Steel Valley directors to terminate participation in interest rate swaps on debt
Steel Valley school directors have adopted a resolution that will terminate the district's participation in interest rate swaps on debt.
“These instruments have uncertainty,” said Superintendent Edward Wehrer, who called for the termination.
While the district said it currently earns about $42,000 annually and has made about $500,000 since it started participating in the investment tool based on fixed and floating interest rates nine years ago, Wehrer said market fluctuation could put taxpayer dollars at risk.
All school directors except Michael Terrick supported the resolution.
Terrick said he wanted additional time to study the issue.
Terminating the swaps could cost the district as much as $199,000, with up to $150,000 in penalties being paid to Deutsche Bank and Bank of America for early termination contracts the district has with those banks. The district expects to pay about $49,000 in fees for the termination.
In other business, the school board gave final approval to hiring John Zenone as the district's business manager at a rate of $106,000 annually. Zenone, who will serve as director of operations, board secretary and right-to-know officer for Steel Valley, was awarded a four-year contract that includes annual raises of up to 1.6 percent.
Eric Slagle is a staff writer for Trib Total Media. He can be reached at 412-664-9161, ext. 1966, or firstname.lastname@example.org.
Show commenting policy
TribLive commenting policy
You are solely responsible for your comments and by using TribLive.com you agree to our Terms of Service.
We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.
While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.
We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers.
We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.
We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.
We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.
We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.
- Ex-White Oak animal shelter VP sentenced to jail on theft charges
- Push to honor coach spurs plans for West Mifflin Area hall of fame
- Women’s health the focus of 2nd annual Head to Toe
- Man found shot in McKeesport
- Pleasant Hills man charged with possession of child porn
- Stamp Out Hunger’s haul to assist Western Pennsylvania food banks
- McKeesport’s Renziehausen Park to get water attraction
- Annual councils of government dinner focuses on Mon-Yough unity
- Lincoln gets AEDs with grant
- Manufacturing tops new jobs in region
- McKeesport candidates to be featured at annual NAACP forum