On March 27, 2024, Associate Policy Director Brianna January submitted written testimony to the House Appropriations Committee in support of SB 556- Procurement – Construction Contingency Fund. As amended, this bill authorizes expenditure from the Construction Contingency Fund (CCF) to consider price adjustments for material price fluctuations of identified eligible project-specific materials.
While local government projects are not eligible for the CCF, school construction projects are, which counties help fund.
SB 556, by expanding eligible costs to include price adjustments for project materials, addresses a recent challenge for local education agencies and county governments pursuing school capital projects. During and following the COVID-19 pandemic, the country experienced significant supply chain issues, price fluctuations in materials and labor costs, and a volatile market, especially in construction.
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