Continuously serving Kosciusko County since 1854
Combining Edgewood and Lakeview middle schools at Lakeview was recommended to the Warsaw School Board Monday.
Randall Hesser, with Warrick and Boyn LLP, said pursuant to Indiana codes, the school board will hold two public hearings to adopt a resolution to preliminarily determine, issue bonds or enter into a lease for a project that has a total project cost over a certain threshold. The hearings are the beginning of the legal process. No board action was legally required at Monday’s meeting, the first of the two hearings.
Stephen Boyer, chief financial officer, talked about the cost, timing and funding of the project.
The proposed renovations at Lakeview and Edgewood are a long-term modernization of the two facilities. The project would be to renovate Lakeview and portions of Edgewood to make room for Gateway and Warsaw Area Career Center programs there, as well as renovations of HVAC and electrical systems, Boyer said. They’re looking at options that would be fiscally responsible and cost effective.
“That doesn’t necessarily mean we’re looking for the cheapest option, but the option” that gives the greatest long-term value to students and taxpayers, Boyer said.
The current preliminary cost for the renovation of both schools “in today’s dollars is $108 million,” he said. Since this is a multi-year project, the estimated cost is approximately $119 million. This estimate includes the first phase of the project, which is a $9.6 guaranteed energy savings contract the school board approved last year and is currently underway at Lakeview. Construction for the remaining phases, if the project is approved, would occur between 2027 and 2031.
The phased approach would allow WCS to maintain school operations during construction, to complete work in an organized manner and manage the cost over multiple construction seasons, Boyer said. The project will be funded over time through the corporation’s debt service fund.
The proposed maximum bond authorization amount is $143 million. The proposed financing also includes other capital improvements around the corporation, the biggest of which include HVAC renovations at Eisenhower and Harrison and restroom at Eisenhower and potential HVAC renovations in the Warsaw Community High School gymnasium and roof replacement.
Boyer said WCS is not adding debt and the financing of the project will be aligned with debt already scheduled to be retired. Because of that, there is no anticipated net increase to the debt service fund tax service above its current rate.
At the beginning of the hearing, Superintendent Dr. David Hoffert talked about the history of Lakeview as a school and the corporation’s facility plan.
Lakeview was built in 1962. The school served as a high school for almost 30 years before it was turned into a middle school.
Warsaw Community Schools has a rolling 10-year facility plan in place. There is a total of 6.5 million square feet of land school facilities sit on. Hoffert said if WCS doesn’t keeping up with building projects, there is a larger cost around the corner.
Hoffert said WCS is looking at efficiency, budgeting and tax dollars and community need.
In the process, WCS has been looking at its tax rate. Hoffert said WCS has one of the lowest tax rates in Indiana and the state average is about 12% higher than WCS’. Over the last couple years, WCS has been able to lower its tax rate due to “strong fiscal planning” and increased assessed valuation. Under the current tax structure, Hoffert said WCS assumes that will continue to be the case.
He also said the school corporation is not looking at doing a referendum with the project and looking at working within the budget the corporation has. Hoffert said WCS “has a debt capacity that is able to provide as we look out for that next 10 years.”
The Lakeview project is one WCS has been looking to put in place over the last 10 years. He said as the school corporation looks at the next 10 years, they know there’s going to be other projects that need to be looked at, such as roofs, athletic fields and general maintenance of other buildings.
Lakeview currently holds WCS’ alternative center, Gateway, and several WACC classes.
“So we realize any moving piece that we do impacts all four of those buildings, including Edgewood Middle School,” Hoffert said.
Over the past three years, Lakeview has been looked at and different options about the building were given to WCS. The options included building a new school, renovating Lakeview and finding a new homes for WACC and Gateway and combining the two middle schools and combing them at either Edgewood or Lakeview, he said.
Hoffert said WCS looked at other school corporations and what they’ve done to see what would be best for WCS. He mentioned, while the community continues to grow, birth rates are down, adding it is projected WCS’ enrollment will be steady in the future.
Through strategic planning, Hoffert said WCS realizes their biggest strength is academic diversity. Parents would like to continue all those options at the middle school level. That is not feasible with having the two middle schools in place, he said.
He also talked about efficiency regarding staffing and busing.
Hoffert went over the issues with some of options regarding Lakeview’s future. He then said the recommendation was to combine the two middle schools at Lakeview.
“As we’ve looked at that, we believe we have the right land context. We believe it’s the most economical for our community. So it definitely has a cost and a price tag that goes with it, but in comparison with some of the other options, we believe it is the best academic for our students. We also believe it also the best for our taxpayers here in our local community,” Hoffert said.
The WACC and Gateway classes would move to the Edgewood campus.
Hoffert said there would be a second public hearing in July. The project will take five to seven years and there is no tax levy increase with the project.
For people who want to find out more, there is a link on WCS’ website. There will also be two tours where people can ask questions at noon July 6 and 7 p.m. July 15.
There were no comments from the public.
The next combined school board meeting is at 4 p.m. July 21, when a second public hearing will be held.
