The City of Falls Church was able to sell competitive general obligations bonds Tuesday for the Thomas Jefferson Elementary School expansion and City Hall public safety improvements at an effective interest rate of 2.06 percent. City officials called it the lowest cost of debt in the City’s experience.
Coupled with the zero-percent Qualified School Construction Bonds, the combined interest rate for the $6 million Thomas Jefferson Elementary School expansion is approximately one percent, officials say. With respect to the refinancing of the 2006 and 2008 issues, the results were also better than the City expected. According to City Manager Wyatt Shields, “We projected savings of $250,000 over 12 years. However, because of the low interest rate offered in the successful bond sale, the actual savings from the refinancing will be $370,000.”