East Grand Forks board directs staff to file ballot questions for levy, $26.4M bond and preschool addition

The East Grand Forks School Board moved on and approved language to send to the state for three ballot questions: an operating levy of $300 per student (a standalone question), a bond referendum not to exceed $26,400,000 and a separate preschool referendum for a New Heights addition capped at $10,800,000. The board directed staff to work with consultant Nexus to prepare and submit the formal review-and-comment packet, which staff said must be filed by July 6.

The action followed a presentation by Nexus consultant Rob and technical expert Hans, who outlined multiple design options and cost scenarios for preschool space and building upgrades. Rob said an earlier presentation had erroneously shown a multipurpose space that had not been included in the lower-cost schematic, producing roughly a $3.4 million difference in the estimates. "That was the ... the delta," Rob said, taking responsibility for the mistake and apologizing: "I own it, and I apologize." (Rob is a Nexus consultant; Hans is the Nexus technical expert.)

A board member objected to the late change in the figures. "You threw 3 more million dollars on this project in 7 days," the member said, expressing frustration about trust and the impact on taxpayers. Rob and Hans explained that the multipurpose room raised square footage and site work costs, and that some estimates did and did not include construction inflation or certain site elements like a bus loop, depending on the option and the school site being considered.

Board discussion focused on three practical choices: reconfigure existing space, add a new building at New Heights, or add at Southpointe. The financial difference presented between placing the addition at New Heights versus Southpointe was small in the Nexus estimates; board members weighed program continuity, traffic and neighborhood congestion, and available fields/play space. Several members said consolidating preschool in one building improves continuity; others worried about asking taxpayers for higher long-term bonds instead of a shorter-term ask.

Consultants presented tax-impact estimates for the bond options: keeping a $24.0 million cap that could decline after 10 years, or increasing the cap to $26.4 million to keep the tax impact approximately constant across 20 years (Nexus presented a rough figure of about $211 annually on a $300,000 home for the larger option). Consultants also cautioned that the preschool figure of $10.8 million did not yet include all soft costs from the district’s financial advisor; Rob suggested drafting ballot language with a modest contingency so the not-to-exceed figure would cover likely fees.

After debate, the board approved by voice vote a motion directing staff to prepare ballot questions and to work with Nexus on the required state review-and-comment paperwork reflecting: the $300-per-student operating levy (standalone), a bond not to exceed $26.4 million and a preschool addition question with the $10.8 million target (with drafting to reflect possible soft-cost adjustments). Chair moved the motion and a member seconded; the chair called for ayes and said the motion carried.

The board was told the review-and-comment packet must be filed by July 6; the next regular board meeting was scheduled for July 13. The special meeting adjourned after the vote.

Why it matters: The decisions set the numeric framework voters will consider if the district places levy and bond questions on the ballot. The board’s choice to pursue a standalone operating levy plus a bond question with the larger cap preserves flexibility to address infrastructure, safety and HVAC priorities the district’s assessment and community survey flagged as high priorities.

What’s next: Staff will work with Nexus and bond counsel to finalize ballot language and cost caps for submittal to the state by the July 6 deadline; the board is scheduled to meet July 13 for follow-up.