Board approves purchase of land near Matthews Elementary and OKs lease certificates to finance acquisition

The Grain Valley R-V School District Board voted to buy land adjacent to Matthews Elementary for $2,465,000 and approved a parameters resolution to issue Series 2025 lease certificates of participation to provide short-term financing for the purchase.

In a presentation to the board, Superintendent Dr. Willie said the land acquisition will allow "additional classrooms, student restrooms, additional parking, improved traffic flow for cars and buses, and other improvements" at Matthews Elementary and that the district expects to close on the property in October. He told the board the purchase is intended to support a bond proposal to voters in April 2026; the board discussed an estimated bond package of roughly $40 million, with up to $20 million earmarked for Matthews projects and the land purchase to be reimbursed from bond proceeds if voters approve.

Separately, the board approved a parameters resolution to sell Series 2025 lease certificates of participation with LJ Hart & Company and to establish a final-terms committee. LJ Hart representative Dr. Townsend described the structure: interest-only payments for the first three years, a 15-year maximum maturity, and a call feature after three years (call date 04/15/2028) allowing the district to redeem the certificates when bonds are sold. "We bring forward a plan to make interest only payments for the first 3 years of this lease agreement," Dr. Townsend said.

The draft pricing materials presented to the board showed an estimated issuance in the range of $2,465,000, with an estimated reoffering premium of roughly $65,009 and an effective yield (for arbitrage purposes) in the illustrative materials of about 3.86 percent. The parameters resolution caps the yield for arbitrage purposes at 5 percent; if market rates exceed that cap the financing would be returned to the full board for reconsideration.

Nut graf: The two votes together secure the land and create a financing path that lets the district acquire property now while preserving the option to refinance with voter-approved bonds later; board members emphasized transparency and a plan to present clear ballot language to voters before any bond election.

Board action and next steps: The board approved the land purchase (motion and second recorded; voice vote approved) and approved the resolution authorizing the sale of Series 2025 lease certificates and establishment of a final-terms committee. The resolution directs a final-terms committee — the superintendent, board president and a LJ Hart official — to finalize rates and sale details within the board-set parameters. The district’s team said they expect to return with ballot language and additional predesign and planning work between now and December.

Ending: With the land purchase and financing parameters approved, the district can proceed with predesign work for Matthews Elementary and develop bond language for possible April 2026 voter consideration.