West Bend School Referendum Over $200 Million

On Tuesday evening West Bend School Superintendent Pat Hendrich was aggressively questioned by a gentleman in the audience about the $119.3 million school referendum and its actual tax impact.  After a bit of badgering, she admitted that the $119.3 million does NOT include the interest on the loan.

The district intends to borrow $119.3 million to pay for the proposed spending, but will have to pay it back with interest.  The interest is estimated to be about $87.7 million.  So the total tax impact of the school referendum is $207 million.

It sure would have been nice to know these tiny details sometime before 6 days before the referendum goes for a vote.

1. You think Milwukees 16%+ tax hile is a shocker…what do you think this will do to peoples tax bills?

   I think Brookfields average income is much higher than Washington Counties and they voted a smaller proposal down, although it also was quite large.

   Who would be the lucky company to sell these bonds…I thought I heard this proposal is the largest ever in the State if its approved.

   Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 0605 hrs




2. When someone asks how much your house cost, do you really calculate your total payments over the 30 year mortgage? Let’s get real here.

   Posted by Charlie Hillman on November 01, 2007 at 0639 hrs




3. Actually, we did calculate total payments over the 30 year mortgage.  The mortgage company did, too.  It’s part of full disclosure.  You didn’t calculate how much money your house was going to cost you?  Nice.

   Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 0649 hrs




4. Wendy, you didn’t answer my question. How much did your house cost? Owen can’t have it both ways, claim to be an expert on these matters (and have you jump to his defense), and then be surprised that the referendum will be financed like all public projects.

   Posted by Charlie Hillman on November 01, 2007 at 0659 hrs




5. a) It’s none of your business how much my house costs.

   b) When we were filling out the paperwork to buy our house, you know, to PAY for it, the people lending us the money were honest about how much the total cost would be.  They didn’t lie or withhold the total cost amount because that would be 1) illegal and 2) unethical.

   Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 0702 hrs




6. Charlie,

   But this is not really analogous to buying a house.  The proponents of the referendum have a duty to disclose the total tax impact to property tax payers.  The taxpayers are less interested in the purchase price than the tax impact on their families.  Honestly, I thought that the $119.3 million included the interest.

   Posted by Owen on November 01, 2007 at 0711 hrs




7. How could you have thought the $119.3 million included interest when in just about every mailing the district has done the breakdown of the project’s costs were shown, which added up to $119.3 million?  There were no interest costs shown in the breakdown.  The district has been very clear what the $119.3 million included.  I also can’t believe that you didn’t realize that when the district went to borrow $119.3 million they would have to pay it back with interest.  This is analgous to buying a house.  You don’t see real estate listings showing the “total price” of the house that includes interest on a loan.  To answer the question “What do you think this will do to people’s tax bills?”  Exactly what they are projecting, a maximum impact of $8.01.  The interest costs are already figured in to the tax projections.

   Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 0852 hrs




8. The informational meeting and fliers did present project costs.  I assumed that those project costs included the interest.  It’s not like they itemized the cost for each project. 

   You don’t see real estate listings showing the “total price” of the house that includes interest on a loan. 

   Yeah, because the real estate agent does not sell you the loan.  The loan company will tell you the total price including interest. 

   The interest costs are already figured in to the tax projections.

   Then why not just say that?  Why hide behind the smaller number?  All I’m looking for here is the real number, which has been hidden until this week.

   Posted by Owen on November 01, 2007 at 0900 hrs




9. While I agree the $119M number never included the interest, the administration and board should have listed it in at least one of the mailings/fliers/informational meetings.  Charlie, even you have to admit that even though the disclosures have been correct, there is a definite perception of trying to hide the true cost.  With the referndum already being high, having the information come out at the late date and in the manner it has, it is now perceived to be hidden.

   On the other hand, I understand how you could not give the full number without knowing where the sales from the schools would go and how much that will be.  Hopefully, if the referendum goes through, you will get a boatload of money for the school land and significantly reduce the loan amount.

   Posted by Rich2 on November 01, 2007 at 0903 hrs




10. How much other people pay for their homes and how much those homes are assessed for is public information. All counties have a database that is available for searching by address, etc. Some allow searching by owner’s name, but most do not. But all information is available to the public. That’s often how realtors will get “comps” to price homes. Its all public. Basically, one should always assume people already know how much you paid for your home and how much it is assessed for. Because anyone can find that information in less than 10 minutes.

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 1010 hrs




11. How much other people pay for their homes and how much those homes are assessed for is public information

    Also public information available on-line is how much borrowed and from whom.  In Wash. Co., it is at http://www.landshark.co.washington.wi.us/  You have to be a registered user, there is no cost unless you order copies.  I’m not sure how to do it in Waukesha County - the person who told me about this lives in that county, and had a similar process available.

    To find out what someone borrowed (at least initially), you need to do a tax lookup, download a copy of a recent tax bill to get the property “legal description” and then you are good to go.

    One caveat - the amount shown as borrowed does not necessarily reflect how much is owed - sometimes people have to borrow extra money until a previous home is sold, at which time they pay down some of the mortgage.

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 1027 hrs




12. What peoples houses are assessed at or what they morgage has nothing to do with how much everyone is going to pay for this referendum. I’ve seen houses sell for much more and for much less then assessments but everyones is going to pay for this if its not sent back.

    Private groups have building funds for building needs but for some reason we think its acceptable to pay nearly twice when it comes to goverment. There are better ways to make sure our teachers can do there jobs.

    Do we think they hid this from people because they thought it would be a good selling point?

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 1132 hrs




13. The mill rate projections included the interest.  To give a number of the total cost would have been at best an estimate. 

    By the way Owen what is it like to have a direct line to local Journalist Judy Steffes?

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 1609 hrs




14. Kris… I’m sorry, is information given out at a public information meeting somehow proprietary?

    Posted by Owen on November 01, 2007 at 1640 hrs




15. great aarticle on Oct.30.  About time sombody telles       all the extra costs envolved.  All the brain washing going on is unreal.  Why do they not just build a new school in Jackson grades K thru 8 and save all the transportation.  They can say what they want but it works for Holy Angles, Cabrini, St Johns, Good Shepard.  Those students constantly turn out wonderful students.

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 1700 hrs




16. I’m pretty sure I mentioned interest a few weeks ago. They never include it as “the price” of a referendum.

    Posted by Cindy on November 01, 2007 at 1844 hrs




17. Owen you know she e-mailed you her column today.

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 2057 hrs




18. The mill rate projections included the interest.  To give a number of the total cost would have been at best an estimate.

    This sounds a little like the used car salesman who just asks “how much of a monthly payment can you afford” - and tells you not to worry about the purchase price.

    Posted by (JavaScript must be enabled to view this email address) on November 01, 2007 at 2333 hrs