District 52 Bond

Property Value Impact:

• A study by the National Bureau of Economic Research found that for every $1 spent on school capital projects, home values in the district increased by approximately $1.50, demonstrating a direct return on investment for homeowners.

Local Economic Stimulus:

• The American Institute of Architects reports that school construction projects typically retain 70-80% of expenditures within the local economy through employment, materials, and services.

Long-Term Financial Perspective:

• The National Council on School Facilities reports that deferred maintenance typically increases repair costs by 4-15% annually. Addressing infrastructure needs proactively through bonds ultimately costs less than emergency repairs.
• Bond financing allows for intergenerational equity – those who benefit from the facilities help pay for them over time, rather than placing the entire financial burden on current residents.

Shall Pineville School District No. 52 of Rapides Parish, Louisiana (the District), incur debt and issue bonds to the amount of not exceeding $27,000,000, in one or more series, to run not exceeding 20 years from date thereof, with interest at a rate of not exceeding 7% per annum, for the purpose of financing capital expenditures for school purposes for the District, including constructing, acquiring and/or improving schools and other school related facilities, together with equipment and furnishings therefor, title to which shall be in the public; which bonds will be general obligations of the District and will be payable from ad valorem taxes to be levied and collected in the manner provided by Article VI, Section 33 of the Constitution of the State of Louisiana of 1974 and statutory authority supplemental thereto, with an estimated increase of 17.80 mills to be levied in the first year of issue above the 17 mills currently being levied to pay General Obligation Bonds of the District?

Why can't infrastructure improvements be paid from the district's general fund?

The general fund is primarily dedicated to day-to-day operational expenses like teacher salaries, classroom supplies, utilities, and routine maintenance. Major capital improvements require significant one-time investments that would deplete general fund reserves needed for ongoing educational services.

How do we know the money will be spent responsibly?

The bond includes several accountability measures:

• Specific projects and budgets are legally bound to the bond proposition.
• Regular public reporting of project progress and spending.
• Annual financial audits of bond expenditures.

Why can't the federal government pay for these improvements?

Federal funding for school infrastructure is extremely limited. The primary responsibility for school facilities has historically remained with state and local governments, with local bonds being the most common funding mechanism nationwide for major capital improvements.