The Oak Ridge High School Debt Chronicles—How a $40 Million Project Will Cost Taxpayers Over $126 Million (So Far)
It appears that the nearly three-year long debate between the Oak Ridge City Council and the Board of Education (BOE) over who owes what on the high school renovation project—the single largest financial expenditure that this city has ever made—is about to be resolved once and for all (or so some hope). To many, this will provide a welcomed relief. For all, it will once again extend and increase a debt obligation far beyond what anyone ever imagined.
Just over one week after the initial public revealing, council will vote on a resolution to end the debate on the high school mortgage issue. The root problem that this resolution will address is not ambiguity in the 2004 referendum or in any “gentlemen’s agreements.” No, the reason that this resolution is necessary, according to the fifth “Whereas,” is “changing community economics and increasing educational needs.” The need for this resolution, which will violate the original understanding and intent of the 2004 referendum, boils down to an implied need by the Oak Ridge schools for more money.
If passed, this resolution will allow the BOE to retain the portion of the half-cent sales tax revenues collected outside of the City of Oak Ridge and will accomplish the following: [Read more...]