The board intends to extend the debt service repayment schedule from 18 to 22 years as a result of HB5289[96th GA]. HB5289[96th GA], (actually the non germane Senate Amendment 1 attached to it), would not have been possible without the JAR Consulting contract which was entered into, executed, helping HB5289 pass both houses, all before board approval.
The board has in effect opened up wiggle room for more spending and more debt now, kicking future tax increases down the road.
The structural deficit is not addressed.
There is no plan to pay down the debt.
Debt service increase has a present value of $29 million.
Debt service actually increases every year over the next 10 years.
When the debt service levels off in 10 years, VVSD will be paying $34 million/year just in debt service payments.
Capital spending plan will be reestablished.
Teacher union contract up in a year. Did this restructuring guarantee more raises on top of the 20% increase in the current 4 year contract?
Please consider attending the VVSD board meeting on Tuesday night.
