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Two Grass Valley contractors learned Friday they officially have the inside track on a $13 million Sierra College expansion project that could provide a huge economic stimulus to Nevada County’s strapped construction industry.
Grass Valley’s Tru-Line Builders and Sierra Foothills Construction Co., in concert with Clark & Sullivan construction out of Sacramento, were informed they were the college’s first choice for the project. They have about 30 days to demonstrate they can complete the project within budget.
If they can do that, the local contractors can start construction as early as June 15, which they said could lead to hundreds of local jobs through an estimated 70 to 80 local subcontractors.
The news came the same day as a state report that Nevada County’s unemployment rate climbed above 11 percent in March.
“The local team (Tru-Line and Sierra Foothills) has been selected to negotiate a guaranteed maximum price with Sierra College for this construction,” said college trustee Aaron Klein, who represents parts of Nevada County. “The college has two very good options (the local contractors and the runner-up from Redwood City), but we are negotiating first with the local team.”
Phase 2 of the college expansion project — part of a $47 million bond passed by Nevada County voters more than three years ago — includes a gymnasium, multipurpose facility, wellness center and upgrades to existing facilities. The recently completed first phase was done by out-of-area Turner Construction, with only a fraction of the estimated $20 million going to local subcontractors.
Klein estimated the local contract could mean as much as $30 million to the economy of western Nevada County, calculating the multiplier effect.
Economists have suggested that every dollar spent locally multiplies by at least four or five by the time it makes its way from consumer to merchant, merchant to employees, and so on.
Tru-Line’s Tim Brady agreed.
“We estimate that 90 percent of the $13 million or so will stay here,” he said. “We will employ well over 50 local subcontractors and hundreds of Nevada County employees. I think this is the largest stimulus to hit Nevada County in a long, long time.”
Nevada County Contractors Association Executive Director Barbara Bashall, who has been working behind the scenes to ensure more government construction money is spent locally, called the college decision a “huge win” for Nevada County.
“This will put back to work a lot contractors and employees who have been out of work this year,” said Bashall. “Aaron Klein has been a huge supporter of this local effort. He listened to what we had to say after we met with him a year ago, when Turner was given the first phase of the project with no effort to hire local subcontractors. We also appreciate the work college trustee Nancy Palmer did on our behalf.”
Under the three-way agreement, Clark & Sullivan — with expertise in school construction — will serve as project managers on both sides of Phase 2 of construction.
Tru-Line will build the gymnasium, multipurpose facility and wellness center, and Sierra Foothills Construction will do the renovation work.
Both local companies have completed several high-profile projects, including BriarPatch Community Co-op Market and Hospice of the Foothills. What they lacked was school construction experience, an area heavily regulated by the state.
They joined forces with Clark & Sullivan to satisfy the college’s desire to contract locally while still meeting California-mandated construction regulations.
“When we started working on this in February last year to bring more of these tax dollars home to our local economy, our first focus was just trying to get local laborers employed,” said Klein. “Then we were hoping a few subcontractors would get some of the work. But none of us dreamed at the time that we’d ever get local general contractors to handle the project.”
“There were 25 or so contractors who submitted initial qualifications, and then it came down to us and one other company,” said Sierra Foothills Construction’s Keoni Allen. “The other finalist is one of the largest construction companies in the state, so we feel very fortunate to have been selected.”
Brady agreed the project represents much more than the estimated $11 million in actual construction money that would stay in town.
“After 40 cents on each dollar goes to mortgagees, car payments and basic household needs, the rest rotates through local restaurants, barber shops and on through the community,” said Brady.
“Keoni and I have already agreed to split this up among as many local subcontractors as we can. We won’t use just one drywall or paint contractor, for example. We plan to spread it around,” he said.
Representatives from Tru-Line, Sierra Foothills Construction and Clark & Sullivan will meet Tuesday and begin crunching numbers.
“Now we need to scrub the plans and work collaboratively with the college team,” said Brady. “We hope that in four to six weeks we’ll get that done, be in contract and on the job.”
He also acknowledged college officials for “doing what they said they were going to do.”
