DEFEASING BONDS

The Board recently voted to cash defease $75,000 of the District’s outstanding bonds in advance of the stated maturity of such bonds. The interest rate on the bonds that were defeased was 6.00% thus, by defeasing such bonds in advance their stated maturities, the District was able to achieve interest savings on behalf of its taxpayers. In addition, on September 1, 2016 the District will make the final payment on $1,115,000 in bonds that are set to mature on such date.

Following the payment of the bonds that mature on September 1, 2016, the District will have approximately $21,160,000 in bonds that remain outstanding. Such outstanding bonds mature on September 1 in the years 2017 through 2030. The next date for possible early redemption of such bonds is on September 1, 2018 when $5,875,000 in bonds become callable at the option of the District.