City Council awards $6.5M in bonds for street reconstruction amid market volatility

North St. Paul City Council has taken a significant step towards enhancing its infrastructure by approving the sale of $6.74 million in general obligation bonds aimed at funding street reconstruction and utility projects. During the council meeting on April 15, 2025, Michaela Hewitt from Baker Tilly presented the results of the bond sale, which was initially authorized a month prior.

The proceeds from these bonds will finance various street reconstruction projects outlined in the city's five-year plan, as well as utility improvements and related costs. The bonds will have a term of 20 years, and despite recent market volatility that had raised concerns about interest rates, the city secured a favorable interest rate of 4.02% through competitive bidding. This rate is lower than the anticipated increase, showcasing the city's strong financial position.

In addition to the bond sale, the council received positive news regarding the city's credit rating. Following an annual review, Standard & Poor's upgraded North St. Paul's rating from AA to AA+, reflecting the city's financial stability and effective management practices. This upgrade is expected to yield interest savings of approximately eight basis points, further reducing the cost of borrowing for future projects.

The council's decision to award the bond sale to Northland Securities was met with unanimous support, highlighting the community's commitment to improving infrastructure while maintaining fiscal responsibility. As North St. Paul moves forward with these projects, residents can anticipate enhanced roadways and utilities that will contribute to the city's overall growth and sustainability.