Survey Finds More Than $4.2 Billion in Pressing Construction Needs at Federally Impacted School Districts

Washington, D.C. – A new survey, conducted by the National Association of Federally Impacted Schools (NAFIS), identifies more than $4.2 billion in pressing construction needs at federally impacted school districts nationwide. These school districts encompass nontaxable Federal property, such as military installations, Indian lands, low-rent housing, and other Federal properties.

School construction is financed primarily at the local level, usually through bonds. Federally impacted school districts often have minimal assessed land value - and thereby minimal bonding capacity - because of the presence of nontaxable federal property. These school districts lack the local resources to address urgent facility needs, not to mention modernize facilities.  

NAFIS surveyed its member school districts about the status of their school facilities. Respondents – 218 school districts from 37 states – reported compelling facility needs.

Twenty-six percent of respondents cited school district facilities that are more than 80 years old, and 65-percent said the overall condition of facilities in their school districts are either fair or poor. Respondents named a variety of essential construction projects, including health and safety related issues such as lead and mold, outdated electrical, HVAC and plumbing systems, leaky roofs, expired boilers, aging technology, and building capacity due to growth in student enrollment.

The total estimated cost to address pressing construction needs in these school districts exceeds $4.2 billion, with the estimated cost of all capital construction needs topping $13 billion. Yet Congress only appropriated $17.4 million in construction funding for the Impact Aid Construction line item in Fiscal Year 2017. What's more, 82-percent of respondents cited lack of funds as a reason to defer capital construction projects, and 83-percent of respondents said they could start their most pressing capital project within a year if funds were available. 

To read the full report, visit www.nafisdc.org

Featured

  • Photo courtesy of Kraus-Anderson

    Minnesota District Completes $49.7M Addition, Renovation Project

    St. Paul Public Schools in St. Paul, Minn., recently announced the completion of a $49.7-million addition and remodeling project at two district schools, according to a news release.

  • Academy of Classical Education Breaks Ground in Louisiana

    Charter Schools USA (CSUSA) recently announced the groundbreaking of a new public charter school in Covington, La., according to a news release. The Academy of Classical Education at Covington will enroll students in grades K–8 and is scheduled for completion in August 2026, just in time for the new school year.

  • Can AI Help Build Stronger Communities in Student Housing?

    Student housing success is shifting from operational performance to student experience, with belonging now at the center. A recent 2025 report underscores a growing emphasis on student well-being, community, and engagement, signaling that expectations now extend beyond logistics to ensure students feel supported in their living environments. AI is enabling that shift by reducing administrative workload and giving teams more time to focus on meaningful student engagement.

  • Cal Poly Humboldt Starts Construction on Healthcare Education Hub

    California State Polytechnic University, Humboldt in Arcata, Calif., recently announced that work has begun on a renovation project that will turn the Stewart Building into a new Healthcare Education Hub, according to a news release. The university is partnering with Sundt Construction Inc. for construction services.