Lexington County School District No. 1 expects to competitively sell $35.9 million of qualified school construction bonds Thursday.
The bonds have maturities in 2016 and 2024 through 2026. They are rated Aa1 by Moody’s Investors Service and AA by Standard & Poor’s.
Haynsworth Sinkler is the bond counsel and Wells Fargo Securities is financial adviser. Lexington was authorized by the state to issue up to $35.9 million of QSCBs.
Bondholders are further protected by an intercept program that can divert state funds to school districts to pay debt service. State revenues are the school district’s largest source of funding. Lexington expects to receive $112.4 million by the end of fiscal 2011.
The district’s student enrollment increased 1.8% this school year to 22,158.
Last April, Moody’s upgraded the town of Lexington’s general obligation bond rating to A1 from A2, citing its substantial tax growth and a strong financial position as well as benefits from manufacturing, state government, and commercial employment. Lexington County’s unemployment rate has stayed below the state and national unemployment rates, Moody’s said.