HOLYOKE — The state Department of Elementary and Secondary Education has approved a plan that would commit $1 million annually to the city by Holyoke Public Schools to help lower the potential taxpayer burden for the two proposed middle school buildings.
Jeffrey Riley, the commissioner of the state agency, sent a letter to Mayor Alex Morse and school district Receiver and Superintendent Stephen Zrike on Oct. 17 that outlines several legal funding avenues for the commitment by Holyoke Public Schools that do not affect net school spending requirements set by the state.
Voters will decide on Nov. 5 whether to approve a debt-exclusion override that would increase property taxes by an estimated 68 cents per $1,000 in property valuation for up to 30 years, the life of the proposed project’s bond. The tax increase was calculated on the assumption of the school system committing the $1 million annual contribution to the city, according a statement from the city.
“My approval is contingent upon the issuance of debt for the middle school building project and shall remain in effect during the period that such debt is outstanding,” Riley wrote.
The project for two 550-student middle schools would receive up to $75.8 million in funding from the Massachusetts School Building Authority, or MSBA, and the override would cover the remaining $54 million estimated to fund the project. Voting “yes” would send the project to the City Council, which would vote on issuing a bond. Voting “no” would mean the city would decline the state money and wouldn’t build the new schools.
For the average single-family home valued at $190,637, the debt-exclusion override’s 68-cent increase would mean paying an additional $129.60 per year.
“I want to thank Commissioner Riley and his team at DESE for reaffirming Holyoke Public Schools’ funding commitment to the middle schools building project. This project has been a partnership from the very beginning; between city hall, the State, HPS, and most importantly, Holyoke community members,” Morse said in the statement. “As Mayor, I will continue to do everything in my power to make this project affordable and impactful for our city and students.”
Riley’s letter details his approval for Holyoke Public Schools to adopt a “per pupil allotment method” for determining administrative service costs provided by the city to the school system — an allotment which is currently established at $121.53 per student. It also affirms that the cost of legal services by the city will be borne by HPS.
“We greatly appreciate the contribution that Holyoke residents would make to the two new middle schools and believe it’s important for the school department to make this significant $1 million annual investment as well,” Zrike said in the statement. “I am thankful that our teams at the City and HPS were able to figure out how HPS can contribute to the City.”
Michael Connors can be reached at mconnors@gazettenet.com.