Berkeley Heights School District Secures Bond Sale at 3.77%, Below Projected Rate

BERKELEY HEIGHTS, N.J. — Berkeley Heights Public Schools completed the sale of referendum bonds April 30, securing a true interest rate of 3.77% — more favorable than the 4.15% rate projected in referendum materials presented to voters.The district received seven bids in the sale, of which four were deemed compliant. Three bids submitted by UBS Financial Services, Mesirow Financial and Wells Fargo were rejected as non-conforming because they exceeded allowable premium limits established in the bid specifications.Raymond James and Associates was awarded the bond sale as the lowest true interest cost bidder."The 3.77% is a better rate than the 4.15% that was assumed in the referendum materials," said board member and Finance and Facilities Committee member Natasha Joly at the May 6 board meeting. "It's a little bit of a break for the taxpayers — small, but still better than getting it above 4.14 or 4.15%."Bond funding is expected to occur in mid-May. The district said central office is now focused on project scheduling, financial planning, stakeholder coordination and preparing for the next phases of design and implementation of referendum projects.The Finance and Facilities Committee, which reviewed the bond sale results at its May 1 meeting, also addressed a related matter: the approval of special bond counsel to review bid documents and contracts connected to the referendum, at a rate of $185 per hour not to exceed $20,000 for the 2026-27 school year.