Estimated cost breakdown for the bond projects by site
Approximate costs associated with the projects (PDF) identified in 2020 Bond program are allocated in the following manner:
Cost to the Average Taxpayer
If voters approve the bond proposal, it is estimated that the annual debt millage required to repay the District’s outstanding and proposed bonds will remain at or below the current debt millage rate of 4.02 mills. Thus, it is estimated that there will be no increase over the current annual debt millage rate. Funds would be generated for this bond proposal through an extension of the current debt rate.
Can I deduct these property taxes on my income tax return?
Property taxes may be deductible as itemized deductions on your federal income tax return if you itemize. You may also be eligible for the Michigan Homestead Property Tax Credit on your Michigan Income Tax Return. Please consult with your tax preparer.
What exactly is the Michigan Homestead Property Tax Credit?
The Michigan Homestead Property Tax Credit is a method through which some taxpayers can receive a tax credit for an amount of their property tax that exceeds a certain percentage of their household income. This program establishes categories under which homeowners or renters are eligible for a homestead property tax credit. Please consult with your tax preparer to determine if you are eligible for this important and valuable tax credit.
Economically, is this a good time for a bond proposal?
Options are limited to Michigan school districts when considering large capital improvement projects. Funding for K-12 public education over the past decade and increased operational expenditures make it cost prohibitive to consider paying for major capital improvements out of a school district’s general operating funds. Therefore, taxpayer-supported bond issues continue to be the most fiscally responsible option to invest in school district capital improvements.
The Board of Education and school administration have conducted a thorough review of District needs. Critical upgrades have to be addressed in order to maintain an appropriate learning environment for our students and staff and to avoid potentially increased costs in the future. This bond program is fiscally responsible for a couple key reasons highlighted below:
1. Estimated ZERO INCREASE to the current annual debt millage rate: Due to the unique structure of P-CCS’ outstanding bond issues, bond millage rates are projected to decline without a new bond issue. This gives the District an opportunity to accomplish a number of projects without increasing the current millage rate of 4.02 mills.
2. Historically Low Borrowing Rates: Municipal bond interest rates are near historical lows just like your personal mortgage rates. As a result, the cost to borrow for the District, and ultimately the loan payments paid by taxpayers, are more desirable than they have been in the past or will be if rates rise again.