Bond refinancing could save taxpayers up to $10 million
(EL PASO INDEPENDENT SCHOOL DISTRICT -- April 17, 2020) — Taxpayers in the El Paso Independent School District could save up to $10 million in debt payments after the Board of Trustees agreed this week to refinance more than $212 million from voter-approved bonds issued in prior years.
The District will take advantage of historically low interest rates to refinance the debt. The exact savings amount will be determined based on the interest rate secured at the time of the refinancing later this year.
“EPISD is always on the lookout for opportunities to save taxpayers money and reduce the overall tax burden of the District,” said Carmen Arrieta-Candelaria, the Deputy Superintendent for Finance and Operations. “We are confident that the vote by the Board of Trustees on Tuesday will result in a significant reduction in the District’s debt portfolio.”
Arrieta-Candelaria said that while the refinancing will lower the interest rate of the debt, it will not extend the repayment schedule for the District.
Voters approved the issuance of $207 million in 2003 and $230 million in 2007 to build new schools and make upgrades to existing campuses. The refinanced debt would impact the repayment of these two bond programs.
The move by the Board on Tuesday does not impact the repayment of debt accrued from the passage of the 2016 Bond.