CAT Tracks for November 30, 2010 SPECIAL BOE MEETING...MINUTES

Quick and dirty report on the agenda posted yesterday...

Meeting was called to order at 5:02 p.m. Coleman, Brown, Stubblefield, Gooden, and Burris answered roll call. (Brown left minutes later. McBride arrived at 5:13 p.m. Harris arrived at 5:49 p.m.)

Two main topics on the agenda:

1. Capital Development Board

This was a continuation of District consideration of a $3.6 million grant awarded from ISBE to fund an 8-classroom addition to Cairo Elementary, as well as supplementary grants of a $250,000 School Energy Efficiency Grant and a $50,000 School Maintenance Grant. The question: "How much does the proposed grants does the District want to take on, since they require matching local funds...25% for the "classroom addition grant" and "dollar-per-dollar" for the other two.

District Architect Dave Mevert was present to review the proposals and to urge the BOE to maximize their bonding ability.

Bond Adviser Kevin Wills was present to show the BOE ways to do just that...including a variety of ways to bypass statutory bonding limitations and to reduce their risk for a petition by taxpayers for a referendum on the sale of bonds...which will increase local property taxes. When a BOE member asked about the future consequences of borrowing to (and beyond) the debt ceiling, Mr. Wills informed the BOE that the "pay back" of the bonds would be a 20-year period, during which the BOE would NOT be able to borrow an more money for emergencies like a new boiler or a new roof.

At that point, Mr. Mevert interceded with an "Ahem..." Mr. Wills then corrected himself and said essentially, "Well, where there is a will, there is always a way."

Mr. Wills emphasized two other things: (1) That the machinations that he was proposing were LEGAL, and (2) That the decision as to how much to borrow was entirely up to the BOE...that HE was NOT a taxpayer in the District...so the tax rate increase wouldn't affect him. (Still my CATty mind, but I had to think that there was one other person sitting at the table that did NOT have to worry about a local property tax increase in Cairo School District Number One. When one lives in a rent-free cottage on school property, one doesn't have to worry about a thing!)

Mr. Mevert advised the BOE to be ready to adopt a resolution to issue bonds at their December 16th meeting...that any delay in adopting the resolution would delay the start of the building project from Spring to Fall or beyond.

Mr. Wills added that the BOE could adopt a "high amount" resolution...without commitment. Then, they could later choose to borrow all, part, or none of the amount specified in the resolution.