Sinking Fund
2026 SINKING FUND PROPOSAL
What is a Sinking Fund?
A Sinking Fund is a millage that provides revenue to allow a school district to make improvements for specific purposes identified in the ballot proposal.
If approved, the Proposal would allow the Unionville-Sebewaing Area Schools to create a fund to be used for purposes including building repairs, safety, instructional technology, and transportation.
How is it Funded?
A Sinking Fund is a local tax millage and is levied on all property located in a school district. The Proposal would authorize a 1.1 mill levy identical to the expiring sinking fund levy from 2025 levy of 1.1 mills, and would generate $392,000 annually for 10 years for district improvements.
Is this a Renewal?
While the district has had a Sinking Fund for ten (10) years, and this Proposal authorizes the same rate that was levied in 2025, we legally cannot call this a renewal because the purposes of the Sinking Fund have changed. Changes to law now allow Sinking Funds to be levied for transportation, security, and technology projects, we are technically asking for a new sinking fund.
How will my taxes be affected?
If the Proposal is approved, there would be no change from the 2025 levy. The district is asking for the same rate (1.1 mills) that was on your 2025 tax bill. Please note that the taxable value is generally half (or less) of the market value of your property.
What we CAN spend a Sinking Fund on...
- Heating and Cooling Systems
- Roofs
- Parking Lot, Sidewalks, and Asphalt
- Safety and Security
- Instructional Technology
- Transportation
- Real Estate
What we CANNOT spend a Sinking Fund on...
- Salaries and Benefits
- Equipment and Supplies
- Textbooks
- Utilities and Operational Expenses
- Furniture
- General Maintenance
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- New entryway doors at Early Childcare Center and MS/HS door
- New carpet in six classrooms in the district
- Expanded backup generator power in the district
- Emergency lighting in the Early Childcare Center
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- New sidewalk at the Elementary
- New parking near the Football field
- New Certa -Lock well casing at the Elementary well
- New carpet in six classrooms in the district
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- New parking lot for the Baseball/Softball fields
- New concrete slab for greenhouse
- New entryway door at the athletic entrance
- New asphalt for greenhouse
- New carpet in six classrooms in the district
- New lighting at the bus garage
- New Certa-Lock well casing for irrigation well
- New transformer for the greenhouse and charging station
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- New vestibule at the elementary school
- New conditioning unit in the Art room
- New carpet in six classrooms in the district
- New fence gate for the band at the football field
- New Certa-Lock well casing for the MS/HS well
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- New air conditioning in the gym and the remaining classrooms in the MS/HS
- New fire alarm system in MS/HS
- Light outdoor light poles near the athletic entrance and the kitchen
- New concrete for the kitchen back door
- Concrete pad for new outdoor freezer
- New sidewalk outside the boys' locker room
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- New buses
- Student transportation vehicles
- LED Lighting
Frequently Asked Questions
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The Sinking Fund allows us to repair and improve school facilities, helping to ensure a safe and conducive learning environment without diverting funds from instructional programs, and keeping more money in the classroom.
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The cost depends on the property's value and is $1.10 per $1,000 of taxable value.
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The Proposal would authorize a Sinking Fund levy would for ten (10) years, after which voters could renew it.
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No, by law, Sinking Fund revenue can only be used for repairs and improvements to school buildings and grounds, instructional technology, real estate, and transportation purchase and maintenance, all generally identified in the ballot language.
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Without the Sinking Fund, necessary repairs and improvements may be delayed or not completed, potentially leading to more costly issues in the future. This could also impact the overall learning environment and safety. There would also be additional short and long-term financial strain on the district.
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A sinking fund is used on a “pay as you go” basis, and all monies collected are utilized to benefit the district directly. A bond is a form of borrowing, which means taxpayers must repay the borrowed funds over a period of years, with interest. A sinking fund is levied, not borrowed, meaning the revenues are generated from a tax and do not involve the district taking on additional debt or incurring interest expense.
Unionville-Sebewaing Area Schools Sinking Fund Millage Proposal
Shall the limitation on the amount of taxes which may be assessed against all property in Unionville-Sebewaing Area Schools, Tuscola and Huron Counties, Michigan, be increased by and the board of education be authorized to levy not to exceed 1.10 mills ($1.10 on each $1,000 of taxable valuation) for a period of 10 years, 2026 to 2035, inclusive, to create a sinking fund for the purchase of real estate for sites for, and the construction or repair of, school buildings; for school security improvements; for the acquisition or upgrading of technology; for the acquisition of student transportation vehicles; for the acquisition of parts, supplies, and equipment used for the maintenance of student transportation vehicles; for the acquisition of eligible trucks and vans used to carry parts, equipment, and personnel for or in the maintenance of school buildings; for the acquisition of parts, supplies, and equipment used to maintain such trucks and vans; and all other purposes authorized by law; the estimate of the revenue the school district will collect if the millage is approved and levied in 2026 is approximately $392,000.