HomeMy WebLinkAbout2018_05_03 Board Minutes
IDAHO FALLS SCHOOL DISTRICT NO. 91
BOARD OF TRUSTEES – WORK SESSION
DISTRICT ADMINISTRATION OFFICE – 5:30 P.M.
690 JOHN ADAMS PARKWAY
THURSDAY, MAY 3, 2018
Present from the Board of Trustees: Present from the Administration:
Lisa Burtenshaw, Chair George Boland, Superintendent
Dave Lent, Member Margaret Wimborne, Director Communications &
Deidre Warden, Clerk Community Engagement, Recording Minutes
Larry Haws, Vice Chair
Larry Wilson, Treasurer
Chairman Burtenshaw called the meeting to order at 5:35 PM.
ADOPT AGENDA
Trustee Lent made a motion to adopt the agenda. Trustee Warden provided the second. Motion carried 5 ayes, 0
nays.
WORK SESSION
a. High School ReDesign Bond Discussion
Board members started by reviewing a worksheet which included options for the base amount, those
things identified as critical pieces in the bond package, and other items that may be included in the
package with a tiered option. The goal of this exercise is to take the individual ideas and then work as a
group to come to a consensus. Superintendent Boland also shared a handout provided by Eric Heringer,
the district’s financial consultant, regarding potential bond financials. Discussions included:
The Board, tasked with managing the district’s financials, talked about best management practice
of continually replenishing as you go.
The challenge of finding a common ground that pleases both sides in order to get passing vote.
Using reserve funds to pay for a couple of the bond pieces such as the indoor track and practice
field.
Complete proposed site work at Skyline, and do security upgrades district-wide regardless of
passing a bond.
If a bond passed it would give the district three high schools IFHS, Skyline, and a Career Technical
Education Center, where we currently have two.
The scope of work to include in the bond, a base amount and/or a tiered ballot, the timeline, and
a bond resolution.
Chairman Burtenshaw asked board members to think about the discussions tonight and come prepared on May
th
9 to share their final thoughts on the scope of work, base amount and a tiered ballot option.
Trustee Haws moved to adjourn. Trustee Wilson provided the second. The meeting adjourned at 8:00 PM.
05/03/2018 D91 Board Minutes Page 1 of 1
Notes:
$2.0m
$28.4m$54.5m$84.9m
Bond Option:
$2m
$9.8m$1.6m$1.2m$9.3m$3.5m$2.8m$2.4m$1.0m
$2.0m
$9.8m$1.6m$1.2m$9.3m$3.5m$2.8m$2.0m$2.4m$1.0m
$28.4m$54.5m
Cost:
Bond Tier Total:
Base Bond Total:
400 seats, stage at one end
400 seats, stage at one end
See site plan
1315 student capacity
See site plan
Base Bond Total with Options:
1350 student capacity
Football, track, baseball, softball, soccer
Football, track, baseball, softball, soccer
Increases student capacity to 1500
Increases student capacity to 1500
250 seats
250 seats
2 lane indoor track
2 lane indoor track
Base Bond Total with Options & Tiers:
SHS Auditorium | SHS Indoor Track |SHS Site Improvements | IFHS Auditorium |IFHS Practice Gymatrium |IFHS Practice Gym |IFHS Practice Fields |IFHS 8 Classrooms |Districtwide Security
Enhancements
Skyline High School |Idaho Falls High School |Career Tech Upgrades at IFHS
SHS Auditorium |SHS Indoor Track |SHS Site Improvements |IFHS Auditorium |IFHS Practice Gymatrium |IFHS Practice Gym |IFHS Practice Fields |IFHS 8 Classrooms |Districtwide Security Enhancements
Bond Tier Options:
Base Bond:
Base Bond Options:
IDEAL BOND WORKSHEET
IDAHO FALLS SCHOOL DISTRICT 91
Idaho Falls School District No. 91
Bond Election Planning
May 3, 2018
Eric Heringer Michael Keith
Managing Director Vice 'resident
208-344-8561 208-344-8564
eric.a.heringer®pjc.com michael.l.keith@pjc.ccm
Historical Interest Rates
7.00% r,D,v 1.84%
Avel,ige 3.270,'o
6.00%
5.00%
h
d
co
4.00%
H
i
N
r
C
3.00%
2.00%
1.00% 20-Year AAA MMD
0.00%
May-08 May-10 May-12 May-14 May-16 May-18
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The District's most recent 20-year compound growth rate is 4.36%.
