AGENDA

PUBLIC SCHOOLS OVERCROWDING & REPAIR NEEDS COMMITTEE (As authorized by Senate Bill 411 of the 2015 Legislative Session)

February 4, 2016 – 6 p.m. 1001 Ninth Street, Building A, Commission Chambers, Reno, NV

1. Opening Items – Chairman

1.01 Call to Order

1.02 Roll Call & Introductions

1.03 Public Comment*

2. Items for Discussion and Possible Action

• Public comment: any individual may address the public body concerning any item listed below.A completed “Citizen’s Right to Speak” card must be submitted to the public body at themeeting. During the discussion of each item on the agenda, the Chair will invite the individualto come forward to speak. Individuals are limited to three minutes per item.

• Please note:o Items on this agenda may be taken out of order;o The Public Body may combine two or more agenda items for consideration; ando The Public Body may remove an item from the agenda or delay discussion relating to an

item on the agenda at any time.

2.01 Review of the funding shortfall for school construction and repair needs in the Washoe County School District (For Information and Discussion) – Superintendent Traci Davis and Chief Operations Officer Pete Etchart, Washoe County School District

2.02 Discussion and public input on the merits and use of sales tax alone or a combination of sales and property tax rate(s) to be included in the recommendation for a ballot question as authorized by Senate Bill 411 (For Information and Discussion) – Committee Chairman Shaun Carey

2.03 Discussion and possible action to adopt a proposal to fund school construction and repair needs either to: (1) increase only the sales tax and establish an appropriate rate thereto, or (2) increase the sales tax and property tax and establish the appropriate rates thereto, one of which will be included in a recommendation for a ballot question to be included in the 2016 General Election as authorized by Senate Bill 411 (For Discussion and Possible Action) – Committee Chairman Shaun Carey

2.04 Requests for future agenda items (For Discussion Only)

3. Closing Items

Public Schools Overcrowding & Repair Needs Committee February 4, 2016 Pg. 2

3.01 Announcement of Next Meeting

3.02 Public Comment*

3.03 Adjourn Meeting

∗ Comments from the public are invited at this time on topics not specifically addressed elsewhere in the

agenda. A yellow “Citizen’s Request to Speak” card should be filled out and submitted to the Committee before speaking during the Public Comment section. Individuals are limited to three minutes per item. The Panel is precluded from discussing or acting on items raised by Public Comment, which are not already on the agenda. The Panel may impose reasonable restrictions on the format allowed for public comment. Written comments submitted for public comment may be submitted to the Panel and will be attached to the minutes of the meeting.

Members of the public wishing to request supporting materials for this meeting or who are disabled and require special accommodations at the meeting should contact Jennifer (JJ) Batchelder in writing at 425 East Ninth Street, Reno NV 89512, or by calling 775-789-4612 prior to the meeting date. This agenda has been posted at the following locations:

• Washoeschools.net • State of Nevada: notice.nv.gov • Washoe County School District Central Administrative Building • Washoe County Administration Building • Washoe County Courthouse • Incline Library • Reno City Hall • Sparks City Hall • Sparks Library • Pyramid Lake Paiute Tribe Administration Building • Reno Sparks Indian Colony Administrative Office

Growth, Overcrowding, & Funding Overview

Public Schools Overcrowding and

Repair Needs Committee

February 4, 2016

Agenda Item 2.01

Purpose of PresentationReview WCSD Overcrowding and Repairs Issues• Background• Overcrowding, Repair Needs, and Growth • Funding, School Impacts• The Future

2

Current School Capacities*Elementary Schools• 106.9% of capacity (96.6% including portables)Middle Schools• 98.5% of capacity (97.1% including portables)High Schools• 109.5% of capacity (101.4% including portables)

WCSD currently utilizing 230+ temporary portable classrooms (14 at McQueen HS, 10 at Brown ES, etc..) with many over 30 years in age.

* Capacity is based on classes as a percentage of available classrooms (1/21/16)

3

Portables/Trailers: Problem and Solution!

