047-20 - North Judson-San Pierre School Corporation Notice of Preliminary Determination
NOTICE OF PRELIMINARY DETERMINATION
On February 18, 2020, after conducting public hearings on February 11, 2020 and February 18, 2020, the Board of School Trustees of North Judson-San Pierre School Corporation (the “School Corporation”) adopted a preliminary determination pursuant to Indiana Code 6-1.1-20-3.1 to enter into a lease agreement to fund the renovations and improvements at the Elementary School building and additional technology improvements (the “Project”). The lease shall be for a maximum term of 22 years with a maximum annual lease rental of $1,342,000. The Project will be financed with a building corporation bond issue with a maximum principal amount of $10,000,000 bearing estimated interest rate of 2.75%-4.45% and a total estimated interest cost of $4,950,000 over the term of the related bond issue. The debt service levy for the school corporation is currently $1,318,270 based upon a rate of $0.4472 per $100 of assessed valuation. The financing of the Projects will result in an estimated maximum increase of $0.00 to the debt service levy for the school corporation, which is an increase of $0.00 per $100 of assessed valuation in the existing levy rate for the debt service fund due to the retirement of prior debt. The School Corporation estimates that the annual levy in the next 10 years will be $1,318,270 based upon a rate of $0.4472 per $100 of assessed valuation. The school corporation does not expect to appeal for a new facility adjustment for an increased permissible tuition support levy to pay the estimated cost of operating the Project. The result of the School Corporation’s current and projected annual debt service payments divided by the School Corporation’s net assessed value of taxable property within the School Corporation is 0.48%. The result of the sum of the School Corporation’s outstanding long term debt plus the outstanding long term debt of any other political subdivision included in the territory of the School Corporation divided by the net assessed value of taxable property within the School Corporation is 6.26%. Any owners of property within the School Corporation or registered voters residing within the School Corporation who want to initiate a petition and remonstrance process against the proposed lease payments must file a petition that complies with Indiana Code 6-1.1-20-3.1(4) and (5) not later than thirty (30) days after publication of this notice in accordance with Indiana Code 5-3-1.
North Judson-San Pierre School Corporation
047-20 G 02/26