Braintree Chooses Shorter Term Loan For New South Middle School

BRAINTREE, MA — Braintree has chosen a shorter loan repayment schedule to build a new South Middle School following residents voting to approve the $63 million debt exclusion.

Mayor Charles Kokoros said by paying off the loan in 25 years instead of 30, with an interest rate below 2 percent, the town will save about $3 million in interest over the life of the loan.

The savings mean the average annual property tax cost to Braintree homeowners will decrease below the $170 per year previously estimated during the debt exclusion campaign.

On Sept. 26, Braintree residents voted overwhelming to support the debt exclusion to go towards a new South Middle School and other school building projects, according to unofficial results.

Other projects on the ballot included $5 million to replace roofs at elementary schools, $1.5 million for a feasibility study on redeveloping Braintree High School and $1 million for school security improvements district-wide. All the questions saw large support, with all collecting at least 70 percent of the vote.

Kokoros and town Treasurer Barba Walls signed the $51.5 million bond Thursday. The loan was with J.P. Morgan Securities LLC, one of eight bidders on the bond. Another $31 million will come from the Massachusetts School Building Authority.

Kokoros said the town's AA+ credit rating, the second best rating available, helped the town get a low interest rate.

"We would like to thank voters for their support of the Braintree Schools and the proposed improvements that will ensure our school facilities serve our students and faculty well for years to come," Kokoros said in a statement. "We are also excited to share the additional bond signing and rating news with our residents. The AA+ bond rating is a testament to the hard work of our town's financial staff over the years and our continued commitment to sound financial practices."