The City of Wichita on Tuesday captured estimated savings exceeding $4.8 million in debt service costs from 2015 through 2030 by refinancing two series of outstanding water and sewer utility revenue bonds.
In addition, the City has captured savings of $28.3 million through the City’s earlier refinancing efforts. The program began in 2009 with the completion of 13 refinancings through 2013. Savings of $8.4 million pertain to water and sewer utility revenue bonds; the remaining savings of $19.9 million are associated with general obligation bonds. These savings create additional capacity within the City’s Capital Improvement Program, a 10-year funding plan that funds major infrastructure projects to enhance the community.
The City Council’s interest and support for the refinancing program recognizes the opportunity created by current economic conditions. The success of the refinancing program depends upon actively monitoring outstanding debt, favorable interest rates, and fiscal responsibility aimed at maintaining a high-credit worthiness status.
“These pro-active refinancing steps have resulted in substantial savings over time for Wichita residents,” City Manager Robert Layton said.