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Advisers: Arcadia's Measure AS bond program on track; recommend competitive sale for first series
Summary
Advisers from GFS JPA told the Arcadia Unified board the Measure AS financial plan remains on track: $358 million program total, initial series expected near $70 million (subject to change), assessed value growth and interest rates within assumptions, and a recommended competitive bond sale to secure the lowest true interest cost.
Financial advisers from GFS JPA presented a detailed Measure AS update Jan. 28, reporting favorable assessed‑value growth and interest‑rate assumptions that keep the district on track to implement the $358 million bond program.
Laurie (GFS JPA) and Keith Weaver explained that assessed value district‑wide has outperformed the plan (about 4.5% growth vs. the 4% budgeted) and that current benchmark interest rates remain within the district's contingency assumptions. "Because we're doing well on assessed value and interest rates, we're still very much on track to implement the plan," Keith Weaver said. He and other advisers recommended a competitive bid process for the initial bond sale to secure the lowest true interest cost, pointing to the district's strong credit and a history of successful competitive sales.
The advisers presented an issuance plan showing $358 million in total bond authority with an initial series sized at approximately $70 million; staff said they may downsize the first series to match near‑term project cash flows and community considerations. The advisers reviewed accountability methods required by statute (oversight committee, performance and financial audits) and outlined a tentative schedule: board consideration of authorization March 25, competitive sale May 1, and closing May 15.
Board members asked about refunding options and evaluation criteria for bidders; the advisers said the competitive sale will use lowest true interest cost as the principal metric but allow parameters that attract broader bidding. The board received the presentation as information and will revisit authorization and sale timing in March.
Quote: "We are recommending the competitive bid process," Keith Weaver said, noting that a competitive sale historically yields lower borrowing costs when bidders are attracted to a creditworthy offering.
Provenance: Presentation and Q&A by GFS JPA advisers; Q&A included district staff on project sizing and schedule.
