The Texas Round Rock Independent School District ("the District") located in Travis and Williamson Counties in Texas is expected to come to market with $370 million1 in Series 2019A Unlimited Tax School Building and Refunding Bonds, and $57 million1 in Series 2019B Unlimited Tax Refunding Bonds..
The proceeds from the sale of the Series 2019A Bonds will be used to: (i) acquire, construct, renovate, improve and equip school buildings of the District, including an aquatic facility and acquiring technology replacements, upgrades and improvements, for the purchase of necessary sites for school buildings, and for the purchase of new school buses, (ii) refunding of certain maturities of the District’s currently outstanding indebtedness for debt service savings, and (iii) paying the costs associated with the issuance of the Bonds. The proceeds from the sale of the Series 2019B Bonds will be used to pay for (i) refunding of certain maturities of the District’s currently outstanding indebtedness for debt service, and (ii) paying the costs associated with the issuance of the Bonds. See the Preliminary Official Statement for more details.
The Bonds are direct obligations of the District, payable from an annual ad valorem tax levied, without legal limit as to rate or amount, against all taxable property located within the District. Additionally, an application has been filed with, the Texas Education Agency for the payment of the Series 2019A Bonds to be guaranteed by the Permanent School Fund of the State of Texas. The Series 2019B Bonds are not eligible under the Permanent School Fund Guarantee Program and are not PSF guaranteed. See the Preliminary Official Statement for more details.
The Series 2019A Bonds are rated Aaa and AAA by Moody's and Fitch respectively by virtue of the guarantee of the Permanent School Fund of the State of Texas.2 The Series 2019B Bonds are rated Aaa and AAA by Moody's and Fitch respectively but will not have the guarantee of the Permanent School Fund of the State of Texas.2
The bonds are subject to optional and mandatory sinking fund redemption prior to maturity as described in the Preliminary Official Statement.
The bond sale offers attractive benefits including federal tax exemption on the interest payments of the Bonds, with prices and yields that match those available to institutional investors, and the potential for stable income, through call dates.
How to place an order
The offering is expected to price the week of November 181, although market conditions and/or the discretion of the issuer may alter the anticipated timeline. Individual investors can place orders online or by calling a Fidelity representative at 800-544-5372. To stay up-to-date on pricing, credit rating changes, and more, please sign up for Fidelity Alerts and see our Municipal Bond New Issue Offerings.