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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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HAINES FIRE PROTECTION DISTRICT ACQUIRES NEW APPARATUS

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Haines, Oregon (April 2019) – Haines Fire Protection District of Baker County Oregon recently announced the acquisition of a new water tender. The truck, manufactured by Ochoco Manufacturing Corporation (OMCO), holds 3,000 gallons and can pump up to 500 gallons per minute. The new tender is replacing a 1967 model. Haines Fire Protection District selected Government Capital Corporation as the most cost effective financing solution for the acquisition.

“Through the great service provided by Joshua Rosser, Ann Schmidt and the rest of the supporting team at Government Capital Corporation, our financing process was smooth and straight-forward,” stated Chief Hampton. “Government Capital Corporation’s expertise was a valuable asset to us.”

“It was a pleasure working with Chief Hampton and Haines Fire Protection District’s Board. We take great pride in being able to provide financings to enable first responders to serve their communities better,” commented Joshua Rosser, Government Capital Public Finance Specialist.

About Haines Fire Protection District
Established in 2000, Haines Fire Protection District provides fire protection services for a 128 square mile area, with a population over 1,400. The county was at one time the largest gold producer in the Northwest. Currently, agriculture, stock raising and logging are the primary economic pursuits since the exhaustion of the gold fields.

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

 

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A Complete 180 Degrees

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Over the past quarter, the Federal Reserve has turned a complete 180 degrees on their monetary policy and plans for future interest rates. You may recall, on December 19th last year, the Fed raised interest rates for the ninth time since 2015 and also penciled in two to three more anticipated rate increases for 2019. This move by the Fed was largely questioned by many economists who thought the Fed was being overly optimistic about U.S. economic growth and underestimating the effects of various global economic uncertainties. In December, the S&P 500 dropped over 10% and the ten-year U. S. Treasury note started this year 68 basis points lower than in early November. This sharp decline in the U.S. equity markets prompted the Fed to release a subsequent statement well before their next regularly scheduled policy meeting, stating that they plan to be patient on any future interest rate increases. This news apparently provided a temporary fix for the stock market as the U.S. equity markets rebounded nicely in the first quarter of 2019, erasing the December losses.

In the most recent Fed meeting held in March, the Fed seemed to convey a much more dovish economic outlook and transparency in their monetary policy moving forward. Chairman Jerome Powell stated their adjusted outlook contains zero interest rate increases for 2019 and one rate increase in late 2020. Moreover, over two thirds of Fed officials indicated they don’t see a rate increase in 2020. This new outlook suggests interest rates will stay low for the near future in an effort to help boost the economy. Other key takeaways from the Fed’s recent March meeting included: a) their plan to keep shrinking the Fed’s balance sheet through the end of September, and b) their downgraded forecasts of U.S. GDP and inflation.

With this backdrop, many market participants believe that a recession could occur within the next two years even if the Fed does everything perfectly. In March, the U.S. Treasury yield curve inverted for the first time since 2007, meaning investors can earn a higher yield investing in a one-year Treasury than they could with a ten-year Treasury. A yield curve inversion has historically been seen as an early indicator of a recession looming. The drastic fall in longer-term U.S. Treasury yields can be partially attributed to other large economies such as Europe where ten-year bond yields are currently providing negative returns. Amazingly, this means for example, if you purchase a ten-year German bond, you will receive less in ten years when it matures than what you originally invested. This helps explain why many global investors are buying as many U.S. Treasuries as possible.

The U.S. economy is still growing but at a much slower pace than anticipated mainly due to the global weaknesses outside the U.S. The negative yields in Europe coupled with Britain’s chaotic effort to leave the European Union (Brexit) have caused economists to downgrade their economic outlook. The momentum of a great trade deal with the U.S. and China is slowly fading away with less optimism of any deal being negotiated that satisfies both parties. Suffice it to say, the economic impact of this trade deal will be significant for both economies.

In summary, the recent reduction in interest rates and softened economic outlook from the Federal Reserve will enable lower borrowing costs in most markets. With interest rates currently at fifteen month lows, municipal issuances are projected to increase for the foreseeable future.

Click here to read the entire 2019 Q2 MMB

Article provided by Zac Saldi
Government Capital Corporation

Photo by Jim Wilson on Unsplash

UMATILLA MORROW RADIO & DATA DISTRICT MAKES DISTRICT‐WIDE COMMUNICATION SYSTEM ENHANCEMENTS

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Pendleton, Oregon (April 2019) ‐ The Umatilla Morrow Radio & Data District recently announced the upgrade of their district‐wide public safety communication system. This upgrade will include site infrastructure, dispatch consoles and subscriber units. Installation is to begin immediately, with completion scheduled for the fall of 2020. The communication system was designed by RACOM. The district selected Government Capital Corporation as the most cost effective financing solution for the project.

“Building the best public safety communications system possible with our relatively small budget is a priority for our district. The expertise and experience provided by Government Capital Corporation has helped us past the first hurdle and we are closer to reaching that goal,” stated Shawn Halsey, District Administrator.

“I would like to congratulate the district’s leadership on the implementation of this valuable project which will serve the constituents for many years. We take great pride in being able to provide financings to enable first responders to serve their communities better,” commented Joshua Rosser, Government Capital Public Finance Specialist.

About Umatilla Morrow Radio & Data District
The mission of the Umatilla Morrow Radio & Data District is to provide quality public safety communications support to all system users and to provide this service in the most cost effective manner possible. The ability to form a radio and data district was created in 2009 when the Oregon Legislature passed and Governor Kulongoski signed House Bill 3254. The District is funded by a property tax of $.17 per $1000 of assessed value for those residing within the district. For more information, visit umrdd.org.

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

 

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