2018 $3,449,058,109 5.92%
2017 3,256,273,797 3.94%
2016 3,132,735,306 1.25%
2015 3,094,028,405 1.41%
2014 3,050,873,506 1.00%
2013 3,020,675,054 -1.08%
2012 3,053,506,232 -0.63%
2011 3,072,885,829 -1.79%
2010 3,128,982,810 4.72%
2009 2,987,990,984 11.25%
2008 2,685,722,149 11.83%
2007 2,401,697,364 3.09%
2006 2,329,809,227 —--
(1) Includes Urban Renewal Value.
Idaho Falls School District No. 91 Net Taxable Value (Includes URA)
4,000,000,000 -
3,000,000,000 ! -- - -
i
2,000,000,000 ---
1,000,000,000 + - --- - - --
0 + - ---- --- -
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
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Goal of Analysis:
Review projected bond repayment costs of$89.5 million pond proposal for a August 2018
election.
Review impact of an additional$10 million 'Ind tier bond autliorizatioc,
r Structure bond sale with the planning model and e.vstitig planning Its fit z,�-ithin
District's current total tax rate structure of$=1.'2=1 -$1,000, k ithout a tax
Planning Assumptions:
Existing Supplemental Nl&- �Levy is continued at $6.8 rnldiuri for tiie foreseeable future.
$185K annually transferred to the bond tund from personal property tax replacement funds
provided by the state.
Existing Plant Levy is continued at$2.4 million foi fine fort seeable future.
s Bond authorization split into two bond sales:
50% million sold in Spring 2018
50% million sold in 2020
Existing and proposed bonds qualify for bond levy equalizatloo tiu',-),SJdV ;st'%`>
annual bond payment.
Interest rates are as of May 2; 2018 plus 0.50 cushion for 2018 sale aind 0.? '%. cushion for 2020
sale.
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Bond Sale $89,500,000 $10,000,000 $99,500,000
Plus Interest Cost $43,863,395 $4,900,938 $48,764,333
Total $133,363,395 $14,900,938 $148,264,333
Less Proj. Levy Equalization
(@ 9.0%of P&I) ($12,002,706) ($1,341,084) ($13,343,790)
Net Total $121,360,690 $13,559,854 $134,920,543
Combined TIC(') 3.87% 3.87% 3.87%
Tax Impact No Increase No Increase No Increase
Projected Market Value Growth
2019-2020 5.00%
2021-2029 2.50%
2030 and after 0.00%
(1)Sale 1 interest rates plus 0.50%cushion,Sale 2 interest rates plus 0.75%cushion.
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Idaho Falls School District 91
Tax Levy and Revenue Projections
Includes Proposed$89.5M&$10.OM Bond Authorization
30,000,000
Plant Supplemental Existing Debt(1) Refunding Restructure $49.75 Sale 1(3)
25,000,000 $49.75M Sale 2(3) Refunding Savings Actual Bond Levy Tax Revenue
at 4.24/$1,000(2)
20,000,000
15,000,000
10,000,000
5,000,000
0
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039
d) Includes District's outstanding 2012A,21012B,and 20120 Bonds net of expected levy equalization.
Projected debt service for$99.51\4 bond proposal split into two sales 12018&-2020).
f; Projected tax revenue based on the District's current tax rate of$4.24/$1,00t)and 'future market value growth,
,4Actual Bond Levy for 2018
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Enacted into law by the 21018 LegislaWf
Requires additional financial disclosures on e{ecti ) s ballots for bond
authorizations as follows:
The estimated average annual cost to the to\pa\,er oji the props St?d bond based on the
disclosures above is a tax of $.00xx per $100,000 or to-,-able e based on
current conditions. (Above refers to the principal atzcl izztezcst itz the
eleetiotz resolutiotz)
X Components of Calculation:
(Bond Total/Taxable Value) x 100,000,/z of Years Tax Levy collected
Bond Total Taxable Value #of Years
r;nrIp'lI- ar 6<,s r_.r of Levy
$134,920,543 $3,449,058,109 X $100,000 22 $178
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$424/$100,000 $424/$100,000
2018 2019
y
$450
$400
$350
$300
$250
$200
$150
$100
$$
0
In tZrl Mal
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