The Bond Guarantee Program (BGP) is a unique and innovative use of Permanent School Fund assets. The program provides triple-A ratings to eligible school and charter district bonds, reducing borrowing costs and helping to build and renovate much-needed school facilities. Administered by the Texas Education Agency, the BGP addresses critical school infrastructure needs while generating cost savings – estimated at $400 million dollars each year – that help to lower school district property tax rates.
Celebrating 41 years of serving Texas schools
Since its inception in 1984, the BGP has evolved into a cornerstone of bond project funding. At its April 11, 2024 meeting, the Texas PSF Corp. board of directors celebrated the program’s 40th anniversary. Today the program backs over $129 billion in bonds issued by over 900 Texas school and charter districts, making the Permanent School Fund the largest triple-A rated bond guarantor in the United States.
- A congratulatory video from Texas PSF Corp board member and Texas Land Commissioner Dr. Dawn Buckingham
- Board of directors’ resolution
- Press release
Additional program information
- Bond Guarantee Program Monthly Disclosures
- PSF Bond Guarantee Program Disclosure Language
- Compliance with SEC RULE 15C2-12 Pertaining to disclosure of information relating to the Bond Guarantee Program(PDF)
- IRS Notice(PDF)