NOTICE OF ADOPTION OF PRELIMINARY DETERMINATION
Notice is hereby given pursuant to Indiana Code § 6-1.1-20-3.5 that the Board of School Trustees (the "Board") of Wawasee Community School Corporation (the "School Corporation") did, on February 11, 2025, make a preliminary determination to issue one or more series of bonds and enter into one or more lease agreements (the "Lease") for the (i) renovation of and improvements to Wawasee High School, including the construction of new Student Activity Center, and renovations and improvements to the natatorium; and (ii) renovation of and improvements to facilities in the School Corporation, including deferred maintenance improvements and site improvements, and the purchase of equipment and technology (collectively, the "Project"). Each Lease or series of bonds will be for a maximum term of 20 years with a maximum annual Lease rental of $5,500,000. The maximum annual Lease rental has been estimated based upon an estimated aggregate principal amount of bonds of $30,480,000, estimated interest rates ranging from 2.00% to 6.00%, and total estimated interest costs of $26,330,400.
As required by Indiana Code § 6-1.1-20-3.5(b)(1), the following information was available to the public at the public hearings on the preliminary determination: (i) the School Corporation's current and projected annual debt service payments divided by the net assessed value of taxable property within the School Corporation, which is 0.3812%; and (ii) the sum of the School Corporation's outstanding long term debt plus the outstanding long term debt of other taxing units that include any other territory of the School Corporation divided by the net assessed value of taxable property within the School Corporation, which is 4.21%.
The School Corporation's current Debt Service Fund levy is $13,632,679 and the current rate is $0.3360. After the School Corporation enters into the proposed Lease and the bonds are issued, the gross Debt Service Fund levy will increase by a maximum of $5,500,000 and the gross Debt Service Fund tax rate will increase by a maximum of $0.3360. However, as existing obligations mature, the anticipated net increase to the Debt Service Fund tax rate is expected to be $0.00 above the current rate.
The estimated amount of the School Corporation's Debt Service Fund levy and Debt Service Fund tax rate that will result during the following ten years if the School Corporation enters into the lease and issues the bonds, after considering any changes that will occur to the Debt Service Fund levy and Debt Service Fund tax rate during that period on account of any outstanding bonds or lease obligations that will mature or terminate during that period, is as follows:
Year Estimated Total Estimated Total Estimated Total
Debt Service Levy Debt Service Levy Tax rate
2025 $13,632,679 0.3360 0.5399
2026 13,875,825 0.3320 0.5399
2027 14,119,985 0.3280 0.5399
2028 13,393,831 0.3021 0.5181
2029 13,595,600 0.2977 0.5179
2030 13,327,335 0.2918 0.5121
2031 13,311,724 0.2915 0.5117
2032 13,324,597 0.2918 0.5120
2033 13,332,890 0.2920 0.5122
2034 13,321,726 0.2917 0.5119
2035 13,371,233 0.2928 0.5130
2036 12,907,325 0.2826 0.5029
2037 12,630,299 0.2766 0.4968
The Project involves the opening of new school facility space, and the School Corporation expects to annually incur an increase of $100,000 to operate such new facility space due to utility and maintenance costs. The purpose of the Lease is to provide for the Project.
If a valid petition pursuant to Indiana Code § 6-1.1-20-3.5 is received within 30 days from the publication of this notice, the proposed debt service or Lease payments must be approved in an election on a local public question held under Indiana Code § 6-1.1-20-3.6.
Dated February 12, 2025.
/s/ Secretary, Board of School Trustees
Wawasee Community School Corporation
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