Saving some money

By Doug Page | Thursday, February 8, 2007, 10:04 AM

The Miami East school district is going back into the bond market to save the taxpayers more than $250,000.

The voters approved $12 million in bonds in 2001 for the construction of a pre-k through eighth-grade building, completed in 2004. The building replaced the district’s three elementary schools and a junior high scattered across four townships.

To date, the district has issued $10 million in 28-year construction bonds paying 5 percent interest and $2 million in one-year bond anticipation notes that pay 1.75 percent.

Michael Sommer, school treasurer, said the district is seeking to refinance the remaining principal on the $10 million, plus the $2 million. The bonds would pay around 4 percent interest, a savings to the district taxpayers of $269,483.14 over the life of the bonds.

“It’s much like someone refinancing their home mortgage,” Sommer said. “It may not seem like a lot of money over time, but we are always looking for ways to save money.”

The school board likely will take up the matter at its Feb. 20 meeting.

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