Tri-Creek board authorizes resolutions to seek up to $19 million in bonds for roofs, buses, tech and facility work

At a Tri-Creek School Corporation board meeting, the board adopted three resolutions authorizing up to $19 million in general obligation bonds to fund a package of capital projects including roofs and paving, bus replacements, technology and network upgrades, decommissioning and repurposing the district's old pool area, and related maintenance and equipment purchases.

Dana, a district presenter, told the board that the district has been working from a long-term facility plan and that recent state law change means the board must authorize bond issuance by July 1 to preserve the option to issue future debt. "The public hearing today will allow our public to hear and comment on the proposed projects and the potential financing under the current law," Dana said. She added that bonding is effectively the district's only means for long-term capital improvements and that the projects could total about $19,000,000.

Luke Brueggemann, a financial advisor with Stifel, walked the board through current debt obligations, the district's debt service levy and the parameters the resolutions set for a potential $19 million authorization. "Most importantly is this project is not going to increase the burden for for taxpayers on an annual basis," Brueggemann said, explaining the plan fits within projected levy capacity as existing debt drops off. He said the legal parameters included a maximum par amount of $19 million, estimated issuance costs of roughly $500,000, an estimated interest environment in the mid-single digits, and a statutory maximum term of 20 years per series.

The project list described by staff includes new roofs at 3 Creeks, Oak Hill and parts of the middle school (all buildings with roof sections original to 1995), paving work including the Oak Hill parent drop-off and a secondary parking lot at 3 Creeks, and replacement of roughly five buses per year under the district's replacement plan (the district currently operates about 50 buses). Technology and network work would cover device replenishment, a PLTW/computer science lab, door and camera access upgrades tied to renovation projects, and wireless/network replacement. The district also proposes decommissioning the old pool pumping station and repurposing the former pool area for PE, gymnastics and other student programs after the new natatorium is commissioned (staff said the new natatorium will be fully commissioned by August 2026).

Staff also described a proposal to remove a 1976 warehouse and consolidate that function at the transportation center to share utilities, move some vehicles and equipment, and improve parking and traffic flow at 3 Creeks. The presentation estimated hard and soft project costs of about $18.5 million within the $19 million authorization, and noted an estimated interest-rate sensitivity depending on timing of sale and whether the district issues the full authorization in one or multiple series.

Legal counsel explained the three resolutions being considered: a project (10-28) resolution describing the anticipated projects and funding source (the debt service fund); a preliminary determination resolution setting the issuance parameters; and a reimbursement resolution allowing use of future tax-exempt bond proceeds to reimburse pre-issuance expenditures. "The resolutions before you this evening have 3 different, actions happening," counsel said.

The board opened the public hearing; no members of the public spoke. A board member moved to approve the three resolutions and another board member seconded. "All in favor? Aye," the board voted by voice. The motion passed.

The adopted authorizations do not require the district to issue the full $19 million at once; staff and the financial advisor said the board may issue bonds in multiple series as needs and market conditions dictate. Officials noted the authorization and the reimbursement resolution are procedural steps required to preserve the district's option to issue bonds under the changed law and IRS rules. The board did not receive public input during the hearing and did not take additional policy votes beyond adopting the three resolutions to begin the financing process.