UNIFIED SCHOOL DISTRICT NO. 489 ELLIS COUNTY, KANSAS (HAYS)

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1 Preliminary Financial Information Presented to the: UNIFIED SCHOOL DISTRICT NO. 489 ELLIS COUNTY, KANSAS (HAYS) Dustin Avey MANAGING DIRECTOR Tel:

2 Disclosure The information contained herein includes hypothetical interest rate savings for a potential refunding if interest rates in today s market were applied to your existing debt structure. Interest rates used herein are hypothetical and take into consideration conditions in today s market and other factual information such as your credit rating, geographic location and market sector. Interest rates described herein should not be viewed as rates that Piper Jaffray expects to achieve for you should we be selected to act as your underwriter or placement agent. Information about interest rates and terms for SLGs is based on current publically available information and treasury or agency rates for open-market escrows are based on current market interest rates for these types of credits and should not be seen as costs or rates that Piper Jaffray could achieve for you should we be selected to act as your underwriter or placement agent. More particularized information and analysis may be provided after you have engaged Piper Jaffray as an underwriter or placement agent or under certain other exceptions as describe in the Section 15B of the Exchange Act. Piper Jaffray is providing the information contained herein for discussion purposes only in anticipation of being engaged to serve as underwriter or placement agent. Piper Jaffray seeks to serve as an underwriter or a placement agent and not as a financial advisor or municipal advisor. In providing the information contained herein, Piper Jaffray is not recommending an action to you and the information provided herein is not intended to be and should not be construed as a recommendation or advice within the meaning of Section 15B of the Securities Exchange Act of Piper Jaffray is not acting as an advisor to you and does not owe a fiduciary duty pursuant to Section 15B of the Exchange Act or under any state law to you with respect to the information and material contained in this communication. As an underwriter or placement agent, Piper Jaffray s primary role is to purchase or arrange for the placement of securities with a view to distribution in an arm s-length commercial transaction, is acting for its own interests and has financial and other interests that differ from your interests. You should discuss any information and material contained in this communication with any and all internal or external advisors and experts that you deem appropriate before acting on this information or material. PIPER JAFFRAY

3 Jan-87 2-Jan-88 2-Jan-89 Yield (%) 2-Jan-90 2-Jan-91 2-Jan-92 2-Jan-93 2-Jan-94 2-Jan-95 2-Jan-96 2-Jan-97 2-Jan-98 2-Jan-99 2-Jan-00 2-Jan-01 2-Jan-02 2-Jan-03 2-Jan-04 2-Jan-05 2-Jan-06 2-Jan-07 2-Jan-08 2-Jan-09 2-Jan-10 2-Jan-11 2-Jan-12 2-Jan-13 2-Jan-14 2-Jan-15 2-Jan-16 2-Jan-17 Source: The Bond Buyer BOND BUYER 20 G.O. BOND INDEX (1987 TO PRESENT) Percentage of Time Above the Current Rate: 96.16% Percentage of Time Below the Current Rate: 3.84% Bond Buyer GO Average: 5.27% Date June 16, 2017 Rate: 3.53%

4 Assessed Valuation & State Aid Bonds Authorized Prior State Aid Percentage Assessed Valuation Annual Average Growth Rate Last 10 Years = 3.22% Last 5 Years = 2.66% Last 3 Years = -0.50% Bonds Authorized After (Block Grant) State Aid Percentage Year Assessed Valuation ($) Percentage Change ,760, % 0% 0% ,712, % 0% 0% ,726, % 0% ,578, % 0% ,238, % 0% ,108, % 0% ,481, % 0% ,870, % 0% ,284, % 1% ,231, % 1% ,520, % 4% ,061, % 9% ,065, % 12% PIPER JAFFRAY

5 Mill Levy History Year General Local Option Budget Capital Outlay Bond & Interest Other District Levy 2004/ / / / / / / / / / / / / PIPER JAFFRAY

6 Unified School District No. 489 Ellis County, Kansas (Hays) Summary of Scenarios June 19, Preliminary, Subject to Change Bond Election: Financial Impact Summary Scenario Capital Outlay Reduction Net Mill Levy Increase Monthly Cost to $100,000 Homeowner Monthly Cost to $150,000 Homeowner Monthly Cost to $200,000 Homeowner Mill Levy only $78.5MM over 30 Years Notes * 1 Mill = $1 per 1000 Assessed Valuation * 1 Mill = $300,194 in revenues to the District annually on $300,194,535 Assessed Valuation

