St. John Public School District
Retains A3 Bond Rating
Facility Improvements Progress as Planned
Moody’s Investors Service, one of the world’s most respected financial rating firms, has assigned an A3 rating to St. John the Baptist Parish School District’s $18 million general obligation bonds that will be issued next year to help pay for the school district’s facilities improvement efforts.
The rating was announced this week, affirming the A3 rating that already exists on the district’s current outstanding bond issues, which was awarded in February 2009.
“The A3 rating by Moody’s reflects the outstanding financial management of St. John the Baptist School District. The rating will help improve the liquidity of our bonds and allow the school district to borrow money at a lower interest rate. We are so very pleased about this and the fact that our projects are all on or ahead of schedule,” said Superintendent Dr. Courtney P. Millet.
Felix Boughton, executive director of business and finance for St. John the Baptist Parish Schools, said the Moody’s report reflects the district’s stable investment status. He noted that the report cited the district’s sizable tax base, manageable debt burdens and stable financial operations as factors in the school district’s rating.
“We are pleased with the confidence our school district has maintained in the current financial market. By maintaining our status as a ‘good investment,’ we will be able to quickly sell our bonds at a good interest rate, which will in turn allow us to remain on track with our facility improvement campaign,” Boughton said.
Moody’s noted that the public school district “has established a stable and healthy trend of financial operations which is reflected in A3 rating.”
In particular, the report lauds the district’s conservative fiscal management efforts. “Realizing that 2009 was likely a peak year for sales tax revenues, officials budgeted 75 percent of the actual collected from 2009 which was a $10 million decrease; however, strong sales tax collections have resulted with year-to-date revenues $2 million over budget and $500,000 below this same period last year,” the report said.
Abby LaCourse, project manager with CSRS, the engineering firm overseeing the school district’s facility improvement plan, said the district is currently implementing Phase I of the facility improvement plan, which was approved voters in November 2008.
Phase I of the plan, which is being funded by $10 million of general obligations bonds that were issued in February 2009, is underway. The district is constructing playgrounds at nine elementary schools and an athletic field house at East St. John High School. Construction on new running tracks and stadium upgrades at both parish high schools will begin by January 2010. The stadium upgrades will include the installation of handicap seating and improvements to the visitor’s sections.
LaCourse also said general renovations to Garyville/Mt. Airy Magnet School are expected to get underway in February 2010, while improvements to West St. John Elementary are in the final design stages, and construction should begin by summer.
“The first projects in the district’s facility improvements plan are ahead of schedule thanks to the coordination and cooperation of the school board, administration and superintendent. We know these projects will greatly benefit the children of St. John the Baptist Parish Public Schools, and we are working with our entire team to move forward as quickly possible and with as few disruptions as possible,” LaCourse said.
Phase II of the plan, which will be funded by $18 million in general obligation bonds, will cover the cost of 14 projects, including the new LaPlace Elementary School.
Boughton said the $18 million in bonds should be sold over the next month, enabling the school district to begin Phase II of the facility improvement plan right away.
For more information on the timeline of the district’s facility improvement plan, visit the St. John the Baptist Parish School website at www.stjohn.k12.la.us and click on the Updates on Construction Projects listing.
1 – Program Photo – viewpoint of new building from backside
2 – ESJ6D – viewpoint of front entrance
3 – FH Coach Office – viewpoint of Head Coach’s office
4 – FH Overhead Shot – overhead viewpoint of varsity locker rooms
5 – FH Ready Room – side viewpoint of new multi-media room
