WPCNR SCHOOL DAYS. By John F. Bailey. June 10, 2008: Fred Seiler, Assistant Superintendent for Business for the White Plains City School District announced last evening that the school district has locked in a 4.31% interest rate on the first $50 Million of construction bonds to pay for the new Post Road School, and the Mamaroneck Avenue School renovations.

Seiler told WPCNR the interest rate originally estimated was 5%, so the district will realize a modest savings on the debt service associated with the bonds in the 2008-2009 school budget ( estimated as $1,573,005 Million in January, 2008), but he has not figured out precisely the saving. (The district begins paying the principle and interest on the first $50 Million of the bond in the 2008-2009 year) Seiler said the interest rate is locked in with the bidders.

Seiler says that the district will offer the final $16 Million in bonds  in the 2009-2010 year, where the district may be forced into higher interest rates. By putting the first $50 Million out for bids this spring, the school district appears to have had excellent timing and saved money. (The Federal Reserve Bank is reported today as announcing a higher prime rate to take effect in August).  Seiler explained the delay in the $16 Million going out to market, by reporting that the state prohibits districts from financing projects that have not begun yet.

Seiler reported the new Post Road School project was having foundations poured at the present time, and was on schedule to open in the fall of 2009.