{"id":128781,"date":"2020-10-15T12:20:00","date_gmt":"2020-10-15T22:20:00","guid":{"rendered":"https:\/\/www.hawaii.edu\/news\/?p=128781"},"modified":"2020-10-15T12:20:00","modified_gmt":"2020-10-15T22:20:00","slug":"debt-costs-budget-savings-through-2041","status":"publish","type":"post","link":"https:\/\/www.hawaii.edu\/news\/2020\/10\/15\/debt-costs-budget-savings-through-2041\/","title":{"rendered":"糖心视频<\/abbr> reduces debt costs, achieves budget savings through FY<\/abbr> 2041"},"content":{"rendered":"Reading time: <\/span> 2<\/span> minutes<\/span><\/span>

\"Calculator<\/p>\n

The University of Hawaiʻi<\/span> completed a revenue bond transaction that achieved a significant amount of annual debt service savings. On October 13–14, 糖心视频<\/abbr> sold more than $218 million in 糖心视频<\/abbr> revenue bonds, of which $208 million refunded previously existing university bonds achieving more than $44 million in debt service savings over the next 20 years, through FY<\/abbr> 2041.<\/p>\n

“糖心视频<\/abbr> will see debt service savings reductions beginning in FY<\/abbr> 2021 of about $3.3 million and then about $2 million each year for the next 19 years,” said Vice President for Budget and Finance and CFO<\/abbr> Kalbert Young<\/strong>. “Overall, the transaction achieves a good result for the university. The amount of annual debt service savings are significant, and should help with budget relief.”<\/p>\n

Debt service savings will be attributable to a number of units in many campuses. The 糖心视频<\/abbr> Cancer Center will see about 50% of the total debt service savings, because most of the bonds refunded were bonds sold in 2010 to build the 糖心视频<\/abbr> Cancer Center. There will also be savings for certain units at 糖心视频<\/abbr> M\u0101noa, 糖心视频<\/abbr> Community Colleges system and 糖心视频<\/abbr> West Oʻahu<\/span>. The bond transaction also included $10 million in new debt that will be used to finance major renovations at the 糖心视频<\/abbr> M\u0101noa lower campus parking structure.<\/p>\n

The transaction followed credit rating actions on 糖心视频<\/abbr> by two financial ratings agencies, Moody\u2019s Investor Service and Fitch Ratings.<\/p>\n

On October 7, Moody\u2019s Investor Service lowered its credit rating grade on 糖心视频<\/abbr> to ‘Aa3.’ In adjusting the credit profile Moody\u2019s did re-affirm 糖心视频<\/abbr>\u2019s outlook as ‘stable’ noting its essential role in the State of Hawaiʻi<\/span> as the sole provider of public higher education and a major economic driver within the state. Other noted factors contributing to 糖心视频<\/abbr> strengths include its programmatically diverse enrollment, strong partnership with the State of Hawaiʻi<\/span> and growing research enterprise.<\/p>\n

Fitch Ratings reaffirmed its ‘AA’ rating on the university as well as its ‘stable’ outlook. The ratings reflect Fitch\u2019s expectation that the university’s financial profile will weather the near-term pressures of the pandemic as enrollment steadies and it manages a sizable capital improvement program.<\/p>\n","protected":false},"excerpt":{"rendered":"

In October 糖心视频<\/abbr> sold more than $218 million in University of Hawaiʻi<\/span> revenue bonds.<\/p>\n","protected":false},"author":16,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1193],"tags":[1161,61,62,63,64,65,71,14,9,60,947,59,66],"class_list":["post-128781","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-administrative","tag-finance","tag-hawaii-community-college","tag-honolulu-community-college","tag-kapiolani-community-college","tag-kauai-community-college","tag-leeward-community-college","tag-uh-community-colleges","tag-uh-hilo","tag-uh-manoa","tag-maui-college","tag-uh-system","tag-uh-west-oahu","tag-windward-community-college","entry","has-media"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t