PSESD Info News Archive Puget Sound region refinances bonds for significant taxpayer savings School districts in the Puget Sound region refinance bonds for significant taxpayer savingsSchool district in the Puget Sound region took advantage of historically low interest rates in 2012 and refinanced more than $648 million of school bonds, saving taxpayers in excess of $77 million in property taxes. The data was collected through a voluntary survey of school districts, so actual savings for all school districts statewide would be even greater, said Puyallup School District’s Chief Financial Officer Corine Pennington. None of the money saved is available for school district expenses. Rather, it is a direct reduction in the amount of property taxes assessed and collected to repay outstanding voter-approved school bonds. This concept is similar to refinancing a home mortgage. Pennington added, “Voter approval to issue school bonds is the only way school districts can raise the money for building new schools and remodeling aging schools. The state does provide some matching funds for construction, but only after local school bonds have been approved by voters. School districts demonstrate both appreciation and fiscal responsibility when they actively monitor and pursue refinancing opportunities such as these.” Puget Sound Educational Service District Superintendent John Welch said, “School districts continually strive to use valuable resources wisely because we understand the trust and confidence taxpayers place in our district leaders to both educate students and be good stewards of public tax dollars. We are grateful for the public’s vote of confidence and this smart effort to refinance bonds reinforces our commitment to citizens.”
Posted 1.15.13 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||