South Central School Board Approves Bond Issue

The South Central School Board has given final approval to a $2-million general obligation bond issue in the working cash fund.

Superintendent Kerry Herdes says the bond replaces an expiring bond issue.

“The bond issue creates some temporary revenue for us. We can always let those bonds come off, which is what we’re doing this time. We’re letting a huge chunk of the bond come off to be able to lower our tax rate. When you mix that with the EAV increase in the counties, you’re looking at our tax rate right now being $4.58 and we’re going to let it come down at least to $4.35.”

Herdes says the district will buy its own bonds allowing them to keep the $86,000 a year that would be paid in interest.  That leaves the only the $46,000 cost to create the bonds.

Herdes says the bond revenue is important to the district to keep the budget in the black.  He notes the district took a big hit again this year in loss of corporate personal property tax revenue from the state.

The board learned a tree that fell on a neighboring property caused $30,000 in damage to the district’s administrative building.  The tree poked holes in the roof, damaged one outside wall and broke two windows.  The district’s insurance company is covering the repair cost.

In personnel action, the board accepted a letter of retirement in April of this year from elementary teacher Jane Miller.