Bond plan offers big savings
The Brookhaven School District board of trustees Tuesday passeda proposal to refinance a bond that will save the districtapproximately $375,000.
Robert O. Allen, school board attorney, was authorized to lookinto the issue in hopes of potentially saving money on the $7.3million general obligation bond that was issued 2000. Allenmentioned the net savings of $375,000 is a significant amount andwould cost the district less in the long run.
“These are down the road savings,” Allen said.
The school board agreed the attorney’s proposal would be a smartaccounting move.
“The state law allows public bodies to the refinance a bill ifit saves a net of 2 percent or better,” Allen said.
Pending finalization of the new rate on the bond issuerefinancing, Allen said the net savings could be over 4percent.
The board set a goal of year 2019 to have the bond paid off.Annual payments on the bond issue are expected to remain about thesame.
Also during last night’s meeting, the board discussed new schoolyear issues such as vending machine regulations and student andpersonnel transfers. The board also permitted several schools tohave various upcoming fundraisers.
The meeting was concluded with officials acknowledging that ACTscores for Brookhaven High School have risen. The average score nowis 20.2, up from 19.1 in the previous year and from 18.2 over thelast four years.