Calexico Unified Board Member Joong Kim was the dissenting vote on both items.
The resolution was passed increasing a Tax Revenue Anticipation Note short-term loan by $6 million with an amendment that anywhere in the document that referred to $10 million total issuance for the 2011-2012 school year be corrected to $11 million.
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Calexico Unified issued $5 million in TRAN on July 1 in anticipation of cash flow deficiencies but didn’t draw on the funds, repaid them and those funds are no longer available for fiscal year 2011-2012.
The board voted on increasing the TRAN issuance in January but needed to revote on it since “the underwriter advised that, due to the district’s negative fiscal status, it needed to purchase its TRAN through an alternatively rate market,” according to the item’s backup information.
Calexico Unified business manager Mei Randle said she recommended approving the resolution Thursday since the process would cause it to be “cutting it close to receive funds by June,” if approved at a later date.
Interest on the TRAN is estimated to be at least $25,000 and must be repaid with the loan.
Associated Calexico Teachers President Enrique Cervantes said that while he understands the cash flow concern, he hopes that this time the district uses the loan funds and not just pay interest on it like the previous $5 million.
Staff Writer Chelcey Adami can be reached at 760-337-3452 or email@example.com