BLOOMINGTON (HOI) - The Bloomington City Council is taking advantage of very low interest rates to refinance some of the city's debt, hoping to save taxpayers more than a half-million dollars.
The council voted unanimously Monday night to combine a pair of bond issues from 2008 and 2019 of $3.6 million. Interest rates as high as 4.25% from the earlier bond sale falls to 0.57%, city leaders said.
"This is a relatively small bond refinance, but you're going to be shocked at the amount of money we're going to save," said City Manager Tim Gleason.
Finance Director Scott Rathbun said combining the debt and and chopping a year on the debt's maturity date to 2027 will save the city $559,000.
"This is the equivalent of us refinancing our house at a lower rate for a shorter term," said Council member Jamie Mathy,
Also Monday night, Mayor Tari Renner read a proclamation honoring former Mayor Judy Markowitz who died last week, proclaimed Monday as Supermarket Employee Day, and declared March 1 as COVID-19 Victors and Survivors Memorial day.