Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Finance topic
No spam. Unsubscribe anytime.
Business services explains Measure AS bond process; financial adviser separation emphasized
Summary
Business services staff said district bonds have been sold in multiple rounds (2007, 2014, 2020), that financial advisers (Government Financial Strategies) serve the district fiduciarily, and that competitive underwriter bidding is used to avoid conflicts; the explanation was offered to clarify Measure AS bond mechanics.
Business services told the board that Measure AS, if approved by voters, would follow established district practice for selling bonds and that safeguards exist to prevent conflicts between underwriters and financial advisers.
"The role of a financial adviser is someone that only represents the interest of the district," said Derek Castle, describing the district’s approach and noting Government Financial Strategies (Lori Ranieri and Keith Weaver) has served as the district’s financial adviser since about 2012. Castle summarized prior bond sales tied to Measure I that were sold in rounds (2007, 2014 and 2020), said the district uses a competitive bid process that focuses on interest rates, and noted past refinancings in 2017 and 2020.
Castle told the board the separation between adviser and underwriter reduces potential conflicts and that lower interest rates from competitive bidding allow more bond dollars to be applied to construction rather than interest costs.
