Conroe ISD Saves Nearly $90M in Bond Refinancing/Sales
CONROE, TX – At their October meeting, the Conroe ISD Board of Trustees received information from Darrin Rice, Conroe ISD CFO, and John Roebuck, BOK Financial Advisors, detailing a savings of nearly $90 million as a result of bond refunding and new bond sales.
Earlier this month, Conroe ISD was able refund $199,630,000 in bonds for an interest cost savings of $50,067,475, or approximately $3.5 million a year for 14 years. The District was also able to issue $165,090,000 in new bonds for over $38 million less in interest costs than what was estimated in the 2019 November bond referendum. These combined transactions equate to a savings of nearly $90 million.
In referencing the timing of the sale, Mr. Ray Sanders, Board Secretary commented, “We appreciate your financial advice on that because that could have cost us several million dollars or cost the taxpayers quite a bit, and we appreciate that as well. I think it’s an important point to make.”
Mr. Roebuck remarked, “It’s so nice to work with a school district that’s got such a high credit rating. It’s easy for the underwriters to sell these bonds.”
Since January of 2016, Conroe ISD has had an AA+ bond rating from Standard & Poor’s and an Aa1 bond rating from Moody’s. Watch the presentation to the Board of Trustees on the Conroe ISD YouTube channel or learn more at www.conroeisd.net/financial-services/texas-transparency.