LANSING — Members of the Lansing Board of Education have approved a resolution to refinance bonds that is expected to save the school district $4.8 million over a 19-year period.
“That’s a large amount of money,” interim Superintendent Dan Wessel said Tuesday at the conclusion of a special board meeting.
During the special meeting, board members voted in favor of a resolution to authorize the sale of refunding to replace bonds from a 2012 bond issue.
The 2012 bond issue paid for the construction of Lansing High School and the renovation of a former high school into what is now Lansing Middle School.
Greg Vahrenberg from Raymond James Financial spoke to board members by telephone Tuesday.
He said the special meeting was requested because the bond refinancing process had been accelerated because of favorable bond market conditions.
“We wanted to move forward as quickly as we could,” he said.
Earlier in the year, financial advisers were looking at rates that could have saved the district about $433,000. But conditions improved to the point to allow for a $4.8 million savings.
Vahrenberg said about a week ago, financial advisers thought the district may have been able to save more than $5 million.
But Tuesday’s action by the board should lock in the savings of $4.8 million.
The resolution approved Tuesday amends a resolution that was adopted by the board earlier this month.
The new resolution increases the amount of bonds that are being refinanced.
Wessel said board members previously had looked at refinancing about $45 million worth of bonds. But board members now intend to refinance more than $70 million worth of bonds.
Additional action will be required at a future board meeting to finalize paperwork for the bond sale.