Featured Municipal Bond Issue, Week of June 25th, 2018: Auburn University General Fee Revenue Bonds – $220 Million

Auburn University is issuing $220 million in general fee revenue bonds for the purpose of financing University capital improvements on Auburn’s main campus. The bonds are being issued in a single, tax-exempt series. The bonds are limited obligations of the University, and are payable from and secured by a pledge of general fees, pledged student fees and, on a subordinated basis, housing and dining and athletic program revenues. “General fees” includes the gross revenues of general tuition fees levied against all students of the University.

Details on the purposes, tax-status, security, as well as other matters pertaining to these Auburn University bonds can be found in the preliminary official statement, available on MuniOS.

Auburn University is in Auburn, AL, part of the Auburn-Opelika, AL Metropolitan Area. As of April 2018, the Auburn metro area has an unemployment rate of 3.1%, which is 0.8% lower than the U.S. rate in April, and 0.5% lower than the unemployment rate as of April 2017, as can be seen in the chart below.

You can find 10-year employment and labor force trends for all 50 states and each Metropolitan Statistical Area in the U.S. in our Employment Database, and more labor sector growth and compensation data on our Job Market page.

Auburn University

Municipal Bonds

Provided at left (click to expand) is a quick snapshot of financial characteristics of the Auburn University as of 09/30/2017, compared with the 2016-2017 medians for other U.S. States, 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