Chicago Public Schools issues bonds to finance the construction, renovation and expansion of schools. Proceeds from bonds support capital improvements—not the day-to-day operating expenses of the school district.
Bonds issued by CPS are debt obligations. That is, when you purchase a CPS bond, you are lending money to the school district in exchange for the payment of a certain level of interest and the return of the principal amount on a specific date. CPS does not sell its bonds directly to the public; to buy CPS bonds, investors should contact their registered broker dealer or financial advisor.
Investors and prospective investors in CPS bonds typically find the following information helpful in deciding whether to invest in CPS bonds:
Official Statements for Long-Term Bonds
Official statements describe the nature and type of bonds issued, how the bonds will be repaid and over what time period, and offers information on the school district and its management. Before purchasing a CPS bond, investors should read the Official Statement for that specific bond issue.
Limited Offering Memorandums
The Limited Offering Memorandums for short-term notes, such as tax anticipation notes, describe the how the notes will be repaid and offer information on the school district’s liquidity and cash management. Before purchasing short-term notes, investors should read the Limited Offering Memorandum for that specific note issue.
Audited Financial Statements
The district's Comprehensive Annual Financial Report provides a snapshot of the overall financial health of the school district, including assets, liabilities, revenues and expenditures.
The budget describes the district's financial and operational priorities, expected revenues and revenue sources, and the projected expenditures for the current fiscal year.
Credit Ratings from independent rating agencies serve as an indicator of an organization's financial stability—as well as the safety and security of the debt sold by that organization.
- The board meeting schedule provides the time and location of meetings of the Board of Education, which approves all bond issues.
Debt Service Schedules
- CPS Alternate Revenue General Obligation Debt Service (General State Aid, Personal Property Replacement Tax, and Intergovernmental Agreement)
- CPS Capital Improvement Tax Debt Service
Financial policies describe the district's approach to: