BLANCHESTER — The Blanchester Local School District, with help from Ross, Sinclaire and Associates, refinanced outstanding bonds, saving taxpayers an estimated $120,000 in debt service.
Blanchester Superintendent Dean Lynch said in a press release the refinance was done “to take full advantage of the favorable conditions in the municipal bond market.”
The bonds were originally issued for school facilities’ construction and improvements, according to Lynch.
Refinancing the $2,055,00.00 will save taxpayers of the district $120,805.00 in gross debt service saving over the life of the issue, Lynch said. This translates into an annual gross savings of approximately $17,257.00 for the next seven years and significantly reduces the net interest cost of the Bonds from over 4% to less than 2%.
“The bonds are a voted debt of the district, and therefore the interest saved passes directly on to District taxpayers by reducing the amount of property taxes collected. This savings goes directly to the taxpayers not the school district,” said District Treasurer Darlene Kassner.
“The board of education and treasurer strives to take advantage of every opportunity to reduce taxes for the district’s constituents. Our decision to capitalize on favorable bond market conditions provided a great opportunity for the district to save our community some money” said Lynch.