Bond moves help save millions
January 14, 2014
Treasurer Kate Marshall and her staff told the State Board of Finance on Tuesday that a series of strategic financial maneuvers has saved the state’s taxpayers more than $72 million over the past two years.
Despite being from the opposite major political party, Gov. Brian Sandoval praised the efforts of the treasurer’s office as “a major accomplishment.”
“Credit should go where credit is due,” he said.
Lori Chatwood of Marshall’s office told the board a significant amount of that total is attributed to the Unemployment Insurance Revenue Bonds issued in November to pay off the state’s unemployment benefits loans, totaling more than $400 million. That saves Nevada businesses and the state some $16 million.
The treasurer’s office also has been refunding a series of bonds, taking advantage of lower interest rates to reissue the bonds, which are worth more than $214 million, and saving an estimated $16.7 million in the process.
Those savings provided both the state and local governments with savings to pay for capital projects and operate existing programs.
In restructuring the state’s debt portfolio to take advantage of lower interest, the office freed up about $60 million in debt capacity that will be available in the next budget cycle.
Sandoval requested the report on how much money those actions have saved the state and local governments at the last finance board meeting. He credited the treasurer’s office and staff for their work.