• Help with classroom capacity• Put more stress on main building

Highest Current New School Needs• Damonte Ranch Elementary School

– Relieves Brown ES, Double Diamond ES

• Damonte Ranch High School addition• Sun Valley Middle School

– Relieves Traner MS, Sparks MS, Sun Valley ES, Allen ES, Cannan ES, Maxwell ES, Mitchell ES, Palmer ES, Kate Smith ES

• Spanish Springs Middle School– Relieves Shaw MS, Mendive MS, Beasley ES, Hall ES, Taylor

ES, Spanish Springs ES, Van Gorder ES, Sepulveda ES

5

• New High School in Spanish Springs / NW Reno

How did we get here – Funding • 2002 Rollover Bond: $551m total, Expired in 2012

– Built schools, repaired/renovated others

Major Efforts for More Funding• 2007 and 2008: SB 154 WCSD-1 ballot question• 2011: School Works legislation• 2013: AB 46 Legislature, then County Commission• 2015: Rollover Bond extended

6

Current Funding(1) Government Service Tax: emergency repairs,

abatement and inspection programs, $2M-$3M/y(2) Property Tax: Repair, Renovation, and

Construction of Schools– Projected to generate ≈$35m per year average from

2016-2024– Projections include 3% property tax growth estimate– Revenue increases limited by Property Tax Cap, etc.

7

The Property Tax rollover bond is WCSD’s only major source of funding for new schools and repairs and renovations to older schools.

School Construction Funding

8

Current Situation: School Repair Needs

• AVERAGE SCHOOL AGE – 39 years

• School Repairs: $20M per year minimum funding need.

• Every school has identified needs. • The majority of the projects are

for necessary maintenance and system replacement.

9

• 93 schools in WCSD• 33 percent are more than 30

years old since opened or revitalized

• 10 percent are more than 50 years old since opened or revitalized

• More than 7 million square feet of building space to maintain

• On-line data dashboards of: – School Capacity &

Utilization– Past Facility Expenditures – School Repair Needs

WCSD Data Gallery

10

Moving Forward: Economic Development

11

Increased Student

Opportunities! and

WCSD Challenges!

Washoe County Growth Projections • Economic Planning Indicator Committee (EPIC) - 1.7%

avg. population growth to 2019– 5,318 new students by 2019; 10,765 new students by 2024– EDAWN utilizing 2.4% average population growth

• Pre-Recession Student Enrollment Growth Rates (1988-

2004) – 3.5% average with 5.1% peak

12

13

X-Factors: What keeps us up at night Faster, Unexpected Growth• Mortensen Develop. (Verdi by Cabela’s) –

3,000 units• Heinz Ranch Development (Cold Springs) –

4,136 units• Evans Ranch & Silver Star Ranch

Developments (Cold Springs) – 7,000 units• Spring Mountain Develop. “Winnemucca Ranch” (North

Pyramid Hwy.) – 12,000 units • Sunny Hills Ranchos (Damonte Ranch) –

1,500 units• Stampmill Estates (Natchez ES) - ???

14

New Homes: Students & Funding• Brand new $300,000 home

– ≈$5,000 in initial WCSD property tax bonding capacity– 4,600 homes needed to bond for a new $23 million

Elementary School (ES)

• Impact of 4,600 new homes– 1,122 ES students, 290 MS students, 556 HS students

– New School Building Need = ≈$80 million

• Lag between home built and taxes received

15

“Perfect Storm”Other Options, Creative Solutions

• Cuningham Group Report – expert analysis– Overcrowding is real, major issue– Not fixed by rezoning, commercial space– Major takeway: build to avoid worst

overcrowding outcome - double sessions

• washoeschools.net/overcrowding – More info, including Cuningham Group

report and presentation

16

Additional Funding• Public Schools Overcrowding and Repair

Needs Committee– Totally separate from WCSD (SB 411)– Ballot question for 2016

• Provide $781M total over 9 years in additional funding• Sales tax only OR Sales tax & property tax combination• Public Input

– District cannot support or oppose, only educate

17

Strategic Blueprintfor

Growth, Overcrowding, and Repairs

18

Strategic Blueprint Guiding Principles

1. Student safety2. Maximize student achievement, educational quality,

and equity within the District3. Maintain and keep operational the District’s existing

school buildings 4. Minimize disruption to families to the highest degree

possible5. Avoid, if possible, the utilization of “Double Sessions”

at the District’s Elementary, Middle, and High Schools 19

What $781M Over 9 Years Means• Repair and renovate older schools.• Ultimate avoidance of “Double Sessions” • Ultimate elimination of the “Multi-Track Year

Round” calendar at elementary schools.• Expansion of Nutrition Services Central

Kitchen and Transportation Yard to accommodate student growth.

