STONE HARBOR – Cynthia Lindsay, the borough’s chief financial officer, has reported that the borough had a successful bond sale on Sept. 25: With 14 bidders for the $28.5 million sale, Lindsay said, the winning bid was for 3.12%, with a $1.9 million premium.
The premium could have been taken as revenue or as an offset against debt. Lindsay said that the Borough Council’s concern for reducing debt led her to opt for spreading the premium across the repayment schedule. Closing on the bond sale is scheduled for Oct. 10.
The $28.5 million total was composed of $9 million in general obligation bonds and $19.5 million in water/sewer bonds. The point of the sale was to pay off a note coming due in October for the general debt and to spread the water/sewer bond over a number of existing bond ordinances, thereby consolidating that older debt.
Lindsay has previously said that the borough would be canceling some previously approved but not yet funded capital projects as well. She gave no indication of movement on that process during her report to the council on Oct. 1.
Contact the reporter, Vince Conti, at vconti@cmcherald.com.
