January 24, 2012 > FUSD saves taxpayers $18.4 million
FUSD saves taxpayers $18.4 million
Submitted By Gail Minamoto
The Fremont Unified School District is pleased to announce the savings of over $18.4 million to Fremont taxpayers through the refunding of 2002 bonds.
"Refunding" (or refinancing) bonds is similar to refinancing a home mortgage. Homeowners refinance their home mortgages for lower interest rates, ultimately saving money by reducing their monthly mortgage payments and/or shortening the years of mortgage debt. Similarly, refunding the District's 2002 bonds means that the District will reduce the overall cost to taxpayers by refinancing to lower interest rates.
Bond refundings generate savings that go right back to taxpayers in the form of decreased property tax bills. Then process and associated work typically requires 2-3 months for District officials. The District Administration completed the work for the transaction and Fremont taxpayers will receive the savings. One hundred percent of the savings goes back to taxpayers.
"We are excited to provide our taxpayers with $18.4 million in property tax bill savings. We believe it is our responsibility to be fiscally responsible with our public dollars. Taking advantage of this bond refunding opportunity is just one example of our District's commitment to this," stated Lily Mei, Board President for the District.
The District was represented in the refunding by Tony Hsieh of Keygent, LLC. Mr. Hsieh advises California school districts on financing issues.
A detailed public report will be presented on Wednesday, January 25 at the regularly scheduled School Board meeting. For more information, contact Micaela Ochoa, the Assistant Superintendent of Business Services at (510) 659-2572 or visit www.fremont.k12.ca.us.