20

Strategic Blueprint – High Schools2016 - 2024• Additions to Damonte Ranch HS – Phase 1• Cold Springs HS (first phase) – Phase 3 (growth dictated)

• South McCarran/Butler Ranch Area HS – Phase 3 (growth dictated)

• Wildcreek Area HS to replace Hug HS – Phase 3 (growth dictated)

• Repurposing of existing Hug HS – Phase 3 (after Wildcreek Area HS)

• Purchase of Sparks HS properties – Ongoing (as available)

2025+• Expand and renovate Sparks HS –• Expand and renovate Wooster HS –• Addition to Cold Springs HS (second phase) –

21

Strategic Blueprint – Middle Schools2016 - 2024• Sun Valley Area Middle School – Phase 2• Arrow Creek Area Middle School – Phase 3 (growth dictated)

• Spanish Springs Area Middle School – Phase 3 (growth dictated)

2025+• Expansion of O’Brien MS –

22

Strategic Blueprint – Elem. Schools2016 - 2024• Multi-Track Year Round (MTYR) school

calendar at necessary ESs – Ongoing (as necessary)

• South Meadows Area ES – Phase 3 (growth dictated)

• North Valleys/Spanish Springs Area ES – Phase 3 (growth dictated)

• Core school investments – Phase 3 (as necessary)

• 7 new ESs to remove usage of MTYR Phase 4 (ongoing as able)

23

Total: $781M Over 9 Years• School Repairs • Addition to Damonte Ranch HS• Sun Valley Area MS• Arrow Creek Area MS• Spanish Springs Area MS• Cold Springs HS• South McCarran/Butler Ranch

Area HS• Wildcreek Area HS• Repurposing of existing Hug HS

• South Meadows Area ES• North Valleys/Spanish Springs

Area ES• Core schools investments• Seven ESs to avoid ES Multi-

Track Year Round (MTYR) Calendar

• Nutrition Services Expansion• Transportation Yard Expansion

24

The Future

25

Overcrowding• WCSD’s Biggest Challenge• District Cannot Support or

Oppose Ballot Questions• District Can Educate on Outcomes• There Is No Staying the Same

Overcrowding: School ImpactsInitial Effects• Computer Lab• “Team” Teaching• Class Size, Electives• Lunch, Recess, Halls• Administrators’ Focus on Overcrowding• Parking, Pickup and Dropoff

27

Overcrowded ClassroomsMulti-Track Year Round Schedules

Double Sessions: 6:00 a.m. start time,4:30 – 5:30 a.m. bus pick up

6:00 p.m. end time,6:30 – 7:30 p.m. bus drop off

Spanish Springs Elementary School

Darrel C. Swope Middle School

Lemmon Valley Elementary School

B.D. Billinghurst Middle School

Edward L. Pine Middle School

Pleasant Valley Elementary School

Brown Elementary School

Robert McQueen High School

Robert McQueen High School

Edward C. Reed High School

Edward C. Reed High School

Sparks High School

Earl Wooster High School

George L. Dilworth Middle School

Renovated, Modern Classrooms in Older Buildings

New Schools Reduce Overcrowding, Manage Growth

The FutureTwo Directions:• Conditions Get Better

– Additional funding = less overcrowding, schools repaired and renovated

-or-• Conditions Get Worse

– No additional funding = multi-track, double sessions, school conditions degrade, repair costs increase

39

Ballot Question Funding Options$781 million over 9 years

Existing Voter approved AdjustedRevenue Option Rate Increase Rate

Sales Tax Only 7.725% 0.54% 8.265%

Sales Tax 7.725% 0.425% 8.15%Property Tax $3.66 $0.055 $3.715

Public Schools Overcrowding and Repair Needs Committee

Agenda Item 2.02

Impact of a 1 cent property taxValues as of FY16

1937 2006Old House Newer House New House New House New House New House New House

Estimated Value 301,000 311,000 300,000 200,000 300,000 400,000 500,000Assessed Value 29,517 75,157 105,000 70,000 105,000 140,000 175,000Tax Rate $0.01 $0.01 $0.01 $0.01 $0.01 $0.01 $0.01Cost per $.01 $2.95 $7.52 $10.50 $7.00 $10.50 $14.00 $17.50Increase of 5.5 cents (Annual) 16.23$ 41.34$ 57.75$ 38.50$ 57.75$ 77.00$ 96.25$

