CPPS refinancing saves taxpayers $4.2 million
By Terry Murry on Friday, February 18th, 2022 in Columbia Basin News More Top Stories
COLLEGE PLACE – College Place Public Schools has completed the refinancing of its 2012 school bond and will be refunding over $4.2 million to local taxpayers. District officials have been watching the market for several years to determine the best time to complete the refinancing.
The 20-year school bond approved in 2012 to build a new Davis Elementary School and College Place High School as well as remodel Sager Middle School reaches its 10-year anniversary this spring, making it the perfect time to take advantage of historically low interest rates and the IRS tax-exempt refinance allowed at the mid-point, according to a Superintendent Jim Fry.
Recently, the district’s rating with Moody’s Investor Service was upgraded which helped attract additional investors to compete for the purchase of the bonds during Tuesday’s open market.
“With the threat of increased interest rates coming, we knew we needed to move quickly to do the best we could for our local taxpayers,” Fry said. “Already in early 2022 the rates have started to climb, so under the leadership of our school board, we were able to get this done and gain a favorable return for our community members.”
The savings to all taxpayers in the district’s tax precinct will be spread out over the remaining life of the bonds set to expire December 1, 2032.
