Milaca School Board approves maintenance bonds, tax abatement for parking lot reconstruction

Milaca – The Milaca School Board approved a tax abatement for parking lot reconstruction at the board’s regular meeting Tuesday, Feb. 21.
A public hearing was held about the abatement program toward the beginning of the meeting, but no community members volunteered to speak. Greg Crowe of Ehlers, the district’s public finance advisory firm, gave an explanation of the plan he and his company were recommending the board pass.
The parking lot reconstruction, as well as several smaller improvement projects, including flooring and locker room maintenance, will be financed through the sale of $3.175 million in general obligation facilities maintenance and abatement bonds. The sale of the bonds will lessen the property tax impact of the parking lot reconstruction project.
The bonds consist of $2.25 million for facilities maintenance and $925,000 for the abatement. According to Ehlers’ presale report on the bonds, the district will be able to repay the facilities maintenance portion of the bonds without an additional tax levy by using money from both its annual long-term facilities maintenance revenue and state-issued aid for facilities maintenance. The tax abatement, which will fund the parking lot reconstruction project, could be repaid via a future debt service levy.
“On a $100,000 home, this is about a $1 a month tax impact,” Crowe said.
Including premiums that will be paid to the purchaser of the bonds on the date of sale, the estimated total of the bonds is $3.25 million.