Featured Municipal Bond Issue, Week of 10/30/2017: Los Angeles Community College District – General Obligation Bonds – $400 Million
This week’s featured bond comes from the State of California. The Los Angeles Community College District is issuing general obligation bonds in the amount of $400 million the week of October 30, 2017. This new bond issue is broken into two series. Series J consists of $300 million in tax-exempt general obligation bonds, and Series A is broken into two sub-series; Series A-1 is $50 million in tax-exempt general obligation bonds, and Series A-2 is $50 million in general obligation bonds that are considered federally taxable. Series J is the tenth series of general obligation bonds issued under Measure J, approved at an election of the registered voters of the District held on November 4, 2008. Series A was similarly approved under Measure CC on November 8, 2016.
Security for the bonds is general obligation of the District. The bonds are payable solely from a continuing direct ad valorem property tax, levied annually. Authority to levy these taxes rests with the Board of Supervisors of Los Angeles County, and the bonds are further secured by a statutory lien. Further details on the purposes, tax-status, and security, as well as other matters pertaining to these California general obligation bonds can be found in the preliminary official statement, provided by MuniOS.
Provided at left (click to expand) is a quick snapshot of financial characteristics of the Los Angeles Community College District as of 6/30/2016, compared with the medians for other community colleges for 2015-2016, courtesy of Merritt Research Services, LLC. Merritt has many of the sector medians publicly available and regularly updated on their Benchmark Central page. (Merritt believes the data to be reliable but does not make any representations as to its accuracy or completeness). In addition to the Merritt information related to the featured bond, more information can be found on our municipal bond calendar, city, state, and county pages, and our employment database.
These facts and numbers are for informational purposes, and should not be considered an official disclosure for potential investors. Investors should consult the official statement. None of the information provided should be construed as a recommendation by MuniNet Guide, MuniNet LLC, Merritt Research Services LLC, or any of their employees. Information and analysis is for informational purposes only.
by Jeffrey L Garceau