Garfield Elementary School in Cedar Rapids is one of two century-old facilities to be sold by the school district. (Photo via Google Earth)
The Cedar Rapids School Board has approved the sale of two 100-year-old schools and sent a ballot measure to local voters to renew a property tax for building projects.
The sale of the two schools would net the district nearly $300,000 while if the property tax is renewed, around $140 million could go the district’s way over a 10-year span.
The property tax, known as the Physical Plant and Equipment Levy (PPEL), funds repairs, new equipment, upgrades, building renovations and other school facilities.
The historic Arthur Elementary School and Garfield Elementary School are on pace to become the new sites of an art academy and apartment building.
The schools were sold for less than the appraised value but both sales came with perks for the district.
The Cedar Rapids Community School District is combining the two schools’ students into the new Trailside Elementary School, which is scheduled to open in August.
“When we considered selling and repurposing these buildings, we focused on three key objectives: honoring their historical significance, providing value to the entire community, and building partnerships that could give back to the district,” district Director of Operations Chad Schumacher said in a news release. “I believe we have achieved all three of those goals with these plans.”
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Sale of Garfield Elementary School
The Cedar Rapids School District has agreed to sell the more than 100-year-old school to local developer Steve Emerson for $160,000.
Emerson plans to repurpose the elementary school into several apartments as well as a community space.
As part of the sale agreement, Emerson agreed to allocate two apartments for the Cedar Rapids School District’s use. Those apartments could be used to house district staff, students or other affiliated groups.
High school trade students from the district will work on the building’s renovation to give them real-world experience, according to the news release.
Emerson previously bought old school district buildings when he repurposed a district warehouse and former administrative building after the 2008 flood.
Emerson did not make the highest offer on the property. Isaac Newton Christian Academy offered $375,000 for the building, more than double Emerson’s offer.
Chief Financial Officer for the district Karla Hogan defended the decision, saying in the meeting that Emerson’s offer came with more benefits and selling to another school would essentially be giving the competition an advantage.
“It’s not a sound business decision to sell these properties to organizations that will affect the overall financial health of our district,” Hogan said.
Had this sale come a week later, a new state law mandating a district must sell to another educational institution if it’s the highest offer would have kicked in and forced the district to sell to the Isaac Newton Christian Academy.
Sale of Arthur Elementary School
The school board approved the sale of Arthur to nonprofit Eastern Iowa Arts Academy in exchange for $130,000 and a 10-year commitment to provide Cedar Rapids schools with free arts programming.
Eastern Iowa Arts plans to turn the old elementary school into art classrooms and studio art spaces for rent.
“Our current facilities no longer meet our students’ needs due to the recent influx of new participants,” Eastern Iowa Arts Executive Director Heather Wagner said in the news release. “We look forward to creating a new, inclusive, fun, and welcoming space for our entire community.”
Property tax ballot initiative
Following the property tax’s expiration in June 2025, homeowners’ tax rate will decrease from $14.73 to $13.90 per $1,000 of taxable income.
The ballot measure asks Cedar Rapids residents to maintain the old property tax rate, not increase it.
Renewing PPEL would generate more than $140 million over 10 years for the district. About $19 million would go toward transportation costs, about $86 million on yearly projects and $30 million for new college and career readiness programs at Jefferson, Kennedy and Washington high schools.
Part of the yearly projects includes routine maintenance and unexpected repairs. Some of those projects include replacing or repairing the sidewalks, windows, sports facilities, roofs, parking lots and carpet.
The ballot measure on Sept. 10 needs only a simple majority to pass.
If the ballot doesn’t pass, school board members could make up some of the difference by levying 33 cents without voter approval. However, the tax revenue would fall far short of past years’ totals.
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