Monthly difference 1.35$ 3.44$ 4.81$ 3.21$ 4.81$ 6.42$ 8.02$

Daily difference 0.04$ 0.11$ 0.16$ 0.11$ 0.16$ 0.21$ 0.26$

Sales Tax Calculations per UNR regional studies

Annual Avg taxable purchases 4 person family median income 16,129.59$ 16,129.59$

Current Sales Tax Rate 7.725% 7.725%

Annual average sales tax generated based on rate above 1,246.01$ 1,246.01$

Proposed Sales Tax Rate 8.265% 8.150%

Annual average sales tax generated based on rate above 1,333.11$ 1,314.56$

Difference in current rate and proposed rate 87.10$ 68.55$

Monthly difference 7.26$ 5.71$

Daily difference 0.24$ 0.19$

Sales Tax Impacts on Families  Page 1 

Mailstop 0032 • Reno, Nevada 89557-0032 Phone: (775) 784-1771 • Fax: (775) 784-4337 November 4, 2015  Mike Kazmierski EDAWN 5190 Neil Road #110 Reno, NV  89502  RE: Fiscal Impact on Families Resulting From a $0.005 Increase in Washoe County Sales Tax Rate  The below analysis summarizes the estimates, methods, and sources for the amount of additional expenditures per family of four resulting from a $0.005 increase in the Washoe County sales tax rate.  Median family income of a four‐person family (US Census Bureau, 2014 American Community Survey, Washoe County):  $75,564  Percent of income before taxes spent on taxable sale purchases for a four‐person family (Bureau of Labor Statistics, 2014 Consumer Expenditure Survey, US)1:  21.3%  Annual average amount of taxable sale purchases for a four‐person family with median family income:   $16,129.59  Current Washoe County sales tax rate:  7.725%  Annual average amount of sales tax revenue contributed by a four‐person family with median family income at the current Washoe County sales tax rate2:  $1,246.01  Proposed Washoe County sales tax rate:  8.225%  Annual amount of sales tax revenue contributed by a four‐person family with median family income at the proposed Washoe County sales tax rate2:  $1,326.66  Annual average difference in sales tax revenue contributed by a four‐person family with median family income between current and proposed Washoe County sales tax rates3:  $80.65 

1. See Accompanying BLS Table 1400 for complete list of annual average expenditures by type and size of consumer unit (households), and expenditures identified as taxable sales items. 

2. Assumes all expenditures are made in Washoe County. 3. Assumes all expenditures are made in Washoe County and no changes to consumer purchasing patterns due to the increase in the 

sales tax rate.  Price increases may change purchasing behaviors, increase online purchases, and increase purchases in counties with lower sales tax rates, especially for major items. 

  

The following estimates the amount of taxable sales contributed by visitors to Washoe County:  

Sales Tax Impacts on Families  Page 2 

   

Contact Brian Bonnenfant for questions related to calculations, methods, or sources used in the above analysis. 

2014 Visitor Count to Washoe County1 4,631,195

Taxable Spending per Visitor per Day2 201$

Total Taxable Sales Made by Visitors 930,870,195$

Total CY2015 Taxable Sales in Washoe County3 6,817,588,648$

% of Washoe County Taxable Sales Made by Visitors4 13.7%

1. RSCVA estimates that reflect total "visitor days" (unique visitors X length of stay).

3. Nevada Department of Taxation4. Assumes 100% of visitor expenditures are spent in Washoe County.

% of Washoe County Taxable Sales Contributed by Visitors

2. As reported by the 2013 Visitor Profile (RSCVA) for shopping ($116) and food & drink ($85). Assumes all food & drink is taxable "food aw ay from home".

Name michael maskaly Comment This morning news about your committee only looking at sales and property tax as a solution to the school shortage and repair issues was very distasteful. There appears to be no mention of including the main cause of the school shortage, development. Nor does there appear to be any discussion of why the 2008 Bond to correct problems and maintain future fuctionality of existing schools was not able to do the job as promised to the voters. Failure to address both of these issues is going to lead to a precarious path for another bond passing, especially after the 2015 legislative attempt to bypass the voters of Washoe County.

Comment submitted through website

Name Jeff Church Comment Please call. I have questions. Is there a bond issue planned for the next ballot? Is it drafted? etc. 775 Are your meetings subject to Open Meeting Law? What's this language under last name "Последний" ?????

Comment submitted through website

Name michael maskaly Comment This morning news about your committee only looking at sales and property tax as a solution to the school shortage and repair issues was very distasteful. There appears to be no mention of including the main cause of the school shortage, development. Nor does there appear to be any discussion of why the 2008 Bond to correct problems and maintain future fuctionality of existing schools was not able to do the job as promised to the voters. Failure to address both of these issues is going to lead to a precarious path for another bond passing, especially after the 2015 legislative attempt to bypass the voters of Washoe County.

Comment submitted through website

Name Cheryl Olson Comment As a retired teacher I understand the need for good schools and excellent teachers, but I will simply NOT support any increase for schools through PROPERTY TAXES. I would, however, support an increase in sales tax for repairs on existing schools and for building additional schools. Please consider leaving property taxes out of the ballot proposal.