Templeton Elementary SchoolTime for a Fresh Look

Vote YES on Article 8!

October 20, 2016

Templeton Finances

●Templeton has no Bond Ratingo Withdrawn by Moody’s July 2014o Must complete audits to regain ratingo 2013 audit shows $1,000,000 deficito What will be the interest rate on the

school bond?

Templeton Finances

● Templeton would exceed our debt limit with the borrowing for this school.

Based on FY 14 data EQV 5% = $28,574,13510% = $57,148,270

Templeton Finances

●Templeton will need to ask MFOB to exceed 5% EQV debt limit.

● Templeton will need audits and a bond rating to apply to exceed 5% EQV debt limit.

Templeton Finances

No Audits = No Free Cash● No Free Cash Certified = No $$$ for

Stabilization Fund● Templeton has a very low amount in

our Stabilization Fund● Adequate Stabilization Fund is one

consideration in issuing a bond rating

Templeton Finances

● The School was “sold” as costing $1.74 per thousand valuation – that is a mistake

● The $1.74 per thousand valuation did not include retiring the “old school” debt from the high school/ middle school project

● The bottom line – no one knows what the effect on the tax rate will be.

Templeton Finance Conclusions

● The town of Templeton has bad credit and will have a HIGH interest rate.

● The recession hit us hard. Many families in town are struggling financially, and most Seniors are on fixed income.

● A big tax hike could force you or people you know out of their homes or into short sale, which is a personal tragedy and brings all property value down.

What are the problems?Site Problems● Inadequate land for the planned school● A Really Bad Traffic Plan

◦Adds Two One Way Streets in Templeton Center◦Dangerous Drop-off and Pickup◦Based on 80% bussing. What if that changes?

● Destruction of new playground is not environmentally friendly.

● Why create traffic problems in Templeton?

What are the problems?Ashburnham and Athol just built similar sized schools for a similar capacity of students.  Athol’s price tag = $3.8M (7.8%) less than our proposed school. Ashburnham’s price tag = $17.6M (37%) less than our proposed school.  

Templeton’s proposed school is more expensive for the same need because we’re building on a postage stamp lot when there is plenty of room in town.

Could the School be Smaller? The Donahue Institute at UMASS Projected Population for Each City & Town in Massachusetts● Projection for Templeton:

◦School Age Population Drops 8.2%◦Elderly Population Increases 98.1%

Vote YES on Article 8!

Who of us would take out the biggest mortgage of our lives without knowing how much money we have, what the interest rate will be, and how much we’ll ultimately have to pay back? Who of us would not want a less expensive school with more room for safer traffic pattern, adequate green play and parking space, and room for future expansion? No one. This is no-brainer.