Board approves reimbursement resolution to enable racetrack bond refunding

CFO Lake presented a reimbursement resolution to the Levy County School Board that would let the board recover eligible capital expenditures from future tax-exempt bond proceeds tied to the district's racetrack bond refunding.

"This resolution declares the school board's intent to issue tax exempt debt to finance certain projects," CFO Lake said. "By declaring its intent to issue tax exempt debt, this resolution allows the school board to reimburse itself from the bond proceeds for any capital expenditures it pays from other funds prior to the issuance of the debt." She said qualifying expenditures made in the 60 days prior to issuance could be reimbursed from the bond proceeds once the bonds close.

Lake told the board the district had received a draft timeline and staff were aiming for a May 30 closing so roofing work could begin. She emphasized the reimbursement resolution does not obligate or authorize the issuance of debt; it only preserves the board's ability to reimburse prior capital spending from later bond proceeds.

A board member asked why the program is called "racetrack." CFO Lake replied it reflected where revenue had originally been driven and that the label persists as a local shorthand. The board moved, seconded and approved the resolution by voice vote; the meeting record shows the motion carried.

Board discussion noted the resolution is a standard financing step for projects that begin before bond proceeds are received; Lake said it is used so the district can begin urgent repairs and later recover those costs if bonds are issued.

No vote tally numbers were recorded in the meeting transcript; the motion passed by voice vote with the chair announcing the motion carries.