Estimated cost on proposed Fayette technical school could see $20 million increase

The Fayette school board is set to consider increasing the estimated costs of its proposed new career and technical center in the former Herald-Leader building by more than $20 million — from $47.8 million to $68.4 million, according to school board documents.

The project to merge the existing Eastside and Southside career and technical centers by renovating the building at 100 Midland Avenue has not been bid, so whether that estimate is enough to keep pace with market increases is unclear.

“Based on current trends in the construction industry, we are seeing an increase in construction costs,” said an agenda document for the May 9 school board planning meeting that detailed the estimated increases.

Specifically, board members will be asked to approve a revised project application.

The school district purchased the former Herald-Leader building for $7.5 million in 2020. The 162,405-square-feet building is expected to serve 1,000 students, the agenda document said.

Fayette County Schools has been awarded a $10 million grant approved by the Kentucky School Facilities Construction Commission Board for the career and technical center renovation contingent upon opening bids on that project no later than September 1, 2022.

On Thursday, district spokeswoman Lisa Deffendall explained that each proposed Kentucky school project goes through multiple reviews on several factors at the local and state level.

When a planned school is initially placed on the district’s facilities plan, the cost estimate is calculated using a per-square-foot cost from the Kentucky Department of Education, she said.

At each stage of the project, those costs are reviewed and revised to reflect the specifics of the design and other factors such as market trends, said Deffendall.

“In the case of the planned construction of a combined Career and Technical Education school on Midland Avenue, this is our second such revision, which is a reflection of the volatile construction market our nation and state are experiencing,” she said. “We are grateful for the $10 million grant from the state to help offset these price increases.”

She said the goal is to provide the Fayette County Board of Education with an accurate estimate of the true cost of construction, which will be determined by the bids received.

Under the current timeline — providing the board approves the revised application — the schedule is to bid the project this August and open bids prior to September 1.

“If the board votes to move forward with the project, we anticipate our students would have the benefit of the amazing opportunities this Career and Technical Education center will provide in the fall of 2024,” Deffendall said.

Estimated costs have risen on at least one other Fayette school building project in recent months.

In November 2021, after bids were received, a divided school board postponed indefinitely approval of a long awaited new middle school in Lexington on Polo Club Boulevard at Hamburg because construction costs on that project increased from $47.2 million to $70.5 million.