Would fund solar energy projects for the three school buildings
The Greene County Community Schools board of education heard detailed information about issuing private placement, general obligation capital loan notes at its March 13 regular meeting. The notes, possibly as much as $5,075,000, would fund installation of solar energy systems at the district’s three school buildings.
Matt Gillaspie of Piper Sandler presented to the board via Zoom. That portion of the meeting was not available to constituents who watched the livestream of the meeting, and it is not part of the recorded livestream posted to the district’s website.
The notes would be backed by anticipated revenue from the district’s voted physical plant and equipment levy (PPEL).
Gillaspie explained that the vote PPEL includes both a property tax and an income tax surtax. Currently the PPEL is $1.02 (per thousand dollars of taxable valuation) and a 3 percent surtax on state income tax. Only the amount generated by the property tax levy can be borrowed against.
The total PPEL (income tax surtax and property tax) generates $1,039,000 annually with current property valuations. The portion that is derived from property tax is $781,000. The payment on the notes could not exceed $781,000 per year, leaving the remaining portion available for other uses such as school buses, technology, building repairs, etc.
The private placement bond sale would not require a vote of the public. The school board would approve a letter of engagement with Piper Sandler in April and the bonds would be put out for bids May 20. The board would take action on the bids in June and the funds would be available July 2.
The bonds would be paid over 10 years.
Gillaspie projects the interest on the bonds at about 3.75 percent.
Board member Michelle Fields asked Gillaspie for information showing a bond placement of $4 million.
In February school superintendent Brett Abbotts provided an estimate of $3.8 million from Atwood Energy Systems of Sigourney to install solar energy systems at the three district buildings. Estimated savings to the district in energy costs were estimated at $10.9 million over the length of the project, or $213,444 annually.
The board had not previously discussed installing solar energy at a public meeting.
If the district were to place the full $5,075,000 in bonds, the money above the cost of the solar project could immediately be paid back to avoid paying interest on the full amount, or it could be used for any allowed use of PPEL funds.
Payment on the bonds would be set when they’re placed. If the total taxable valuation in the district increases, resulting in more PPEL income, the additional money could be spent on other allowed PPEL uses.
After the conversation with Gillaspie, Silbaugh asked about next steps. Abbotts said going forward with the solar project does not require board action, “but there could be a one-on-one conversation if there’s any hesitations or anything like that with moving forward with the solar project.”
In other business, the board ratified the 2024-25 negotiated agreement with the Greene County Education Association. The agreement reflects an increase in salaries and benefits of 3.22 percent; increase to the base salary is 2.96 percent.
Base salary for a first year teacher with a bachelor’s degree will be $34,300, with another $6,200 in a state-provided teacher salary supplement (TSS). The state will allocate additional funds to bring the minimum salary to $47,500, including the TSS, for the 2025-26 school year.
The board approved resignations for the purpose of retirement from teacher Leanna Ausberger (24 years in the district), Jean McKenzie-Vickers (11 years as paraprofessional), and Colleen Sillyman (12 years as custodian).
The board approved the sharing agreement with Paton-Churdan for the 2024-25 and 2025-26 school years. The agreement is similar to the current agreement except that continuing the agreement will be the default, rather than discontinuing. If neither district informs the other of the intent to discontinue the agreement, it will renew on a year-to-year basis.
Paton-Churdan will continue to pay Greene County 95 percent of the statewide average district cost per pupil for general classes and 100 percent of that cost for advanced math and science courses and career and technical education (CTE) courses.
No changes were made to the list of shared sports.
During the open forum portion of the meeting, Cindy Wise of Jefferson asked for clarification of a letter read at the March 12 Jefferson city council meeting from Abbotts noting that the district could handle an influx of students that could result from completion of the 40- 50-unit project.
Board president Silbaugh responded that the board cannot respond during the open forum but would get back to her with answers to her questions. Wise then requested that more information be communicated to the public via the news media or social media.
Abbotts told Wise that if she gave him her contact information he would get back to her with answers. “You want me to disseminate it, then?” Wise asked.
“Do with it as you wish,” Abbotts responded.
