In 2024, voters considered a single proposition that represents a total of $47.17 million in facility improvement investments across the district.
Proposition Details and Tax Impact
The Niskayuna Board of Education worked very closely with its financial advisors, architects, and construction managers to develop a capital project to meet the needs of students and help maintain facilities in a fiscally responsible manner.
The goal throughout the planning was to develop a proposal that does not increase taxes more than necessary.
How it possible to not increase taxes for this project?
The answer is based on three pieces of information:
- The district has a reimbursement rate of 68% from the State of New York for projects that are aidable. That means that for every $1.00 we spend on projects that the state deems aidable, nearly 70 cents comes back to the district in state aid.
- The district has over $7.5 million available in a “capital reserve” fund. This fund, which voters previously approved, allows the district to set aside money to help fund the improvements,
- The size and timing of the project is based on when the district is paying off debt for previous improvements. As we pay off old debt, the debt for the proposed work of a similar value would come online with little impact to the tax rate.
These three factors put the district in a position to undertake more than $47 million in facilities improvements with only a 0.85% tax rate increase.
Didn’t the 2021 capital project include money for renovating Van Antwerp (VA)? Why was more funding needed?
Yes, the 2021 capital project included plans to address work needed at VA. However, the impact of inflation and rising construction costs resulted in bids for the work at Iroquois MS being higher than projected pre-pandemic. As a result, completing the anticipated work at VA required funding beyond what was available through the 2021 referendum. It is important to note that more than $7 million in funding from the 2021 capital project was remaining for work at Van Antwerp, which will help complete the substantial renovations and additions.
Sources of Project Funding
- State aid: (68% of approved project costs)
- NCSD Capital Reserve Fund
- District borrowing (debt service payments)