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Washoe County Commission approves refinancing of existing bonds at lower interest rate saving taxpayers $1.7 million

By ThisIsReno

SUBMITTED NEWS RELEASE

Today the Board of Washoe County Commissioners approved the refinancing of two existing infrastructure bonds at lower interest rates that will ultimately save taxpayers approximately $1.7 million.

In 2001, Washoe County issued two infrastructure bonds. The first bond was for the Jan Evans Juvenile Justice and Incline Village Maintenance Facilities in the amount of $16,815,000, which uses consolidated tax revenues as payment. The second bond was for Library, Parks and Open Space in the amount of $22,785,000, which uses voter approved ad valorem tax revenue as payment. With recent improved market conditions and the County’s high bond rating, refinancing these bonds will save Washoe County taxpayers $1.7 million over the existing debt. Total payments on the two outstanding bonds will be reduced by 7% and 4% respectively.

As Washoe County enters is fifth-straight year of budget reductions, refinancing these bonds supports the County’s strategic objective of sustainable economic resources. Washoe County has reduced its budgets since 2007 by $154 million and a total of 769 positions have been eliminated. Spending levels are now at 2005 levels, with staffing at 2004 or earlier levels. Employees have foregone cost-of-living raises and have given back voluntary wage and benefit concessions that totaled more than $9 million during 2010-11 alone. Negotiations are currently underway for $11.6 million in wage and benefit cuts for the coming fiscal year.