Oneida County refunds $16.3 million in bonds
NEWSChannel 2 Staff
ONEIDA COUNTY, N.Y. - According to Oneida County Comptroller Joseph J. Timpano, the county has refunded $16.3 million of its outstanding bonds, saving the county a total of $833,000.
Bond refunding works similar to a mortgage refinancing, Timpano said, adding that the borrower, which in this case is Oneida County, pays off old debt and replaces it with new debt at a reduced interest rate. Timpano says this results in significant cash savings.
Comptroller Timpano said that he has used this strategy many times in the past and since 2006, has refunded $47 million in outstanding bonds for a total cash savings of approximately $2.4 million.