Our jobs will be to make sure that the debt service is in conjunction with debt building aid.

Okay, so that's that that's ultimately what I was getting to.

So that so the building aid ultimately uh covers the debt service through the uh uh lifespan amortization.

Correct.

And it's it's a little backwards because the building aid actually drives the financing because building aid is paid over a term no matter what.

So let's say you could pay for this project entirely in cash.

The building aid's still gonna come over 15 years.

It does not change.

So debt service and building aid are actually two separate things.

Our jobs are gonna be to make sure that we marry the uh debt service figure to the building.

And I just want to point out the the last column on this slide is is what we call the local share.

So that's what we are anticipating building aid is not covering that two percent that is above the 98% aid ratio.

So what we were driving is limit minimizing that local share.

I have a quick question.

Um for full or half aid in year one.

Um I see it says full.

Uh I just don't understand if we're receiving the aid over 15 years, what the full refers to.

So full versus half is very dependent on when the plans are approved at the state level.

So I mentioned you're not able to get building aid until 18 months after SED approval.

So let's just I'll just use the Nottingham High School as an example.

May of 27, you get SD approval.

18 months later, you're eligible for building aid, which is November of 28, 2829 fiscal year.

Let's say SED approval occurs July of 27.

18 months after July of 27 is February of 28.

Now you're only eligible for half a year building, or sorry, um February 29.

Now you're only eligible for a half year of building aid in 2829.

So SED approval date will will key whether you get a half or a full year.

We're going to plan everything, which is the simplest way, assuming a full year building aid to start.

If though, for example, something changes, approval dates change, anything shifts, nothing will be permanently financed yet.

We can pivot our plan if we have to.

It's just that full versus half is just year one.

Just yeah, well, it's year one and year 16.

If it's state snaps align.

They do.

June 30.

You have to have it in and approved by December to get it full for next year.

Otherwise, you can do it in June.

But they snap the line and they're just trying to go.

But they could have a hold up.

That we don't have control over that.

They could have a holdup, and then we have half a year or well, we the thing is we would know if there is a change first half first full, we will know that well in advance, and we'll be able to plan ahead.

So I guess there's zero risk to the JSCB.

Thank you.

Okay, so on to slide four.

Um, this is the projected phase three financing timeline.

Um we go tranche A and B on this slide, and then C and D is on the following.

Um for tranche A, the city issued bans already in January 25 to pay for planning costs.

Those bans will be rolled in January with some potential additional new money.

And as you can see, these bans will continue to be either rolled, paid down per state law, and and or added new money until July 2028, when we will permanently finance all of the projects for uh tranche A.

Um, and then those you'll see the due date on the right side coincides with that 15-year building aid reimbursement.

So it'll start in 28, end of 43.

Um not gonna go through the B C and D tranches, but it's the same idea.

The the bans will be issued throughout the planning and construction, and then once building aid flows, we'll go into bonds.

So the last bond for tranche D in theory will be issued in July 2034, which is on slide five.

Um slide six is just a graphical interpretation of tranch three A.

Um, so this is showing the ban issuances over time.

That um blue bar where it says building aid received, that's where building aid starts to flow in fiscal 29.

Then you see that July 28 phase three bond issuance.

So we're not issuing bonds until that um building aid is received.

Previously, there was a period in time of time where we had to have capitalized interest, which means we're using bond funds to pay the interest on the bonds.

That would have happened prior to the building aid flowing.

So and then this just gets into the mechanics of the actual bond deal, which is a state aid intercept, which allows us to get a certain uh bond rating.

And then slide seven.

This is um a depiction of your the school district's JSCB's existing local share, which is the debt service that they are responsible outside of the building aid reimbursement.

So this blue line at the top is where we expected the local share to be when phase one started.

So that was an 08.

Um there have been different um sort of assumptions along the way.

We went up to three percent, what inflation was higher, now we're back to two percent.

Um so as you can see, we're significantly lower than what was projected in phase one.

Um this includes this chart includes outstanding local share, the local share added from all three tranches of phase three, and then projected local share for phase four, which um in theory is going to be ending in 2042.

So obviously a lot of assumptions made here, which are detailed at the bottom, which you can't really see.

Uh sorry about that, but if anyone has any questions, let me know.

Um but the idea here is that you know we're minimum minimizing the cost to the school district of the JSC.

So on to slide eight, next steps.

