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Government Capital Corporatoin is a leading public finance firm offering its clients a broad range of financing solutions.

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MONTAGUE ISD ANNOUNCES CONSTRUCTION OF NEW GYMNASIUM

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Montague, Texas (July 2019) – Montague Independent School District recently announced the construction of a new gymnasium. The gymnasium is set to be completed in the Summer of 2019, with the ribbon cutting ceremony scheduled August 15th.  Government Capital Corporation was selected to provide a unique financing structure.

Walsh Gallegos was chosen to provide the documentation and legal opinions necessary for the financing. For over 30 years they have dedicated themselves to serving school districts and other governmental institutions. Additionally, Harper Perkins Architects was selected to provide the architectural design for the project.

“One of our goals includes providing safe and efficient facilities. We worked for many months to develop the Gymnasium project and are confident it will improve the learning environment for our students and provide space needed for school activities,” stated Carla Hennessey, Montague ISD Superintendent. “Government Capital provided a competitive financing structure which saved the district time and was very cost-effective.”

“Congratulations to Mrs. Hennessey and Montague ISD on the implementation of this valuable project which will serve the community for many years.  We take great pride in being able to provide financings to enable Texas school districts to better serve their communities.” stated  Joshua Rosser, Public Finance Specialist of Government Capital Corporation.

About Montague Independent School District

Montague ISD is located in Montague County and currently serves 170 students in grades PK-8th. Covering 25 square miles, Montague ISD is committed to providing students with opportunities to grow academically, emotionally, socially, physically and culturally with recognition of individual differences. For more information, visit www.montagueisd.org.

About Government Capital Corporation

Government Capital Corporation is a leading public finance firm providing professional financial services to school districts and all other local governmental entities. Since its founding in 1992, the company has completed thousands of project financings in Texas and across the country. For more information, call (800) 883-1199 or visit www.govcap.com.

 

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The U.S. Economy Just Set a New Record – Celebrate!

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The U.S. economy is now enjoying its longest economic expansion in history. As of July 2019, the United States surpassed its previous expansion period record of ten years which occurred from 1991 to 2001. This is remarkable considering an average economic expansion cycle lasts roughly four to five years. Like Independence Day, that is truly worth celebrating! However, many are now pondering the question, “how much gas is left in the expansion tank?”

Although U.S. economic expansion continues, the actual rate of growth is declining. Second quarter Gross Domestic Product is projected to decrease roughly 50% from the first quarter GDP increase of 3.1%. This type of decline in growth usually produces a more volatile market with increased fears of the economic expansion coming to an end. In response to these recent trends, the Federal Reserve recently re-emphasized that their primary objective is to support economic growth especially in the near term. In order to achieve this when growth is on the decline, the Federal Reserve will typically start adjusting their monetary policy by cutting interest rates. Changing monetary policy is much harder when the Fed is trying to spur growth rather than adjusting policy to limit growth. Although market analysts are currently divided on exactly what the Fed should do next, the bond and equity markets have already priced in multiple interest rate cuts from the Fed between now and the end of the year. The 10-year Treasury rate declined to 1.96% on July 3, 2019, which is the first time it’s fallen below 2.00% since November 8, 2016. The general consensus is that interest rates will remain low for the foreseeable future.

Even though the U.S. is experiencing a decline in economic growth, we are still well positioned compared to many other countries around the globe. However, we are mindful the outlook could deteriorate if the U.S. can’t resolve its trading disputes with some of our major trade partners, especially China. Federal Reserve Chairman Jerome Powell commented on this topic recently stating, “The global risk picture has changed, really just in the last six to eight weeks. And it’s around trade developments and concerns about global growth.” For over a year now, the U.S. and China have been attempting to work out trade differences with no resolution yet in hand. Many U.S. company profits have already been squeezed by the retaliatory tariffs, causing them to downgrade their future earnings forecasts. It’s difficult to gauge when or if these trade wars will get resolved, but it’s clear the Trump administration is highly motivated to work out these trade agreements prior to the 2020 Presidential election.

On July 5th, the U.S. employment report for June was released, reflecting a much stronger labor market than what was initially anticipated. The labor report helps support the case that our economy is slowing down but certainly is not sinking. Instead of the aforementioned forecast of multiple interest rate cuts through the end of the year, many now believe the Fed will most likely cut rates only once in the last half of 2019. In any event, it appears the Fed will continue to be patient in adjusting their monetary policy and won’t make any significant moves unless there is consistent data to justify any changes.

Click here to read the entire 2019 Q3 MMB

Article provided by Zac Saldi
Government Capital Corporation

Photo by Adam Whitlock on Unsplash

 

PROSPECT SCHOOL DISTRICT NO.59 ANNOUNCES SEISMIC REHABILITATION PROJECT

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Prospect, OR (July 2019) – Prospect School District No. 59 announces renovations of their school gymnasium. The seismic rehabilitation project began in April and is estimated to be completed in the fall. Utilized in conjunction with financing, the school district was awarded a grant through the Oregon Infrastructure Finance Authority (OBDD). Implementation was administered by S&B James Construction Company, the design and project management was provided by ZCS Engineering & Architecture. Jim Shannon of Mersereau Shannon LLP provided legal review related to the transaction. The district selected Government Capital Corporation as the most cost-effective financing solution for the project.

Mr. Doug Jantzi, Superintendent of Prospect School District No. 59 said, “Government Capital Corporation was able to alleviate hurdles posed by the grant’s tight deadline and complete the financing in a timely matter. The solution provided by GCC was an absolute win for the school district.”

