Chelsea Standard > News

CHELSEA: Bond refinance saves Chelsea schools over $1.4 million


View and purchase photos

Refinancing the 2004 bond fund is saving Chelsea School District taxpayers over $1.4 million, according to Jeff Soles of Thrun Law.

Soles made the comments at Monday's board of education meeting.

With a net savings of over $1.1 million from refinancing the bond fund at an interest rate of nearly ten percent, and an indirect savings of over $333,000 from the district paying off bonds early, the total savings to Chelsea taxpayers amounts to $1,435,820.

Teresa Zigman, executive director of business and operations, explained that this savings will be seen in future years as the seven mill debt will get paid off more quickly. “It’s like paying your mortgage,” she said. “You keep paying the same amount each month, but the total debt is paid off earlier than anticipated.”

Obtaining a ten percent interest rate was a key factor in the savings. “The threshold is normally two to three percent, but you beat that in spades,” Soles said.

Meanwhile, Superintendent Andy Ingall administered the oath of office to re-elected board member Steve Olsen and newly-elected board member Laura Bush at Monday evening’s school board meeting.

The board also elected 2013 officers. Steve Olsen will serve as president; while vice-president will be Laurel McDevitt. Anne Mann will assume the duties of secretary; and Sally DeVol will be the board treasurer.

In other business:

-- Ingall reported that the district’s crisis team, consisting of 42 people, will be meeting and inviting the police and fire chief to review and revise preparation, readiness, security, and response plans. “This is a timely review following the tragedy in Newtown, Conn.,” Ingall said. “We want to make sure our children are as safe as possible.”

-- Ingall said that the state is expected to release the initial budget drafts in February. Although it has been predicted that the state aid budget may increase by 2.7%, increased spending is also predicted. Continued...

-- The board approved the recommendation to add Graphic Arts I and II to the high school’s art curriculum. They also approved Introduction to Computer Programming to replace the current Game, Design, and Animation Class for next year.

-- The board commended the food service department for all staff passing their “Serve-Safe” certification, good for five years. They also commended the transportation department for the bus fleet receiving a 100% safety inspection by the Michigan State Police in December.

-- The next board meeting will be Jan. 28 at 6:30 p.m. at the Washington Street Education Center.
Refinancing the 2004 bond fund is saving Chelsea School District taxpayers over $1.4 million, according to Jeff Soles of Thrun Law.

Soles made the comments at Monday's board of education meeting.

With a net savings of over $1.1 million from refinancing the bond fund at an interest rate of nearly ten percent, and an indirect savings of over $333,000 from the district paying off bonds early, the total savings to Chelsea taxpayers amounts to $1,435,820.

Teresa Zigman, executive director of business and operations, explained that this savings will be seen in future years as the seven mill debt will get paid off more quickly. “It’s like paying your mortgage,” she said. “You keep paying the same amount each month, but the total debt is paid off earlier than anticipated.”

Obtaining a ten percent interest rate was a key factor in the savings. “The threshold is normally two to three percent, but you beat that in spades,” Soles said.

Meanwhile, Superintendent Andy Ingall administered the oath of office to re-elected board member Steve Olsen and newly-elected board member Laura Bush at Monday evening’s school board meeting.

The board also elected 2013 officers. Steve Olsen will serve as president; while vice-president will be Laurel McDevitt. Anne Mann will assume the duties of secretary; and Sally DeVol will be the board treasurer.

In other business:

-- Ingall reported that the district’s crisis team, consisting of 42 people, will be meeting and inviting the police and fire chief to review and revise preparation, readiness, security, and response plans. “This is a timely review following the tragedy in Newtown, Conn.,” Ingall said. “We want to make sure our children are as safe as possible.”

-- Ingall said that the state is expected to release the initial budget drafts in February. Although it has been predicted that the state aid budget may increase by 2.7%, increased spending is also predicted.

-- The board approved the recommendation to add Graphic Arts I and II to the high school’s art curriculum. They also approved Introduction to Computer Programming to replace the current Game, Design, and Animation Class for next year.

-- The board commended the food service department for all staff passing their “Serve-Safe” certification, good for five years. They also commended the transportation department for the bus fleet receiving a 100% safety inspection by the Michigan State Police in December.

-- The next board meeting will be Jan. 28 at 6:30 p.m. at the Washington Street Education Center.

ADVERTISEMENT


Comments

The following are comments from the readers. In no way do they represent the view of Heritage Newspapers.

Login To Comment

You must be logged in to post a comment.

*Member ID:
*Password:
Remember login?
(requires cookies)
  Forgot Your Password?
 

Not Registered? Sign up today for free!

Do not use usernames or passwords from your financial accounts!

Note: Fields marked with an asterisk (*) are required!

*Create a Member ID:
*Choose a password:
*Re-enter password:
*E-mail Address:
*Year of Birth:
 

(children under 13 cannot register)

*First Name:
*Last Name:
Company:
Home Phone:
Business Phone:
*Address:
*City:
*State:
*Zip Code:
 


Social Wire

National News Videos



Recent Activity on Facebook



Blog Center

Media Lab

Community Media Lab Blog

Community Media Lab is a public outreach project launched by Heritage.com providing a learning-based and collaborative environment where community contributors can experiment, learn and grow.

Frye

Frye on the News

Stephen Frye has covered the police beat and courts for The Oakland Press and now serves as online editor for www.theoaklandpress.com.

Jerry

Voices of Disability

Jerry Wolffe works as the disability rights advocate for the Macomb-Oakland Regional Center and is a former reporter with The Oakland Press. He still writes the Voices of Disability column and created a blog for those who miss reading his articles in the paper. In his blog, he writes profiles of extraordinary people with disabilities, civil rights and inspires his readers and to help others find the way to a world where no one is judged by how they look or their talents but are loved because they are alive.

Pat

Open Book

Pat Caputo is a sports columnist for The Oakland Press who covered the Tigers from 1986-98, and the Lions from 1998-2002.

More Blogs

MI Central Blog Center