Hillsborough County Public Schools Business
Action Item

DATE: Tuesday, June 12, 2007
TO: School Board Members
FROM: MaryEllen Elia, Superintendent

SUBJECT / RECOMMENDATIONS

Approve Resolution for $80,000,000 Line of Credit with Wachovia Bank, N.A. (Business Division)
  1. Chair and Superintendent execute the Resolution and Note authorizing the Line of Credit.
  2. Chair and Superintendent execute the Tax Certificate certifying that the Note is issued and will be repaid from anticipated tax revenue.
  3. Board Members and Superintendent execute the Certificate as to Public Meetings, as required by Florida Statute 286.011.

EXECUTIVE SUMMARY

The establishment of an $80,000,000 Line of Credit (Tax Anticipation Note) with Wachovia Bank, N.A. was approved at the School Board meeting on May 29, 2007. The Line of Credit is secured to fund any temporary cash shortfalls during fiscal year 2007-08. This agenda item has been reviewed as to legal form and sufficiency by Les Joughin, Bond counsel.

ANNUAL DISTRICT GOAL(S) AND CRITICAL SUCCESS FACTOR(S)

This agenda item is submitted to meet the requirements of law or rule.

FINANCIAL IMPACT (Budgeted: Yes)

If the Note is executed, interest will be calculated at 60% of the Prime Rate, as published in the Wall Street Journal on the Monday of the week immediately preceding the date the cash advance is made. Fees for legal counsel estimated at $3,000 are included in the fiscal year 2007-08 proposed general fund budget.

EVALUATION

SUBMITTED BY: Steve Brady, Assistant Department Manager, Cash Management

Susan Garcia
Manager of Services and Support, Budget
(813) 272-4064
Gretchen Saunders
Chief Business Officer
(813) 272-4270
5.03
Hillsborough County Public Schools (Florida) * Mtg.#20070612_246 * Section E Item# 5.03