DCCC to raise room and board, refinance dorms, SAC
The Dodge City Community College voted on financing changes in the upcoming years, starting with the refinancing of Industrial Revenue Bonds, as well as rates on room and board.
Trustees voted to refinancing of Industrial Revenue Bonds for the dormitory revenue bonds. It will refinance the Sheldon Hall dormitory financing and City of Dodge City for the student activities center.
The savings in refinancing will be for 20 years from 1.3% to 3.3%, with front-end savings of $502,000, including debt service reductions for the student housing project.
Savings for the student activities center would be tail-end savings of 1.3% to 1.9% interest rates, with dollar savings of $133,000.
"Because next year or year after the residential hall fund is about a million a year if you total the three together, but will go into the deficit," Forgey said. "We haven't been raising residential hall rates and have not been filling the residential halls quick enough to replenish the funds to pay the bond debt. So if we don't take up front savings, that fund will go into the deficit next year. We need a couple years to raise the rates to get those residential halls full to get that fund back healthy again."
According to DCCC President Harold Nolte, there was no money raised for the student activity center when it was built and opened in 2016.
"That's what we are trying to recover from," DCCC trustee Gary Harshberger said.
Trustees voted 7-0 to approve the bond refinancing.
Trustees also voted on raising room and board rates for students.
The increase would be $100 per semester per student, going to $3,600 on the high end and $3,250 on the low end per semester.
"That will put us in the middle compared to our competition and keeps us competitive," said Jay Kinzer, DCCC vice president of student affairs and risk management.
Trustees approved the increase with a 7-0 vote.
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