By BILL KNIGHT
For The Weekly Post
PRINCEVILLE – Aiming for financial stability at a time and in a state where that’s in question, the Board of Education on Jan. 12 approved refinancing its 2014 construction bond and issue working cash bonds to hedge against possible declines in property-tax revenues or state funding. The move will save almost $1 million from currently low interest rates and is meant to ensure School District 326’s tax rate won’t change.
“With this funding option, the Board will issue $1.5 million in working cash bonds to help give the District some financial cushion – a safety net – if funding from the state diminishes based on the financial impact of COVID and the expected downturn in state revenues,” said Superintendent Shannon Duling. “The $1.5 million will not be utilized for any new construction projects. It is intended to protect the District if we experience financial shortfalls in normal operations due to reduced revenue streams or increases in general operation costs.”
The Board’s approval of the refinancing was one of two options from Kendall King of Kings Financial Consulting of Monticello, who first addressed the Board about such possibilities on Dec. 9. The option chosen is a 15-year repayment schedule, which will save the District $700,000 over the other choice, an 18-year repayment schedule.
“If EAV [the Equalized Assessed Valuation for properties within the District] didn’t meet expectations, the District could modify additional working cash bonds to keep the tax rate steady, which is one of the primary goals of the Board,” Duling said. In unrelated financial news, the District was notified that a provision in the Coronavirus Response and Relief Supplemental Appropriations Act enacted Dec. 27 could mean about $420,000 in federal assistance through the Elementary and Secondary School Emergency Relief Fund (ESSER-II).
“Our first-round funds were used to purchase Chromebooks,” Duling said. “We are still waiting on guidance on what we can use these funds for, but are hopeful we will be able to address studentlearning loss due to the lack of in-person instruction from last year and the shortened schedule from this year.”
In other news:
• Principal Rich Thole said that winter administration of the MAP test will start Monday (Jan. 25) and will include options for both in-person and remote learners.
• The board approved the application to renew the Princeville employee tuition waiver, which must be approved every five years.
• In Personnel, the board approved Kim Bird as daycare teacher and bus driver, and Karen Braker as daycare teacher.
BILL KNIGHT can be reached at bill.knight@hotmail.com
5-2-24
5-3-24
More Photos
