BUNKER HILL — The Maconaquah School board and community members both for and against the recently defeated renovation project have formed a committee to discuss a future project that could gain community support.

The board hosted a work session Tuesday to discuss the failed $19 million project, which includes renovations and upgrades to both Maconaquah High School and Maconaquah Middle School, and how to move forward to get the proposed work done.

Board president Brian Troyer asked for volunteers from the board, those against the project and those who supported the project to meet informally and try to determine what parts of the project, and how expensive of a project, would have a better chance of success.

The group includes board members Richard Wood, Tim Miller and Greg Bevington, opposition members Pat Maiben, David Betzner and J.B. Ladd, and supporters Loren Hayes, Marcia Minear and Lew Little.

Opponents at Tuesday’s meeting said their concerns had included the $19 million price tag, perceived lack of a priority list of work needed at the two buildings and concerns about leadership in the district.

Maiben said people have noticed that Superintendent Debra Jones’ home is for sale, and she heard Jones’ contract was not going to be renewed.

Jones confirmed she will no longer be superintendent when her contract expires July 1, 2010, but added that “this was not Deb Jones’ project.”

Troyer asked for a specific dollar figure the community could support, suggesting the board could take that figure and work with architects to see what could be accomplished for that amount. No dollar figure was proposed, and several audience members expressed concern the timing was poor for any project because the economy is down and the cost would be hardest on large landowners and farmers.

David Betzner said right now, farmers are operating at a loss but would carry the largest burden.

However, Thomas Peterson, an attorney with Ice Miller LLP, Indianapolis, said for 2009 and 2010, schools have an opportunity to receive zero-interest loans through the qualified school construction bond program, part of the federal stimulus package. He said Indiana has about $177.9 million available for 2009 and will have additional funding in 2010. He said the Indiana Department of Education is first funding projects of $2 million or less, and later this year will start accepting applications for projects up to $10 million.

School attorney Seamus Boyce said if the board proposes another project $10 million or greater, it is subject to the same referendum process it just went through. A project between $2 million and $10 million would be subject to a remonstrance petition process, if there is opposition. Any project less than $2 million per building, he said, would not be subject to either process.

Peterson said with the zero-interest loans, the money would be paid over a 15-year period, and because of interest earned on the payments, the corporation would pay back about 80 cents on the dollar.

He said if the board did a series of projects, each would have to be a separate project. For example, the board could do a windows and roofing project and then a heating and cooling project. It could not do a project that would be partially completed with one loan and then finished with a second loan.

Peterson said the Department of Education approved the first applications from the 2009 allocation Tuesday, and has several more ready to consider.

He said if Maconaquah’s board decides on a project, its application could be ready to submit within a few days. He added that the board could submit one project in 2009 and another in 2010.

Board member Richard Wood noted that by the time property tax payers would start paying for a new project, the bonds for Maconaquah Elementary would be paid, significantly lowering the property tax rate. Board member Mimi Berkshire added that because the state now pays the general fund, taxpayers are paying less tax money for the school.

Little, who was on a community task force that identified the needs in the project, said in many cases, the corporation can save money by doing projects at once. He said, for example, it’s more cost effective to do the electrical and the plumbing when the walls are already open, rather than having to go back in for separate projects.

“I don’t like the large number either, but it will cost more if we piecemeal it.”

Bevington noted that 80 percent of what was in the project was in another project in 2003 that was dropped after strong community opposition.

“We’re not the first board to know we need we need major infrastructure repairs. The needs are still there. We know the needs are still there and most of you do too, even those who voted against it.”