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USD 231 board authorizes $100 million bond sale, staff outlines construction schedule for new elementary and service center
Summary
The USD 231 Board of Education authorized the offering for sale of bonds voters approved and heard a design and schedule update for projects funded by the bond, including a new elementary school, service center and safety upgrades; district and advisors said bidding is planned for fall with construction starting later this year.
The USD 231 Board of Education on May 12 authorized offering for sale general obligation refunding and improvement bonds tied to the April ballot question and heard a progress update on the district's construction program, including work on a new elementary school and a district service center.
District bond advisor Dustin Avi of Piper Sandler told the board the plan of finance combines proceeds for the $100,000,000 approved by voters and a refinancing component and that staff intends to access the market once conditions are favorable. “I want the board to have an understanding … we've committed to selling a $100,000,000 of bonds from this last election,” Avi said.
The authorization passed on a roll-call vote; the board’s resolution also permits the refinancing component (up to $29,700,000) that will be sold with the new-money bonds for efficiency. Avi said the district's credit rating was affirmed at AA-minus and that current market pricing was running near an estimated interest rate of about 4.75 percent for a 25-year structure, though he stressed rates are market-sensitive and could change before pricing.
Design and program staff told the board work is underway to translate the bond scope into construction documents. Ben, a design representative with Newkirk Novak, said predesign began in April and schematic design is in progress; the team expects to advance to design development in June and to put the projects out to bid in September or October. He described early milestones completed, including preliminary site layouts, traffic study work and geotechnical proposals, and said the district and designers are balancing cost and program needs across projects.
District staff and consultants listed the bond program components under development: a new elementary school (the program priority), an early education center renovation at Sunflower Elementary, special-education renovations at elementary schools, safety and security upgrades across facilities, playground renovations, additions and renovations at the high school and Trails facility, and a new district service center.
Avi also said the district expects to earn some investment income on bond proceeds as they are drawn for construction and estimated that investment earnings over the construction period could be in the low millions; those earnings would be restricted to ballot-approved projects or mill-levy management. The board instructed staff to finalize timing so final sale results can be brought back for ratification at a future meeting and closing planned for early July if market conditions allow.
The district's next steps include completing design development, finalizing construction estimates, permitting and bidding; staff said significant site work and “dirt moving” could begin later this year pending permitting and contractor schedules.
