The Burlington Community School District board on Monday approved a resolution authorizing $5,545,000 in General Obligation School Capital Loan Notes, Series 2025, to fund the Greyhound Performing Arts Center and related improvements.

The board also approved the related tax-exemption certificate and the continuing disclosure certificate required for the bond sale. Jim Wayne Wright, who answered board questions about the sale, said the tax-exemption certificate contains the detailed yield and interest information and the continuing disclosure certificate outlines the district’s obligation to make annual financial reports and material-event disclosures while bonds are outstanding.

“On the continuing disclosure certificate, you have what are called disclosure obligations when you have bonds that are outstanding,” Wright said. “This is basically the promise to the market that you’re going to make annual disclosures while the bonds are outstanding of certain financial information.”

Board members asked where the interest and yield figures appear in the packet; Wright pointed the board to page 9 of the tax-exemption certificate for the arbitrage/yield calculation and noted the expected yield was below 5 percent. Trustee S2 asked how the lower “arbitrage yield” was derived; Wright described underwriting discounts and the structure used to compute the ultimately reported yield.

The measures were approved by roll-call vote. The resolution authorizes levying a tax for payment of the notes and authorizes execution of a loan agreement consistent with the voter-approved revenue source (PPEL and saved district dollars) referenced during the meeting. Board staff said the proceeds are expected to be spent within the three-year timeline that limits federal arbitrage concerns.

Next steps: district staff and bond counsel will finalize closing documents and proceed with the sale to the underwriter as approved by the board.

Votes and provenance: the board discussed the authorizing resolution and supporting certificates in SEG 642–796 and approved the resolution on a roll call. The tax-exemption certificate discussion and vote are recorded at SEG 498–546 and the continuing disclosure certificate at SEG 547–641.