Springfield, IL (CAPITOL CITY NOW) – At least some of the members of the District 186 are starting to be concerned about all the bonds being sold to bankroll the district’s infrastructure and other needs.
$110 million worth could be sold if the board votes to approve next month. More than half will be for working cash and could be repaid with property tax money, while the rest would be covered with proceeds from a one-percent sales tax.
Board member Micah Miller wonders, though if the district is biting off more than it can chew.
“I would support any bonding that’s backed entirely by the sales tax revenue,” said Miller. “At this point, I don’t know that I could support anything that is attached to (debt service) or that would lead to any kind of property tax increase.”
Miller is referring to any sort of debt service or health life-safety bonds. And at least some of the bonds sold would go to those purposes.
“The proposal of the $58 million for the (debt service) and the (health-life safety) bonds would increase a person’s property tax by $16 on a $125,000 property (per year),” said Steve Miller, Director of Business, Finance and Operations.
At least some of the concern among board members isn’t just about any part of bonding being repaid with property tax money. Some are also concerned about all the cost overruns on the infrastructure projects, and how they could end up making it less possible for the one-percent sales tax repaying the bond debt.
Board members last week learned, however, that the district has received its largest monthly payment of sales tax proceeds yet at nearly $1.5 million.
