Cloverleaf schools expecting $24.4 million state reimbursement from building projects

WESTFIELD TWP. — The Cloverleaf local school district is expecting to receive approximately $24.4 million from the state later this year through the Ohio Facilities Construction Commission reimbursement program following the completion of recent construction projects. Treasurer Jim Hudson discussed the anticipated reimbursement during a Board of Education meeting Wednesday, referring to it as a major financial opportunity. Hudson said the district is considering investing the reimbursement funds as opposed to immediately paying off outstanding debt. Under the proposal, the district would use investment earnings to help cover annual debt payments while preserving the principal balance. "We could potentially earn more money than what the interest is actually costing us on this overall debt," Hudson said to the board. According to the district projections presented during the meeting, investing the funds at current interest rates could generate around $880,000 during the first year. Hudson also mentioned this strategy would free up sales tax revenue currently tied to debt payments and redirect those dollars towards permanent improvement projects, which will include building maintenance, buses and future infrastructure needs. Superintendent Daryl Kubilus said the district has been preparing for the reimbursement for many years now. "For every 71 cents we spent on the elementary school, as well as the middle and high school building right here, the state pays 29 cents," Kubilus said to the board. The board also highlighted that the district is not planning to seek additional revenue from taxpayers before 2032. The district is expecting to receive the reimbursement sometime between August and September, though it was noted that the district will continue to review investment and debt repayment options moving forward, according to Hudson. Contact reporter Sam Russ at (330) 491-6962 or sruss@medina-gazette.com.