Line Mountain to refinance, save $618K
MANDATA - The refinancing of two Line Mountain bonds will save the school district a combined $618,621 over the next 16 years.
The school board approved the move Tuesday night at the district's regular meeting after Philadelphia-based Public Financial Management (PFM) managing director Jamie Doyle explained what she said are "excellent results."
The new 2.88 percent interest rate comes from Janney Montgomery Scott, of Philadelphia, who won over 37 other different bidders at 11 a.m. Tuesday, Doyle said.
She said the first series will save the district more than $550,000 in the first year, and the second series will save the district more than $67,000 over the next four years.
Now that the board approved the refinancing unanimously, the final settlement date will be March 20.
The board also decided they would advertise for bids March 19 for the sale of Leck Kill and Dalmatia elementary schools with a bid opening of April 16 and a decision to reject or award the bids at the April 22 meeting.
The two buildings were closed before the 2013-14 school year as part of an overall district consolidation plan. School buildings in Trevorton and Mandata were expanded to accommodate a realignment of the school district. Students in grades kindergarten through fourth are attending class in Trevorton, while fifth- and sixth-graders are attending class in the new addition at the middle-high school building.
No minimum bid was set in accordance with board members' preferences.
The board also approved the adoption of the 2014-14 preliminary budget in the amount of $18,445,879 with a $964,118 budget hole to fill.