BERLIN CENTRAL SCHOOL DISTRICT

PROPOSED CAPITAL PROJECT FOR DECEMBER 8

 

 

Q.        What are the advantages of this project?

 

A.         Educationally, the centralization of teaching services allows for greater cooperation, staff development, partnerships and program planning in a central building environment. 

 

            Economically, the consolidation of services eliminates duplication of services and additional supplies and materials for off-campus sites.  There is an economy of scale that supports reduced costs for a centralized educational site.  Transportation routes will be arranged to come directly to one elementary school site.  There is also assistance from the state with up to $1.8 million in additional state aid to accomplish the task of consolidation of the District’s elementary schools.

 

Q:        Why should the public consider this project?

 

A:          Declining enrollments have a major impact on the district, particularly in the elementary schools.  Stephentown transferred 44 students this fall to Berlin Elementary. Grafton currently has 87 students.  Future energy costs for these buildings remain a consideration for long range planning.  Since school districts are in the business of purchasing human services (enough staff to serve students) their salaries and benefits are the large part of annual costs.  Closing two elementary schools would reduce some staff and save an estimated $734,906, or more, annually. 

 

Fixing the remaining school buildings and facilities in the long range plan must be accomplished either through the annual budget, which would carry a greater local cost, or as a capital project with additional state aid.  This project is proposed as a capital project with state building aid funds, additional EXCEL aid, and district reserves to assist the taxpayer by reducing the local tax impact of the project.

 

Q:       Why did the Board of Education move this project along for a public referendum on December 8?

 

A:         Since 2005, when a State Education Department (SED) review revealed serious deficiencies in the District’s school buildings, architects, financial advisors, the State Education Department, staff and some district residents have encouraged the Board of Education to reach a final decision on needs for a capital project public referendum.  To assist the Board of Education in the decision, in the summer of 2009, the Interim Superintendent began to work with a group of some 22 residents from across the district.  These people reviewed project suggestions from the past district discussions and provided their own opinions.  As taxpayers and people interested in their communities and the education of children in the district, they recommended the $19,705,000 project to meet the needs of the district children and the taxpayer.  The Superintendent’s Advisory Committee identified a plan, met with the Board and gave their best advice.  The merit of their advice was given due consideration as the majority of the Board moved forward with this capital project decision.  Once a decision was made on October 20, the Board must allow 45 days before the vote can take place under law and the December 8 date was established.

 

 Q.       What is anticipated tax impact of the project?

 

A.         The school district financial advisors have provided financial information which indicate the tax impact based on a $125,000 home to the resident with Senior Star is an annual cost of $90, or $7.50 per month.  For the Star Program the annual cost is $131, or $10.92 and for the $125,000 home with no Star, the annual cost is estimated at $173, or $14.42 per month.

 

Q,        When would the first payment for this project be in my taxes?

 

A.         Impact for the bonding of this project is planned for Fall of 2013.  Please check the school website at www.berlincentral.org and go to Project Information for a long range view of the next five years of estimated budget impact.  The site will show you the savings for closure of Stephentown and the estimated savings for the closure of Grafton.

 

Q:        What new construction would occur?

 

A:         Six classrooms would be added to the Berlin Elementary School where the current District Offices exist in re-locatable buildings.  The District Offices would have to be relocated.  New classrooms would house students in the Pre-First and Kindergarten grades in the Early Childhood Development programs.

 

Q:  What is the Transition Plan?

 

A:        A plan was created with community input to guide the consolidation of three elementary schools to a single site.  Interim Superintendent Charlotte Gregory presented the plan to each elementary school community as plans moved forward for a single site.  Stephentown moved students in September of 2009 and Grafton is scheduled to move students in September 2012.  Students in Grade one at Stephentown were moved to Berlin Elementary in September 2008 when the class size dwindled to 4 students.  This fall 44 students from Stephentown moved into the Berlin Elementary School.   If this project is approved about 87 students from Grafton are scheduled to move into Berlin Elementary School in the fall of 2012.

 

Q:  Was there thought given to building a new building?

 

A:       The Board of Education considered multiple options with more than 70 hours of discussion and review.  Architects estimated a new building to house some 450 students would cost between 24-25 million. These costs escalate at the rate of 8% per year. Renovation of the 1936 WPA building at Berlin, new construction of six classrooms and work at the Middle/High School became the most economical choice.

Q.        Can’t we plan to make these repairs on an annual basis instead of getting involved in this project?  Why now?

 

A.        The State allows for a $100,000 capital project on an annual basis, which the district has used for the last two years.  We do receive 75% state building aid on such annual small projects.  In order to accomplish the work necessary in the district at that rate, however, it would take 197 years, based on current costs.  Work done out of our annual budget does not have the benefit of any state building aid.  A capital project amortized over a 15 year period, allows work to get done now with State building aid. 

 

Q.        How will the project be financed?

 

A.        Capital reserve funds                $1.1 million

Other reserve funds                  $400,000

Excel state aid                          $324,625

$1,824,625      These up-front funds are available to help defray the cost of the project with no additional local tax impact.

 

 

To be bonded:                          $17,880,375

Total project cost                     $19,705,000

 

The total estimated state aid for this project is $11,925,464.  This figure includes $1.8 million in additional State aid which is available to assist the taxpayers with consolidation of the District’s elementary schools.

 

Q.        What happens if the state pulls back building aid?

 

A.        There is no known history of the state reducing building aid on a school project, once it is approved.  In the Governor’s proposals regarding possible funding cuts, there is no reference to cutting back on state building aid for schools.