The Wednesday, May 11, 2005, issue of the Sikeston Standard Democrat brought welcome news to the Sikeston Public School students as well as the taxpayers. The Sikeston Public School R-6 Board of Education and Administration deserves significant credit for taking advantage of low bond rates and approving the sale of all of its $4.53 million general obligation bonds during its regular meeting.
With the expectation that rates are going to go up and current bond rates low, in my opinion it was good thinking on the part of the board to proceed forward and borrow the money so that the rates would be locked-in.
In addition, it was gratifying to learn that our own Sikeston R-6 Public School District has "wonderful interest from lots of different buyers - the majority of which were banks." In fact, the interest was so strong that the district was actually able to lower the rates from what had been discussed earlier especially toward the longer end of the bond schedule as was noted by Ms. Michelle Bock of Piper and Jaffray. The bonds were sold at yields ranging from an incredible 2.7 percent in 2006 to 4.28 percent in 2024 and most of the bonds were sold at a premium. These are incredibly low rates and good news for our public school students as well as the public taxpayer.
Further, 50 percent of the bonds were sold to local banks "with the remaining going to other banks and smaller retail customers and trust companies." This shows the commitment of our local banks to the success of public education in Sikeston. I agreed with Ms. Bock when she said, "The timing was really great. The market was wonderful, and the response was really good."
In addition, Sikeston Public Schools enjoys an A-2 underlying rating for the district. This rating is especially important because people outside our area determine the rating. As reported, "to score a rating, they look at the district's financial situation, the management and the particular project."
The taxpayers and the public school children owe a debt of thanks to those who made this sale possible: Greg Colwick, Ann Jones, Julie Dolan, Mary White-Ross, Rick Adams, Bill Priday, Paul Boyd and Superintendent Steven Borgsmiller.
When you see them, tell them how proud you are of their long hours and dedicated service in obtaining these outstanding rates. I will.