MARYSVILLE >> The Yuba Community College District (YCCD) on June 9 closed the sale of refunding bonds that will save local taxpayers more than $72 million. Dale Scott & Company (DS&C) served as the financial advisor to help the district refund the bonds and take advantage of lower interest rates, while also shortening the payback term.
“We take our responsibility as fiscal stewards very seriously,” said Dr. Douglas Houston, chancellor of the Yuba Community College District. “Local taxpayers have a strong stake in the Yuba Community College District, and we are doing everything we can to prudently manage their investment in our future.”
YCCD refunded $65.5 million of Measure J Series B bonds approved by voters in the 2006 general election, resulting in a total savings of $72.3 million. The interest rate of these new bonds is significantly lower than that of the old bonds, down to 2.86 percent from an average of 4.96 percent. The new bonds’ payback term is also eight years shorter than that of the old bonds.
“Yuba Community College District carefully made this decision at an opportune time to capitalize on savings for local taxpayers,” said Dale Scott, president of DS&C. “By prudently managing its finances and waiting until market conditions improved, the district was able to return significant savings to taxpayers.”
This is the district’s second bond refunding in the last year, creating a total savings to taxpayers of $86.5 million. YCCD sold refunding bonds in July 2015 that saved local taxpayers $14.2 million.
