From the U.S. Government Accountability Office, www.gao.gov Transcript for: K-12 School Building Construction and Renovation Needs Description: Jackie Nowicki is with the Watchdog Report to discuss GAO's review of K-12 school construction and renovation needs. Related GAO Work: GAO-20-494, K-12 Education: School Districts Frequently Identified Multiple Building Systems Needing Updates or Replacement Released: June 2020 [ Intro Music ] [Jackie Nowicki:] Buildings and facilities are an integral part of community life and a good portion of them really need some serious attention. [Holly Hobbs:] Hi and welcome to GAOs Watchdog Report, your source for news and information from the U.S. Government Accountability Office. I'm Holly Hobbs. School districts nationwide spend billions of dollars each year to construct and renovate K through 12 schools. However, a new report by GAO found that even with this spending, about half of public school districts need to update or replace multiple buildings or features in their communities. This issue could be worsened by the economic impacts of the coronavirus pandemic. And with me to talk about it is GAOs K-12 expert Jackie Nowicki, a Director in our Education, Workforce, and Income Security Team. Thank you for joining me, Jackie. [Jackie Nowicki:] My pleasure, Holly. Nice to be here. [Holly Hobbs:] So big picture, Jackie, what is the condition of our public school facilities? [Jackie Nowicki:] With 100,000 public schools across the nation, it's not surprising that we have to get a little creative to even try and answer that question. So what we did was survey school districts so that we could speak to conditions nationwide. And we also visited schools to see for ourselves. So we visited 55 schools across six states. What we found was that about half the school districts need to update or replace multiple building systems, so things like HVAC, roofing and plumbing, and that's coming from our nationwide survey. So more specifically we can say that about 36,000 schools need HVAC updates which, obviously, that's the system when it's not operating properly can affect things like indoor air quality and lead to exposure to nasty things like mold and asbestos and can even, you know, cause school to close or adjust their schedule. [Holly Hobbs:] So among those things you listed, is there one construction need that's a top priority for schools? [Jackie Nowicki:] Those that we mentioned were the most frequent mentioned in our survey. For example, we visited one school that had an original boiler from the 1920s to heat the building and, you know, that is obviously a pretty old system. It required a building engineer on-site whenever the boiler was in operation to monitor the pressure and make sure it didn't explode. So, a pretty big difference between something like that and some of the newer schools we visited where staff are monitoring systems electronically and are able to adjust them remotely were upgraded. [Holly Hobbs:] And where does the funding for school construction come from? [Jackie Nowicki:] Well historically, funding for public education, you know, including school facilities, is a local and state issue. There is really only a small federal role and a small amount of federal funding in there and our survey confirms that that's essentially still the case. So when we surveyed, we found that about half the districts are primarily relying on local government funding, so things like property taxes, to pay for school facility projects. And about 1/3 of school districts relied on state funding for those purposes. There were only about 1% of districts that primarily said they used federal funding to address school facility issues. [Holly Hobbs:] Do these funding sources create disparities in school construction projects? [Jackie Nowicki:] Well, poverty plays a role in the types of funding sources that districts have available to pay for construction and also in their total dollars that they have available to spend. So, high poverty districts more commonly relied on state funding and use property taxes less commonly than low poverty districts, but we also looked at federal data on total school district expenditures for construction. And when we did that, we found that expenditures were about $300 less per student in high poverty districts compared to low poverty districts. And I think that's significant, because there is about 1.5 million more students that attend school in high poverty districts. [ Music ] [Holly Hobbs:] So, it sounds like the burden for construction and renovations in schools is on the locality, which may not have the resources to maintain these facilities. So, Jackie, we know that the COVID-19 pandemic is putting a strain on state and local governments. How might the coronavirus impact school districts' ability to address these school construction needs? [Jackie Nowicki:] Well, we completed our data collection for this work prior to the COVID-19 pandemic. But one thing we do know, you know, that history tells us, and if we look at the recession from a decade ago, we know that many states reduced or eliminated funding for school facilities back then and also in some of the years that followed and that contributed to an increase in deferred maintenance, which can make repairs and replacements more costly in the long run when you're, you know, eventually able to get around to them. So while we can't say exactly how the pandemic will affect the situation, I think we can generally, you know, all agree that it certainly isn't going to make it any better. [Holly Hobbs:] Jackie, what's the bottom line of this report? [Jackie Nowicki:] Right. When you think about it, schools often serve as voting places, you know polling places. They serve as shelters if there is a, you know, for example a hurricane or a significant event in the community. But school districts nationwide, as we discussed, frequently identified a need to update or replace multiple building systems, and building systems that can affect the health and safety of kids that use those facilities regularly. So you have, you know, buildings and facilities are an integral part of community life and a good portion of them really need some serious attention. [Holly Hobbs:] Jackie Nowicki was talking about GAOs review of K-12 public school construction needs. Thank you for your time, Jackie. [Jackie Nowicki:] My pleasure. Thanks, Holly. [Holly Hobbs:] And thank you for listening to the Watchdog Report. To hear more podcasts, subscribe to us on Apple podcasts and make sure you leave a rating and review to let others know about the work we're doing. For more from the congressional watchdog, the U.S. Government Accountability Office, visit us at gao.gov. [ Music ]