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NOTICE OF PRELIMINARY DETERMINATION OF THE METROPOLITAN
SCHOOL DISTRICT OF LAWRENCE TOWNSHIP, MARION COUNTY,
INDIANA, TO ENTER INTO A PROPOSED LEASE OR LEASES OR
AMENDMENT OR AMENDMENTS TO LEASE OR LEASES OF
FACILITIES OPERATED BY THE SCHOOL CORPORATION IN
CONNECTION WITH THE PROPOSED LAWRENCE CENTRAL HIGH
SCHOOL EXTERIOR FACILITIES RENOVATION AND CONSTRUCTION
PROJECT
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Owners of real property, and registered voters residing, in the
Metropolitan School District of Lawrence Township, Marion County, Indiana
(the “School Corporation”), hereby are given notice that the Board of School
Trustees (the “Board”) of the School Corporation preliminarily has
determined, at its meeting held December 14, 2015, that (I) a need exists
for the renovation, updating, expansion and equipping of all or certain
portions of (a) the existing Lawrence Central High School exterior facilities,
which are part of, or adjacent to, the existing Lawrence Central High School
Multi-Purpose
Stadium,
including,
but
not
limited
to,
the
relocation/renovation and/or reconfiguration of the ticket entry points and
circulation area throughout the Multi-Purpose Stadium to provide for safer
pedestrian traffic patterns throughout the facility, the construction and
equipping of a new building located at one of the end zones which will
contain locker rooms, team meeting/hospitality and training rooms, areas for
coaches and game referee/officials and storage and support areas, the
replacement of the home side bleachers, the renovation of the visitor side
bleachers to address ADA accessibility issues, the construction and
equipping of concessions and restroom buildings on the home side, the
installation of new fencing which will include an access point onto the field
for the band and the installation of additional lighting on the site to address
safety and security issues, (b) miscellaneous land acquisition projects, (c)
miscellaneous capital improvement, renovation and/or equipping projects at
one or more facilities operated or to be operated by the School Corporation,
and (d) all projects related to any project listed in clauses (a) through and
including (c) (clauses (a) through and including (d), collectively, the
“Lawrence Central High School Exterior Facilities Renovation and
Construction Project”); and (II) to the extent permitted by law to take all of
the necessary steps to finance all or a portion of the costs of all, or as many
as is possible based on the facts and circumstances at the time, of the
projects identified in the Lawrence Central High School Exterior Facilities
Renovation and Construction Project by entering into a proposed lease or
leases or amendment or amendments to an existing lease or leases
between a nonprofit local building corporation controlled by the School
Corporation, as lessor (the “Building Corporation”), and the School
Corporation, as lessee, relating to all or any portion of the school facilities
operated by the School Corporation (collectively, the “Lease”). The Building
Corporation, as lessor, will issue one or more series of first mortgage bonds
secured by and payable from the lease payments under the Lease (the
“Bonds”). The total maximum original aggregate principal amount of the
Bonds will not exceed $7,845,000, or such greater amount in the case of
the issuance of any bonds all or a portion of which will be used to refund all
or any portion of the Bonds.
The maximum term for the Bonds will not exceed twelve (12) years, and
the Lease with respect to each facility will have a maximum term not to
exceed thirteen (13) years, beginning on the date such facility is acquired
by the Building Corporation in connection with the Lawrence Central High
School Exterior Facilities Renovation and Construction Project. Based on
the estimated maximum average interest rate that will be paid in connection
with the Bonds of three and one-half percent (3.50%) per annum, the total
interest cost associated therewith is $2,895,369 (which amount is net of any
funds received by the School Corporation or the Building Corporation from
the United States of America as a result of any or all of the Bonds being
issued under one or more federal tax credit programs) and not taking into
account any funds of the School Corporation or the Building Corporation
being available for capitalized interest. Including interest costs, the
maximum annual lease rental to be paid by the School Corporation under
the Lease is $2,789,000 (which amount is net of any funds received by the
School Corporation or the Building Corporation from the United States of
America as a result of any or all of the Bonds being issued under one or
more federal tax credit programs), and the maximum total lease rental paid
by the School Corporation over the term of the Lease is $10,779,000 (which
amount is net of any funds received by the School Corporation or the
Building Corporation from the United States of America as a result of any or
all of the Bonds being issued under one or more federal tax credit
programs), not taking into account any funds of the School Corporation or
the Building Corporation available for capitalized interest. The School
Corporation’s certified total debt service fund tax levy (exempt and nonexempt) for 2014 pay 2015 (which is the most recent certified tax levy) is
$17,178,480, and the School Corporation’s debt service fund tax rate
(exempt and non-exempt) for 2014 pay 2015 (which is the most recent
certified tax rate) is $0.3618 per $100 of assessed value. The School
Corporation’s estimated total debt service fund tax levy (exempt and nonexempt) for 2015 pay 2016 is $23,936,113, and the School Corporation’s
estimated debt service fund tax rate (exempt and non-exempt) for 2015 pay
2016 is $0.5041 per $100 of assessed value. The estimated total maximum
debt service fund tax levy (exempt and non-exempt) for the School
Corporation and the estimated total maximum debt service fund tax rate
(exempt and non-exempt) for the School Corporation after the issuance of
the Bonds is expected to be $17,366,973 and $0.3658 per $100 of
assessed value, respectively, in 2016 pay 2017 as a result of the payment
of the lease rentals under the Lease. In addition, such estimated total
maximum debt service fund tax levy (exempt and non-exempt) and such
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estimated total maximum debt service fund tax rate (exempt and nonexempt) when combined with the estimated maximum debt service fund tax
levy (exempt and non-exempt) and the estimated maximum debt service
fund tax rate (exempt and non-exempt) that is anticipated to result from the
issuance of the McKenzie Career Center/2016 District-Wide Facility
Renovation First Mortgage Bonds (as hereinafter defined), if issued, the
issuance of the Mary Castle Elementary School Renovation First Mortgage
Bonds (as hereinafter defined), if issued, and the issuance of the Lawrence
North High School Exterior Facilities Renovation and Construction First
Mortgage Bonds (as hereinafter defined), if issued, and the anticipated payoff of other currently outstanding obligations of the School Corporation shall
result in an total maximum debt service fund tax rate (exempt and nonexempt) of the School Corporation that is equal to or less than the
estimated 2015 pay 2016 total debt service fund tax rate (exempt and nonexempt) of the School Corporation.
