The 51社区 Board of Trustees has approved a bond refinancing resolution that will save taxpayers in 51社区鈥檚 district approximately $19.6 million through 2028.
The transaction involves refunding about $125 million in outstanding general obligation bonds, which district residents originally approved in a 2008 referendum to fund construction and infrastructure improvements, for bonds with lower interest rates.
Taxpayers will benefit from lower borrowing costs due to current market conditions and 51社区鈥檚 Aaa bond rating 鈥� the highest rating possible by Moody鈥檚 Investors Services. Earlier this month, Moody鈥檚 reaffirmed 51社区鈥檚 rating for this bond issuance, saying the College maintains 鈥渟ound financial operations,鈥� citing its strong management team, limited reliance on state funding, modest debt profile and large and diverse tax base.
The bonds are being refinanced at an interest rate of 2.17 percent. The bond sale is expected to close in December.