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Glenwood approves sale of general obligation bonds

At a regular school board meeting on Monday, May 13, the Glenwood R-VIII School District Board of Education approved the sale of $2,000,000 in general obligation bonds to its municipal bond underwriter, L.J. Hart Company of St. Louis, MO. "We truly appreciate the strong vote of confidence we received from local patrons during the election, and we are excited to begin work on all of the bond issue projects," stated Mr. Lucas Brown, Glenwood Superintendent. The general obligation bonds were approved by 62.86% of the voters during the April 2, 2024 election. The sale of bonds will provide the district with funds to renovate the Glenwood Elementary roof, complete building improvements, upgrade playground equipment, complete athletic complex improvements, replace HVAC units, and complete several other repairs and improvements to existing district facilities. 
 
The bond marketing process provided local financial institutions the first opportunity to invest, and according to Courtney Wegman, Vice President of L.J. Hart & Company, the West Plains Bank & Trust Company purchased some of the bonds. This local support was beneficial for the financing process. The information shared by L.J. Hart & Company indicated that the bonds are scheduled to mature on March 1, 2029 through March 1, 2044, with reoffered yields ranging from 3.25% to 4.10%. This produces additional funds for the planned projects in the amount of $94,070. These bonds carry a. "AA+" rating from S&P Global due to the district's participation in the State of Missouri Direct Deposit Program coordinated through the Missouri Health and Educational Facilities Authority. 
 
Brown also stated, "The district is committed to being responsible stewards of taxpayer dollars throughout the duration of the bond repayment and construction process." The bonds contain an optional redemption (call) provision on March 1, 2029, at no penalty. This will facilitate the reduction of future interest expense in the event of prepayment or a future refunding to lower rates if market conditions make it economically feasible. The financing proceeds are expected to be available to the district by May 30, 2024, and they will be promptly reinvested by the district to maximize earnings that will be used to fund the planned construction projects. Construction is scheduled to begin during the first week of June. 
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