|Part of the next phase of work on the Galesburg School District's Master Facilities Plan is still going to be paid for with bond money -- question is, how much can the district afford.
Investment firm First Midstate told the District-205 Budget Committee yesterday that based in part on the district's 2012 Equalized Assessed Valuation, the district could issue 38-million more dollars in bonds, taking into account that the district has issued 17 million already in recent years. Another 10 million dollars in working cash bonds could be issued.
The district is looking at paying for part of the phase two work with bonds, because of funding shortages in the one-percent sales tax increase and other issues.
District-205 Assistant Superintendent for Finance and Operations David Black says he sees the financial situation differently than when the Master Facilities Plan was first crafted.
"The assumptions that we made in the plan back when the plan was put together very rosy economic out look, very rosy EAB out look, growth and all of that. Everything plays together to come to here's where we're at now."
First Midstate says interest rates on bonds they'd sell for the district are now higher than just the last month or so.
Nevertheless, they say if bonds are the way to go, they'll still try to sell them locally first, then go to other investors.