Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Finance staff: Spring Hill owes just over $100,000 in arbitrage on 2020 bonds; advisers recommend rebating to resolve matter
Summary
City finance staff and bond advisers told the Budget and Finance Committee that an arbitrage study of the 2020 bonds found a rebate due of a little more than $100,000; advisers recommended paying the rebate now and improving recordkeeping to avoid future issues.
The Budget and Finance Committee was told an arbitrage study of the city's 2020 bonds found the municipality owes a little more than $100,000 in excess earnings that must be rebated to the federal government.
"Arbitrage basically means you earned too much on the bond proceeds," Miss Holden said, adding that the payment "is not a penalty" but rather a rebate to the Internal Revenue Service for interest earned the city should not have kept.
John Warner of Cumberland…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
