Hawaii Visitor Industry and Public Health Update slide image

Hawaii Visitor Industry and Public Health Update

16 (1) (2) Debt Management The State has a long track record of conservative debt management practices that are governed by a formal debt management policy G.O. Debt Service Profile (1) ■ Principal and interest on G.O. Bonds are a first charge on the General Fund and have a pledge of full faith and credit G.O. Bonds have conservative Constitutional constraints on debt structure Limits final maturity to 25 years, and principal can be deferred no more than years Requires level debt service or level principal amortization Maximum annual debt service can be no more than 18.5% of the average of the prior three year General Fund revenues No statewide ballot initiatives required for debt issuance ■The State conservatively manages its debt portfolio Bonds issued with 20 year maturity and level debt service 100% fixed rate G.O. debt with no derivatives 63% of principal amortizes over the next 10 years BABS debt service is budgeted on a gross basis G.O. debt service as a percentage of General Fund revenues has been relatively constant across multiple economic cycles 14% 12% 10% 8% 6% 4% 2% 0% Excludes $321 million of reimbursable G.O. Bonds and $600 million Bond Anticipation Notes. The State also has a de minimis amount of Certificates of Participation outstanding. Excludes reimbursable G.O. Bond and Bond Anticipation Notes debt service. Millions $1,000 $800 $600 $400 $200 $- 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Fiscal Year 2032 2033 Debt Service as % of General Fund Revenues (2) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Fiscal Year 2012 2013 2014 2015 2016 2017 2018 2019 2020 2034 63% ■General State Projects (46%) Department of Education (40%) University of Hawaii (14%) 2035 2036 2037 2038 2039 2040 2041 STATE OF 1959 HAWAI
View entire presentation