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Board authorizes update to life‑safety survey as district weighs bond options
Summary
After a presentation from PMA Securities on life‑safety bond options and debt capacity, the board approved hiring a design professional to amend the district's life‑safety survey — a step that could lead to a bond proposition — despite concern about debt service and taxpayer impact.
Bob Lewis of PMA Securities briefed the board on capital‑project financing and life‑safety bonds, noting a June 2024 change in state law that gives districts in tax‑cap counties an additional issuance option that does not require the 30‑day petition process, though a public hearing remains required. He reviewed allowable uses (roofing, HVAC, secure entrances) and presented sample $5 million to $20 million financing scenarios and a rough district debt capacity estimate of about $92 million.
Following discussion about scope and taxpayer impact, the board approved a motion to hire a licensed design professional to amend the district's 2021 health/life‑safety survey to identify project needs and initiate the public‑hearing process. Member Dr. Christopher McCullough questioned the timing, saying the total debt service on a $5 million bond would exceed the original bond amount over 10 years and expressing concern about increasing debt during a projected financial shortfall; PMA confirmed their role as an advisor that would receive a fee for services. "PMA serves as a municipal advisor and does not underwrite or purchase bonds," the presenter said.
Board member Reid Goodrich expressed preliminary support for exploring life‑safety bonds, citing estimated roof repairs of $4–$5 million and the importance of applying funds to identified facility needs. The board voted to proceed with the life‑safety survey amendment (Motion 4), with some members abstaining and McCullough voting Nay.
