Fulton County Council to decide on library bond proposal

The Fulton County Council on Tuesday heard plans for a new bond issuance, with an accompanying tax rate increase, for the Fulton County Public Library.

If approved, proceeds are to be used to fund improvements at all three branches. 

The main branch in Rochester would see improvements including regeneration of the arboretum, basic cleanup to provide more enjoyable public spaces; exterior wall repairs and enhanced lighting; new indoor/outdoor connections; relocation and expansion of public computers, the Makerspace and teen area; installation of new heat pumps and attic repairs for efficient heating and cooling. 

Improvements at the Aubbeenaubbee branch in Leiters Ford would include correcting ongoing drainage problems that cause excessive flooding in the parking lot, which would be upgraded from gravel to asphalt. Also, the library's main vestibule is to be upgraded to comply with the Americans with Disabilities Act (ADA). 

The Fulton branch would get a safer, ADA-compliant main entryway on its side, farther away from busy Indiana 25. It would also receive drainage improvements and increased off-highway parking. 

Other improvements including LED lighting, touchless plumbing fixtures, furnishings, fresh paint and flooring would be shared by all three branches.

"By selling the bonds this year, we plan to flow from the end of our current bond obligations into this new bond sale with little impact on current property taxes," said library board member Paul Zartman, who was reappointed to the board after presentation of the proposed bond issue.

He added that fluctuations should be within historic tax levy rates for the library.

The assumed borrowing amount is $2.8 million, with a repayment term to carry through 2043. The estimated interest expense would be a little more than $1.8 million, and an accompanying debt service tax rate increase of .0056 is proposed for the first two years. That tax would return to its current rate of .0212 by 2027. 

The estimated taxpayer impact on a medium home value of $143,400 would be 29 cents per month, or $3.47 annually. The monthly impact for one acre of agricultural land is 1 cent — $1.06 for 100 acres and 47 cents for commercial/rental property with an assessed value of $100,000.  

"That's a worst-case scenario because it's based on last year's numbers," Library Attorney MacKenzie Breitenstein said. "If the numbers come in higher this year, there won't be a rate increase at all."

Fulton County Public Library Attorney MacKenzie Breitenstein details a library bond proposal, with plans for improvements at all three branches. Councilman Pete Karas reviews a handout on the proposal behind her. 

She added there is a second option that would guarantee no tax rate increase, but roughly $150,000 would need to be paid upfront toward interest before any improvements could get underway. 

"We are working with Baker Tilly on the financial side of things for our accounting, and then we are also working with Ice Miller as our bond counsel for this," she said. 

Speaking in support of the bond proposal, library board member Betty Martens said, "We realize that the county has other bills to pay and other things to consider, but we were thinking that the increase for two years, very small, but then going back to the original rate after two years would be a little bit more palatable." 

The council ultimately reached a consensus that a resolution for the bond issue including the tax rate increase be brought for consideration at its next meeting, 5 p.m. July 16 at the Fulton County Office Building.