Durand Area Schools: $30.29 million bond proposal

The question, as printed on the ballot

Shall Durand Area Schools, Shiawassee and Genesee Counties, Michigan, borrow the sum of not to exceed Thirty Million Two Hundred Ninety Thousand Dollars ($30,290,000) and issue its general obligation unlimited tax bonds therefor, for the purpose of: erecting and remodeling school buildings and facilities; equipping, re-equipping, furnishing and refurnishing school buildings and facilities; purchasing school buses; and preparing, developing, improving and equipping athletic fields, play fields, playgrounds, structures, facilities and sites? The following is for informational purposes only: The estimated millage that will be levied for the proposed bonds in 2027, under current law, is 0.14 mill ($0.14 on each $1,000 of taxable valuation) for a 0 mill net increase over the prior year’s levy. The maximum number of years the bonds 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 3.72 mills ($3.72 on each $1,000 of taxable valuation). The school district expects to borrow from the State School Bond Qualification and Loan Program to pay debt service on these bonds. The estimated total principal amount of that borrowing is $9,781,210 and the estimated total interest to be paid thereon is $21,618,901. The estimated duration of the millage levy associated with that borrowing is 30 years and the estimated computed millage rate for such levy is 7.94 mills. The estimated computed millage rate may change based on changes in certain circumstances. The total amount of qualified bonds currently outstanding is $32,500,000. The total amount of qualified loans currently outstanding is approximately $4,215,341. (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.)