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County disclosure estimates $14,028,000 interest, 20-year amortization, and small tax increase for $25M farmland bond
Summary
The county's Statement of Disclosures estimates $14,028,000 in interest over a 20-year term at an assumed 5.344% rate and an estimated tax increase of $0.0101 per $100 of assessed value; assumptions and filing requirements were explained and adopted into the record.
The Board adopted a Statement of Disclosures that lays out the county's financing assumptions for the proposed $25 million farmland preservation bond.
The disclosure states the estimate of total interest over the expected term is $14,028,000, assuming the bonds are issued in Fiscal Year 2027, amortize in 20 equal annual principal installments beginning the year after issuance, and bear interest at an assumed 5.344% (a conservative "safe harbor" rate used for Local Government Commission review). The statement also estimates a property tax rate increase of $0.0101 per $100 (equivalent to $10.10 per $100,000) to service debt under the stated assumptions, and notes the County has $0 two-thirds bond capacity for FY2027.
County officials and staff emphasized these figures are based on assumptions that could change with market conditions or alternative revenue strategies; the Board adopted the disclosure and directed staff to file it with the Local Government Commission and post it online.
