When Fountain Hills School District Board members met in a joint session with Town Council members on Feb. 21, a discussion of district-owned property was high on the agenda.

The district owns more than 70 acres of land in three separate parcels around town with an on-paper potential for more than 200 residential housing units. Development Services Director Bob Rodgers said that practically speaking the number of housing units is probably around half that number when terrain, rights of way and other development restrictions are figured in. There is also a potential to increase the zoning density beyond what is currently in place.

Board members were quite clear that the district has no interest is pursuing development of any of the parcels at this time.

“We plan to keep the land as is,” said Board President Edith Stock. “If there is an increase in student population we may need these sites in the future.”

Board Vice President Jill Reed said the district would be limited in how it could use any funds realized from the sale of land. That would include some capital expenses and paying down debt.

“We prefer to keep [the land] as an asset,” Reed said. “It is not feasible for us to sell the land and put the money in the bank.”

Sale of the land also requires a vote of district residents, according to District Superintendent Patrick Sweeney, although the district would have up to 10 years to use the funds.

In response to a question from Mayor Linda Kavanagh, Sweeney also laid to rest any discussion that the district would consider having some of the land developed to provide housing for teachers and staff.

“We don’t want to get into land development,” Sweeney said. “We never seriously looked at that option.”

Councilman Art Tolis seemed to believe the district should be more aggressive in efforts to increase student population. He noted that the current student counts for the lower three grades are fewer than 100 students each.

“What happens to the district if you don’t increase enrollment,” Tolis asked. He sees the sale of the land as a housing option for generating new families and students.

Tolis also asked about the potential threat of losing students to the new Basis School in Scottsdale, as well as a nearby Scottsdale high school.

“Competition is a reality in Arizona,” Sweeney said. “In fact Basis had very little impact; we lost just one student in the first year.

“The [high schools] are more of a challenge, but we are taking steps to mitigate with outreach to families, and we are making progress in changing that flow.”

“[The council] wants to work with the district to determine the highest and best use of this land to help generate student population,” Tolis added. “I think it would be prudent to move forward to get [voter] approval. I believe at some point there is a point of no return [regarding student population decline].”

Stock challenged Tolis’ assertion.

“The picture you paint of a freefall and being unable to compete is not realistic,” Stock said.

“The district has seen students go and very frequently they scurry back when they see the advantages of a smaller school,” Sweeney added.

Reed said even if the district wanted to take advantage of the 10-year lag to use the funding they still need to have very specific ballot language on how the money would be used.

“That would be very difficult to do,” Reed said.

Dr. C.T. Wright said he was speaking only for himself and not the board as a whole in stating the district is looking at creating centers of excellence.

“With the leadership we have the Fountain Hills Unified School District is doing an excellent job,” Wright said. “We can do it for less and will be successful.

“I would put our district up against any district in Arizona.”