GREAT NEWS- BOND REFERENDUM COSTS COME IN LOWER THAN EXPECTED
In regard to the District’s Successful Bond Referendum Initiative, the sale of the $35 million in bonds to finance the referendum projects came in at a significantly better cost than the District had originally estimated. Originally, the estimates for tax impacts, involving this bond referendum, had been estimated for the public at a cost of $300.49 per year for the average house in Haddonfield over a 25-year-period. However, the actual costs, after the sale of these bonds, will be $258.66 per-household a year over a 20-year time period. Thus, the District has cut five years of financing entirely from a proposed 25-year payback period and are still saving taxpayers more than $40 per year for the average household.
The rate for these 20-year bonds will be 2.3958 % versus the referendum’s estimate of 3.53 % for the 25-year bonds. Therefore, the District has saved the taxpayers more than $8 million from the original estimates presented to pay for these referendum projects. In addition, the increase from the referendum to taxpayers will be implemented over a two-year time period. So, for the 6/30/2018 budget year, the tax increase will be only 2.08 % and for the 6/30/2019 budget year, there will be only an additional 1.38 %. These figures, however, will be in addition to whatever regular school budget increase is approved for the operational costs each school year.
This past summer, schematic drawings of major projects have been prepared for submission to the Department of Education for review with the bulk of the referendum initiatives, such as with the B-Wing of the high school, including the new gymnasium and cafeteria, to begin next summer over a two-year construction time period. During this summer, communications systems were repaired and installed, involving District phone and intercom systems. Other much needed building repairs will include masonry, roofs, and District-wide building envelop needs. Thank you again for supporting the Bond Referendum that will have significant positive impacts for our students in the decades to come.