RUTHERFORD COUNTY, TN - Like home mortgages, loans of all kinds are seeing a rise in rates. This problem is currently hitting the Rutherford County Schools... That was schools director Dr. Jimmy Sullivan. Construction costs are also up. WGNS asked Sullivan how much higher building costs are...
Loans to build schools in Rutherford County are typically calculated with a 20-year term. That said, if the county borrows $180-million for their next school at 4% interest, the county will end up paying over $80-million in interest over the life of the loan. If the loan came with a 2% interest rate, it would equal $38-million in interest payments - a difference of $42-million. The monthly payment on $180-million at 4% interest equals $1,083,993, which almost $175-thousand higher than the same loan at 2% interest.
Rutherford County Schools will request bids for construction this December for a new elementary school on the Batey Farm property in the Blackman community. Dr. Sullivan stated...
In addition to the construction of a new school, the county is in the process of a major rezoning project. WGNS will continue to follow both rezoning and new school construction in the weeks to come. Hear more about this stroy by clicking the PLAY button above this article.
