CLEARFIELD – The Clearfield Area School District’s board of directors authorized the administration to move forward in the process of issuing General Obligation Bonds, Series of 2016, during Monday night’s regular board meeting.
More specifically, the board authorized the administration to work with Public Financial Management Inc., the district’s independent financial advisor; Eckert, Seamans Cherin & Mellott LLC, the district’s bond counsel; and the district’s solicitor.
The proceeds of the G.O. Bonds, Series of 2016, will be used toward the advance refunding of the district’s G.O., Series of 2014, bonds. The district will now proceed with a competitive Internet auction with a minimum savings target of 3 percent, according to board documents.
According to prior GANT News reports, the district currently has three viable refinancing opportunities in its $7.16 million in G.O. Bonds Series of 2011; its $9.995 million in G.O. Bonds Series of 2012 and its $9.54 million in G.O. Bonds Series of 2014.
With there being three series of G.O. bonds, the district heard a proposed three-step refinancing plan last week that was presented by Jamie Doyle of Public Financial Management.
By approving step one, the district will advance refund the 2014 bond series, and if it were to settle at the end of November, its estimated net savings will be $666,631, according to prior GANT News reports.
Then, if it approved step two, the district would do a current period refunding of the 2011 bond series. And, if it were to settle in December, the district’s estimated net savings would be $138,266.
If it approves step three, the district would advance refund a portion of the 2012 bond series. This step would settle in calendar year 2017, and the district’s estimated net savings would be $291,334.
In total, the district could realize an estimated net savings of just under $1.1 million. For more information, click here to read the prior GANT News report.