South Middleton School Board members could vote in January to formalize a method for the district to pay its $1.4 million share of a $23.5 million expansion to the Cumberland Perry Area Career & Technical Center campus in Silver Spring Township.
The board could consider a resolution to lease the main campus building to the State Public School Building Authority until the debt on a 20-year bond issue is paid off by South Middleton and some of the other 12 districts that form the consortium.
Not all 13 districts are taking out debt to pay their share of the expansion costs, said Tina Darchicourt, director of business and operations for South Middleton. “Some are paying their share upfront in cash.”
Because the Career & Technical Center can’t legally incur debt, member school districts have agreed to have the authority take on the debt on their behalf, Darchicourt said. Under this arrangement, South Middleton would be required to pay an estimated $115,000 in annual debt service payments for the project that would add two new buildings next to the main building. The district’s share of the principal payments will amount to $1,402,296.
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The $1.4 million will not count against the district’s ability to borrow money in 2024 for its own projects, she told board members Monday. “We expect to receive the bond pricing in March, and settlement is expected in April.”
The estimated $115,000 will be added to the annual debt service the district pays out of its general fund, Darchicourt said.
In December 2022, career center Administrative Director Justin Bruhn briefed the South Middleton board on the expansion.
There has been a 40% increase in student enrollment at the career center from about 900 students eight to 10 years ago to almost 1,300 students last winter. That resulted in a waiting list of about 300 students.
It was determined that future program needs exceed capacity at the main campus building, which was built in the late 1960s.
The plan is to relocate the automotive collision and logistics/warehouse management programs to one of the new buildings. The other new building will house the relocated advanced manufacturing technology programs.
This would build capacity within those programs and allow the center to backfill the program space in the main building. The project would also: improve security at the entrance, add a culinary classroom, modernize its warehouse management program, relocate the electrical construction program, provide criminal justice increased activity space, provide more efficient facility and storage areas, increase capacity in the welding and automotive technology programs and allow for the addition of four programs: pre-engineering, building/property maintenance, emergency management/homeland security and service occupation.
The improvements would enable an additional 278 students to enroll.
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