Re-Fi Saves Rye Schools $1.5M
The Rye City School District has achieved a savings of $1,553,601.90 through the refinancing of serial bonds. This savings is significantly greater than that which was estimated in a preliminary analysis presented on June 6, anticipated at $1,232,875.96
The District received nine bids for its bond issue and the winning bid came from Janney Montgomery Scott, LLC at a rate of 1.22%, which is lower than originally anticipated due to the strong demand for the District’s bond issue. The original interest rates for the two bond issues that were refunded, a 2003 bond issue and a 2005 Series A bond issue, were 3.51% and 4.09%, respectively.
The savings for 2013 will be $163,481.26, and that for 2014 will be $70,881.24. From 2015 through 2023, annual savings will range from $137,712.50 to $157,931.26, amounting to the total of $1,553.601.90.
This news follows closely on the heels of the District’s Aaa bond rating resulting from this refinancing of bond issues.
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