Fort Mill School District
2233 Deerfield Drive, Fort Mill, SC 29715
P: (803) 548-2527 | F: (803) 547-4696

2018 Bond Referendum Information
2018 Bond Referendum Information
Posted on 01/24/2018

2018 Bond Referendum Information

 

Bond Referendum Process

At the September 25 School Board Workshop Retreat the board heard information on the current and projected student population growth along with the expected new single and multi-family dwellings already approved for construction in the district.

Based on the information received at the retreat, the board formed a Facilities Needs Sub-Committee to assess the possible future needs of the district and to address the current and projected growth. The sub-committee included board members, district administration and community members.

At the January 3, 2018 Fort Mill School District Board of Trustees meeting, Board Chair Kristy Spears presented the findings of the Facilities Needs Sub-Committee to the board. The committee recommended a Bond Referendum totaling roughly $197 million for projects in the district.

After discussion of the projects and other possible funding sources for some of the committee recommendations, the board voted to approve a Bond Referendum not to exceed $190 million to be held on Tuesday, March 20, 2018.

Projects to be Funded by the Referendum:

New Facilities:

Two Elementary Schools (August 2020 Projected Open Date)

One Middle School (August 2021 Projected Open Date)

Technology Projects:

Purchase of new devices

Upgrades and maintenance to district infrastructure

Major Facilities Maintenance:

HVAC replacement

Kitchen equipment replacement

Land Purchases for Future School Sites

Transportation:

Purchase of additional school buses

Projected Tax Impact

If passed, the projected tax impact on a $250,000 home for the first year of the bond would be $140/year or $12/month. The impact amount lowers for the remaining years to $100/year or $8.30/month.

General Fund vs. Capital Projects

School Districts have separate funding sources for capital projects vs. the general fund. The general fund budget is used to fund the daily operations of the district with the majority of the fund (88.3%) dedicated to teacher and support staff salaries. The funds are generated through multiple funding sources including local taxes, state funds and federal funds.

A capital project is a lengthy investment used to build, add or improve on a project. It is any task that requires the use of significant capital, both financial and labor, to start and finish. Capital projects are defined by their large scale and large cost relative to other investments that involve less planning and resources. Examples of capital projects include new school construction, large equipment purchase or replacement, infrastructure upgrades and major maintenance. 

How does the district fund capital projects?

South Carolina’s state constitution allows government entities to issue bonds to fund capital projects (construction of new schools and improvements to existing schools) but limits those bonds to 8% of assessed property values within the district. The Fort Mill School District issues bonds on an annual basis within that 8% limit to fund needs with lower costs.

In order to fund needs with costs above the 8% limit the state allows school districts to hold a bond referendum that must be approved by voters before projects can begin.

The district also collects impact fees on new construction homes in our district. The current fee is set at $2500 per home. These funds can be used for capital projects or to reduce the district’s debt services. The school board has traditionally used these funds to reduce the districts debt service.