Monroe Public Schools board approves up to $3 million state aid anticipation note

The Monroe Public Schools Board of Education voted unanimously Oct. 28 to approve the district’s issuance of a state aid anticipation note not to exceed $3,000,000, a financing measure board members said is intended to address short-term cash-flow needs. Cass Shook, who presented the proposal, told the board the district consulted counsel and 1st Merchants Bank and that a state aid note would be more appropriate and less costly in interest than the previously approved line of credit.

Shook described the proposed transaction as a private state aid anticipation note and said the bank offered an interest rate of 4.1 percent. “So tonight, we’re asking the board to move to approve the district’s issuance of a state aid anticipation note, not to exceed $3,000,000 as presented,” Shook said. After a procedural pause to rescind the earlier line-of-credit approval from the Oct. 14 meeting, the board returned to the resolution and, after brief discussion, voted by roll call with all present voting yes.

The board’s action followed a brief procedural sequence in which a member moved to rescind the prior line-of-credit approval and the board temporarily tabled the new motion so the rescind could be handled. The clerk recorded 'yes' votes from all named board members during roll calls taken for the rescind and for the final approval. Superintendent Shaw and staff were directed to complete necessary filings and obtain signatures to execute the approved note.