Shawnee State University

PRELIMINARY OFFICIAL STATEMENT DATED OCTOBER 21, 2016 “BOOK-ENTRY ONLY” Rating: S&P: “AA” (Build America Mutual Assurance Company Insured) Underlying Rating: Moody’s: “Baa1” NEW ISSUE (See “RATINGS” and “BOND INSURANCE” herein.) In the opinion of Bricker & Eckler LLP, Bond Counsel, under existing law (i) assuming continuing compliance with certain covenants and the accuracy of certain representations, interest on the Series 2016 Bonds is excluded from gross income for federal income tax purposes and is not an item of tax preference for purposes of the federal alternative minimum tax imposed on individuals and corporations under the Internal Revenue Code of 1986, as amended, and (ii) the Series 2016 Bonds, the transfer thereof, and the income therefrom, including any profit made on the sale thereof, are free from taxation within the State of Ohio, except the estate tax, the domestic insurance company tax, the dealers in intangibles tax, the tax levied on the basis of the total equity capital of financial institutions, and the net worth base of the corporate franchise tax. Interest on the Series 2016 Bonds may be subject to certain federal taxes imposed only on certain corporations, including the corporate alternative minimum tax on a portion of that interest. See “TAX MATTERS” herein. The University has deemed this Preliminary Official Statement to be final for the purposes of Securities and Exchange Commission Rule 15c2-12(b)(1), except for certain information which has been omitted in accordance with such Rule and which will be supplied with the final Official Statement. $20,080,000* SHAWNEE STATE UNIVERSITY General Receipts Bonds, Series 2016 Dated: Date of Issuance Due: June 1, as shown on inside cover Principal is payable each June 1 as shown on the inside cover page hereof. Semi-annual interest is payable June 1 and December 1, buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, sale of these securities jurisdiction nor shall there be any in any in which such offer, buy, commencing June 1, 2017 at the designated office of U.S. Bank National Association (the “Registrar and Paying Agent”). The Series 2016 Bonds are issuable as fully registered bonds without coupons. The Series 2016 Bonds are subject to optional and mandatory sinking fund redemption as described herein. The Series 2016 Bonds are issuable as registered bonds without coupons in the denomination of $5,000 and integral multiples of $5,000. The scheduled payment of principal of and interest on the Bonds when due will be guaranteed under a municipal bond insurance policy to be issued concurrently with the delivery of the Bonds by Build America Mutual Assurance Company. The Series 2016 Bonds are to be secured by a lien on and payable from the General Receipts (as defined on page 6 herein) of the University, and upon the refunding of certain bonds of the University as described herein, the Series 2016 Bonds will be the only outstanding General Receipts Obligations issued pursuant to an Amended and Restated Trust Agreement dated as of June 1, 2007 (the “Original Trust Agreement”), by and between Shawnee State University (the “University”) and U.S. Bank National Association, Columbus, Ohio, Trustee (the “Trustee”), as supplemented by a First Supplemental Trust Agreement dated as of November 1, 2016 (the “First Supplement” and together with the Original Trust Agreement, the “Trust Agreement”), by and between the University and the Trustee. The Series 2016 Bonds will be issuable under a book-entry system, registered in the name of The Depository Trust Company (“DTC”) or its nominee. There will be no distribution of Series 2016 Bonds to the ultimate purchasers. See APPENDIX D - “BOOK-ENTRY SYSTEM” herein. The University is a state university of the State of Ohio. The Series 2016 Bonds are not obligations of the State of Ohio, and not general obligations of the University and the faith and credit of the University is not pledged to the payment thereof. The Series 2016 Bonds are payable from the General Receipts of the University. Certain receipts of the University, including State appropriations, are excluded from General Receipts. The holders and owners of the Series 2016 Bonds have no right to have excises or taxes levied by the General Assembly of the State of Ohio for the payment of principal, interest or any premium. THIS COVER PAGE CONTAINS CERTAIN INFORMATION FOR QUICK REFERENCE ONLY. IT IS NOT A SUMMARY OF THIS ISSUE. INVESTORS MUST READ THE ENTIRE OFFICIAL STATEMENT TO OBTAIN INFORMATION ESSENTIAL TO THE MAKING OF AN INFORMED INVESTMENT DECISION. The Underwriter has reviewed the information in this Official Statement pursuant to its responsibilities to investors under applicable federal securities laws, but the Underwriter does not guarantee the accuracy or completeness of such