What's News in Pleasant Prairie, Wisconsin

Bond Refunding Approved
On Monday, June 2, 2008 the Pleasant Prairie Village Board authorized the issuance and sale of two General Obligation Refunding Bonds totaling nearly $4,000,000. A savings of $100,844 will be realized due the refinancing of a $2,940,000 bond originally issued in March of 1999. In addition, a $950,000 balloon payment for Sewer Utility debt originally issued in 1999 will be refinanced.

“The purpose for refinancing the $2,940,000 bond is to realize an interest savings. Over a period of seven years, the Village will realize a savings of $100,844 due to the refinancing,” commented Kathy Goessl, Finance Director for Pleasant Prairie. “Our goal is to be as prudent as possible with every dollar.” Earlier this year Standard & Poor’s raised the Village’s long-term credit rating to AA- from A+. The Village’s improved credit rating along with current market conditions contributed to the interest savings.

“The second refunded general obligation bond, totaling $950,000, will be used to pay a balloon payment for original debt issued in 1999 for the Sewer Utility,” added Goessl. The 10-year note sold at a premium, which resulted in a net interest rate of 3.86%. The Village uses this financial strategy, incorporating two shorter-term financial instruments, to obtain better interest rates for longer-term investments.

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