Community college and school districts with recent voter-approved bond projects are cashing in – or hoping to – on the near-standstill in local construction.

The San Diego Community College District, in the midst of a $1.5 billion construction boom, is saving millions as contractors desperate for work bid in droves on its projects.

Last week, officials announced they saved $4 million at the Mesa College campus when twice as many bids than they expected came in below what they expected to pay on the college's new $16 million allied health building.

A renovation project at City College downtown came in $500,000 below the district's estimated cost.

“We're very encouraged by the results of these two particular bids,” said Dave Umstot, vice chancellor of facilities management for the community college district. “We're trying to ascertain whether it's an anomaly or whether it's a trend.”

The college district isn't the only one saving money. School district officials in Santee are reaping the benefits of a competitive market, too.

They recently saved about $2 million when bids came in 15 percent below what they estimated a new building would cost, said Bill Clark, the Santee School District's assistant superintendent for business services.

They are hoping for the same on the $55 million worth of bids they put out two weeks ago, Clark said.

Real estate economist analyst Gary London said it's a trend the districts should take advantage of.

“The entire building industry has shut down,” London said. “There's virtually no new construction going on in any of the sectors. We're going to see the lowest residential construction in modern times.”

Umstot said he is skeptical that the savings will last long considering the price of materials such as steel and concrete, and fuel are rising, and the value of the dollar is falling.

“We have $76 million in construction projects that we'll be bidding in the next 60 days,” Umstot said. “I'll feel a lot more confident that it's a trend if we continue to see the same.”

District officials likely will, according to London, who said that even though production costs have risen, “the trajectory has flattened.” Also, labor and profit margins are going down.

The Sweetwater Union High School District, where voters in 2006 passed a $644 million bond, is hoping for equally competitive offers. Just last week, the district put out $205 million worth of bids for renovations to two South Bay high schools.

“At some point, the market will cycle up,” analyst London said. “Whether that's one or three years, I don't know. It's a prudent thing for public agencies to be getting their construction done right now.”

The San Diego Community College District is the second-largest in the state. All three of its two-year campuses – City, Mesa and Miramar – as well as its six continuing education centers are in the middle of a construction and renovation boom.

As for the savings, Umstot said it would be used for future projects within the bond program. “Inevitably, the unknown will happen,” he said.

Voters approved two separate bonds four years apart for a combined $1.5 billion. In 2002, voters approved a $685 million bond; and in 2006, they approved an $870 million bond.

The district serves 100,000 students, of which 50,000 are adults learning English as a second language and other career-advancing skills.

Tanya Sierra: (619) 498-6631; tanya.sierra@uniontrib.com