The Gardner Edgerton School District’s bond rating has been reduced, according to a recent Standard and Poor’s report.
The Topeka Capital Journal reported that Gardner Edgerton was one of several school districts whose credit ratings were suffering as a result of using reserve funds as a result of state funding constraints.
The report said Gardner’s bond rating has dipped from AA- to A+ in March.
The news comes on the heels of a $72 million bond issue approved by voters in January.
The lower bond rating means interest payments on the bond issue will be higher than anticipated.
The bond projects include a Multi-Purpose Activity Center at the high school, a new elementary school and a new middle school that will be built just east of Center Street and south of Main Street, new turf for the Gardner Edgerton High School football field, renovations at Gardner and Sunflower elementaries, and district-wide technology upgrades, including laptops and audio-visual equipment.
School officials have said the bond issue will not result in a tax increase for at least two years.
However Gardner’s city fees and taxes will likely go up as a result of the city council agreeing to partially fund sewer upgrades to serve the new schools.
School district’s bond rating takes a hit