Commercial Paper Program
Provides flexibility in managing the University’s overall debt program and may be utilized for various University financing needs including, but not limited to: a) capital projects, including the acquisition, construction, renovation or expansion of various University facilities, infrastructure or equipment, and b) providing a readily accessible source of funds for various working capital purposes.
Commercial Paper Notes (“CP Notes”) may be issued in taxable or tax-exempt form under the Commercial Paper program up to an aggregate amount authorized by the Board of Curators. Only taxable CP Notes may be utilized for working capital purposes. The maximum term of any CP Note is 270 days, and no more than $100 million in CP Notes may mature within any seven calendar days.
CP Notes are limited obligations of the University payable solely out of and secured by a pledge of the University’s unrestricted revenues, which generally include state appropriations for general operations, student fee revenues, and all other operating revenues of the University other than System Facilities Revenues.
We issued CP to refinance some outstanding daily variable-rate demand bonds and also to finance the UMKC Oak Street Project.