HILLSDALE—The school district superintendent told Pascack Press Dec. 4 that the district is waiting for its bond counsel to update 2023 assessed home values and plug in recently lower bond interest rates before releasing annual tax impact estimates on three proposed renovation options for George White Middle School over a 20-year bond term.
Superintendent Robert Lombardy said the district hopes those two factors—higher home values and lower annual bond interest rates—help to reduce annual tax impacts over the required 20-year bond term, although he conceded that the costs would be above the 30-year bond term estimates previously provided on options that ranged from $45 million to $55 million.
School officials revealed Nov. 1 that they were told by their bond counsel that only 20-year bond terms are allowed on school renovation projects, which came as a surprise. They said then that they expected annual tax impacts to increase but offered no specifics, awaiting more refined numbers from bond counsel.
The total renovation costs for each option will be unchanged, school officials said, but taxpayer costs will increase as the projects must be paid over a 20-year bond, not a 30-year bond as previously estimated by officials.
(See “Voters Get Bond Option Overview on Jan. 11,” Michael Olohan, Page 1, Dec. 4, 2023, Pascack Press.)
Lombardy said the updated annual bond costs would be revealed at the third forum on Thursday, Jan. 11, 2024, 7 p.m., at George White school cafeteria/multipurpose room.
At the Nov. 1 forum, Lombardy only provided cost estimates for a 30-year bond term. The three options ranged between a $737 annual tax impact (lowest Option 3) to $815 annual tax impact (middle Option 1) and $905 annual tax impact (highest Option 2).
The district offers archived videos of the Oct. 5 and Nov. 1 forums on its website, along with copies of Lombardy’s slide presentations.
Based on feedback at the two public forums, a majority of residents appeared to favor Option 3, the lowest cost option, which was estimated to cost $737 yearly, or $61.50 monthly for an average homeowner.
That option offers a full renovation of George White, reconstruction of the current multipurpose room, additional parking/rerouting of the drop off zone, temporary classrooms, artificial surface field, fifth graders remain at George White, and new construction including enhanced programming (Robotics, STEM, and Industrial Arts) and additional classrooms.
While Lombardy said Nov. 1 that he anticipated monthly costs to rise between $15 to $20 due to the 20-year bond term, another resident alleged they would rise nearly 50% over prior annual tax impacts. Several residents raised the cost issue Nov. 1 but no answers were provided.
Lombardy said the district was waiting until its bond counsel could calculate the impact of increased home values and lower bond costs, noting those two factors should help ease the tax increases needed to undertake school renovations.
Lombardy told us that school officials anticipate average annual tax impacts to likely not vary much from original numbers provided at the Oct. 5 and Nov. 1 public forums.
He said with updated home assessments for 2023 used and recent declines in annual bond rates, from around 4.5% to 3.75%, they anticipate the lower rates will reduce expected tax impacts on the shorter 20-year bond terms required for school renovations.
Lombardy said it appeared most Nov. 1 forum attendees also favored a multi-part referendum question, which could allow an overall question to fund George White renovations.
He said a multipart question could allow second and third questions for voters to consider possible funding for school additions, enhanced programming, or a turf field. All those options may be up for future discussion, he said.
In a December 1 letter to parents, Lombardy said, “Among the Board of Education’s priorities is the updating and creation of space to accommodate our current and future learners and programming at George G. White Middle School. The undertaking of this task will include replacing an aging infrastructure inclusive of HVAC, electric, roofing, windows, doors, common areas and classrooms along with outdoor recreation space. Each of these challenges are significant and there is no ‘small fix’.”
Lombardy’s e-letter invites parents to the Jan. 11 forum. Pascack Press requested a copy of the letter.
“On Jan. 11, 2024 we will host the third meeting in this three-part series of feedback sessions before the board moves forward in contemplating the referendum anticipated to go before voters in September 2024. The January meeting will provide a similar opportunity to our community to learn about the same plans presented at the October and November meetings, view updated cost estimates in real-time, collaborate and ask questions,” Lombardy wrote.
He added, “I am confident that together we will work toward a plan that makes the learning experience and learning setting for Hillsdale children among the best in Bergen county for many years to come.”
Editor’s note: This is the complete story as teased in our abridged article, which ran Dec. 11, 2023.