Why are items with a short life span, such as computers, included in the long-term bond program?
Computers, other technology purchases, buses and other vehicles, band uniforms and instruments, artificial turf and furniture will be financed with short-term bonds that match the life of the asset. They will not be financed with 20-year bonds. The average life of technology is five to seven years but for estimation of debt payoff, GCISD is using a six-year amortization schedule. For buses, vehicles, instruments, and furniture, the average life is 15 years, so GCISD is using a 15-year amortization schedule. Artificial turf has an average life of 10 years, and a 10-year amortization schedule is being used. Permanent facilities (“real property”) will be included in a 20-year amortization schedule. The proposed bond program is a five-year program with current plans to complete most renovations and repairs within four years.
