District to save $5.5M by refinancing bonds
Longview ISD trustees Tuesday approved refinancing bonds to save taxpayers at least $5.5 million over the lifetime of the loan.
The board's action involved $45 million in bonds that taxpayers approved in 2007 as part of a nearly $267 million bond election. Doug Whitt, senior managing director with SAMCO Capital Markets of Plano, said the lower interest rate the district receives during the refunding process will save taxpayers at least $5.5 million over the lifetime of the bonds. School bonds typically are financed for 30 years.
This is the third time Longview ISD trustees have approved refinancing a portion of the money from the 2007 bond measure to save money.
"The refunding of these bonds will save the district money just as the previous bond refunding did during the previous fiscal year," Assistant Superintendent Lynn Marshall said. "Bond interest rates are less now than they were at the time we originally sold these bonds. By refunding a portion of the bonds at today's rates, the district will save the margin between current rates and the interest rate currently attached to these bonds."
Read the Longview News-Journal story here.