Sturgis Board of Education reports successful bonds sale

Sturgis Public Schools’ Board of Education has detailed the successful sale of its 2015 refunding bonds, Series A, in the amount of about $25.3 million and 2015 refunding bonds, Series B, for about $10.6 million.
The Series A bonds are being issued for the purpose of refunding that portion of the school district’s outstanding 2005 refunding bonds. Series A bonds reduce the district’s overall interest expense by about $7.5 million for taxpayers and will occur through lower debt payments over the next 15 years.
Series B bonds are being issued for refunding outstanding debt to the state of Michigan, under the state’s school bond qualification and loan program.
Series B Bonds reduce the repayments to the state by about $1.18 million. Estimated reduction in repayments is based on the current school bond loan fund interest rate of 4 percent.