INVESTING IN OUR FUTURE

How much will this plan cost?

The Bond requests voter permission for the district to purchase $22,710,000 in bonds to invest in building upgrades and maintenance. For year one, it would cost the owner of a median-value home of $188,000 less than a dollar a day (approximately $24.95 per month). This includes the cost of project building materials, the labor needed to perform this work and the necessary financing fees. 

AG2School Credit

Minnesota’s School Building Bond Agricultural Credit (AG2School Credit) provides landowners tax relief on school bonds by providing a 70% reduction for their agricultural property. It was created to help reduce and equalize taxes for agricultural landowners in districts where, historically, it was difficult to pass bonds because of how agricultural landowners were taxed. 

Since the bill was passed, rural districts have been able to pass bonds that improve the quality of Greater Minnesota Education. The State of Minnesota is well-positioned  to continue supporting this law, and continues to received strong support from both legislaltive parties. 

70%
tax credit

Why a bond?

Like a mortgage, bonds allow all necessary investments to be made immediately while paying off the cost over a set number of years. Because school construction costs and materials increase over time, it is less expensive to pay the interest on bonds than to complete construction one step at a time over multiple years.

Who Pays for our School Borrowing Debt?

If approved, the project cost would be distributed as illustrated on the chart below with 51.9% of the referendum cost being covered by the current Ag2School Tax Credit.