The Scottsboro City Council did not meet Monday evening, but it will hold a special called meeting on Wednesday, Oct. 16 at 5 p.m. at Scottsboro City Hall.
The meeting will be held for the purpose of considering, among other things, the adoption of an ordinance authorizing the issuance and sale of the City's General Obligation Warrants, Series 2019-B, which are to be issued for the purpose of refunding, for debt service savings, certain outstanding indebtedness of the City, providing funds for miscellaneous municipal and public school capital improvements and paying the costs of issuance of said warrants.
Brad Green from Raymond James Financial Services attended a council meeting in September to discuss an opportunity for the city to refinance three outstanding series of bonds.
He was there because interest rates are low, and refinancing could save the city money. Green said the refinancing needed to be done in two phases.
Two of the bonds could be refinanced this year, while the third would have to be done at the beginning of next year. Green said the savings could be realized two ways.
One way was a reduction in debt service each year. This option would save Scottsboro $362,000. The other way was by receiving a check at the closing of the bond. These funds would have to be used for capital projects and the debt service would stay the same. These savings would amount to $300,000 for the city.
Green recommended the council refinance the bonds. The council agreed to have Green move forward with refinancing the bonds.