MINUTES

DAVIS COUNTY COMMUNITY SCHOOL DISTRICT

BOARD OF EDUCATION

Special Meeting

June 17, 2009

UNOFFICIAL

A quorum being present, the special meeting was called to order by President Marty Owen at 6:00 p.m.

Superintendent:                                                Sam Miller

Board Secretary/Business Manager:                  Betsy J. Bassett

Patrons of the district present:  Ken Turner, Steve Tews, Scott Spurgeon of the Bloomfield Democrat.

President Marty Owen asked for comments from the public.  Ken Turner was concerned about the sales tax revenue not being enough to cover the sales tax revenue bond payments for the high school building project and then the debt being the taxpayers’ responsibility.  He asked if the State could then repossess the building.  He stated litigation would probably be filed.  He asked about the school district’s plans if the sales tax revenue is less than needed to make the bond payments.

Junior Reese moved to approve the tentative agenda as follows:

            $9,695,000 School Infrastructure Sales, Services and Use Tax Revenue Bonds, Series 2009

-          Consideration of sealed bids opened and reviewed by the Superintendent of Schools, Secretary of the Board, and the Financial Consultant

-          Resolution directing sale

-          Approval of Tax Exemption Certificate

-          Approval of Continuing Disclosure Certificate

-          Resolution Authorizing the Terms of Issuance and Providing for and Securing the Payment of School Infrastructure Sales, Services and Use Tax Revenue Bonds

Adjournment

Rob Melvin seconded the motion.  AYES-Grob, Lynch, Melvin, Owen, Reese and Wuthrich.  NAYS-None.  Motion carried.

Matt Gillaspie of Piper Jaffray discussed the sale of the Sales, Services and Use Tax Revenue Bonds.  He reminded board members that the Revenue Purpose Statement was voted on and approved by the public.  He reiterated that the financial calculations used the district’s enrollment history and assumed a decrease of 10 students each year forever.  Also considered was the history of sales tax revenue for the district with a two percent increase in retail sales being used in the calculations.  He advised that the district received one bond bid from Piper Jaffray & Co. with co-managers DA Davidson, Northland Securities and Bernardi Securities, and he reviewed the Report of Sale.  Mr. Gillaspie also reviewed the Debt Service Schedule.

(Ken Wuthrich left at 6:50 p.m.)

(Susan Knapp arrived at 6:55 p.m.)

Junior Reese moved to approve the Resolution Directing the Sale of $9,695,000 School Infrastructure Sales, Services and Use Tax Revenue Bonds, Series 2009.  Rob Melvin seconded the motion.  AYES-Grob, Knapp, Lynch, Melvin, Owen and Reese.  NAYS-None.  Motion carried.

Rita Grob moved that the form of Tax Exemption Certificate be placed on file and approved.  Rod Lynch seconded the motion.  AYES-Grob, Knapp, Lynch, Melvin, Owen and Reese.  NAYS-None.  Motion carried.

Rita Grob moved that the form of Continuing Disclosure Certificate be placed on file and approved.  Rod Lynch seconded the motion.  AYES-Grob, Knapp, Lynch, Melvin, Owen and Reese.  NAYS-None.  Motion carried.

Rita Grob moved to approve the Resolution Authorizing and Providing for the Terms of Issuance and Securing the Payment of $9,659,000 School Infrastructure Sales, Services and Use Tax Revenue Bonds of the Davis County Community School District, State of Iowa, Under the Provisions of Chapters 423E and 423F of the Code of Iowa, and Providing for a Method of Payment of Said Bonds.  Rod Lynch seconded the motion.  AYES-Grob, Knapp, Lynch, Melvin, Owen and Reese.  NAYS-None.  Motion carried.

There being no further business to come before the board for consideration at this time, upon motion made by Rob Melvin and seconded by Junior Reese, the President declared the meeting adjourned at 7:00 p.m.

                                                                        Betsy J. Bassett

Board Secretary/Business Manager