Dear Editor,
The recent approval by Somers School District voters of a $63.9 million bond for critical infrastructure upgrades, along with a $113.5 million operating budget for the upcoming fiscal year, marks a significant investment in our community’s educational future. These decisions reflect the district’s commitment to maintaining high-quality facilities and supporting student success.
It is important for residents to understand the financial implications of these approvals. While the district has taken prudent steps in the past—such as refinancing a portion of its debt in 2016, which secured approximately $2.5 million in savings over time—the total cost of borrowing still exceeds the original amounts due to interest payments. This long-term commitment requires ongoing fiscal vigilance.
Currently, the district’s debt-to-revenue ratio is around 56%. To put this in perspective, financially stable school districts often aim to keep this ratio below 40%. A ratio as high as 56% means over half of the district’s annual revenue goes toward repaying debt. This level of debt repayment can constrain the district’s ability to fund educational programs, respond to unexpected expenses and invest in future priorities. It also increases financial risk, especially if revenue sources like state aid or property taxes do not grow as expected.
Additionally, the district faces substantial retiree benefit obligations that add to its financial challenges.
To maintain fiscal health, the district must carefully manage debt repayments, monitor revenue sources including state aid and property taxes, and pursue external funding opportunities. Transparency and community engagement are essential to ensure that these investments do not unduly burden taxpayers.
We encourage residents to stay informed, attend school board meetings, and participate in discussions about the district’s financial plans. Together, we can support both educational excellence and sound fiscal stewardship in Somers.
-John Mooren
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