Parkland School District to Refinance Bonds

The, in the face of recent market turbulence, is scheduled a refinancing of more than $15 million in callable 2001 bonds.

The bonds, which were originally floated in 1996, were refinanced in 2001 and can be again as of Sept. 1. The estimated savings to the district at current levels is approximately $450,000 in two years, according to John Vignone, the district's Director of Business Administration.

"With the markets the way they are you never know if the turbulence will hurt us or help us," Vignone said. "I think it will help us."

The outstanding principal of just more than $15 million has a current interest rate of just under 5 percent. The district hopes the refinancing brings the rate closer to three percent. Vignone said the two percent savings is about the industry standard.

The finance committee will make its initial presentation on the matter to the Board of Education at its Aug. 16 meeting and, if all goes to plan, adopt a parameters resolution at its Aug. 23 meeting.

Bond pricing is expected to take place in early September with settlement in early October.