Building Acquisition Question and Answer
George County School District
Building Acquisition Q & A
May 12, 2022
1. Decision to purchase an administrative building.
Conversations regarding the purchase of a new administrative building for the District have been ongoing for several years. As early as 2014, an appraisal was approved by the Board for evaluation of other certain real property for possible purchase and use as a new district office. This appraisal was approved after discussions regarding the current district office having limited space, limited opportunities for expansion, and no longer meeting the needs of the District. Since that time, the Board has evaluated the Save-a-Lot building, the old furniture building on Hwy 198, the old factory building, the old Mississippi Power building, and the building at 444 Cowart Street, among others.
On March 1, 2022, the Board went into executive session to discuss the potential acquisition of a new building in accordance with Miss. Code § 25-41-7. On March 7, 2022, the Board had a special called public board meeting and work session to discuss purchase of said property.
In choosing to move forward with the purchase of the building at 444 Cowart Street, the Board took into consideration all factors, including but not limited to location, size, and cost. The building is centrally located within the city limits of Lucedale with adequate parking and access to city water and sewer. The gross building area is 12,458 square feet. The building can be divided into separate sections for designated utilization as a typical business setting, including offices, conference rooms, reception area, storage rooms, restrooms, and waiting area. The building is new construction built in conformity to all local, state, and federal codes and regulations.
In accordance with Miss. Code § 37-7-301, the Board is prohibited from purchasing any building for an amount exceeding the fair market value as determined by the average of at least two independent appraisals by certified general appraisers licensed by the State of Mississippi. The Board obtained two independent appraisals from Dennis W. Moffett and Seaman & Associates. The average appraisal price was $1,379,000.00.
On April 12, 2022, the Board held a regularly scheduled public meeting. The purchase of said property was on the agenda, was thoroughly discussed, and was unanimously approved at that time. (All board meetings are and were properly posted in accordance with Miss. Code § 25-41-13.) The contract to purchase the building at 444 Cowart Street for $1,275,000.00 was signed after approval by the Board on April 12, 2022. The closing occurred on April 27, 2022.
The administrative building will house the following departments: Special Education, Curriculum, Business, Payroll, Human Resources, Testing, Superintendent, Operations, Work Force Development, Federal Programs, and School District Chief of Police, along with a portion designated for central receiving.
2. Funds used to purchase building.
The property on Cowart Street was purchased by the District with existing millage currently levied as a limited tax note. The “revolving” note is renewed periodically. The use of the proceeds from the note are limited for use towards building/facilities and transportation, only.
Limited tax note funds cannot be used to rent, lease, or renovate property which the District does not own.
3. Completion of the building interior.
State law requires any construction over $100,000 to be facilitated by an architect. In accordance with Miss. Code § 37-1-13, the construction of the building interior will go through a bid process and be awarded to the lowest and best bidder. The architectural firm handling the bid process for the District is JBHM out of Jackson, MS. The submission and bid process is currently underway. The sealed bids have not yet been opened; therefore no costs have been disclosed by JBHM to the District.
The interior construction will be paid with the proceeds from the same limited tax note used to purchase the building. There will be no tax increase associated with the purchase or completion of the administrative building.
4. New construction on 16th section land or renovation of current building?
The District did their due diligence in making the decision to purchase an already existing newly constructed building. Constructing a new building on 16th section land was studied and examined. The architectural estimate obtained by the District provided the construction cost of a new 12,000 square foot building, equivalent to the building at 444 Cowart Street, averaged approximately $250 to $300 per square foot, or $3.0 to $3.6 million. This estimate was quoted for a turn-key project that included the shell and interior build-out only. This estimate did not include parking and utility (sewer, water, fiber) that are already included in the cost of the building at 444 Cowart Street.
The architectural estimate for renovating the current office building, which is not owned by the George County School District, was estimated to be $170 per square foot. The building is approximately 6,700 square feet, which would cost approximately $1.2 million, and still not provide adequate spacing. In addition, the District is not allowed to spend funds on property which it does not own.
The same limited tax note funds would have been utilized to purchase or build any other administrative building. However, the District cannot use these funds to renovate a building it does not own.
5. Facilities improvement plan is included in the Five Year Strategic Plan.
The
Five-Year Strategic Plan dated February 8, 2022 includes five (5) goals of the District:
(1) Academics- George County Schools will be an academic powerhouse ranking in the top 10 of all school districts in Mississippi;
(2) Safety- George County Schools will provide a safe and secure environment for all district students, staff, and visitors; (3)
Career and Technical Education- George County Schools will provide diversified programs which prepare and qualify students for college/career in today’s competitive job market; (4)
Infrastructure- George County Schools will create connections across campuses to foster relationships, provide equal access to resources and information, and to explore curricular approaches that lead to consistent student learning outcomes; and (5)
Facilities- George County Schools will provide facilities that meet the needs of our students and staff. The purchase of the new administrative building falls within the facilities upgrade portion of the
Five-Year Strategic Plan.
6. Other projects throughout the District.
In addition to the purchase of a new administrative building, there have been a number of other improvements throughout the District.
In November 2021, the District had all roofs inspected by a professional roofing contractor. Any and all damages that were noted at that time were repaired. All roofs in the District have now been certified by our insurance carrier.
The technology infrastructure throughout the District has been and continues to be updated on a regular basis. The Elementary and Secondary Emergency Relief program, as well as Federal Emergency Connectivity funds, have allowed for a new computer for every student and teacher in the District.
After receiving the results of a recent demographic study initiated by the District, the District is in the process of making renovations and additions at the identified schools. This is being done in phases. Phase I is the addition of four (4) classrooms at Central Elementary and a new cafeteria expansion at Rocky Creek Elementary. The ground breaking of these two upgrades is set to begin in August 2022. Phase I also includes the installation of new HVAC systems at several of our schools in the District. Phase II construction projects are expected to begin in the summer of 2023. Phase II will include upgrades at George County High School and Agricola Elementary. Additional upgrades will be determined and released at a later date.
Additional facilities upgrades and expansions which have recently been completed include, but are not limited to, the following: replacement of all outdoor lighting at Benndale Elementary, replacement of all lighting at GCHS athletic fields, renovation of restrooms at GCHS football stadium, renovation of GCHS football field house, installation of touch-less restroom facilities at all campuses, renovation of George County Middle School (GCMS) classrooms and band hall, refinishing of gym floors at GCHS gym, replacement of awning at Agricola Elementary, replacement of bricks and mortar to repair potential foundational issues at Rocky Creek Elementary, replacement of HVAC units at GCHS cafeteria, installation of touch screen TVs at all campuses, renovation of building at LC Hatcher Elementary for professional development, renovation of building at GCMS for professional development, upgrade of fire alarm systems at Agricola, Central, Benndale, and LC Hatcher, installation of touch-less water fountains at all campuses, replacement of awning at GCMS, replacement of backstop at GCMS softball practice field, improvement of parking lots and driveways for drainage purposes at LT Taylor Intermediate and Central Elementary, purchase of new science lab tables for all campuses, installation of new security camera system at GCMS (with plans to update at all campuses), and purchase of eight (8) new school buses in the past tow (2) years.
7. More on transportation.
Transportation is on a fleet management schedule to purchase three buses a year. However, the District applied for and received a grant to help offset the cost of purchasing buses in 2022. With the grant received, the District will be purchasing six new buses this year. The limited tax note will also continue to maintain the school district bus fleet.