“I would like to congratulate the school district’s leadership on the implementation of this valuable project which will serve the students and community for many years. We take great pride in being able to provide financings to enable school districts to better serve their communities,” stated Jana Offutt, Government Capital Corporation Client Services Specialist.

About Prospect School District No. 59
Prospect School District No. 59 is a Charter Public School located in Jackson County, Oregon. The Prospect area is widely known for its close proximity to Crater Lake National Park. Prospect Charter School serves 232 students in grades Kindergarten through 12th. Prospect students feel safe, know their learning matters, and belong to an expanding community. For more information, visit www.prospect.k12.or.us.

About Government Capital Corporation
Government Capital Corporation is a leading public finance firm providing professional financial services to school districts and all other local governmental entities. Since its founding in 1992, the company has completed thousands of project financings in Oregon and across the country. For more information, visit www.govcap.com.

 

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HONEY GROVE ISD ANNOUNCES APPROVAL OF NEW SYNTHETIC TURF FOOTBALL FIELD

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Honey Grove, Texas (June 2019) – Honey Grove Independent School District recently approved the replacement of the turf at the Warrior Stadium. The project which is currently under way, is expected to be completed by the end of summer. Hellas Construction was selected to provide the much needed synthetic turf. The District selected Government Capital Corporation as the most cost effective financing solution for the project.

Mr. Todd Morrison, Superintendent of Honey Grove ISD, stated, “With the economic difficulties Texas school districts are facing, I was pleased to find a cost effective solution with Government Capital Corporation. The district was able to move forward without depleting our fund balance and secure the funds necessary to meet our project needs.”

“This is a perfect example of school administrators and school board members putting students first while being responsible with their resources,” stated Drew Whitington, Government Capital Corporation Client Services Specialist. Drew added, “We take great pride in assisting Texas School Districts meet their facility needs and objectives.

About Honey Grove Independent School District

Honey Grove Independent School District is a 2A public school district based in Fannin County, Honey Grove, Texas. With over 600 students, Warrior pride is rampant all over the district. From the relay team placing at regionals this year to a senior that won Grand Champion at Houston’s Livestock Show, the district’s distinction is evident from the success of their student body. For more information, visit honeygroveisd.net.

About Government Capital Corporation

Government Capital Corporation is a leading public finance firm providing professional financial services to school districts and all other local governmental entities. Since its founding in 1992, the company has completed thousands of project financings in Texas and across the country. For more information, call (800) 883-1199 or visit govcap.com.

 

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CITY OF LOWELL ACQUIRES LAND FOR A NEW CITY HALL AND LIBRARY

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Lowell, Oregon (June 2019) – The City of Lowell, Oregon announces the acquisition of land to accommodate future growth. The recently purchased sites will serve as the new locations for City Hall, a park and a new library with groundbreaking scheduled in the fall of 2019. The selection process will start soon for the builder. The city applied for a partial grant from the Oregon Parks & Recreation Department and chose The Urban Collaborative to provide the designs. Hoping to utilize an additional grant from the Ford Family Foundation, the City of Lowell selected Government Capital Corporation as the most cost effective financing solution for the remaining construction costs.

“Government Capital made the financing seem effortless. They walked me through each step of the process and responded quickly to all our questions and needs,” stated Jared Cobb, City Administrator.

Jana Offutt, Client Services Specialist of Government Capital Corporation commented, “With the current economic environment, municipalities are constantly searching for alternative funding options. Our ability to customize financing while utilizing a combination of other resources, allows our clients to obtain the funding needed for project completion.”

About The City of Lowell, Oregon
The City of Lowell located in Lane County, Oregon, has an estimated population over 1,080. Nestled along the foothills of the Cascades, Lowell is on the north shore of the Dexter Reservoir on the Middle Fork Willamette River. Filled with scenic historic covered bridges, the city is known for its wild blackberries, wildflowers and the annual April Oregon Association of Rowers’ Covered Bridge Regatta. For more information, visit ci.lowell.or.us.

About Government Capital Corporation
Government Capital Corporation is a leading public finance firm providing professional financial services to cities and all local governmental entities. Since its founding in 1992, the company has successfully completed thousands of project financings in Oregon and across the nation. For more information, visit govcap.com.

 

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BOWIE COUNTY SCHOOLS TRANSPORTATION DEPARTMENT APPROVES NEW FLEET ADDITIONS

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New Boston, Texas (May 2019) – Bowie County Schools Transportation Department announces new additions to their bus fleet. The sixty 78 passenger buses provided by Longhorn Bus Sales of Houston, Texas will replace their aged fleet. Bowie County Schools Transportation Department selected Government Capital Corporation as the most cost effective financing solution for the project.

“The financing structured by Government Capital Corporation was the perfect option when considering our large project,” said Cranford Graves, Transportation Director. “Additionally, replacing the aging fleet will provide savings on maintenance and repair expenses in our next budget.”

“I would like to congratulate the Board for their efforts in bringing this fleet upgrade to fruition. As a firm, we take great pride in providing financing to enable Texas school districts to obtain the tools needed to better serve their communities.” stated Drew Whitington, Government Capital Corporation Client Services Specialist.

About Bowie County Schools Transportation
The Bowie County Schools Transportation Department was formed in 1994. It is an independent governmental unit providing transportation and other services to thirteen Bowie County school districts through the Interlocal Cooperative Act. The department transports 8,586 students, traveling approximately 6,486 miles a day. For more information, visit bowiecountyschools.com.

About Government Capital Corporation
Government Capital Corporation is a leading public finance firm providing professional financial services to school districts and all other local governmental entities. Since its founding in 1992, the company has successfully completed thousands of financings in Texas and across the country. For more information, call (800) 883-1199 or visit govcap.com.

 

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