The city of St. Francis has the opportunity to save $186,985 by refinancing $2,735,000 of its general obligation bonds at current lower interest rates.
The city council Monday voted unanimously to proceed with the refinancing.
“I’m in favor of this,” said Mayor Jerry Tveit. “Anytime you can save $187,000, I’m in favor of it.”
To be eligible for refinancing, the net present value savings percentage must be at least 3 percent. In this case, the net present value savings percentage is 6.77 percent, said City Administrator Matt Hylen.
These Series 2013A bonds will advance refund the 2018–2028 maturities of the Series 2007A general obligation improvement and utility revenue bonds. The series 2013A bonds will be callable on or after Feb. 1, 2020.