ONEKAMA
CONSOLIDATED
SCHOOLS

FREQUENTLY ASKED QUESTIONS

 

Looking to the future of Onekama Consolidated Schools, the Board of Education is asking the community to vote on a school bond proposal on the election ballot on Tuesday, November 5, 2024. If approved by voters, it would provide $10,500,000 for district-wide improvements.

If you have a question not addressed here, please contact Superintendent Dan Mesyar at 231-889-5521 to have your question answered.

 

 

OVERVIEW AND FUNDING:

What is the 2024 bond proposal?
A school bond election consists of permission to sell bonds that will be repaid through a millage (tax levy). The bond issue requested by OCS would be used to finance building projects or other capital projects. These measures are placed on the ballot by district school boards to be decided by the voting public.

The district has an opportunity to improve safety for our students and staff, update learning spaces, address aging building infrastructure and improve our athletic fields.

Would my taxes increase if the bond proposal is approved?
If approved, the ballot proposal would allow the district to sell bonds and generate approximately $10.5 million with no expected millage increase over the current millage rate of 3.5 mills.

What is a mill?
A mill is equal to $1 per every $1,000 of taxable property valuation (not the market value of a home; homeowners can refer to their latest assessment for their home’s taxable value).

What is the difference between a bond proposal and a sinking fund?
Bond proposals are used to finance major capital projects. The district can borrow money upfront and repay the bond over time.
 

Sinking funds are provided on an annual basis to address the needs of school buildings, facilities, and surrounding school sites. These funds can be used for smaller projects in the year the funding becomes available, or these funds can accumulate over multiple years and be used to address major capital projects.

What is the School District doing to maintain our buildings?
Our maintenance staff has done an excellent job maintaining our facilities, but some of our equipment is at the end of its useful life. Our sinking fund has helped to maintain our buildings, but we are at the point where more costly items need to be replaced.
 

What is a bond proposal and how can funds from a bond be spent?
A bond proposal is how a public school district asks its community for authorization to borrow money to pay for capital expenditures. Voter-approved bond funds can be spent on new construction, additions, remodeling, site improvements, athletic facilities, playgrounds, buses, furnishings, equipment, and other capital needs. Funds raised through the sale of bonds cannot be used on operational expenses such as employee salaries and benefits, school supplies, and textbooks. Bond funds must be kept separate from operating funds and expenditures must be audited by an independent auditing firm.
 

What is the length of the bond term?
The existing bonds and the new bonds, if approved, have 16-year maturities. Bonds are sold with different maturities so each and every year a certain number would be repaid within 16 years. If approved this bond will extend the existing debt millage for an additional seven years.

Would the approval of the bond proposal have any impact on our current operational budget?
While funding from this bond proposal is independent of the district's general fund operating budget, the bond would likely have a positive impact on the district’s general fund by allowing the district to reallocate operating funds that are currently being spent on aging facilities, mechanical systems, and technology.

How would I know the bond funds would be spent the way they are supposed to be spent?
Every bond construction fund is required to have an independent audit, per Bulletin 7, Public Act 451 of 1976 of the Revised School Code, effective May 12, 2014 (revised September 12, 2017.) The objective of the audit is to verify that the bond proceeds have been expended in accordance with the stated purposes for which the bonds were approved by voters.

The audit must be performed by an independent CPA, licensed with the Michigan State Board of Accountancy, and comply with generally accepted auditing standards as adopted by the American Institute of CPAs. A bond construction fund audit report is required after construction is completed as determined by a Certificate of Substantial Completion. This report is for the entire construction period, from the sale of the bond issue or the beginning of the project (whichever is earlier) through completion, and must include all activity in the fund for that period.

Are businesses and second homes (non-homestead properties) and primary homes (homestead properties) treated the same regarding bond millage?
Yes, businesses and second homes (non-homestead properties) and primary homes (homestead properties) are treated the same regarding bond millage. All properties that are subject to property taxation are assessed for the debt millage rate based on their taxable value.

Would money from the bond proposal be used to pay teachers’ salaries and benefits?
No. School districts are not allowed to use funds from a bond for operating expenses such as teacher, administrator or employee salaries, routine maintenance, or operating costs. Bond proceeds can only be spent for purposes approved by the voters. Bond proceeds must be kept separate from operating funds and expenditures must be audited by an independent auditing firm.
 

At what point would the State of Michigan, as well as the local fire and police departments, provide input regarding the bond projects?
Each project will be required to be submitted to both the Bureau of Construction Codes (BCC) and the Bureau of Fire Services (BFS) for both plan review and permitting. These agencies will review the projects to ensure they comply with applicable codes, before any building permits are issued. Building plans and specifications must be signed and sealed by a Licensed Architect/Professional Engineer before submission. As of March 21, 2019, Michigan law requires school districts to consult on the plans for the construction or major renovation regarding school safety issues with the law enforcement agency that is the first responder for that school building. This consultation would happen after a bond proposal has been approved by voters, before construction documents are finalized prior to project commencement.
 

