Prairie Grove Board OKs $1 Million Land Purchase

PRAIRIE GROVE -- Prairie Grove School Board unanimously voted last week to purchase 61 acres for $1 million and approved a five-year loan for $800,000 to help pay for the property.

The land is located at 730 Buchanan St., across from Prairie Grove High School, and will be available to the school district for future growth. The school is purchasing the property from DD&B Inc. David Parks of Prairie Grove is president of the company.

The school will provide 20 percent of the purchase price and borrow 80 percent from Arvest Bank. The financing will be a five-year, tax-exempt fixed rate of 2.74 percent, with an annual payment of $173,561. The district's fees associated with the purchase total about $3,000.

Allen Williams, superintendent of schools, first proposed purchasing the property for $1.1 million in April, contingent on a feasibility study of the land and board approval.

Last week, Williams said the offered price was lowered to $1 million because the feasibility study showed some of the land would have to be filled in three to six feet for development. Williams said this section would probably not be used for school construction but the appraiser lowered the value of the land because of it.

Before the vote, Board President Eric Walker noted the $1 million purchase is probably one of the most important decisions the board has made in several years

"That's a lot of money," Walker said. "I want to make sure everyone is comfortable with it....Before we wham, bam, slam this through, I want to make sure everyone has the chance to say something."

Board members then took turns giving their support to the purchase.

Board member Casie Ruland, who by profession is a banker, said she thought the district was receiving a good deal from Arvest Bank.

"It makes sense on paper," Ruland said.

Board member Jerry Coyle noted the board has been thinking about the purchase for many months.

"I hate to pay $1 million but the way the city is growing and the school is growing, I think we're being wise in purchasing it," Coyle told board members "We've put a lot of thought into this and I think it's a smart move."

Bart Orr, board member, pointed out the land was in a good location for the school district and board member Shawn Shrum said he believes the land is a good fit for the campus and the school district.

Another board member, J.C. Dobbs, added, "The land is there. It won't be there if we don't buy it."

Williams said he believes the board is being visionary by approving the purchase.

"This will help the district handle its needs for a long, long time," Williams said."

Walker said he was not surprised by the comments from board members but wanted to make sure if anyone had concerns, there would be an opportunity to express those concerns.

"It's one thing to build a high school. Everyone sees the need for a new high school but not everyone understands the foresight of looking down the road," Walker said.

He expressed his appreciation to the Parks family for their interest in selling the property to the school district and working with the school during the feasibility process.