Funding sources for capital improvement project

Multiple sources of funding; ZERO tax impact to residents

Proposed project will be funded through a combination of funding sources:

  • $4.4 million from the capital reserve fund, which includes:
    • $1.5 million from NYS Department of Transportation for loss of 1.9 acres of district property due to construction project (Route 17/32)
    • $1 million one time state aid from Assemblyman Skoufis and the NYS Assembly
    • Surplus funds saved and transferred to reserve
      • Reserve balance = $2.8 million after $4.4 million withdrawal
  • $4 million – serial bonds (borrowing)

Zero Tax Impact!

  • District is eligible for approximately $5.8 million in building aid over 15 years, or 69.7 percent reimbursement. For every dollar spent, district gets approximately 70 cents back.
  • Annual reimbursement in state aid attributed to this project will be approximately $385,000, while annual debt service (principal and interest) is estimated to be $345,000. State aid exceeds the cost of borrowing, which means zero tax impact.