Warsaw School Board Grapples With Budget Issues
July 28, 2016 at 4:25 p.m.
By David [email protected]
Then came the federal government stimulus money and the Qualified School Construction Bond Issue.
The QSCB program allowed WCS to apply for two bond issues of less than $2 million each to do the roof projects. However, only one was approved, though there is a chance WCS may be able to apply for more funding next year for the other roofing project.
At the Warsaw School Board meeting Monday night, a public hearing was held on the renovation and improvements to the Eisenhower Elementary School and Lakeview Middle School buildings. The improvements include roof replacement and HVAC improvements. The projected cost of the project is $1,995,000.
Thomas W. Peterson, attorney with Ice Miller LLP, Indianapolis, said that across the country, more than $350 million has been applied for from the stimulus dollars. Warsaw's roof project was approved by the state of Indiana. The school board had to approve four resolutions, which they did after the public hearing.
Kevin Scott, WCS chief financial officer, said the time frame for the work at the schools will be summer 2010.
Kurt Pletcher, of Umbaugh & Associates, said the original intent was for the bond issue to be zero percent financing. Now, the interest rate is at 1.25 percent because it's a new market.
Pletcher then reviewed WCS's existing debt service. With the QSCB interest, WCS's debt service is still around $8 million from 2009 to 2023. Estimated annual payment on the QSCB is $150,125.
The estimated tax rate impact per $100 assessed valuation for the QSCB is $0.0063. Per acre of farmland, the estimated annual tax impact is $0.08.
Deb Wiggins said the roofs need replaced, and WCS can do them at 5 percent interest or at 1.25 percent with the QSCB. Scott said the QSCB is still the better money saver. Wiggins said the costs associated with not fixing the roofs would outweigh not doing the QSCB now.
"This is the best we've come up with," Wiggins said.[[In-content Ad]]In other business, the school board:
- Approved by a vote of 6 to 1 to renew Dave Fulkerson's contract for another three months, from Oct. 1 to Dec. 31. Fulkerson is the development coordinator. In June, the school board voted to approve Fulkerson's contract on a three-month basis.
The goal is for Fulkerson to raise $250,000 over the course of the next year. His annual salary is $47,000.
At the June meeting and Monday's meeting, board member Kent Adams said it was not anything personal, but he could not vote to approve the motion. Adams said it was his feeling that WCS could raise the money within the current staff, without hiring someone from the outside.
This year to date, Fulkerson has raised $20,000, with other grant dollars pending. Grants for $5,000 each were received from the Dane and Mary Louise Miller Foundation for band uniforms; Kosciusko Community Foundation for band uniforms; anonymous donation for officials for elementary sports; and Paragon Medical for band uniforms.
- Approved, by a vote of 6 to 1, to allow Jim LeMasters, Elaine Bultemeier, Justin Mort, Ethel Ringle, Aletha Dobbins and Nancy Rooker to attend a technology conference in Denver, Colo., for $8,200.
Adams said that while he doesn't question the value of the conference, with the way the economy is currently, he didn't think it was appropriate for him to vote to approve the trip. Next year will be financially tough, and 2011 will be tougher.
"I am sensitive to friends, neighbors and fellow citizens in our community who have lost their jobs and are having a hard time supporting their family at this time," Adams said. "At this time, I do not feel serving in a position of public trust that I can support this motion, the spending of these dollars or the attendance to this out-of-state conference."
- Approved three change orders for the elementary schools building projects. The change orders were for $47,264.01 for Claypool; $15,432 for Jefferson; and $17,158 for Madison and Leesburg. The change orders are within the contingency allowance and do not add costs to the project costs.
- Approved the High Ability Grant application to the Indiana Department of Education for $55,145. The funds will be used to help students who are high-ability learners.
- Approved the 2010 budget of $69,064,426. A public hearing was held on the budget Sept. 9.
- Heard a report from Director of Secondary Curriculum Tom Kline on the SAT Reasoning Test.
There were 251 students from the class of 2009 who took the test. Warsaw's mean scores were 502 in reading, 516 in math and 486 in writing for a composite score of 1504.
- Accepted an anonymous $5,000 donation for Edgewood Middle School's Love Fund. The fund is used to assist students with medical needs, clothing needs and other expenses a student or their parent may not be able to afford.
Principal JoElla Smyth said the gift was very much appreciated.
- Recognized Warsaw Community High School junior Scott Smyth for being chosen to represent the 2009-10 Indiana High School Athletic Association Student Advisory Committee.
"I just hope to make the student athlete's voice heard," Smyth told the school board.
- Heard the Warsaw Community Student enrollment as of Sept. 14. Districtwide, there are 6,874 students. Of those, 1,984 are at the high school; 550 are at Lakeview Middle School; and 590 are at Edgewood Middle School. There are 3,750 students in the seven elementary schools.
- Heard from Superintendent Dr. Craig Hintz that he wants to have an executive session Oct. 27 for a formal long-range strategic plan. He invited Dr. Steve Barone to work with the board.
School boards may only meet in executive session to discuss personnel matters, pending litigation and discussion of purchase of real property.
Hintz also reported Jim Hirsch, assistant superintendent for curriculum and technology for the Plano, Texas, Public Schools will conduct a technology study for the school corporation Oct. 15-16. Barone has extensive experience both nationally and internationally in working with organizations that strategically plan for the future. The school board approved $5,000 for Hirsch's two-day visit and technology audit.
- Recognized Jim and Christi Anderson, of Irish Home Care, for donating $500 to Leesburg Elementary. The money will be used for school supplies for students who need them throughout the year.
- Recognized Orthodontic Specialty Services for donating $125 to the Madison Elementary art department.
