What WHRHS Needs:

$3 Million is needed to finish the high school, an increase of 7.8% over the original budget[**].  See chart.

Why do we need it?

The expansion and renovation is necessary to accommodate a 25% increase in student enrollment anticipated over the next five years

What will it cost?

Less than the cost of a textbook for the average homeowner.

$20 / year

 For each town the proposed yearly tax increases are:

Assumes $3 Million, 22 year bond @ 4.25%
Other Flexible Notes/Bonds Options $1/year higher.

The January 24, 2006 Referendum asks you to approve borrowing $3 Million to complete the WHRHS project^*.  We anticipate construction will be finished by the fall of 2006.

Are there any other options?

What do we get for our money?

• 24 New Classrooms including:

ü      5 New Science Labs

ü      2 New fine Arts Classrooms

ü      New Music Room

ü      New Computer Lab

ü      New Video Production Lab

• New Gymnasium

• New Cafeteria

• New Theatre

• Renovated 30+ year old facilities including:

ü      Library Media Center

ü      Classrooms

WHRHS is a 50+ year old school.  The last major expansion/renovation was in 1972.  The current $42 million project is 65% renovation and 35% new construction to accommodate the 25% student population growth expected in the next 5 years.  The project includes the addition of campus-wide security, life-safety/fire alarm and communication systems.

 Projected Impact if the referendum fails?

To house more students next year:

•  Lease Trailers for classrooms at significant expense     -and/or-

• Pay to Refit gyms and cafeterias for classes

• Permanent Trailers (if used) will be erected on concrete pads on the JV football field or in the student parking lot, eliminating one of those facilities

• Larger Class Sizes in 2006-2007.  

• Class sizes continue to increase each year

Cutbacks Considered in Every Program to Pay for New Classroom Space:

• No funding to hire new teachers in 2006

• Teacher shortage can eliminate:

•  Many Elective Subjects

•  “Opt-out Gym” for Extracurriculars

•  Most non-required activities

• Deep Cuts in Athletic Programs and other non-required activities

Likely Community Impact if the Referendum Fails?

• The construction site will be boarded up when the money runs out

• Our kids’ education opportunities limited

• Desirability of our community declines

• The value of our homes decreases

Potential Costs if the Referendum Fails?

• When the money runs out, construction stops.  We may be liable for additional fees and penalties.

• If the project stops for 120 straight days, the contractor can terminate the contract, seek payment for materials, equipment, lost profit and overhead.  The district may be sued for damages.[*]

• If the contractor terminates the contract, the district will be forced to prepare an entirely new set of bid specifications, which would increase costs substantially.[*]

• We lose the advantage in any litigation concerning the project.

• Any school area not finished when the money runs out will be “boarded-up” and closed lacking a "Certificate of Occupancy."

• We can’t use up to 55,000 sf of “boarded-up” space, yet we still have to “pay the mortgage” (bonds) and the insurance.

• The money to provide needed additional classroom space would come from the school’s operating budget. The current school budget was already slashed $1.3 million when the 2005 budget vote failed to pass. (6 teaching positions were cut in 2005 as a result.)

• Ultimately we have to finish the project.  The longer we wait the more expensive it gets.

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Why does WHRHS need 7.8% more to finish?

 Unanticipated Costs and Delays:

• Electrical Transformer Explosion

• Asbestos Remediation Delays

• Replacement of Steam System

• Rerouting of Water Mains and Building Footings

• “Overzealous building code interpretation” by Warren Township inspector, who has now been replaced by NJ State DCA

• Theatre Costs

  See chart.

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Will the “new” money be well spent?

We have a new Business Administrator, from Green Brook, who has successfully managed a $30 million multi-school renovation and new construction project like ours, on-time and on-budget.  With the intense scrutiny of our new acting Superintendent, and our construction attorney, all progress and expenses, past, present and future are being monitored and evaluated.  The BOE is on record: any construction funds remaining or money recovered through litigation will be used to reduce the amount borrowed and thus go back to the taxpayers.

[*] From the WHRHS BOE Newsletter Vol 30 #1 12/05
[**] The referendum also authorizes use of an existing capital fund of $265,000. 
A referendum is required to authorize this use..