What oversights would hold the district accountable?
If approved by voters, the district’s Architect/Engineer would design the proposed projects and prepare construction documents and specifications for the projects. Once the projects are designed, the district’s Construction Manager will assemble bid packages and publicly advertise to solicit competitive bids for all work. This is required by law, as outlined in the Revised School Code. This process ensures that the district selects the lowest responsive and responsible bidder. All qualified contractors will have an opportunity to attend a pre-bid meeting to obtain additional information and project clarification. All qualified contractors will have the opportunity to participate in the competitive bid process.

 

BOND SCOPE AND SCHEDULE:

What would the project do to address improved safety and security in our district?
The safety of our students, staff and community members is our highest priority. Recommended safety and security improvements would include:
• Create a single point secured entry at main entrance
• New rapid emergency response system
• Improve drainage at school parking lot

How were the infrastructure items identified in the bond program?
The proposed infrastructure projects were identified as part of an in-depth building needs assessments and align with the district’s strategic plan. Suggested infrastructure improvements include:
• A new hot water heater, replace select aging HVAC systems including air handlers, unit ventilators and chillers
• Updated electrical distribution in select areas on campus
• New parking lot, drives and sidewalks at baseball/softball fields and bus garage
• Repair necessary window water penetration in gymnasium
• Purchase of a new bus


VOTING INFORMATION:

Are owners of property in the school district eligible to vote if they do not reside in the school district?
Owners of property are only eligible to vote if they reside within the school district’s boundaries. To be eligible to register to vote you must be:
• A Michigan resident (at the time you register) and a resident of your city or township for at least 30 days (when you vote)
• A United States citizen
• At least 18 years of age (when you vote)
• Not currently serving a sentence in jail or prison

If I rent a house or apartment, can I vote?
Yes, if you rent a house or apartment you can still vote. You must be a registered voter in the city or township you are living in and live within the school district’s boundaries.

How is an absentee voter ballot obtained?
Registered voters must complete and submit the application to receive their absentee voter ballot. To vote by mail, fill out the application and sign it, and then return it to your local clerk. For assistance in obtaining the address of your local clerk, visit Michigan.gov/vote. When filling out the application, if you check the box to be added to the permanent absentee voter list, you will get an application mailed to you before every election.

If you registered to vote after absentee voter ballot applications were mailed, applications may be obtained online at Michigan.gov/vote. Absentee voter ballots are available as early as September 26th through election day, November 5, 2024.

What are the key dates leading up to the Tuesday, November 5, 2024 election day?
Registering to vote:
• The last day for voters to register by mail is October 21, 2024
• Voters may register in-person through November 5, 2024 (election day) with the required documentation
 

Absentee Voting:
• Absentee voter ballots are available as early as September 26th, 2024
• Contact your local clerk with questions
 

Early Voting
• In-person early voting will begin October 26. Please contact the Manistee County Clerk at 231-723-3331 to find out your early voting location and hours of operation.

 

Attend a public information community forum/building tour:
• Monday, September 16 at 6:00 p.m. in the OCS Media Center

Where and when will the vote occur?
Tuesday, November 5, 2024 is election day, but absentee voting can occur leading up to that date. All registered voters may cast an absentee voter ballot by mail. Voters may also cast a ballot at the polling location established by their city/township. If you have questions or do not know where you vote, please contact your city/township clerk’s office. Polls will be open from 7:00 am to 8:00 pm on Tuesday, November 5, 2024.

What is the ballot language?

ONEKAMA CONSOLIDATED SCHOOLS BOND PROPOSAL

Shall Onekama Consolidated Schools, Manistee County, Michigan, borrow the sum of not to exceed Ten Million Five Hundred Thousand Dollars ($10,500,000) and issue its general obligation unlimited tax bonds therefor, in one or more series, for the purpose of:

erecting, furnishing and equipping an addition to the school building; remodeling, furnishing and refinishing and equipping and re-equipping the school building; purchasing school buses; and erecting, preparing, developing, improving and equipping playgrounds, athletic fields, facilities and structures and sites?

The following is for informational purposes only:

The estimated millage that will be levied for the proposed bonds in 2025 is .85 mill ($0.85 on each $1,000 of taxable valuation) for a 0 mill net increase over the prior year’s levy. The maximum number of years the bonds of any series may be outstanding, exclusive of any refunding, is sixteen (16) years. The estimated simple average annual millage anticipated to be required to retire this bond debt is 1.76 mills ($1.76 on each $1,000 of taxable valuation).

(Pursuant to State law, expenditure of bond proceeds must be audited and the proceeds cannot be used for repair or maintenance costs, teacher, administrator or employee salaries, or other operating expenses.)