Onalaska School Board locks financing on $25 million bond tranche, adopts budget amendments and approves safety and equipment upgrades

The Onalaska School District Board of Education on Monday approved a resolution to lock the interest terms for the final $25 million tranche of previously authorized borrowing after a competitive municipal bond sale held that morning.

Eric Kass, director of public finance at PMA Securities, told the board the district received nine bids and the winning bidder was UBS Financial Services with a 3.49% interest rate. "We executed a competitive sale in the marketplace this morning at 10:15, and we received very good response from the market," Kass said, summarizing the results and the financing plan.

Kass said the district plans to amortize the $25 million tranche over 19 years — one year shorter than the statutory maximum the team discussed — which he estimated would save about $2.5 million in interest compared with a longer amortization. He also said the proposal would keep the repayment levy roughly stable at about $6.1 million. The sale closes in mid-February, with a projected closing date of Feb. 18, 2025; principal maturities for the issuance run to April 2043 and the bonds become callable April 1, 2033. Kass also noted the district entered the market following a Moody's rating action that left the district's rating stable (reported in the presentation as "double A 3").

After brief questions about market timing and bidder interest — board members asked whether January and February typically produce more bidders — the board moved and adopted the formal resolution to accept the results and lock the financing terms.

The board also adopted a set of amendments to the 2024–25 budget that reclassify several grants and recognize offsetting revenues and expenditures, including adjustments tied to federal ESSER spending that is winding down and additional E-rate reimbursements. The finance presentation noted that about 86% of district revenue is from state and local sources and that, as of Dec. 31, the district had spent roughly 30% of its budget for the year.

On facilities and safety, the board approved several capital purchases. It voted to replace aging pole-vault equipment and associated mats — staff said the existing kit was about 15 years old and coaches provided multiple bids — and approved upgrading exterior door-access systems at elementary schools and the district office, with staff noting that bundling the district office into the work secured a $10,000 discount. Board members discussed tradeoffs of bidding versus staying with the district's current vendor for system compatibility.

The personnel report, which added three support positions (a special education paraprofessional at the high school, a regular-education para at Northern Hills and a high-school custodian), plus coach contract items, was approved by the board with one abstention recorded on the personnel motion.

Votes at a glance

- Financing resolution to lock $25 million tranche: approved (motion carried during roll call). - Replacement of pole-vault equipment (project 14): approved. - Replacement of elementary and district-office exterior door-access systems: approved. - Adoption of 2024–25 budget amendments (Enclosure 16): approved. - Personnel report with exception C2: approved, one abstention recorded.

What happens next

Kass said legal closing steps and signatures will follow the sale and the district expects the funds to be available after the Feb. 18 closing. The board will continue monthly budget monitoring, with the next formal budget monitoring scheduled for the second meeting in April covering activity through March 31.