The Niles Community Schools Board of Education voted unanimously in favor of pursuing a federal loan through the U.S. Department of Education for $2 million to be borrowed against the district’s sinking fund for district improvement projects.

“This is a federal loan,” Supt. Richard Weigel said after the meeting.

Originally, the district had planned to borrow against the sinking fund from United Federal Credit Union, but found an advantageous deal through the federal government.

The loan, called a Qualified Zone Academy Bond, will be borrowed at zero percent interest and is expected to fund a number of projects throughout the district.

Weigel said earlier this month those projects would include improving the parking situation at Howard Elementary School and to aid renovation at Niles High School for the New Tech Entrepreneurial Academy.

Following the vote Monday night, Weigel gave a breakdown of where the funds will be allocated:

• New Tech Entrepreneurial Academy, $900,000

• Howard Elementary School parking, $100,000

• New Tech furniture, $20,000

• New Tech computer equipment, $100,000

• T12 to T8 districtwide lighting conversion, $600,000

• Improvement to Niles High School serving lines, $20,000

• Niles High School Cyber Cafe, $80,000

• Eastside Connections School, $180,000

Each year the district receives $550,000 in sinking funds for improvement projects. With the loan, the district will essentially receive an estimated $264,000 annually until the balance is paid off.