Long-term liabilities as of June 30, 2024, are summarized as follows:
| Bonds | Beginning Balance | Additions | Reductions | Ending Balance | Current Portion |
|---|---|---|---|---|---|
| General Receipts Bonds | $ 1,225,000 | $ - | $ 290,000 | $ 935,000 | $ 300,000 |
| Bond Discount | (18,409) | - | - | (18,409) | (4,484) |
| Total Bonds | 1,206,591 | - | 290,000 | 916,591 | 295,516 |
| Direct Borrowings | |||||
| Finance Purchase | 14,742,118 | - | 960,038 | 13,782,080 | 986,222 |
| Other Long-Term Liabilities | |||||
| Series 2021 COP | 49,190,000 | - | - | 49,190,000 | 1,030,000 |
| Series 2021 COP-Premium | 7,739,086 | - | 733,439 | 7,005,647 | 401,610 |
| HB 250 Stabilization Funding | 23,000,000 | - | - | 23,000,000 | - |
| Total Long-Term Liabilities | 79,929,086 | - | 733,439 | 79,195,647 | 1,431,610 |
| Total Long-Term Debt | 95,877,795 | - | 1,983,477 | 93,894,318 | 2,713,348 |
| Other | |||||
| Lease Liabilities | 503,261 | - | 416,679 | 86,582 | 80,851 |
| Subscription Liabilities | 2,660,834 | 746,629 | 1,271,330 | 2,136,133 | 1,349,651 |
| Total Other | 3,164,095 | 746,629 | 1,688,009 | 2,222,715 | 1,430,502 |
| Total | $ 99,041,890 | $ 746,629 | $ 3,671,486 | $ 96,117,033 | $ 4,143,850 |
House Bill 250 appropriated $23,000,000 in the year ended June 30, 2022, to the Council on Postsecondary Education (the Council) to address financial instability at the University due to cash shortfalls and a projected financial structural imbalance in connection with the management improvement plan as discussed in Note 17. A portion of the proceeds of this funding was used to retire the $5,000,000 revenue anticipation note outstanding as of June 30, 2021, as well as the University's liability to the state investment pool. The Council provided the stabilization funds to the University contingent on compliance with the management improvement plan. By November 1, 2025, the Council shall make recommendations to the Interim Joint Committee on Appropriations and Revenue for consideration by the General Assembly during the 2026 Regular Session for the terms and schedule for repayment of the funding beginning in fiscal year 2026-2027 based on ongoing monitoring of Kentucky State University's financial status. The repayment of the funding beginning in fiscal year 2027 will be determined at that time (NOTE 14).
The outstanding General Receipts Bonds Series A Bonds have interest rates from 3.625% - 3.875%. The bonds mature through 2027. The reserve requirements for these issues have been fully funded as of June 30, 2022.
All bonds are collateralized by University property and the pledge of certain revenues, tuition, and fees.
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