Worthington board approves MOU letting City of Worthington pursue purchase of outdoor pool site if bond passes

The Worthington Board of Education on Sept. 23 approved a memorandum of understanding that would permit the City of Worthington to acquire the district-owned outdoor pool site if a city bond issue passes and the parties finalize a purchase agreement.

The MOU, approved unanimously by the board, outlines broad terms for a $1 transfer of the land to the city if voters approve a municipal bond to fund capital replacement of the outdoor pool and related work. Under the MOU the land would revert to the district if it ceases to be used as an outdoor pool, and the city plans to lease the rebuilt facility to Swim Inc., the nonprofit that currently operates the pool.

Why it matters: The city says ownership is required to issue tax-exempt debt — which carries lower interest rates — for one-time capital replacement. The MOU is written to provide voters with a clear outline of how the transfer and shared operations would work while leaving detailed contract terms to a later purchase and lease agreement if the ballot measure succeeds.

City manager Robin Stewart, who spoke to the board, said the city would combine bond proceeds with some cash reserves and then construct a new facility on the pool footprint. “Their financial model has not provided for the ability to replace the capital asset,” Stewart said, describing why the city was stepping into the project. “So the proposal is… the city would acquire the land…the new pool facility and then, lease it to Swim Inc. for that ongoing operation.”

Treasurer TJ Cusick explained the financing rationale for the transfer: municipalities and school districts can issue tax-exempt debt, which typically carries lower interest rates because investors are not taxed on the interest. The city’s ownership, Cusick and Stewart said, is intended to satisfy Internal Revenue Service rules that require a long-term interest in the asset being financed with tax-exempt debt.

Board members pressed for protections and clearer contract language. Board member Stephanie Harless said she supported preserving the pool but wanted “language in there ultimately that will protect” district residents from a large price differential. Harless noted concerns about dividing the community into pricing tiers and asked for stronger guarantees during contract negotiations. Kelly Davis, the board vice president, asked about voter eligibility and emphasized that the bond appears only on ballots for city residents, not the entire school district.

The MOU describes a three-tiered membership approach: city residents (recognition for supporting the levy), school district residents (a mid-tier discount), and nonresidents (highest rates). Stewart told the board the city anticipates “a meaningful difference between the nonresident and the school district rates” and also expects a “notable difference between the city and the school district rate in recognition of that levy,” but said specific fee amounts would be determined in detailed design and operational planning if the ballot passes.

Board members and city staff discussed timeline and operations. Stewart estimated about six months for detailed design if the bond passes, followed by bidding and then roughly nine to 12 months of construction, with an aspiration to reduce time away from an outdoor season if possible. The bond is estimated as a 20-year issue; Stewart said the rebuilt pool is expected to last longer than the bond term. The MOU also contemplates shared parking and coordination with adjacent Thomas Worthington High School activities.

On the question of day-to-day operation, Stewart and others said Swim Inc., which currently leases and operates the pool, would remain the operator under a proposed lease with the city. Stewart said the model is similar to the city’s arrangement with the McConnell Art Center and that the city’s newly approved Parks and Recreation Foundation may play a role in the future but its role is not yet defined.

The board approved the MOU by voice vote. Board members voting yes were Kelly Davis (vice president), Amber Eppling Skinner, Stephanie Harless, Jennifer Best and TJ Cusick (treasurer). The record notes that a person named Nikki sent support for the memorandum but was not present to vote. The board and city will negotiate a detailed purchase and lease agreement if voters approve the bond.

Details and limits: The MOU sets general business terms and conditions and anticipates a later, more detailed real estate purchase contract and operating lease that will establish final membership rates, enforcement mechanisms for tiered pricing, specific property descriptions and other binding provisions.

What happens next: The city placed a bond issue on the ballot; if voters approve it, city and school staff will draft a purchase agreement and related lease documents for board and council approval. The board discussed returning to the issue for additional review of contract language before final execution. For now, the MOU only sets the framework should the ballot measure pass.