C. J. Huff: Why we needed the artificial turf, press boxes, and tennis courts

Joplin's newest blogger, C. J. Huff, addressed the six-and-a-half-mile ribbon in his first "Real or Rumor" blog last week.

Earlier today, Huff posted his second blog, explaining the reason for the $8 million in "might-as-well' spending, a phrase which he does not use in the post.

In the blog, Huff explains why we needed to build four extra tennis courts, put artificial turf and lighting on all fields, and build press boxes at the football and soccer fields.

The blog post is printed below:

Today’s Real or Rumor topic: The $8 million loan

The facts:

• By the end of 2014, we will have completed more than $200 million in construction projects. These projects officially began on May 22, 2012, with the groundbreaking ceremonies held at Irving Elementary, Soaring Heights Elementary, East Middle School, and Joplin High School/Franklin Technology Center. Additionally, as promised, renovations are occurring at several elementary schools, and 14 community safe rooms should be completed before the next spring storm season (7 have already opened). 
• These projects are being funded by our patrons’ approval of a $62 million bond issue, insurance proceeds from our destroyed schools, reimbursements (and projected reimbursements) from Federal Emergency Management Agency and State Emergency Management Agency disaster funds, grants, and donations.
• We are over budget by $8 million and need to borrow these funds to complete the rebuilding projects.
• The $8 million loan is considered a long-term loan. It can be paid back over a period of 20 years (less if we choose). We are still in the process of securing the loan, so we don't have an interest rate to share with you at this time. However, interest rates are still low, and we expect a competitive rate in the vicinity of 4%.
• The loan will be paid back through a reduction of our capital outlay budget in the amount of $600,000 per year. Our capital outlay budget covers items such as new windows, roofs, heating and air units, and lights. Our total capital outlay budget for FY2014 is about $1.5 million. It will be reduced to about $900,000.
• We expect our capital outlay needs to decrease for several years because of all of the new square footage, renovated square footage, and improved energy efficiencies in the district. This will free up funds in the capital outlay budget to put towards this loan repayment.
• However, after five or six years, we expect our capital outlay needs to start to increase again. At this time, additional revenues or cost savings will need to take place to help cover the loan payment. Over the next five years, we will work to identify and earmark these new revenues and cost savings.
• We encountered close to $6 million in unexpected mining and site issues at the JHS/FTC site and the Irving site. We were well aware of the fact that mining might be an issue on these projects (it’s Joplin) and had contingency funds to cover some of this. We did not discover the extent of the issues until well into the construction projects. 
• Over the last three years, we have expanded the scope of our projects to include additional square footage, upgraded materials, and improved athletic facilities. These were conscious decisions. We knew they would increase the cost and scope of the construction.
• In addition to the long-term borrowing, we also need short-term borrowing (11 months or less) to temporarily cover construction costs that will be reimbursed through FEMA and SEMA. We are required to pay contractors 100% of the building costs upfront and then submit the reimbursement requests to FEMA and SEMA for review, approval, and reimbursement. FEMA and SEMA cover 85% of the obligated costs to rebuild (they do not reimburse funds toward improvements or additions beyond the scope of the original destroyed buildings). This turnaround time can take three to four months. We plan to update the Board of Education on this short-term financing at the August Board of Education meeting.

What has been expanded?

Joplin Schools Board of Education approved funding for the added features that were evaluated and recommended by the Board Facilities Committee – features that were not part of the high school destroyed by the tornado. These include

• lights at athletic fields and courts, including softball, practice football, and tennis, which will allow for evening practices and games;
• four additional tennis courts for at total of eight courts, which will allow for needed practice and will enable JHS to host tournaments; 
• restrooms, concessions, and bleachers for parents and spectators;
• press boxes for football and soccer;
• artificial turf for soccer, softball, baseball, and football, which will lower maintenance and water costs associated with grass fields and increase durability and use of fields;
• additional fields that allow for on-site practice and reduce travel costs related to busing;
• upgraded materials including roofing and heating and air units to improve energy efficiency and reduce ongoing maintenance and utility costs. 

 

Why not wait to add these features?

• We know that construction costs typically go in one direction only and that’s up. It is less expensive to complete these projects now than it will be in the future.
• We can start saving money now through lower maintenance costs, lower utility costs, and reduced transportation costs (students traveling by bus daily for practices off-site).
• By completing these projects as we are rebuilding, we avoid future disruptions to school operations and the need to alter newly completed construction to add these features.
• We believe that these additions will serve the needs of our students, parents, and community now and for decades to come through increased engagement and participation.
• Interest rates are relatively low.
• We believe that, despite the additional costs, now is the right time to complete these projects with the added features to serve our community now and in the future.

 

In the spring of 2012, we asked for your support of a $62 million bond campaign. We promised bigger, better, and safer schools. With your support, this year so far, we have completed

• two new elementary schools (Irving Elementary and Soaring Heights Elementary),
• one new middle school (East Middle School),
• seven community safe rooms (Cecil Floyd, Irving, Soaring Heights, Stapleton, McKinley, Eastmorland, and Junge Field).

 

And, on Aug. 25, the combined Joplin High School and Franklin Technology Center will open for students.

We have seven additional community safe rooms under construction to be completed this fall and winter (Jefferson, Kelsey Norman, Royal Heights, Joplin High School, West Central, Columbia, and Duenweg). We are also completing renovations this summer at several of our elementary schools. Renovations include

• all new restrooms at seven elementary schools,
• new carpet in classrooms at three elementary schools,
• landscape additions at four elementary schools,
• additional projects such as playground equipment at Cecil Floyd Elementary and a converted classroom at Jefferson Elementary to ease overcrowding.

 

What about West Central Elementary and Columbia Elementary?

Both of these schools are getting community safe rooms that will also serve as gymnasiums. These safe rooms should be completed before the next spring storm season. These projects have taken longer due to the historic nature of these schools. 

There is no question that we need to have hard discussions about what’s next for these two buildings. They are two of the oldest schools in our district. This fall, we will reconvene our community facilities committee to begin discussions regarding these two schools and future plans. We look forward to this process.

 

Do you have other questions?

Email your questions to webmaster@joplinschools.org. I will address some of them in this blog post, and we will do our best to answer all questions on the Real or Rumor web page.