What will the project cost for me?
- What people pay depends on the following:
- District Share of the Project cost
- Interest Rate and Term of Loan
- Town the person lives in
- Number of students in the town
- Property value
What will the total project cost be?
- In July 2018, when the 7-12 new construction option was chosen as the preferred option the estimated project cost was $155.4 million.
- The total project cost is now estimated at $146.3 million. This was determined during the Schematic Design phase and was submitted to the MSBA on February 20, 2019.
- This represents a $9.1 million dollar reduction in cost.
The table shows the estimated annual tax impact based on the average assessed home value of each district town. (Groveland $425,000; Merrimac $375,000; West Newbury $575,000)
|Town||Tax Impact per Year|
The costs are based on a 30-year fixed loan at 2.75%. The costs can fluctuate based on total student enrollment numbers in each town, interest rate changes, and changes to home assessed values.
Eligible vs Ineligible Costs
- We know the MSBA reimbursement is about 52.89% for any ELIGIBLE expenses.
- What is an ineligible cost? There are a number of things in the project that are not eligible for reimbursement or exceed the minimum eligibility caps. For example, site costs over 8% are not eligible.
- We are estimating an approximation of about 40% realized reimbursement after ineligible/eligible costs are calculated.