information. The Series 2016 Bonds are offered when, as and if issued and received by the Underwriter, subject to the unqualified approval of legality by Bricker & Eckler LLP, Columbus, Ohio, Bond Counsel. Certain legal matters will be passed upon for the Underwriter by Dinsmore & Shohl LLP, Cincinnati, Ohio. The University’s municipal advisor is Blue Rose Capital Advisors, LLC. It is expected that the Series 2016 Bonds in definitive form will be available for delivery in New York, New York, through DTC on November ___, 2016. This Official Statement dated November ___, 2016 solicitation or sale would be unlawful. solicitation or sale would This Preliminary Official Statement and information contained herein are subject to change, completion or amendment without notice. These securities may not be sold nor may offers to buy be accepted prior to the time Official Statement to offers not be sold nor may These securities may This Preliminary completion or amendment without notice. contained herein are subject to change, Official Statement and information to any offer Under no circumstances shall this Preliminary to sell or the solicitation of Official Statement constitute an offer form. in final is delivered * Preliminary; subject to change. Build America Mutual Assurance Company (“BAM”) makes no representation regarding the Bonds or the advisability of investing in the Bonds. In addition, BAM has not independently verified, makes no representation regarding, and does not accept any responsibility for the accuracy or completeness of this Official Statement or any information or disclosure contained herein, or omitted herefrom, other than with respect to the accuracy of the information regarding BAM, supplied by BAM and presented under the heading “BOND INSURANCE” and APPENDIX F – “SPECIMEN MUNICIPAL BOND INSURANCE POLICY”. PRINCIPAL MATURITY SCHEDULE $20,080,000* GENERAL RECEIPTS BONDS, SERIES 2016 Year Principal (June 1) Amount Rate Yield Price CUSIP** 2018 $570,000 2019 585,000 2020 595,000 2021 835,000 2022 865,000 2023 900,000 2024 925,000 2025 960,000 2026 1,005,000 2027 1,040,000 2028 1,090,000 2029 1,150,000 2030 1,210,000 2031 1,265,000 2032 1,330,000 2033 1,365,000 2034 1,415,000 2035 385,000 2036 400,000 2037 410,000 2038 425,000 2039 440,000 2040 450,000 2041 465,000 $________ - ____% Term Bonds, Due June 1, 20__, Yield: ____%, Price: ____%, CUSIP**: ________ ** $________ - ____% Term Bonds, Due June 1, 20__, Yield: ____%, Price: ____%, CUSIP : ________ * Preliminary; subject to change. ** CUSIP data herein are provided by Standard & Poor’s. CUSIP Service Bureau, a division of The McGraw-Hill Companies, Inc. CUSIP numbers have been assigned by an independent company not affiliated with the University and are included solely for the convenience of the holders of the Series 2016 Bonds. The University is not responsible for the selection or uses of these CUSIP numbers, and no representation is made as to their correctness on the Series 2016 Bonds or as indicated above. The CUSIP number for a specific maturity is subject to being changed after the issuance of the Series 2016 Bonds as a result of various subsequent actions. TABLE OF CONTENTS Page INTRODUCTION ........................................................................................................................................ 1 The Issuer ............................................................................................................................................... 1 Sources of Payment for the Series 2016 Bonds ...................................................................................... 1 Purpose of the Series 2016 Bonds .......................................................................................................... 1 Description of the Series 2016 Bonds .................................................................................................... 1 Tax Matters ............................................................................................................................................. 2 Bond Insurance Policy ............................................................................................................................ 2 Parties to the Issuance of the Series 2016 Bonds ................................................................................... 2 Authority for Issuance ............................................................................................................................ 2 Disclosure Information ........................................................................................................................... 3 Additional Information ..........................................................................................................................

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