Bids for William Penn’s Cypress Street ninth-grade academy top estimates; board warned of $3M shortfall

KCBA Architects and district staff told the William Penn School District property committee on April 1 that bids for the Cypress Street ninth-grade academy returned significantly higher than the district’s third‑party estimate, producing roughly a $3 million shortfall in the current capital plan.

The architect leading the presentation, Ryan Orr of KCBA Architects, said contractors’ bids put total construction costs — before optional deduct alternates — at about $35.8 million, up from the estimated $32 million. After taking proposed deduct alternates, Orr said the bids come to roughly $35.5 million and the overall project budget has moved from just under $40 million to about $42.5 million. He outlined a phased construction schedule that would begin mid‑2025 and continue through August 2027.

Why it matters: the project is the largest construction item discussed at the meeting and the district has budgeted the project assuming a $7 million federal reimbursement grant. Dr. Bicos, a board member, cautioned the committee that the federal grant is reimbursable and not received up front, and said the district needs clearer accounting for the additional $3 million before committing to work.

Orr summarized the budget factors that contributed to the increase, saying material costs are up roughly 10 percent and that contractors cited potential tariffs and higher prevailing wages in Delaware County as reasons they added contingency into their bids. He also explained the district identified four separate construction contracts (general, mechanical/HVAC, electrical and plumbing) and two deduct alternates for general construction: replacing operable windows with stationary windows (estimated $200,000 savings) and substituting quartz tile for terrazzo in corridors (estimated $80,000 savings). Additional alternates for electrical and mechanical items reflect different manufacturers rather than scope changes.

Board members pressed for clarity on how the gap will be covered. "I am putting a word of caution before this board because this is an expense that we do not have money for in the sum of $3,000,000," Dr. Bicos said on the record. He asked for more verification on the HVAC system’s performance and a detailed breakdown of the FF&E (furnishings, fixtures and equipment) line he recalled being about $600,000. Property chair Jan Tong and project staff said they are working with the district capital accountant to locate and confirm the capital dollars before any formal vote.

KCBA also explained that the district is retaining a $1.6 million construction contingency and roughly $780,000 in allowances; those sums would be returned to the district if unused. The timeline Orr presented shows primary construction on the addition from June 2025 to June 2026, substantial interior renovation across 2026–27 and school readiness by the 2027–28 school year.

The committee did not take formal action on the project at the April 1 meeting; staff said they expect to bring an award recommendation later in April after final bid evaluations and internal accounting.