BUTLER TWP — The Butler County Community College board on Wednesday agreed to a bond issue up to $15 million as part of a capital project.

Earnings taken from refinancing existing bonds will pay the first year’s costs of a new $1 million software system for the college.

“We’ve been proactive,” said Nick Neupauer, BC3 president. “This is a major capital investment and because of careful planning, we’ve been able to finance it in one year rather than three.”

Because of fluctuations in the bond market, an exact figure for proceeds from the refinance is not available. Recently, BC3 would have earned $880,000, said Jim Hrabosky, vice president of finance and administration.

The state Public School Building Authority, the state Department of Education and the Butler County Commissioners all approved the bond issue, as is required by law.

BC3 will retain the financial adviser Public Financial Management to review the structure and timing of the bond sale, per the county’s request.

Pittsburgh investment bankers Boenning & Scattergood will underwrite and coordinate the bond issue.

The new software system will be bought from Datatel, a Fairfax, Va.-based firm that serves the higher-education market.

The new software will manage BC3’s administrative functions, including student loans and financial reports.

Although maintenance costs will run $115,000 annually, up from $100,000 per year now, the college’s existing vendor is leaving the higher education market, Hrabosky said. In addition, the maintenance fee includes upgrades that BC3 pays for now, he said.

Efficiencies in the Datatel system will reduce staff time spent entering some information, which now must be entered twice, and enable financial reports to be printed from desktop computers rather than through BC3’s technology department.