Details for NOTICE OF PRELIMINARY DETERMINATION OF THE WARRICK COUNTY COUNCIL TO ISSUE GENERAL OBLIGATION BONDS
NOTICE OF PRELIMINARY DETERMINATION OF THE WARRICK COUNTY COUNCIL TO ISSUE GENERAL OBLIGATION BONDS
Owners of real property, and registered voters residing, in Warrick County, Indiana (the “County”), hereby are given notice that the Warrick County Council (the “Council”) has determined, at its meeting held on March 1, 2018, that (1) a need exists to proceed with the constructing and equipping of various improvements to certain County-owned facilities to provide energy conservation, operation and maintenance savings and to address critical capital replacement needs, with such projects and improvements including, but not limited to: (i) renovations, improvements and upgrades to the existing County Courthouse and Judicial Center as more particularly identified and described in the report from Energy Systems Group, Inc., dated February 8, 2018, including, but not limited to, certain structural, electrical, mechanical, plumbing, HVAC and technology equipping and improvement projects; (ii) renovations, improvements and upgrades to the County’s existing historic jail; (iii) acquisition, improvement and equipping projects for the County Sheriff Department, including, without limitation, certain technology upgrades to the computer system and E911 system; and (iv) any other miscellaneous renovations, improvements or equipping projects related to the foregoing items (the foregoing collectively referred to herein as the “Project”), and (2) to the extent permitted by law, all of the necessary steps should be taken to finance all or a portion of the costs of the Project, together with all related and incidental expenses incurred in connection therewith including any capitalized interest and the costs of selling and issuing the Bonds, by issuing one or more series of general obligation bonds of the County (the “Bonds”).
The total maximum original aggregate principal amount of the Bonds will not exceed Seven Million Four Hundred Thousand Dollars ($7,400,000). The maximum term of the Bonds will not exceed ten (10) years. The maximum interest rate that will be paid is 4.0% per annum, and, based on such maximum interest rate, the maximum term and maximum principal amount of the Bonds, the total maximum interest cost associated with the Bonds will not exceed $1,675,456. However, assuming the Bonds are amortized over a term of seven and one-half (7.5) years, the estimated interest rates that will be paid in connection with the Bonds are expected to range from 2.00% - 2.75% per annum, and, based on such interest rates, the estimated total interest cost associated therewith is expected to be approximately $822,348.
The County’s certified total debt service tax levy for 2017 pay 2018 (which is the most recent certified tax levy) is $0.00, and the County’s debt service tax rate for 2017 pay 2018 (which is the most recent certified tax rate) is $0.00 per $100 of assessed value. Assuming the Bonds are amortized over a term of approximately five and one-half (5.5) years, the estimated increase to the County’s debt service levy and rate is expected to be $1,484,635 and $0.0501 per $100 of assessed value, respectively, in 2018 pay 2019 as a result of the payment of debt service on the Bonds. The percent of the County’s current annual debt service/lease payments and estimated maximum annual debt service/lease payments after the issuance of the Bonds compared to the net assessed value of taxable property within the County is approximately 0.05%. The percent of the County’s outstanding long term debt, plus the outstanding long term debt of other taxing units that include any of the territory of the County, compared to the net assessed value of taxable property within the County, is approximately 2.10%. Assuming the Bonds are amortized over a term of approximately five and one-half (5.5) years, the estimated amount of the County’s debt service levy and tax rate that will result during the following ten (10) years if the County issues the Bonds (considering any changes that will occur to the debt service levy and rate during that same period on account of any outstanding bonds or lease obligations that mature or terminate during said ten (10) year period) is as follows:
Pay Year Total Debt Service Levy Total Debt Service Rate
2018 $0 $0.0000
2019 $744,964 $0.0251
2020 $1,483,678 $0.0501
2021 $1,482,781 $0.0500
2022 $1,484,635 $0.0501
2023 $1,479,570 $0.0499
2024 $740,827 $0.0250
2025 $0 $0.0000
2026 $0 $0.0000
2027 $0 $0.0000
2028 $0 $0.0000
Any owners of property within the County or registered voters residing within the County who want to initiate a petition and remonstrance process against the proposed payment of debt service on the Bonds must file a petition with the Warrick County Voter Registration Office not later than 30 days after the date of the publication of this notice in the manner provided by Indiana Code § 6-1.1-20-3.1.
Dated: March 8, 2018.
WARRICK COUNTY COUNCIL hspaxlp