For the past year, Splendora ISD Board of Trustees and administrators have taken advantage of lower interest rates and have been actively refunding debt on several of its bonds, saving the District and its taxpayers $2.944 million over the life of the bonds.
“Refunding occurs when a school district that has issued callable bonds, calls those debt securities from the debt holders with the express purpose of reissuing new debt at a lower coupon rate,” according to a statement from Splendora ISD. “In other words, the issue of new, lower-interest debt allows the District to prematurely refund the older, higher-interest debt.”
Splendora ISD Superintendent Dr. Jeff Burke is very pleased about the savings for taxpayers.
“I’m very proud of Kevin Lynch, his staff, and our Board of Trustees for continuing to look for ways to be proactive about saving money for our taxpayers. As a taxpayer myself, I appreciate the diligence and foresight of our business office and our Board,” said Burke.