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Wellsville school board approves deposit call back | News, Sports, Jobs


Staff Report
WELLSVILLE The village school district will front itself $1 million by calling back a million dollar lump-sum deposit.
According to Superintendent Richard Bereschek, board members also approved the call back of a $1 million certificate of deposit before its maturity date to meet January’s obligations until their foundation payments arrive Friday.
A certificate of deposit (CD) is a product offered by financial institutions that provide an interest rate premium in exchange for the customer agreeing to leave it untouched for a predetermined period of time.
Bereschek explained that will include two upcoming payrolls of $250,000, two consortium insurance payments of $200,000 each and four weekly payable runs each totaling $75,000. “Our bank balance has dropped to a little (more than $135,000) and without the money from the CD, we would not be able to meet our obligations,” he explained. ....

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