REFINANCING BONDS TO SAVE TAXPAYERS MORE THAN $3 MILLION

Taking advantage of fluctuating interest rates, the city is scheduled to close soon on $74.63 million of General Obligation refunding bonds. Bond refundings are similar to refinancing a mortgage -- existing debt is prepaid and new debt, at a lower interest rate, is issued to replace the original debt.

Based on current market conditions, the city is able to achieve a savings to taxpayers of more than $3.2 million. An important element in the city's ability to receive the lower rates is Scottsdale's strong credit ratings.

All three rating agencies recently reconfirmed the highest ratings for city bonds. Items specifically mentioned by the agencies in support of their premium quality ratings are: Scottsdale's record of carefully monitoring revenues and expenditures and implementing timely adjustments as necessary; resumed sales tax growth; and, exemplary fiscal management.

For more information on city finances, visit www.ScottsdaleAz.gov and click on the "budget" link.