This tool helps cities and towns in Washington State identify their remaining general obligation (GO) debt capacity. MRSC recommends that all local governments calculate their available debt capacity each time they are considering debt issuance. We also recommend reviewing our General Obligation Debt Limits page for a more thorough explanation of your debt limitations.
How to Calculate Your Current Outstanding GO Debt
Your remaining debt capacity is equal to your total GO debt capacity minus the amount of debt already issued, plus certain net assets you have available for your debt service funds (also known as debt redemption or sinking funds).Therefore, you will need to know what your current outstanding general obligation debt balances are in order to determine the remaining capacity.
What to Include:
- GO bonds and notes (whether or not they are voter-approved)
- Lease/purchase contracts
- Certifcates of partipation (such as the Officer of the State Treasurer – LOCAL program)
- Lines of credit (to the extent that they are drawn upon)
- Registered warrants issued the general fund or other tax supported funds.
What not to include:
- Outstanding warrants or checks or accounts payable
- Revenue debt
- Special assessment debt
- Interfund loans
- Pension and other post employment benefit (OPEB) obligations
- Pollution remediation liabilities
- Compensated absences
- Contingent liabilities
In the event that you do not readily have access to the current debt balances, you can obtain this information from Schedule 09 – Schedule of Liabilities in the annual finance report prepared each year for your entity. The most recent report must be used to obtain an accurate result from the debt calculator tool.
How to Use the Tool
Using the input fields in the top left, choose your city from the drop-down menu and input your current outstanding debt amounts for both voted and non-voted debt.
Click on the download button in the lower right corner and choose PDF. Choose your layout, paper size, and scaling but make sure the "content" section is marked as "This Dashboard." Click download and you will have the option of opening or saving the file.