Edison Schools removes bond issue from ballot

MILAN — Edison Schools stakeholders won't be able to vote on a historic bond issue this fall. On Sunday, board members voted to remove the measure from the Nov. 8 ballot. If approved, the 7.9-mill, 37-year bond issue would have funded the school district's first major construction project in several decades. In April, district board members unanimously decided to construct two schools: a new building for students in preschool through fifth grade in Berlin Heights and another new building for grades 6-8 onto the existing Edison High School building in Milan. Superintendent Corey Ream announced the decision Monday in a letter to district families. "This action was necessitated by an appeal of the Nexus pipeline settlement filed by the Lorain County auditor," Ream said. He then explained what actions preceded board members' decision. "In July, the owners of the Nexus pipeline and the Ohio tax commissioner reached a deal that established a pipeline value of $950 million. Going into the final negotiations, the state sought a value of $1.2 billion, and Nexus claimed a valuation of more than $615 million. "The settlement was the end result of a years-long process. By appealing the settlement, the Lorain County auditor negated the deal for every Ohio county that has a part of the Nexus pipeline. At this point, we anticipate the owners of the Nexus pipeline will pay taxes based on their proposed value of $615 million until the final value is reestablished. The process may take years to complete." The appeal's impact is "immediate but unclear," Ream said, which prompted him to recommend taking the bond issue off the ballot to board members. "The decrease in taxable value during the appeal means Edison Schools will likely lose between $600,000-$800,000 of pipeline income per year," he said. "We won't know the actual amount until our county auditor, Rick Jeffrey, receives updated information. This money is going to help pay for the new building proposal." It's unclear when the final settlement will come and what the total will be, but the district hopes the pipeline's value returns to or is more than $950 million. "This would mean the district would be able to recoup the loss of income from the appeal and, possibly, receive more money," Ream said. "In a worst-case scenario, the valuation would be established at the $615 million amount proposed by Nexus ownership. This would cost the district millions of dollars in tax income compared to the settlement in July." But Ream said this delay doesn't mean Edison Schools' dreams are dashed. "I know this is a disappointing turn of events for those that have worked so hard throughout the planning process for new buildings," he said. "It's a disappointment for our board and me as well. The need to address our facilities is not going to go away and the drive to do so will not fade. "However, I do not believe it's fair to ask our communities for the approval of local tax dollars given the uncertainty surrounding millions of dollars in pipeline revenue. Our voters deserve accurate information when making decisions about new taxes. Unfortunately, nobody can provide that information at the moment. "I truly believe there is a route to new facilities for the Edison Chargers. We should receive more concrete figures regarding our pipeline income during the appeals process sometime in October. Once we have that information, we can begin reevaluating the project scope to determine an appropriate path forward. "This is not the end of our road to new schools," Ream concluded in his letter. "It is, however, an untimely and unfortunate detour that must be traveled." What's happened so far In fall 2019, district administrators began looking into the conditions of Edison Schools' elementary, middle and high school buildings. In February 2020, the school district and architectural firm GPD Group of Akron hosted the first meeting for taxpayers. At that meeting, GPD officials went over a facilities presentation with the problems facing current buildings and possible designs. Then they allowed residents to give feedback and ask questions. After interviewing several architectural firms, Edison Schools hired GPD group to help them with the process. District officials continued facilities discussions because student enrollment has been steady in recent years, and the way students are being taught in classrooms is changing. Two of Edison's buildings — the elementary and middle schools — are also becoming too old to renovate by state standards. For instance, portions of Edison elementary and middle schools were built in the 1800s, and each have had numerous additions. Since the first meeting two years ago, school officials and the public toured elementary and middle schools in Amherst and Strongsville designed by GPD Group to get ideas of what kinds of features they'd like to possibly have at Edison Schools. The architectural firm recommended four facilities options: • Build a completely new school for kindergarten through high school students • Construct a new building for kindergarten through eighth-grade students and renovate Edison High School • Build separate new elementary and middle schools and renovate Edison High School • Separately construct new Edison elementary, middle and high schools The community could suggest other options, GPD Group officials said. Edison Schools also asked stakeholders to give feedback on their preferences through an online survey. Officials said the survey will help with "smart decision-making." "We're having important discussions about the future of our schools and our facilities, and everyone has a stake in this process," then-superintendent Tom Roth said about the survey earlier this year. "We want to be sure that everyone in the community has a chance to tell us what they think." At a March public meeting, many who attended expressed concerns about possibly moving Edison Middle School, now located in Berlin Heights, to Milan. Others believed having all students on one campus, like at the current Edison High School site as proposed, could provide additional benefits, like older students being able to mentor younger students more easily. District officials assured the community members that village officials from Berlin Heights and Milan are working with Edison Schools during the facilities project process. Reach reporter Caitlin Nearhood at nearhood@sanduskyregister.com and follow her on Twitter @CaitlinNearhood - Support local journalism. 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