Kirkwood School District to issue additional Prop R bonds as construction continues on projects to increase capacity in schools
At its regular meeting on Monday, May 23, the Kirkwood School Board of Education approved the issuance of $5 million in Prop R bonds. These bonds are a part of the original $61 million in bonds approved by voters in April 2021.
In 2021, due to historically low interest rates and the desirability of bonds at the time, the District was able to sell the Prop R bonds at a premium, meaning they sold for more than their face value. At that time, the district sold $56.2 million bonds and, with the premium, the net bond proceeds came to $61.3 million.
This year, as a result of the quickly changing construction environment, the district has seen increased costs related to Prop R projects. The additional bonds will ensure projects are completed within the means approved by voters through Prop R. As with the initial sale, the bonds will also include a premium and will be sold without a tax rate increase.
“The option of selling these additional bonds is available to use because of the work we have accomplished to ensure we are in a positive fiscal situation. Additionally, we showed restraint when issuing the bonds after they were approved,” Dr. David Ulrich, Superintendent. “We will continue to prioritize responsible fiscal decisions that promote good stewardship of our taxpayers’ dollars.”
Prop R was approved by voters in April 2021. Funds generated from Prop R will provide additional classrooms, security upgrades and accessibility improvements at all schools in the Kirkwood School District to increase capacity.
Recently completed Prop R projects include HVAC improvements throughout the District, new ADA entrances at North Glendale and Robinson elementary schools, a new secure entrance on the Essex side of Kirkwood High School and at North Glendale and a two-classroom addition at Westchester Elementary School., This summer, the District is set to complete interior renovations at Keysor, Robinson and North Glendale elementary schools and Kirkwood Early Childhood Center.