LOCKPORT – Niagara County will save an estimated $870,000 in interest costs over the next decade through a bond refinancing plan approved Tuesday by a County Legislature committee.
“We’ve been experiencing historically low interest rates,” County Treasurer Kyle R. Andrews told the Administration Committee.
“We’ll be able to take advantage of market conditions and realize a substantial savings for the county.”
The $13.35 million package refinances bonds issued between 2004 and 2006 by the county Water and Sewer districts, as well as general county debt. One of the 2004 issues was itself a refinancing of debt going back as far as 1996.
Andrews said the interest rates on the current bonds range from 4 percent to 4.48 percent a year. The new interest rate is estimated to be 1.84 percent.
Total debt service costs through 2024 for these bonds will fall to $15.7 million from the current estimate of just under $16.6 million, Andrews said.