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WARREN — Community members who reside in the Fitzgerald Public Schools district will be asked to consider two ballot proposals in the Aug. 5 election.
At the April 14 Board of Education meeting, the school board voted unanimously to place a $42 million bond initiative on the ballot and a second proposal to combine the school district’s two current sinking funds into one.
According to school officials, the $42 million bond is zero-tax-rate increase, and it will focus on three areas: enhancing safety and security; enhancing educational spaces and technology; and upgrading school infrastructure and sites.
The sinking fund replacement proposal, if approved, would combine the two current sinking funds levied by the school district into a single fund, which will result in a slight tax reduction for residents.
$42 million bond is zero-tax-rate increase
A bond is a state-approved funding process for large-scale projects. When approved by the voters, the school district sells bonds in the authorized amount and uses the bond sale proceeds to pay for the projects. Bonds measures are usually for 20-30 years. The Fitzgerald bond, if it passes, is for 25 years.
“This bond proposal is intended to protect the community’s educational investment,” interim Superintendent Laurie Fournier said in a prepared statement. “By addressing identified needs and enhancing our facilities, we plan to create an environment where students can thrive academically, socially and emotionally.”
According to school officials, the bond proposal would not increase the current tax rate, because the district would extend the current tax rate for the entirety of the bond. As the district’s previous bonds are paid off, the tax rate would remain unchanged with the new bond replacing the old debt. The district will use the existing millage rate to secure funding for new projects.
If the bond passes in August, a number of building projects will be slated throughout the district. Depending on the school, projects will include replacing damaged concrete sidewalks and masonry, installing emergency alert systems, roof repairs, remodeling media centers, LED lighting replacements, and more. Upgrades in technology, including computers, mobile devices, interactive whiteboards and document cameras also are included in the bond updates.
Bond dollars cannot be used for employee salaries, textbooks or for repair, maintenance or other operating expenses.
Sinking fund replacement
School officials also are asking voters to approve combining the district’s two current sinking funds into one. If approved, the sinking fund replacement will take effect in 2026.
A sinking fund is a limited property tax and a pay-as-you-go method for school districts to fund small-scale repairs without incurring interest on loans or bonds.
Sinking funds can be used for purchasing school property sites; the construction or repairs of school buildings; improvements in school security; the purchase and support of student transportation vehicles; and acquiring or upgrading technology. A sinking fund cannot be used for employee salaries, preventive maintenance or general operating costs.
School officials are putting the sinking fund proposal on the ballot for two reasons. For starters, replacing the current sinking funds will allow the district to take advantage of revisions in the state of Michigan’s regulations that expand the use of sinking fund revenue. That includes the purchase of security improvements, technology, buses and other means of student transportation, and building maintenance vehicles, and parts, supplies and equipment to maintain the vehicles.
Also, replacing the two current sinking funds with a single 3-mil sinking fund will allow the district to slightly reduce the overall sinking fund levy for taxpayers. The two sinking funds currently levy at 3.15 mils. Combining the sinking funds will reduce the fund by 0.15 mils.
For more information about the proposals, visit fitz.k12.mi.us or contact interim Superintendent Laurie Fournier at (586) 757-1750 or laufou@myfitz.net. A list of projects also is available at the website.
