MISD board learns rates for potential building projects

By Phil Major
publisher@wood.cm
Posted 11/18/21

Mineola school trustees got a first-hand view of the financial impact of a district building program Monday.

Steve Perry and Craig Cunningham with D.A. Davidson and Co. gave the overview.

This item is available in full to subscribers.

Please log in to continue

Log in

MISD board learns rates for potential building projects

Posted

Mineola school trustees got a first-hand view of the financial impact of a district building program Monday.

Steve Perry and Craig Cunningham with D.A. Davidson and Co. gave the overview.

Superintendent Cody Mize said the district has completed a facility study, is working closely with the advisory council and looking at pricing and costs for facilities.

At the next board meeting Dec. 13, the district will receive the demographic study the board authorized. The Mineola City Council will also be on hand for the results, which should show the impact of the new housing going up in the area.

Perry outlined the schedule for calling a bond election. The next uniform election date is May 7, and an election would have to be called at least 78 days prior to that.

Should a bond gain approval, it would be at least another 30 days before bonds could be sold.

His analysis was based on a 3.5% interest rate. School bonds are selling at 2.75%, but Perry said rates are trending upward as a reflection of inflation, and his firm’s figures are based on conservative estimates.

The district has seen its tax values increasing in recent years, and Perry said the figures budget for some growth for another five years, but none after that.

He noted that in the recent election cycle, about 60% of bond elections passed, down from the normal 80 to 90 percent, although East Texas did very well.

Based on a 30-year pay out, which is standard, a $20 million bond would raise the district’s property tax rate 17 cents.

Perry noted the district’s tax rate has fallen from $1.50 in 2005, when the state began addressing school tax rates. It dropped to 96 cents this year and is projected to fall again.

Even with an increase from a bond, Perry said Mineola’s school tax rate would still not be in the top tier among area districts.

In a related facility matter, Athletic Director Luke Blackwell brought figures for resurfacing the field and track at Meredith Memorial Stadium.

The track was last resurfaced in 2012, and the field turf was installed in 2013.

The track is recommended to be retopped every five years but has not been done.

The field turf was expected to last 10 years, and Blackwell noted it gets lots of use, from football, band and soccer, plus numerous youth activities and additional practice from other sports when their fields are wet.

Advanced technology in field turf gives the district the option of adding a cushion under the turf and a type of infill that will be cooler, Blackwell explained.

Trustees agreed to consider the options and make a decision at the next meeting, or perhaps a special meeting so that work on the track can commence in time for the spring season.

The field turf could then be installed in the summer for use next fall.

Three proposals were received for the project.

The bid from Hellas was almost $1.2 million, to include the pad and upgraded infill.

Paragon Sports bid $497,00 for the turf field with alternates totaling $85,000 for the pad and improved infill.

The track work with one alternate was $199,000.

Symmetry Sports bid $549,000 for the turf replacement with an alternate of $161,000 for the pad and upgraded infill. The track replacement was bid at $234,000.

In the monthly financial report, Business Manager William Bjork reported the district had a fund balance of $8.6 million, which is down almost $1 million from a year ago. That is primarily due to the $1.8 million expense for the new high school band hall and renovations. A grand opening for will be scheduled soon.

In personnel moves, Mize announced that Transportation Director Sherri Harding would be retiring in December, and Bill Self, who is a teacher-coach at the high school, would be the new director.