H-BC School District approves lower levy for 2020

Debt refinancing is saving property owners in the Hills-Beaver Creek School District more than $110,000 in 2020 prompting a 7.8 percent decrease in the levy.
The district will collect $1.352 million from taxpayers next year, down from $1.462 in 2019.
The savings is a result of the Sept. 30 bond-refinancing sale that lowered interest rates from 4 percent to 2.1 for the next 16 years.
“The board wanted to make sure this financing goes through — to save tax dollars for our residents,” said Superintendent Todd Holthaus.
With interest at almost half of its original rate, district taxpayers will save a total of $1.5 million under the new bond repayment schedule. The bond matures in 2036.
However, the district is expected to overspend its 2020 budget, according to information released at the district’s Dec. 9 Truth in Taxation hearing that didn’t attract public attendees.
In a summary of its upcoming fiscal year 2020 budget, the district projects spending $4.9 million, $476,000 more than in fiscal year 2019.
The increase comes from a $360,000 roof project completed this spring at the elementary school in addition to the scheduled salary increases and the addition of a half-time position in the district this school year.
Holthaus said the roofing project was part of the district’s long-term facility maintenance plan and will be repaid using future levy dollars.
“In essence we borrowed the money from ourselves,” he said, adding that it will save interest costs.
The district’s 2020 budget is $4.9 million.
Auditors presented the fiscal year 2019 audit at the district’s Monday night meeting.