The bond proposal aims to address overcrowding, from non-district students at the elementary school, by adding $46 million of new debt to the existing $22 million current debt.
Get the Facts
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Questions for the HPS Administrators & Board Members Why should tax-paying residents pay fornon-taxpayer students?
Why did the school board allow the overcrowding at the elementary school in the first place? Why not just cap the existing number of elementary schools’ kids and save the residents and business $46 million in taxes? What is the school board’s strategic plan and budget for growing smart vs. burdening the taxpayers with continued bond request for school facilities. What other sustainable and fiscally responsible alternatives has the board explored? What happens if one of our neighboring schools can no longer afford to operate? Will HPTS have to take in the students and use their building for some of our grades or just keep on building additional space? What is the school’s plan if the School of Choice kids move to another school? How would you make up for the loss? Teacher layoffs? What is the cost breakdown of the proposed project? The Concerned Citizens of the HPT School District are a collective group of Gremlins and taxpayers. We have pride in our schools and want to protect them.
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SCHOOL BOND SUMMARY |
TAXABLE VALUE |
COST WITH CURRENT DEBT |
COMBINED COST WITH NEW DEBT |
COST FOR BOND ISSUE ONLY |
$150,000 |
$75,000 |
$5,592 |
14,937 |
$9,346 |
$200,000 |
$100,000 |
$7,476 |
$19,916 |
$12,461 |
$300,000 |
$150,000 |
$11,184 |
$23,874 |
$18,692 |
$400,000 |
$200,000 |
$14,952 |
$39,833 |
$24,923 |
$500,000 |
$250,000 |
$18,641 |
$49,791 |
$31,153 |
$600,000 |
$300,000 |
$22,369 |
$59,749 |
$37,384 |
$700,000 |
$350,000 |
$26,097 |
$69,707 |
$43,615 |
$1,000,000 |
$500,000 |
$37,281 |
$99,582 |
$62,307 |
*This is the estimated costs based on the taxable value of a house in Houghton Portage Township School District.
The school board needs to address the overcrowding issue, starting with
the next school year, explore lower-cost solutions, and provide more
transparency on the total financial impact on further projects to the taxpayers.
Definition: A bond is a loan made to taxpayers to fund projects. The loan, with interest, must be paid by the taxpayers.
- Overcrowding at Elementary School: Significant overcrowding at the elementary school, which the new bond aims to address by constructing a new campus for kindergarten and preschool.
- Bond Proposal: The new bond issue would extend the current 9.64 millage rate until 2031, adding $46 million in total debt on top of the existing $22 million debt.
- MTU Student renters pay for debt: Michigan Tech students and other renters within the district will also pay for this high school bond through their rent.
- Tax Impact: Residents in Houghton and Portage Township are already paying some of the highest schoolbond taxes in Houghton County, representing 21% and 27% of their total taxes, respectively. If the bond doesn't pass, Houghton homeowners could see a 16% reduction in property taxes, and Portage Township could see a 20% reduction.
- Lack of Cost Breakdown: The school board has not provided a detailed cost breakdown of how the $23 million will be allocated or accounted for future major building maintenance costs. Based on HPTS historical data with previous bonds, this wasn’t considered and will eventually cost taxpayers even more in the future. At some point, there will need to be another bond request.
- Tax Burden and Growth: High taxes already discourage new housing developments in Houghton, with significantly fewer homes being built compared to Hancock and the township, where school taxes are lower.
- School Enrollment: 47% of the school’s current enrollment is from out-of-district. Enrollment from the students who live in the Houghton-Portage Township School district has decreased by 5% over the last 10 years, while the school board projects future growth, largely dependent on School of Choice students.
- Risks of School of Choice Strategy: If out-of-district students leave, the district would face a significant budget shortfall, potentially resulting in teacher layoffs and further overcrowding issues. Chassell and Hancock schools are also at risk due to declining enrollment.
The Concerned Citizens of the HPT School District are a collective group of Community leaders, Gremlins,
and taxpayers. We have pride in our schools and want to protect them!
and taxpayers. We have pride in our schools and want to protect them!
