RandomGuy
03-13-2012, 12:53 PM
YAY CMCISD!!!
— San Marcos CISD took advantage of historically low interest rates to save $5,114,489 over the next 18 years or roughly $284,000 annually, district officials aid Monday.
The district's 2004 and 2005 existing bonds carried interest rates of 4.15 percent to 5.25 percent.
Officials said it presented them with the opportunity to refinance the debt to a “true interest cost” of 2.564 percent last week.
The district's finance committee began monitoring the savings possibility in 2010, and trustees approved a parameters order in January authorizing staff to approve final terms as soon as the district and market were ready for the sale of bonds.
The committee is composed of district administrators and trustees Kathy Hansen, John Crowley and Margie Villalpando.
“I appreciate the work that was done by the previous administration and specialized public finance toward identifying the possible savings. The current market conditions and the parameter order approved by the board, allowed us to act in a timely manner to achieve greater savings than anticipated, without extending the life of the debt,” Jason Gossett, assistant superintendent of Business and Support Services, said.
Moody's Investors Service rated the district bonds Aa3 and also assigned the highest rating of Aaa by virtue of the Permanent School Fund guarantee issued by the state of Texas to school district bond issues.
The district rating took a number of factors into consideration, including financial condition and performance of a multi-year period, debt burden and district management. The ratings are used by investors to help decide whether to buy bonds, or long-term debt.
Hopefully they can keep from having to let any more teacher go.
You should push your local school district to look into this as well.
Demand for good muni debt is really high, so the rates are awesome, as this rather plainly shows.
— San Marcos CISD took advantage of historically low interest rates to save $5,114,489 over the next 18 years or roughly $284,000 annually, district officials aid Monday.
The district's 2004 and 2005 existing bonds carried interest rates of 4.15 percent to 5.25 percent.
Officials said it presented them with the opportunity to refinance the debt to a “true interest cost” of 2.564 percent last week.
The district's finance committee began monitoring the savings possibility in 2010, and trustees approved a parameters order in January authorizing staff to approve final terms as soon as the district and market were ready for the sale of bonds.
The committee is composed of district administrators and trustees Kathy Hansen, John Crowley and Margie Villalpando.
“I appreciate the work that was done by the previous administration and specialized public finance toward identifying the possible savings. The current market conditions and the parameter order approved by the board, allowed us to act in a timely manner to achieve greater savings than anticipated, without extending the life of the debt,” Jason Gossett, assistant superintendent of Business and Support Services, said.
Moody's Investors Service rated the district bonds Aa3 and also assigned the highest rating of Aaa by virtue of the Permanent School Fund guarantee issued by the state of Texas to school district bond issues.
The district rating took a number of factors into consideration, including financial condition and performance of a multi-year period, debt burden and district management. The ratings are used by investors to help decide whether to buy bonds, or long-term debt.
Hopefully they can keep from having to let any more teacher go.
You should push your local school district to look into this as well.
Demand for good muni debt is really high, so the rates are awesome, as this rather plainly shows.