*** MVISD REFINANCES BOND - JUNE 2017
Mount Vernon Independent School District recently refinanced previously issued bonds at a reduced rate of interest in an effort to save the District significant dollars in interest in coming years. A bond refunding essentially is a refinancing of the District’s debt, allowing the District to take advantage of lower interest rates. The lower interest rates result in a lower bond payment.
As a result of board action and the diligent efforts of Dr. Weiss and the administrative staff, the District recently completed a bond refunding of the Series 2009 Bonds. This resulted in a total debt service savings of $1.38 million over the remaining term of 13 years and brought the interest rate down from a high of 4.78% to a low of 2.43%.
With effective cost controls and stable net revenue, the District earned an excellent bond rating of A+ from Standard & Poors. This superior bond rating had a direct impact on the District realizing a lower interest rate and savings.