Capital Bond Presentation December 3, 2019 High School - $6,574,600 - PowerPoint PPT Presentation

Capital Bond Presentation December 3, 2019

High School - $6,574,600  Roof Replacement  Construction of new STEM Lab Middle School - $3,477,000  Roof Replacement Elementary Schools - $698,560  Replacement Playgrounds  Interior Door Replacements and Hardware District-wide - $2,749,840  Bathroom Reconstruction

High School & Middle School Roof Replacements

Elementary School Playground Replacements

Creation of a new STEM Laboratory

Districtwide Bathroom Reconstruction Sample Capital Reserve Project - Summer 2019

 How does the district pay for the bond?  Through the debt service expense line in the district’s operational budget (budget can be found on the district’s website)

 Would these bond projects cause a net tax increase to the taxpayer?  No. Previous debt is expiring and the debt service payments from one year to the next would be flat. The authorized 2008 bond debt will be expiring; the authorized 2019 bond debt would replace the former debt.

BUDGET YEAR 2021-2022 Formatted Account Code Description Budget Amount Note Description Note Amount A 9901.9600-08-94 Debt Service - Principal $ 3,185,000 2011 BOND - PRINCIPAL $ 1,130,000 Last Payment 2017 REFUNDING BOND - PRINCIPAL $ 2,055,000 A 9901.9601-08-94 Debt Service - Interest $ 458,375 2011 BOND - INTEREST $ 28,250 Last Payment 2017 REFUNDING BOND - INTEREST $ 430,125 TOTAL $ 3,643,375 BUDGET YEAR 2022-2023 Formatted Account Code Description Budget Amount Note Description Note Amount A 9901.9600-08-94 Debt Service - Principal $ 3,185,000 2017 REFUNDING BOND - PRINCIPAL $ 2,155,000 2019 BOND - PRINCIPAL $ First Payment A 9901.9601-08-94 Debt Service - Interest $ 458,375 2017 REFUNDING BOND - INTEREST $ 324,875 2019 BOND - INTEREST $ First Payment TOTAL $ 3,643,375 Budget total will remain flat

 Since the operational budget will cover the bond payments, will commercial industry cover its portion of the bond payments?  Yes. Commercial industry pays over 50% of the tax levy for Hauppauge.  When would the projects likely commence and the district begin to make principal payments on these bond projects?  The projects would likely commence in the summer of 2021 with principal payments starting in the 2022 -2023 school year.  Are school construction projects more costly than residential construction projects?  Often, yes. Vendors that are awarded by the Board of Education as the lowest bid winner for a school capital construction project are required to pay prevailing wage rates, meet certain material performance requirements and are held to much higher levels of bonds and insurance per New York State. Public work projects have a significantly higher cost than say, residential construction.

 Will the bond projects be eligible for building aid?  Yes. The district will receive roughly 55% of the maximum cost allowance as approved by NYSED.  Will the building aid be used to offset the cost of the bond projects?  Yes. Building aid revenue is used offset the tax levy.  Is the project scope of a bond permitted to be modified after a proposition is passed?  No. The district is limited to the project scope and funding amount as was recommended by the Board of Education and approved by the voters.  Is the district considering energy saving initiatives?  Yes. The district is researching energy performance contracting and how the process would benefit the district by way of energy efficient lighting enhancements and solar opportunities.

Board of Education Meetings:  September 24: Board Room, Whiporwil, 8pm  November 19: Board Room, Whiporwil, 8pm  December 3: Board Room, Whiporwil, 8pm PTA Meetings:  October 17: Bretton Woods, 7:00 pm  November 7: High School, 7:30 pm  November 12: Middle School, 7:30 pm  November 13: Forest Brook, 7:00 pm  November 14: Pines, 7:30 pm

The recommended Capital Bond…  Continues the district’s focus on health and safety for students and staff  Provides for completion of large scale capital projects and fosters intellectual growth and  Continues the tradition of fiscal responsibility, presenting a capital bond that will have no increased cost on the taxpayer

TOMORROW! Wednesday, December 4, 2019 6am-10 pm Whiporwil  Info available on district website www.hauppauge.k12.ny.us

What are your questions? Thank You