Bonds to finance several public school construction projects are now on the market. The bond sales will provide $11.1 million to Cabarrus County Schools and $3.5 million to Kannapolis City Schools. Since Cabarrus County is paying all closing costs, both school systems will have full access to their monies allocated by the State of North Carolina.
Cabarrus County secured a 5.3 percent interest rate for the $14.6 million sale. The annual interest cost to Cabarrus County will be $5,200 over the 15-year term loan. The County will pay $1.3 million in annual principal payments beginning in April 2016.
These Qualified School Construction Bonds, authorized by the American Recovery and Reinvestment Act of 2009, are structured with two bullet maturities with one maturing in April 2023 and the other maturing in April 2026.