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The Citizen, 2003-11-05, Page 23THE CITIZEN, WEDNESDAY, NOVEMBER 5, 2003. PAGE 23. Construction financing approved for two new schools By Stew Slater Special to The Citizen Financing for the construction of two new elementary schools — both being built to replace aging facilities — was approved Monday, Oct. 27 by trustees of the Huron-Perth Catholic District School Board. The two schools are St. Joseph’s in Clinton and St. Mary’s in Hesson, both of which were recently deemed “prohibitive to repair” through a provincially-mandated inspection process. Both will be rebuilt in new locations, although St. Joseph’s will just move within Clinton while St. Mary’s will move from Hesson to Listowel. And both are being designed and constructed concurrently, to enable the board to cut costs in such areas as architectural services and suppliers for construction materials. Total cost for the two buildings is projected at $5.5 million, with the board only allocated about r0,000 per year from the provincial government for such expenses. For that reason, long-term financing is necessary. According to management superintendent Gerry Thuss, the board has always sought financing for such projects on its own, through lending institutions. Debenturing was used prior to Thuss’s arrival at the board, but it was also done by the board alone. This time, the board has joined with a relatively new consortium called the Ontario School Boards Financing Corporation. Originally, OSBFC included six Catholic school boards in the Greater Toronto Area pooling their financing needs, in an effort to attract the best possible deal from lenders. Now, it has grown to include members across the province, seeking to finance construction projects valued at a total of about $2 billion. As such, it can attract the attention of the country’s top investment brokers, earn valuations from bond rating agencies, and arrange debentures to be paid back, over the long term, by the member boards. This year’s crop of receiving boards totals 17, needing a total of $458 million in financing. Even though it represents two schools, the Huron-Perth project is the least expensive of those 17, with the Toronto Catholic school board needing about $90 million this year. Debentures for this ‘year were issued in two parts; one is a “10- Year Sinking Fund” while the other is a “25-Year Amortizing” debenture. For the Huron-Perth board, that will translate into annual payments of roughly $160,000 on one debenture and about $236,000 on the other. With about $444,000 expected to come in each year from the provincial government for servicing debt on such projects, Thuss hopes to have a small portion left over to place into a capital reserve fund. NETWORK CLASSIFIEDS "Advertise Across Ontario or Across the Country" Kingsbridge Catholic school may face possible closure By Stew Slater Special to The Citizen Supporters of St. Joseph’s Catholic elementary school in Kingsbridge, north of Goderich, have known for about three years that trustees of the Huron-Perth Catholic District School Board were concerned about the continued trend towards decreased enrolment in what has become the board’s smallest school. On a couple of occasions — most recently during a public meeting at the school in June, 2003 — they’ve been informed of these concerns during informal meetings. Now, the formal process has begun which could potentially see the school close. At a regular meeting Monday, Oct. 27, North Perth/Northeast Huron trustee Vince Mclnnes proudly pointed out that St. Joseph’s Kingsbridge principal Nancy Barrett travelled to Ottawa this past summer, and ended up meeting Prime Minister Jean Chretien. Barrett mentioned the school to the outgoing leader, Mclnnes reported. But when it came time to address a recommendation brought forward from board staff, trustees offered very little discussion before officially placing St. Joseph’s Kingsbridge “under review,” thereby giving the go-ahead for staff to prepare a report about possible solutions to the declining enrolment dilemma. Under the board’s new student accommodation review policy, trustees will decide whether to proceed further if that staff report recommends substantial changes. Community input will be sought if a decision is made to proceed beyond that point. Board chair Bernard Murray stressed that no concrete decision on the fate of the school has yet been made. “There are a lot of pieces to the puzzle that need to be figured out, and what this motion does is open the door for that process to begin,” he commented. But education chair Ron Marcy noted there are compelling reasons for assessing the viability of the school, which has capacity for about 120 students but has a 2003-04 enrolment of just 69. No new Junior Kindergarten students began attending the school this year, with prospects for next year not much better, while 13 Grade 8 students are expected to graduate in June. “The concern there is not financial,” Marcy explained. “It’s educational — whether the students there can receive the type of education they need to receive.” Trustee Mary-Catherine McKeon, who represents the area served by St. Joseph’s Kingsbridge, wondered whether boundary changes might be the first option to consider. Marcy noted that, if boundary changes are a viable option, that will be revealed in the soon-to-be-compiled staff report. The nearest Huron-Perth Catholic schools to St. Joseph’s Kingsbridge are in Goderich to the south and Wingham to the east. 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