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Cherokee Public Schools accepts low BOK bid for $750,000 building bonds and approves issuance, tax‑exempt designation
Summary
The Cherokee Public Schools board accepted a low bid from BOK Financial Securities for a $750,000 series of building bonds, approved the formal bond issuance resolution and designated the bonds as general obligation tax‑exempt; all motions passed unanimously.
The Cherokee Public Schools Board of Education accepted the low bid from BOK Financial Securities for a $750,000 series of building bonds, approved a resolution to provide for issuance of those bonds and designated the bonds as general obligation tax‑exempt obligations, the board voted during its regular meeting.
A presenter for the district reviewed the bond schedule and said the $750,000 being sold is one series from a 2017 voter‑approved $7.5 million building bond authorization that the district has been selling over a 10‑year schedule through 2027. The presenter said the district already completed the bond projects and will use the new proceeds to repay a prior lease or loan used to build the projects.
The presenter described two bids for the $750,000 sale. Exchange Bank (Skytook) submitted a bid with no premium, a stated net interest cost of $67,500 and a 4.50% nominal rate. BOK Financial Securities (Bank of Oklahoma) submitted a bid with a premium reported in the record as $1,657.50, a net interest cost of $62,092.50 and an average net rate of about 4.1395%, which the presenter described as the lowest net interest rate.
Board members moved and seconded motions to (1) accept the low bid from BOK Financial Securities for agenda item 4, (2) approve the long form resolution providing the legal authority to issue the bonds (agenda item 5), and (3) designate the bonds as general obligation tax‑exempt obligations (agenda item 6). Each motion carried on recorded roll calls with the following board members recorded as voting yes: Poe; Gibson; Collins; Parker; Michael. No no votes, abstentions or recusals were recorded in the meeting record provided.
The presenter noted the district set an estimated annual tax collection schedule shown on the bond sheet (the presenter read an estimated annual collection near $795,000) and said both bids came in at or below the district’s premeeting estimate so the district expects to remain at or under the target millage used for the schedule.
The presenter also compared the district’s result to recent comparable Oklahoma school sales and said the district’s rates fall within the local market activity the presenter tracks. The district’s paperwork related to the bond sale and tax‑exempt designation was signed after the meeting, per the record.
Votes at a glance: the motions related to the bond sale, the bond issuance resolution and the tax‑exempt designation were approved unanimously (5–0) by the board members recorded in the transcript.
The board will receive the sale proceeds in July and will apply them to repay the existing loan/lease purchase used to complete the bond‑funded projects.
