HEBRON | The School Board on Tuesday approved a resolution to restructure and refinance 2004 mortgage bonds.
The bonds were first issued to build the new Hebron High School, which was completed in 2005, MSD of Boone Township Superintendent George Letz said.
Letz said the $11.4 million bond restructure will help to “counteract” the approximately $500,000 the district loses each year as a result of Indiana’s property tax cap or “circuit breaker.”
In 2003, the district was faced with an aging high school building that was “falling down on our students and teachers,” Letz said.
“At that time, there was no talk about tax caps or circuit breakers,” Letz said. “That came after we built the high school.”
The absence of “decent increases in the support of education” from the Indiana General Assembly and Hebron’s recently defeated property tax hike referendum have caused the district to seek financial relief elsewhere, Letz said. As a result, administrators are proposing to refinance the debt at a lower interest rate to “replace some of the tax dollars lost to the circuit breaker.”
“We are one of four school districts in the state hit the hardest by the circuit breaker,” Letz said. “More people qualify for the 1 percent tax cap on their homes, and that means less money for us, the town, the library board, and the county, coming from the district.”
The money saved from the bond restructure will replenish the capital projects, transportation and bus replacement funds, Letz said.
At the meeting, the board also approved the hiring of two new teachers and an administrator.
Former Hanover Central High School Assistant Principal and Athletic Director Jeffrey Brooks was approved as the new Hebron Middle School principal. Lance Corkwell, a teacher at Portage High School, was approved as the new high school science teacher. Jennifer Kiner, formerly of the Duneland schools, will assume the position of high school media specialist.