Bond adviser outlines $122,000–$159,000 refunding savings for district’s 2015 GO bond

An ISM Advisors representative briefed the Farmersville Unified School District board on a potential refunding of the district's 2015 general obligation bond, describing two structuring options and estimated savings.

John White, the bond adviser, said current market conditions create an opportunity to refinance the outstanding 2015 issue and reduce district debt service. He presented two options: a "level savings" structure that the materials estimated would yield roughly $122,000 in present‑value savings and a "deferred savings" structure that could realize about $159,000 but concentrates larger savings toward the tail end of the bond term. "The savings that totals 121,953 — I round it up to 122," White said during the presentation.

White explained tradeoffs: level savings produces steady, earlier reductions in taxpayer debt service while deferred savings produces a larger total but back‑loaded benefit. He emphasized that the refunding would not extend the bond term or fund new projects; it would use sale proceeds to legally defease the old issue. White also noted the district's recent credit profile (an A+ rating) and discussed the optionality of bond insurance at modest additional cost.

White said next steps would include drafting documents, establishing a board‑approved minimum savings target (commonly a present‑value threshold), and pursuing a credit rating and sale if the board directs staff and market conditions are favorable. Trustees asked clarifying questions about who benefits, whether the term would change, the insurance cost, and timeline; White said the process typically needs four to six weeks to prepare documentation if pursued.

The briefing was informational; board members expressed interest in additional follow‑up but did not vote to proceed during the meeting.