Over the summer, Ozark School District received bids for Phase 1 & 2 of Tiger Paw Early Childhood Center and Phase 2 of the Ozark Innovation Center. The combined total of both projects for all phases is $34,117,568 due to the drastic increase in construction costs over the last year.
To make up the difference between the $26.5 million no tax increase bond issue that was approved in June 2020 and the new bid total of $34 million, the Board of Education recently approved two funding options:
The District is able to sell the bonds at a premium with a slightly higher interest rate (4-4.5% instead of 3%) to receive $30 million out of the original $26.5 million. This increase does not impact taxpayers or the District's bonding capacity.
The District is able to refinance the lease/purchase agreement on the District Office/Ozark Innovation Center to a non-taxable lease purchase since tenants have left, which decreases the interest rate. By extending the duration of this lease purchase, the District is able to receive an additional $4 million with minimal impact to the annual budget.