Proposition St. Joseph Schools

Shall the Board of Education of the School District of St. Joseph, Missouri, without an estimated increase in the current debt service property tax levy, borrow money in the amount of Twenty Million Dollars ($20,000,000) for the purpose of providing funds to construct new roads at Oak Grove and Carden Park Elementary Schools; to expand Hosea Elementary School; to install a District-wide Intercom System; to upgrade sidewalks; to install turf fields and replace the tracks at Lafayette, Benton, and Central High Schools; to complete upgrades to the current Fine Arts facilities; to complete science and technology improvements; to upgrade the heating, ventilation, and air conditioning (HVAC) systems: to the extent funds are available, complete other repairs and improvements to the existing facilities of the District; and issue general obligation bonds for the payment thereof? 

If this proposition is approved, the adjusted debt service levy of the School District is estimated to remain unchanged at $0.5300 per one hundred dollars of assessed valuation of real and personal property.
 

Education

• Improve science & technology programs, $1 million
• Upgrade fine arts programs, $3.2 million

  • Upgrades to all high school theatres

  • Instruments (Band/Orch/MIOS)

  • Risers for district-wide use

  • Stage sound systems and screen equipment for all elementary schools

  • Replacement of stage curtains at 7 elementary schools

  • Kilns for 7 elementary art rooms

  • Document cameras for fine arts classrooms

  • And much more

Facilities

• Install district-wide intercom system, $2 million
• Enhance HVAC system efficiency, $2.3 million
  • Replacement and updates to the following schools: Robidoux, Pershing, Edison, Mark Twain, Spring Garden, Pickett, and Field
• Expand learning environment space, $3 million
  • Addition to Hosea for 3 new classrooms

Grounds

• Construct new roadways for accessibility, $1 million
  • Oak Grove Elementary
  • Carden Park, drive added from upper parking lot to 16th St. 
• Replace broken sidewalks, $1 million
  • Spring Garden, 22nd St and Gooding Ave
• Install turf fields and replace aging tracks, $6.5 million
  • Replacement at Lafayette and Benton
  • Upgrade at Central

The estimates above are based on preliminary assessments and are intended to provide a general understanding of the financial considerations associated with the project. In the event that there is excessive funding beyond the estimated project costs, such surplus funds will be allocated towards HVAC upgrades. 

Bond Issue Update – July 2024

With the recent passage of the bond, we want to inform the public about two eagerly anticipated projects and their timelines. Although the bond was approved in April, several steps needed to be completed before work could begin. These steps included selling the bonds, receiving the proceeds (in mid-June), and planning for the projects.

Oak Grove Road Project
The road construction at Oak Grove to help alleviate congestion on Cook Road is being planned but will not be a project that can be completed by the start of school in August 2024. This project involves the district and Goldberg Group Architects working with multiple entities, including the City and private property owners, and the timeline to have drawings, surveying, and permits will not give us sufficient time to complete before school begins. Additionally, this is not a project that can be completed while school is in session, as it would create even more traffic issues during construction. Construction will be ready to begin as soon as school ends in the Spring of 2025, and the project will be complete prior to the start of school in August of 2025.

Turf and Track Projects
The turf and track projects at all three high schools are on a similar timeline. Administratively, the district made the decision that all three schools would be completed on a timeline that all would be ready for the same season. With funds being received in mid-June, the timeline is just too short to have those completed prior to the start of the season this fall. Architects from Ellison-Auxier are working on plans for these projects, and the plan is to begin on-site work at the conclusion of the football season this fall. With that timeline, all fields and tracks should be completed prior to the beginning of school in August 2025.

Multiple projects and purchases are already occurring and in progress. Updates will be shared at the monthly board work sessions. The SJSD is excited about the positive impact these enhancements will have for students and staff.

Thanks to the community for investing in these improvements for our district.

Bond Project Tracking

What is the purpose of this bond issue? 
The bond issue will fund construction, upgrades, installations, and improvements including, but not limited to:

1. New Roads at Oak Grove and Carden Park Elementary Schools
2. Expansion of Hosea Elementary School
3. Installation of District-wide Intercom System 
4. Upgrades to sidewalks 
5. Installation of turf fields and replacement of tracks at Lafayette, Benton, and Central High Schools 
6. Fine Arts upgrades
7. Science and technology improvements 
8. Upgrades to HVAC systems 

Why now? 
Over the past few years, the District has worked proactively with a diverse group of stakeholders to develop a long-range plan. This plan identifies both the current state of the District’s facilities as well as future needs. The District can use bond proceeds now to fund these improvements so that operating funds can be spent on classroom instruction and teachers. Interest rates in the current municipal bond market are relatively low which is favorable to the issuance of bonds at this time. If these projects are delayed until next year or later, the cost of the projects are likely to be higher.

What is a general obligation bond issue? 

It is a legal means for a Missouri School District to borrow money from the private sector with voter approval. The interest paid on the Bonds to the investors is exempt from federal and state of Missouri income taxes which helps keep interest rates low. When voters approve a bond issue, the District obtains bids and sells bonds to the purchaser who offers the lowest interest rate. The District uses the funds to complete capital projects and pays back the debt over time. Passage of Proposition St. Joseph Schools requires approval by 4/7ths of voters, or a little more than 57 percent in the April election.

Will this bond issue raise my tax rate? 

NO. Voter approval of the $20,000,000 bond issue is not estimated to increase the District’s current debt service tax rate levy of 53 cents per $100 assessed valuation, which is dedicated to the repayment of bonds. Legally, the revenue generated by this levy can only be used to pay the interest and principal on the existing and new bonds. Funds from a bond issue CANNOT pay for salaries, benefits, supplies, utilities, or other operating costs. 

Multiple factors allow for this no tax rate increase, including:
The District has completed five principal prepayments and one refinancing of existing debt over the past four years saving the District $5,172,614 in future interest and, therefore, creating more room for additional bond payments. The District also has a prepayment scheduled for March 1, 2025, which will save another $819,900.

Due to participation in the Missouri  Direct Deposit Program, the bonds are expected to receive an AA+ rating from S&P Global which makes them favorable to potential purchasers.

Under conservative assumptions, the District’s current levy produces sufficient revenues to support the District’s existing debt as well as the proposed bond issue.  

Can I vote by absentee ballot? 
Yes, voters can request absentee ballots from their local election authority. All absentee ballot requests must be received by no later than March 20, 2024. People can vote in the County Clerk’s office by absentee ballot through April 1, 2024. To be valid, all mailed absentee ballots must be received by April 2, 2024.

What is the District’s plan if the voters do not approve Proposition St. Joseph Schools? 
Some maintenance and repair work may be deferred and most improvements, installations and upgrades postponed. Our schools could fall behind in terms of technology and infrastructure updates without these improvements. If the most critical needs are funded out of the day-to-day operating budget, it will take away from the funds that normally pay for classroom instruction and supplies.