A school district in rural northeastern Oklahoma sold $9 million in bonds to finance improvements at a new elementary school.
The bonds, issued by Catoosa Public Schools, mature between 2026 and 2034, yielding between 2.65% and 2.87%. They pay interest at 4%. The securities received an insured rating of AA from S&P Global Ratings, which assigned an underlying rating of A+.
The bond proceeds will help fund the construction of a new elementary school, which is slated to open next fall. The issuance will specifically support the addition of 14 classrooms to the school, which will allow the district to consolidate its elementary school students into one building.
“I want to ensure that we’re providing the necessary learning space, the teaching space, the up-to-date, more modern, more innovative space for our kids and for our teachers,” Catoosa Schools Superintendent Robert Schornick told Oklahoma NBC affiliate KJRH in October.
Voters in the school district authorized the bonds in a referendum last October, which passed with 62% of the vote.
The issuance will more than double the district’s debt outstanding, bringing it to $16 million, according to the bond documents.
Catoosa Public Schools enrolls 1,830 students in Rogers County, about 21 miles northeast of Tulsa. The bonds are direct and general obligations of the school district, payable by property taxes.
Piper Sandler & Co served as underwriter on the issuance, purchasing the bonds for $9.5 million. Stephen H. McDonald & Associates, Inc acted as financial advisor.