ROANOKE TIMES 
                      Copyright (c) 1996, Roanoke Times

DATE: Friday, March 29, 1996                 TAG: 9603290039
SECTION: EDITORIAL                PAGE: A-9  EDITION: METRO 
SOURCE: LEE B. EDDY


WEIGHING THE PROS AND CONS OF THE BOND REFERENDUM

AS A MEMBER of the Board of Supervisors who agreed to submit the $37.4 million question to the voters, I believe each citizen should evaluate the following questions and answers before casting a vote on April 2.

* Is a new Cave Spring High School really needed?

Most of the bond proceeds would be used for a new 1,900-student Cave Spring High School, designed to accommodate enrollments expected 10 years from now. The existing Cave Spring High School would be converted to a grade sixth through eighth middle school with capacity for 750 students, and Hidden Valley Junior High School would become a grade sixth through eighth middle school. The existing Cave Spring Junior High School buildings on U.S. 221 would not be used for school purposes.

The existing high school building has narrow corridors and limited common spaces such as the cafeteria and library. Parking and athletic fields are confined by a site completely surrounded by residential areas. With a current enrollment of approximately 1,200 students in grades 10 through 12, crowding and limited space will become a greater problem as the area population continues to grow.

Almost all school systems in the country now have grades nine through 12 combined at the high school level, for reasons of academic-class availability and comparable athletic teams. When the new Glenvar Middle School is placed into operation in the fall of 1996, all of Roanoke County will be organized with grades six through eight in middle schools and grades nine through 12 in high schools, except for the Cave Spring area.

Good academic programs require appropriate and up-to-date facilities. Unfortunately, the problem in Southwest County, where there are now two junior high schools with grades six through nine and one high school with grades 10 through 12, has defied a direct, easy, economical solution. The current proposal is the result of a detailed study involving a nationally recognized consultant and many county citizens.

* Are there less expensive ways to solve the problem?

The 1995 citizens steering committee concluded that ninth-grade students should be included with grades 10 through 12, and evaluated several options. Although it is technically feasible to add building space at the present high school to accommodate 450 ninth-graders, the result would be an expensive patchwork arrangement, with continuing problems, that would not readily handle enrollment growth.

A second option was the construction of a new high school with capacity for 750 to 1,000 students at the new Merriman Road site, and of the present Cave Spring High School building as a 1,000-student high school. Many citizens liked the idea of two smaller high schools for academic reasons, but the projected increase in operating cost and the breakup of students who consider themselves part of one community were perceived as significant negative factors.

* What funding methods are proposed?

For 20-year general-obligation bonds with equal annual debt-service payments (principal and interest), a borrowing of $37.4 million would require annual payments of approximately $3.7 million, the equivalent of a 10-cent real estate tax rate increase. The county Finance Department has proposed deferring principal payments on the bonds for several years, until the county's debt-service payments on other general-obligation bonds will drop from approximately $8 million per year to $5 million per year. Bond interest payments for the next few years would be made from current reserve funds. Under this plan, the real-estate tax rate would need to increase by no more than 2 cents.

At present the county's outstanding bonded debt is approximately $142 million. Of that amount, $65 million is for water and sewer projects for which debt-service funds are derived from utility connection and service fees. The remaining general-obligation debt, including lease-purchase contracts, is approximately $77 million ($948 per capita), using general tax revenues for interest and principal payments. If the full amount of the proposed new $37.4 million debt is added by 1998, and credit is taken for a modest reduction in existing debt, the resulting overall general-obligation debt would be approximately $104 million, or $1,250 per capita. By comparison, current per-capita general-obligation debt levels in other Virginia localities are: Roanoke city, $802; Hanover County, $874; Prince William County, $1,159; Chesterfield County, $1,209; Henrico County, $583; and Loudoun County, $952.

* What will be the long-range financial impact?

If the economy continues to flourish and there are no unexpected demands on county funds, it is feasible that no tax-rate increase would be required to fund the proposed bond issue. However, there could be several negative effects: County reserve funds could be drained to a level that might cause a lowering of our bond credit rating (resulting in higher interest rates); we might be unable to meet emergency needs; and we may have to engage in short-term borrowing in advance of tax receipts.

My greatest concern is the possible inability to fund other needed capital improvements. The School Board has identified $45 million in school construction needs in the next five years besides those included in the current bond referendum. In addition, the county has a draft $56 million five-year capital plan that includes new and renovated fire stations, new libraries, fire and rescue equipment, upgraded emergency communications, park additions and improvements, industrial land, stormwater management facilities, and other needed minor improvements. Keeping the existing real-estate tax rate and draining existing reserve funds could result in a significant delay in accomplishing these other capital needs.

* Is the referendum fair to all parts of the county?

Some citizens have questioned the fairness of devoting so much public money to a new high school that serves only one part of the county. Over the past 10 years, schools have been improved throughout the county, based on where the need was greatest. The most recent entire new school was William Byrd Middle School in the Vinton area. Many smaller projects have been funded by sources for which no public referendum was required.

The current total student enrollment among the four high school attendance areas is: Cave Spring, 40 percent; Glenvar, 9 percent; Northside, 25 percent; and William Byrd, 26 percent. The present distribution of mobile classroom units at all school levels, an indication of overcrowding, is: Cave Spring, 9; Glenvar, 2; Northside, 2; and William Byrd, 6. Recent and authorized expenditures for school improvements have been rather evenly distributed among the four areas of the county, so one could conclude that the Cave Spring area with its much larger enrollment is entitled to the next major project.

* What will happen if the referendum fails?

No one can say for sure. However, it seems unlikely that a new Cave Spring High School would be built any time soon. Elected officials rarely act contrary to the expressed will of the people. Delaying the new high school will result in increased construction costs as a result of inflation, and future bond interest rates are unlikely to be as favorable as they are this year.

My guess is that, if the referendum fails, the existing Cave Spring High School will get some new or renovated science classrooms, steps will be taken to address the corridor crowding and enrollment growth, and grades six through nine will continue to be housed at the two junior high schools. Cave Spring Junior High School will be upgraded with air conditioning, electrical work and replacement windows, and perhaps an enlarged cafeteria, but limited classroom size will continue to be a problem. Redrawing attendance lines with Hidden Valley Junior High School will help solve some of the general crowding problems, but before long, enrollment growth will require additional mobile classrooms or permanent additions at the two junior high schools.

There will be no choice but to complete work on the Northside gym complex, since the contract has been awarded. Other improvements will be delayed or scaled back. In any case, a countywide study of school needs and priorities is likely to take place, resulting in a revised overall school-improvement plan.

Lee B. Eddy is a member of the Roanoke County Board of Supervisors.


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