Once healthy PECO going broke; projects being stalled, abandoned 

Frank Brogan

Education officials are charged with meeting the needs of a projected 30,000 new students in K-12 next fall and Florida colleges and universities also are growing. And because PECO is out of money, the governor has asked the Department of Education, the Florida College System and the State University System to identify an additional $250 million worth of authorized projects that can be delayed. State University System Chancellor Frank Brogan warned the Florida Board of Governors, which is the governing body for the State University System of Florida, "We're probably never going to get back to where we were."

Gov. Rick Scott has asked that education officials have their recommendations to him by Feb. 7 on which projects already under way or about to begin can be put on the back burner. While education officials admit they have some money in reserves, the law requires them to keep a 5 percent minimum on hand. Money over that amount can be used for salaries and multi-year contracts. The amount in reserves also can have a positive impact on the schools' bond ratings. Some of the projects could in the future lend themselves to public-private partnerships as student populations continue to increase. 

Conference of Mayors honors P3s of cities, private companies

Ohio mulls public-private partners

 (To view these stories, click here and look under "Around the Nation.")

Legislation aimed at prison facilities may have far-reaching effects in other agencies

Two bills submitted to the Florida Senate's Rules Committee that would allow what some are calling secret privatization or outsourcing of state agency functions are awaiting the next step of their legislative journey. Passage of SB 2036 would mean that an agency would not have to report its privatization of a program or service until after a contract is signed. The bill caption reads:

Outsourcing or Privatization of Agency Functions; Providing that certain information relating to the outsourcing or privatization of an agency function that is expressly required by law is not required to be included in the agency's legislative budget request until after the contract for such functions is executed; providing that procurements for outsourcing or privatizing agency functions that are expressly required by law are exempt from the requirement that they be evaluated for feasibility, cost-effectiveness, and efficiency, etc.

Another similar bill, SB 2038, relates to the privatization of correctional facilities. Although there is some question about the lack of government transparency the bills might create, they also provide that there must a substantial savings to the state before a privatization can occur.

The bills are aimed at turning around a judge's order after a plan to privatize prisons in South Florida that officials said would save the state up to $40 million per year. A circuit judge ruled that the state's plan was unconstitutional because it was passed through the budget and not as separate legislation. The decision is under appeal. But opponents of the bills fear that the bills could impact every state agency.

Upcoming education opportunities

Alamogordo bond vote would result in $20 million in construction projects

George Straface

A successful Feb. 7 bond election in the Alamogordo (New Mexico) Public Schools balloting would lead to $20 million in construction projects at various schools in the district. Among the projects planned are paying for design plans for a new elementary school, with $4.2 million of the bond proceeds going to match state funds for construction of the school. Superintendent Dr. George Straface said the district made a land swap with the city for the site for the new school. He said the school will have classrooms for 250 students. "That core facility is also for things like a gym, media center, offices, parking areas, a playground and classrooms for 250 students," he said. The bonds would also be used for renovation projects at Oregon, Yucca and Sierra elementary schools over the next four years. Some of the funding also would be used for plumbing, HVAC and other upgrades, said the superintendent.

Oklahoma bond would build cafeteria that will also serve as shelter

When Ringling, Oklahoma, voters go to the polls next month, they will be deciding the fate not only of school campus improvements, but also a project that will provide a safe haven for the community in the event of disasters. The $1 million bond vote would pay for a new school cafeteria that would also serve as the city's first storm shelter. If approved, the shelter would be completed in less than two years and will be big enough to house 600 people. Passage of the Feb. 14 ballot proposition would result in a slight tax increase to residents.

Louisiana school rejects bids; will rework major renovation plans

A proposed $11 million renovation project for Prairieville Middle School in the Ascension Parish in Louisiana has been put on hold and will be retooled. The changes are due to all five bids for the project coming in well over the estimated costs. Officials rejected all five bids. The lowest bidder's offer alone was $4 million over budget. Officials will now work to break down the project and perhaps plan the renovations in phases, putting the project out for bids again in about a month. The renovations include a new cafeteria, kitchen and office area, a new classroom building and demolition work for an old classroom building.

