D-26 addresses referendum
By BRIAN SLUPSKI - bslupski@nwherald.com
CARY – District 26 officials talked about the need for a $17 million referendum Thursday night while acknowledging the difficult economic times.
District officials addressed a crowd of about 16 residents who had turned out to hear a presentation on the referendum.
The school district will ask voters to approve the $17 million working cash bond in the April 7 election.
If approved, $10 million will be used for capital improvements such as replacing the roofs of Three Oaks School and Deer Path Elementary School. The money also would be used for technology upgrades such as replacing older computers and for other capital projects.
The remaining $7 million would be to restructure district finances and end short-term borrowing. The district currently has to borrow – last year it was $9 million – to pay its bills and then pays off the short-term loan when tax dollars arrive. This practice cost the district about $130,000 in interest last year.
If approved, the referendum would cost the owner of a $300,000 home about $47 more a year.
Mike Lindsey, who has lived in Cary for 28 years, said he did not have a problem with the $47, but he was concerned about the long-term use of the $7 million.
“Is that $7 million going to get touched?” Lindsey asked.
District 26 Superintendent Brian Coleman said that the intention of the current board was not to touch it.
Coleman said the school board would have to approve any use of the money.
“For me to say what a future board is going to do, I can’t say that,” Coleman said.
Lindsey also asked whether an education fund tax rate increase would be “coming down the pipe” next.
District 26 does have an annual budget deficit of about $2 million; however, Coleman said the working cash bond should be able to get the district through the next three to four years.
Unlike an education fund tax rate increase, the working cash bond tax rate would be temporary.
The tax rate would end after 11 years.
