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Silver Consolidated Schools reports $6.5 million GO bond sale; $352,000 routed to debt service
Summary
The district presented final terms for its Series 2026 general obligation bonds on Feb. 18, reporting a $6.5 million sale, a $532,000 premium and a true interest cost of 3.56%. Bond counsel said the final term certificate was shared to comply with the Supplemental Public Securities Act.
The Silver Consolidated Schools Board of Education heard a report Feb. 18 on the district’s Series 2026 general obligation bond sale, which produced $6.5 million in par value and generated a premium that will help cover issuance costs and add to debt-service reserves.
Nathan Valenzuela, who presented the pricing details, told the board the district sold $6,500,000 in bonds and ‘‘produced premium of 532,000, which covered all costs, with an excess of 352,000 going into the debt service fund,’’ and that the transaction’s true interest cost was 3.56 percent.
The report included other sale details: Moody’s and S&P each provided ratings for the issue (Moody’s at ‘‘Baa1’’ and S&P at ‘‘A-’’ as presented), total interest over the life of the issue was characterized as ‘‘a little over $2,000,000,’’ and maturities run annually beginning Aug. 1, 2026, with final maturity earlier than the maximum allowed under the board’s authorizing resolution.
Luis Grosko, bond counsel from the Rodey law firm, told the board the final term certificate was placed on the agenda to fulfill the reporting requirement under the Supplemental Public Securities Act after the superintendent set the final sale terms under delegated authority. Grosko highlighted that the par amount matched the board-authorized maximum of $6,500,000, the maximum coupon did not exceed the resolution limit, and the underwriting discount (reported as $33,568, or 0.516 percent) complied with the resolution’s parameters.
Board members asked whether action was needed that evening; counsel and staff clarified no further board approval was required and that the certificate would be recorded in the meeting minutes. Superintendent William Hawkins said he had reviewed the numbers and confirmed they matched the documents presented.
The board did not take additional action on the bonds at the meeting; the certificate was provided for the public record and statutory compliance. The district finance staff indicated wiring and closing instructions have been prepared with Bank of Albuquerque named as paying agent in the draft closing memorandum.
