City Refinances Bonds To Save Taxpayers Money | News
In 2004 the City issued bonds to finance the City Center Complex improvements. Interest rates have since dropped to the point where significant savings can be achieved by refinancing those bonds. Based on current market conditions it is estimated that over $1 million in savings will be realized as a result. Those savings will be enjoyed by all City residents through a reduction in certain property tax rates.
On Monday, September 24, 2012, Robert W. Baird & Co. Incorporated will be offering the City's Unlimited Tax General Obligation Refunding Bonds, Series 2012 B (the "Bonds"), in the approximate principal amount of $8.4 million. Proceeds from the sale of the Bonds will provide for the prepayment of the bonds issued in 2004.
The Bonds will be fully-registered bonds in $5,000 denominations or multiples thereof. The Bonds will be dated the date of delivery, which is expected to be on or about October 11, 2012. Interest will accrue from the date of delivery and will be payable on April 1 and October 1 of each year commencing April 1, 2013. Principal will be payable annually on April 1 in the years 2013 through and including 2034.
The Bonds are full faith and credit unlimited tax general obligations of the City. The City is obligated to levy taxes upon all taxable property located within the corporate boundaries of the City, without limitation as to rate or amount, sufficient to pay the principal of and interest on the Bonds. The Bonds have been rated AA+ by Standard & Poor's, a nationally recognized rating agency.
If anyone is interested in purchasing the Bonds, please contact your financial advisor.