Clay County board authorizes start of bond sale process, approves band equipment and local bank for proceeds

The Clay County Board of Education authorized staff to begin the offering process for a General Obligation Bond, Series 2026, and approved several related fiscal and capital items at its April meeting.

Clayton Kelly of Piper Sandler, the district’s bond counsel, told the board that the resolution on the agenda would not lock in final interest rates but would allow staff to obtain the documentation and move toward a sale. "Tonight is a sale resolution that authorizes us to move forward with the process of securing final interest rates," Kelly said, adding that the district is targeting a May 4 sale date and expects to finalize rates and the debt‑service schedule at the May 11 board meeting. He said the district’s plan of finance had assumed roughly 4.75–5% but that recent market movement suggested final rates could be in the low 4% range.

A board member moved to adopt the resolution authorizing the offering for sale of General Obligation Bonds, Series 2026, of Unified School District No. 379, Clay County; the motion was seconded and approved by voice vote.

Why it matters: authorizing the offering is the procedural step that permits staff and bond counsel to price and sell the bonds; it does not commit the district to a final interest rate or closing until those details return to the board for approval.

Votes at a glance: the transcript records voice votes (no roll‑call tallies recorded) approving the bond offering authorization, an amendment and approval of a band‑equipment capital outlay item, the selection of Union State Bank to hold bond proceeds, a preventive‑maintenance contract for HVAC systems, and acceptance of E‑rate proposals for Wi‑Fi and internet service. The board also approved submission of a bus‑replacement grant application and certified‑staff renewals.

Financial and procedural details: Kelly outlined mechanics for the proceeds: closing was tentatively scheduled for June 4, at which time bond proceeds would be deposited and drawn down for construction invoices. He described flexibility in investing proceeds and noted the district can prepay bonds without penalty in typical bond structures after a set call period. Board members discussed local banking fees and the need to negotiate wire and service charges for accounts that will hold public funds.

Other fiscal actions: the board amended a capital‑outlay motion to set a limit of "not to exceed $85,000" for the year‑one band equipment purchase and approved the amended motion by voice vote. The board also approved a motion to accept a proposal from Union State Bank to deposit and manage proceeds of the bond issue, with staff and administrators to set up a separate account and accounting codes for transparent tracking. Separately, the board approved contracting Central Mechanical for a combined HVAC preventive‑maintenance agreement (term up to five years) and accepted E‑rate bid recommendations for district Wi‑Fi (Next Step) and internet service (Twin Valley) to begin July 1.

What’s next: staff will return with final bond pricing, the debt‑service schedule and any contract details that require formal board approval. If grant awards for bus replacements are received, the board will consider purchase decisions once results are known.

The board ended routine business by approving personnel items and certified‑staff renewals as presented.