University of Oregon 2019 Annual Financial Report
Notes to the Financial Statements
For the Year Ended June 30, 2019 (dollars in thousands)
The schedule of principal and interest payments for the UO's long-term payment obligations is as follows:
For the Year Ending June 30,
State Note
Revenue
Bonds
SELP
SLGRP
Capital
Leases
Total
Payments
Principal
Interest
2020
$
42,378
$
8,500
$
3,549
$
3,930 $
3,335
$ 61,692 $ 24,049
$ 37,644
2021
41,027
8,500
3,549
3,930
3,333
60,339
24,607
35,733
2022
39,596
8,500
3,549
3,930
3,319
58,894
24,483
34,412
2023
39,549
8,500
3,549
3,930
3,309
58,837
25,660
33,177
2024
39,563
8,500
3,548
3,930
3,309
58,850
26,954
31,896
2025-2029
187,494
42,500
17,743
12,270
16,546
276,553
138,749
137,802
2030-2034
165,760
42,500
9,407
16,545
234,212
130,096
104,116
2035-2039
144,947
42,500
644
12,466
200,557
129,195
71,362
2040-2044
36,817
42.500
12,466
91,783
43,803
47,980
2045-2049
190,500
3,532
194,032
173,424
20,608
Total Future Payment Obligations
737,131
403,000
45,538
31,920
78,160
1,295,749
$
741,020 $ 554,729
Less: Interest Component
of Future Payments
Principal Portion of
Future Payments
Adjusted by:
Unamortized Bond Premiums
(272,054)
(233,000)
(10,957)
(8,154)
(30,564)
(554,729)
465,077
170,000
34,581
23,766
47,596
741,020
28,092
28,092
Total Long-Term Payment Obligations
$ 465,077 $ 198,092
$
34,581
$ 23,766
$ 47,596
$ 769,112
The State of Oregon has issued various debt
instruments to fund capital projects at the UO. These
debt instruments include general obligation bonds
under articles XI-F(1), XI-G, and XI-Q of the Oregon
Constitution, certificates of participation (COPs),
and lottery bonds. As of July 1, 2014, all of the state
debt instruments for which the UO had a payment
obligation became part of a new Agreement for Debt
Management (ADM). The UO also borrows funds
from the Oregon Department of Energy. Principal and
interest amounts due relating to the UO's share of these
debt issuances are payable to the state. In addition, the
UO has independently issued general revenue bonds to
fund capital projects.
A. Agreement for Debt Management (ADM)
In connection with the UO becoming an independent
public entity with statewide purposes and missions,
the UO entered into an ADM dated July 1, 2014, with
the state. The ADM was amended and restated on July
1, 2015 and July 1, 2017. It stipulates that all of the
principal and interest associated with general obligation
bonds under article XI-F(1) bonds, XI-Q bonds, and
COPs, that were deemed university-paid as of July 1,
2014, are to be paid to the state from UO revenues and
are displayed as State of Oregon Note Payable.
B. State-Paid Bonds
During the fiscal year ended June 30, 2019, the state issued
bonded indebtedness applicable to the UO as follows:
• XI-G tax-exempt bonds series 2019 G of $141,855,
•
with effective rates ranging from 1.43 to 2.88
percent, are due serially through 2044, for capital
construction. The UO's expected portion of the
2019 G bond sale was $70,000 for Knight Campus
for Accelerating Scientific Impact Phase 1 & 2
construction. The UO will receive these amounts
on a reimbursement basis as capital grants, and the
state will be responsible for all principal and interest
payments.
XI-Q tax-exempt bonds series 2019 A of $316,860,
with effective rates ranging from 1.65 to 3.30
percent, are due serially through 2044 for capital
construction. The UO's expected portion of the 2019
A bond sale was $12,478 for capital improvement
and renewal projects. The UO will receive these
amounts on a reimbursement basis as capital grants
and the state will be responsible for all principal and
interest payments.
C. General Revenue Bonds
During the year ended June 30, 2019, no new general
revenue bonds were issued.
During the fiscal year ended June 30, 2018, the UO
issued tax exempt general revenue bond series 2018 A
of $60,000, with net proceeds of $70,693, due April 1,
2048, with an effective rate of 2.96 percent, for capital
construction. These bonds have been rated Aa2 by
Moody's. Interest payments are due semiannually.
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