2012 Bond Issuance
2012 Rating Agency Reports (General Obligation Bonds)
In June 2012, the County’s credit rating on General Obligation bonds was upgraded from AA to AA+ by Fitch, and was affirmed by Moody’s and Standard & Poor’s at Aa2 and AA+, respectively.
Standard & Poor’s
Press Release on June 19, 2012
Select Information from June Presentation to Rating Agencies:
Economic Development Highlights
Plan of Finance – Lease Revenue Bonds
Plan of Finance – General Obligation Bonds
Existing and Proposed Debt Service
Effect of Capital Plan on Debt Policy
2012 Economic Development Authority Lease-Revenue Bond Issuance
On May 22, 2012, the Board of Supervisors approved the issuance of up to $91.0 million in Economic Development Authority (EDA) lease-revenue bonds to refinance certain previously issued school lease-revenue bonds. On June 7, the EDA also approved the sale of the EDA bonds for this refinancing.
Then, on June 27, the County sold $33.8 million in EDA lease-revenue bonds to refinance the outstanding 2003 and 2003B lease-revenue bonds previously issued for school capital projects. Based on the County’s bond ratings and the current bond market, an “all in” interest rate of 2.97% was obtained. The refunding of these bonds will reduce school debt service costs by a total of $3.7 million over the remaining 17-year life of the bonds.
Resolution Adopted by Board of Supervisors on May 22, 2012
Resolution Adopted by EDA on June 7, 2012
2012 General Obligation Bond Issuance & Refinancing
On July 10, 2012, the Board of Supervisors approved the issuance of up to $19.0 million in General Obligation (GO) bonds for purposes of funding the VRE Station/Parking project, refinancing the 2007 Massaponax and Harrison Crossing Special Service District (SSD) notes, and refinancing the 2002 School Literary Loans.
Then, on July 19, the County sold $17.4 million in GO bonds. Based on the County’s bond ratings and the current bond market, we secured an “all in” interest rate of 1.905% - the lowest borrowing cost the County has obtained. The refinancing of the School Literary Loans will reduce school debt service cost by a total of $381,000 over the remaining 11-year life of the bonds.
Executive Summary from July 10, 2012 Board of Supervisors Meeting
Resolution Adopted by Board of Supervisors on July 10, 2012
Main: (540) 507-7575
Fax: (540) 582-7021
Mary Sorrell, Finance Director
Beckie Forry, Deputy Director
of Finance - Accounting
Eric Slivka, Accounting Manager
Adam Rollyson, Accountant III
Ashley George, Sr Accountant
Nick Sotier, Financial Systems
Alice Timmerman, Accountant I
Christine Minter, Payroll
Terri Miles, Accounting
Pam Pross, Accounting
Arleen Taninecz, Accounting
Wendy Warlick, Accounting
PO Box 215
Spotsylvania, VA 22553
Physical Address: Directions
8800 Courthouse Road
Spotsylvania, VA 22553