We're gonna submit the comprehensive plan, which Turner has worked on as include which includes the financial plan that we have put together.

Um I expect based on past experience, there'll be some back and forth with OSC, and then hopefully we'll get that approved.

Um Ben and his team will prepare and plan for the January 26th ban, um, which will be rolling the 25 ban and then adding any additional new money that is needed for planning and purposes, construction purposes.

Um, and then the next uh bullet on this slide, I think will probably hopefully come be coming back to you guys.

Um the phase two bonds are about to be callable, which essentially means we can refinance them at lower rates than they were originally issued.

Um so there's 2018 A and B, which were I think phase two tranche 1A and 1B, if I remember correctly.

Um so under current market conditions, we can call those bonds and refund them for savings, and that is pure debt service savings, it doesn't impact the building aid received.

Um so we'll work with Ben and the school district and everyone to sort of get that going.

That can be done as early as like end of January 26.

So you can add?

No, I just on the should the refunding move forward that is not incorporated on that local share chart that Stephanie went over.

So if the refunding does happen and we receive savings, that actually kind of lowers that bar as well.

So good news.

Yeah.

Any questions?

CIDA would be involved in the in the refinancing as well.

Yeah, so they'll be the issuer of the refinancing and the new money box.

Got it.

Thank you.

Any other questions for Stephanie and Ben?

Just to clarify the flow of funds building aid, because I think it's important to understand the the building aid is by the intercept, you mean it's captured and sent directly to the MNT trustee.

Yeah, that's um it's it's a separate, it's it's technically all aid that is intercepted, not just all aid to the district.

Yes, yes, correct.

That's important to understand.

Yes, unrelated.

It's two different aid figures but unrelated in terms of what is actually paying the bonds versus what you're getting for the projects.

Yeah.

And that provides the bondholders with that extra guarantee, which helps.

So we get the one all JSCB issues are rated one notch below the state because of that state intercept provision.

So right now double A2, double AAA, I believe.

And we can choose SIDA to do the financing.

We we just have to show is it the municipal bond bank that's still.

Yes, so the alternative that has to be in your original, yeah, original legislation.

You had the choice between SIDA and the New York Municipal Bond Bank Agency, which is a um subsidiary of Sunny May, which is the housing agency.

Um, and we just have to prove both both issuing through both will get the same result because you're both gonna get the double A2 rating.

So it really comes down to how much each agency is charging you to issue bonds through them.

Um so SIDA, we compare SIDA and the MB BBA, and SIDA is a cheaper option.

So I recall SIDA cuts their their percent in half.

I think it's a half a percent.

Right, correct.

And they and they do not charge an annual fee.

Uh and MBBA does charge an annual fee.

Okay.

Good.

That works for us.

We prefer the local option.

Agreed.

Yeah.

All right, great.

Thank you.

Very good.

Thanks.

Thank you.

Okay.

All right.

Looks like we've got a few resolutions to consider.

So Joe, I'll turn it back over to you.

Yes, thank you, Mayor.

Uh we have uh resolution number eight, which is our monthly payment resolution.

All right, and that is um sixty-eight thousand three hundred and forty-five dollars and five cents uh to all JSCB contractors, including uh the PM.

So uh undertain a motion.

This is um no just to clarify because it's kind of the first uh additional vendors uh on the appendix.

You'll see we have uh bond shannick and king and plan and print uh relatively small amounts, but as we go along with vendors in that regard, so you can see who's being paid.

Great.

Okay.

We have a motion, okay.

Any further discussion?

All in favor?

Aye.

Opposed, carried.

Next.

Yes, we have resolution number nine, which would uh approve the comprehensive plan that we've discussed and which includes the financial component and authorize it's transmittable to New York State for approval.

Very good.

Good motion.

So moved.

Yep.

Any further discussion?

All in favor?

Aye.

Opposed, carried and last.

Yes, uh finally we have resolution number 10, which would authorize the issuance of a JSCB request for proposals for architects and engineers for the various uh phase three projects.

Great.

Undertain a motion.

We'll move.

I'll second it again.

Any further discussion?

All in favor?

Aye, opposed, carried.

Any other business to come before the board?

I don't believe so unless a board member has questions, concerns.

Pretty good.

Good.

All right.

I will entertain a motion to adjourn.

So move.

Okay.

Uh all in favor?

Aye.

Opposed.

Meeting is adjourned.

Thanks, everybody.

Thank you.