CHARLESTON, W.Va. — The state School Building Authority is putting the brakes for now on its annual meeting to fund school construction projects in the state because of the continued impact of high construction costs.
The authority decided Thursday to cancel its December quarterly meeting where those funding decisions are normally made.
According to SBA Chairman Brian Abraham, the authority wants to take a wait and see attitude after seeing the impact of inflation on building costs during the past several months.
“It’s the smart thing to do,” Abraham said. He added the meeting could be rescheduled at some point.
The problem with prices has been growing in recent months.
“We’ve got a lot of needs and very little ability to award those projects. Our finances are weak and we’re trying to increase that with whatever we can and with what we have right now,” then SBA Executive Director, now state School Superintendent David Roach told MetroNews back in February.
The situation hasn’t improved.
The SBA decided Thursday to add funds to previously approved construction projects in Roane and Summers counties because of bids that came in millions of dollars over budget.
The SBA approved $4.9 million in supplemental funding for Roane County and $3.6 million for Summers County. Both counties are building new middle schools.
Summers County was originally awarded $8.1 million by the SBA but the lowest bid received was for $10.5 million. Roane County received $13.9 million for its project from the SBA in 2021 but the lowest bid was $19.9 million.
The SBA approved the $4.9 million in additional funding for Roane County but it also has to put in another $1 million of county money, according to Roane County School Superintendent Richard Duncan.
“We’re not happy to have to put in our own funding again, we put in $1.5 million on the initial round for this project. So that brings our total to about $2.5 million which is quite a bit for a county our size but that’s where we are right now with construction costs,” Duncan said.
Duncan said he understands the SBA’s apprehension in awarding any new construction projects.
“My understanding is when they see these increased costs come in they’re putting the brakes on any additional projects,” Duncan said. “One, to try and keep them from these additional costs and two, to pay the ones already out there. We’re not the only project that’s out there right now.”
Meanwhile, Gov. Jim Justice will likely soon appoint a new executive director for the SBA with Roach’s selection as new state School Superintendent. Justice could also opt for an interim director.