News - Avon Lake City Schools Saves Taxpayers Over $4.5 Million in Bond Refinancing

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On Thursday, May 13th the Avon Lake City School District, Ohio issued $10,945,000 Refunding Bonds, Series 2021.  This was the third refinancing of the original bonds that voters authorized over twenty years ago in 1999 to renovate, update and enlarge the District’s facilities.  Like homeowners locking in lower interest rates, state and local governments like the District have the ability to refinance outstanding debt.   By refinancing these bonds in 2005, 2014 and today, when interest rates were low, the District has saved taxpayers over $4.5 million in overall interest cost.   The current Series 2021 issue consisted of Series A which refunded the remaining Series 2005 issue and Series B which refinanced the District’s Series 2014B bonds.  The interest rate on the combined Series 2021 was 3.19%, compared to the new overall interest rate of .93%.