Lease Action Delayed Another Month

Lease action delayed

By Lynda WellmanSTAFF WRITER

Posted: 02/04/2009 07:11:05 PM EST

Proposed primary school leases for town-owned buildings in Region 12 are stalled once again.

Without the 20-year leases, the region can't get state reimbursement for eligible work. It has already forfeited $51,000 for roof work and stands to lose $20,000 for replacing an oil tank.

After more than an hour of debate Monday, the regional Board of Education voted 8-3 to table action on the leases in order to have them reviewed by the board's attorney.

Several members of the regional board that covers Bridgewater, Roxbury and Washington appeared ready to vote and were shocked to learn that a legal review had not occurred.

Asked why, Superintendent Bruce Storm said, "I'm too cheap."

Dr. Storm explained he's keeping a close watch on legal billing and noted leases before the board are the seventh draft.

"We let the attorneys for the towns develop [the leases] to save our money," Dr. Storm said.

The issue has been contentious for almost two years, with the towns demanding the region agree to complete lists of maintenance and repair items.

Board member and lease committee chairman Jim Hirschfield said the proposed leases obligate the board "to fund the repairs in five years."

The estimate for the work totals about $1.8 million, but that number is being scrutinized by a working committee established by Dr. Storm, who proposed last month the work be bonded and completed in one project outside of the leases.

The goal of the working committee is to have the cost estimates to Dr. Storm by April for presentation to the board, and if approved, eventually to a referendum vote in the region.

Mr. Hirschfield noted if a referendum on repairs passes, then the lease obligation would be eliminated. If there is a vote for consolidation, the repairs would still have to be completed.

He said residents deserve a chance to weigh in the leases, but he's also concerned that the buildings are old and the proposal would not be economical going forward.

The proposed leases require the board to include a minimum $100,000 annually in the budget for the first five years of the leases for primary school repairs as well as up to 0.75 percent of any operating surplus up to 1 percent of the budget.

Member Tony Bedini, who chairs the working committee, predicted "$100,000 isn't going to begin to do the job" and the board would be looking at a "big number" in five years.

Member Irene Allan said it's unacceptable for the board to agree to leases that obligate the board to complete repairs at the expense of educational priorities.

"If we have repairs in the budget, who is going to guarantee those budgets will pass?" she asked. "I think this entire document is misguided."

"I'm not against doing the repairs," Ms. Allan said. "I am against codifying them in a lease."

"We are mixing two really separate issues," said Valerie Andersen. "Where are the dollars coming from to do this in five years with no bond?"

She urged tabling the leases until the board could complete repair estimates, know the results of a bonding referendum for repairs, and know what impact a new Washington Primary School or consolidation in the future would have if 20-year leases are in place.

In years six through 20 of the leases, the region is to guarantee $150,000 in budgets for ongoing maintenance.

Dave Baron, the board's facilities committee chairman and a lease committee member, said the board has averaged more than $150,000 annually in past years on maintenance and repairs.

"It's goofy to say we are tying ourselves up," he said. "We are overdue for this folks. Get on board"¦ it's time to just face this and move forward."

Board chairman Matt Franjola argued lease approval should come before any bond referendum. He said not approving the leases would engender ill will in the towns and there would be no leases in the foreseeable future.

"We have to take care of what has not been done," Mr. Franjola said, adding, in this economy "I think consolidation is doubly dead and renovation is slightly dead."

Others said they support a bond referendum for repairs, but agreed the leases need to go forward as well, that the two issues were not mutually exclusive.

"We can't duck the lease issue," said Mardie Ford, who along with Ed Wainwright and Kelly Lott opposed tabling a vote on the leases.

Mr. Wainwright said shelving the leases when there is agreement with the towns would be seen by the public as not negotiating in good faith. He fears with a budget referendum coming there won't be time for a bonding referendum for repairs.

If the board approves the leases, then they will go to town meetings in the three towns for approval and then to the state for approval.