Shelbyville Daily Union

Local News

August 10, 2012

School District Seeks City Support for Sales Tax Referendum

SHELBYVILLE, IL. — The Shelbyville City Council heard a request from the school board Monday for support in future renovation and repair projects for the aging buildings.

Superintendent Denise Bence told the council that installation of geothermal system and new energy efficient windows is near completion thanks to money from QZAB no-interest bonds and the district budget. But the bonds and the interest levy is now maxed out for the next 15 years.

“We have a 1950s steampipe system at the High School that needs to be replaced,” Bence said. “They don’t make parts for that system anymore and we can’t regulate the heat. You can drive by the school during the winter and see upstairs windows open because it’s just too hot (in the classrooms). That’s a loss of $77,000 a year in heating costs.”

Bence noted that a new system would cost $2.5 -  $3 million to replace the system, no including asbestos removal.

She added that the district would like to have all students housed on the Moulton/High School campus. Architectural drawings have been done to show Moulton as a preschool/elementary building and the Junior High would be part of the High School building.

“We are on the state construction grant list for 2004, but we’re still waiting,” Bence said. That grant would cover 72 percent of the project cost. The city would have to cover the other 28 percent.

The school board is asking for city approval to put a  one percent sales tax referendum on the ballot for the city of Shelbyville.

A similar county-wide referendum was defeated twice in recent years, but the second time, Shelbyville voted yes 462 to 294.

To get the tax increase, a waiver would have to be approved by the state to include school buildings in the definition of infrastructure under the Non-Home-Rule Sales Tax.

The earliest the referendum could appear on the ballot is April 2013 and, if passed, the schools would not receive funds until 2014.

Items such as licensed vehicles, boats, farm equipment, groceries and prescriptions would be exempt from the proposed tax.

Currently Shelbyville has the lowest sales tax rate in the area, with exception of the additional 1 percent in the Business District.

“We people shop out of town, they are paying for that city’s schools,” Bence noted.

Bence also noted that the school population over the past several years has been holding steady and even increasing a little this year.

“We’re using every single classroom we have. We have no more room,” Bence said.

Council members agreed that the referendum should be put on the ballot. A letter of intent between the City and the school district will be drawn up for approval.

The Council also heard a presentation by Darin Clarke of Utility Service Company regarding the five water storage tanks in Shelbyville.

He showed pictures of the deterioration of the tank structure at the Main and Cedar Street site. That tower is dated 1955.

“You do oil changes so the car doesn’t lock up. You do maintenance on the towers because it’s expensive to replace,” Clarke said.

He explained what it would take to repair and maintain the tower.

“You have to protect the integrity of your drinking water,” Clarke said. “Regular maintenance is something you can budget for annually.”

The matter will remain open for further discussion as  Commissioner Brent Fogleman asked for information from several companies for the work.

In other business, the Council approved a street closure request of South 5th Street between Cedar and Spruce on September 8 for the MMA event.

As the liquor commission, they approved the variance for a beer tent on the site of the MMA event on September 8.

The Council also approved to amend the liquor code to  reduce the number of Class E licenses from 4 to 3.

City Engineer Alan Spesard told the council about the federal grant that was awarded to the City to improve East North 9th Street from the railroad tracks to the Dam West Recreation Area on Lake Shelbyville. (See Daily Union August 7 edition for more of the story.)

“With the exception of Main Street, that (9th Street) is the street with the most use,” Spesard said.

 

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