City working with RIHEBC to seek refunding of Middle School bonds at lower rates

FOR IMMEDIATE RELEASE

November 16, 2016

 

Contact: Blake Collins, bcollins@woonsocketri.org, office: (401) 762-762-6400 ex: 2963, cell: (508) 838-3371

 

 

Woonsocket, RI: Mayor Lisa Baldelli-Hunt today announced that the City of Woonsocket has successfully applied to the Rhode Island Health and Educational Building Corporation (RIHEBC) to explore its options to refund its outstanding bonds associated with the construction of the Woonsocket Middle Schools. The City submitted its application to RIHEBC and will proceed through committee review before the refunding process would begin.

 

“The City is constantly searching for opportunities to save money and maximize the way tax dollars are spent,” said Mayor Lisa Baldelli-Hunt. “Refunding current debt is a prudent step in following responsible budgetary practices. Our Finance Department has done great work in identifying and pursuing money-saving opportunities like this.”

 

RIHEBC is a quasi-public, state organization that commonly issues bonds on behalf of Rhode Island based organizations and municipalities to fund school and hospital buildings. RIHEBC provides tax exempt bond financing for large scale projects, which results in lower interest rates for communities like Woonsocket. The Middle School bonds targeted for refunding would only be reissued if a lower interest rate is available, equaling savings for the City of Woonsocket.

 

“The Woonsocket Finance Department maintains a goal of following budgetary and finance best practices,” said Christine Chamberland, Woonsocket Finance Director. “We will oversee the refunding process and work to ensure savings on behalf of the taxpayers of this community.”

 

The Middle School bonds were originally issued in 2009 to finance the $74 million cost of building the Woonsocket Middle School buildings on Hamlet Avenue. The RIHEBC refunding process represents a months-long action that would conclude in early 2017.

 

-30-