County Expected to Save Big on Bond Issuance

TYLER — Falling interest rates and policies implemented to preserve a high bond rating for Smith County are factors that will make paying off the recently passed jail bond faster and less expensive than originally anticipated. That’s according to an update from Specialized Public Finance, Inc., to the Commissioners Court Tuesday. Officials say Smith County may save up to $253,000 and two years of payments on the $35 million in bonds recently approved by Smith County voters. “It’s good to know that we may be able to pay this off even sooner and save money for the citizens of Smith County because of these lower rates,” County Judge Joel Baker said.

Financial analyst Steven Adams told the court that a total of $40.875 million in bonds will be issued: $35 million from the jail bond passed in May plus the refunding of existing debt. The bonds will go to bid on Monday, June 27, after the county receives an updated bond rating.

“The timing is outstanding. Our rating may come back even better than where we are right now. We are already in the cream of the crop, but we could be at the very top,” Commissioner Jeff Warr said. “The citizens had faith that we were putting together a good plan. It is great timing.” Officials say the entire bond sale process should close and funds should be delivered to the Court to use by July 26. “This is a huge savings and we want the citizens to know that,” Commissioner Terry Phillips said.