axahachie INDEPENDENT SCHOOL DISTRICT Long Range Facility Planning Committee Presentation October 2, 2014
BOND MARKET UPDATE
3Southwest Securities
4 Current Bond Market Conditions Permanent School Fund Guaranteed AAA Market Approximate Yields to Maturity: 1-year = 0.25% 5-year = 1.15% 10-year = 2.35% 15-year = 3.30% 20-year = 3.70% 25-year = 4.00% 30-year = 4.20%
VOTED BOND DEBT SERVICE
6Southwest Securities
HISTORICAL STATISTICS
8Southwest Securities Recent Bond Election History
9Southwest Securities Recent Bond Rating History
10Southwest Securities Recent Bond Refunding History
11 Taxable Value History
12 Tax Rate and I&S Fund Balance History
13Southwest Securities Surrounding District Comparison
PRELIMINARY BOND PROGRAM ANALYSIS
15Southwest Securities Preliminary Bond Program Analysis Scenario 1: $85,000,000 Structured for Level Total Debt Service Assumptions: Taxable Value – Assumed to Remain Constant at $2.95 Billion Use of TRE Revenues – Assumed to be $3,790,000 Per Year Interest Rate – Assumed to be 4.25% Amortization – Assumed to be 30 Years Tax Collection % – Assumed to be 99% Result: I&S Tax Rate = 37.0 (An I&S Tax Rate Increase of )
16Southwest Securities Preliminary Bond Program Analysis Scenario 2: $100,000,000 Structured for Level Total Debt Service Assumptions: Taxable Value – Assumes 5.00% Growth Per Year for 3 Years Use of TRE Revenues – Assumed to be $3,200,000 Per Year Interest Rate – Assumed to be 4.75% Amortization – Assumed to be 30 Years Tax Collection % – Assumed to be 99% Result: I&S Tax Rate = 37.0 (An I&S Tax Rate Increase of )
17Southwest Securities Tax Impact Chart
18Southwest Securities Preliminary Bond Program Analysis Scenario 3: $133,000,000 Structured for Level Total Debt Service Assumptions: Taxable Value – Assumed to Remain Constant at $2.95 Billion Use of TRE Revenues – Assumed to be $3,200,000 Per Year Interest Rate – Assumed to be 4.75% Amortization – Assumed to be 30 Years Tax Collection % – Assumed to be 99% Result: I&S Tax Rate = 50.0 (An I&S Tax Rate Increase of )
19Southwest Securities Tax Impact Chart
BOND ELECTION TIMING
21Southwest Securities Bond Election Timing May 9, 2015 Board Action to Call for the Bond Election On or Before February 27 th Early Voting April 27 th through May 5 th Bond Election May 9, 2015 Canvass Bond Election Results May12 th through May 20 th 30-Day Contest Period 30 Days from the date the Board Canvasses the Bond Election Results Sell the Bonds Mid-July through Mid-August