MCPS transfer of millions of dollars to be discussed at County Council Committee Meeting October 21 9:30 am

 Millions to be moved around. Staff memo here.

From the staff memo:

"Project Cost Increases MCPS is experiencing significant cost increases in projects due to ongoing impacts to the construction industry and the supply chain for materials related to the COVID-19 pandemic. These construction cost increases are not unique to MCPS and are being experienced across a wide range of industries. MCPS reports a construction cost increase of approximately 23 percent overall, evidenced in actual project bid experience. Specific industries are affected differently; for example, since January 2021 steel prices have increased approximately 40 percent and concrete approximately 30 percent. Supply chain delays also add to the cost volatility. "

FY22 Capital Budget and Amendments to the FY21-26 CIP - Transfer of Funds for the Charles W. Woodward High School Reopening Project and FY22 Supplemental Appropriations and Amendments to the FY 21-26 CIP Transfer of Funds - Capital Projects

Review: The E&C Committee will review an amendment to the Montgomery County Schools (MCPS) FY21-26 CIP current revitalizations and expansions project and a related transfer within the FY22 capital budget to the MCPS local unliquidated surplus account. The Council will also introduce a transfer of $4 million within the FY22 capital budget from the MCPS local unliquidated surplus account and a related amendment to the MCPS FY21-26 CIP Charles W. Woodward High School reopening project.

The transfer is needed for the current revitalizations and expansions project which includes three completed subprojects with surplus balances due to cost savings. These projects are at Seneca Valley High School, Tilden Middle School and Wheaton High School. Conversely, the Woodward High School reopening project is facing cost increases because the construction industry has experienced an unprecedented increase in material costs, disruption in supply chain and labor shortages. The unforeseen additional funding needed to complete the Woodward reopening project is $4 million, which includes opportunities for value engineering and a redesign of areas of the building.

In addition, the Committee will review an amendment to the MCPS FY21-26 CIP Dufief Elementary School addition and facility upgrade project and a related $33.9 million transfer within the FY22 Capital Budget to the MCPS local unliquidated surplus account.

The Council is tentatively scheduled to hold a public hearing on Oct. 26 and vote on these transfer requests and CIP amendments on Nov. 2, 2021.

Those expected to attend and provide information include Seth Adams, director, Department of Facilities Management, MCPS and Adrienne Karamihas, director, Division of Capital Planning and Real Estate, MCPS.

The Committee meeting schedule may change from time to time. The current Council and Committee agendas, Council staff reports and additional information on items scheduled for Council review can be viewed at: http://www.montgomerycountymd.gov/COUNCIL/ondemand/index.html.

The Council and committees are meeting via Zoom this fall because of ongoing construction and technology upgrades in the Council's Hearing Room and the inability to conduct meetings in a socially distant way in other areas of the Council Office Building with television broadcast capacity. Councilmembers will continue to hold meetings in their offices by appointment.

The virtual Council and committee meetings will be streamed live on the Council’s web page via YouTube and on Facebook Live and can be watched on County Cable Montgomery on Xfinity/RCN 6 HD 996/1056, Fios 30, and on the CCM live stream.