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Taos board authorizes sale of up to $8.335 million in bonds, delegates sale terms to superintendent and finance director
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Summary
The Taos Municipal Schools board approved a delegation resolution authorizing up to $8,335,000 in general‑obligation refunding and improvement bonds, granting the superintendent and finance director power to finalize terms within parameters; board also voted that proceeds require prior board authorization before expenditure.
The Taos Municipal Schools Board of Education on March 11 voted to authorize the issuance and sale of up to $8,335,000 in general‑obligation refunding and improvement bonds and delegated authority to finalize pricing to the superintendent and the director of finance.
Financial advisers and bond counsel briefed the board on sale options and timing. Nick Kane of Stifel Public Finance said the district is exploring both public sale and bank private‑placement options and that private placements may lock competitive interest rates sooner and reduce issuance costs. "We do expect the interest rate to be between 3 and 4 percent, probably closer to 3.5 percent," Kane said, while noting the resolution sets a statutory maximum interest rate of 10 percent as a parameter. (Nick Kane, Stifel Public Finance.)
Bond counsel Ian Bearden said the authorizing resolution is a delegation resolution that permits the named delegate to execute a pricing certificate within the board’s parameters and that an amendment should define the delegate as the finance director and superintendent. "When the bonds are issued and sold, the delegate will execute what's called a pricing certificate, which sets out the final terms of the bonds," Bearden said. (Ian Bearden, bond counsel.)
Why it matters: The bond authorization implements voter-approved authority (from the November vote referenced by advisers) and provides a cash source for campus maintenance and improvements. Advisers said a private placement with a local bank could lower legal and issuance costs compared with a public sale; advisers also said bank interest proposals have been competitive but that the New Mexico Finance Authority remains an available option with different program restrictions.
Timing and process: Advisers said the team expects to price in April, close two to three weeks later, and that proceeds could be available in early to mid‑May subject to required public-notice periods following pricing.
Board safeguards and votes: After discussion and an amendment to name the delegates explicitly, the board approved the authorizing resolution by roll call and also passed a separate motion that "upon receipt of these funds no funds be expended without previous board authorization." The motions were adopted unanimously by the members present.
What was decided specifically: The board approved Resolution 2026‑03‑11 authorizing the issuance and sale of the bonds in one or more series up to $8,335,000; delegation language was amended to identify the district superintendent and finance director as delegates who may finalize terms within the resolution’s parameters.
Next steps: The finance director and superintendent will evaluate bank proposals and the public‑market option and return to the board with final pricing and a recommendation. The board asked advisers to document comparisons and to report the selected sale method and final terms when available.
(Reporting based on presentations by Nick Kane of Stifel Public Finance and Ian Bearden, bond counsel, to the Taos Municipal Schools board.)
