CHIPPEWA VALLEY SCHOOLS
COUNTY OF MACOMB
STATE OF MICHIGAN
SAFETY, SECURITY AND SCHOOL IMPROVEMENT BOND PROPOSITION
Shall the Chippewa Valley Schools, County of Macomb, State of Michigan, borrow the sum of not to exceed Ninety Seven Million ($97,000,000) Dollars and issue its general obligation unlimited tax bonds, in one or more series, for the purpose of paying for the cost of the following projects:
- Remodeling, equipping, re-equipping, furnishing, re-furnishing school buildings and other facilities for security, student safety, energy conservation and other purposes;
- Acquiring and installing instructional technology equipment and infrastructure in school buildings and other facilities; and
- Preparing, developing and improving sites at school buildings, playgrounds, athletic fields and other facilities and the purchase of school buses?
The maximum number of years the bonds may be outstanding, exclusive of refunding, is not more than twenty-five (25) years; the estimated millage that will be levied to pay the proposed bonds in the first year is 0 mills (which is equal to $0 per $1,000 of taxable value); and the estimated simple average annual millage that will be required to retire the bonds is 1.53 mills annually ($1.53 per $1,000 of taxable value). The annual debt millage required to retire all bonds of the School District currently outstanding and proposed pursuant to this ballot is expected to remain at or below the current annual debt millage of 8.64 mills.
If approved by the voters, the bonds will be guaranteed by the State under the School Bond Qualification and Loan Program (the “Program”). The School District currently has $377,710,000 of qualified bonds outstanding and approximately $64,341,319 of qualified loans outstanding under the Program. The School District expects to borrow from the Program to pay debt service on these bonds. The estimated total principal amount of additional borrowing is $21,793,611 and the estimated total interest thereon is $66,341,059. The estimated duration of the millage levy associated with that borrowing is 19 years and the estimated computed millage rate for such levy is 8.64. The estimated computed millage rate may change based on changes in certain circumstances.
(Pursuant to State law, expenditure of bond proceeds must be independently audited, and the proceeds cannot be used for teacher, administrator or employee salaries, repair or maintenance costs or other operating expenses.)