Palo Alto High School approves $24.4 million performing arts center

Melissa Caswell

The board of the Palo Alto, California, schools have approved going forward with a $24.4 million project that will result in a new state-of-the-art performing arts center at the Palo Alto High School. Construction could start as early as the summer of 2013. This newly approved project is one of several new buildings planned for the campus. This one, board members feel, will be large enough to serve students for the next 50-100 years. While some argued for a smaller facility - this one will seat 600 - board members were looking to the future and to student growth. "We probably won't have another opportunity to do something like this for 50 to 100 years. So if we have a substantially larger student body, this is the facility we're going to have," said board member Melissa Baten Caswell. The 26,000-square-foot building is expected to be completed in 2015 and will include an orchestra pit and trap room, full fly loft, green rooms with adjacent toilet and dressing rooms, control room and tech equipment support rooms. It also will include a lobby, ticket sales area, concession and display area and a performing arts classroom and office.

 

State says it can't afford capital plan presented by University of Nebraska officials

The University of Nebraska could be ripe for a public-private partnership offer after Gov. Dave Heineman recently said the state cannot afford to help pay for the university's proposed $441 million capital initiative it recently announced. Among the proposed capital projects are a cancer research center in Omaha, a nursing facility and veterinary diagnostic center in Lincoln and a health training facility in Kearney. Heineman has already pledged tax relief to Nebraskans and said the timing for the university's proposal is not right. However, UN President J.B. Milliken said he believes the state can support the capital plan with a one-time investment. Milliken said the state would be asked for a $91 million initial investment and another $50 million later. Private donations and other sources would account for at least $300 million for the cancer center at the University of Nebraska Medical Center in Omaha. He also noted that the university has an obligation to address critical research, education and health care issues in the state. He said the capital plan addresses those needs while also generating jobs.

 

Corpus Christi planning new $3.5 million magnet school

The Corpus Christi, Texas, Independent School District is planning construction of a $3.5 million magnet school which could be under construction by this spring. The new school will be on the site of the former Adult Learning Center, which was demolished last year. The school will be built with some of the school district's nearly $21 million in savings realized from its successful 2008 bond program. Officials are hopeful the school will be ready to open by fall 2013.

 

Ohio State arts education program benefits from $6 million donation

Arts education at Ohio State University got a $6 million boost recently from a pledge from a former music industry executive. Lawrence "Larry" Barnett, who also was an agent for famous big-band and Hollywood stars, made the pledge. It will be used to create a center to integrate business teaching into the arts curriculum and to renovate Sullivant Hall, which will reopen next year with new gallery spaces, a performance area and theater. The College of Arts and Sciences has already received $1 million of the gift. The remaining $5 million will come in $1 million increments over five years. The new multidisciplinary center will be named the Lawrence and Isabel Barnett Center for the Integrated Arts. 

 

Cuomo's directive also directs 75 percent of funds to be used for services

New York Gov. Andrew Cuomo has signed an executive order restricting the amount of state funds that a private contractor can use to pay its executives. The order is the result of scrutiny of organizations that contract with the state to provide Medicaid-financed services to the developmentally disabled. In his order, the governor noted that some service providers in the past have used state funds or payments to pay "excessive administrative costs" and "outsized compensation" for some of these senior executives instead of spending more of those funds to provide "direct care or services to their clients."

As a result of the order, several agency commissioners will oversee the salary caps, which are set at the federal standard of $199,700. The order also says that 75 percent of state funds must be used for services instead of administrative costs, with that share increasing to at least 85 percent by 2015.

$400 million federal courthouse approved for Los Angeles

Antonio Villaraigosa

Los Angeles officials are heralding the announcement that a long-stalled new federal courthouse in the downtown area has been cleared for takeoff. The $400 million project has been planned for more than 10 years and will replace an aging facility officials say has both security and asbestos problems. Mayor Antonio Villaraigosa said the project would improve public safety, revitalize the Civic Center and create thousands construction jobs in the city. Martha Johnson, head of the U.S. General Services Administration, said the agency plans to award a contract to construct the courthouse, with construction likely to begin during the last quarter of this year. Officials are hoping for a move-in date of no later than March 2016. The original design for the facility came with a too-high price tag and officials scaled back the design. The original design called for 54 courtrooms. The current design includes a 600,000-square-foot facility with 24 courtrooms and 32 judges' chambers. There is talk about possibly renovating the current courthouse to be used for executive branch agencies that currently are housed in leased space, or perhaps selling the building. 
 