- Heard a report on staff development.
Then came the federal government stimulus money and the Qualified School Construction Bond Issue.
The QSCB program allowed WCS to apply for two bond issues of less than $2 million each to do the roof projects. However, only one was approved, though there is a chance WCS may be able to apply for more funding next year for the other roofing project.
At the Warsaw School Board meeting Monday night, a public hearing was held on the renovation and improvements to the Eisenhower Elementary School and Lakeview Middle School buildings. The improvements include roof replacement and HVAC improvements. The projected cost of the project is $1,995,000.
Thomas W. Peterson, attorney with Ice Miller LLP, Indianapolis, said that across the country, more than $350 million has been applied for from the stimulus dollars. Warsaw's roof project was approved by the state of Indiana. The school board had to approve four resolutions, which they did after the public hearing.
Kevin Scott, WCS chief financial officer, said the time frame for the work at the schools will be summer 2010.
Kurt Pletcher, of Umbaugh & Associates, said the original intent was for the bond issue to be zero percent financing. Now, the interest rate is at 1.25 percent because it's a new market.
Pletcher then reviewed WCS's existing debt service. With the QSCB interest, WCS's debt service is still around $8 million from 2009 to 2023. Estimated annual payment on the QSCB is $150,125.
The estimated tax rate impact per $100 assessed valuation for the QSCB is $0.0063. Per acre of farmland, the estimated annual tax impact is $0.08.
Deb Wiggins said the roofs need replaced, and WCS can do them at 5 percent interest or at 1.25 percent with the QSCB. Scott said the QSCB is still the better money saver. Wiggins said the costs associated with not fixing the roofs would outweigh not doing the QSCB now.
"This is the best we've come up with," Wiggins said.[[In-content Ad]]In other business, the school board:
- Approved by a vote of 6 to 1 to renew Dave Fulkerson's contract for another three months, from Oct. 1 to Dec. 31. Fulkerson is the development coordinator. In June, the school board voted to approve Fulkerson's contract on a three-month basis.
The goal is for Fulkerson to raise $250,000 over the course of the next year. His annual salary is $47,000.
At the June meeting and Monday's meeting, board member Kent Adams said it was not anything personal, but he could not vote to approve the motion. Adams said it was his feeling that WCS could raise the money within the current staff, without hiring someone from the outside.
This year to date, Fulkerson has raised $20,000, with other grant dollars pending. Grants for $5,000 each were received from the Dane and Mary Louise Miller Foundation for band uniforms; Kosciusko Community Foundation for band uniforms; anonymous donation for officials for elementary sports; and Paragon Medical for band uniforms.
- Approved, by a vote of 6 to 1, to allow Jim LeMasters, Elaine Bultemeier, Justin Mort, Ethel Ringle, Aletha Dobbins and Nancy Rooker to attend a technology conference in Denver, Colo., for $8,200.
Adams said that while he doesn't question the value of the conference, with the way the economy is currently, he didn't think it was appropriate for him to vote to approve the trip. Next year will be financially tough, and 2011 will be tougher.
"I am sensitive to friends, neighbors and fellow citizens in our community who have lost their jobs and are having a hard time supporting their family at this time," Adams said. "At this time, I do not feel serving in a position of public trust that I can support this motion, the spending of these dollars or the attendance to this out-of-state conference."
- Approved three change orders for the elementary schools building projects. The change orders were for $47,264.01 for Claypool; $15,432 for Jefferson; and $17,158 for Madison and Leesburg. The change orders are within the contingency allowance and do not add costs to the project costs.
- Approved the High Ability Grant application to the Indiana Department of Education for $55,145. The funds will be used to help students who are high-ability learners.
- Approved the 2010 budget of $69,064,426. A public hearing was held on the budget Sept. 9.
- Heard a report from Director of Secondary Curriculum Tom Kline on the SAT Reasoning Test.
There were 251 students from the class of 2009 who took the test. Warsaw's mean scores were 502 in reading, 516 in math and 486 in writing for a composite score of 1504.
- Accepted an anonymous $5,000 donation for Edgewood Middle School's Love Fund. The fund is used to assist students with medical needs, clothing needs and other expenses a student or their parent may not be able to afford.
Principal JoElla Smyth said the gift was very much appreciated.
- Recognized Warsaw Community High School junior Scott Smyth for being chosen to represent the 2009-10 Indiana High School Athletic Association Student Advisory Committee.
"I just hope to make the student athlete's voice heard," Smyth told the school board.
- Heard the Warsaw Community Student enrollment as of Sept. 14. Districtwide, there are 6,874 students. Of those, 1,984 are at the high school; 550 are at Lakeview Middle School; and 590 are at Edgewood Middle School. There are 3,750 students in the seven elementary schools.
- Heard from Superintendent Dr. Craig Hintz that he wants to have an executive session Oct. 27 for a formal long-range strategic plan. He invited Dr. Steve Barone to work with the board.
School boards may only meet in executive session to discuss personnel matters, pending litigation and discussion of purchase of real property.
Hintz also reported Jim Hirsch, assistant superintendent for curriculum and technology for the Plano, Texas, Public Schools will conduct a technology study for the school corporation Oct. 15-16. Barone has extensive experience both nationally and internationally in working with organizations that strategically plan for the future. The school board approved $5,000 for Hirsch's two-day visit and technology audit.
- Recognized Jim and Christi Anderson, of Irish Home Care, for donating $500 to Leesburg Elementary. The money will be used for school supplies for students who need them throughout the year.
- Recognized Orthodontic Specialty Services for donating $125 to the Madison Elementary art department.
- Heard a report on staff development.
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