City Saves $1.6 Million by Refinancing Rec Center Debt
Savings will pay for improvements to parking lot, driveways
The city refinanced its bonds on the facility, reducing the interest rate from 5 percent to 2.07 percent.
Strongsville sold 20-year bonds in 2001 to pay for the Recreation and Senior Center. Dubovec said the city had to wait at least 10 years before it was eligible to refinance.
"This happened to be 10 years for us, so we were able to do it," he said. "It worked out really well for the city."
The savings can't be used for general city operations, but can go toward capital improvements. Dubovec said officials believe it should be used at the rec center.
The city will spend about half of the savings fixing up the parking lot and driveways at the facility, Mayor Tom Perciak said.
"We can plow that right back into infrastructure improvements," Perciak said.