Oak Ridge Today

Guest column: The Oak Ridge High School debt chronicles

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Trina Baughn

Trina Baughn

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…]

School officials say millions in state funding at risk, could close schools Oct. 1

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Bruce Borchers and Mark Watson

Oak Ridge Schools Superintendent Bruce Borchers, left, and City Manager Mark Watson have had a series of meetings concerning the school system’s failure to pass a state maintenance of effort test, and a possible resolution of a $250,000 shortfall to avoid a potential loss in state funding of up to $1.87 million per month.

Schools want city to cover $250,000 shortfall, could require 2.5-cent tax increase

It’s a high-stakes battle between the city and the schools, with a potential loss of up to $1.87 million per month in state funding—and a possible shutdown of the school system on Oct. 1.

School officials said the Oak Ridge system has failed a state maintenance of effort test that requires local funding to remain at least the same from year to year. After some budget adjustments, there is a $250,000 shortfall, school officials said, and they want the city to cover it. It’s the equivalent of a 2.5-cent property tax rate increase.

“Unfortunately, we’re just in the position to ask the city to help us,” Oak Ridge Superintendent Bruce Borchers said Thursday. “They’re going to have to find that $250,000.” [Read more…]

Council approves water, sewer rate increases

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Oak Ridge City Council

The Oak Ridge City Council on Monday approved water and sewer rate increases that will take effect January 2014 and January 2015. (File photo)

There was much opposition online, and in phone calls to city hall, but few public objections to back-to-back utility rate increases at a Monday night Oak Ridge City Council meeting.

The Council voted in two separate 6-1 votes to raise water and sewer rates in January 2014 and again in January 2015. The increases range from 8 percent to 15 percent.

The new rate hikes, which will be considered on second and final reading in October, would result in water bills that could go up by a minimum of $1.35 per month in January 2014 and then another $1.19 per month in 2015. Sewer bills would increase a minimum of $2.78 per month next year and then rise another $2.13 per month the following year. [Read more…]

Council approves pedestrian safety projects, Chamber contract

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Oak Ridge City Council

During a special meeting Monday, the Oak Ridge City Council approved pedestrian safety improvement projects on Oak Ridge Turnpike and at Jackson Square, and approved a contract worth up to $175,000 with the Oak Ridge Chamber of Commerce. (File photo)

The Oak Ridge City Council on Monday agreed to use more than $500,000 in red light camera money to improve the city-owned parking lot on the north side of Jackson Square and make eight Oak Ridge Turnpike intersections safer for pedestrians.

Council also approved a $175,000 contract with the Oak Ridge Chamber of Commerce, an amount that was down significantly from previous years but higher than what City Manager Mark Watson had originally proposed earlier this year. [Read more…]