YORK City boss Gary Mills is hoping the sale of midfielder Jonathan Smith to Swindon Town will help him recruit important transfer targets.

Smith has been sold to the League Two side, now managed by former West Ham midfielder Paulo di Canio, for £30,000 and the Minstermen chief intends to invest that money back into his team.

Former Forest Green midfielder Smith made 44 appearances – nine from the bench – for the Bootham Crescent club last season and scored five goals, making him the club’s fourth-leading marksman behind strikers Michael Rankine, Jamie Reed and Leon Constantine.

He still had a year left to run on his City contract but Mills decided not to stand in the Preston-born 24-year-old’s way, saying: “I’m disappointed to lose him because he was part of my plans for next season but they offered money for him and I then had to make a decision.

“It’s a chance for Jonathan to play in the League and I felt it was also a decent deal for us. It’s one that might enable me to move forward on a couple of my transfer targets and I’m waiting for an answer from one player at the moment.”

Smith was cautioned in his last five appearances for the Minstermen and finished the season with the club’s worst disciplinary record of two red cards and 11 yellow.

About his contribution in 2010/11, Mills added: “He did well. He wasn’t in the side when I arrived at the club but came in and played in the majority of matches for me.

“He enjoyed playing for me and I could not fault his desire for the game. The only down side was that he did pick up too many bookings, red cards and suspensions.”

Smith’s departure leaves Scott Kerr and Andre Boucaud as the only recognised central midfielders on City’s books and Mills admitted: “We will need to replace him now and I am targeting two midfielders.”

The move has not, however, prompted offers of new deals for out-of-contract midfield pair Levi Mackin and Neil Barrett with Mills saying: “Their situations remain the same.”

City are still interested in Luton Town striker Jason Walker but, while there has been no further movement on that front, Mills revealed that he may step up his pursuit of a Rushden player now that the Northamptonshire club have been demoted from the Blue Square Bet Premier for financial reasons.

He said: “Before that even happened, there was a player I was interested in there, so I wouldn’t say no to making further inquiries now.”

The decision on Rushden was made at the Conference’s annual general meeting, where it was also confirmed that the 2011/12 fixtures will be released on Tuesday, July 5, with the season kicking off on Saturday, August 13.

Meanwhile, Mansfield have bolstered their attacking options with the signing of Forest Green forward Ross Dyer.

Gavin Caines has also left the New Lawn club after coming to the end of his contract.

Newport have recruited former Northern Ireland international Tommy Doherty following his release by Bradford City.

Elsewhere, ambitious Fleetwood Town have added Grimsby Town captain Rob Atkinson to their ranks and midfielder Kieron Murtagh has joined Cambridge United after playing for Wycombe last season.