Kenosha County approves $21.185 million general obligation promissory notes sale

The Kenosha County Board of Supervisors unanimously approved a resolution to sell up to $21,185,000 in general obligation promissory notes, Series 2025A, after a competitive bidding process produced a winning bid with a true interest cost of 3.1597 percent.

John Cameron, with Ehlers, presented the sale report and told the board the county received six bids and that the winning bid was from Loop Capital Markets of New York. "As part of the winning bid, there was a premium that was received," Cameron said, and the premium was used to reduce the size of the issue. He said, "over the life of the notes, the total net principal and interest payments are a little over $510,000 lower than what we showed in the presale report, earlier prior to the sale."

Cameron also said the debt service for the first year of payments on the notes "achieves the county's goal of having the levy for debt increase by approximately $850,000." He described the sale results as positive for the county and offered to answer questions from supervisors.

Supervisor Kirby asked how the interest rate might have looked with a higher credit rating. John Cameron cautioned that the comparison would be speculative but said, "I would say you'd probably be closer to about 3 and a half percent if you're at a double A level," adding that such a difference could translate to roughly "4 or $500,000" in additional cost compared with the realized rate.

Supervisor Gearston moved approval of the resolution; the motion was seconded by Vice Chair Gaschke. The chair called the question and the resolution passed unanimously. The record notes Supervisor Noto was excused from the meeting. Board staff indicated signatures on transaction documents were required following approval.

The board adjourned immediately after concluding the item.