School district refinancing its debt

The Elk River Area School District is looking to take advantage of lower interest rates to save money on its debt repayment.

The School Board approved two issues of bonds unanimously Monday night. The bonds will reduce the amount the district has to pay on debts by a total of about $1.3 million over the next 10 years or so. One issue of $2.55 million in general obligation refinancing bonds will reduce the district’s debt on a 2009 bond issue by $500,000 over 11 years, starting with the taxes payable in 2018 and continuing to 2029. The second issue of $6.55 million in general-obligation alternative facilities bonds will save $838,000 over 10 years, beginning in 2019.

Both issues will reduce the amount of money the district needs for its debt service tax levies, district documents said.