investortrip.com
An idea floated during the last Moraine Valley Community College’s Board of Trustees meeting on January 18, 2012 to refinance some of the College’s outstanding bonds will actually end up saving the College’s district taxpayers _ who are responsible for repaying the Moraine Valley’s Community College’s bond debt_ some money.
Jn an email interview with The Glacier, the College’s Chief Financial Officer and Treasurer, Robert Sterkowitz, said that after the tax payers of Moraine Valley Community College’s district approved an $89 million building bond referendum in the Spring of 2006, the College sold General Obligation (GO) bonds to financial institutions and individuals in 2006 and 2007 to raise money for the construction of some new buildings and the renovation of some old buildings.
Robert Sterkowitz also stated that under the terms of the same 2006 referendum, the same in-district tax payers who approved the sale of the $89 million building bonds by Moraine Valley Community College, also agreed to repay the building bond debt.
The Chief Financial Officer of the College likened the refinancing of the building bonds to refinancing the debt on a home in order to obtain a lower interest rate, and consequently a lower monthly payment.
Some of the buildings built with the money realized from the sale of the building bonds by Moraine Valley Community College include the Student Services Center (formerly the College Center), Dr. Vernon O. Crawley Science Hall, Southwest Education Center, Student Union Building, Moraine Business and Conference Center, and others.
In addition, Robert Sterkowitz in the same email interview stated that Moraine Valley Community College does not hold any bonds of its own, although he added that the College’s current debt profile is $78,850,000.
