As a result of its “strong and stable” financial practices, the Fox Valley Park District has maintained an AA+ bond rating that will create $3.4 million in savings for taxpayers.

The refunding of existing bonds will lower the interest rate on approximately $29.5 million in park bonds and result in reduced future property tax liabilities for residents. Standard and Poor’s has affirmed the rating.

Interest rates have dropped considerably in recent years and, combined with the excellent bond rating, it was an ideal setting for the FVPD to pursue an opportunity to refinance its debt and lower future interest payments by 9 percent.

“As stewards of community tax dollars, we are excited to provide these significant savings,” said Park District board president Bob Vaughan, noting the FVPD has also held the tax levy flat during each of the last four years.

“It’s similar to a homeowner who refinances their mortgage to a lower interest rate and realizes sizeable savings over time,” said executive director Jim Pilmer. “This further demonstrates our commitment to being a fiscally responsible park district that is always looking to save money for our taxpayers.”

Akin to a credit score, a bond rating is enhanced by stable finances and careful monitoring of expenditures. Fox Valley is among the few government agencies in Illinois to carry an AA+ or better rating, and its affirmation comes at a time when many agencies are facing downgrades.

Proceeds from the bond sale will be used for the payment of land acquisition for parks, as well as capital park and facility projects involving restoration, construction, maintenance and improvements.

SOURCE: Fox Valley Park District press release