Town Saves Interest Costs by Refinancing $22.6 M
The Town of Huntington this week refinanced $22.6 million in debt, saving the Town more than $2 million in interest costs over the next seven years.
The bonds sold at an interest rate of 0.92 percent, less than three quarters of the average 4 percent original interest on the refinanced bonds, which were issued between 2002 and 2005. The $2.029 million savings is three times what had been projected when the Town Board approved the refinancing in May. The term of the bonds remains unchanged.
“These savings are a direct result of the hard work keeping the Town’s fiscal affairs in order to preserve the AAA bond rating and of the invaluable advice and expertise provided by our bond counsel and fiscal advisor for bonding issues,” Town Supervisor Frank Petrone said. “In particular, I would like to thank Bob Kerr at New York Municipal Advisors Corporation for helping arrange and time the sale to achieve the maximum savings.”
In 2009, NYMAC recommended a similar refinancing of $13 million of other Town debt that also saved taxpayers about $700,000.
Earlier this year, also as a result of the AAA ratings, the Town sold $7.6 million in bonds, mostly for highway projects, at the favorable interest rate of 2.23 percent, more than half a percentage rate than what similar bonds sold for in 2011.
Bench Named in Honor of Nicholas Lauth
A memorial bench in William Byrne Park was dedicated to the late Nicholas Lauth, a Town of Huntington resident, on August 31.
“This bench is a loving tribute to Bob and Angela Lauth’s son Nicholas,” said Councilwoman Berland. “It is adorned with beautiful and kind words written by Nicholas’ loved ones. The family has created a peaceful area to rest, reflect and remember their son.”