SCC SAVES LOCAL TAXPAYERS $13.9 MILLION
FOR IMMEDIATE RELEASE
DATE: October 20, 2021
CONTACT: Dr. Celia Esposito-Noy, Superintendent-President
SOLANO COMMUNITY COLLEGE DISTRICT ANNOUNCES BOND REFINANCING RESULTS – SAVES LOCAL TAXPAYERS $13.9 MILLION OF FUTURE DEBT PAYMENTS
On October 6th, the Solano Community College District announced its most recent bond initiative that will lower property taxes and save District taxpayers millions in future debt payments. The District was able to achieve savings of approximately $13.9 million for local taxpayers by refinancing existing general obligation bonds. The District has taken advantage of previous refinancing opportunities since 2005. The combined savings from all of the refinancing efforts now totals over $46 million, which will be realized by District taxpayers in the form of lower property tax bills.
“We are very pleased that our credit rating, current fiscal conditions, and our future plans positioned the District to take advantage of significantly lower interest rates that will advantage the tax payers,” Superintendent Esposito-Noy stated.
By taking advantage of favorable market conditions, the District has locked-in a final aggregate interest rate on the refunding bonds and the Measure Q bonds of 2.43%. Prior to the new refinancing bond initiative, the local community was paying an aggregate interest rate of more than 5.00% on the prior debt.
Another key aspect to this transaction is the new debt payment schedule. As a result of the very low interest rate received on the bonds, the District was able to shorten the final bond term and eliminate one extra year of future debt.
The District completed the transaction this month.