Proposed projects would be scheduled for completion in calendar year 2022. Cost estimates by location/project component are as follows:

Indus School

 

Northome School

Roof Replacement

$460,000

 

Roof Replacement

$585,000

HVAC Upgrades

$1,540,000

 

HVAC Upgrades

$1,810,000

Fees, Permits & Testing

$200,000

 

Fees, Permits & Testing

$240,000

Contingencies

$200,000

 

Contingencies

$240,000

 

$2,400,000

 

 

$2,875,000

Other Costs

 

 

 

Capitalized Interest

$96,620

 

TOTAL PROJECT COSTS

$5,498,075

Bond Issuance

$126,455

 

 

 

 

$223,075

 

 

 



The district would capitalize (fund with bond proceeds) the FY 2022 interest payment on the bond issue and make an interest only payment in FY 2023 to minimize the tax impact on the Payable 2022 levy. The proposed HVAC upgrades are expected to save the district up to $15,000 annually and appear to be in the long-term interest of the school district.

If the bond referendum is successful and bonds are sold, the debt service on the bonds will be eligible for debt service equalization under Minnesota Statutes, section 123B.53, subdivision 3, if the bond schedule is approved. The amount of debt service equalization aid, if any, the district receives is determined annually and dependent upon property wealth, student population, and other statutory requirements.