As we discussed in the previous blog post, your general contractor should provide you with an itemized budget and timeframe for completing your church construction project. You should review both of these with your architect and engineer and make any additions or edits before the contractor breaks any ground.

Make sure you have considered anything and everything that may crop up during your building project. Failure to anticipate additional costs can prevent you from obtaining financing, forcing you to go back to the congregation to raise more money in the middle of the project. We suggest you build an additional minimum of 10% into the budget submitted by your general contractor to cover surprises such as:

Water and excavation issues
Many water issues can come up during excavation, such as percolation, water quality and drainage issues. If there is any displacement to neighboring property, you will also need to consider the costs required to mend that.

Material and labor delays
Delays are one of the most common unexpected costs that pop up during construction projects. Back-ordered materials, delivery delays and labor shortages can drag out your timeline and threaten your budget. One of the most common problems that affects construction is weather - even if all the materials and builders are waiting, bad weather can shut down your construction project for days at a time.

Additional fees, interior and operating costs
Additional fees from municipalities can include unexpected taxes, permits and other items. Make sure you have done your homework and know exactly what permits you’ll need.

In addition, your budget should include your church building’s complete structural, plumbing, ventilation and electrical plans. Any new furniture, appliances and light fixtures should be included in the budget, as well as interior design fees and cost of carpeting, wallpaper, paint and décor. Estimate any storage and moving costs that you anticipate.

If you’re moving into a much larger facility, your operational costs can increase dramatically. For example, did you know that some of the modern light fixtures require light bulbs that can cost up to $300 each? Make sure your budget reflects increases in utilities, supplies, maintenance, landscaping, snow removal, janitorial and staffing services that come alongside your move into a larger space.

The best advice we can offer for you is to be prepared. Plan ahead, communicate regularly with your contractor, ask questions and stay involved. Take time to meet with another pastor or organization who recently completed a construction project. Most organizations will be happy to share their experiences with you and answer any questions you have.

Additional resources
For a sample construction budget template, go to www.agc.org, or contact us. For information on operational budgets, contact Dave at daved@njag.org.

Are you thinking about buying a new church facility? Beginning a church construction project or renovation? Expanding your ministry is an exciting time for any church, but building programs come with many challenges, setbacks and surprises. Before you get too far in your planning process, take some time to review the following steps for church building success.

Planning for Success
The first step in any church construction program is planning. The amount of time, money and prayer you invest in the beginning of your building will ultimately pay off when the project is finished. It seems like the church construction process should be relatively straightforward: Find a location to build, work with an architect to draw up plans, find a contractor to begin construction and GO! If this sounds familiar, you may have forgotten to ask yourself the most important question in church construction:

Can your congregation AFFORD to build?

Before you find a location, before you even consider talking to architects, your church should conduct a needs analysis.

What is a needs analysis? This is a very important process by which your congregation determines what is essential in your upcoming building program. The needs analysis, although labor-intensive and sometimes time-consuming, can pay huge dividends once you start your building program.

Your church needs analysis should include these items (and probably more!):

• Location considerations
• Square footage
• Utility and technology requirements
• Pastor/professional office space needs
• Fire safety and accessibility requirements

Who should be involved in your needs analysis planning? Most - if not all - of your congregation should play some roll. Organize small focus groups to discuss your church’s expansion and determine how the growth will interact with other ministries. If you leave the major building decisions to a select few people in your church, you may overlook some crucial concerns that will only rear their ugly heads later! We suggest including nearly anyone and everyone in your planning process-from your most active members of the ministry to occasional visitors to community members who have building experience.

It may be helpful to break down sections of the needs analysis to be discussed by sub-committees. At a minimum, you’ll need committees for:

• Church design and architecture
• Engineering
• Legal issues
• Site planning
• Scope of the project
• Community relations

And don’t forget the most important committee of all - a prayer team dedicated to lifting sprits and supporting the building program!

If you take the time to plan upfront, you’ll have a better idea of what’s to come in the church construction process and how your new facility will best serve your congregation.