrell, and the construction cost is north of $60 million for the two schools just five years later.
To reduce that amount, he said, requires “value engineering” which means — what can be removed from the school to meet a lower dollar amount. He mentioned a smaller gym or not having an auditorium.
School Board Member Deborah Thomas asked for a timeframe on building the high school. Dr. Horrell said the school can be built faster but at a greater cost. “If we’ve got the money, we can do it in a year,” he said. Realistically, he said it would take 18-24 months.
Mr. Hicks added the cost of money will impact payments also. “You add a higher interest rate and what does that do to payments?” he questioned.
Board Member Teresa Henry said bringing high school students back to Lakeland will bring CIP (Capital Improvement Projects) money from Shelby County. Right now, she said, Arlington has that money but a high school in Lakeland would bring the money to LSS.
Through good budgeting of their dollars, Arlington Community Schools (ACS) has subsidized such areas as recreation and buildings, said Dr. Horrell, based on their student to school ratio. He said this is part of the reason Lakeland needs a high school now and not an elementary school. He said money would be put away for capital improvements. The high school will not be the last school or capital improvement the community will need, he said.
The State ADA (Average Daily Attendance) money goes to Arlington because of Lakeland students. If those students come back to a high school in Lakeland, so comes the money to be used for local capital projects and fund future schools.
Shelby County Schools has proposal to build nine new schools. Estimated to cost $900 million, a percentage would come to each municipality including Lakeland as their part of the County capital funding.
The funding would be based on student enrollment, Mrs. Henry said, and could be about $10 million. If Lakeland students are enrolled at Arlington High School, that money follows them rather than benefiting Lakeland.
Link to Google album: https://photos.app.goo.gl/4YzgvcnjnieNpxcu8
Funding from LSS for a new school?
Mr. Hicks said Vice Mayor Roman asked at a Dec. 9th BOC meeting if the School System could subsidize some of the expense on funding the high school for a 30-year loan.
Dr. Horrell said estimates show about a $700K yearly difference in school debt adding a high school loan. He suggested to the LSB that the LSS could afford to pay the City $700K for four years ($2.8 million); $150K per year for 30 years ($4.5 million); or donate $1 million in cash today.
The belief on the four-year plan would be to give the City four years to have more residential and commercial projects completed and increase the property and sales tax base.
LSB Chair Kevin Floyd noted the $150K annually is roughly the money Lakeland gives to Arlington Community Schools which would ultimately come back to Lakeland.
Vice Mayor Roman addressed the Board, saying he opened the conversation on creative methods to fund the high school. “That’s a huge number,” he said, noting he would get back to the LSB as soon as possible.
Also in the audience tonight, as noted by Chair Floyd, were Mayor Mike Cunningham, Commissioners Richard Gonzales Jr. and Wesley Wright and City Manager Shane Horn.
Link to the agenda: https://lakelandk12.org/res/web/01.14.19%20BM/01.14.19%20Business%20Meeting%20Agenda.pdf
Link to Livestream: https://livestream.com/lakeland/events/8526499
And the rest of the meeting
- Reelected to officer positions were Chair Floyd, Vice Chairman Laura Harrison and TLN (Tennessee Legislative Network) Representative Hicks.
- Dr. Horrell’s report included tournament and competition wins at LMPS; an update coming on demographics for the LSS; a Feb. 8th trip to the State Board of Education to celebrate Lakeland Elementary School’s recognition as a Blue Ribbon School; spring registration upcoming; and 2020 budget work beginning.
- Mr. Hicks asked for comparison numbers for LMPS enrollment, 2017 to 2018. Dr. Horrell said he didn’t have specific numbers but agreed with Mr. Hicks that the enrollment for 2017 was likely 672 and 800 this year, about 70-80 additional students per year than anticipated.
- The Preliminary Legislative Agenda (as provided by Mr. Hicks in December) may be amended slightly, depending on a sponsored bill and its traction. The Agenda is delivered by LSB members during “Day on the Hill” in February.
- The suggested date for a BOC/LSB retreat is March 2nd.
- The Board approved the formation of a “Lakeland High School Start Times” committee, agreeing there will be seven members: one member from Central Office, a parent per school, two school representatives, an LSB liaison and a person-at-large.
- Required annually, each Board member will sign a code of ethics which will be kept on file in the LSS office.
… Photos by Jim Willis, Lakeland Currents
