Council Approves Debt Refinancing, City Should See Almost $3 Million In Savings

In an effort to take advantage of lower than normal interest rates, the Fond du Lac City Council approved the refinancing of city debt, that should result in a savings of nearly $3 million in interest payments.

The presentation Wednesday night at the Council meeting was made by City of Fond du Lac Director of Administration Tracy Salter and Justin Fischer, Director of Public Finance for Robert W. Baird.

Mr. Fischer told council that he felt the interest rates on current city notes will continue to creep up, and that taking advantage of the current low interest rates makes the timing right to reduce interest payments.

The three notes that would be refinanced total nearly $34 million and include General Obligation Promissory Notes, Waterworks System Revenue Refunding Bonds, and Taxable General Obligation Refunding Funds.

All three of the notes could be paid off early beginning in 2028, with maturity dates beginning in 2031.