Working with the architect (TSKP Studio) and professional project manager (Construction Solutions Group) as well as two independent cost estimators, the FHS Building Committee has anticipated and budgeted for escalation in total project cost.
The budget for the proposed new high school includes:
- An anticipated general cost escalation of 6.4% to bid date (approximately $5.8 million)
- Design and pricing contingency of 7% (approximately $6.4 million)
- Owner contingency of 5% (approximately $6.4 million)
This accounts for an approximately $18.6 million reserve for anticipated escalation and contingencies for unanticipated expenditures or cost increases.
While costs have been escalating at a higher rate recently for residential construction (particularly in materials), the professional project manager as well as the architect have stated on numerous occasions this spring that pricing for commercial and public construction remains competitive and is not seeing the same cost increases. Neither professional partner recommended changing the budget for the proposed new high school.