Funding Allowance Info

The Funding Formula

SPPK8.jpgThe SBA Funding Allowance Formula is based on a Mathematical Equation

  • The Current, Projected, or Design Enrollment of the School (Confirm design enrollment with SBA Staff)
  • Multiplied by: Square Feet per Student Allowance
    • Allowance breakdown for ES, MS, and HS - Found in SBA 166SBA166.pdfSBA166.pdf
  • Equals: Total Building Square Footage Allowance
    • Maximum school size allowed using SBA Funding
  • Multiplied by: SBA Square Footage Cost Allowance
  • Multiplied by: Renovation Allowance based on the age of the current facility.
    • Existing schools are eligible for a percentage of the replacement cost based on the age of the facility.
      • 40+ years - 60%
      • 25 to 39 years - 50%
      • 16 to 24 years - 40%
      • 0 to 15 years - 10%
    • An additional 5% can be added to a renovation project that includes an addition.
  • Subtracted by: Any previous amount of funding awarded to the current facility by the SBA.

 

SBA Square Footage Cost Allowance

The SBA Square Footage Cost Allowance is updated annually by the SBA Staff and is based on historical data, projections, and assumptions. It assumes a competitive bidding market, reasonable site costs, and required conformance to the SBA's Quality and Performance Standards.

Current SBA Square Footage Costs Allowance is as follows:

  • Elementary Schools - $256/SF
  • Middle Schools - $252/SF
  • High Schools - $250/SF

 

For Example

To renovate and add an addition to the existing County High School, which was built in 1970, serves 525 Students, and received a $1,000,000 MIP grant from the SBA in 2010, we would calculate:

 

525 Students (Enrollment) 

x 224 Square Feet Per Student (SBA 166)

= 117,600 Square Feet (max size of new school if replacing current)

x 250 Dollars per Square Feet (SBA SqFt cost allowance - HS)

= $29,400,000 (cost to build new replacing current school)

x 0.65 Renovation & Addition Allowance multiplier (Add./Renov. in a 40+ year old school)

= $19,110,000 (Renovation & Addition Allowance)

- $1,000,000 (Previous SBA Funding)

= $18,110,000 - the Maximum amount of renovations allowed by the SBA to County High School

 

 

Please contact the SBA Staff for specific questions relating to your proposed project's funding allowance.

Image above: South Preston PK-8 Classroom, courtesy of Williamson Shriver Architects.