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Bond Accountability Commission 2 Recommendations Page 56 Upfront Cost Comparison Analysis for Notes Series

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

District

Principal Amount

Underwriter's Discount

Discount as a %

Costs of Issuance

Costs as a %

Total Upfront Costs

2001 2007 2005 2002B 2007A 2001 2002 2003 2008 2002 2008 2001 2004 2003 2008 2005

Olentangy Local School District Cleveland Municipal School District Cleveland Municipal School District Dublin City School District Cleveland Municipal School District Dublin City School District Dublin City School District Plain Local School District Beavercreek City School District Zanesville City School District Buckeye Valley Local School District City of Cincinnati School District City of Cincinnati School District City of Cincinnati School District Cleveland Municipal School District South-Western City School District

$30,000,000 $30,000,000 $30,000,000 $22,000,000 $20,000,000 $27,000,000 $15,000,000 $18,496,850 $15,000,000 $19,414,581 $15,000,000 $25,000,000 $29,600,000 $19,400,000 $15,000,000 $21,390,000

$30,000 $7,000 $11,000 $27,575 $3,900 $34,360 $19,180 $27,745 unavailable $19,415 $30,000 unavailable unavailable unavailable $46,450 $80,213

0.10% 0.02% 0.04% 0.13% 0.02% 0.13% 0.13% 0.15% n/a 0.10% 0.20% n/a n/a n/a 0.31% 0.38%

$20,066 $53,600 $50,500 $17,745 $38,100 $23,690 $17,420 $18,450 unavailable $35,140 $16,800 unavailable unavailable unavailable $27,200 $56,802

0.07% 0.18% 0.17% 0.08% 0.19% 0.09% 0.12% 0.10% n/a 0.18% 0.11% n/a n/a n/a 0.18% 0.27%

2001

Cleveland Municipal School District

$35,000,000

$22,155

0.06%

unavailable

n/a

$50,066.25 $60,600.00 $61,500.00 $45,320.00 $42,000.00 $58,050.00 $36,600.00 $46,195.28 $38,200.00 $54,554.97 $46,800.00 $87,500.00 $104,805.30 $74,806.64 $73,650.00 $137,014.50 unavailable

Recommendations: In general, we recommend CMSD’s continuation of its practice of timing sales of securities to correspond with CMSD’s need for funds. We believe that CMSD has achieved good overall sales results with low costs for the taxpayers, but as explained in the Recommendations beginning at page 40 following the prior section on “Transactional Execution,” we recommend that CMSD cease its reliance on negotiated sales of commoditized Bonds. Instead, we recommend that CMSD take advantage in those sales of the benefits of competitive bids. We recommend that, when CMSD uses negotiated sales for Bond issues, it alter its weighting criteria for the selection of underwriters to focus solely on the lowest overall cost for CMSD and the taxpayers.

Costs as a %

0.17% 0.20% 0.21% 0.21% 0.21% 0.22% 0.24% 0.25% 0.25% 0.28% 0.31% 0.35% 0.35% 0.39% 0.49% 0.64% n/a

BAC2 Recomendations Final 04062010  
BAC2 Recomendations Final 04062010  
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