EDITOR'S NOTE: This story has been edited to delete reference to Trustee John Alpay's campaign website and add references to a second refinance effort scheduled for November. In addition, Las Flores and Capo Valley High schools act as collateral on the bonds, which were used mostly to build the district headquarters.
Just like homeowners, officials at Capistrano Unified School District are looking to ride the refinance wave, too.
On the Board of Trustees agenda Wednesday is an item that would refinance bonds purchased in 2002, which could save the district $2.2 million in present-day value from its payments through the end of the term in 2025-26, according to a staff report.
Annual savings could help the cash-strapped school district save $195,000 a year, the report says.
In 2002, the district took out $31.9 million in what’s called “certificates of participation,” which are not unlike a mortgage, to pay for consruction of the district headquarters and the pool at Capistrano Valley High.
Collateral for the bonds are Las Flores Elementary and Middle and Capo Valley High. They have a remaining principal of about $23 million.
The staff report does not indicate the rate the district will be receiving. The district first heard a presentation about refinancing the bonds in May.
The board will also consider refinancing Measure A bonds at a meeting in November.
The district is looking at cutting $31 million by next school year if Prop. 30 passes, and $52.5 million if it doesn’t.
The board meets at 7 p.m. Wednesday at the district headquarters, 33122 Valle Road in San Juan Capistrano.