By Rosemary K. Otzman
Independent Editor
The Van Buren Public Schools Board of Education at its Aug. 18 work/study session discussed what to do about the Sinking Fund millage for construction and repair of school buildings that is expiring in 2015.
After discussion, the board informally directed School Supt. Michael Van Tassle to put something together for a spring or fall election next year to renew the millage.
The issue will come back to the board for official action.
The present seven-year, 1.26-mill Sinking Fund millage was passed in November 2008 and was to be in effect from 2009 through 2015. It was down to 1.13 mills levied this year and generated about $1.4 million per year for pay-as-you-go projects.
The Sinking Fund money has been used to maintain the school buildings other than the high school, which was constructed new with another $79.5 million bond fund.
At the workshop, Paul Wills and Eric Dumont from Plante Moran CRESA were present to give a presentation and answer questions about the Sinking Fund, to help the board decide what it wanted to do.
Plante Moran CRESA has been managing the Sinking Fund projects for the district.
Wills said for the first few years the district used the funds to tend to problems with buildings. But then the board set up three to five years rolling analyses of what would be needed in the future for proactive projects.
Wills said they put in new roofs and doors and helped lower the operational costs and raise the environment for learning. He said the Sinking Fund expires with the December tax bill.
Wills said the district can use Sinking Funds for buildings and can levy up to five years. He said four regular election cycles are available in 2015: February, May, August, and November.
School Bond Election Statistics compiled by Stauder, Barch & Associates and presented by Wills showed average passage rates by election months for 2012-13 showed renewals without millage increases passed 90% in February, 94% in May, 100% in August, and 81.5% in November.
Wills said language has to be certified by Feb. 10 for the May election and the district could look at May or August elections.
Dumont said he recently went over the Sinking Fund projects with the board and there are 505,707 square feet of facilities throughout the district (without the high school).
The long-range plan is to spend $1.5 million in 2016, $2 million in 2016, and $1.57 million in 2017.
Wills said there have been no expenses for BHS, since it is new. He said they should look at repairs strategically rather than reactively.
“If the enhancement millage had passed, we could cut back,” on the amount needed for repairs, Wills said.
Treasurer Sherry Frazier said the district didn’t do any repairs from the general fund.
James Williams, the head of buildings and grounds for the school district, said there are general repairs that were done from the general fund, such as thermostats, compressors, belts, and clocks.
When the board asked what he meant with “clocks,” Williams said some of the clocks in the school buildings were the ones that were put in with the original buildings and none of them matched.
“If the sinking fund was not here, half a million dollars would have to come from the general fund for repairs,” Supt. Van Tassle said.
Trustee Scott Russell asked about the wording of the ballot. He wanted to know what were the last returns on the millage renewal vote.
[The Independent report on the Nov. 4, 2008 election showed the Sinking Fund proposal passed with 11,325 yes and 10,695 no votes. That was the same election as the bond issue for BHS, which passed with 11,383 yes and 11,015 no votes.
“I want to be real careful,” Trustee Russell said of the election.
“In my memories, the community never failed to pass a Sinking Fund,” Frazier said.
Supt. Van Tassel said Owen Intermediate School looks so nice and Frazier agreed it did, with its new doors, glazing on the windows, new sidewalks, and benches. She said she didn’t want to run a renewal at the same time as RESA.
Van Tassel said Wayne County forced the RESA enhancement millage to go on the ballot in August.
Frazier suggested the library bond may be on the August or November ballot next fall.
“While it’s nice for things to look nice,” Van Tassel said, “it’s a safety issue or conservation issue.
“Looking better is a benefit, but this board of education has not been frivolous and showed that with BHS,” he said.
Van Tassel said 1.13 mills “is one of the lowest Sinking Funds that’s out there right now.
“I wouldn’t recommend you raise it, but losing it would be crippling.”
“We do need this money,” Russell said.
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