Crowley ISD board approves parameter order to refund bonds, citing roughly $5 million in early savings
Summary
The Crowley ISD Board of Trustees approved a parameter refunding order authorizing issuance of unlimited tax refunding bonds, series 2025. Financial advisers said the refinancing could save the district and taxpayers roughly $5 million, with savings front‑loaded into the first two years; the board delegated pricing authority for up to 365 days.
The Crowley Independent School District Board of Trustees voted to adopt a parameter order authorizing the issuance and sale of unlimited tax refunding bonds, series 2025, a move trustees and staff said is aimed at lowering the district’s interest costs.
Jeff Robert of Hilltop Securities told the board the refunding is similar to refinancing a mortgage: proceeds from new bonds would be used to pay off outstanding bonds at a lower rate. Robert said the proposal could "save upwards of $5,000,000 to Crowley ISD and the taxpayers of Crowley ISD." He described the plan as a "parameter refunding order," which sets limits and lets district officers approve final pricing without requiring a special board meeting on the pricing date.
The district’s presentation identified series 2017 as immediately callable and described a structure that would take most of the savings in the first two years to ease near‑term budget pressures while not increasing payments in any year. Robert summarized key parameters in the proposed order: a maximum principal amount included in the delegation, a minimum present‑value savings threshold (2.5 percent), and a maximum true interest cost (stated as roughly 4.75 percent).
Trustees asked technical questions about maturities and whether refundings could be repeated when other series become callable; Robert explained that refundings are typically available when bonds enter a call window (commonly 10 years from issuance) and that other series could be refunded in future eligible windows.
Trustee June W. Davis moved to "adopt the order authorizing the issuance and sale of Crowley Independent School District unlimited tax refunding bonds, series 2025 as presented." Dr. Nadja Robinson seconded the motion, and the chair announced that the motion passed.
Next steps: staff and the district’s financial adviser will monitor market conditions during the approved delegation period (365 days) and may execute the refunding if the parameters are met. The board did not publish a roll‑call tally in the meeting record; the chair announced only that the motion passed.
