Post by title1parent on Aug 18, 2009 5:15:43 GMT -5
www.dailyherald.com/story/?id=314454&src=76
Dist. 203 taxpayers will save some cash
By Melissa Jenco | Daily Herald
Naperville Unit District 203 taxpayers will pay $8.7 million less toward facility improvements than originally expected.
The savings is due to federal stimulus funds and the economic climate.
"I really think the big news is this came in really well," said Dave Zager, assistant superintendent for finance. "We've now completed the sale of the bonds."
In a February 2008 referendum, voters approved the district issuing $43 million in bonds to help pay for $114.9 million in facilities projects around the district. The bonds would have cost taxpayers just over $67.8 million to pay down.
District 203 had originally planned to collect about $82 a year for 20 years from the average homeowner.
Instead, the average homeowner will pay $70 a year for 19 years.
"During all this, the calamity in the general markets, we happen to pick some pretty good times to issue bonds, and the savings to the taxpayers is big," said John Repsholdt, financial advisor with Ehlers and Associates.
The bond issuance the board approved Monday was $33 million. The other $10 million in bonds was issued in April 2008.
Of the $8.7 million in taxpayer savings, about $5.5 million is due to the district using Build America Bonds created through the federal stimulus program, according to Zager. By using these taxable bonds, the federal government will pay 35 percent of the district's interest costs.
The remaining $3.3 million in taxpayer savings is because the district chose not collect the first of the 20 referendum payments that would have been on this year's property tax bills. The consumer price index came in much higher than expected, so the district was already collecting enough revenue through its regular property tax levy to pay the interest on its bonds without that first collection.
In addition to the bonds, facilities projects are being funded by operating surpluses, property sales, interest income and bonds to be repaid from Cantera, a tax increment financing district.
The projects include an $87.8 million major renovation to Naperville Central High School; $5.2 million in renovations to the parking lots, pool and football stadium at Naperville North; $7.3 million for renovation and an addition to Mill Street Elementary; and $11 million to build an early childhood center.
Dist. 203 taxpayers will save some cash
By Melissa Jenco | Daily Herald
Naperville Unit District 203 taxpayers will pay $8.7 million less toward facility improvements than originally expected.
The savings is due to federal stimulus funds and the economic climate.
"I really think the big news is this came in really well," said Dave Zager, assistant superintendent for finance. "We've now completed the sale of the bonds."
In a February 2008 referendum, voters approved the district issuing $43 million in bonds to help pay for $114.9 million in facilities projects around the district. The bonds would have cost taxpayers just over $67.8 million to pay down.
District 203 had originally planned to collect about $82 a year for 20 years from the average homeowner.
Instead, the average homeowner will pay $70 a year for 19 years.
"During all this, the calamity in the general markets, we happen to pick some pretty good times to issue bonds, and the savings to the taxpayers is big," said John Repsholdt, financial advisor with Ehlers and Associates.
The bond issuance the board approved Monday was $33 million. The other $10 million in bonds was issued in April 2008.
Of the $8.7 million in taxpayer savings, about $5.5 million is due to the district using Build America Bonds created through the federal stimulus program, according to Zager. By using these taxable bonds, the federal government will pay 35 percent of the district's interest costs.
The remaining $3.3 million in taxpayer savings is because the district chose not collect the first of the 20 referendum payments that would have been on this year's property tax bills. The consumer price index came in much higher than expected, so the district was already collecting enough revenue through its regular property tax levy to pay the interest on its bonds without that first collection.
In addition to the bonds, facilities projects are being funded by operating surpluses, property sales, interest income and bonds to be repaid from Cantera, a tax increment financing district.
The projects include an $87.8 million major renovation to Naperville Central High School; $5.2 million in renovations to the parking lots, pool and football stadium at Naperville North; $7.3 million for renovation and an addition to Mill Street Elementary; and $11 million to build an early childhood center.
