Any increase in operational costs would not be part of debt service levy increase, but part of the general operating expense. Direct impact on the local levy for operational costs is harder to predict because it is dependent on what happens to state aid -- an annual guessing game. The current estimated increase in operational costs of around $500,000 represents less than one percent of HSD's total annual budget.
HSD's current debt service levy is .97 on the mill rate. If we do not incur ANY debt over the next decade, our current debt is scheduled to be paid off in 12 years.
The twenty year bonds (to fund construction) are sold over the 2-3 year period during construction and repayment of that debt is distributed over a 22-year period by “leveling” the payments so we maintain a level debt repayment and avoid rollercoaster changes in taxes.
If all three questions pass, property owners will see a tax increase of an estimated .90 per $1000 of property value based on (conservative) estimates of interest rates and total district property value or tax base.
The passage of the 3-Question Referendum Plan, given conservative interest rates, will result in debt service levy for 2017 taxes going from .97 to 1.87.
Tax and Financing
DEFINITION of 'Mill Rate'
The amount of tax payable per dollar of the assessed value of a property. The mill rate is based on "mills"; as each mill is one-thousandth of a currency unit, one mill is equivalent to one-tenth of a cent or $0.001. Property tax in dollar terms is calculated by multiplying the assessed property value and the mill rate and dividing by 1,000. As a property may be subject to tax by a number of different authorities, mill rates are set by each taxing authority so as to meet the revenue projections in their budgets.
(Mill Rate Definition | Investopedia)