Voters will decide on a school improvement bond proposition from Marysville Public Schools on Aug. 5.
District officials say the 2025 bond will extend the 2007 bond for an additional four years and that extending the debt will not require any tax rate increase to complete the projects.
The proposal asks if the Marysville Public Schools District should borrow the principal sum of not to exceed $18.5 million and issue its general obligation unlimited tax bonds, in one or more series, to pay the cost of the following projects to create a modern learning environment for students and for health, safety, security, energy conservation and other purposes:
• Remodeling, equipping, furnishing, reequipping and refurnishing school buildings.
• Preparing, developing and improving sites at school buildings, athletic fields and playgrounds.
The estimated debt millage that will be levied to pay the proposed bonds in the first year is zero mills for an estimated total of 7.60 mills for the 2025 debt levy, which is an estimated zero mill increase over the prior year’s debt levy, the ballot language states. The estimated simple average annual millage that will be required to retire the bonds is 0.71 mills, or $0.71 per $1,000 of taxable value. The maximum number of years any series of bonds may be outstanding, exclusive of refunding, is not more than 20 years.
If approved by the voters, the repayment of the bonds will be guaranteed by the state under the School Bond Qualification and Loan Program. The school district currently has about $45.7 million of qualified bonds outstanding and about $17.9 million of qualified loans outstanding under the program. The school district expects to borrow from the program to pay debt service on these bonds.
The estimated total principal amount of additional borrowing is about $1.8 million and the estimated total interest thereon is about $6.4 million. The estimated duration of the millage levy associated with that borrowing is 18 years and the estimated computed millage rate for such levy is 7.60. The estimated computed millage rate may change based on changes in certain circumstances.
Pursuant to state law, expenditure of bond proceeds must be audited and the proceeds cannot be used for teacher, administrator or employee salaries, repair or maintenance costs or other operating expenses.
For more information about the bond, call 810-364-7731, email marysvillebondinfo@marysvilleschools.us or visit marysville.k12.mi.us.
