Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Municipal Finance Pool Refinancing topic
No spam. Unsubscribe anytime.
Athens council authorizes refunding of swimming-pool bonds to lower interest costs
Summary
Council unanimously adopted Ordinance 111-25 to issue up to $4.905 million of bonds to refund existing swimming-pool debt, a move described as not creating new debt and intended to reduce annual interest costs paid from the city income-tax fund.
Athens City Council voted unanimously on Oct. 6, 2025, to authorize the issuance of not-to-exceed $4,905,000 in bonds to currently refund outstanding bonds issued for the city’s swimming pool facility.
Acting Council President Micah McCary said the refinancing “will not create new debt. It simply replaces existing debt with a lower rate,” and that the city’s outstanding pool debt is roughly $4,900,000 and annual debt service is “around $550,000 a year.” Mayor Patterson confirmed the move is timed to take advantage of lower interest rates: “You certainly don't wanna do it if interest rates are higher than they used to be. But we find ourselves in that position now to where they are lower. This will lead to a cost savings.”
City Auditor Kathy Hecht told council the bonds reach the 10-year point that allows refinancing under the existing bond covenants: “after you have a hold a bond for 10 years, then you're allowed to refinance it. So we're at the 10 year mark for the pool.” She recalled prior refinancing yielded substantial savings and said any savings now would be worthwhile.
Council suspended the usual three-reading requirement for Ordinance 111-25 and adopted it by unanimous voice vote. Council recorded that bond counsel and the city’s financial advisors have prepared the required documents and that closing and final savings estimates will be completed by December.
Actions and next steps recorded on the floor direct the finance office and bond counsel to finalize refunding documents and report projected debt-service savings back to council. The ordinance’s text, as read, states the refunding is for “the purpose of currently refunding all or a portion of outstanding bonds issued to pay part of the cost of the swimming pool facility.”
No public speaker disputed the administration’s presentation during the committee discussion that preceded the regular session; questions from the public during the finance committee focused on whether the city could prepay to shorten the amortization and on the payoff date. Auditor Hecht reported the bonds are scheduled to be paid off in December 2035.
The motion to adopt was made and seconded in open session; the rules were suspended to meet timing needs and the ordinance passed unanimously.
