Horace Mann’s endowment was $60 million at the time, but the construction budget topped $100 million. To finance the project, the school floated $103 million in bonds certified by the city’s Industrial Development Agency over the next five years. According to documents filed with the IDA, Horace Mann’s total debt will reach $339 million, including principal and interest, over the 42-year life of the bonds. The board has since raised tuition (now $29,000) and has completed two major fund-raising campaigns, including selling the naming rights to its new buildings (lockers at $500,000, computer classrooms $150,000 a pop, the orchestra pit for $250,000).
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One consequence of the debt has been the consolidation of wealth on the board. The last full-time educator to serve as a trustee, Barnard dean Marjorie Silverman, left the board in 1999. Nowadays the board is dominated by lawyers, investment bankers, and real-estate developers, and, possibly as a consequence, the school’s relations with its teachers have suffered.
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