Bond Proposal 2019 Information
PLANNING FOR THE FUTURE - SAFE AND MODERN SCHOOLS: May 7, 2019 Bond Proposal
The Ludington Area School District Board of Education is asking the community to vote on a bond proposal on May 7, 2019. If approved, it would provide district-wide improvements to address identified and ongoing facility needs based on years of strategic planning, facility assessments, and community input. If approved by voters, the bond proposal would generate $100,935,000 to complete the district-wide improvements and was developed to create safe and modern schools, and address the aging facilities. The average age of the District's school buildings is 64 years old, and all schools are between 54 - 94 years old. The State of Michigan defines the useful life of a school building at 40 years. Many core infrastructure systems have outlived their expected life cycles. The District has done as much preventative maintenance as possible; simply to the point where systems can no longer be repaired and should be replaced.
Click on the image above to view the District's bond proposal informational video to learn more about the District's bond proposal. Please vote on May 7, 2019.
What is a bond proposal and how can funds from a bond be spent?
A bond proposal is how a public school district asks its community for authorization to borrow money to pay for capital expenditures.
Voter-approved bond funds can be spent on new construction, additions, remodeling, site improvements, athletic facilities, playgrounds, buses, furnishings, equipment, and technology. Funds raised through the sale of bonds cannot be used on operational expenses such as employee salaries and benefits, school supplies, and textbooks.
Bond funds must be kept separate from operating funds and must be audited by an independent auditing firm.
What are the key projects of the bond proposal?
- Building a new elementary school complex for pre-kindergarten through 5th grade students
- Major renovations and additions to the middle school and high school
- Improvements to athletic facilities, arts venues, and vocational and skilled trades teaching spaces
Click on the link below to learn more about each of the key projects of the bond proposal:
What are the features of the safe and modern schools proposal?
- Physical safety and security built into the design of the schools
- Age-appropriate classrooms and learning spaces with integrated technology and flexible furniture to inspire 21st century learning
- Creating operational efficiency by consolidating four lower elementary and pre-kindergarten buildings into one building with shared resources
- Safer and more efficient traffic flow during student drop-off and pick-up
- Buildings would be energy efficient and ADA-accessible
What is the taxpayer impact?
If the bond proposal is approved by voters, the millage rate is expected to increase by approximately 1.71 mills over the 2018 debt tax rate. This equals approximately an additional $7.13 per month for each $100,000 in home market value.
Click the link below to use the Estimated Millage Impact Calculator by entering the estimated market value of your home in the blue box. This will calculate the estimated annual property tax bill increase and the estimated increase per month.
May 2019 Bond Proposal Debt Projection
Comparative District Tax Information:
Ludington Area School District currently levies the lowest debt millage rate compared to similar districts. If approved by voters, the District would still remain in the lower third of these districts.
Where can I find additional information?
Additional information will be provided at informational community forums. Community forums are being scheduled as follows:
- April 18, 2019 at 6:00 p.m. - Peterson Auditorium
- May 1, 2019 at 6:00 p.m. - Peterson Auditorium
- PowerPoint Presentation for each Community Forum
Click on the links below to learn more about the May 7, 2019 Bond Proposal:
If you have further questions, contact Jason Kennedy, Superintendent, at (231) 845-7303 or by email at: email@example.com.
Polls are open: Tuesday, May 7, 2019 from 7:00 a.m. to 8:00 p.m.
Poll locations: Voters may cast a ballot at the polling location established by their city/township.
Please click on the links below to see responses to many of the frequently asked questions about the District's bond proposal:
- Frequently Asked Questions - Updated: April 26, 2019
- Project Size and Taxable Value: Comparison to Cadillac Area Schools
- Financial Summary and Frequently Asked Financial Questions
- Ludington Area School District Municipal Disclosure Annual Filing
- Existing Bond Millage Rate Question
- Transformation Think Tank Process and 21st Century Learning Skills
LUDINGTON AREA SCHOOL DISTRICT
Shall Ludington Area School District, Mason County, Michigan, borrow the sum of not to exceed One Hundred Million Nine Hundred Thirty-Five Thousand Dollars ($100,935,000) and issue its general obligation unlimited tax bonds therefor, in one or more series, for the purpose of:
erecting, furnishing, and equipping a new elementary school building; erecting, furnishing, and equipping additions to the middle/high school building; remodeling, equipping and re-equipping, and furnishing and refurnishing school buildings; acquiring, installing, and equipping or re-equipping school buildings for instructional technology; erecting a new team room and concession building for ball fields; purchasing school buses; and preparing, developing, improving, and equipping playgrounds, athletic fields and facilities, and sites?
The following is for informational purposes only:
The estimated millage that will be levied for the proposed bonds in 2019, under current law, is 2.32 mills ($2.32 on each $1,000 of taxable valuation) for a 1.71 mills net increase over the prior year's levy. The maximum number of years the bonds of any series may be outstanding, exclusive of any refunding, is thirty (30) years. The estimated simple average annual millage anticipated to be required to retire this bond debt is 2.58 mills ($2.58 on each $1,000 of taxable valuation).
The school district does not expect to borrow from the State to pay debt service on the bonds. The total amount of qualified bonds currently outstanding is $-0-. The total amount of qualified loans currently outstanding is $-0-. 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 repair or maintenance costs, teacher, administrator or employee salaries, or other operating expenses.)
This informational material is paid for by Ludington Area School District, 809 E. Tinkham Ave., Ludington, MI 49431.