Farmington officials identify 26 capital improvement projects, funding

Farmington, New Mexico, city officials have identified 26 capital improvement projects that are a priority for the city. They also have identified two sources of funding for the projects. They have decided that either the current city-held bonds should be extended for the next 10 years or use the city's 408 or "Rainy Day" fund. That fund has a current balance of $3.6 million that the city has been adding to over the years. City officials recently voted to spend $2.6 million of the Rainy Day fund on smaller capital improvement projects such as roof repairs, fiber optic projects and replacing a fire station. If the bond extension were to be approved, it will raise $10 million in cash needed for a new animal shelter, remodeling the civic center, replacing Fire Station No. 1 and building the Lakewood Detention Pond. 
 

Minnesota governor releases list of proposed public works projects 

Mark Dayton

"The contractors and sub-contractors are almost all private sector companies. They employ workers in the private sector," Dayton said. Most of the funding proposed for higher education is for upkeep of current facilities, and those projects dominate the list. The University of Minnesota would get $107 million under the governor's plan, with the Minnesota State Colleges and Universities System to get $112 million. Some of the other projects include upgrades at the Minnesota Security Hospital in St. Peter, a new St. Paul Saints baseball stadium and civic center expansion in Mankato, Rochester and St. Cloud. Saying his bill will upgrade college facilities throughout the state, expand regional civic center and add light rail to the transit system, Minnesota Gov. Mark Dayton has released his list of proposed public works construction projects. The bill calls for $775 million in bonding, which he says can be leveraged to $1.5 billion and will create more than 21,000 jobs, most of which will be in the private sector.

  

Variety of contracting opportunities available in El Paso area

There are a number of contracting opportunities currently available in the El Paso area. They include:

• The Department of the Army is requesting proposals for grounds maintenance and pest control services at Fort Bliss Industry Day/site visit. MICC-Fort Bliss;
• Socorro Independent School District is requesting bids for miscellaneous reprographic services;
• El Paso Independent School District is requesting bids for warehouse furniture;
• El Paso Independent School District is requesting bids for the construction of gym bleacher modifications for Bowie, Burgess and Franklin high schools;
• Workforce Solutions Upper Rio Grande is requesting bids for computer information system and maintenance services;
• The Ysleta Independent School District is requesting bids for energy management system; and
• The El Paso Independent School District is requesting bids for construction of Irvin High School attendance office relocation.

County in Georgia offers local-preference provision for businesses

A local-preference provision that went into effect this year gives local businesses in Cobb County, Georgia, a leg up in procurement activities by the county. Called "Keep It in Cobb," this initiative gives five extra points to local companies in the bidding and evaluation system for contracts of $50,000 to $100,000. Contracts larger than $100,000 will receive an additional three points for local companies. The system is in place only for professional services since county code requires product purchases to be awarded to the lowest responsible bidder.

 

Contracting opportunities available in New Mexico

Several contracting opportunities are available in New Mexico. They include:

• The Department of the Air Force, Air Combat Command, Holloman AFB, is requesting bids for records storage upgrade, total small business set aside;
• The city of Alamogordo is requesting bids for the purchase of internally illuminated street name signs; and
• Dona Ana County is requesting bids for a 4,000-gallon water truck for the Dona Ana County Fleet Department. 

Want to know who your competition is? Who was awarded the contract on a particular project? Below are listed some recent winners of major government contracts:

