MSD Southwest Allen County holds required public hearing, adopts preliminary resolution for up to $85 million facilities bond

MSD Southwest Allen County Schools held a required public hearing at its board meeting on the districtwide facility improvement and long-term capital maintenance and equipping project and voted to adopt a preliminary resolution allowing the district to proceed toward issuing bonds, district officials said.

The hearing and resolution set the legal framework for future bond sales to fund K–8 building upgrades, playground replacements, HVAC and lighting work, athletic facilities and parking improvements, and the feasibility study for a new career and technical education building. "These 2 public hearings are required by law before the school corporation can adopt a resolution, to for the preliminary determination to issue bonds and enter into a lease agreement," Randy Libby, chief operating officer, told the board during the public hearing.

Nut graf: The adopted preliminary resolution does not finalize any bond sale but clears a legal step required under Indiana law to publish notices and hold further proceedings. District staff described a funding plan that would likely break the project into three separate bond issuances to manage cash flow and limit capitalized interest; the board voted to adopt the resolution so the district can continue the statutory process.

District presentation and scope Randy Libby provided details about the scope and financial parameters presented to the board. He said the project is planned to be phased over three years and "is likely to be sold over 3 different issuances." The major components outlined include interior and exterior upgrades across K–8 buildings (including elementary playgrounds), structural work at Woodside Middle School, HVAC and lighting upgrades, athletic facilities work (including a middle school track and field), parking-lot resurfacing and other miscellaneous renovations. Libby said the district is evaluating the feasibility of constructing a new CTE building as part of the project.

Financial parameters and tax-rate statement Libby and district staff gave the board maximum parameters for planning: a not-to-exceed amount of $85,000,000; 20-year maximum terms for each issuance; a conservative planning interest rate of 7 percent; and a stated maximum annual payment of $18,000,000. "These maximum parameters right now are an 85,000,000 not to exceed ask," Libby said. He also told the board, "I think that it's worth mentioning that this proposal does not have an implication on our debt service tax rate as presented."

Stifel financial advisor The district said Jim from Stifel was available to answer financial questions. Board members did not request additional debt-service modeling at the meeting beyond the parameters presented.

Board action and next steps After the presentation and a brief opportunity for public comment, a board member moved and another seconded the recommendation to adopt a resolution making a preliminary determination to issue bonds and enter into related financing. As Randy Libby summarized, the resolution "doesn't finalize any issuance of the bonds, but serves as a necessary step in the legal process, allowing us to move forward with the required notices and hearings per Indiana code." The board approved the resolution by voice vote; no opposition was recorded on the meeting audio.

Votes at a glance In addition to the preliminary bond resolution, board members voted on several routine and project-related items during the same meeting. All items listed below were approved by the board, with motions moved and seconded on the record; specific individual vote tallies were not specified in the meeting audio.

- Consent agenda (minutes of 03/18/2025, bills, claims, payrolls, personnel recommendations): approved (motion and second recorded; voice vote). - 2025–26 student handbooks (elementary/middle/high school): approved (motion and second; voice vote). - Friendship Company rates for 2025–26 (expanded to all six elementary schools; $5 per session increase, $10 for AM+PM): approved. - Bids for roofing, high-bay and football stadium and track improvements: approved (award of bids as outlined in the board packet). - Property, casualty and general liability broker agreement: approved (counsel had reviewed agreement and recommended moving forward). - Resolution of preliminary determination for the 2025–26 districtwide facility improvement and long-term capital maintenance and equipping project and related financing: approved (preliminary resolution adopted; further notices/hearings to follow).

Ending: What to expect next Adoption of the preliminary resolution authorizes the district to publish required notices and continue the legal and administrative steps necessary to structure and sell bonds. The district said it expects the work to be phased and financed in up to three issuances; no final sale or schedule was adopted at the meeting. Further board hearings and notices will precede any final bond issuance.