Minooka CHSD 111 board approves roughly $54 million in general‑obligation school bonds

The Minooka Community High School District 111 Board of Education on Jan. 29 approved a resolution to issue approximately $54,000,000 in general‑obligation school bonds, series 2025, to increase the district’s working cash fund and to pay claims against the district. The board also authorized the levy of a direct annual tax sufficient to pay principal and interest and authorized the sale of the bonds to Stifel, Nicolaus & Company, Incorporated.

The approval came during a special meeting called specifically to finalize the bond sale. Anne Noble, representing Stifel, provided the board a market summary and said the sale “went exceptionally well,” reporting high investor demand and final pricing that outperformed earlier conservative estimates. The district will receive $52,000,000 in project funds under the final structure, Noble said.

Why it matters: The bond sale will replace previously issued debt certificates the district used for near‑term financing and will fund district working cash. District officials said accelerating the bond sale and approving documents at the special meeting reduced interest expense tied to the debt certificates.

Noble told trustees the underwriter received heavy orders — including bids from national accounts such as Bank of America, PIMCO, Vanguard and Northern Trust — which allowed the underwriter to reduce yields across the maturity schedule. Final yields resulted in a lower blended interest cost than the conservative 5% estimate used in earlier planning; Noble summarized the final interest as 3.37% on the structure presented to the board. Total debt service (principal plus interest) for the offering is about $66,800,000 on roughly $52,000,000 borrowed under the final structure.

The district’s modeled tax levy for repayment was described as “flat” compared with prior projections. Noble and staff presented a tax‑rate example of roughly 41.5 cents (0.415) per $100 of equalized assessed value in the district’s model; the presentation noted that projected EAV growth would likely reduce the levy over time. The bonds include an optional call provision beginning in 2032.

Board action and next steps: Trustees voted in favor of the resolution by roll call during the special meeting; the board president and superintendent will sign a document that, the underwriter said, will lock in the interest rates. Noble outlined a closing timeline: bond counsel will deliver final closing documents for signatures by the board president, secretary and treasurer, then the county will be notified and the district will receive a final $15,000,000 construction disbursement on Feb. 20 (as described in the underwriter’s presentation).

Quotes and attribution: Anne Noble, municipal finance representative for Stifel, said during the presentation, “We did price the bonds today that will replace the debt certificates and also fund [the] working cash fund. The sale went exceptionally well.”

Context and clarifications: Board members were told earlier debt certificates were costing the district approximately $35,100 in interest expense per day; trustees were told that holding the special meeting to complete the bond sale produced roughly $50,000 in savings by replacing that short‑term financing. The underwriter presented comparative spreads to the MMD municipal index and said the district’s spreads were between 29 and 35 basis points over the index, which the presentation identified as favorable relative to comparable recent Illinois transactions.

What the action does not do: The board’s approval authorized issuance and sale subject to required closing documents and signatures; the transaction was described by the underwriter as “not final until you approve that resolution” and until closing paperwork is signed and filed. No construction contracts, project scopes, or appropriation amendments were adopted at the meeting beyond authorizing the bond issuance and related paperwork.

Ending note: Board members completed the roll call vote and recessed into an executive session later in the meeting; the financing and the strategic‑planning discussion were the principal items of the special session.