GARY — The Gary Community School Corp. recently sold more than $4.6 million in bonds to net a cost savings district administrators say will help in their goal to reduce the district's deficit.
Gary schools sold $4.64 million in general obligation refunding bonds, which will realize a total savings of more than $500,000 and a net present value saving of more than $450,000 during the 9½ remaining years of the bond, according to a district news release.
The bonds were sold at 2.65% through the state's intercept bond program with a AA+ rating by S&P's Global Ratings. The interest rates on the bonds that are being refinanced ranged from 4% to 5%.
The Gary school bonds were issued to help reduce debt service levies by about $53,000 a year, Gary Chief Financial Office Lisa Rosinko said in the news release.
"The recent cost savings from the bond sale is evidence of our fiscal responsibility and proof that our team is working hard to eliminate the district's deficit," Rosinko said.