HomeMy WebLinkAboutC.054.93010_1318 (2)Iredell-Statesville Schools
Board of Education Chairman Dr. David Cash, Superintendent Dr. Terry Holliday,
Deputy Superintendent Dr. Steve Lane, and Maintenance Services Director Dr. Kenny Miller
were in attendance to discuss the needs of the Iredell Statesville School System.
Dr. Cash said there was excessive growth in the southern end, but there was a desire to
improve all of the facilities in the school system that needed attention.
Holliday outlined his proposal to improve the educational sites in the county within a
three -to -four-year period of time. He said a task force had been meeting for the past 14 months,
and the group had studied different financing methods. Holliday said a "program management"
approach was being suggested using $124 million in Certificates of Participation (COPS) with a
total repayment amount of $215 million. Dr. Holliday said the issuance could occur without a
tax increase, and it would save the taxpayers $93-$103 million when compared to the current
method of improving school facilities. Holliday said the present approach, issuing COPS every
two or three years, was more expensive. He gave the following as an example: six COPS
financings ($156 million), spread out over a two or three year time frame, would require a
repayment of $268 million, and this was $53 million more than the "program management"
approach. Holliday said the current method would take 20 years to complete all of the projects,
or improvements, that needed to be accomplished now.
Dr. Holliday said three high schools in the system were already out of capacity. He said
there was a projected enrollment of 5,757 high school students for year 2004-05, and it was
estimated that by the year 2013-14, there would be approximately 7,000. Holliday said,
however, it was not being recommended that a sixth high school be constructed. He said the
system would probably never completely eliminate modular units, and that Iredell-Statesville
was probably the highest user in the Charlotte -metro region; possibly in the entire state. Dr.
Holliday said he didn't think the state would remove the Public School Building Capital Fund
(PSBCF) money in the future, and the system had a current capital fund balance of $750,000.
Mashburn asked how many additional classrooms could be built with $124 million.
Holliday said 300 -- maybe more.
Mashburn asked what accounted for the difference in costs pertaining to the financing
methods.
Holliday said escalation and interest rate costs.
Mashburn said he understood then, that it didn't have anything to do with the
management of the construction.
Holliday said this was correct.
Johnson said it would be the county that would have to take the risks for the proposed
financing. lie then asked about the disposition of the Wayside School property.
Dr. Holliday said the property was on the market and the sale proceeds would go into the
capital fund.
Commissioner Norman asked how the school system would incorporate roofing repairs,
and other unexpected costs, in the financing package.
Holliday said he felt there would be adequate annual capital funds for such things as roof
repairs.
Williams asked the current fund balance.
Holliday said the current undesignated fund balance was $3,080,036.00, and it came from
the beer and wine sales taxes, the PSBCF, and what the system already had in its books.