Ocean City Announces Low Bid On $38 Million Bond Sale For Infrastructure Projects

Ocean City, NJ -- Ocean City’s AA Bond Rating helped the city get a low interest rate on a $38 million bond sale that will help fund road and drainage projects, dredging and other important infrastructure work, Mayor Jay Gillian said.

Seven financial institutions bid on the bond, with Hutchinson Shockey Erley offering a 2.18 percent interest rate that will represent almost a million dollars less in net interest than the high bid at 2.54 percent, according to Gillian. Hutchinson Shockey Erley was the low bidder.

“Ocean City’s strong AA bond rating was a key factor in attaining the low interest rate, and it helps us continue our aggressive schedule of long-overdue improvements,” Gillian said. “I’d like to thank Finance Director Frank Donato and the entire city team for all their hard work.”

Late last month, Standard & Poor’s announced Ocean City would retain its AA rating, noting Ocean City’s “strong economy ... strong management ... strong budgetary performance ... strong budgetary flexibility ... very strong liquidity ... and strong institutional framework score.”

To read S&P’s full report, click here.

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