• Wagner Construction has been awarded a $2.2 million contract to renovate the emergency and surgery areas of the Mitchell County Regional Health Center in Osage, Iowa.
• Pierce Manufacturing Inc. was awarded a $7,092,251 federal contract by the U.S. Defense Logistics Agency Troop Support, Philadelphia, for fire fighting vehicle pumpers.
• Pomp's Tire Service Inc., won a $1,488,730.90 federal contract from the U.S. Army's Defense Logistics Agency Detachment, Warren, Mich., for vehicular brake, steering, axle, wheel and track components.
• M.T. Davidson Co. won a $135,000 federal contract from the U.S. Naval Supply Systems Command, Mechanicsburg, Pa., for the repair of centrifugal pump units.
• Didion Inc. won a $2,882,600 federal contract from the U.S. Department of Agriculture's Farm Service Agency, Kansas City, Mo., for subsistence items for U.S. Food Aid programs.
• Holt Dental Supply Inc., Waukesha, Wis., won a $250,000 federal contract from the U.S. Department of Veterans Affairs' National Acquisition Center, Hines, Ill., for dental equipment and supplies.
• Terra Costa Consulting and JC Baldwin were approved for a $2.2 million contract for construction of the seawalls at Pismo Beach in California.
• Mortenson Construction has been awarded a contract for the $75 million renovation of a stadium on the Kansas State University campus to include improvements such as a new dining hall, a shop, upgraded media faciliities and new premium seating areas.
• Brayman Construction Corp. has been awarded a contract for $81,266,742.05 by the Ohio Department of Transportation for the Ironton-Russell Bridge Replacement project.
• Athens Services has been awarded a one-year contract in the amount of $292,000 by the City of Lake Forest, California, for street sweeping.

Walter Dansby (top left), a career educator who began his career in the Fort Worth (Texas) ISD in 1974 as a classroom teacher and coach, has been chosen as the lone finalist for the school district's superintendent, replacing former Superintendent Melody Johnson, who resigned. Roelof van Ark (top center), who was to lead California's goal of building the nation's first high-speed rail as head of the California High-Speed Rail Authority, has announced he will resign in two months and board chair Thomas Umberg has announced he will remain on the board, but no longer be chairman. Patrick Dobard (top right), former deputy director of governmental affairs in the Louisiana Department of Education, has been named Recovery School District Superintendent, replacing John White, who was recently named the state's superintendent of education. H. David Kotz, inspector general of the Securities and Exchange Commission, will leave the commission at the end of this month to join a private investigations firm. Paul Malone, city manager in San Marcos, California, for more than 30 years, has announced that he will retire in April. Vivek Kundra, who was tapped by President Barack Obama in March 2009 to serve as the first federal chief information officer but stepped down last summer to take a fellowship at Harvard University, has been hired as executive vice president of emerging markets for an enterprise cloud computing company. Dr. John Warner (middle right), who has been instrumental in the design and planning of the new University Hospital under construction in Dallas, has been chosen to serve as chief executive officer for UT Southwestern Hospitals, effective Feb. 1. Alex McIntyre (middle center), city manager of Lake Oswego, Oregon, will leave that position March 5 to become city manager of Menlo Park, replacing Glen Rojas. Karen Peetz (middle left), CEO of Financial Markets and Treasury Services, Bank of New York Mellon, business and industry trustee for the Penn State University Board of Trustees since July 2010, has been named board chair. Jeffrey Zients, Office of Management and Budget's deputy director for management, has been named by President Obama as budget chief, replacing Jack Lew, who was named White House chief of staff. Montana's top elections and ethics official, Commissioner of Political Practices Dave Gallik, has resigned. Ken Detzner, who served as Florida Secretary of State in 2003, has been chosen by Gov. Rick Scott to fill that position again, replacing Kurt Browning, who has announced he will be leaving the post at the end of the month. National Hurricane Center Director Bill Read (bottom left), who has held that position since 2008, has announced his retirement, effective June 1. Kate Torrey (bottom center), who joined the University of North Carolina Press as editor in chief in 1989 and became director in 1992, has announced she will retire this summer. Scott Poster (bottom right), deputy chief for the Los Angeles County Fire Department with more than 30 years of firefighting experience, has been named chief of the Newport Beach, California, Fire Department, effective Feb. 6. Union County Public Schools in Morganville, Kentucky, has named Patricia Sheffer as its superintendent of schools, replacing Josh Powell, who resigned to become superintendent of the Montgomery County school district in eastern Kentucky. Dr. Richard Tubbs, chief executive officer at McCook Community College in Nebraska, who planned to retire in June, has announced instead that he will be leaving Feb. 3. Dave Bowen, a 20-year veteran police officer who has served as patrol supervisor, training sergeant, support services supervisor and then supervised the Detective Bureau, has been named the new Great Falls (Montana) police chief. Caesar Rodney School District in Delaware has moved David Perrington, director of human resources, to the position of assistant superintendent, replacing Lou Ann Carlson, who is retiring.