Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Facilities Referendum Bond Sale topic
No spam. Unsubscribe anytime.
District says early bond sale, lower interest rate will save community about $5.5 million; PMA recommended to manage funds
Summary
School district officials told the board they sold referendum bonds in late January and expect interest savings of roughly $5.5 million; administrators recommended PMA as the financial manager and described next steps for hiring a project manager and contracting construction and owners-rep firms.
West Allis-West Milwaukee School District officials reported to the school board that the district issued referendum bonds in late January and that a lower-than-expected interest rate is expected to reduce the community’s interest costs by roughly $5.5 million.
The district’s finance staff said the sale timing and the board’s recent actions improved the district’s borrowing terms. “That 1% in interest ... is nearly almost $5,500,000 the community will save in interest,” Aaron Norris said during the workshop update, noting the savings result from a stronger credit outlook and an earlier-than-planned sale.
Why it matters: referendum funds will pay for facilities projects approved by voters. Lower borrowing costs increase the net amount available for construction and repairs and reduce the levy impact previously estimated for taxpayers.
What the board heard: staff reviewed an RFP process to select a firm to manage referendum proceeds and recommended PMA as the financial-services partner based on fees and projected returns. Norris described three bidders and said PMA offered the best mix of fees and performance for the district.
Staff also described next steps for project delivery: a posted search for a project manager (about 30 applicants, with screening interviews scheduled); upcoming RFPs for a construction manager and an owner’s representative, including building tours for interested firms; and a referral to a newly created referendum email address to collect public questions.
Administrators said the district plans regular, multi-format updates for the board and community while projects proceed and that the project manager will be a central contact for stakeholder communication.
What’s next: staff said they expect to bring contracts for the project manager and for the selected financial manager and construction vendors to the board for approval in February. They also said bond proceeds will be deposited shortly after the approvals and that the district will post an online Q&A hub for referendum questions.
Ending: Board members thanked staff for the work to lower borrowing costs and for moving procurement forward; staff urged anyone with questions to use the district’s referendum email for faster responses.
