$8 Million Project Gets Closer to Approval with Finance Committee Recommendation
The City of Gardner took out a 30 year loan to pay for its portion of the Gardner Elementary School which opened in the Fall of 2022. Recently, the project was deemed completed and went through an audit confirming that over $8 million was left. The Finance Committee voted on February 12, 2025 to recommend that the full City Council approve Gardner Mayor Nicholson’s proposal to utilize the remaining funds for other projects confirmed to have a 30 year or more useful life. If the full City Council votes to approve the plan, the monies would be spent rather than being put towards reducing the principal on the loan. In that event, however, the taxpayers would not be off the hook and would end up doling out more money per month as many of the items the Mayor outlined have been on the Capital Projects list for a decade or more and would likely need to be funded in some manner in the near future. The Mayor’s proposal keeps the City’s monthly payment the same as it is right now. Listen to the entire Finance Committee Meeting on any device. CLICK PLAY.
Next Step: City Council discussion and possible vote on Tuesday February 18th. Complete Agenda and packet, CLICK HERE. (Council meets a day later due to Monday holiday.)
Mayor Nicholson explained the criteria used to make the individual selections on the list: “Bond counsel informed us in order to get something that qualified for the reappropriation of these funds, we needed a project that had a letter stamped by a professional engineer. It was a certified engineer that took the state test and got the official professional engineering status to say that the lifetime of that project had a minimum 30-year lifespan. What that means is there’s different warranties that play into that, but there’s also different state laws that specify what projects fit into that 30-year category. For instance, paving by law can only have a loan taken out for up to 10 years. Outdoor recreational facilities can only have a loan taken out for 15 years, and equipment can only have a loan taken out for up to 20 years. Building improvements, however, are a 30-year, and other projects that meet certain engineer specifications or specifications of the general law are also 30 years.” Complete List, CLICK HERE.
Publisher’s Note: What if the $8 million got added to next year’s budget instead?
This year, the Gardner’s $86 million dollar budget is composed of $41 million for the general fund, $34 million for the schools, and just under $11 million for enterprise funds. So at first glance, adding $8 million to next year’s budget would seem to add 10.7% or about $428 to the average property tax bill, right. (adding general fund + schools) Well, not so fast. Millions of dollars in Gardner’s budget comes from the State of MA such as the School funds, so the figure would be even higher. All of a sudden it is easily realized the Mayor is looking out for the taxpayers with the option he is proposing. Instead of smacking each taxpayer with an extra 500 bucks or more, it’s a sensible idea which helps in a big way to keep up Gardner’s existing buildings – which has been a problem in the past. Many of the outlined needs have been on the Capital Improvements list for years. Have a better idea? Email News@GardnerMagazine.com and give us your thoughts.