This past Tuesday (1/12/16), the Batavia School Board voted to apply for $12 million in bonds for capital projects through a program administered by the state. The bonds would, if awarded, have a higher interest rate than market value. The taxpayers would pay the interest, then the board would submit forms for reimbursement for part of the interest. The funds for interest reimbursement would come from the federal government and could be subject to sequestration or suspension of the program. The bond advisor recommended language be put in the contract to provide for the opportunity to refinance the bonds on the open market should the government fail to pay.
Despite the explanation with its caveats, board members Dremel, Lowe, Locke, and Stoops voted to seek the bonds; Gaspar and Dryden voted no. The measure passed.