According to the city’s bond counsel, the refund and refinance of the 2002 utility bonds will save the city $8.2 million. Bill Camp of Raymond James/Morgan Keegan explained this was a 14 percent savings.
“Generally we tell people to refund the bonds at 3 percent.” Camp said. “Things turned out a lot better than anticipated.”
The term of the bonds also will not extend past the original 2032 end date of the 2002 bonds, and while the payment dates will remain the same, the payments go down from $5.11 million to $4.55 million a year, a savings of about $560,000 a year.
(For the complete story, see tomorrow's print edition.)