Vigo County School Corporation

Transcription

1 Illustrative Financing Options September 25, 2017

2 Payment Year First Mortgage Refunding Bonds, Series 2007* Vigo County School Corporation Annual Debt Service/Lease Rental Payments (Unaudited) General Obligation Bonds of 2012 General Obligation Bonds of 2014 First Mortgage Refunding Bonds, Series 2015 Proposed General Obligation Bonds of 2017 Total Outstanding Debt Service/Lease Rental Payments (1) (1) (1) (1) 2016 $2,675,000 $2,251,220 $187,466 (2) $2,901,000 $8,014, ,674,000 2,318,403 2,904,000 7,896, ,674,000 3,309,978 1,939,000 $88,889 8,011, ,674,000 3,742,547 1,481,000 7,897, ,673, , ,600 4,099, ,672,000 2,672, ,675,000 2,675, ,672,000 2,672, ,672,000 2,672, ,672,000 2,672, ,672,000 2,672,000 Total $29,405,000 $2,251,220 $10,381,829 $7,744,000 $2,172,489 $51,954,538 (1) Bonds are payable on a budget year basis per the debt service worksheet. (2) The 2016 annual payment is comprised of capitalized interest per DLGF Gateway Report. Note: Does not include Unreimbursed Textbook and Interest on Temporary Loans. *These Bonds are currently in the process of being refunded. 2

3 $10,000,000 Vigo County School Corporation Annual Debt Service/Lease Rental Payments (Unaudited) Annual Debt Service/Lease Rental Payments $9,000,000 $8,000,000 $7,000,000 $6,000,000 $5,000,000 $4,000,000 $3,000,000 $2,000,000 $1,000,000 $ Payment Year First Mortgage Refunding Bonds, Series 2007* General Obligation Bonds of 2012 General Obligation Bonds of 2014 First Mortgage Refunding Bonds, Series 2015 Proposed General Obligation Bonds of 2017 *These Bonds are currently in the process of being refunded. 3

4 Illustrative Project Costs and Funding Estimated Project Costs Concept One Concept Two Concept Three Concept Four Concept Five Estimated Hard Construction Costs (1) $153,000,000 $216,000,000 $264,000,000 $298,000,000 $252,000,000 Estimated Soft Construction Costs (1) 38,000,000 54,000,000 66,000,000 74,000,000 63,000,000 Estimated Capitalized Interest Expense (2) 27,884,801 39,417,951 48,177,701 54,309,732 45,987,661 Estimated Costs of Issuance (3) 2,215,199 3,127,049 3,822,299 4,310,268 3,647,339 Total Estimated Project Costs $221,100,000 $312,545,000 $382,000,000 $430,620,000 $364,635,000 Estimated Project Funding Illustrative First Mortgage Bonds, Series 2020 (4) $221,100,000 $312,545,000 $382,000,000 $430,620,000 $364,635,000 (1) Hard and soft construction costs provided by Fanning Howey. (2) Estimated capitalized interest expense through and including August Dependent upon Project scope and timeline. (3) Estimated fees include bond counsel, local counsel, financial advisor, underwriter, trustee, rating, title insurance, appraisals, printing and other miscellaneous items. (4) Assumes illustrative Bonds issued May 2020 with a final maturity of February

5 Summary of Illustrative Options Estimated Borrowing Amount Estimated Interest Expense Estimated Maximum Annual Payment Estimated Maximum Annual Tax Rate Impact Concept 1 $221,100,000 $116,402,472 $18,774,000 $ Concept 2 $312,545,000 $164,550,032 $26,533,000 $ Concept 3 $382,000,000 $201,118,634 $32,429,000 $ Concept 4 $430,620,000 $226,717,332 $36,555,000 $ Concept 5 $364,635,000 $191,976,190 $30,955,000 $ Multiplier $10,000,000 $5,265,109 $858,000 $ Note: Based upon assumed interest rates reflective of current market rates, plus 75 basis points. 5

6 Summary of Estimated Tax Impact-Monthly $10 Million Concept 1 Concept 2 Concept 3 Concept 4 Concept 5 Multiplier Estimated Maximum Annual Tax Rate Impact (1) (2) $ $ $ $ $ $ Market Value of Home (GAV) Net Assessed Value (3) $50,000 $10,000 $3.81 $5.39 $6.58 $7.42 $6.28 $ ,000 16, ,200 (4) 27, ,000 32, ,000 65, ,000 84, $1,850 (1 Acre of Ag. Land) (5) 100 Acres of Land $100,000 Commercial/Rental Property $0.70 $1.00 $1.22 $1.37 $1.16 $0.03 $70.49 $99.62 $ $ $ $3.22 $38.10 $53.85 $65.82 $74.19 $62.83 $1.74 (1) (2) (3) (4) (5) Assumes financial institutions/license excise factor of 5%. Represents tax impact per $100 of net assessed value for taxpayers. The tax rate is calculated by using the School Corporation's pay 2017 net assessed valuation of $3,900,796,631 (including tax increment assessed valuation). Tax impact based upon net assessed valuation of home, which includes the standard deduction, supplemental homestead deduction, and the mortgage deduction. Median home value within Vigo County School Corporation for , per the U.S. Census Bureau. Assumes agricultural land is assessed at $1,850/acre per the Department of Local Government Finance. 6

7 Summary of Estimated Tax Impact-Annual $10 Million Concept 1 Concept 2 Concept 3 Concept 4 Concept 5 Multiplier Estimated Maximum Annual Tax Rate Impact (1) (2) $ $ $ $ $ $ Market Value of Home (GAV) Net Assessed Value (3) $50,000 $10,000 $45.72 $64.62 $78.98 $89.03 $75.39 $ ,000 16, ,200 (4) 27, ,000 32, ,000 65, ,000 84, $1,850 (1 Acre of Ag. Land) (5) 100 Acres of Land $100,000 Commercial/Rental Property $8.46 $11.95 $14.61 $16.47 $13.95 $0.39 $ $1, $1, $1, $1, $38.67 $ $ $ $ $ $20.90 (1) (2) (3) (4) (5) Assumes financial institutions/license excise factor of 5%. Represents tax impact per $100 of net assessed value for taxpayers. The tax rate is calculated by using the School Corporation's pay 2017 net assessed valuation of $3,900,796,631 (including tax increment assessed valuation). Tax impact based upon net assessed valuation of home, which includes the standard deduction, supplemental homestead deduction, and the mortgage deduction. Median home value within Vigo County School Corporation for , per the U.S. Census Bureau. Assumes agricultural land is assessed at $1,850/acre per the Department of Local Government Finance. 7