Tuesday, December 4, 2012
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Gwinnett Daily Post
DULUTH -- Refinancing a debt will allow taxpayers in one of Gwinnett's biggest cities to save thousands of dollars a year.
Officials announced Tuesday that the city was able to earn an exceptionally low interest rate for a revenue bond obligation dating back to 2003.
The bonds, taken through the city's Urban Redevelopment Agency, were used to finance the construction of the city's public safety building on Buford Highway.
With $7.17 million left to pay at a 4.1 percent interest rate, the city was able to call the obligation at arate of 1.63 percent, the release said. That will save $725,941.99 in interest, or $60,000 per year for the remaining 12 years.
"The saving is about 10 percent of the outstanding bonds," said Ken Sakmar, Duluth's finance manager. "The city continues to look for ways to save money and make wise use of taxpayer funds."