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Memorandum Florida, the passage rate is 86 percent. Both municipal measures (Hollywood and Jupiter) on the March 2019 ballot were approved. Five of the six city and county park and land conservation measures on the ballot in 2018 were approved. The finance mechanism for all of these recent ballot measures has been general obligation bonds. Two land conservation ballot measures have already been referred to the November 2020 ballot, Nassau County ($30 million bond) and Collier County (renewal of a 0.25 mill property tax). General Obligation Bonds Florida counties and municipalities are authorized to issue debt for capital improvement purposes including parks and open space in the form of general obligation bonds.2 The state statutes do not place specific limits on the amount of debt that can be incurred by a community, but do limit the duration of the bonds to a period not exceeding 40 years. When bonds have been issued, the governing body must levy annually a tax upon taxable property in the jurisdiction sufficient to pay the debt service and interest on the bonds.3 Issuing Bonds for Parks and Open Space The table to the right illustrates the debt service and millage required for bond amounts that could potentially be issued for parks and open space in Indian River County. For instance, a countywide bond issue for $50 million would add roughly $3.9 million to the county's annual debt service and cost the typical homeowner an average of $44 per year in additional property taxes. TPL's bond cost calculations provide a basic estimate of debt service, tax increase, and cost to the average homeowner in the community of potential bond issuances for parks and land conservation. Assumptions include the following: the entire debt amount is issued in the first year and payments are equal until maturity; 15 -year maturity; and two percent interest rate. The property tax estimates assume that the jurisdiction would raise property taxes to pay the debt service on bonds, however other revenue streams may be used. The cost for the average residential property represents the estimated annual impact of increased property taxes levied to pay the debt service. The estimates do not take into account growth in the tax base due to new construction and annexation over the life of the bonds. The jurisdiction's officials, financial advisors, bond counsel and underwriters would establish the Bond Financing Costs for Indian River County 15 -year Bond Issues at 2.0% Interest Rate 2019 Total Taxable Value = $18.6 billion Annual Mill Levy Increase Costl Year/ Bond Issue Size Debt Svce Avg. Residential $40,000,000 $3,113,019 0.168 $35 $50,000,000 $3,891,274 0.209 $44 $55,000,000 $4,280,401 0.230 $48 $60,000,000 $4,669,528 0.251 $52 $65,000,000 $5,058,656 0.272 $57 $70,000,000 $5,447,783 0.293 $61 Source: Florida Dept. of Revenue Ad Valorem & Tax Data Book Average residential property taxable value $208,433. actual terms of any bond. Enactment procedures The County Commission must call a referendum election prior to the issuance of bonds.4 There must be at least 30 days' notice published in the local newspaper of general circulation.5 Bond 2 A single ballot question may authorize bonding authority and a millage levy, the excess of which can be used for operations and maintenance. The mill levy must be within the County's 10 -mill cap. 3 3 Chapters 100 and 130, and Section 200.181, Florida Statutes. ° Section 100.211, F.S. 5 Section 100.342, F.S. 6