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Commissioner Hovis - Financial and Management Services - Finance - To Appropriate Interest Earnings on the 2023 Bond Anticipation Notes (BANs) for Gaston County Schools to Spend on Facilities ($4,155,000)
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STAFF CONTACT
Kyle Sutherland - Finance - 704-866-3130
BUDGET IMPACT
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Education Capital Fund: Increase interest revenue and BAN expense budget by $4,155,000.
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BACKGROUND
The Board of Education budgets the use of bond funds and the Gaston County Commissioners approves the use of these funds. The bond interest earnings bear the same obligations and restrictions as the bond proceeds from which they are derived. The unspent accrued interest on the 2023 Bond Anticipation Notes (BANs) is as follows:
$3,135,558.30 FY24 Interest Received
$ 900,076.42 FY25 (July - March) Interest Received
$ 119,365.28 FY25 (April - June) Estimated Interest
This Board Action, if approved, authorizes the Board of Education to use the $4,155,000 for various school capital projects within the County. It also approves the authorization to be effective in FY2025 to allow payment of invoices yet to be submitted for reimbursement.
If the actual interest received in April - June of 2025 is less than estimated ($119,365.28), these funds will not be eligible for spending by Gaston County Schools.
POLICY IMPACT
N/A
ATTACHMENTS
Budget Change Request (BCR)