MSU board approves $56.6 million bond issuance

The Missouri State University Board of Governors approved on July 23 a bond issuance of approximately $56.6 million.

The university-issued bonds are being sold to private individuals via underwriter Edward Jones Investments, said Nila Hayes, MSU chief financial officer.

The bonds include $46.4 million at 3.6 percent all-in true interest cost - which factors in all costs - for projects in the auxiliary system and $10.2 million at nearly 4 percent all-in true interest cost for academic projects, according to an MSU news release.

The $46.4 million in Tax-Exempt and Build America Bonds, which include a refunding portion of $21.5 million, will be used for additions and improvements to the auxiliary enterprise system and will be partially used to refund the 2005A Series Bonds, the release said.

Projects to be funded by this bond include: construction of the University Recreation Center, residence hall safety upgrades to three dormitories, miscellaneous capital improvements to residential facilities and the construction of a multipurpose recreation center and storm shelter on the West Plains campus, according to the release.

The $10.2 million - also in Tax-Exempt and Build America Bonds - will be used for construction of the Darr Agricultural Center educational building, for renovation of the Robert W. Plaster Center for Free Enterprise and Business Development, for construction of an animal research compliance facility, for an addition to the Physical Therapy Building and for other miscellaneous capital improvements to academic facilities on the Springfield and West Plains campuses, the release said.

MSU President Michael Nietzel said the projects will largely benefit students.

"At a time when many institutions have a freeze on construction, we’re excited about the opportunity to capitalize on favorable bond rates to fund projects that are long overdue," he said in the release.[[In-content Ad]]