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Notice of Adoption of Preliminary Determination Notice is hereby given pursuant to Indiana Code 6-1.1-20-3.1 that the Board of School Trustees of Wawasee Community School Corporation did, on March 16, 2010, make a preliminary determination to enter into a lease for the renovation of and improvements to Wawasee High School, Wawasee Middle School, Milford School, North Webster Elementary School and Syracuse Elementary School (the "Project"). The lease will be for a maximum term of 16 years with a maximum annual lease rental of $2,880,000. The maximum annual lease rental has been estimated based upon an estimated principal amount of bonds of $9,000,000 and estimated interest rates ranging from 3.00% to 4.25% and total estimated interest costs of $1,630,000. If it is of economic benefit to the School Corporation, the Project may be funded by the issuance of Build America Bonds. If Build America Bonds are issued the net effect to the taxpayers is expected to be equal to or less than that which is shown above, however the actual maximum annual lease rental will be $2,940,000 with estimated interest rates ranging from 4.05% to 5.30% and total estimated actual interest costs of $2,145,000 prior to receiving the 35% interest credit from the U.S. Treasury. The School Corporation's current debt service levy is $2,316,938 and the current debt service rate is $0.0932. After the School Corporation enters into the proposed lease and the bonds are issued, the debt service levy will increase by a maximum of $325,000 and the debt service rate will increase by a maximum of $0.013. If Build America Bonds are issued the net effect to the taxpayers is expected to be equal to or less than that which is shown above, however the debt service levy will increase by a maximum of $425,000 and the debt service rate will increase by a maximum of $0.017, prior to receiving the 35% interest credit from the U.S. Treasury. The purpose of the lease is to provide for the construction of the Project. Any owners of real property within Wawasee Community School Corporation or registered voters residing within the Wawasee Community School Corporation who want to initiate a petition and remonstrance process against the proposed lease payment must file a petition that complies with IC 6-1.1-20-3.1 subdivisions (4) and (5) not later than 30 days after publication of this notice. Dated March 24, 2010. /s/ Rebecca Linnemeier Secretary, Board of School Trustees Wawasee Community School Corporation m24
