The Libyan Government decided to build 1,500 schools in the reconstruction plan. Libyan Construction Industry (LCI) suffers from projects’ poor value. So, effective management of resources is crucial. LCI should adopt cost-optimizing tools. This study applied value engineering (VE) to School Model 15 at Al-Khums City to maximize the utilization of the available budget. The saving of the significant items ranged between 20% and 30% leading to cost reduction in the overall project. The study concluded that Educational Facilities Authority (EFA) could save about 30% of the assigned funds. This result encourages the EFA to create a VE department in it organization.