Greater Latrobe gains $2K in tax settlement, considers bond refinancing
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The Greater Latrobe School District will see a slight increase in revenue as a result of settling a property tax appeal.
Officials hope to know by May whether refinancing some bonds could produce a substantially larger financial benefit for the district.
The school board this week approved a tax appeal settlement for two residential parcels in Unity.
“We settled at about 90% of their fair market values, which will generate an additional $2,400 per year,” said Dan Watson, the district business administrator.
The settlement was recommended by Pittsburgh law firm Andrews & Price. It does not involve action by any other local taxing body, according to Watson.
The school board also authorized Watson to consult with PFM Financial Advisors to explore options for possible refinancing of $7.4 million in outstanding bonds issued in 2017.
“I’ll report back to the board if there are any savings at all,” Watson said. “Right now, the market is just all over the place,” in response to multiple factors including the Russian invasion of Ukraine.
“The rule of thumb is to consider refinancing if the net savings exceeds 2%, which is around $149,000,” he said.
The call date for the bonds isn’t until Oct. 1, but Watson said, “We want to start working on it now.”
Electricity contract eyed
Watson was authorized to sign a new electricity contract for the district. Greater Latrobe will “continue to use the services of KEYTEX Energy to manage the execution of the most favorable price points possible,” Watson wrote in a memo.
The district’s current electricity contract with Direct Energy expires on May 1, so action will be needed before the next school board meeting.
“I can’t wait for a board meeting,” Watson said. “They’re not going to hold the rate. That’s why they’re giving me approval to go ahead, as along as it’s a competitive offer.”
Since electricity rates have spiked, Watson noted, the district may want to approve a relatively short length for the new contract.
“I don’t want to lock it in at a higher rate and then have it come back down where we think it should be,” he said.
Roof work OK’d
The board awarded a contract to Garland/DBS of Cleveland for repairing leaks in a section of the junior high roof, at a cost of just under $160,000, and replacing an older portion of the senior high roof, above the auditorium and entry commons, for about $1.5 million.
The work at the senior high will complete a multi-phase effort to update sections of the roof that was last renovated in 2004.
School board member Heidi Kozar said the senior high roof has been replaced “in bits and pieces, primarily because of how much it would impact the students. We did the worst part first.”
She said the cost for the project was reduced because part of the roof remains under warranty.
District events noted
Upcoming events as the school year winds down include:
• Senior high band concert, Tuesday, May 10, and senior high chorus concert, Thursday, May 12. Each begins at 7 p.m. in the senior high auditorium;
• Prom, Friday, May 13, with livestreaming planned for the grand march;
• Baccalaureate service, 7 p.m. Tuesday, May 31 in the auditorium;
• Class of 2022 commencement, Wednesday, June 1 at Memorial Stadium, with a livestreaming option planned;
• Last day of instruction, June 1, with early dismissal.
The school board’s next committee of the whole meeting is set for May 10. The regular voting session has been moved back a week, to May 24, because the senior high Center for Student Creativity, where the board meets, will be in use as a polling place for the May 17 primary. Both meetings begin at 7 p.m.