To contact Editor/Publisher Jeff Acker-man, e-mail jackerman@theunion.com or call 477-4299.
Grass Valley’s Tru-Line Builders and Sierra Foothills Construction Co., in concert with Clark & Sullivan construction out of Sacramento, were informed they were the college’s first choice for the project. They have about 30 days to demonstrate they can complete the project within budget.
If they can do that, the local contractors can start construction as early as June 15, which they said could lead to hundreds of local jobs through an estimated 70 to 80 local subcontractors.
The news came the same day as a state report that Nevada County’s unemployment rate climbed above 11 percent in March.
“The local team (Tru-Line and Sierra Foothills) has been selected to negotiate a guaranteed maximum price with Sierra College for this construction,” said college trustee Aaron Klein, who represents parts of Nevada County. “The college has two very good options (the local contractors and the runner-up from Redwood City), but we are negotiating first with the local team.”
Phase 2 of the college expansion project — part of a $47 million bond passed by Nevada County voters more than three years ago — includes a gymnasium, multipurpose facility, wellness center and upgrades to existing facilities. The recently completed first phase was done by out-of-area Turner Construction, with only a fraction of the estimated $20 million going to local subcontractors.
Klein estimated the local contract could mean as much as $30 million to the economy of western Nevada County, calculating the multiplier effect.
Economists have suggested that every dollar spent locally multiplies by at least four or five by the time it makes its way from consumer to merchant, merchant to employees, and so on.
Tru-Line’s Tim Brady agreed.
“We estimate that 90 percent of the $13 million or so will stay here,” he said. “We will employ well over 50 local subcontractors and hundreds of Nevada County employees. I think this is the largest stimulus to hit Nevada County in a long, long time.”
Nevada County Contractors Association Executive Director Barbara Bashall, who has been working behind the scenes to ensure more government construction money is spent locally, called the college decision a “huge win” for Nevada County.
“This will put back to work a lot contractors and employees who have been out of work this year,” said Bashall. “Aaron Klein has been a huge supporter of this local effort. He listened to what we had to say after we met with him a year ago, when Turner was given the first phase of the project with no effort to hire local subcontractors. We also appreciate the work college trustee Nancy Palmer did on our behalf.”
Under the three-way agreement, Clark & Sullivan — with expertise in school construction — will serve as project managers on both sides of Phase 2 of construction.
Tru-Line will build the gymnasium, multipurpose facility and wellness center, and Sierra Foothills Construction will do the renovation work.
Both local companies have completed several high-profile projects, including BriarPatch Community Co-op Market and Hospice of the Foothills. What they lacked was school construction experience, an area heavily regulated by the state.
They joined forces with Clark & Sullivan to satisfy the college’s desire to contract locally while still meeting California-mandated construction regulations.
“When we started working on this in February last year to bring more of these tax dollars home to our local economy, our first focus was just trying to get local laborers employed,” said Klein. “Then we were hoping a few subcontractors would get some of the work. But none of us dreamed at the time that we’d ever get local general contractors to handle the project.”
“There were 25 or so contractors who submitted initial qualifications, and then it came down to us and one other company,” said Sierra Foothills Construction’s Keoni Allen. “The other finalist is one of the largest construction companies in the state, so we feel very fortunate to have been selected.”
Brady agreed the project represents much more than the estimated $11 million in actual construction money that would stay in town.
“After 40 cents on each dollar goes to mortgagees, car payments and basic household needs, the rest rotates through local restaurants, barber shops and on through the community,” said Brady.
“Keoni and I have already agreed to split this up among as many local subcontractors as we can. We won’t use just one drywall or paint contractor, for example. We plan to spread it around,” he said.
Representatives from Tru-Line, Sierra Foothills Construction and Clark & Sullivan will meet Tuesday and begin crunching numbers.
“Now we need to scrub the plans and work collaboratively with the college team,” said Brady. “We hope that in four to six weeks we’ll get that done, be in contract and on the job.”
He also acknowledged college officials for “doing what they said they were going to do.”
To contact Editor/Publisher Jeff Acker-man, e-mail jackerman@theunion.com or call 477-4299.
