Weekly Feature

2017-04-20 / Local News

Bond refunding to save more than a half-million dollars at Maryvale


Stephen Lunden, Maryvale’s assistant superintendent for administrative services, touted a plan to refinance 2008 bonds that he said will save the district approximately $677,000.

The district’s budget includes a debt-servicing area, meaning Maryvale spends money on principal and interest payments for past capital projects, Lunden said. Refinancing is possible, much like it is with a home mortgage, when the timing is right, and after working with the district’s financial advisers, Lunden said that right time for Maryvale is now.

In 2017-18, the district will save about $47,000 through the refunding — the term the district uses for refinancing — and the savings average out to about $105,000 per year for the six years following.

“In my world, that’s kind of that no-brainer decision of moving ahead with it,” Lunden said.

Board member Jason Baier asked if there were any potential downsides to the plan, but Lunden assured him and the rest of the board that the savings take into account closing costs and fees, meaning there will be no hidden expenses on the back end of the refinancing process.

The Maryvale Board of Education authorized the restructuring by a unanimous vote at its meeting on Tuesday evening.

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