Athens Council approves $1 million for Westside School improvements, agrees to cancel 1984 funding agreement by mutual assent

The Athens City Council voted unanimously to provide $1,000,000 from city reserves to Athens City Schools for improvements at Westside School and to cancel the city2019s 1984 funding agreement by mutual assent.

City Manager Dowling told the council the proposal combines two funding sources: $500,000 that the school system previously gave the city in June 2023 and $500,000 from the city2019s capital improvement reserves set aside since 2016. Dowling said the money will be used for building repairs and updates the school board identified, including doors, ceiling tiles, glazing, a new fire panel, water fountains, HVAC replacement, a new roof and furniture.

The funding is intended to cover immediate needs at Westside School rather than ongoing debt service. Dowling said the underlying contract that governs annual debt payments remains unchanged: the school board will continue annual payments to the city (about $700,000 per year, per the meeting record) toward the joint debt for the school construction project.

Why it matters: Council members framed the payment as a one-time allocation to address urgent maintenance and to ease the district2019s near-term operating burden while preserving the parties2019 long-term debt arrangement. Council and school leaders also agreed that the formal cancellation of the 1984 funding agreement would be handled by mutual written assent so neither party could later revive the old terms.

Details and vote: The city manager outlined that, when the school system requested reduced annual payments, the city finance director proposed returning $500,000 of prior-school-contributed funds plus $500,000 from capital reserves as a compromise. The council then voted on the motion, with the record showing all members voting in favor.

Council discussion included confirmations that: - The $1,000,000 comes from two identified reserve sources (a prior $500,000 transfer from the school system and a $500,000 capital reserve). - The existing annual payment arrangement (the city receives roughly $700,000 per year from the school board toward the shared debt) will remain in place. - The formal cancellation of the 1984 funding agreement will be by mutual written assent of both the city and the board of education.

Implementation and outstanding questions: Dowling and other staff noted that both parties were unable to locate the physical 1984 agreement in city records; the council characterized the cancellation as a formal housekeeping step to clarify current practice. The motion as approved directs staff to effect the $1,000,000 transfer and to execute the mutual cancellation document once the school board signs.

What the council did not do: The council did not amend the schedule of annual payments or change the existing debt-service allocation formula at this meeting.

Speakers quoted in this report spoke during the agenda item on the board-school funding proposal.