Bond refinance saves MFISD $7.4 million, makes an 'A' in financial accountability
Marble Falls Independent School District (MFISD) will be generating approximately $7.4 million in savings in bond interest during the next 20 years by refinancing the district's 2008 and 2009A bonds with new bonds issued next year.
Trustees approved issuing the new bonds during their regular board meeting Monday, Dec. 12. This will be the fourth phase of a district refunding program initated with a bond sale approved by the board at their July 21, 2014, meeting, Marble Falls ISD Superintendent Dr. Chris Allen said.
The first phase of refunding refinanced a portion of 2007A bonds, which generated $376,267 in interest cost savings to Marble Falls taxpayers. A second phase initiated in February 2015 refinanced another portion of 2007A bonds and generated another $1,808,334 in cost savings.
In April, the boar refinanced the rest of the 2007A bonds and the Series 2006 bonds and generated a whopping $5,602,099 in interest cost savings to taxpayers by also using $1.5 million in existing fund balance in interest and snking funds to pay down on outstanding principal.
Next year, the board authorized using up to $1 million in I&S fund balance to help offset the bond reissuance, which should take place around Feb. 7 if everything follows schedule.
The district is projected to erase its debt service obligations by 2038 with the bond reissuance if no other debt is incurred.
In other action, the board of trustees voted to call an election for May 6, 2017, to elect new trustees for Place 3, Place 4 and Place 7. Applications for a place on the ballot are being accepted until Feb. 17.
Place 3, currently held by Lee Ann Johnson, and Place 4, to which Mike Savage was appointed earlier this year, are for three-year terms, while Place 7, to which Kevin Virdell was appointed this year as well, will be to finish out one year remaining on a term.
Early voting for the election will be held at the Marble Falls Courthouse Annex in Marble Falls and the Burnet County Courthouse in Burnet from 8 a.m. to 5 p.m. April 24 through May 2.
Financial accountability 'A'
The Marble Falls dDistrict extended its perfect record of financial accountability this year to 14 years.
During Monday's regular board meeting, Marble Falls ISD Executive Director of Finance Lisa LeMon reported to the tustees the District received a rating of “A” for “Superior Achievement” under Texas’ School FIRST accountability ratings system. This is the 14th year of the school FIRST ratings system and Marble Falls ISD has never received anything but an A under the ratings system.
The rating is based on a Texas Education Agency (TEA) 2016 School Financial Integrity Rating System of Texas (FIRST) analysis of financial data for the last financial year. The score was determined after the State examined fifteen different financial indicators as defined in 19 Texas Administrative Code §109.1002 (f).
“This rating demonstrates the quality of Marble Falls ISD’s financial management and reporting system,” reported LeMon. “Again this year, we achieved the highest possible rating showing that our district is making the most of our taxpayers’ dollars.”
LeMon’s review of the FIRST ratings included a summary of information submitted to the TEA relating to the district’s financial condition. The presentation summarized the key indicators from the report so taxpayers can easily review the high financial performance expectations set by the Marble Falls Board of Trustees for district operations, funding and solvency.
Detailed information from the report can be accessed at: http://tea4avwaylon.tea.state.tx.us/First/forms/District.aspx?year=2014&....
The primary goal of School FIRST is to achieve quality performance in the management of school districts’ financial resources, a goal made more significant due to the complexity of accounting associated with Texas’ school finance system.
The FIRST rating indicates that Marble Falls ISD is accountable not only for student learning, but also for achieving results cost-effectively and efficiently. Marble Falls ISD has achieved the highest rating for 13 prior years.
“The District’s FIRST rating is a reminder of the fact that under Lisa LeMon’s leadership, Marble Falls ISD manages district funds in an effective, efficient, and transparent manner,” said Dr. Allen.
