Continuously serving Kosciusko County since 1854
Syracuse-Turkey Creek Public Library received approval Thursday from the Kosciusko County Council on a resolution for the additional appropriation of bonds it needs to move forward with plans to build a new library, but just barely.
In the 4-3 vote, Council members Kimberly Cates, Kathy Groninger, Tony Ciriello and John Barrett voted in favor of the resolution, while Council members Dave Wolkins, Rachael Rhoades and Joe Irwin opposed.
As part of a public hearing on the resolution, Library Executive Director Jon Gaskill, Ice Miller attorney Sarah Correll, Baker Tilly Manager Lisa Huntington, former director Kim Blaha and Arkos Design architect Phillip DeAngelis gave an in-depth presentation on the need for a new library, use of the library, costs of a new library and other information. No one from the public spoke for or against it.
Correll said Ice Miller is serving as bond counsel to the library.
“You last heard from the library back in September, and at that point we were just starting the process. This was a project that was controlled,” she said. The library held two preliminary determination hearings, but only received positive feedback at those. From there, a notice was published in the newspapers and they waited 30 days but did not receive any application for petitioner remonstrance.
Since library boards in Indiana are appointed and not elected, Correll said that’s why they were before the county council. Because the library serves a township, that’s also why they had to go before the county council instead of the Syracuse Town Council.
“So today we are asking for two things: The first is that the council would hold an appropriation hearing. We really appreciate you doing that for us. The second thing is that you would consider the resolution that we have proposed,” Correll stated. “In that resolution, it does explain a couple things, but the two things that I think are probably the most important for you to know is that, first, this debt does not apply to the county’s general obligation debt limit. This is separate debt that is only the library’s. Should the library default, that is on the library and it does not go back to the county. The other thing that you should know is that this does not come out of the county budget, however, it is a tax rate that applies to your voters, which is why we’re here.”
Huntington answered a number of questions the council members had on the tax rate and other figures.
She said they estimate the tax rate related to the debt would be about $0.04 per $100 of assessed valuation, which is a “very conservative” estimate based on conservative interest rates and payment amounts. The amount could go down should market interest rates continue to decline at the time of the issuance of bonds.
The median home value for a home in the town of Syracuse is about $174,000, she said. The annual impact from that tax rate to that home is $29. That’s in addition to the current tax rate.
There was a question about the impact to agricultural land in the township and town, but Councilwoman Kimberly Cates said there was a little bit of agricultural but not as much as residential. She asked attorney Steve Snyder if he thought there was much agricultural land in the township. Snyder said when you look at the agricultural land in the northeast part of the township, or south toward CR 800, “there’s a significant amount of agriculture there. But from an assessed value standpoint, it doesn’t come close to what the residential is.”
Councilman Dave Wolkins asked if that rate was $79 per 100 acres and he was told that was correct.
Council Vice President Kathy Groninger asked if it was correct if the town of Syracuse had sold the property on Dolan Drive to the library for $1, and Huntington said that was correct. “So the town obviously supports it,” Groninger said, to which Huntington agreed.
Wolkins asked if the total cost of the project was about $12 million with the interest. Huntington said the maximum borrowing amount that the library is setting for the project is $7,385,000, with estimated interest expense at close to $5 million, but she said those were conservative estimates on the interest.
“We’re estimating 5.5% interest rates. We’re selling bonds these days between 3.5 and 4.5%, which would significantly lower that cost,” she said.
Councilman Joe Irwin asked if there were any grants available for the building project. While Huntington was not aware of any, Gaskill later said there were grants they were going to apply for.
Gaskill gave his presentation, starting with an aerial view photo of where the new library building site will be on Dolan and Main. It’s across the street from a “significant parking structure that the town of Syracuse is undertaking to increase and improve the downtown visitation possibilities,” he said.
The new library, which will be about 14,000 square feet, will more than quadruple the size of the land the library will have to work with. They also will be able to purchase two lots to the south of the property to create a parking structure for library visitors.
He went through the library’s programs, staffing and numbers and how the new building will help with those. The current library was built in 1921 and is now landlocked.
Blaha said they plan to eventually sell the current building after they move into the new one. It’s been appraised at about $500,000.
DeAngelis went through the issues with the old library and how the new library will be an improvement.
After Ciriello determined there was no one from the public to speak for or against the resolution, Rhoades expressed her concerns.
“I still have concerns about the impacts of SB 1 (Senate Bill 1), with making a decision now. I realize that it’s not going to affect the county, but it does impact the taxpayers and ... we need to look out for that. I think we’re still very uncertain on the impacts of legislation at this time,” she said. “I feel that you guys have done a great job preparing, and I appreciate everything that you’ve provided. Understand that I’m not speaking against the project at this time, I’m just expressing publicly concern about what’s going through session right now. We are in a short session, so we should have some answers soon, but that’s just my concern at this time.”
Wolkins said there’s obviously a need for the new library, but what worried him was, “We’re spending a lot of money in this county. Not just us. City of Warsaw just got $15 million, library out here wants to spend $15-17 million, we’re approving another $12 million here. Taxpayers apparently aren’t upset about it. I haven’t heard anybody against it at this point.”
Cates said it appears that people in Syracuse are very positive and supportive of the library project, from what she’s hearing and that’s where she lives. She said it’s definitely a “need.”
Ciriello said he knows how well the library is used, and for that he was in favor of the new library. However, he said he was a little leery of what’s going to happen in the current legislative session.
Groninger pointed out the new library will be closer to the school so kids can walk to it easier, and therefore the usage will likely increase. She talked about it being important for the towns in the county to have the facilities they need to support a good quality of life.
Cates made the motion to approve the resolution, Groninger seconded it and it passed 4-3.
