Essentials Magazine Essentials Summer 2014 | Page 9

SCHOOL CONSTRUCTION mation collected. What seems to have happened is that two and three years ago, school districts began to see a change in the economy and a change in atmosphere. They began once again to look at their physical needs, put their plans forward, obtained necessary funds and went to work. Upgrading existing buildings went first and went relatively quickly. After all, in many cases these “infrastructure” projects had been planned when it appeared that federal money might flow during the depths of the Recession. Though Congress never provided the funds, the plans remained viable and when other sources of money were found, the projects got underway. They did not take long and showed up as completed work in 2012. New buildings take longer to plan and to construct. As funds began to flow, these projects apparently also got underway — start dates given for new school projects indicate this — but completion came later, in 2013. These are among the major findings and conclusions to be drawn from School Planning & Management’s 19th Annual School Construction Report, covering activity completed in 2013 and expected to be completed or started in 2014 (see Table 1). To prepare this report, School Planning & Management received information on school construction completed and underway during 2013 and planned to start in 2014 from Market Data Retrieval (MDR), a company of Dun and Bradstreet (D&B). MDR contacts school districts throughout the United States seeking information on their construction plans. I take that project information and use it to estimate construction on a national and regional basis, and to report on how dollars are being spent on new schools. All of the figures published are “annual in nature.” That is, they do not accumulate ongoing construction, but rather compile information on what was completed or expected to be completed or started in a given calendar year. Other agencies report on the amount of activity that is taking place at a given time, no matter when it started or will be completed. My estimate is that the impact of school construction on the economy at any one time is close to $33 billion when construction underway is added to construction completed. The National Scene School districts in the United States spent almost $13.4 billion ($13,390,396,000) on construction projects completed during the 2013 calendar year. Almost $7.6 billion of that was spent on new schools, accounting for 56.6 percent of the construction dollars, a major turnaround from the year before. The balance was split between additions to existing buildings (accounting for $3.1 billion) and retrofit and modernization of existing structures which accounted for almost $2.8 billion. (See Table 2). Table 2 shows the national construction picture in 2013. It also shows how much school districts in each of 12 regions of the nation spent on construction and how they spent it. In 2013, school districts in six of the 12 regions spent continued on the next page Table 1 - School Construction in the U.S (000’s) 2013 Completed 2014 Projected to be Completed 2014 Projected to Start New Schools $7,573,436 $6,367,935 $5,227,601 Additions $3,059,338 $1,940,150 $2,532,031 Renovations $2,757,622 $1,714,819 $1,680,116 essentials | www.edmarket.org 9