Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Utilities Finance topic
No spam. Unsubscribe anytime.
Commission approves bond refunding authorization expected to save roughly $880,000
Summary
The commission approved resolution 25-1824 authorizing refunding of 2007 Wyoming Water System bonds; Ottawa County public utilities director Patrick said the refunding could save an estimated $880,000 and reduce the wholesale rate by about 2.3 cents per 1,000 gallons if market conditions meet the minimum savings threshold.
The Hudsonville City Commission on Nov. 11 approved resolution 25-1824 authorizing the refunding of the 2007 Wyoming Water System bonds. Patrick, Ottawa County’s public utilities director, told the commission the refinancing opportunity could produce estimated collective savings of about $880,000 and lower the wholesale water rate by an estimated 2.3 cents per 1,000 gallons.
Patrick said county board action is expected in December, and if market conditions are favorable the bonds could be refunded as soon as January. He noted the authority cannot proceed unless a minimum of 3% savings is achieved and that current midpoint estimates anticipate roughly 5% savings; the county will monitor market conditions and decide when to move forward.
Commissioners asked for clarification about timing and which municipalities are involved; Patrick said seven municipalities are part of the contract and Hudsonville was among the first to approve the resolution. The motion passed by roll call.
