The News Courier in Athens, Alabama

February 8, 2013

Superintendent granted approval to explore bond market rates

System might borrow up to $25M to finance capital projects

By Kim West
kwest@athensnews-courier.com

— The Limestone County Board of Education authorized Superintendent Dr. Tom Sisk to explore the board’s options in the bond market.

The board’s approval during its regular meeting Thursday will allow Sisk to gather more information about the cost of issuing up to $25 million in bonds.

School officials expect an interest rate of 3 to 4 percent on the possible bond issue, which would be used to finance capital improvement projects.

Sisk said this step of the bond process is similar to a prospective homebuyer visiting a loan officer, and he told the board he wanted to be “conservative” when borrowing funds because of increased costs that will impact the next budget.

“Before we go buy a house, we need to know from the bank how much we can borrow,” Sisk said. “I’m requesting permission to go to the bond market and secure a bond up to $25 million.”

Sisk will present the bond information at the next school board meeting, unless a special work session is scheduled prior to the March 5 regular meeting.