Johnston receives $85M bond for school improvements
JOHNSTON, R.I. (WLNE) — The Rhode Island Health and Educational Building Corporation issued an $85 million bond to Johnston last week.
The bond will go towards school facility improvement throughout the district.
Johnston residents voted to approve $215 million in funding for school improvements back in April.
Mayor Joseph Polisena explained in April that the plan wouldn’t cost homeowners a dime. The town would borrow the $215 million with a 56% reimbursement from the state. The rest of the money, about 95 million dollars, would come from taxes — but the mayor says the town has it covered.
The bond from RIHEBC will go towards phase one of the town’s school improvement plan.
“RIHEBC is pleased to provide the town of Johnston with bond financing for district-wide school facility repairs and upgrades,” said RIHEBC executive director Kim Mooers.
“This $85 million bond issue was sold to investors at a premium of $8.5 million, generating a total of $93.5 million to pay for Phase 1 of Johnston’s school facility improvement plan. The 30-year bond has an all-in cost to borrow of 4.63%,” Mooers explained.