Plains ISD will save over $1.5 million

by admin

TownTalk News received the following Press Release from Plains ISD Superintendent, Dr. Stephanie Howard.

In September, we sent out a press release related to the Plains ISD Board unanimously approving an order authorizing the issuance of unlimited tax refunding of bonds. The Board set parameters for the District to save at least $1 million by taking advantage of lower interest rates. The projected savings were, at that time, $1,375,000. On October 24, 2017, the District sold its Unlimited Tax Refunding Bonds, Series 2017 to refund a portion of its existing Unlimited Tax School Building Bonds, Series 2010 at a lower interest rate. Based upon favorable bond market conditions, each parameter was met, the interest rate on the Districts’ bonds was successfully reduced from 4.20% to 2.44% and the District’s actual saving totaled $1,588,430 (net of all costs), which is $213,080 higher than the savings presented to the Board of Trustees at its September 18, 2017 meeting. While this refunding saves tax payers the $1,588,430, it does not extend the original maturity of the bonds.

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