March 7, 2012 (Independence, IA) – Positive momentum continues to build for the Independence Community School District (ICSD). Standard & Poor’s, a well known U.S. credit rating agency, recently assigned an “A” long‐term rating for ICSD’s Series 2012 general obligation (G.O.) school bonds to be issued in late March 2012.
Voters in the school district approved the sale of general obligation bonds last September for construction of a new JR / SR high school to serve the communities of Brandon, Independence and
Rowley. The proceeds from the G.O. bonds will pay for approximately 45 percent of the overall cost of the new 169,000 square foot facility and all related site work. SILO funds, grants, and donations will cover the remaining costs of the project. S&P’s “A” rating comes less than six months after ICSD received a strong SILO bond rating and the best SILO interest rate in the history of Iowa at time of issuance.
“We are thrilled about the “A” rating,” stated Russell Reiter, ICSD Superintendent. “It reflects positively on the financial situation of the district and the surrounding communities.” S&P analyzed several district and community facets and concluded that the outlook is stable for this rating. The “A” rating means ICSD will be in position to obtain very good interest rates on the G.O. bonds. This is good news for taxpayers. The lower the interest rate ICSD has to pay for the G.O. bonds, the less interest ICSD and taxpayers pay over the life of the bonds.
The rating reflects S&P’s view of the district’s access to employment in nearby areas; good income levels and strong market value per capita; recent general fund surpluses; “Good” financial management; and low overall debt burden.
Design of the new JR / SR high school is in full swing with bid letting planned for the end of March 2012. For additional construction project updates, please visit the Project Update Blog at build4thefuture.blogspot.com.
Jenny Yoder, Fusion Forward