Fulton County, which traditionally has had a strong bond rating, received its lowest interest rate ever for this week's $120 million bond sale.
The sale ensures a steady cash flow to cover expenses until the end of the year, and the county plans to pay the money back from taxes on Dec. 31 as it does annually. The bonds, called tax anticipation notes, issued by Wells Fargo Wednesday, have a net interest cost of .277143 and constitute 34 percent of the expected 2010 property tax revenue, county officials said.
Officials said the county received the best possible short-term credit rating from the bond-rating giants Moody’s, S&P, and Fitch. They said the rating is based on the county's credit worthiness and its ability to manage financially despite the large hit its tax digest took from the real estate market downturn.
"We've had to continuously identify cost saving measures for the county," said Zachary Williams, county manager. "Because of the good response for bids and receiving the lowest interest rate ever, we have saved the county $1 million" compared to last year's bond issue.
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