Proposal is for three series bond spanning 20 years
By Joseph Goral
Staff Writer
jgoral@mihomepaper.com
LAKE ORION — Lake Orion Community Schools’s administration said during the school board meeting on April 23 that they have revised their $294 million bond proposal to reduce its mills by 0.49, resulting in a tax rate decrease for the community if the bond is passed.
While the school board did not vote to approve the proposal, Board President Danielle Bresett said there “is a green light to continue.”
The board and administration had discussed during its previous meeting presenting voters with a $294 million bond in November, one that would have the current bond tax rate.
Assistant Superintendent of Business and Finance Andrea Curtis said including the bond proposal on the November 2025 election ballot would mean the lower rates would take effect during the summer of 2026. Doing so would also save funds in the long run because of the rate of inflation, Superintendent Heidi Mercer said.
“A mill is equal to one dollar of tax for every $1,000 of taxable value,” Curtis said. “So, for example, if you have $100,000 of taxable value at seven mills, that would equate to $700. The savings from 7.49 to seven would be $49.”
Board Treasurer Jake Singer said a proposal that will come out in the treasury application shows the projected millage rate would stay at seven mills until 2037. In other words, the district is extending a max millage rate for 10 years.
Curtis said the cabinet is glad to offer the community the mill decrease, adding the bonds they are asking for are “fully qualified for participation in the Michigan school bond loan program.” The program is a “beneficial” financial tool that requires the district to maintain a debt millage at or above seven mills – the rate it would be if the bond passes.
Although the district has a balance due with the school bond loan fund, meaning they normally would not be able to reduce the rate below 7.49 mills, the remaining portion of the district’s debt will be paid off during the next fiscal year – allowing the rate reduction.
Board Vice President Heather Sinawi said she appreciates there will be some relief and added she is “comfortable today with how we’ve come together to take a step forward.”
According to Mercer, projects the district did not get to through the 2018 bond – PHASES, Learning Options, the CERC building and part of Scripps Middle school – would be the top priority if a new bond passes.
Curtis added that the bond also includes technology, bussing and budget uncertainties on top of its projects when it relates to LOCS’ general fund budget.
Curtis said the bond application needs to be approved by the state before it goes on the ballot. The state will also review the district’s bidding process and payments to ensure LOCS is in line with what their application said the district would spend funds on. If the district’s spending is not in line with their application, the funding is taken away.
The proposal is for a three series bond spanning 20 years, she said.
As of April 23, the bond would be the only item on the ballot, meaning there would be a cost to the district for the election, Mercer said.
More than 75% of over 1,200 people who participated in an LOCS survey are in support of a bond, according to Mercer.