What is a bond?
- A bond is long-term borrowing of money to finance building projects. If approved, the funds must be used as specified in the bond issue. That means the money cannot be used for regular maintenance and operation of the school district.
- To approve a bond, at least 60% of voters must be in favor.
What would this bond cost?
- Compared to the tax rate paid in 2017, this bond would increase property taxes by $0.96 per $1000 of assessed value. For a typical homeowner with a $200,000 home, this would be equivalent to $192 per year, or $16 per month.
- Recent state legislature will result, by 2019, in a decrease of $0.99 per $1000 of assessed value in local property taxes for school maintenance and operations. This will more than offset the increase in property taxes due to this bond.
What is a levy?
- A levy is used for more short-term funding. For example, Longview voters approved the maintenance and operations and the technology levy for a period of three years.
- Levies need a 50% approval of the voters.
- Even if voters approve the bond, it will still be very important to also approve the maintenance and operations levy in 2018.
Will the district get state matching funds?
- Matching funds are dollars the state will provide for school construction. The district could receive up to $4.65 million in state matching money.
- If the money is received, it could be used for other building needs or used to cover the bond debt.