70%
tax credit

For the deferred maintenance, the plan still includes some, HVAC, and Electrical upgrades, but the scope has been refined and reduced:

• The boilers are in good shape and do not need to be replaced, but a small high efficiency boiler would be added to handle the load for spring, fall and summer bringing significant cost savings to the scope and operations.  

• Refurbishing the roof top units, rather than replacing them. 

• The electrical scope was refined as well bringing a cost savings. 

• The roofing scope was narrowed down to just the high priority areas, and a more cost effective rubber roof is being proposed.

For the learning spaces:

• There will be breakout spaces added to the high school and elementary areas for one on one learning.  This alleviates children sitting in the hallway to learn.

• A key renovation will be converting the choir room into theater/multipurpose space.  There will be a ramp onto the stage, as well as an ADA lift.  The stage will get a removable extension and there are numerous upgrades to the sound, lighting and acoustics.

• There will be a new life skills lab, where special education students can learn the basic life skills.

• The new cafeteria will also be an extra practice gym to alleviate late night practices and having PE and lunch at the same time.

• The multi-purpose room will have wrestling hoists to pull up the mats when not in use and there is also a coiling door opening to the new weight room.  This allows fitness activities to be happening at the same time as weights.

• The activities director’s office and speech pathology will be moved to more convenient locations, and these spaces will be made into an upgraded workroom and conference room.

• Development Adapted Physical Education (DAPE) space will be included in the Question One addition.

The facility condition assessment conducted by Nexus Solutions confirmed that some of our facilities have outdated systems for heating and cooling, electrical, and other critical infrastructure needs. Classroom instruction has also changed since our schools were built and areas of our facilities don’t meet today’s educational standards. While the District gets money every year for facility maintenance -- and will use this to minimize the referendum costs -- it is not enough to cover all the priority needs in our District.  

Additionally, Minnesota education funding does not provide enough funding for large capital renewal projects.  Unlike other public entities, school districts must seek approval from local taxpayers for large renovation, modernization or expansion projects.

Minnesota’s School Building Bond Agricultural Credit (AG2School Credit) provides landowners tax relief on school bonds by providing a 70% reduction for their agricultural property. It was created to help reduce and equalize taxes for agricultural landowners in rural districts where, historically, it was difficult to pass bonds because of how agricultural landowners were taxed.  Since the bill was passed, rural districts have been able to pass bonds that improve the quality of Greater Minnesota Education.

Bob Indihar, Executive Director of the Minnesota Rural Education Association (MREA) noted that the Ag2School Credit was a major priority and significant win for MREA and its districts when it passed with bipartisan support in 2017. Since the reduction of this funding would require an act of the House and Senate along with the Governor's signature, MREA believes it is unlikely to go away.  The State is well-positioned financially to continue supporting this, and MREA believes that it is solid legislation with strong support from both parties.

Although we fix what we can through our operating budget, facility needs that remain unresolved don't go away. Due to inflation of material and labor costs, the solutions only become more expensive the longer they go unaddressed. If the referendum is not approved, our School Board will continue reviewing options to address the identified needs since they cannot be addressed within the operating budget.

Ultimately, the District will have to go out for a bond to get these needs addressed to protect our facilities in the future.  

The improvements are a significant and timely investment in our community’s facilities. Postponing the improvements will only cost more later.