August 3, 2017

Contractor with Financial Issues Forces Major Cost Overruns on San Diego USD’s Encanto Elementary Project

Unforeseen issues drove the cost to overhaul Encanto Elementary 30 percent over budget. The project’s contractor was facing financial problems at the same time of the cost increases; but the district is adamant that there’s no link between the company’s issues and the cost overruns.

In the end, the project cost the district more than $2.5 million over its original $8.6 million contract and finished more than a year past its scheduled completion date. That unforeseen 30 percent cost increase in the project is an extreme outlier among the district’s construction projects. But the contractor responsible for the project has another big job with the district at Crawford High, and that one is on the cusp of reaching its budget, too.

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