School district eyes savings of nearly $575,000
A bond refinancing plan for the Rome City School District could save an estimated $575,000.
School board members unanimously authorized at their meeting Thursday the refinancing to take advantage of lower interest rates. Robert B. Mezza Jr., assistant superintendent for operations and management, said he hoped the interest rate on the bonds could be reduced by about half, going from approximately 4 percent to 2 percent.
Mezza is looking to refinance two series of bonds. The estimated savings on the 2010 bonds is $455,000 and another $120,000 on the 2011 bonds. “This is quite a savings,” he told board members. Lowering future debt service payments benefits district taxpayers by reducing the tax levy. Mezza said the new bonds will not extend beyond the life of the current ones.
The law firm of Trespasz & Marquardt, LLP, is serving as bond counsel and Fiscal Advisors & Marketing, Inc. is financial adviser for the refinancing.
Six board members were present at the district office, and Joseph Mellace was connected via speaker phone. Absent were Larry Posselt and Stephen Hampe. Board President Paul Fitzpatrick said it was Hampe’s intention to watch at least parts of the meeting on the video stream.