7 Mill Levy Comparison Ranked by Total Mill Levy Ranked by Bond & Interest School District Bond & Interest Total Mill Levy Bond Projects Since 1990 USD 385 Butler County (Andover) ,635,000 USD 265 Sedgwick County (Goddard) ,989,700 USD 266 Sedgwick County (Maize) ,200,000 USD 443 Ford County (Dodge City) ,473,000 USD 305 Saline County (Salina) ,500,000 USD 308 Reno County (Hutchinson) ,300,000 USD 373 Harvey County (Newton) ,,210,000 USD 260 Sedgwick County (Derby) ,640,000 USD 418 McPherson County (McPherson) USD 457 Finney County (Garden City) USD 428 Barton County (Great Bend) ,750, ,800, ,800,000 USD 489 Ellis County (Hays) USD 480 Seward County (Liberal) ,215,000 School District Bond & Interest Total Mill Levy Bond Projects Since 1990 USD 385 Butler County (Andover) ,635,000 USD 266 Sedgwick County (Maize) ,200,000 USD 265 Sedgwick County (Goddard) ,989,700 USD 308 Reno County (Hutchinson) ,300,000 USD 443 Ford County (Dodge City) ,473,000 USD 305 Saline County (Salina) ,500,000 USD 373 Harvey County (Newton) ,,210,000 USD 480 Seward County (Liberal) ,215,000 USD 260 Sedgwick County (Derby) ,640,000 USD 457 Finney County (Garden City) USD 418 McPherson County (McPherson) USD 428 Barton County (Great Bend) ,800, ,750, ,800,000 USD 489 Ellis County (Hays) Mill Levy Rates PIPER JAFFRAY

8 Unified School District No. 489 Ellis County, Kansas (Hays) Home Owner Property Tax Increase 30 Years ML Only $78.5MM Mill Levy Increase Cost to Homeowner of Projected Mill Levy Increase Annual Property Tax $50,000 Home $75,000 Home $100,000 Home $125,000 Home $150,000 Home $200,000 Home $250,000 Home $300,000 Home $350,000 Home $400,000 Home Monthly Property Tax $50,000 Home $75,000 Home $100,000 Home $125,000 Home $150,000 Home $200,000 Home $250,000 Home $300,000 Home $350,000 Home $400,000 Home Daily Property Tax $50,000 Home $75,000 Home $100,000 Home $125,000 Home $150,000 Home $200,000 Home $250,000 Home $300,000 Home $350,000 Home $400,000 Home US Census Median Home Value (Ellis County): $138,400

9 Unified School District No. 489 Ellis County, Kansas (Hays) Commercial Property Tax Increase 30 Years ML Only $78.5MM Mill Levy Increase Cost to Commercial Businesses of Projected Mill Levy Increase Annual Property Tax $50,000 Property $75,000 Property $100,000 Property $150,000 Property $200,000 Property $250,000 Property $300,000 Property $350,000 Property , $400,000 Property , Monthly Property Tax $50,000 Property $75,000 Property $100,000 Property $150,000 Property $200,000 Property $250,000 Property $300,000 Property $350,000 Property $400,000 Property Daily Property Tax $50,000 Property $75,000 Property $100,000 Property $150,000 Property $200,000 Property $250,000 Property $300,000 Property $350,000 Property $400,000 Property

10 Unified School District No. 489 Ellis County, Kansas (Hays) Agricultural Property Tax Increase 30 Years ML Only $78.5MM Mill Levy Increase Cost to Agricultural Property Owners of Projected Mill Levy Increase Annual Property Tax Dry Crop Land (Median Use Value = $141/acre) 160 Acres Irrigated Land (Median Use Value = $350/acre) 160 Acres Grass Land (Median Use Value = $32/acre) 160 Acres Annual Cost per Acre Dry Crop Land Irrigated Land Grass Land Monthly Property Tax Dry Crop Land 160 Acres 6.45 Irrigated Land 160 Acres Grass Land 160 Acres 1.46 Estimated Median Use Value of 160 Acres Dry Crop Land is $22,560 Estimated Median Use Value of 160 Acres Irrigated Land is $56,000 Estimated Median Use Value of 160 Acres Grass Land is $5,120

11 UNIFIED SCHOOL DISTRICT NO. 489 Ellis County, Kansas (Hays) Bond Election November 2017 DATE January 2017 June 2017 June 24, 2017 July 10, 2017 July 24, 2017 July 30, 2017 August 3, 2017 August 9, 2017 August 10, 2017 September 13, 2017 October 5, 2017 August 12, 2017 October 18, 2017 November 7, 2017 EVENT Determine Scope of Project Finalize Bond Amount Approve Plan of Finance Vision Team presents recommendation to the Board of Education BOE accepts Vision Team recommendation for bond scope and amount and approves plan of finance Board of Education Meeting Board adopts Resolution Calling for Bond Election and Authorizing the Filing of an Application with the State Board of Education Submit Notice of Intent Publication to Local Newspaper Publish Notice of Intent to Submit Application to the State Board of Education Submit Application to the State Dept. of Education for review Submit Election Documents to the County Clerk State Board of Education Meeting State Board of Education Approval to Exceed Debt Limit State Board of Education provides Order to Call a Bond Election First Publication of Notice of Bond Election (Not Less Than 21 Days Prior to Election Date) Second Publication of Notice of Bond Election Voter Registration Deadline Bond Election