Local Governments Save $14.5 Million By Refinancing Debt
BATON ROUGE – Local governments across Louisiana are saving millions of dollars for taxpayers by refinancing debt, according to State Treasurer John M. Schroder.
Over the course of three months, the State Bond Commission approved 18 refinancing applications, allowing local governments to lower the interest rate and cost on debt. The biggest savings were for the Plaquemines Parish Council ($3.9 million in savings), the Lake Charles Harbor and Terminal District ($2.6 million in savings) and the Ascension Parish School District ($1.4 million in savings).
The State Bond Commission also approved the refinancing of Gas & Fuels Tax Bonds at a rate of 2.24% for a total savings of $107 million through 2043.
“We are saving millions of dollars by refinancing debt to take advantage of lower interest rates. This saves us tremendous money on the cost of borrowing to finance public projects,” said Schroder. “Ultimately, the citizens of Louisiana are the biggest winners.”