FLUSH WITH BOND MONEY, SCHOOL DISTRICTS ENTERING ALREADY TIGHT SILICON VALLEY CONSTRUCTION MARKET
June 21, 2000

Toeniskoetter & Breeding Providing Multiple Prime Plan

SAN JOSE -- Toeniskoetter & Breeding, Inc. (TBI) Construction has begun a two-year program to remodel eight elementary schools in the Santa Clara Unified School District. The project follows completion by TBI Construction of remodeling, seismic strengthening and additions to the historical Hoover School in the San Jose Unified School District, which is planning to build an entirely new Horace Mann elementary school in downtown San Jose.

After many years of postponed maintenance, many public school districts are flush with bond funds and ready to remodel, renovate and start-from-scratch on a variety of educational facilities.

At least a dozen school districts in Santa Clara County have either just finished buildings projects, have projects underway or expect to soon begin building. Community colleges and universities also have building programs underway.

"The community is providing bond funds for school construction at a time when districts are forced to compete for contractors and construction workers," notes Chuck Toeniskoetter, president of Toeniskoetter & Breeding, Inc. (TBI) Construction. "In such a tight market, schools must proceed cautiously to assure the quality of work."

School districts with construction projects under way include:

Lakeside Elementary
Los Altos Elementary
Mountain View Elementary
Los Gatos-Saratoga High School
Fremont Union High School
Morgan Hill Unified
Mount Pleasant Elementary
Campbell Union School District and the Luther Burbank School have completed construction. The Saratoga Union School District is considering a building program. Evergreen Community College and Santa Clara University have building programs under way.

TBI Construction will remodel the eight schools in Santa Clara during the 2 ½ months of summer vacation this year and next. TBI Project Manager Jim Lettire said much of the initial work will be focused on utilities and other infrastructure, including the installation of underground power, sewer and water lines, with classroom improvements scheduled for the summer of 2001. The schools are Haman, George Mayne, Briarwood, Bracher, Millikin, Westwood, Pomeroy and Bowers.

One of the ways Toeniskoetter and Breeding helps assure quality in a tight construction market is use of a Multiple Prime Construction Management Program.

Toeniskoetter & Breeding recently managed construction of the James F. Boccardo Business Education Center at San Jose State University using a modified version of the Multiple Prime program. The company has used Multiple Prime programs to build a new administration building for the Santa Cruz Unified School District and for the work at Hoover School, and it is using it in the Santa Clara Unified School District.

Under Multiple Prime Construction Management, TBI Construction serves as construction manager, and, acting as the owner's agent, has the authority to represent its client in contractual agreements with one of several trade-specific contractors such as plumbing, electrical and mechanical. In this relationship, the construction manager acts essentially as the general contractor with a similar level of control over the trade contractor as there would be in a general contractor/subcontractor relationship.

In addition to these contractual relationships and within the same project, the public agency may enter into a prime contract with a general contractor. This general contractor may be asked to bid on several components of the project and work with the trade contractors being coordinated by the construction manager, which was the case with the Boccardo Business Education Center.

A major benefit of the Multiple Prime Construction Management system is that it allows the construction manager to take an active role at the time a design team is selected. TBI Construction works with the public institution and its architect to produce reliable budgets and schedules, a constructible design, and buildable plans and bid packages.

San Jose-based TBI Construction, which was founded in 1983, has completed more than $350 million in projects throughout the Bay Area. In addition to public agency Multiple Prime Construction Management, the company specializes in high-quality interior improvements, corporate headquarters, historical restoration and renovation, and distinctive new buildings for TBI's own portfolio and its clients.