Events Schedule

Qualified Zone Academy Bonds


  • Tax credit bonds, currently issued by local school districts for the repair and rehabilitation of schools and other qualified purposes
  • First authorized in 2000
  • Can be issued as tax credit bonds or direct pay subsidy taxable bonds
  • Under direct pay option, subsidy is equal to 100% of the interest rate on the bonds or the tax credit rate, whichever is less.
  • Maturity and tax credit rates set daily by Treasury (see
  • Unused allocation may be carried forward 2 years
  • All proceeds and interest earnings thereon must be spent within three years of issuance

Qualified Zone

Any public school where:

  • the school or program is designed in cooperation with business to enhance the academic curriculum, increase graduation and employment rates and prepare students for college
  • students subject to same academic standards as other students in the district
  • the education plan is approved by the district, and
  • the school is located in either
    • an empowerment zone or enterprise community, or
    • 35% of the students are eligible for free or reduced lunch.

Qualified Zone Academy Bond

An issuance, in whole or in part:

  • where 100% of proceeds used for a qualified purpose with respect to an qualified academy established by an local education agency;
  • issued by State or local government within the jurisdiction of which such academy is located; and
  • the issuer
    • designates the bond as a QZAB
    • certifies that it has written assurances for the private sector match
    • certifies that it has the written approval of the local education agency

Qualified Issuers

  • State and local governments
  • Certain “on-behalf-of” issuers

Qualified Purpose

  • rehab or repair of public school facilities
  • equipment
  • development of course material
  • training teachers and other school personnel.

ARRA and HIRE Provisions

  • USallocation increased from $400 million to $1.4 billion for both 2009 and 2010
  • Unused allocation can be carried forward 2 years
  • Davis-Bacon wage rates apply

Georgia 2009 allocation: $46,376,000
Georgia 2010 allocation: $47,428,000
Georgia 2011 allocation: $14,161,000

Total available to allocate: $107,965,000

Application Process

  • Georgia Department of Education (DOE) will release application to school districts in March 2011
  • State allocations must be approved by the Georgia State Financing and Investment Commission (GSFIC)

DOE: Lynn Jackson,
GSFIC: Susan Ridley,