Ritzy prep school in tax- break push
That’s rich! One of the most expensive private schools in the country is asking the city to approve $ 52 million in taxfree bonds so it can finance improvements that include a new sixlane swimming pool.
The Riverdale Country School, where tuition and fees run $ 45,600 a year, says the existing pool on its Bronx campus is operating “beyond its useful life” and needs to be replaced at a new site by a 13,087squarefoot indoor facility.
In its application, the school said the new pool will have room for “sixlane competition” and “code-required deck areas, support spaces for swimmers and coaches and seating area.”
The prep school also is looking to renovate its 34,000 squarefoot gymnasium, turn its old pool into a fitness facility, construct new classrooms and refinance a $ 22 million bond issued in 2011.
Headmaster Dominic Randolph, who collected $ 513,918 in total compensation in 2012, according to IRS documents, issued a statement saying his school wasn’t doing anything different than other applicants.
“We are financing this project in the exact same way that every other not for profit school, hospital or museum does, and we are not spending one taxpayer dollar,” he said of the application, first reported by DNA-Info.
“We went to our privatesector lender, who directed us to Build NYC to secure the bonds. Accessing this type of funding allows us to undertake projects that make a substantial investment in the city, create hundreds of construction jobs and sustain fulltime employees at the school.”
Economicdevelopment officials said the city would be giving up $ 817,423 in income and mortgage taxes, but would collect $ 28.8 million in new tax revenue over 28 years if the application is approved.
“No city money is going toward this project whatsoever,” said Kelly Magee, a spokeswoman for the city’s Economic Development Corp.
Magee said as long as applicants meet federal guidelines, the city can’t reject their applications.
Riverdale Country still has to raise the money on its own. But it will save substantial sums in interest because it will be able to sell bonds at lower, taxfree rates.
The wellheeled school shouldn’t have much trouble attracting financing, since it has an endowment of $ 58.2 million.
According to The Street. com, Riverdale Country was the sixthmost expensive private school in the country in 201415.
The Economic Development Corp. is holding a public hearing on Riverdale Country’s application Thursday.