Jackson Heights considers refinancing 2007 bond

Nearly a decade after voters in the Jackson Heights school district voted to approve a $3 million bond issue for construction of a middle and high school classroom addition, the Jackson Heights school board agreed to look at refinancing the bond and an energy lease for the district to get lower interest rates.

During Monday’s USD 335 Board of Education meeting — held a week later than usual to accommodate a public hearing on the district’s 2016-17 budget — board members met with Roger Edgar, executive vice president of the George K. Baum and Company investment firm of Kansas City, Mo., to discuss refinancing the 2007 bond issue for the addition, where classes were first held in the 2009-10 school year, as well as the district’s 2008 energy lease.

In both cases, Edgar told board members, interest rates being at “generational lows” mean that rates for both the bond issue and the energy lease could be cut by more than half. The bond issue’s current interest rate is at 4.095 percent, but it could be cut to less than 2 percent, while the energy lease, which has a current rate of 4.28 percent, could be cut to just over 2 percent, he said.

Cutting those interest rates could result in a net savings of about $213,000 in interest paid on the bond issue and about $182,000 on the energy lease, Edgar said. Furthermore, the district still had about $194,000 that was raised in the bond issue that had never been spent, and he advised the board to use that money to reduce the total indebtedness on the bond.

The district’s budget showed that $2,470,000 remained to be paid on the bond issue, while there is still $1,620,000 left to pay on the energy lease. Edgar told board members that cutting the interest rates and applying the $194,000 to the bond issue would result in “less pressure on the mill levy” for district taxpayers.

Board members authorized Edgar to set the overall refinancing process in motion, with more detailed information on a finalized interest rate for the refinancing to be presented at a future board meeting.

In other business on Monday, District Superintendent and Elementary Principal Adrianne Walsh and Middle and High School Principal Darren Shupe presented the board with preliminary enrollment figures for the 2016-17 school year, which begins for students on Thursday. Both schools showed preliminary enrollment numbers similar to the 2015-16 year, it was noted.

At the elementary level, Walsh said the preliminary numbers increased from an estimated head count of 211 to a total of 215 after enrollment for the 2016-17 year, with one student being added on Monday. She noted that the elementary school had a headcount of 211 students for 2015-16.

“It’s nice to be up a little bit,” she said, noting that many district families participated in pre-enrollment activities at the school.

Post-enrollment numbers by class included 46 pre-kindergarten students, 21 kindergartners, 25 first-graders, 20 second-graders, 29 third-graders, 32 fourth-graders, 19 fifth-graders and 23 sixth-graders, according to information presented by Walsh.

On the middle and high school level, however, Shupe said the population at his building “continues to drop,” albeit not by much for the coming school year. According to information presented by Shupe, the middle school numbers remained unchanged from last year to this year at 55 students, while the high school declined from last year by two to 179 for the coming year.

Class-by-class numbers presented by Shupe included 34 seventh-graders, 21 eighth-graders, 32 high school freshmen, 30 sophomores, 36 juniors and 26 seniors. The district saw four new students added, he said, but nine will not be returning.

Shupe also informed board members on preliminary numbers of high school students getting a jump on their college educations or careers. Two students are currently enrolled in online courses through Highland Community College, he said, while 10 students are enrolled in Washburn Tech courses and 18 students have signed up for an ACT preparatory course at JHHS.

Both Walsh and Shupe expressed optimism that the enrollment numbers would increase prior to the first day of school. The district’s overall enrollment numbers — as well as those numbers for all school districts in Kansas — are expected to be finalized on or about Sept. 20.

The board also:

* Held a public hearing on the district’s proposed 2016-17 budget prior to the regular board meeting. No public comments were heard on the budget, which was later approved during the regular meeting.

* Approved the meeting’s agenda and consent agenda, the latter including minutes from the board’s July 11 meeting, monthly bills and activity account reports, a bond payment of $177,017.50, an energy lease payment of $133,416.25 plus a $750 service fee and a donation of $3,070 from the Dave Henry memorial fund.

* Heard an update from Larry Amon on the press box and concession stand project. So far, Amon said, $49,900 has been raised for the project, with more donations to come, and work on the concession stand is nearing completion, while the renovated press box is expected to be put back on the bleachers sometime this week.

* Heard a presentation from Russell Bacon and Topher Dohl on the possible implementation of a baseball and softball program for the district (see related story).

* Approved an updated version of the district coaches’ handbook for 2016-17.

* Received information from Walsh on the district’s buses, noting that while the district did not purchase a new bus this past year, she would like to purchase a new one this year and turn one of the district’s existing buses into a spare bus. She also suggested that the district’s bus for handicapped students could be traded in, since “it pretty much just sits there” and requires “a tremendous amount of work.”

* Heard a report from Walsh on a possible update to the high school track records board.

* Heard a report from Walsh on a district vehicle used to transport school lunches to the elementary building. The vehicle is in need of $800 to $900 in repair work, she said, and some consideration has been given to replacing it.

* Heard a report on facilities from Walsh, who noted some masonry work is needed on the outside of the high school building, along with work needed in other areas in both the elementary and high school buildings.

* Heard a report from Walsh on elementary school activities, including the “Building Cobra Excellence” theme for the 2016-17 school year, a new curriculum that incorporates Lego building blocks, a new smart board-based curriculum for elementary music and professional development sessions held this month.

* Heard a report from Shupe on activities at the middle and high school, including staff training, painting options for an exterior door, the upcoming Middle School Success Camp and upcoming school events.

* Met in executive session with Walsh for 15 minutes to discuss personnel matters.

* Following the executive session, accepted resignations from Todd Hurt, groundskeeper; Brooke Calloway, elementary school secretary and assistant middle school girls basketball coach; and Amanda Robertson, accompanist.

* Offered employment contracts to Gerald Amon, grounds and maintenance; Chris Brown, assistant high school football coach; Lyle Alley, assistant middle school girls basketball coach; Nancy Sipes, elementary school secretary; and Jessica Bachamp, part-time cook and aide.

* Adjourned the meeting at 9:15 p.m. All board members were present.