Vantage refinancing saving $4.1 million
Saturday, July 12, 2014 12:01 AM
In this February 2012 file photo, members of the Vantage Career Center Board of Education view changes made to the school as part of the reconstruction project. Recent refinancing will save the school district approximately $4.1 million and should cut seven years from the time needed to pay off the debt. (DHI Media File Photo)
VAN WERT — It is always good news when financing arrangements can be changed to save money. For Vantage Career Center, refinancing bonds is saving the district approximately $4.1 million and will enable the district to shave seven years from the time needed to pay off the debt.
In June, the Vantage Board of Education approved the refinancing of the districts outstanding 2010 School Improvement Build America Bonds to take advantage of current conditions in the bond market. Closing for the new bonds was completed on July 9.
“The Board of Education wants to take every opportunity to reduce taxes to our constituents, and with the favorable bond market conditions, utilizing this refunding provided substantial savings for the district,” stated Vantage District Treasurer Lori Davis.
The amount refinanced was just under $16 million. This is from the money approved by voters to complete the $35 million renovation and expansion project which added 67,000 square feet to the school, bringing it to 187,000 square feet, as well as modernizing the labs and classroom facilities.
The refinancing was done with the assistance of Omar Ganoon, managing director of Ross, Sinclaire and Associates, who recommended the move. The Build America Bonds were originally made available as part of the American Recovery and Reinvestment Act. That program was ended at the end of 2010.
Through this restructuring Vantage was able to accelerate debt payments to cut the number of years for payback by seven years. The 1.05 mill levy approved in November 2009 and the assistance of the Ohio School Facilities Commission, which was accepted in 2008, made the project possible.
Ross, Sinclaire and Associates, LLC is an Ohio Headquartered investment banking firm and full service brokerage.