Long-term Debt Obligations

Long-term obligation activity during the year ended June 30, 2026 was as follows:

Bond Defeasance

In March 2015, the College issued $12,785,000 of Refunding Bonds, Series 2015 with an average interest rate of 3.76% which, in conjunction with a debt service fund contribution, were used to refund $1,965,000 of outstanding Refunding Bonds, Series 2005B and advance refund $11,535,000 and Facilities Bonds, Series 2006, with average interest rates of 3.95% and 4.44%, respectively. The net proceeds of $13,990,731 (after payment of $109,090 in underwriting fees and other issuance costs), plus an additional $293,236 of prior debt retirement fund monies, were used to purchase U.S. treasury securities which were deposited in an irrevocable trust with an escrow agent to provide for all future debt service payments on the original bonds. As a result, the bonds are considered to be defeased and the liability for the bonds has been removed from the College's long-term obligations. In prior years, the College defeased certain other bonds. At June 30, 2026, $1,295,000 of bonds outstanding are considered defeased.

General Obligation Bonds

At June 30, 2026, general obligation bonds totaling $1,224,875 were outstanding with an interest rates of 2.5%. Principal payments are due annually in April with the payment for the upcoming year of $1,195,000. Interest payments are due semiannually in April and October of $14,937 each. These bonds are insured and mature in 2027.

Total principal and interest maturities on the general obligation bonds for years succeeding June 30, 2026 are summarized as follows:

*Installment purchase obligation and SBITA Liabilities

See Footnote 6 in the 2026 Annual Financial Statements for additional information on the Installment purchase obligation agreement and Subsciption-based Information Technology Arrangement (SBITA) liabilities.