Steps are being taken by the Rockbridge County Board of Supervisors and School Board that could lead to issuing bonds this spring to fund a proposed community recreation center and new tennis courts at Rockbridge County High School.
The Board of Supervisors on Monday adopted a resolution to reimburse the School Board for expenditures incurred in connection with the recreation center. The supervisors also scheduled a March 23 public hearing on the proposed issuance of bonds to finance the project.
During the citizens’ comments portion of Monday’s meeting, several people urged the supervisors to not go into debt to finance the recreation center.
Jan Lowry told the supervisors to make a distinction between “wants” and “needs,” and to avoid incurring debt for the former. “If it’s something that you think would be nice to have, you wait until you have the money to pay [for it] in full.” She said future generations would be paying for this debt “20 to 30 years from now.”
“I love our RARO program,” said Amy Moore, referring to the Rockbridge Area Recreation Organization that would be utilizing the recreation center, “but I don’t like the interest [on the debt]” that the county would incur if it borrows money for the project. “There has to be some other way to do this,” she said. “Let the community come together to do fundraisers.”
Tina Miller asked the supervisors, “What are you doing to lower our taxes?” She asked where the money is going to come from. “I would love a new car,” she said. “Wanting something is not the same as needing something. Figure out how to pay for it, rather than going into debt.”
Tim Goodbar said taxes are inevitably going to go up to pay for the recreation center. “What are you doing to our grandchildren? Our children?” he asked. He said 90 percent of the people are being asked to pay for something that only 10 percent of the people are going to use.
When it was time for the supervisors to discuss the proposed resolution to reimburse the School Board for the costs being incurred for the recreation center, Kerrs Creek Supervisor Steve Hart asked why the resolution was being put forward before the public hearing and vote on whether to issue the bonds. “It seems to me that we’re doing this backwards,” he said.
David McDaniel interjected that Monday’s resolution would only obligate the supervisors to reimburse the School Board for expenditures incurred so far – approximately $60,000 for design and engineering work that’s been done. The supervisors won’t commit to paying the debt service on the proposed $15.5 million issuance of bonds, he said, until actually approving the bond issuance.
Tyler Smith of Davenport Public Finance, the county’s financial consultant, gave a presentation on how the proposed bond issuance would work. The county, he said, would apply to the Virginia Public School Authority (VPSA) to participate in its 2026 spring pooled bond sale, a state-run financing program commonly used by local governments to fund large capital projects. He said the market is currently favorable for such projects, with the projected interest rate likely to be 4 percent or lower.
Jay Lewis made a motion, seconded by Leslie Ayers, to approve the reimbursement resolution. It passed 4-1, over Hart’s dissent. - The School Board had voted Monday, Feb. 10, to approve a resolution authorizing the next step in the process of borrowing money to finance the recreation center.
The resolution allows the county to apply to the VPSA to participate in the 2026 spring pooled bond sale. The Board’s action didn’t approve borrowing itself, but formally began the application process.
Under the resolution, the county would be authorized to issue up to $15.5 million in general obligation school bonds to fund the project, which includes an estimated $13 million recreation center and $1.5 million for new tennis courts. County officials have emphasized that the higher “not-to-exceed” amount reflects financing mechanics and issuance costs, not an increase in the estimated $14.5 million construction costs.
During the meeting, Smith of Davenport explained that bond pricing can vary depending on market conditions at the time of sale. Setting a higher ceiling in advance allows flexibility when bonds are priced by the VPSA in April, without requiring additional votes or delaying the project.
The resolution also authorizes School Board officers and administrators to complete required documentation related to the bond sale and to reduce the borrowing amount if final pricing allows for lower issuance.
A VPSA bond application is being submitted. Bonds would be priced in early April, with final closing anticipated later in the spring. Final borrowing requires approval by the Board of Supervisors.
