Boone Central Board receives finance projections on project

Excavation and demolition work were underway last week for the new Boone Central Middle School in Albion.
Boone Cenral School Board received financial projections Monday night, Nov. 9, for the lease-purchase agreement on the new middle school project.
Total project cost is $3,981,091, and with insurance, lease counsel and placement agent fees, the total expenditure is $4,049,000.
Lease payments are planned over seven years at 1.1 percent interest.
Superintendent Nicole Hardwick reported the district’s placement agent, D. A. Davidson, had sought competitive interest rates from all banks in Albion and Petersburg. The lowest bid of 1.1 percent was submitted by Cornerstone Bank, which will finance the lease.
Lease payments will begin on December 1, 2021, with the initial payment of $560,000 due on that date. Payment amounts will increase each year, reaching a total of $597,000 on the final payment date, Dec. 1, 2027. Total interest cost over the seven years will be $180,070.
Complete story in the Nov. 11 Albion News print and e-editions.