Bond refinancing to save taxpayers
October 21, 2015
Harper College’s bond refinancing initiative yielded a lower interest rate than anticipated, resulting in additional savings to taxpayers in the district. Savings over the next five years will total $1.65 million, or about $450,000 more than estimated.
The transaction involved refunding about $23 million in outstanding general obligation bonds, which district residents originally approved in a 2000 referendum to fund infrastructure improvements, for bonds with lower interest rates.
Harper benefited from a recent Moody’s Investors Services announcement reaffirming the College’s Aaa bond rating, the highest rating possible. Moody’s said Harper maintains a “very healthy financial profile,” citing its strong management team, robust internal controls, modest debt profile and large and diverse tax base.
The bond sale is expected to close later this month.
Media contact: Kim Pohl, Media Relations Manager, 847.925.6159