Even though more than $6 billion had already been allocated, the state’s Department of Education has issued a report estimating that it will cost another $12.8 billion to complete the court-mandated construction and rehabilitation of the state’s public schools.
On Dec. 19, the State Supreme Court declined to order an immediate infusion of cash for school construction, but required the Department of Education to supply an estimate of how much it will cost to complete the remaining 313 school projects in the state. That sobering report was made public on Feb. 15.
Also, on Feb. 7, new Gov. Jon Corzine said that he is committed to school construction, but this time around it’s going to be much better planned than last time.
Corzine has set up a special committee to review Schools Construction Corporation operations and develop a new process to ensure that the educational priorities identified in the Abbott Supreme Court decisions are realized. He also directed that the plan for construction projects should be limited to those facilities that can reasonably be accommodated over a five-year period.
Update on Union City’s projects
Out of the original nine projects first outlined by Union City, one has been completed and two are well under way. In September of 2004, the new Jose Marti Middle School was officially opened, and gave the community a first glance of the facilities to come. Also under construction are the new Early Childhood Center and the High School Demonstration Project over the former Roosevelt Stadium site, which will now encompass the students of both Union Hill and Emerson high schools.
Then, after tallying up what remained of the original funds, the SCC released a list of the remaining projects they would be able to complete.
“In July [2005] the SCC came out with the final list, and we had two projects that made it on,” said Anthony Dragona, business administrator for the Union City Board of Education. “They were the athletic field project at Jose Marti Middle School and the new Columbus School on 15th street and Palisade Avenue. It is my understanding that they have acquired all the property needed for Columbus school, including the controversial 1501 Palisade Ave.”
Then the Dec. 19 court order required the state’s Abbott “special needs” communities – of which Union City is one – to file updated construction plans with the state.
Union City has submitted construction plans for four additional projects, which include the new Magnet School on 6th Street and Kennedy Boulevard, which is about 90% complete in construction design and 100% complete in land acquisition; the same can be said for the construction of the new Gilmore School.
“We always tried to be sensitive with the land acquisition proposals,” said Dragona. “All the land is acquired for Gilmore School and the Magnet School, which was a much larger land acquisition and was to be our Renaissance Project.”
The SCC Renaissance Projects were designated for areas considered to be blighted, where new construction would attract neighbors and property investors.
The other two projects hoping to make the cut are the renovation of Jefferson School, which is still almost complete with their design and land acquisition, and the new Uptown Middle School, which would take the place of the 45th Street Parking Garage behind Bergenline Avenue.
The new middle school, which will include a replacement garage, is also about 90% complete in its design phase and acquiring the four pieces of property necessary for the project.
“Three out of four of our projects are 90% designed and almost done with land acquisition,” said Dragona. “We feel that we are positioned very well, so that when the funding is available we will be able to push these projects ahead.”
According to the N.J. Department of Education annual reports, the Uptown Middle School would cost $88.7 million in 2006, $134.7 million if the projected was held for five years, and $209.7 million if held for ten years. Gilmore School would be $73.6 million in 2006, $107.7 million in five years, and $159.9 million in ten years. Jefferson School would be $63.2 million in 2006, $93.5 million in five years, and $140.9 million in ten years. The Magnet School would be $110.2 million in 2006, $173 million in five years, and $279.2 million in ten years.
Grossly under-budgeted
According the report, the original cost estimates made in 2000 by Educational Facilities Construction and Financing Act were far detached from real costs.
When that law was approved, the construction estimates were already too low because they were based on 1997 per-square-foot costs, said the report. Also, the estimates did not include costs for land acquisition and remediation, demolition, the relocation of homeowners, historic preservation, temporary classrooms, and other matters.
Then, the projects that were started were poorly managed, which led to major cost overruns. In February, the Newark Star-Ledger published a damning exposé showing that schools being built in the suburbs were costing 45 percent less, on average, than those in districts where the SCC oversaw construction.
Several Republican lawmakers suggested that Corzine appoint a special prosecutor to investigate evidence of criminal mismanagement, waste, and fraud in the schools program.
Tough decisions
There are also serious budgetary questions that have to be solved by the state legislature. The state is facing a multibillion-dollar budget gap, a bankrupt transportation fund, and a severely under-funded pension system. Finding another $12.8 billion over the next several years is not a simple task.
Several Republican lawmakers have even suggested that the Abbott vs. Burke decision should be challenged in court.
For now, according a recent Star Ledger Story, Corzine is reviewing the report while waiting for his committee to make recommendations for reform. But there is no question that this is one of the most difficult quandaries facing Corzine and the entire state legislature over the coming years.