The Zachary Community School Board on Tuesday authorized the refinancing of $13.7 million in bonds, a move officials say will save taxpayers more than $1 million in the next decade.
The bonds, which were issued in 2006, 2007 and 2008 for building projects and have a 20-year life, will be sold soon and refunded so the district can take advantage of lower interest rates.
The sale will save taxpayers about $100,000 per year for the remaining life of the bonds, officials said.
The bonds’ current yield is about 4.5 percent, school district Business Manager John Musso said.
“The new yield on the bonds that we’re reissuing is about 2.3 percent, and that includes all the costs of refunding those bonds,” he said.
The most important result of the refinancing is that taxpayers will save about $1 million during the remainder of the bonds’ life, said Jerry Osborne, with the Foley and Judell law firm, which represents the school district.
New Orleans-based firm Raymond Jones and Associates is handling the sale.
In other business Tuesday, the board recognized Lauren Lane, a student in Zachary High School’s digital media program who filmed and edited a video promoting businesses, schools and other points of interest in Zachary. The city has been showing the video at travel conventions around the country.
The board also recognized Zachary High’s mock trial team, which recently won the state championship, and students who were district winners at the Louisiana State Rally this past weekend.