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School bonds prove to be popular investment option

Jul 1, 2024

The first round of bonds was offered to investors on May 14. This initial sale was for $179 million and there were $338 worth of requests. Locally, residents purchased $40,000 worth of the bonds and one local bank purchased $3 million. He said they were very popular. All bonds were sold with an average interest rate of 3.77% which is below the estimated (3.84%) rate presented to the board in the preliminary financing plan in March. Due to the lower interest rate than anticipated, the payments are expected to be nearly $3 million less over the life of the bonds. Good news for local taxpayers.

 

The second round of bond sales occurred on June 5, again, with high investor interest. Nearly $216 million in orders were placed for the $99.5 million of variable rate bonds to be sold. All were successfully sold with an initial interest rate of 3.62%, about .12% above the estimated rate presented to the board in the preliminary finance plan in March.

 

At this time, a final round of bond sales is scheduled for 2025.

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