Bill > S0674

This bill authorizes the City of Central Falls to issue up to $15 million in bonds, notes, or other debt instruments to finance school-related infrastructure projects. The bill enables the city to fund construction, renovation, improvement, alteration, repair, furnishing, and equipping of schools and school facilities. The bonds can be issued in various forms, including serial bonds, term bonds, zero-coupon bonds, or capital appreciation bonds, with repayment terms ranging from 5 to 30 years. The city may also issue temporary notes in anticipation of these bonds and can seek additional federal or state funding for the projects. The city's finance director and mayor are authorized to manage the bond issuance, including determining sale details, interest rates, and other financial terms. The proceeds must be used specifically for school facility improvements, paying off temporary notes, covering issuance costs, and potentially capitalizing interest during construction. The bonds will be the city's legal obligation, and the city is required to appropriate funds annually to cover principal and interest payments. Importantly, the bond issuance was previously approved by city voters in a November 5, 2024 election, and the school projects will require approval from the Rhode Island Department of Education to be eligible for potential state housing aid.

Budget and Finance

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