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October 30, 2009

Schools get stimulus loans

Source:  http://www.decaturdaily.com/detail/46502.html

The Base Realignment and Closure process gets credit from politicians for area school systems receiving more than $34.2 million in interest-free bond money.

On Thursday at Bob Jones High School, Gov. Bob Riley announced how his office is distributing half of the more than $263 million in qualified school construction bonds.

The money is part of President Barack Obama’s American Recovery and Reinvestment Act.

The Tennessee Valley received special treatment because of the unique challenges it faces with BRAC, the governor said.

“We have to keep the promise we made to BRAC,” Riley said.

Because of BRAC, an estimated 5,000 families will be relocating to the Huntsville area.

“The bulk of the growth from BRAC is going to be felt in Madison County and eastern Limestone County,” said Sen. Tom Butler, D-Madison.

Riley said education is usually one of the first things BRAC families ask about.

“This money is going to allow schools opportunities to do things that they wouldn’t normally be allowed to do,” the governor said.

The money will allow two area school systems to construct high schools and allow two others to do more than $5 million in capital projects.

Hartselle is the big winner in Lawrence, Limestone and Morgan counties.

The city will receive $22.1 million in interest-free money to help construct a high school with an estimated cost of $40 million.

Madison will use its $36 million to build a high school in Limestone County on 80 acres the school system owns on County Line Road across from Heritage Plantation.

Hartselle Mayor Dwight Tankersley said he is excited to see his city’s project moving forward. The funding is expected to mean a sales-tax increase in Hartselle.

Council President Kenny Thompson said he doesn’t know when the council would vote on the increase, but he is sure there will be a tax hike.

“A majority of the councilmen have said they would support it because of the need for a new high school,” Thompson said.

Hartselle residents pay 8 percent sales tax. The increase would increase the tax to the 9 cents shoppers pay in Decatur.

Riley mentioned Madison City and Limestone County schools by name because of their proximity to Redstone Arsenal.

Bob Jones crowded

Madison Mayor Paul Finley said a high school in annexed Limestone is needed because of growth and to alleviate crowding at Bob Jones High School.

With 2,250 students in grades 10-12, Bob Jones is the largest high school in the state. It does not house ninth-grade students.

Limestone County Superintendent Barry Carroll said the $6.1 million his system received will build a gym at East Limestone High School and fund roofs for East Limestone and Elkmont high schools and other schools, if there is enough money.

The state fire marshal closed the smaller, 50-year-old gym in 2008, citing safety issues. The school used the gym for middle school physical education. High school students and athletic teams use the newer gym.

The Board of Education set a $3.5 million budget for the new gym. A committee asked that the gym include weight rooms and other facilities for the football team.

Carroll said the state is supposed to sell the bonds in November, which means the board could take bids on the gym in December.

BRAC impact

“I would be looking at a February time frame to start construction, if all goes according to plan,” Carroll said. “This is a great deal for us, and we appreciate the state working on this and considering the BRAC impact.”

Decatur City Schools received $1.05 million to help with renovations at Au­stin­ville Elementary School, while Lawrence County got $4.8 million.

Superintendent Heath Grimes said he will recommend that Lawrence County use a significant part of its money at sites where the board consolidated high schools.

At Speake, for example, middle school and elementary students are in separate buildings.

“I want to get them in the same building because it would be more cost efficient,” Grimes said.

The qualified school construction bond program provides tax credits to bondholders, as opposed to tax-exempt interest, which allows the government to offer the bonds with no interest.

The recipients, regardless of the amount, have to repay the money within 15 years.

State Sen. Arthur Orr, R-Decatur, was in Madison when Riley made his announcement.

“Many, many, many telephone calls,” Orr said about his role in getting money for the area.

School construction bonds

Counties

Dekalb 6,000,000

Jefferson 7,740,000

Lawrence 4,800,000

Limestone 6,159,000

Marshall 3,000,000

Shelby 1,106,000

Designated systems

Birmingham City 15,683,000

Montgomery County 11,421,000

Cities

Boaz 4,125,000

Cullman 3,899,000

Decatur 1,050,000

Dothan 3,750,000

Enterprise 6,000,000

Florence 1,532,000

Hartselle 22,115,000

Madison 36,000,000

Muscle Shoals 1,659,000

Tuscaloosa 13,545,000

Vestavia Hills 4,403,000