Sunday, December 19, 2010

New MS Annual Cost

When the NASD determined to build a Middle School and to divide elementary into three local schools for K-3 and one central intermediate school for grades 4-6, it was noted that $2,072,224 per year would be needed for “indirect costs associated with the Project (new Middle School).”

In looking back, it seems the figures work out as follows:

·         Salary and Benefits: $1,571,199

·         Transportation: $395,000

·         Buildings & Grounds: $490,475

·         Debt: $3,500,000

Grand total:  $5,956,674 per year additional.

With a school wide enrollment of 4628, the new building costs are $1287 per student in 2011-12.

Salary & Benefits

2009-10 school year was the first with the new Middle School. Staff increased by 26 in the NASD in the year the building opened. Three were added to the District Office and HS. Thereby, 23 staff were added for the new building once transfers from Elementaries and Middle School were complete.

The average cost in salary and benefits per staff member in 2009-10 was $68,313, or $1,571,199 additional due to the MS.


Moving 4-6 to the intermediate school resulted in less walkers, which increased the transportation costs. In 09-10, 91% of the students required transportation compared to 86% the year before.

The transportation budget increased by $395,000 in 2009-10, despite a decrease in total student population.

Buildings & Grounds

The Budget by Department Comparison indicates that the Buildings and Grounds line item increased by $380,375.

In 08-09 the MS cost was $127,875 and in 2011-12 when the MS was the new building on Friedenstahl instead of the old building on Tatamy Road the cost rose to $133,184 an increase of $5,309

The savings in operating the three elementary schools is eliminated as their levels in 08-09 are nearly equal to those in 11-12.

The Intermediate School, which had no budget in 08-09 because it was then operating as the MS, has a budget next year of $123,810.

So the cost for the buildings plus an increase in Buildings & Grounds (less a 5% annual increase) equals: $490,475


Since the NASD borrowed most of the money to build the new MS, our annual debt payments have increased. From 1998-2004 our annual debt service was between $3.5M and $6.1M. Since then our debt has ranged from $6.7 to $9.8, which equates to an increase in our annual debt service of roughly $3.5M

Posted via email from Ross Nunamaker

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