How are the proceeds from the sale of the anticipatory warrants handled?
The proceeds from the sale of warrants are deposited with the ISCAP Trustee who is authorized to pay the expenses of issuing the warrants and to invest the balance in an investment agreement with an investment provider rated AA or better. The invested moneys are held in a disbursement fund from which the school corporation can make withdrawals as needed. The invested funds are additional security for the purchasers of the anticipatory warrants (the warrant holders). All of the investment earnings are appropriately credited to each school corporation’s individual account and can eventually be used toward repayment obligations.
