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Gallup‑McKinley board approves five‑year facility master plan after consultants outline $740M rebuild option

September 07, 2024 | GALLUP-MCKINLEY CITY SCHOOLS, School Districts, New Mexico


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Gallup‑McKinley board approves five‑year facility master plan after consultants outline $740M rebuild option
The Gallup‑McKinley Public Schools Board of Education voted to accept a five‑year facility master plan after a lengthy presentation from district staff and consultants outlining two funding scenarios for rebuilding and repairing district schools.

Deputy Superintendent Jovanna Hanks introduced the consulting team from Capital AE, ThinkSmart Planning and Applied Economics, who presented enrollment projections, a facilities inventory and two financing scenarios. Applied Economics projected a modest district enrollment decline — roughly 3.5% over five years — and consultants recommended 'rightsizing' school capacities to better match projected enrollments to avoid spending on unneeded square footage.

The board heard two scenarios. Scenario 1 would rebuild 10 schools, construct teacher housing at four sites and complete system‑based grants and priority repairs; consultants estimated a total project value of just over $740,000,000 and — after assumed state matches — a district funding requirement of roughly $172,000,000 on a current‑cost basis. Consultants said Scenario 1 would require a funding waiver from state authorities (PSCOC/PSFA) to be achievable within a five‑year window.

Scenario 2 was prepared at the state’s request as an achievable alternative. It reduces scope (dropping some rebuilds and many priority 3–4 repairs), lowers total project value to just under $640,000,000 and shifts much of the work onto a 10‑year cash‑flow plan. Under Scenario 2 consultants projected the district would still need about $149,000,000 (not escalated) and multiple bond issuances — including a reported no‑tax‑increase GEO bond of $17,000,000 in 2025 and larger bond sales in later years — to remain solvent.

The presentation emphasized both the long backlog of needed work and the difficulty of securing timely state awards. Hanks told the board the district was "no longer at a match point" but at a "desperation point," citing years of delays in state allocations and a 2020 court ruling that had criticized the grant process. She urged the state to consider waivers that would enable the district to execute a more comprehensive rebuild plan.

Board members pressed staff on several points, including how auxiliary district facilities (central office, bus barn, Angelo DePaulo Stadium) are treated, how the plan accounts for continued degradation of buildings not included in the immediate scope, and how the district will guard against past "value engineering" that compromised long‑term performance. District staff said stadium work is outside state adequacy funding, that the five‑year plan is revisited as circumstances change, and that the district now flags value‑engineering proposals as a red flag in procurement.

After discussion, a motion to accept the facility master plan passed on a roll‑call vote; the transcript records affirmative votes by Mr. Mitchell, Miss Spinelli, Mr. Scholl and Mr. Morrison. The board indicated the approved master plan and a forthcoming board resolution would be used to pursue state funding, waivers where necessary, and any required bond authorizations.

Next steps identified in the presentation include individual project applications to the state for match funding, further refinement of the district’s cash‑flow and bond schedule if Scenario 2 is chosen, and continued tracking of eligibility lists that could add more replacement projects in subsequent years.

(Reporting note: direct quotes and numerical figures above reflect the meeting presentation and roll‑call as recorded in the public transcript.)

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