April 19, 2024

School board pitched $35M proposal to rebuild Berg Complex

By Ty Rushing

During a work session Monday, the Newton Community School District Board of Education heard several scenarios involving the Berg Complex including building a new $35 million replacement. The current facility first opened in 1961. (Ty Rushing)

The planning for the future building configuration of the Newton Community School District took an unexpected twist in the form of one of two scenarios that could cost between $15 million and $35 million.

These scenarios were unveiled during Monday’s board of education work session by Susanne Gerlach, a senior managing consultant for Public Financial Management in Des Moines.

Scenario two is the more expensive option and would require $35 million to completely rebuild the Berg Complex, which houses the elementary and middle school at 1900 N. Fifth Ave. E.

The district would finance this proposal by using $18.4 million in Secure an Advanced Vision for Education or SAVE funds, and by issuing $16.6 million in general obligation bonds, which would require voter approval.

Voters would have to approve a debt service levy tax rate of around $1.50 per $1,000 of taxable valuation for a 20 year period. Gerlach estimated that a home with a $80,000 taxable value would pay roughly $120 per year.

Under the first scenario, the the Berg Complex would undergo a $15 million renovation that would be funded from the Secure an Advanced Vision for Education fund. This fund is supported by revenues from state sales/use tax for school infrastructure.

Although this was the first time these proposals were discussed publicly, an email conversation shows Gerlach sending these scenarios to District Business Manager Gayle Isaac on Sept. 15.

A second document presented by Gerlach indicates she has been crunching the numbers for these scenarios since Aug. 21, and in her presentation she said the interest rates she used were from Aug. 19.

In the board’s previous work session on Sept. 10, the board heard four proposals on building configuration, all of which involved reopening the Emerson Hough building, changing building grade level layouts and included nothing on renovation or building new.

Several board members did ask Dave Briden, a senior architect at FRK Architects and Engineers, about the possibility of adding on to current district facilities. Briden researched those possibilities and concluded the only facilities suitable for add-ons are Berg and Aurora Heights elementary schools.

Under the expansion scenario, Berg would get six additional elementary classrooms, Aurora would receive have four rooms added and Emerson Hough would remain in its current incarnation. The expansions are estimated to cost around $2 million per building.

The board declined to make further comment on any of the proposals, however, it did vote to give Superintendent Bob Callaghan the authority to investigate the purchase of real estate not to exceed $500,000.

Contact Senior Staff Writer Ty Rushing at (641) 792-3121 ext. 6532.