The Vernon Parish School Board’s bond agent went to market on a good day. As a result, the board picked up an additional quarter million dollars in interest savings.
The board heard that good news from a representative of its bond counsel, Foley & Judell of New Orleans.
At its meeting on Tuesday, the board passed the final resolution necessary in relation to the issuance and sale of $8.58 million in General Obligation School Refunding Bonds.
When Foley & Judell first began discussing the bond refunding as a way to save considerable interest by taking advantage of current low rates, the estimated savings over the life of the issue was about $300,000.
As it turns out, when the bond sellers went looking for buyers “it was a good day in the market”. According to the bond counsel, the board will save $584,000 in interest payments, picking up $284,000 in one good shopping day.
Equally good news on the financial front came from a report on savings realized by the Centergistic Energy Conservation Report.
Since October 2015, the school system has realized energy cost savings of $1.1 million, according to a Centergistic representative.
The savings realized in Fiscal Year 2016-17 alone amounted to 29 per cent, he reported to the board.
Finance Director Tim Ward told board members Tuesday that checks were being mailed to individual schools that day under a sharing agreement reached when the program was implemented.
The money goes directly to the schools’ General Funds and can be used for any expense the school administration chooses.
In other matters Tuesday, the board elected District Two member Angie Davis its new president. She has been serving as vice president and will succeed Steve Woods of District One in December. Vernon L. Travis, Jr. of District Six was elected vice president. Both elections were by unanimous vote without opposition.
Board members also approved Champion Homes’ participating in the state industrial tax exemption program and established stands and criteria for approval of participation in ITEP for future applicants.