MIDDLE TOWNSHIP PUBLIC SCHOOLS BOND REFERENDUM March 8, 2016 Bond Referendum BUILDING FOR OUR FUTURE

 CURRENTLY THE “BAND-AID” APPROACH COSTS MONEY AND DISRUPTS THE EDUCATION PROCESS.  REFERENDUM AVOIDS IMPACTS TO BUDGET/CURRICULUM FUNDING.  REPLACE HVAC AND ELECTRICAL SYSTEMS -- END OF USEFUL LIFE.  REPLACE ROOF AND WINDOW SYSTEMS – END OF USEFUL LIFE.  ADDRESS SITE DRAINAGE CONCERNS.  REPAIR BUILDING ENVELOPE TO AVOID WATER INFILTRATION.  EXISTING PRE-KINDERGARTEN BUILDING OVERCROWDED ADDRESSING THE DISTRICT’S CRITICAL FACILITY AND SITE NEEDS

 ELEMENTARY SCHOOL 1  New Pre-kindergarten Addition with 7 new classrooms, including inclusion classrooms and Pre-K court  New Gymnasium Addition and renovated storage and toilet facilities  New Health Office and OT/PT Addition with renovated Conference Room  Parking Lot Expansion  Upgraded electrical service  Replacement of existing sidewalks  Brick repointing  New drainage and retaining walls at utility access  MIDDLE SCHOOL  Electrical upgrades throughout the school  Restoration of existing exterior canopies  Extend side entry canopy to parent pick up / drop off REFERENDUM QUESTION 1 REFERENDUM QUESTION 1 COST: $21,320,000 - *10% FUNDED BY STATE DEBT SERVICE AID *THE DISTRICT CAN ONLY CLAIM 10% STATE FUNDING IF THE REFERENDUM PASSES, THE STATE’S OFFER EXPIRES DECEMBER 2016

 ELEMENTARY SCHOOL 2  New Transportation Building  New bus parking drop off  Additional parking throughout the site  Redesign storm water drainage system  Replace all existing skylights  Replace existing asphalt shingle and membrane roofing  Replace windows in Cafetorium, Band and Music Rooms, Administration Offices  Remove existing berms and regrade for proper drainage  Replace existing Exterior Insulation Finish System (E.I.F.S.) in its entirety  HIGH SCHOOL  Replace existing heating/ventilation systems and controls in Auxiliary Gymnasium  Replace existing glass block windows in Gymnasium REFERENDUM QUESTION 1 REFERENDUM QUESTION 1 COST: $21,320,000 - *10% FUNDED BY STATE DEBT SERVICE AID *THE DISTRICT CAN ONLY CLAIM 10% STATE FUNDING IF THE REFERENDUM PASSES, THE STATE’S OFFER EXPIRES DECEMBER 2016

 Remove existing Pre-K temporary buildings  Brick repointing  New drainage and retaining walls at utility access  Replacement of existing sidewalks ELEMENTARY SCHOOL NO. 1

 New Health Office and OT/PT Addition with renovated Conference Room  New Pre-kindergarten Addition with 7 new classrooms, including inclusion classrooms and Pre-K court  New Gymnasium Addition and renovated storage and toilet facilities ELEMENTARY SCHOOL NO. 1

 Electrical upgrades throughout the school  Restoration of existing canopies  Extend side entry canopy to parent pick-up / drop-off MIDDLE SCHOOL

 Replace existing heating and ventilation systems and controls in Auxiliary Gymnasium  Replace existing glass block windows in Gymnasium HIGH SCHOOL

ELEMENTARY SCHOOL NO. 2  Redesign storm water drainage system  Replace windows in Cafetorium, Band and Music Rooms, Administration Offices  New bus parking drop off  Replace all existing skylights  Replace existing asphalt shingle and membrane roofing  Building envelope improvements

 New Transportation Building  Additional parking throughout the site ELEMENTARY SCHOOL NO. 2

 Two new athletic fields  New playground  New building with concessions stand, storage and toilets  Parking NEW PLAYGROUND REFERENDUM QUESTION 2 REFERENDUM QUESTION 2 COST: $3,320,000 - *0% FUNDED BY STATE DEBT SERVICE AID *REFERENDUM QUESTION 1 MUST BE APPROVED FOR THE DISTRICT TO MOVE FORWARD WITH QUESTION 2.

ASSESSING CRITICAL NEEDS  AFTER A THOROUGH FACILITY ASSESMENT AN INITIAL BUDGET WAS DEVELOPED.  THIS BUDGET WAS THOROUGHLY REVIEWED WITH THE BOARD AND PARED DOWN TO INCLUDE ONLY THE MOST CRITICAL AND ESSENTIAL NEEDS OF THE SCHOOL ORIGINAL FACILITY ASSEMENT BUDGET – $34,880,000 AFTER REVIEW PROCESS Referendum Question 1: $21,320,000 (10% state funded*) Referendum Question 2: $3,320,000 (0% state funded*) * State funding can only be claimed if referendum passes

SUMMARY OF FUNDING TOTAL PROJECT COSTS$21,320,000of which 10% will be state funded* REFERENDUM QUESTION 1: (ZERO TAX IMPACT) TOTAL BUDGET REFERENDUM QUESTION 2 TOTAL PROJECT COSTS$3,320,000of which 0% will be state funded* TOTAL BUDGET ADVANTAGE TO LOCAL TAXPAYERS 10% OF TOTAL COSTS FUNDED BY STATE IF BOTH QUESTIONS PASS* *State money CAN ONLY be claimed if the referendum passes ESTIMATED TAX IMPACT OF $0.00 TOTAL PER MONTH BASED ON AVERAGE ASSESED HOME VALUE OF $241,000 AND 4.30% INTEREST RATE ESTIMATED TAX IMPACT OF $1.70 TOTAL PER MONTH BASED ON AVERAGE ASSESED HOME VALUE OF $241,000 AND 4.30% INTEREST RATE

SCHEDULE

 Question 1 will have Zero Tax Impact.  Construction costs & interest rates remain low.  More cost-effective than ‘repair-as-we-go’ approach.  Returns State taxes to Middle Township residents.  If Middle Township does not use the state funding, the funding will be lost.  Debt Service Aid funding was made available 2 years ago - no guarantee how long it will be available.  Work completed in referendum will reduce the impact on the annual maintenance budget; allowing more funds for curriculum & programs.  Local costs reduced by 10% through Debt Service Aid.  Expected energy savings and potential rebates. WHY PURSUE A REFERENDUM NOW?