HCPS FL Logo Business
Action Item
DATE: Tuesday, February 14, 2012
TO: School Board Members
FROM: MaryEllen Elia, Superintendent
SUBJECT / RECOMMENDATIONS

Approve Refunding of Certificates of Participation (COPs), Series 2002 and 2003B (the "Certificates") (Business Division)

  1. Adopt the Board Certificate Resolution authorizing the refunding of the Certificates.  Authorize the underwriting team consisting of co-senior managers JP Morgan Chase, Wells Fargo, and RBC Capital Markets, with Bank of America/Merrill Lynch and Jefferies and Company, Inc. as co-managers.  Authorize staff to work with the district's Financial Advisor and Bond Counsel to proceed with the refunding as long as market conditions remain favorable.
  2. Recess as members of the School Board; convene as the School Board Leasing Corporation.
  3. Adopt the Corporate Resolution authorizing the refunding of the Certificates.
  4. Adjourn as members of the School Board Leasing Corporation and reconvene the School Board.
EXECUTIVE SUMMARY
The district's Financial Advisor, Ford & Associates, has provided an analysis to the district showing a possible present value savings of at least three percent (3%) on the 2002 and 2003B COPs in the current market conditions.  The savings will be a reduction of the debt that must be repaid by the taxpayers and will provide an increase in our future bonding capacity.

The refunding will be dependent upon market conditions and will only be undertaken if a three percent (3%) savings threshold is reached.  This agenda item has been reviewed as to legal form and sufficiency by John Stokes, Bond Counsel.  Mr. Stokes and Mr. Jerry Ford will be present to answer questions and assist the Board at this meeting.

A copy of both the Certificate Resolution and Corporate Resolution are available for viewing in the School Board office.

STRATEGIC OBJECTIVES
• Align financial resources to support the district’s strategic goals • Demonstrate best financial practices
FINANCIAL IMPACT (Budgeted:  No)
By refunding the 2002 and 2003B COPs issues, the district will be able to maximize it's bonding ability, thus enabling the taxpayers to realize additional school construction resources.
EVALUATION
SUBMITTED BY:  Steve Brady, Assistant Department Manager for Cash Management
Susan Garcia   Gretchen Saunders
Manager, Services and Support, Budget
(813) 272-4064
  Chief Business Officer
(813) 272-4270
    A 5.03
Hillsborough County Public Schools (Florida) * Mtg.#20120214_493 (Board Meeting) * Section A Item# 5.03