Vermillion among 13 districts to receive bonding authority under federal stimulus plan

Vermillion among 13 districts to receive bonding authority under federal stimulus plan Thirteen South Dakota school districts, including the Vermillion School District, have been approved for $29 million in bonding authority to raise funds for construction or rehabilitation projects as part of the American Recovery and Reinvestment Act.  "This new bonding program gives school districts a remarkable opportunity to complete school modernization projects during tough economic times," said Gov. Mike Rounds. "These projects will be a boost to the construction industry and help keep people at work in communities across South Dakota."  The ARRA, or federal stimulus initiative, created a new financial instrument called the Qualified School Construction Bond. With this new instrument, school districts basically receive interest-free loans to complete modernization projects, and their lenders get tax credits.  QSCB funds may be used for two main purposes: (1) to construct, rehabilitate or repair public school facilities; (2) to acquire land on which school facilities can be constructed.  Twenty-four school districts applied for bonding authority under the federal stimulus program.  The state Department of Education plans to allocate 2010 bonding authority for the remaining 11 districts as soon as it becomes available.  Approved for bonding authority – 2009 Aberdeen School District: $2.8 million Custer School District: $3.0 million Freeman School District: $2.7 million Gettysburg School District: $1.5 Groton Area School District: $2.0 million Hanson School District: $330,000 Highmore-Harrold School District: $2.0 million Mitchell School District: $2.5 million Tri-Valley School District: $4.5 million Vermillion School District: $757,000 Warner School District: $1.1 million Wolsey-Wessington School District: $3.1 million Yankton School District: $2.8 million