NOTICE OF HEARING ON PROPOSED fourth amendment to LEASE bluffton-harrison metropolitan school district
You are hereby notified that a public hearing will be held before the Board of Education (the “Board”) of the Bluffton-Harrison Metropolitan School District (the “School Corporation”) on July 21, 2025 at the hour of 6:00 p.m. (Local Time) at the School Corporation’s Board Room, 805 East Harrison Street, Bluffton, Indiana, on a proposed Fourth Amendment to Lease (the “Fourth Amendment”) to be entered into between Bluffton-Harrison Middle School Building Corporation (the “Building Corporation”), as lessor, and the School Corporation, as lessee.
The proposed Fourth Amendment on which the hearing will be held amends the existing Lease Agreement originally dated February 25, 1998 (the “Original Lease”), as previously amended (as amended, the “Lease”). The Fourth Amendment extends the term of the Lease by twenty-two (22) years and increases the annual lease rental payable under the Lease by a maximum of $2,400,000, payable on June 30 and December 31 beginning with the completion of the renovation of and improvements to the Bluffton High School in the School Corporation located at 1 Tiger Trail, Bluffton, Indiana (the “Leased Premises”), or June 30, 2026, whichever is later.
As additional rental, the School Corporation shall maintain insurance on the Leased Premises as required in the Lease, shall pay all taxes and assessments against such Leased Premises, as well as the cost of alterations and repairs, and shall pay rebate amounts to the United States Treasury, if necessary. After the sale by the Building Corporation of its ad valorem property tax first mortgage bonds (the “Bonds”) to pay for the cost of the renovation and improvements, including any other expenses incidental thereto, the increased annual lease rental stated above shall be reduced to an amount equal to the multiple of $1,000 next higher than the sum of principal and interest due on such bonds in each twelve-month period ending on January 15 plus $5,000, payable in equal semiannual installments.
The Fourth Amendment gives an option to the School Corporation to purchase the Leased Premises on any rental payment date. The building to be renovated pursuant to the Fourth Amendment will be Bluffton High School, located at 1 Tiger Trail, Bluffton, Indiana, within the School Corporation’s boundaries.
The plans and the estimates for the cost of the renovation and improvements, as well as a copy of the proposed Fourth Amendment, are available for inspection by the public on all business days, during business hours, at the Administration Building of the School Corporation, 805 East Harrison Street, Bluffton, Indiana.
At such hearing all persons interested shall have a right to be heard upon the necessity for the execution of the Fourth Amendment, and upon whether the increased lease rental provided for therein to be paid to the Building Corporation is a fair and reasonable rental for the proposed renovations to the Leased Premises. Such hearing may be adjourned to a later date or dates, and following such hearing the Board may either authorize the execution of the Fourth Amendment as originally agreed upon or may make modifications therein as may be agreed upon with the Building Corporation.
Dated this 18th day of June, 2025.
/s/ Secretary,
Board of Education
Bluffton-Harrison Metropolitan
School District
nb 6/18
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