Another Bond item-
TIS roofing project is coming along. ...
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Potosi R-3 Bond Update
Our final rates feature an interest rate of 3.00% for maturities March 1, 2021, through March 1, 2024, with reoffered yields ranging from 1.70% to 1.90%. The bonds maturing March 1, 2025, through March 1, 2039, carry a 5.00% interest rate with reoffered yields from the March 1, 2024 call date ranging from 2.00% to 2.35%. This plan produces a reoffering premium of $480,925.50, which produces $60,495 greater revenue than what was projected at the May 30, 2019 board meeting. The average interest rate of 4.898% is unchanged; however, the highest reoffered yield of 2.35% is well below the limit of 2.60%.
Some bond issue roofing projects are already underway at the Elementary School. This is one of four buildings roofing projects that we plan to complete this summer. The bond projects will be completed in phases due to specific need completion times and logistics of the school year.
We are excited to get these projects underway.
A BIG “Thank You” to our community for your support of our children’s education through the bond issue. ...
POTOSI R-III SCHOOL DISTRICT OF WASHINGTON COUNTY, MISSOURI
MAKES GENERAL OBLIGATION BONDS
AVAILABLE TO LOCAL INVESTORS
The Board of Education of the Potosi R-III School District of Washington County, Missouri has instructed its Municipal Bond Underwriter, L.J. Hart & Company of St. Louis, Missouri, to make the $4,700,000 General Obligation Bond Issue available to local individual and institutional investors. "We appreciate the strong vote of confidence we received from local patrons at the election and want the bonds to be available to them," stated Katherine Silvey, President of the Board of Education. These new money General Obligation Bonds were approved by about 78.31% of the voters at the April 2, 2019 election to complete numerous student safety improvements, roof repairs and replacement at each school building. It also will cover handicapped accessibility improvements to the central office and middle school, parking lot paving and drainage improvements, and the installation of air conditioning for the middle school gymnasium and a concrete bus lane at the Trojan Intermediate School.
"Since interest rates with reoffering yields are attractive now and might increase in the future, the Board of Education wants to lock in rates as quickly as possible," stated Superintendent of Schools, Dr. Shawn McCue. "At the same time, we want all local investors, who are interested in these bonds to have an opportunity to purchase them, and we want to alert them in advance of our plans," Dr. McCue continued.
The Board of Education selected the negotiated sale of the bonds in order to capture current market conditions, to be certain that local individual investors and banks receive an opportunity to purchase the bonds, and because the proposed interest rates are fair based upon current conditions in the municipal bond market. Dr. McCue stated that the District will compare proposed interest rates with the national bond indexes, other Missouri issues, and those of other states with a similar rating quality sold at competitive and negotiated sales to be certain that rates for the District’s bonds are favorable.
According to L.J. Hart & Company, the bonds are scheduled to mature from March 1, 2021 through March 1, 2039 featuring interest rates ranging from 3.00% to 5.00% with reoffering yields expected to be between 1.85% and 2.50%. The interest income from the bonds is exempt from federal and state of Missouri income taxes and the bonds are available in $5,000 denominations. These bonds are being sold on a first come, first served basis. Anyone interested in learning more about the Series 2019 Bonds can call the Potosi R-III School District office at (573) 438-5485 or L.J. Hart & Company at (800) 264 4477 to request that a prospectus be promptly mailed to them.
These bonds carry a "AA+" rating from Standard & Poor's Corporation due to the District's participation in the State of Missouri Direct Deposit Program coordinated through the Missouri Health and Educational Facilities Authority.
If interest rates decline in the future, the District can capture the full benefit because some of the bonds have an optional redemption (call) provision on March 1, 2024 at no penalty. The financing proceeds are anticipated to be available to the District by June 27, 2019. ...
Congratulations Lady Trojans Softball Team onward to State semi finals! Go Trojans! ...
