DALLAS — The holiday-shortened week is shaping up to be the lightest in volume for Texas since the new year began. Only nine deals worth $79 million are listed on the calendar after President’s Day on Monday.
Competitive deals outnumber negotiated but with nearly equal dollar volume. Six competitive deals worth a combined $39 million appear on the Thomson Municipal Market Monitor calendar this week, while three negotiated deal are worth $40 million. This week’s $79 million of competitive and negotiated deals are down 977% from last week’s combined $811 million.
Among the negotiated deals, the Bishop Consolidated Independent School District plans to price $14.2 million of general obligation bonds through negotiation with RBC Capital Markets.
Bishop ISD saw its underlying rating upgraded in December from BBB to A by Standard & Poor’s. The district is not rated by Moody’s Investors Service or Fitch Ratings on its underlying credit, but qualifies for Texas Permanent School Fund backing, which guarantees triple-A ratings. The district near Kingsville in South Texas is dependent on the petrochemical industry, which has been hit hard by falling energy prices. The district has two chemical plants and four oil and gas companies.
The town of Waxahachie, south of Dallas, is scheduled to sell $10.2 million of combination tax and revenue certificates of obligation through Coastal Securities and Morgan Keegan & Co. The certificates are rated A-minus by Standard & Poor’s and A2 by Moody’s. The serials will mature annually through 2029. The town has applied for Assured Guaranty Corp. insurance.
Proceeds of the issue will be used for a public parking garage in Waxahachie’s historic downtown, expanding a runway at the airport, renovating a 1900 MKT Railroad depot and for streets, parks, and flood control.
Scurry County in West Texas will also sell $16.4 million of certificates of obligation through Edward D. Jones with Specialized Public Finance Co. as senior adviser. The COs are rated AA-minus by Standard & Poor’s. The certificates, with annual maturities through 2034, will finance a new county jail in the county seat of Snyder.