C. 3. Approval to Move Forward with the Voter Approved Issuance of Up to $140 million (par amount) of GO/E-SPLOST Backed Bonds
9/12/2016 – Work/Business
Agenda Item – GO Bonds
A referendum was held on May 24, 2016 wherein the voters of the DeKalb County School District approved the E-SPLOST V program. As part of this approval, the voters approved the issuance of up to $200 million in GO/Sales Tax backed debt, carrying specific principal amortization tranches over the five year life of the E-SPLOST V program. Operations/Facilities and IT have determined a need for up to $140 million of these bonds to be issued during the first quarter of 2017.
It is estimated that to generate bond proceeds of up to $140 million will require annual debt service payments (principal + interest) averaging more than $30 million per year from E-SPLOST V, with the ending principal payment being made July 1, 2022.
Stan Jester (Board of Education)
Is the annual debt service $30 million per year for 5 years?
Michael Bell (Chief Financial Officer)
That is approximate. The highest annual debt service amount is about $35 million per year.
How much is principal and how much is interest? I want to know how much this is going to cost.
The total cost of the issuance under current market conditions is $148 million.
So roughly $8 million?
It depends on how the premium lays into this thing. These kinds of things are marketed with a premium on top of par. You’ll have a $10K bond that will be sold at 105% or 108%.
90% of these bonds are going to pension funds or insurance companies. There is a tax break that those institutions get when they buy these bonds at a premium. These are in high demand and a lot of people will want to get these bonds at more than 100 cents on the dollar. That is where the overall generation of a premium on the overall bond issuance is going to take place.
To produce $140 million, we will have to market $128 million. That would be a $12 million dollar premium that will come in with that. If we sell $140 million we’ll be way up in the 150s.
This is if the premium conditions persist. The short term market would have to take so many hits that the premium relationship would go away. We don’t see that happening. We feel confident that we will continue to have a premium come through with this bond issue.
- Announcement – Compensation & Classification Salary Adjustments
- Update On Phase 2 Salary Steps for All Staff
- Chamblee Redistricting Superintendent Recommendation
- Dunwoody 7-Year Enrollment Forecasts
- 2019 Salary Schedules And Comparison
- New Step Structures for DeKalb Teachers
- 2018 CCRPI
- Chamblee Redistricting Options – Meeting 3
- College Admissions 101
- Graduation Schedule – DeKalb Schools Class of 2019
- DeKalb Schools 2018 CCRPI Scores
- Visitor and Volunteer Policy – Part II
- Chamblee Redistricting Options – Meeting 2
- Make Chamblee Charter HS Better Not Bigger
- Free Speech … For Some At DeKalb Schools … Part II
- DeKalb Schools Visitor and Volunteer Policy
- DeKalb Schools 2018-2019 Calendar
- Make Lakeside HS Better Not Bigger
- DeKalb Schools 2018 Graduation Rates
- Redistricting For Schools in Chamblee & Brookhaven
- News & Updates – 8/30/2018
- Delay in New Austin ES Opening
- School Readiness Report 2018-2019
- GOP Governor Runoff – Kemp has the Mo
- DeKalb Teachers Get a 2.5% Raise And Start Stepping
- July 2018 – New And Open Principal Report
- Chamblee German Teacher Controversy
- June 2018 – New And Open Principal Report
- Dr. Donnie Davis – New Peachtree Charter MS Principal
- TSA & Annexation – Legal Update
- School Councils Are Now Principal Advisory Councils
- City of Brookhaven Not a Fan of Briarcliff HS Site
- Support for DCSD Bus Drivers
- DeKalb Schools FY 2019 Preliminary Budget
- DeKalb Bus Driver Sick Out
- Location of New Cross Keys Brookhaven High School
- Where to Build the New Cross Keys Brookhaven High School
- Policy Input – Magnet Students Participate in Sports
- Dunwoody HS Trailer Park
- Metal Detectors at YOUR School
- Building Additions – Project Plan and Schedule
- Student Protests Wed – The Plan – County by County
- School Safety – What's the Plan?
- News & Updates – 2/23/2018
- DeKalb Schools New Hires
- Mega High School Construction Update
- Virtual Learning Make Up Days
- Adequate Space Requirements For Mega High Schools
- Student Chromebooks – Update
- Survey – Making Up Days Lost to Inclement Weather
- Lakeside HS Council Not A Fan of the Building Additions
- DeKalb Schools Make Up Days
- DeKalb Schools 2018 – 2020 Calendar
- Which DeKalb Schools Are Beating The Odds
- Protesting Cheerleaders at DHS – The Whole Story
- 2018-2020 Calendar Options
- Emergency Weather – What's The Plan?
- Atlanta & Atlanta Public Schools Annexing DeKalb
- Kids Doc on Wheels Medical Van
- DeKalb Schools 2017 Turnaround, Priority & Focus Schools
- Class of 2018 Graduation Ceremonies Schedule
- 2018-2020 Calendar Update
- DeKalb Turnaround Eligible Schools Trends 2015-2017
- DeKalb Schools – Free Speech….For Some?
- Adding Classrooms is Only Part of the Soluion
- DeKalb Schools Enrollment Capacity Data
- Concerns about Lakeside HS Expansion
- DeKalb Schools 2017 CCRPI Trends
- DeKalb Schools Extends Days in November
- 2017 DeKalb Graduation Rates By High School & Demographic
- Emory Annexation and DeKalb County Schools
- DeKalb Schools – Students Kneel During National Anthem
- Teaching Sexual Behavior Standards At School
- Make Up Days – Public Input
- Plan B – Make-Up Schedule
- Make-Up Schedule – DeKalb Schools
- School Make-Up Days
- DeKalb Schools is Back in Business
- School Recovery Report – DeKalb Schools
- Detailed Status Report – DeKalb Schools
- News & Updates – DeKalb Schools – 9/10/2017
- Google Classroom Vs VERGE – Feedback
- Where Is The New Cross Keys HS Going
- Carstarphen And APS Desire To Expand Into DeKalb
- DeKalb Schools Responds To Poor Curriculum, Assessments and Planning Templates
- Feedback – Curriculum & Assessments
- Trailers at Cross Keys High School
- Monday Solar Eclipse – The Plan
- DCSD Home Football Tickets Now Available Online
- New & Vacant Principals & Assistant Principals
- DeKalb Schools Digital Dreamers
- New Laptops For All DeKalb Teachers and Students
- DeKalb Schools Extends School 1 Hour For Solar Eclipse
- Meet DeKalb Schools' New Assistant Principals
- Tom McFerrin, Dunwoody HS Principal, Is OUT
- Meet DeKalb Schools' New Principals
- What is the Purpose of Public Schools
- Principal and Teacher Vacancy Report And Selection Process
- TSA – Summary Judgement
- Billboard Marketing Campaign