Richland 02 finance committee reviews $30 million borrowing to fund capital and technology needs

The Richland 02 finance committee on June 8 discussed a proposed $30 million borrowing to meet the district’s capital and information‑technology needs and to move repayment of an existing special‑obligation bond off the general fund.

Nancy, who presented the borrowing plan to the committee, said the proposal is an 8% borrowing of $30 million. She said $28 million of the proceeds would be used for operational capital and technology projects and $2 million would be applied to the annual payment on a district special‑obligation bond currently paid from the general fund; the change is intended to shift $1.4 million of debt‑related costs into the debt service fund and avoid a millage increase.

Mark, who described the district’s facilities inventory and priorities, said the district’s total infrastructure needs are $59.5 million but staff recommend borrowing roughly $10 million for facilities projects this year and $16.5 million for IT. He said staff identified 44 projects that meet the “critical” and “high” strategic alignment thresholds, with most needs tied to HVAC, roofing, and other structural components; a boiler replacement at Blewood High School was specifically flagged as a near‑term need. On transportation, Mark said the district is seeking to order seven activity buses to replace aging vehicles and noted a roughly two‑year lead time to procure buses.

On the IT side, Mark outlined a $16.5 million ask that includes about $7.7 million for scheduled device refresh (staff laptops and student Chromebooks), $5.3 million of recurring contracts (subscriptions, maintenance and licensing), roughly $1.2 million in operational expenses for cabling and fiber, and $1.5 million set aside to advance phase two of work on the Verizon building. He said phase one renovation work will relocate Pinnacle Point and add space for special‑education services, with demolition for phase two potentially starting in late July and a target move window from January through spring break depending on timing.

Committee members asked for documentation of the prioritized projects and for verification of the last replacement date for the Blewood High boiler; Mark agreed to email the project list and follow up with the boiler history. He also confirmed the district’s facility study — procured in April — will continue through the summer with a board briefing expected in September or October.

No formal action on the borrowing was taken at the meeting; the presentation and follow‑up materials are expected to be included in upcoming board work sessions and the board’s second meeting this month, when bond counsel is scheduled to present a bond resolution.