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Board approves Flatwoods Middle change order and authorizes deed transfer for county bond financing
Summary
The board approved a roughly $420,000 revision to the Flatwoods Middle guaranteed maximum price and authorized bond‑related documents, including a special warranty deed transfer to the county with a leaseback arrangement; the deed will revert to the board once the project is paid off.
Mr. Pearson told the board the contractor sought an adjustment to the guaranteed maximum price after subcontractor bid variances affected bonding and insurance rates. "They are seeking an adjustment in this guaranteed maximum price of around $420,000, which represents, about a 0.5 percent adjustment in the overall, budget," Pearson said.
Staff then explained the county is preparing to sell bonds to fund the school; because the land for the project is currently deeded to the school system, the board approved transferring the deed to the county so it can use the parcel as collateral for the bond sale, with a leaseback to permit the district to operate the school. Staff and board noted some dollar fields in the bond paperwork will be completed after the Local Government Commission finalizes the bond amounts; the documents state the property will be deeded back to the board when the bonds are paid off.
