# This dumped output of options is

#$VAR1 = { 'school' => 'Admiralty Primary', 'school_id' => '1' };
#$VAR2 = { 'school' => 'Ahmad Ibrahim Primary', 'school_id' => '2' };
#$VAR3 = { 'school' => 'Anderson Primary', 'school_id' => '3' }; 

# the relevant template is

# note that the school_id in <select name="school_id"> is 
# hard-coded whereas the one in <tmpl_var name=school_id>">
# is a number supplied via @options

<select name="school_id"><option selected value="1"><option selected value="0">Select<tmpl_loop name=options>
<option value="<tmpl_var name=school_id>"><tmpl_var escape=html name=school></option></tmpl_loop>
</select></td></tr>