Swanson Clarifies Build-Out Information for Developments
Rick Swanson Retracts School’s Flyer Regarding Build Out Rates
Rick Swanson, a partner of Westminster Swanson, issued a letter of clarification on the flyer the school district sent home with the children last week. This flyer gave misleading information regarding the build-out rates of Terra Cotta, Tall Grass, and Preston Pines developments. (Please see the LINKS section to the right for Swanson’s original letter and Swanson's retraction letter)
The build out rate is critical to both the schools and the community as a whole. If the school district’s projections on the build out rate are incorrect, (i.e., slower than their estimates) our taxes will go up.Swanson Clarifies Build Out Rates
At a special meeting of the Village of Prairie Grove on Monday, March 5, 2006, Rick Swanson shared more of the build out rates of Terra Cotta and Tall Grass developments (Preston Pines is being developed by Ryland Homes). Portions of the school’s flyer are quoted below. This information is countered with Swanson’s own words. Also quoted is the school’s and village’s engineer, Pat Bleck.
What the schools said:
“More than 700 students are coming from the 3 developments. We are currently near capacity.” The schools are basing their models on a total build out of 7 years.
What they did not tell you:
Rick Swanson, the developer of Tall Grass and Terra Cotta, estimated that it would take 10-15 years to fully build out the water, sewer, and housing for the developments.
Currently, the class sizes average 19.4 – 26.8 students per classroom for each grade level. By strategically adding an average 2.75 children per classroom per grade level will allow us to accommodate 150 additional students. A temporary sacrifice to allow the community to make the right decisions, find a better way, and save millions of dollars in future costs.
Terra Cotta – D46 students will come from 228 single family homes with a build out rate of 8-15 years.
What the schools said:
Terra Cotta (estimate 186 students):
“… Final approval in the fall (2006)… we anticipate that we will start earth work on the site in the Fall and begin requesting building permits shortly thereafter.”
What they did not tell you:
Rick Swanson stated that most of the construction (for Terra Cotta) will be on the west side of Illinois Rt. 31 and therefore in district 47.
He also believed it does not appear likely any single-family construction will occur until at least late 2007 or early 2008 in District 46.
Pat Bleck, the village engineer stated that it typically takes 9-18 months for engineering approvals from preliminary plat. Therefore, he estimates the developer will not start construction on roads water and sewer for Terra Cotta and Tall Grass developments until spring of 2007. Terra Cotta is only at conceptual approval (the step before preliminary approval). The clock has not even started to tick.
Other Useful Facts
- Of the 1346 units of the Terra Cotta development only 228 units will bring children into the D46 school district.
- 162 of the 228 units are “1 acre lots. Rick Swanson of Westminster Swanson, stated these are custom homes, like “Timberhill” subdivision, which has build out only 52 of the 97 lots in over 8 years. He expects a similar absorption rate of 54% in 8 years. These will be the last units to start construction in the Terra Cotta Development.
- The remaining 66 units will be built out like “Oak Grove” which has a built out 70 of 95 lots in 7 years, an absorption rate of 74% in 7 years.
To sum up the Terra Cotta Development as it relates to D46
1. The homes in D46 will be the last to be built in the Terra Cotta Development.
2. Building of homes in D46 is not projected to start until 2008. (Furthermore, based upon the above information, we feel this is an aggressive start date.)
3. Homes built in D46 will be similar to Timberhill and Oak Grove subdivisions and have similar build out rates (7-8 years for 50% to 70% completion).
Tall Grass - 644 units, 156 townhomes, 226 “villas”, and 262 single family homes. Approximately, 85% - 90% of the D46 students will come from the single family homes.
What the schools said:
Tall Grass (estimate 328 students):
We “… anticipate being before the Village Board” in the summer (2006) for final approval… to break ground and start construction in the early fall of 2006.”
What they did not tell you:
Pat Bleck the village engineer stated that it typically takes 9-18 months for engineering approvals after preliminary plat approval. Tall Grass has not received preliminary plat approval. Therefore, Bleck estimates the developer will not start construction on roads and water and sewer for the developments until spring of 2007.
The school district itself has budgeted $250,000 for a “temporary” septic fields because they do not anticipate the water and sewer will be available by the opening of the planned school in the fall of 2007. Another option is the use of “Holding Tanks” to pump the sewage until the sewer is available in lieu of a septic field. Either way the schools do not anticipate water and sewer to be available for the proposed school in the fall of 2007.
Furthermore, Rick Swanson stated that he does not now have a buyer for the properties. Westminster Swanson business is securing entitlements. He sells property to other developers, who in turn pay to build roads, water, sewer etc. Swanson does not build anything - No buyer - no roads.
Housing Type and Number of Students
- The townhomes will bring almost no children to the school district.
- 262 units are $600,000 and up single family homes with an absorption rate that will be slower than the Oak Grove subdivision mentioned above. More than 85% of the children will come from this portion of the development.
- The 226 villas will bring the remaining 10%-15% of the children to the school district.
The type of product which is built first in the development will have the biggest impact to the rate of children the district will be receiving over the next 10 years.
To paraphrase Rick further … you don’t just throw seed out and the buildings sprout up.
To sum up the Tall Grass Development as it relates to D46
By the spring of 2008, there will be a limited and than gradual impact to D46 based on water, road, and building product.
Preston Pines Crystal Lake
What the schools said:
Preston Pines (estimate 195 students):
Anticipate receiving “approval of the final plans and begin earthwork this summer. It would be anticipated from that schedule that our first closing would be the second quarter of 2007.”
What they did not tell you:
The developer is requesting only 16 single family lots in district 46 for final plat approval as part of the first phase of the development. 18-25 children in the fall 2007 / winter 2008 will enroll in the D46 as part of this development. The developer is also requesting 89 townhome units as part of the first phase. The townhomes will bring almost no children to the district.
To sum up the Preston Pines Development as it relates to D46
By the winter of 2008, there will be 18-25 students, with the remainder of the students in subsequent phases of the development.
In Summary:
The school district was invited to attend the informational meeting at the Village. They declined. They want you to believe the shareholder is better informed from “cherry picked” quotes from a “retracted” letter, than from a two hour informational meeting with the developer, the village, and the public. (Will they send out the retracted letter in the students’ backpacks?)
Will the students come? Yes, but not in the time frame projected by the schools. Why should you care? Because if the homes, do not materialize in the projected time frame the EAV’s and impact fees will not materialize either. We will still however have an $18 million “tax free” loan to repay.
The timing of the building of the school will have serious repercussions on the district. Part of the reason to vote no, is to have more time and have full access to all information available to make an informed decision. If the school district would just provide all the information and stop spreading fear, the community could fashion a more prudent and fiscally sound way to handle the growth in our community and in the school district. Is that to much to ask?
