SSCAFCA (the “Authority”) is authorized by State law to levy and collect general ad valorem taxes on all property subject to property taxation within its boundaries. Revenue thus generated is budgeted for two purposes: i) general operations and ii) debt service (principal and interest payments) on outstanding bonds. The tax levy or rate for general operations is limited to one mill ($1.00 for each $1,000) on the total net taxable value of property subject to such taxation. The tax rate for debt service is set annually by the Board of Directors at a level sufficient to pay principal and interest coming due in the next year on all outstanding bonds of the Authority.
The accounts of the Authority are maintained on the basis of funds or account groups in conformance with generally accepted accounting principles as applicable to governmental units. As such, SSCAFCA maintains its General Fund, Debt Service Fund and Capital Projects Fund, each with its own revenues, expenditures and fund balance. Annually, these funds are collectively audited by an independent public accounting firm and reviewed by the State Auditor. (For the most recently completed audit report of the Authority see the Audited Financial Statements below.)
State law provides that SSCAFCA may issue general obligation bonds in amounts approved by voters in a general or special election. Bonds are then issued (sold) via a competitive process where the bonds are sold to the bidder submitting the bid to purchase the bonds at the lowest total interest cost to SSCAFCA.