TEXARKANA, Ark. - During a regular meeting Monday, the city Board of Directors unanimously approved refinancing more that $11 million in bonds, a move expected to save about $1 million in interest payments.
The board passed a resolution authorizing underwriter Stephens Inc. to begin work on the deal, which will lower the combined interest rate of bonds first issued in 2012 and 2015 from 3.77% to 2.382%.
"Interest rates are at extremely low levels," Stephens Senior Vice President Jason Holsclaw told the board during the meeting, conducted via internet application.
The savings would amount to about $50,000 a year over the life of the bonds, enough to offset a city staffer's salary, Finance Director TyRhonda Henderson said.
The board still must vote to approve a final refinancing agreement, which Holsclaw said he probably will present in December.
The resolution was the only action item on the meeting's agenda. The board's next meeting is scheduled for Nov. 9.
- Karl Richter