Today's financial market has allowed the City of Battle Ground to refinance bonds providing a savings of $188,225.

In 2003, the City issued $4,070,000 in Limited Tax General Obligation bonds for the purpose of providing funds to purchase the City Hall building and related equipment. At the beginning of this year, $3,045,000 in the bonds, with an average interest rate of 4.27%, were outstanding and payable through 2023, leaving the City’s total liability at $4,025,993.

The current municipal bond market allowed the City to realize a savings in refinancing the bonds, which City Council approved on March 1st. The new Refunding Bonds carry an average interest rate of 3.19% over 13 years leaving a liability of $3,837,768. The City saves a total of $188,225 over the life of the bonds.

In November of 2008 a report issued by Standard and Poor’s announced the upgrading of the City of Battle Ground’s bond rating from A (Upper Medium Grade) to AA- (High Quality). The High Quality AA- rating benefits the City by increasing the marketability of existing bonds and by receiving lower interest rates on future debt issuances.

On March 1st, Standard & Poor's re-affirmed the City’s High Quality AA- rating emphasizing the City's maintenance of very strong, albeit, declining available balances; good financial policies and practices, including recently adopted financial forecasting model and a minimum reserve policy; and a low debt burden with no plans to issue additional debt.

For more information about the Refunding Bonds or City of Battle Ground finances, please contact Finance & Information Services Director, Catherine Huber Nickerson at 360-342-5025