January 26, 2000

Bowling Green, Ky. -- Western Kentucky University's plans to improve student housing moved a step closer to reality Wednesday after the Warren Fiscal Court authorized a bond issue of up to $75 million for the project. The bonds will be sold by the Western Kentucky University Student Life Foundation, Inc.

WKU's Student Life Foundation will sell the revenue bonds, but fiscal court's approval is necessary for the bonds to be tax exempt. The bond resolution requires three readings by fiscal court. Warren County will have no financial obligation in the bond financing.

"We are moving toward an early March date for the transfer of property and bond sale," said Brian Kuster, director of Housing and Residence Life. He said the Foundation anticipates selling $60 million in bonds for the project, of which $23.5 million would be used to retire existing bonds on the buildings. The balance will be used on improvements and renovations.

Last summer, Western's Board of Regents voted to convey most of the residence halls to the Student Life Foundation as a part of this innovative financing plan. Western's Department of Housing and Residence Life will continue to manage the student housing facilities.

"Western students won't see any changes in the day-to-day operation. What they will see are significant renovations and improvements," including an accelerated schedule for the installation of sprinklers in all residence halls," Kuster said.