Polk schools get $174M in impact fees from county. Most would to toward a new high school

Paul Nutcher, Lakeland Ledger
·4 min read

Polk County commissioners approved the release of more than $115 million in educational impact fees on Tuesday for a new Poinciana area high school among other school projects to accommodate the county's growing student population.

In all, educational impact fees of more than $174.2 million were released for the modernization and construction of additional capacity within the school system. The approval was by a unanimous decision of the County Commission.

New high school building costs

Among the funds released, Polk County Public Schools received $115.368 million to construct a new 2,500-student high school in Polk County’s Poinciana area, according to a staff analysis by the county’s Office of Planning and Development.

The initial budget for the project has been set at $166 million minus the property acquisition costs, the report said.

PCPS will be requesting the release of future impact fees, as Tuesday’s request was an initial impact fee request, the report said. On June 15, 2021, the County Commission approved the release of $6.37 million for property acquisition, but a site has not yet been acquired.

The district had advertised in The Ledger on April 15 that the Polk County School Board had received an unsolicited proposal for a public-private partnership to build a high school facility in the northeast area of the county. The proposed site is near Lake Hatchineha Road and Marigold Avenue.

Scenic Terrace in Haines City was built by a private entity, which then leased the property back to the Polk County school district. Another public-private venture such as this is among the considerations for a new high school in the Poinciana area.
Scenic Terrace in Haines City was built by a private entity, which then leased the property back to the Polk County school district. Another public-private venture such as this is among the considerations for a new high school in the Poinciana area.

In a heavily redacted document requested by The Ledger, the proposal for the high school was received from Building Tomorrow’s Public Schools, a Lake Wales firm, which lists John “J.D.” Alexander as part of the project team and chairman of Public School Development Services of Palm Beach Gardens.

Incorporation papers also show land developer Steve Cassidy as a managing member of PSDS. Cassidy is developing land holdings throughout the northeast area of Polk County for homes.

Another Scenic Terrace?

A high school would not be the first development for the group.

It also built the Scenic Terrace school and leased it to the school district. The land for the school is privately owned by BTS Polk Scenic Support LLC, according to Polk County property records.

In that proposal, also requested by a reporter and heavily redacted, it suggested the northeast area will see at least 15,000 new homes in the coming years.

While Scenic Terrace has room for 1,600 elementary and middle school students, it is currently occupied by students bused from the Elbert Elementary attendance area of Winter Haven. Elbert has an enrollment of about 700 students.

In a couple of years, once the Elbert modernization is complete, Scenic Terrace will then be transformed into a K-8 zoned public school as it was originally proposed.

In documents posted to the district’s website, the term of the lease is shown as $216,666 per month or $2.6 million per year, which would total $78 million over 30 years.

In addition, the district has to fund an escrow account for maintenance to the tune of $12,500 per month or $150,000 per year (or $4.5 million over 30 years). The school district would have the option to purchase the building from BTS for a minimum of $5 million, the original lease said.

The district would be responsible for paying off any outstanding principal as part of the purchase price spelled out in the lease.

The amended lease approved by the School Board in July 2023 says that buyout number could be north of $30 million to $40 million, depending on how long the district leases the school. Further, the interest rate on the bonds were originally expected to be 2.7% but by the time they were issued had climbed to almost 5%.

The lease also said the district pays the utilities for the building as well as property and liability insurance premiums, replacement furniture, interior painting and janitorial services.

School modernization

According to a Polk County staff report, the schools getting impact fees are: 

  • Elbert Elementary in Winter Haven will get $12 million for 268 additional student stations with a total price tag of $50 million. The remaining $38 million is funded through the half-cent sales tax.

  • Alta Vista Elementary in Haines City received $9 million for 282 additional students at a cost of $54 million. The remaining $45 million is funded through the half-cent sales tax.

  • Wahneta Elementary in Winter Haven received $6 million for 125 students at a cost of $38 million. The remaining $32 million is funded through the half-cent sales tax

Most of the original Elbert Elementary buildings have been demolished to make way for the construction of a new school in Winter Haven. Students were temporarily relocated to the new Scenic Terrace School near Haines City.
Most of the original Elbert Elementary buildings have been demolished to make way for the construction of a new school in Winter Haven. Students were temporarily relocated to the new Scenic Terrace School near Haines City.

And the remainder went toward repayment of bonds taken out for modernization projects that added student capacity eslewhere, the report said. Such projects included the modernization of Mulberry High School.

Impact fees are paid by new home buyers during construction to help pay for the impact of new development on roads, parks, schools and other infrastructure.

This article originally appeared on The Ledger: Polk gets $115M in impact fees from county for a new high school