State Auditor’s Office has investigated the sale of school buildings in the past

Cedar Rapids, Iowa – The private school that placed the highest bid to acquire Garfield Elementary claims that taxpayers were deceived by the district’s decision to reject its offer.

The $375,000 bid for the building made by Isaac Newton Christian Academy was turned down by the Cedar Rapids School Board. The state auditor has previously looked at this matter.

In around one and a half years, developer Steve Emerson hopes to have tenants lining the corridors of Garfield Elementary. Following the unanimous decision of the Cedar Rapids School Board to sell the school to him for $160,000 so that he could construct 20 market-rate apartments. Isaac Newton Christian Academy was the second bidder, and they offered twice as much, but the district turned that offer down.

“Cash is king,” said the President of the Linn Christian Education Association Amy McDonald. “If I had the opportunity to have $375,000 today compared to the contract that they have, I know 7 days out of the week which one I’d choose.”

According to the State Auditor’s Office, it looked into a case like this three years ago. After conducting an investigation, Auditor Rob Sand discovered a conflict of interest in the Davenport School District’s $30,000 sale of Lincoln Elementary to a nonprofit, despite receiving a $290,000 offer from a private investor. Administrators from the Cedar Rapids School Board informed TV9 that in addition to bringing the building back under taxation, the cheaper price also prevented a private school from attracting children away from the public system.

“This is a new territory for us which means that we must position ourselves to offer viable choices, options, experiences, and innovating solutions to our students and families,” said Superintendent Dr. Tawana Grover.

Isaac Newton added that the vote by the school board was taken just a few days before a new law is scheduled to take effect on Monday. According to the legislation, a district that wants to sell an old school building must sell it to the school that offers the highest price.

“For a school district that is seeking to gain the public’s trust, an open biffing process for unwanted CRCSD property to demonstrate fiscal responsibility would be a step in the right direction,” said Secretary of the Linn Christian Education Association Bob Mosey.