The Town of Danvers new, easy-to-use online payment platform with more ways to view and pay your utility bill, plus the ability to pay by phone and via text message is now available.
Level 3 - Drought Conditions - Outdoor Watering w sprinklers/irrigation systems allowed Tues/Thurs/Sat ONLY, 7:00PM-8:00AM.  Hand watering & car washing allowed anytime.
Peak Savings event Wednesday, July 17 from 3PM-7PM. Please conserve energy during this time.

How will the Town pay for the new school and how much will it cost the tax payers?

There are numerous financing models the Town could consider, but the two presented at the Financial Summit frame the alternatives in the clearest terms.  The total cost of the 20-year EP financing plan was $46.5 million ($32 million principal + $14.2 million interest), with higher annual payments for a shorter period.  The total cost of the 30-year LD plan was $60.5 million ($32 million principal + $28.5 million interest), with lower annual payments for a longer period.

The summary table below displays a 25-year LD option, i.e. a “middle” option, alongside the two options presented at the Financial Summit, for discussion purposes.  These three options represent the spectrum very well.  More detail on each option is provided in the attachments.

Facts & Figures30-year level debt25-year level debt20-year equal principal
Total Project Cost$60.5 million$53.8 million$46.2 million
Total Interest Cost$28.5 million$21.8 million$14.2 million
Cost Avoid (vs. 30 yrs.)$0($6.7 million)($14.3 million)
Peak Year (FY23)$7.54 million$7.68 million$8.32 million
Average Tax Bill Incr.$157/year, 30 years$167/year, 25 years$179/year, 20 years
Req’d SSF to stay @ 6%$8.3 m (FY 20-26)$9.2m (FY20-26)$13.0 m (FY20-26)
Budget ImpactService SolvencyExclusion / Svc Solvency Debt Exclusion


You can view the full financial summit presentation here.

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