News Flash

News & Information - Spotlight 2019

Posted on: May 9, 2019

Top Credit Rating Pays Off with Lower Interest Rates


May 8, 2019
Contact:    Supervisor’s Office    (631)283-6055 

The Town of Southampton, following a stellar financial report from Moody’s Investors Service, re-financed $13.3 million in outstanding debt. The Town achieved a savings of $725,000 over a ten-year period by reducing interest rates from an average of 3.09% to an average new rate of 1.42%. The term of the existing bonds remain the same, but the interest rates are significantly lower.

At a certain point in the life of a bond, the note becomes “callable”. This means that any remaining debt can be paid off without penalty. The Town issued new borrowing with a term matching the remaining life of the existing bonds. The new revenue will be used to pay off the existing loans, replacing them with new loans at significantly lower interest rates. For example, the Town will see a savings of $110,000 in each of the next three years.

The Town also realized significantly lower rates than anticipated on its current year capital program borrowing, the lowest bidder being Citigroup Global Markets, Inc. at 2.313%. “Our strong financial standing allows us to borrow at very low interest rates, thereby providing significant savings to taxpayers,” said Supervisor Jay Schneiderman. “We timed our borrowing to hit the bond market at a time when interest rates were at their lowest point in recent years,” noted Comptroller Len Marchese.

Facebook Twitter Email

Other News in News & Information - Spotlight 2019


Media Advisory

Posted on: September 26, 2019
Telephone/Text Scam Alert


Posted on: September 25, 2019

Town Board Approves Car Free Day

Posted on: September 11, 2019

Town Takes Step Towards New CCA Program

Posted on: August 15, 2019


Posted on: August 6, 2019

STAR Enhanced Changes Beginning

Posted on: April 29, 2019

Save Animals by Speading Awareness

Posted on: April 11, 2019
ADA Ramp

ADA Ramp at Southampton Town Hall

Posted on: March 25, 2019

Town Code

Posted on: June 4, 2018
Shinnecock SAMO

FREE Naloxone Training

Posted on: December 12, 2018
Riverside Traffic Circle Ribbon Cutting

Riverside Traffic Circle Ribbon Cutting

Posted on: October 29, 2018
Southampton Online Solutions

Southampton Online Solutions (SOS)

Posted on: May 23, 2018
PSEG Monster Poles-1-1

Rally Against 'Monster' Poles

Posted on: June 28, 2018