Phoenixville Schools Bond Sale to Save Taxpayers $655K, District Says

PHOENIXVILLE, PA — Phoenixville Area School District recently completed a bond sale which will result in a savings of $655,479 over the next five years, the district said.

The 20 year bond was initially issued in 2011 to fund the construction of the new Phoenixville Area Middle School, according to a press release.

The recent sale is comparable to a homeowner refinancing a mortgage to secure a more favorable interest rate, the release states.

The district said that current market conditions made it favorable for Phoenixville to refinance the 2011 bond to lock in an average interest rate of less than 2 percent for the remaining fifteen years

School districts in the Commonwealth of Pennsylvania use bond sales as part of their long term capital financing plan, securing funds for construction projects at the lowest possible cost for taxpayers.