DESCRIPTION OF PROPOSED SCHOOL CONSTRUCTION PROJECT

DESCRIPTION OF PROPOSED SCHOOL CONSTRUCTION PROJECT<BR><BR>Ely Public Schools, ISD #696 is proposing a two question referendum for facility improvements for Ely's district facilities.<BR><BR>The district is planning a two question referendum on November 2, 2010. Question number one provides $3,885,000 for the replacement of 90+ year old steam heating system, replacement of electrical service and making security and technology improvements. Question number two provides $5,630,000 for replacement of roofs, lighting and power distribution. The projects will be financed by the sale of 20 year bonds pending voter approval on November 2, 2010. The school board believes that these projects are in the best interest of the school district.<BR><BR>If the bond referendum is successful and bonds are sold, the debt service on the bonds will be eligible for debt service equalization under Minn. Stat. &#167; 123B.53, subd. 3, if the bond schedule is approved. The amount of debt service equalization aid, if any that the district receives is determined annually and is dependent upon property wealth, student population, and other statutory requirements. If federal stimulus programs are used in this project, the district must comply with federal standards for use and reporting requirements.<BR><BR>REVIEW AND COMMENT STATEMENT <BR><BR>Based upon the Department's analysis of the school district's required documentation and other pertinent information from sources of the Department of Education, the Commissioner of Education judges the proposed construction to be educationally and economically advisable.<BR><BR>ADDITIONAL INFORMATION IS AVAILABLE<BR><BR>Persons desiring additional information regarding this proposal should contact the school district superintendent's office.<BR><BR>Alice Seagren<BR><BR>Commissioner<BR><BR>September 10, 2010<BR><BR>