County finds bond market bargain

Travis County went to the bond market recently and found some bargains. Travis County Commissioners recently authorized their bond counsel to issue about $15 million in Texas Highway System Bonds to reimburse the county for money spent on SH45 SW. It is also preparing to issue $84 million in Texas Limited Tax Refunding Bonds aimed at buying down debt and reducing interest payments.  Travis County Financial Adviser Ladd Patillo told Commissioners Tuesday that with the current low interest rates, bond buyers are willing to pay a premium for municipal instruments. He said the county only had to issue $13.6 million to get $15 million in value, saving about $1.4 million on the deal. County finance officials hope for a similar phenomenon when they offer the $84 million in bonds, which Patillo projects will come in with about $6.5 million in savings.