MISSION: TO SERVE EVERY STUDENT WITH EXCELLENCE AS THE STANDARD

11-20-2007 Leasing Corporation
Agenda Item #3


Title
Issuance of Certificates of Participation, Series 2008

Discussion

Series 2008-A Certificates are being issued for the purpose of financing the costs related to High School CCC, and to pay the cost of issuance with respect to the 2008-A Certificates.  This project was previously approved as part of the FY08 Capital Plan.  The amount of the 2008-A Certificates to be issued will not exceed $59,000,000 in total proceeds.

The underwriting team was previously approved by the Board.  The members of the team are A. G. Edwards, Citigroup, Inc. Raymond James and Wachovia.  A Senior Manager and Co-Managers will be appointed from this group at a later date and will be recommended to the Board prior to issuance of the 2008-A Certificates.

The Board is requested to authorize the Associate Superintendent of Financial  Services or designee to execute the purchase contract and authorize committments under the 2008-A Certificates, on behalf of the School Board.

Pursuant to FS 1011.71, the district is authorized to use up to 75% of its 2.0 mill capital levy to repay prinicpal and interest related to District financings, allowing 1.5 (of the 2.0 mills) for annual principal and interest payments; however, the District's policy has been to restrict principal and interest payments to 1.0 mill or less.  The District's total maximum annual principal and interest payment is estimated to be .9929 of 1 mill after the issuance of the 2008-A Certificates.

Currently, the terms of the Master Lease require payment to the Trustee bank to be paid at least 30 days prior to the due date of the lease payment.  The attached resolutions are being submitted for approval to amend Section 3.1 of the Master Lease, for payment to be made at least 5 days prior to the due date, rather than 30 days prior to the due date.  This amendment has been approved by the credit facility issuers for all of the outstanding certificates, and will, upon Board approval, be applied prospectively for all outstanding certificates and for any certificates issued in the future. 

 



Recommendation

Adopt the attached resolution authorizing the issuance of the Certificates of Participation, Series 2008-A, not exceeding $59,000,000 in total proceeds, for the lease purchase financing of High School CCC.  Approve all other financing documents required to complete the negotiated sale of the Series 2008-A Certificates.

Approve an amendment to the Master Lease for changes in payment terms for the deposit of basic lease payments to the Trustee bank.



Meeting Date(s)
Consent w/o Information - 11/20/2007

Authority for Action
FS Chapter 617, 1000, 1003, and 1013

Involves Expenditure of Funds Directly in the Classroom
No

Source of Funding
Agenda Item will not Require the Expenditure of Funds

FY
Amount
Budgeted
Fund
Cost Center
Project
Function
Object
Program
FY
Amount
Budgeted
Fund
Cost Center
Project
Function
Object
Program

Contact

Jo Ann Clark




Attachment:  Certificates of Participation Series 2008-A.pdf