Proposition could mean new schools

MAT-SU -- This November Alaskans will give thumbs up or down to more than $230 million worth of school construction projects statewide and the potential for millions of dollars more.

While Mat-Su Borough School District projects aren't directly included, local supporters of Proposition C say it could still result in the construction of a new district central kitchen and several new schools. Opponents, including Rep. Scott Ogan, R-Palmer, call the deal a costly ransom paid to rural areas and a blank check that could come back to haunt taxpayers.

Proposition C on next month's ballot outlines general obligation bonds for $236 million to repair and build schools and museum facilities around the state. Rural Alaska is the primary winner, receiving $170 million for projects such as new schools on the Lower Yukon and renovations in Southeast.

Another $61.7 million would be directed toward University of Alaska facilities around the state, including new buildings in Anchorage and Fairbanks and a renovation at Mat-Su's campus. Finally, $5 million would go toward an addition to the Anchorage Museum of History and Art.

It is in the small print that Mat-Su schools could end up receiving some funds under this proposition. In addition to the specific $236 million worth of projects, the measure creates a new debt-reimbursement program for large school districts. The state would pick up 70 percent of the tab on projects approved by the Department of Education, and 60 percent on those that weren't approved. Local taxpayers would pay for the remaining 30 or 40 percent.

This is good news for Valley schools, according to Interim Superintendent Bob Doyle.

"We had 600 more kids show up this year. We know we need new schools, and until rural schools are taken care of and the backlog of maintenance issues are addressed, there isn't going to be any funding for suburban and urban districts," Doyle said.

Among the potential Mat-Su projects are: A new food services center for the district that would include a community test kitchen for entrepreneurs; a regional career and technical center that would also serve as an adult learning facility; a permanent home for the Palmer alternative school Valley Pathways; a Wasilla-area elementary school to ease overcrowding at Tanaina, Iditarod and Larson elementaries; and a new central administration building.

If the GO bond is approved this fall, Doyle said the school district would put these projects before Mat-Su voters in a special election this spring. It would not be an all-or-nothing deal -- voters could vote yea or nay on each project separately.

With these projects potentially on the horizon, the Mat-Su school board at a September meeting unanimously passed a resolution in support of Proposition C.

"This is one of the most important things we can do for the backlog of projects, both rural and urban," member Linda Menard said.

Before member Larry DeVilbiss joined his colleagues in supporting the resolution, he did raise a concern, however.

"I think it's a possibility we might run into some difficulties in getting this passed because of the fact that this is not limited to just these projects and dollar amounts," DeVilbiss said. Because the debt-reimbursement program does not outline specific projects or place a cap on spending, he said it is in reality a blank check.

"It's kind of scary, given that potential," DeVilbiss said.

The interim superintendent, however, said he has confidence in the voters who will have ultimate say on which projects are funded.

"I don't believe voters just open their checkbooks and give people blank checks," he said. "I believe our voters are smart enough to approve those things that are necessary."

Rep. Scott Ogan shares DeVilbiss' concerns, however.

"The bottom line is the budget," he said. "When you're getting close to not being able to cover your expenses … is it a good idea to go further into debt?"

Ogan said that adding in the debt-reimbursement program authorized by the measure, the $236 million could easily jump to $500 million.

Of even more concern to him, Ogan said, is the way in which Proposition C came down the line. In order to access the Constitutional Budget Reserve to balance the budget last session, Ogan said the Legislature needed three-quarters of the votes, which requires both rural and urban support.

"The ransom we paid was 230-some million dollars," Ogan said. "That's the biggest ransom note we've paid since I've been there."

He said the Legislature could fund projects such as those in Mat-Su without paying this ransom.

The Association of Alaska School Boards, however, offers a different perspective. In a several-page publication released earlier this fall, the AASB says the state may soon be forced by court order to address the backlog of projects in rural Alaska.

"Because of the funding system, rural schools are not getting the money they need to maintain their schools," AASB quotes Superior Court Judge John Reese in his ruling on a 1999 lawsuit.

For example, a one-room school in the Yukon Flats School District was built in 1962 with two classrooms added in 1982. The school also uses a trailer as a classroom and, because of the nearby sewage lagoon, students can detect the odor of the school's wastewater facility. In the Yupiit School District, the 35-year-old elementary school is set to be demolished and the high school, power plant and generator sets will be surplused. The school is currently operating at 206 percent capacity, according to the AASB.

Given these situations and the potential for a court order, Doyle said he doubts Mat-Su would be able to get its projects funded without first addressing the needs of rural districts. If the GO bonds fail, Doyle predicts court-mandated construction in rural areas and no funding anytime soon for suburban and urban districts.

Ogan, however, warns that ultimately the so-called blank check for all these projects will be coming back to Alaskans in the form of taxes.

"They [Alaskans] need to be armed with this knowledge when they vote," Ogan said. "This isn't just a freebie thing the state is going to pay for and we're never going to have to dig into our wallets for."