The Board of Education of Bellaire Public School District is proud to announce the successful sale of its 2015 Refunding Bonds. The Bonds were issued for the purpose of refunding the School District’s 2006 School Building and Site Bonds. This refinancing reduces the School District’s payments by approximately $1,230,000 for the taxpayers and will occur through lower debt payments over the next 21 years.
In preparing to sell the 2015 Refunding Bonds, the School District requested that Standard & Poor’s Ratings Services (“S&P”) evaluate the School District’s credit quality. The School District maintained their S&P rating of “A-“. The rating agency cited the School District’s very strong tax base and strong reserve levels as a percentage of expenditures in their rationales for maintaining the School District at their current rating.
The Board of Education should be commended for their fiscal responsibility. Due to their fiscal management, the District received a sound credit rating which manifested into a competitive market for the purchasing of the bond.
The School District’s financing was conducted by the investment banking office of the brokerage firm, Hutchinson, Shockey, Erley & Company, the financial advising firm, Public Financial Management, Inc. and the law firm serving as bond counsel, Thrun Law Firm, P.C. The School District’s 2015 Refunding Bonds were sold at a true interest rate of 3.52% with a final maturity of 2036.