Petitions requesting the application of a petition and remonstrance
process to the issuance of the Bonds and the lease rental payments under
the Lease related to the Lawrence Central High School Exterior Facilities
Renovation and Construction Project may be filed with the Marion County
Voter Registration Office within thirty days after the date of the publication of
this notice in the manner provided by Indiana Code § 6-1.1-20-3.1, and any
such petitions must specifically reference that they are being filed in
connection with the Lawrence Central High School Exterior Facilities
Renovation and Construction Project set forth in this notice.
Owners of real property, and registered voters residing, in the School
Corporation should be aware that (A) on December 14, 2015, the Board
adopted (i) a separate preliminary determination resolution approving all of
the necessary steps to enter into a lease or leases or amendment or
amendments to an existing lease or leases with the Building Corporation for
all or any portion of the facilities operated or to be operated by the School
Corporation, pursuant to which the Building Corporation will issue one or
more series of first mortgage bonds (the “McKenzie Career Center/2016
District-Wide Facility Renovation First Mortgage Bonds”) to finance all or
any portion of certain renovation, expansion, update and/or equipping
projects at the existing McKenzie Career Center and one or more facilities
operated by the School Corporation, as described more fully in the such
resolution (the “McKenzie Career Center/2016 District-Wide Facility
Renovation Project”), (ii) a separate preliminary determination resolution
approving all of the necessary steps to enter into a lease or leases or
amendment or amendments to an existing lease or leases with the Building
Corporation for all or any portion of the facilities operated or to be operated
by the School Corporation, pursuant to which the Building Corporation will
issue one or more series of first mortgage bonds (the “Mary Castle
Elementary School Renovation First Mortgage Bonds”) to finance all or any
portion of certain renovation, expansion, update and/or equipping projects
at the existing Mary Castle Elementary School, as described more fully in
the such resolution (the “Mary Castle Elementary School Renovation
Project”), and (iii) a separate preliminary determination resolution approving
all of the necessary steps to enter into a lease or leases or amendment or
amendments to an existing lease or leases with the Building Corporation for
all or any portion of the facilities operated or to be operated by the School
Corporation, pursuant to which the Building Corporation will issue one or
more series of first mortgage bonds (the “Lawrence North High School
Exterior Facilities Renovation and Construction First Mortgage Bonds”) to
finance all or any portion of certain renovation, expansion, update and/or
equipping projects at the existing Lawrence North High School exterior
facilities, which are part of, or adjacent to, the existing Lawrence North High
School Multi-Purpose Stadium, as described more fully in the such
resolution (the “Lawrence North High School Exterior Facilities Renovation
and Construction Project”), and (B) notice of the adoption of each such
preliminary determination resolution has been published on the date hereof.
Filing the above-referenced petition requesting the application of a
petition and remonstrance process to the proposed lease rental payments
for the Lawrence Central High School Exterior Facilities Renovation and
Construction Project will not serve as a request of the application of a
petition and remonstrance process on (i) the McKenzie Career Center/2016
District-Wide Facility Renovation Project, the McKenzie Career Center/2016
District-Wide Facility Renovation First Mortgage Bonds and lease rental
payments, all as described in the notice related thereto, (ii) the Mary Castle
Elementary School Renovation Project, the Mary Castle Elementary School
Renovation First Mortgage Bonds and lease rental payments, all as
described in the notice related thereto, or (iii) the Lawrence North High
School Exterior Facilities Renovation and Construction Project, the
Lawrence North High School Exterior Facilities Renovation and
Construction First Mortgage Bonds and lease rental payments, all as
described in the notice related thereto. Furthermore, filing a petition
requesting the application of a petition and remonstrance process on (i) the
McKenzie Career Center/2016 District-Wide Facility Renovation Project, the
McKenzie Career Center/2016 District-Wide Facility Renovation First
Mortgage Bonds and lease rental payments, all as described in the notice
related thereto, (ii) the Mary Castle Elementary School Renovation Project,
the Mary Castle Elementary School Renovation First Mortgage Bonds and
lease rental payments, all as described in the notice related thereto, or (iii)
the Lawrence North High School Exterior Facilities Renovation and
Construction Project, the Lawrence North High School Exterior Facilities
Renovation and Construction First Mortgage Bonds and lease rental
payments, all as described in the notice related thereto, will not serve as a
request of the application of a petition and remonstrance process on the
Bonds, the proposed lease rental payments under the Lease or the
Lawrence Central High School Exterior Facilities Renovation and
Construction Project.
Dated: December 18, 2015.
METROPOLITAN SCHOOL DISTRICT OF LAWRENCE TOWNSHIP,
MARION COUNTY, INDIANA
By: Dr. Shawn Smith, Superintendent
15-6589--12:18
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