MSBA Expedited $200 Million in Payments to 126 Cities and Towns for School Projects

State Treasurer Steven Grossman, Chairman of the Massachusetts School Building Authority (MSBA), and Jack McCarthy, MSBA Interim Executive Director, announced that the MSBA has expedited over $200 million in payments to 126 cities, towns and regional school districts, , for school building projects that were approved under the former school building assistance program administered by the Department of Education. The MSBA is able to make these payments up to six months ahead of schedule because of its effective fiscal management.

Canton's is receiving $458,345 for building projects.

The accelerated payments are intended to assist communities with increased investment earnings, and may also reduce short-term local borrowing costs related to cash flow needs during the remainder of Fiscal Year 2012. The MSBA anticipates that this initiative will serve as a useful tool to assist communities with meeting cash flow needs in this challenging economy. 

“I am delighted that, as a result of responsible management and strong fiscal stewardship, the MSBA has the flexibility to expedite payments to communities and districts, providing them with much needed financial relief,” Treasurer Grossman said.  “Beyond these significant savings, however, these funds translate into critical school projects that will help Massachusetts students thrive and excel in top-notch learning environments.”  

“By accelerating these payments, the MSBA is providing cash flow to municipalities in these difficult economic times and allowing communities the opportunity to increase their investment earnings,” said MSBA Interim Executive Director Jack McCarthy.

Through strong fiscal oversight and programmatic reform, the MSBA has made over $8 billion in reimbursements to cities, towns, and regional school districts for school construction projects.  These timely payments have saved municipalities over $2.9 billion in avoided local interest costs and have provided much-needed cash flow to communities.

The MSBA strives to find the right-sized, most fiscally-responsible, and educationally-appropriate solutions to create safe and sound learning environments.  It is committed to protecting taxpayer dollars by improving the school building grant process and avoiding the costly mistakes of the past in the funding and construction of schools. 

-Press release contributed by the MSBA.