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Indian Valley Record Wednesday, June 22, 201 1 5A
at
Dr. Ron Taylor, Feather River College president and district superintendent, administers, the oath
.... of office to Pearl Burfeind,.student trustee for 2011-12. Photo by Mona Hill
FRC, from page 1A
overruns for the LRC project.
He told the board that in the
course of reviewing project
costs he discovered an
accounting error made in
November 2010.
At that time, the state
alerted the college that it
was releasing funds for the
construction project. When
the construction account was
credited with the disburse-
ment, there was an unex-
plained failure to adjust for
expenses already accrued
against those funds. The
resulting total gave the im-
pression that there was more
money than there really was
-- by about $308,000 --
Scoubes' best estimate as of
the morning of the board
meeting.
Stunned silence followed
that announcement as trustees
digested the information.
Board president Bill E11iott
asked if that could be
paid out of the contingency
set-aside.
Adding insult to injury,
Scoubes told the board
the contingency fund had
already been spent paying
for unanticipated soil analy-
sis and the required design
changes.
In the planning phases
of the construction project,
the college commissioned a
soils report to provide the
architect and engineer with
information needed to design
and construct the building's
foundation.
As it turned out, bedrock
was not where it was ex-
pected to be. Another soil
analysis by a different expert
was prepared and the project
re-engineered to accommo-
date new conditions.
Instead of the $276,000
budgeted for the original
softs analysis, the actual cost
was $402,700.
Re-engineering costs and
the resulting project delays,
as well as the inevitable
change orders customary in
any large construction pro-
ject, have brought cost over-
runs to about $307,000, with
work still to be completed.
Elliott asked, "How much
do we have to pay today?"
Scoubes could only provide
an estimate, which kept
growing as Facilities Direc-
tor Nick Boyd entered the
discussion to explain about
continuing work, anticipated
final costs and payment of
the remaining and customary
10 percent retention, $336,382.
As Scoubes became increas-
ingly silent, trustees turned
to Boyd and college president
Ron Taylor to explain.
A clearly irritated Leah
West, Area I trustee, asked,
"Where's the control? I mean,
November ... hello?" Scoubes
made no response.
Elliott asked if the district
had recourse with the origi-
nal soils engineer. Boyd had
discussed the matter with the
district's construction attor-
ney, whose response was that
the amount the engineer
would be liable for, $125,176
-- the difference between his
bid and the actual cost -- did
not make legal action cost
effective, even if the district
had a stronger case.
Elliott appeared astonished
and dismayed by the attor-
ney's position.
General fund reductions
(15 percent)
Operational savings:
Associate faculty reductions:
Management salary cut, 7.5 percent:
Management layoff; 1.5 managers:
Faculty salary cut, 7.5 percent:
Classified salary cut, 7.5 percent:
Classified layoffs, 5.23 FTE:
Student employment reduction:
Total reductions:
$604,241
$321,263
$113,234
$116,520
$162,372
$133,788
$29,2017
$50,000
$1,793,435
Trustees eventually tabled
the proposed allocation of
SRS funds.
After expected contractor
settlements and disburse-
ment of 2011 SRS funds, the
anticipated remaining bal-
ance as of June 30, 2012,
would be $3,772.
In a telephone conversa-
tion the following day, Taylor
estimated total overruns
to be in the neighborhood
of $900,000, money Area III
Trustee John Sheehan clearly
wanted to have available.
Sheehan commented later,
"There are dozens of other
capital improvements that
need to be made. Other things
that won't get done."
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