070-20 - NJSP Proposed Amendment to Lease Agreement
NOTICE OF PUBLIC HEARING
PROPOSED AMENDMENT TO LEASE AGREEMENT
FOR NORTH JUDSON-SAN PIERRE SCHOOL CORPORATION
You are hereby notified that on May 19, 2020 at 5:30 p.m. a public hearing will be conducted at a meeting of the Board of School Trustees of North Judson-San Pierre School Corporation at the Administration Building, located at 801 Campbell Drive, North Judson, Indiana, concerning a proposed amendment to lease agreement to be entered into between the North Judson-San Pierre Multi-School Building Corporation, as lessor, and the North Judson-San Pierre School Corporation, as lessee. Pursuant to the Order of the Governor of the State of Indiana, the meeting may have one or more members of the Board attending virtually. Rather than attend the meeting in person, interested parties may provide written comments or questions prior to the meeting to the Board in care of the Superintendent at the Administration Building. Interested parties may also request to participate in the public hearing electronically by contacting the Administration Building. It is anticipated that members of the public will not attend the hearing in person.
The term of the proposed amendment to lease agreement upon which the hearing will be conducted will commence on the date the Lessor issues its bonds. The amendment to lease shall be for a maximum term of 22 years with a maximum lease rental of $1,342,000, payable in equal installments on June 30 and December 31. As additional rental, the lessee shall pay all taxes and any rebate amounts owed to the United State Treasury. The lease agreement requires the lessee to maintain insurance on the buildings subject to the lease and to bear all costs of any other alterations or repairs. After the issuance by the building corporation of its First Mortgage Bonds to pay for the cost of the proposed renovation and improvement of the Elementary School building and technology improvements, including other expenses incidental thereto, the annual rentals will be reduced to amounts equal to the multiple of $1,000 next higher than the sum of the principal and interest due on such bonds in each twelve-month period ending on January 15, plus $5,000.
The amendment to lease agreement gives an option to the school corporation to purchase the leased premises on any lease rental payment date. The project shall consist of proposed renovations and improvements at the Elementary School building and technology improvements. Estimates of the costs of the proposed construction and renovations, as well as a copy of the proposed amendment to lease agreement, are available for inspection at the Administration Building, 801 Campbell Drive, North Judson, Indiana.
At the hearing, all persons interested shall have a right to be heard in the manner set forth above upon the necessity for the execution of the amendment to lease agreement and upon whether the lease rental set forth therein is fair and reasonable for the proposed building. The hearing may be adjourned to a later date or dates. Following the hearing, the Board of School Trustees may either authorize the execution of the Amendment to Lease Agreement as originally approved or may make modifications therein as may be agreed upon with the North Judson-San Pierre Multi-School Building Corporation.
Dated: April 15, 2020
April 17, 2020
Board of School Trustees
North Judson-San Pierre School Corporation
070-20 G 04/15, 04/22