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TCAPS Board approves negotiations for sale of Bertha Vos to North Arrow and puts operating tax on November ballot


TCAPS Board approves negotiations for sale of Bertha Vos to North Arrow and puts operating tax on November ballot

Traverse City Area Public Schools (TCAPS) trustees voted unanimously Monday to authorize staff to negotiate a deal to sell the former Bertha Vos Elementary School to North Arrow ABA, a local company that provides autism services for children. North Arrow has bid $700,000 for the property; a final purchase agreement still needs to be submitted to the board for approval. Trustees also placed a resolution to extend the district’s 10-year operating millage on the November ballot Monday and discussed next steps for a $180 million capital bond approved by voters last week.

Bertha Vos Sale
After several potential buyers dropped out of the purchase of the former Bertha Vos Elementary School on Shore Road in Acme Township, TCAPS Superintendent Dr. John VanWagoner expressed optimism Monday that the district can expect a successful bid from North Arrow ABA.

North Arrow — which occupies another former TCAPS elementary school, Norris Elementary, in addition to clinical centers in Petoskey, Cheboygan, Grayling and Cadillac — provides autism therapy services for “children ages 18 months through young adulthood and beyond,” according to the company’s website. North Arrow submitted a $700,000 offer for the Bertha Vos property to TCAPS broker Scott Hardy of Coldwell Banker Schmidt Realtors, which was forwarded to trustees on Friday.

“They have a lot of people needing services and they’ve run out of space,” VanWagoner told the board. “A lot of (clients) are from the Kalkaska/Acme/Elk Rapids area. They would really like to set up a program for the east side of the county.”

TCAPS has received previous offers for the property, ranging from $600,000 from Acme Township to $1.225 million from Strathmore Real Estate Group. Those deals fell through for a variety of reasons, ranging from problems with the building’s condition to neighborhood opposition to development plans. TCAPS had listed the property for $725,000 last year, but recently raised the price to $1 million.

VanWagoner said it’s possible North Arrow would go beyond $700,000 in its final offer, but is first waiting on inspection results. VanWagoner said the company is also willing to talk with neighbors about setting aside some acres for use as a public park – another factor that could affect the final sale price. Some neighbors asked TCAPS trustees for time last month to put together their own offer, but VanWagoner said nothing has been submitted yet. But VanWagoner was confident that between offering child-focused services, working with a group that already has experience taking over a former TCAPS elementary school and potentially creating a public park, the North Arrow deal could be a “win-win” for the community and TCAPS. VanWagoner also mentioned the potential to dedicate the park to the Hoxsie family and pioneer resident Bertha Hoxsie Vos, noting that “the county received this (property) for free at some point” from the family.

Several trustees expressed support. “I think it makes sense,” said Trustee Beth Pack, while President Scott Newman-Bale said he was “glad when I saw the offer and the history.” Trustee Erica Moon Mohr agreed: “I think it’s what we’ve been looking for.” Board Secretary Josey Ballenger said the proposal “could meet a lot of criteria,” but pointed out that TCAPS went down from an earlier cash offer of $1.225 million to a bid of $700,000. She encouraged VanWagoner to negotiate the best deal possible. “Since we have so few valuable assets to offload, it would be nice if we could get fair market value,” she said, noting that the proceeds could directly benefit TCAPS students.

Operating millage/bond
TCAPS trustees have approved a resolution that puts a renewal of the district’s 10-year operating millage on the November ballot. TCAPS is required to collect the 18-mill non-homestead tax — which only applies to second homes and commercial properties, not primary residences — in order to receive per-pupil funding from the state of Michigan. The authorization, which represents a significant portion of the district’s operating budget, would cover a 10-year period from 2026 to 2035.

The operating millage is quite different from the capital bond proposal voters approved last week, which maintained a 3.1 percent tax rate on homeowners to raise $180 million over the next decade for projects such as rebuilding Central Grade School, replacing buses, technology improvements, expanding classrooms and renovating infrastructure at several schools, including roofs, boilers, sewer systems, stormwater drainage and water heaters.

VanWagoner told trustees Monday that staff is preparing to provide a comprehensive overview of next steps with the bond in October, including a map/timeline of projects and funding opportunities for energy efficiency projects. TCAPS has been working with the Trane company on a plan to implement energy improvements districtwide with guaranteed savings. This approach, in which the improvements would essentially pay for themselves over time, would be used in conjunction with the bond funding to maximize the number of improvements TCAPS can tackle.

However, VanWagoner said there is also the possibility that TCAPS could partner with Traverse City Light & Power (TCLP) to qualify for interest-free financing through the USDA for energy upgrades at schools within the TCLP service zone. “The interest savings would be tremendous in that scenario,” VanWagoner said. He estimated that about $10 million in project financing could be available through TCLP. However, VanWagoner cautioned that TCAPS and TCLP officials are still in the early stages of studying how such a partnership could work, as it would be a first for the city-owned utility. VanWagoner said he hopes to have a recommendation for Trane or TCLP’s approach by October.

VanWagoner said Central Grade in particular has exciting potential for using new energy-efficient technologies because it is a complete renovation. Incorporating geothermal or solar aspects into the remodel, for example, could make the school more environmentally friendly and introduce students to those technologies, VanWagoner said.

Photo credit: Coldwell Banker Schmidt Realtors

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