The objective of any educational facility would be to transform lives through the act of enlightening them, but the administrations of the schools have to manage the financial dimension of the practices because there are other and invisible stakeholders to the process of educating students. The schools and colleges have to issue the bonds in order to raise needed funds, and the educational leadership has to take a few considerations in their view before they can have the financial strength to fuel the future operations of the organization.
The general idea is to have an estimate of the costs that educational organization will face into the future, and the statistical techniques of exponential smoothening, and regressive analysis would aid the human calculators in this regard. The costs will increase due to increment in inflationary pressures, and the values of periodical returns would drop off due to the above-mentioned factor. However, the leaders have to take democratic method as a means to gather organizational masses’ response to different settings those can fulfill the futuristic fiscal needs of the organization. The leaders do not have to change the outlook of the bond a great deal because of the fact that the public would not trust the institution, and the existing funders will have less reason to continue with the partnership.
The leading educationalists have an ethical responsibility to let their subordinates express their opinions through a poll, and the opinion of the majority would prevail in this regard. At the same time, the leaders preserve the right to cancel the will of the majority on the grounds of considering the winning option as a poor method of funding the future economic requirements of the organizations. There are no general guidelines from the state or federal managing the progression of bond election except the need to choose an alternative that majority favored. The Department of Education does not manage the elections within the jurisdiction of the school, but alleged presence of irregularities can cause the government to set a disciplinary motion against the educational center.
According to state law, the presiding officer would have to give a solid and logical argumentation in order to support his or her decision to cancel the poll. The voters do not have to participate into a wasteful exercise usually, but a change in governmental fiscal policy might aggravate that sort of response from the leaders, and the elections tend to take place at standard and prearranged dates. The special circumstances, such as the abovementioned one can cause the conduction of special electoral process. The current interest rate in Texas has been reaching the point of 4% recently.
The state and federal government do not interfere with the internal affairs of the educational sector, and therefore, the districts have to ascertain their future cost of operations. Then, they calculate the number of bonds that needs to be offered to general public in order to meet upcoming financial needs of the body. The educational districts may not have any limit imposed by the state on the life of bonds those they can offer, but the educationalists have self-imposed a limitation in this regard, and they offer a mix of one and five years bonds.
Harris, M. R., Evans, W. N., & Schwab, R. M. (2001). Education spending in an aging America. Journal of Public Economics Vol 81(3), 449–472.
Kretchmar, K. (2014). Democracy (In)Action A Critical Policy Analysis of New York City Public School Closings by Teachers, Students, Administrators, and Community Members. Education and Urban Society Vol 46(1), 3-29.