State Looks At Cutbacks In WCS Building Plan
July 28, 2016 at 4:25 p.m.
By David [email protected]
Superintendent Dr. Robert Haworth Friday morning said, unofficially, he has received word from Thomas Peterson, attorney with Ice Miller, bond counsel for the project, that Warsaw will receive notice from the Department of Local Government Finance Commissioner Cheryl Musgrave that it will be able to move ahead on its building project. However, Warsaw may receive approval for only $59 million of the $65 million requested.[[In-content Ad]]On May 21, the school board approved moving forward with Step 1 of Option A. Step 1 includes replacing Leesburg Elementary with a new four-section school for $16 million; expanding and renovating Claypool and Jefferson schools for $10 million each; and replacing Madison with a new four-section school for $16 million. The total bond issue for Step 1 was estimated by architectural firm Kovert Hawkins to be $65 million.
Total cost for Option A is approximately $100 million. The other two steps, if approved, include addressing the facility needs of other elementary schools and two middle schools in the school corporation.
Haworth said Musgrave was appointed as commissioner by Gov. Mitch Daniels about four or five months ago. The State Tax Control Board approved Warsaw's building project and forwarded a favorable recommendation to Musgrave in August. For the project to proceed, it has to bear Musgrave's signature. Daniels has requested careful scrutiny of all projects.
Originally, Warsaw was to appear before the State Tax Control Board in July. The DLGF pushed that meeting back to August. Warsaw was told it would be a good chance that it would be December when they would get the approval or stop order by Musgrave. Peterson, Haworth said, said that now could be sooner, but trimmed back to $59 million.
"That is unofficial," said Haworth. "We have not received anything from Cheryl Musgrave. We're not moving forward until we receive word from her. If the notice comes through, and we get $59 million, we are very appreciate that the state thinks our project has merit to move forward."
However, he said they've asked for the commissioner to really look at the project and consider approving the full $65 million. They base the request on two points.
First, the $59 million is based on a square footage price using the 2007 threshold price. From 2006 to 2007, Haworth said that price increased by $10 for elementary schools. Warsaw will not be able to bid out the project until 2008, by which time prices costs will likely increase.
Another consideration, Haworth said, is that the state looks at sixth grade as being middle school. Warsaw Schools has sixth grade in its elementary schools. During the public hearings on the building project, the majority of the community said they wanted the sixth grade kept in the elementary schools.
Haworth said Warsaw is asking the commissioner to look at the building project as the sixth grade being part of the elementary school building project, and for the state to give Warsaw the middle school rate for the sixth-grade portion of those buildings.
Jamie Lake, Kovert Hawkins, said Friday afternoon that the difference between a middle school and elementary school rate is $8 per square foot. Even though the sixth grade is being built as part of the elementary school, it still has the middle school curriculum. Science labs for the sixth-graders will be included in the elementary school buildings.
Lake said if the state allows the middle school rate for the sixth-grade portion of the school buildings, that would give the project $3-$4 million back.
If the state does cut the project down to $59 million, Lake said they will determine what may have to be cut and then may go back to the state with more clarification and ask for the money to put back. By $6 million being cut out of the scope of the project, that's $1.5 million for each of the four school buildings.
"We're anxiously awaiting that approval by Cheryl Musgrave," said Haworth. Until then, he said things are on hold.
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Superintendent Dr. Robert Haworth Friday morning said, unofficially, he has received word from Thomas Peterson, attorney with Ice Miller, bond counsel for the project, that Warsaw will receive notice from the Department of Local Government Finance Commissioner Cheryl Musgrave that it will be able to move ahead on its building project. However, Warsaw may receive approval for only $59 million of the $65 million requested.[[In-content Ad]]On May 21, the school board approved moving forward with Step 1 of Option A. Step 1 includes replacing Leesburg Elementary with a new four-section school for $16 million; expanding and renovating Claypool and Jefferson schools for $10 million each; and replacing Madison with a new four-section school for $16 million. The total bond issue for Step 1 was estimated by architectural firm Kovert Hawkins to be $65 million.
Total cost for Option A is approximately $100 million. The other two steps, if approved, include addressing the facility needs of other elementary schools and two middle schools in the school corporation.
Haworth said Musgrave was appointed as commissioner by Gov. Mitch Daniels about four or five months ago. The State Tax Control Board approved Warsaw's building project and forwarded a favorable recommendation to Musgrave in August. For the project to proceed, it has to bear Musgrave's signature. Daniels has requested careful scrutiny of all projects.
Originally, Warsaw was to appear before the State Tax Control Board in July. The DLGF pushed that meeting back to August. Warsaw was told it would be a good chance that it would be December when they would get the approval or stop order by Musgrave. Peterson, Haworth said, said that now could be sooner, but trimmed back to $59 million.
"That is unofficial," said Haworth. "We have not received anything from Cheryl Musgrave. We're not moving forward until we receive word from her. If the notice comes through, and we get $59 million, we are very appreciate that the state thinks our project has merit to move forward."
However, he said they've asked for the commissioner to really look at the project and consider approving the full $65 million. They base the request on two points.
First, the $59 million is based on a square footage price using the 2007 threshold price. From 2006 to 2007, Haworth said that price increased by $10 for elementary schools. Warsaw will not be able to bid out the project until 2008, by which time prices costs will likely increase.
Another consideration, Haworth said, is that the state looks at sixth grade as being middle school. Warsaw Schools has sixth grade in its elementary schools. During the public hearings on the building project, the majority of the community said they wanted the sixth grade kept in the elementary schools.
Haworth said Warsaw is asking the commissioner to look at the building project as the sixth grade being part of the elementary school building project, and for the state to give Warsaw the middle school rate for the sixth-grade portion of those buildings.
Jamie Lake, Kovert Hawkins, said Friday afternoon that the difference between a middle school and elementary school rate is $8 per square foot. Even though the sixth grade is being built as part of the elementary school, it still has the middle school curriculum. Science labs for the sixth-graders will be included in the elementary school buildings.
Lake said if the state allows the middle school rate for the sixth-grade portion of the school buildings, that would give the project $3-$4 million back.
If the state does cut the project down to $59 million, Lake said they will determine what may have to be cut and then may go back to the state with more clarification and ask for the money to put back. By $6 million being cut out of the scope of the project, that's $1.5 million for each of the four school buildings.
"We're anxiously awaiting that approval by Cheryl Musgrave," said Haworth. Until then, he said things are on hold.
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