PORTAGE - PART 2: The Bond Ledger

[Shadowninja]

LADY BUDGETDOWN: PORTAGE PUBLIC SCHOOLS

PART 2: THE BOND LEDGER

Dear readers, yesterday Lady Budgetdown opened five years of Portage Public Schools' General Fund budgets and audits.
Today, we move those dollars aside and open an entirely different ledger.

The bonds. 👓📖

And Portage has quite a few receipts in this particular drawer.

According to the district's June 30, 2025 audited financial statements, Portage had several major school building and site bond issues connected to this period, including:

2019 bonds: $52.720 million
2021 bonds: $45.795 million
2023 bonds: $9.835 million
2025 bonds: $43.380 million

That is more than $151 million in those four bond issues alone.

But issuing bonds is only one side of the ledger.

The audit also tells us what happened with several of the construction programs.

By June 30, 2025, Portage reported the projects associated with the 2019A, 2021 and 2023 bond issues as complete.

Cumulative construction expenditures reported for those projects were:

2019A projects: $56.950 million
2021 projects: $55.053 million
2023 projects: $10.842 million

And then we arrive at the number Lady Budgetdown thinks taxpayers should understand whenever we talk about school bonds.

Outstanding debt.

As of June 30, 2025, Portage Public Schools reported approximately:

$221.645 MILLION
in outstanding general-obligation bond principal.

But principal isn't the entire bill.

The district's future debt-service schedule also showed approximately:

$96.100 MILLION
in future interest.

Put the two together and the remaining scheduled principal and interest was approximately:

$317.745 MILLION.

Now, before anyone begins polishing the pitchforks, that number does NOT mean Portage spent $317.7 million in 2025.

It doesn't mean $317.7 million disappeared.

And it doesn't mean the district suddenly owes a bill payable tomorrow morning.

These are long-term bonds, and the debt is scheduled to be repaid over many years.

But this is precisely why Lady Budgetdown separates the bond ledger from the operating ledger.

A bond proposal may be discussed with voters in terms of the amount being borrowed.

The eventual taxpayer obligation includes something else too:
Interest.

So today's question is considerably simpler than yesterday's.

When voters are asked to approve school debt, how clearly are they shown BOTH numbers — the amount being borrowed and the estimated total cost of repaying it?

Because $221.645 million in principal and approximately $96.100 million in future interest are two very different numbers.

Both belong in the ledger.

No accusations. No dramatic conclusions.

Just principal, interest, projects, and a rather large stack of receipts. 👓📖

With receipts & respect. 👑

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